question_answer

How are integrated steel plants different from mini steel plants? What problems does the industry face? What recent developments have led to a rise in the production capacity?

Answer:

Mini steel plants are decentralised, small, secondary units have electric furnaces which produce steel using scrap and sponge iron. They produce mild and alloy steel of various kinds. Integrated steel plants on the other hand are large, handle everything in one complex- from transport of raw material to steel, making, rolling, shaping metal. The problems faced by the iron and steel plants are:

(i) High costs and lack of availability of coking coal.

(ii) Low efficiency of labour.

(iii) Erratic supply of energy resources.

(iv) Poor infrastructure.

In recent years the policy of liberalisation and direct investment of capital from foreign countries and private entrepreneurship and more funds for research and development for updating of technology has contributed to increased production capacity.