Competitive Exams: Manufacturing Industries in India (Part 3 of 7)

Iron and Steel

  • First modern unit was established in 1830 at Porto Novo in T N but the real beginning of modern factory was in 1907 named TISCO in Jamshedpur (formerly Sakchi); IISCO in 1919 at Burnpur (W B)

  • Mysore Steel Works Bhadrawati 1923, now called Visvesaraya Iron and Steel Works.

  • Second Five Year Plan came up with 3 plants 1. Bhilai; 2. Rourkela; 3. Durgapur.

  • India is the tenth largest producer in the world.

  • In 1973, SAIL was established, it started to manage following industries: Bhilai; Durgapur; Rourkela; Bokaro; Burnpur; Alloy Steel Plant at Durgapur and Salem Steel Plant; Visvesraya Iron and Steel Ltd. In 1989.

Top 10 Steel plants

  1. TISCO (1907) by Jamshedji Tata; causes for its establishment: High grade haematite ore was available from Nauwa Mundi mines of Singbhum and Gurumahisani mines in Mayurhanj. Coal was available in Jharia and Raniganj. Manganese from Joda mines of Keonjhar dist. Of Orissa. Dolomite, Limestone and fireclay was available at Sundargarh (Orissa). Sufficient water from Suwarnarekha river. Better transport and high population density in Bihar. TISCO's storage is at Gopalpur (Orissa).

  2. IISCO: It has three plants, Kulti in 1864; Hirapur 1908; Burnpur 1937, all in W B; all these merged to become IISCO in 1937. Why IISCO was formed: Iron ore is available from Guna mines in Singhbhum and from Gurumahisani, from Mayurbhanj. Gets power from DVC and coal from Raniganj. Connected to Calcutta. Cheap labour.

  3. Visvesraya Iron and Steel Ltd: Earlier name was Mysore ISCO, established in 1923. Located at Bhadravati, Shimoga dist. In Karnataka. It was put under state control in 1962 and named Visvesarya Iron and Steel Ltd. Why at Bhadrawati: Bhadrawati valley is 13 km. Wide, as a result of which enough land is available. High grade haematite iron is brought from Kemang Gundi mines, Chikmaglur. Availability of power from Saraswati power project. Limestone is available at Bhundi Guda. Shilong and Chitradung supply Manganese.

  4. Bhilai Steel Plant: 1957, in Durgadist. Of M. P; in collaboration with USSR. Why at Bhilai: Rich hematite iron are from Dhalli Rajhara mine. Coal is obtained from Korba and Kargali fields. Limestone was from Nandini mines. Bhandhara (Maharashtra) and Balaghat (M P) supply Manganese. Korba Thermal Power supplies electricity. Dolomite from Bilaspur.

  5. Rourkela Steel Plant: Hindustan Steel Ltd. Is the plant in Sundergarh dist. Of Orissa, set up in collaboration with W. Germany in 1959. Why in Rourkela: Iron ore from Sundergarh and Keonjhar. Coal from Jharia and Thalcher. Hydro electricity from Hirakud. Manganese from Barajmada. Dolomite from Baradwar. Limestone from Purnabani.

  6. Durgapur Steel Plant: In Burdwan dist (W. B). established in 1959 with the help of UK; project was started in 1962. Why at Durgapur: Iron ore from Bolani mines in Mayurbhanj. Coal from Jharia and Raniganj. Limestone from Birmitrapur in Sundergarh distt. Manganese from Keonjhar. Dolomite from Birmitrapur. Kolkata Asansol rail network. Manganese from Keonjhar.

  7. Bokaro: Collaboration with USSR, started production in 1972. Why Bokaro: Iron ore from Kiriburu (Orissa). Coal from Jharia. Limestone from Palamu. Electricity from DVC. Fourth Five Year Plan:

  8. Salem Steel plant 1982, became commercial.

  9. Vishakhapatnam Steel project (Rashtriya Ispat Nigam) 1982, Coastal location.

  10. Vijaynagar Steel Plant. Paradeep Steel Plant.

Consumption of steel: 20 kg. Per capita; while the world average is 143 kg.

Production: Maximum on the basis of crude steel; maximum saleable steel; maximum pig ironBhilai.

Then comes Bokaro in crude and saleable steel. Second in pig iron is IISCO; Third is Rourkela in crude and saleable.

Third in pig iron is Durgapur.

Problem of Indian Iron and steel Industry

  • Huge capital investment is required.
  • Lack of technology Low productivity.
  • Low potential utilization like strike, energy crisis, raw material crises.
  • Heavy demand.