Indian Steel Industry Swot Analysis Engineering Essay

Rich mineral resources: India has copiousness of Fe ore, coal and many other natural stuffs required for Fe and steel devising. It has the 4th largest Fe ore militias ( 10.3 billion metric tons ) after Russia, Brazil, and Australia. Therefore, many natural stuffs are available at relatively lower costs.

There's a specialist from your university waiting to help you with that essay.
Tell us what you need to have done now!


order now

Technical work force: It has the 3rd largest pool of proficient work force, following to United States and the erstwhile USSR, capable of understanding and absorbing new engineerings.

Work force: Considering quality of work force, Indian steel industry has low unit labor cost, commensurate with accomplishment. This gets reflected in the lower production cost of steel in India compared to many advanced states.

Untapped market: – With such strength of resources, along with huge domestic untapped market, Indian steel industry has the possible to confront challenges successfully.

Other strengths include: –

Strong managerial capableness

Strongly globalised industry and emerging planetary fight

Modern new workss & A ; modernized old workss

Strong DRI production base

Regionally dispersed merchandiser turn overing Millss

Failings:

High ash content of autochthonal coking coal: This is built-in in the quality and handiness of some of the indispensable natural stuffs available in India, and they adversely affect the productive efficiency of iron-making and is by and large imported.

Capital intensive industry: Besides, Steel is a capital intensive industry ; steel companies in India are charged an involvement rate of around 14 % on capital as compared to 2.4 % in Japan and 6.4 % in USA.

Low labour productiveness: In India the advantages of inexpensive labor get offset by low labour productiveness ; e.g. , at comparable capacities labour productiveness of SAIL and TISCO is 75 t/man twelvemonth and 100 t/man old ages, for POSCO, Korea and NIPPON, Japan the values are 1345 t/man twelvemonth and 980 t/man twelvemonth.

High administered monetary value and High cost of energy: Monetary values of indispensable inputs like electricity are extremely administered and it puts Indian steel industry at a disadvantage ; approximately 45 % of the input costs can be attributed to the administered costs of coal, fuel and electricity.

Other failings include: –

Higher responsibilities and revenue enhancements

Labor Torahs

Dependence on imports for steel fabrication equipments & A ; engineering

Slow statutory clearances for development of mines

Opportunities:

Increasing ingestion: The biggest chance before Indian steel sector is that there is tremendous range for increasing ingestion of steel in about all sectors in India. The Indian rural sector remains reasonably unexposed to their Multi-faceted usage of steel.

Substitution and cost effectual use: The use of steel in cost Effective mode is possible in the country of lodging, fence, constructions and other possible applications where steel can replace other stuffs which non merely could convey about Advantages to users but is besides desirable for preservation of forest resources.

Many possible sectors: Excellent possible exist for heightening steel ingestion in other sectors such as cars, packaging, technology industries, irrigation and H2O supply in India.

Other chances include: –

Huge Infrastructure demand

Rapid urbanisation

Increasing demand for consumer lasting

Increasing involvement of foreign steel manufacturers in India

Menaces:

Linkage between steel industry and economic growing: The linkage between the economic growing of a state and the growing of its steel industry is strong. The growing of the domestic steel industry between 1970 and 1990 was similar to the growing of the economic system, which as a whole was sulky. This strong relation in today ‘s environment where the growing of the industry has become dead owing to the overall lag has resulted in enhanced competition among existing houses.

Monetary value wars: As the industry is non turning the lone other manner to turn is by increasing one ‘s market portion. The Indian steel industry has witnessed jets of monetary value wars and heavy trade price reductions, which has impacted the Indian Steel Industry.

Other menaces include: –

Slow growing in substructure development

Market fluctuations and China ‘s export possibilities

Global economic decelerate down

TYPES OF PRODUCTS

Steel is non a individual merchandise. There are presently more than 3,500 different classs of steel with many different physical, chemical, and environmental belongingss. Approximately 75 % of modern steels have been developed in the last 20 old ages. If the Eiffel Tower were to be rebuilt today the applied scientists would merely necessitate tierce of the sum of steel. Modern autos are built with new steels that are stronger, but up to 25 % lighter than in the yesteryear.

Semi-finished merchandises are solid blocks of steel, normally with a square or rectangular cross subdivision. At a steel factory, the petroleum steel production procedure turns run steel into metal bars, blooms, notes or slabs. These are called semi-finished merchandises.

Finished steel merchandises are forged from semi-finished merchandises. They are classified as follows:

Cold-finished bars and flats ( bright bars )

Cold-finished subdivisions including forged and cold-formed subdivisions

Cold-rolled narrow strip

Cold-rolled home base and sheet in spiral and lengths

Deformed reinforcing bars

Drawn wire

Forged bars

Forgings ( unworked )

Heavy subdivisions, stacking and welded structural subdivisions

Hot-rolled bars and flats in lengths

Hot-rolled visible radiation subdivisions

Hot-rolled narrow strip including cosmopolitan home bases

Hot-rolled rod in a spiral ( including support saloon in a spiral )

Hot-rolled broad strip, home base and sheet

Points, switches, crossings, Surs, wheels and axles

Tracks and rolled accoutrements

Silicon electrical sheet and strip

Steel castings ( unworked )

Steel tubings ( seamless and welded, and steel tubings adjustments )

Tinmill merchandises

Zinc- and other-coated sheet and strip

A level steel merchandise is typically made by turn overing steel through sets of rollers to bring forth the concluding thickness. There are two types of level steel merchandises:

Home plate merchandises: Vary in thickness from 10 millimeters to 200 millimeter. Home plate merchandises are used for ship edifice, building, big diameter welded pipes and boiler applications.

Strip merchandises: Can be hot or cold rolled and vary in thickness from 1 millimeters to 10 millimeter. Thin level merchandises are used in automotive organic structure panels, domestic white goods ( for illustration, iceboxs and rinsing machines ) , steel ( or Sn ) tins, and a figure of other merchandises from office furniture to bosom pacesetters.

A long merchandise is a rod, a saloon or a subdivision. Typical rod merchandises are the reenforcing rods used in concrete, technology merchandises, cogwheels, tools etc. are typical of saloon merchandises and. Sections are the big rolled steel joists ( RSJ ) that are used in edifice undertakings. Wire-drawn merchandises and seamless pipes are besides portion of the long merchandises group.

Modern steels are made with variable combinations of alloy metals to carry through many intents.

Carbon steel, composed merely of Fe and C, histories for 90 % of steel production

High strength low metal steel has little add-ons ( normally & lt ; 2 % by weight ) of other elements, typically 1.5 % manganese, to supply extra strength for a modest monetary value addition

Low metal steel is alloyed with other elements, normally Mo, manganese, Cr, or nickel, in sums of up to 10 % by weight to better the hardness of thick subdivisions

Stainless steels and surgical chromium steel steels contain a lower limit of 11 % Cr, frequently combined with Ni, to defy corrosion ( rust ) . Some chromium steel steels are magnetic, while others are nonmagnetic. During World War II, the nickel content of steel was cut back, and after the war ended it did non come back up. That is why pre-war steel was better, and why authoritative cars made prior to the war tend to last longer than the ulterior theoretical accounts

Tool steels, which are alloyed with big sums of wolfram and Co or other elements to maximise solution indurating. This besides allows the usage of precipitation hardening and improves the metal ‘s temperature opposition. Tool steel is by and large used in axes, drills, and other devices that need a crisp, durable film editing border. Other special-purpose metals include enduring steels such as Cor-ten, which conditions by geting a stable, rusted surface, and so can be used un-painted

Maraging steel is alloyed with Ni and other elements, but unlike most steel contains about no C at all. This creates a really strong but still ductile metal.

Twining Induced Plasticity ( TWIP ) steel uses a specific type of strain to increase the effectivity of work indurating on the metal.

Eglin Steel uses a combination of over a twelve different elements in changing sums to make a comparatively low-priced metal for usage in sand trap fellow arms.

Hadfield steel ( after Sir Robert Hadfield ) or manganese steel contains 12-14 % Mn which when abraded signifiers an improbably difficult tegument which resists have oning. Examples include armored combat vehicle paths, bulldozer blade borders and cutting blades

Galvanized steel, though non an metal, is a normally used assortment of steel which has been hot-dipped or electroplated in Zn for protection against rust

Most of the more normally used steel metals are categorized into assorted classs by criterions organisations. Such a sample categorization is:

Carbon steel ( a‰¤2.1 % C ; low metal )

Stainless steel ( +chromium )

Maraging steel ( +nickel )

Alloy steel ( difficult )

Tool steel ( harder )