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Growth and problems of major Industries

1. Iron & steel
2. Cotton textiles
3. Cement
4. Sugar
5. Petroleum

Large scale industries play crucial
role in the economic development of
a country
These industries provide
Increase per capita productivity of labor
Standard of living improved, hence

These industries are mainly of two

Consumers goods industries e.g. textile,
sugar, etc
Producers goods industries e.g. iron and
steel, machines, chemicals, etc.



Consumption of iron and steel is an
index of industrial development of a
In India, there are about 741 large
and small manufacturing units
China is the largest producer of steel
in the world

Development of this
The Iron and Steel Industry started in India from
ancient times as testified by the iron beam in the
Konark Temple in Orissa and the 7 meters high iron
pillar near Qutab Minar in Delhi.
First attempt to manufacture was in South India in
First factory set up in 1907 by Tatas
1973, SAIL set up
In India, there are two types of Steel plants
Integrated steel plants
Includes 9 large steel plants, producing soft steel

Mini steel plants

Steel is manufactured from scrap and sponge iron

Iron ores are found all over the country.

During 2014, India was the fourth largest
iron-ore producing country in the world.
For the production of one tonne of iron and
steel, generally
1.5 tons of iron-ore, 0.45 tons of coke, 0.5
tones of limestone and 0.5 tones of
manganese, nickel, dolomite, etc. are required.
Besides, nearly 60 tones of water are required.

Growth of this industry:

Tata Steel has a very large productive
capacity for finished steel per year.
Today, Tata Steel is a multi-national steel
maker and has operations in more than
25 countries
Tata Steel is the eleventh largest steel
producing company in the world.
Steel Authority of India (SAIL) is the
largest public sectorsteel producing
company in India

The Fifth Five Plan (1974-75 to 1978-79), Sixth

Five Year Plan (1980-81 to 1984-85) and
Seventh Five Year Plan (1985-86 to 1989-90)
laid emphasis on expansion and increase in
production of existing steel plants and setting
up of small steel plants in different parts of
the country.
Govt. has framed National Steel Policy 2005 to
modernize and upgrade steel industry in India
Still India has to import finished steel
Domestic production needs to be increased

Problems of this industry

Scarcity of coal and power
Obsolete machinery and backward
Problem of transport
Lack of efficient engineers
High prices
Less utilization of production capacity
Threat from international competition