Low temperature carbonization (LTC) is a process in which coal is heated (500–800°C), in absence of oxygen, yielding products like coke, tar, oil, liquor and gases. The liquor contains several pollutants like phenols, ammonia, cyanide, thiocyanate. Therefore, the characteristic of the liquor are of significant importance, with reference to environmental pollution. The quality and quantity of liquor is dependent on the nature of the coal and process of carbonization. In the present study, the strength of the liquor has been correlated with the temperature of carbonization and the volatile matter content of coal, using Gray‐King Assay apparatus for the carbonization. Present study indicates that the pollution load of liquor is directly proportional to the volatile matter content of coal. The temperature of carbonization also influences the concentration of the pollutants in the waste liquor.