Iron and Steel Industry in India: Plants & Distribution

Iron and Steel Industry in India

The iron and steel industry is regarded as a basic industry since its products serve as raw materials for several other sectors such as engineering, automobiles, construction, shipbuilding, and defence. It is also a heavy industry, as both raw materials and finished goods are bulky.

Historical Development

  • Iron and steel activity in India is very old, but the modern industry began with Bengal Iron and Steel Works at Kulti (West Bengal) in 1817.
  • The Tata Iron and Steel Company (TISCO) was set up at Jamshedpur in 1907, followed by the Indian Iron and Steel Plant at Burnpur in 1919—all in the private sector.
  • The first public sector plant was Visvesvaraya Iron and Steel Works at Bhadravati (1923).
  • Post-independence, major integrated plants were established at Rourkela (with German collaboration), Bhilai (with Soviet Union collaboration), and Durgapur (with UK collaboration).
  • Later, Bokaro (1964) was set up with Soviet help, followed by Vishakhapatnam and Salem plants.

At independence (1950–51), India produced only 10 lakh tonnes of finished steel, which increased to 23.8 million tonnes by 1998–99. Today, India is among the top steel producers globally.

Distribution of Iron and Steel Industry

  • Most plants are located in the Chotanagpur Plateau (Jharkhand, Odisha, Chhattisgarh, West Bengal) because of proximity to iron ore, coal, manganese, and limestone.
  • Other important plants are in Tamil Nadu, Andhra Pradesh, and Karnataka.
  • Besides integrated plants, there are 200+ mini-steel plants, using scrap or sponge iron, with a combined capacity of over 6.2 million tonnes per annum.

Major Iron and Steel Plants in India and their Raw Material Sources

Sl. No Plant & Location Ownership Coal/Power Iron Ore Limestone Manganese
1 TISCO – Jamshedpur (Jharkhand) Private Sector Jharia, Singhbhum Mayurbhanj, Singhbhum Keonjhar Singhbhum
2 IISCO – Burnpur (West Bengal) Public Sector Jharia / DVC Singhbhum, Mayurbhanj Keonjhar Singhbhum
3 VISL – Bhadravati (Karnataka) Public Sector Sharavathi Project Kemamangundi (Chitradurga) Bhandiguda (Shimoga) Chitradurga
4 RSP – Rourkela (Odisha) Public Sector Bokaro / Jharia / Hirakud Project Sundargarh, Keonjhar Pumapani Barajamda
5 BSP – Bhilai (Chhattisgarh) Public Sector Kargali, Korba Dalli-Rajhara Nandini Balaghat
6 DSP – Durgapur (West Bengal) Public Sector Jharia / DVC Bolangir (Keonjhar) Birmitrapur (Sundargarh) Jamda (Keonjhar)
7 BSL – Bokaro (Jharkhand) Public Sector Jharia / DVC Kiriburu (Keonjhar Dist.) Palamau Barakar
8 SSP – Salem (Tamil Nadu) Public Sector Neyveli Salem District Salem District Salem District
9 VSP – Vishakhapatnam (Andhra Pradesh) Public Sector Damodar Valley Bailadila (Chhattisgarh) Chhattisgarh Balaghat, Madhya Pradesh
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