Although India has 257.38 billion tons of reserve (the fourth largest proven reserve of coal), nearly 83% of Indian coal reserve is of non-coking variety.

Coke production has traditionally been captive in the integrated steel industry. Hence, there is no surplus for merchant trading. Most of the coke oven batteries were located in the eastern region of the country in proximity to steel units until things started to change over a decade ago.

Until the beginning of this century coke consumers in the western and southern regions relied primarily on imported coke. Merchant coke manufacturers around the year 2000 started moving from Eastern region to the western part of the country to set up cokeries to help meet the demand of the consumers on the western coast, which was completely dependent on imports.

There has always been a scarcity of coking coal in the eastern region of the country. Coke manufacturers were finding it difficult in the eastern region to get regular supply of coking

coal from Indian mines due to various problems related to governmental control of these mines and other political problems associated with it.

Western India had a strong consumer demand for good quality metallurgical coke. Irregularity and hassles of importing coke and over dependence on international markets was a constant hazard for these consumers who wished for constant and regular supply of coke. Importing coke came with its own problems like always having large inventory of coke as vessel imported was 40000-50000 MT each time. Multiple handling at the port led to high losses.

However, in the years to come things started to change drastically. Small and big coke manufacturers decided to set up coke making facilities around the ports in Gujarat and importing coking coal from countries like Australia, China, Indonesia, and USA became viable. These merchant cokeries were set up within a 100 km radius of the major efficient ports in Western India and they could cater to the timely need of consumers in Gujarat and up to central India.

Since then, large quantities of coking coal started being imported into the country and small and big units were being set in and around many ports in Gujarat and southern ports in India.