Account for the present location of iron and steel industries away from the source of raw material, by giving examples. [150 Words] [10 Marks] [2020]

Intro (Micro Notes):
• Traditionally, iron & steel industries located near raw material sources (e.g., Jamshedpur near coal-iron belt).
• Present shift driven by liberalization, transport, market demand, and policy incentives.


Factors Behind New Location Trends:

1. Market Proximity
→ Heavy steel demand in construction, automotive, urban infrastructure
→ Ex: JSW Steel at Dolvi (Maharashtra) near Mumbai-Pune industrial belt

2. Port-based Locations
→ Easy import of coking coal, iron ore
→ Lower transport cost for exports
→ Ex: Essar Steel (Hazira, Gujarat), Vizag Steel Plant (Andhra Pradesh)

3. Energy Availability
→ Coastal & SEZ-based plants use imported coal and gas
→ Ex: Bhushan Steel (Odisha) uses nearby power projects

4. Infrastructure & Policy Incentives
→ States offer tax benefits, land, power concessions
→ Ex: Kalinganagar Industrial Complex (Odisha)

5. Technological Advancements
→ Use of electric arc furnaces reduces dependence on traditional coal


Conclusion (Micro Notes):
• Shift from raw material-centric to market, port, and policy-driven locations.
• Reflects global integration, efficiency, and changing dynamics in steel sector.