Question

Which of the following is/are the limitations of Iron and Steel industry in India?

• A. High costs and limited availability of coking coal.
• B. Regular supply of energy.
• C. Foreign direct investment policies of the government.
• D. Lower productivity of labour and poor infrastructure.

Answer 1

Answer: (A), (D)

Lower productivity of labour and poor infrastructure.

High costs, limited availability of coking coal and irregular supply of energy has been a continuing challenge for the industry. Lower productivity of labour and poor infrastructure also remain a hindrance in many cases. Private entrepreneurs have made use of the liberalisation and foreign direct investment policies of the government. These policies have given a boost to steel production.