A high-level committee on domestic manufacturing of heavy machinery has submitted its report to the Coal Ministry recommending standardisation of equipment to boost domestic manufacturing to Captive/Commercial Mine operators MDO/Outsourcing contractors and departmental equipment, in line with CIL’s existing equipment standardisation effort.

It has also recommended that tender clauses should promote the use of indigenous equipment to support the “Make in India” mission.

It also suggested a scheme to incentivize manufacturers for designing, developing and making equipment in India for five years under the Make in India initiative.

CIL has undertaken a comprehensive standardization of mining equipment to be deployed. The objective is to ensure the widespread use of domestically manufactured equipment in coal production, transportation, and monitoring, without compromising productivity.

Currently, CIL imports high-capacity equipment, valued at Rs 3500 Crores, incurring additional expenses of Rs 1000 Crores in customs duty. To curb these imports and boost domestic manufacturing, CIL has devised a strategic plan to phase out imports gradually over the next six years.

This approach aims to encourage and develop domestically manufactured equipment. Notably, high-capacity machines are already being procured from domestic manufacturers.

Also, to further advance “Make in India,” CIL has issued standardization guidelines. This initiative not only stimulates the manufacturing sector but also aligns with the overarching goals of Atmanirbhar Bharat and “Make in India”. Promoting indigenous equipment capabilities will also lead to a reduction in the breakdown period of imported equipment, which often remains non-operational due to a lack of spare parts.

This will be achieved by manufacturing major aggregates such as engines, transmission systems, differentials, and motors, with duty restrictions on the required parts and materials.

The committee was formed under the chairmanship of Director (Technical), CIL to provide recommendations for bolstering domestic manufacturing of Heavy Earth Moving Machinery (HEMM) and underground mining equipment, including High Wall Miners, Standard and Low-Capacity Miners, and associated ancillary equipment.

Ministry of Coal highlighted that CIL has already identified domestic manufacturers for the production of mining equipment for both Opencast and Underground mining along with upgradation of technology and capacity.