Question -
Answer -
What recent developments have led to a rise in the production capacity?
Answer
Integrated steel plants are large and handle everything in one complex – from putting together raw material to steel making, rolling and shaping.
Mini steel plants are smaller, have electric furnaces, use steel scrap and sponge iron. They have re-rollers that use steel ingots as well. They produce mild and alloy steel of given specifications.
The challenges faced by the steel industry are:
1. High cost and limited availability of coking coal
2. Lower productivity of labour
3. Irregular supply of energy
4. Poor infrastructure
Recent developments such as liberalisation and foreign direct investment (FDI) have given a boost to the industry with the efforts of private entrepreneurs.