written by | September 27, 2022

Types and Importance of Mineral Based Industries

×

Table of Content


Mineral-based industries use minerals as raw materials for production. They contribute significantly to the domestic and global economies, and they employ thousands of people in both the rural and the urban sectors. These industries rely on minerals like iron, copper, zinc, lead, and others. These heavy industries support the nation's infrastructure, growth, and development.  

This article will provide information on what are mineral-based industries in the country, their types, importance, and other related information. 

Did you know?

The Iron and Steel industries are the country's main/ major mineral-based industries. The TISCO plant at Jamshedpur is the oldest Iron and Steel plant in the country. 

Types of Mineral-Based Industries

Also read: Business Ideas Under ₹50,000 - Which Businesses Can You Start Under ₹50,000

The main mineral-based industries of the country are:

  • Iron and steel
  • Copper smelting industry
  • Aluminium industry
  • Lead and zinc smelting industry
  • Cement industry 
  • Fertiliser industry 

These industries use metallic and non-metallic minerals as raw materials for their production. 

Iron and Steel Industry 

Iron and steel are the backbone of the industrial development of the country. It is a mineral-based industry, and these primary industries use mineral ores as raw materials. Other industries further use these products as raw materials to manufacture several other products like building materials, railway coaches, heavy machinery, and others. SAIL is the major public sector company, and TISCO is the major private sector company in the country. 

Some of the Iron and Steel Industries in India are: 

  • Andhra Pradesh - Visakhapatnam
  • Chhattisgarh - Bhilai
  • Jharkhand - Jamshedpur (TISCO), Bokaro
  • Karnataka - Vishveshwarya
  • Odisha - Rourkela
  • Tamil Nadu - Salem
  • West Bengal - Durgapur, Burnpur

Copper Smelting Industry 

Copper smelting plants use the technique of multiple sulphide oxidising stages to separate copper from copper concentrates. HCL is the sole copper-producing industry in the country. 

Some of the Copper Refineries in India are: 

  • BALCO - Korba, Chhattisgarh
  • Hindalco (Birla) - Dahej, Bharuch district of Gujarat
  • Hindustan Copper - Khetri, Jhunjhunu district, Rajasthan
  • Sterlite Industries - Tuticorin, Tamil Nadu

Aluminium Industry 

Aluminium Smelting is the second largest industry in India after Iron and steel, and it is used as a substitute for steel, copper, and lead in various businesses. These industries are located in Odisha, West Bengal, Chhattisgarh, and Kerala. Aluminium is a good conductor of heat and is used to produce and distribute electricity, manufacture household utensils, electric appliances, rail coaches, aeroplanes, and nuclear and defence accessories.  It is a rapidly growing industry and comprises two basic segments - the upstream and the downstream. The former produces primary aluminium, while the downstream segment processes the aluminium into semi-finished goods. 

Some of the Aluminium Industries in India are: 

  • BALCO - Ratnagiri, Maharashtra
  • Chhattisgarh - Korba (Vedanta)
  • MALCO - Mettur, TN
  • NALCO - Koratpur, Odisha
  • Odisha - Hirakund (Birla), Jharsuguda (Vedanta)
  • UP - Hindalco (Birla)

Lead and Zinc Smelting Industry 

Lead, and zinc production depends on the type of ore used as a charge. In pyrometallurgical, the ore concentrate, which has lead/ zinc or both, is fed into the smelter. They can also be produced hydrometallurgically. Modena smelting processes are Kivcet, TBRC, QSL, and AUSMELT. The Zawar deposits of Rajasthan are the main lead and zinc ore sources for the smelting industry. The lead and zinc smelting industry are slow in developing due to the erratic supply of ore. 

HZL is the only producer of primary lead and primary zinc in India. These are mostly extracted from the ores found in the mines in Rajasthan. Binani Zinc Ltd (BZL) (another zinc producer) produces it from imported material. 

Also read: A Guide On Starting Your Home Decor And Furniture Business

Cement Industry

The cement industry uses sedimentary rocks, silicon dioxide, and minerals for production. The finished product is used to construct homes, spans, plants, streets, dams, terminals, and others. 

Some of the Cement industries in India are mentioned below:

  • ACC Ltd
  • Ambuja Cements Ltd
  • Birla Corporation Limited
  • Dalmia Bharat Ltd
  • India Cements Ltd
  • Shree Cement Ltd

Fertiliser Industry

India ranks third in the production of element fertilisers. These are a combination of elements (N), phosphate (P), and potassium hydroxide (K). India lacks the presence of Potassium hydroxide since there are no stores of potash or metallic element compounds in the country. Gujarat, Kerala, and Tamil Nadu state geographic regions produce fifty per cent of the total fertiliser output in the country. 

Some of the fertiliser industries in India are:

  • Fertilisers & Chemicals Travancore Limited.
  • Madras Fertilizers Limited, and national Fertilizers Limited.
  • Neyveli Lignite Corporation Limited.
  • Paradeep Phosphates Limited.
  • Rashtriya Chemicals & Fertilizers Limited.
  • Steel Authority of India Limited.

Chemical Industry 

The industry is its own largest buyer. Essential artificial substances are used to manufacture synthetics, which are then used for industrial applications, buyer markets, or farming. The chemical business in the country is growing by leaps and bounds. Artificial substances are used to produce fertilisers, plastics, factory-made filaments, and others. 

Some of the chemical companies in India are:

  • Aarti Industries Ltd
  • GHCL Ltd
  • BASF India Ltd
  • Atul Ltd
  • Gujarat Alkalies & Chemicals Ltd
  • Pidilite Industries Ltd
  • TATA Chemicals Ltd
  • Bayer

Importance of Mineral-Based Industries

Mineral-based industries are very crucial for a country’s economy. They play a major role in bolstering it. These industries rely on minerals like iron, zinc, copper, lead, and others. These heavy industries are responsible for the nation's strong infrastructure, growth, and rapid development. Industries based on minerals are capital-intensive setups as they require significant investment. The Iron and steel industry and the automobile industries are examples of mineral-based industry. 

Major Minerals Found in India

Following are the minerals available in India

  1. Coal
  2. Diamond
  3. Feldspar
  4. Gold
  5. Iron ore
  6. Lead
  7. Magnesium
  8. Mica
  9. Quartz
  10. Tungsten
  11. Uranium
  12. Zinc

Also read: Starting A Photography Business in 2023 - A Complete Overview

Conclusion

In India, the mineral industries are rapidly growing and developing. These industries provide employment to a large number of people both in urban and rural areas. It is expected that by 2025 around 6 million individuals will be working in this sector. These industries contribute to the Indian economy. The government, too, lays special emphasis on this sector.  It has included this sector in its Make in India policy program too. We hope this article has been of help in providing information about mineral-based industries

Follow Khatabook for the latest updates, news blogs, and articles related to micro, small and medium businesses (MSMEs), business tips, income tax, GST, salary, and accounting.

FAQs

Q: What is an aluminium smelting industry?

Ans:

Aluminium Smelting is the second largest industry in India after Iron and steel. It is used as a substitute for steel, copper, and lead in various businesses. Aluminium is a good conductor of heat and is used to produce and distribute electricity, manufacture household utensils, electric appliances, rail coaches, aeroplanes, and nuclear and defence accessories.  It is a rapidly growing industry and comprises two basic segments - the upstream and the downstream. The former produces primary aluminium, while the downstream segment processes the aluminium into semi-finished goods.

Q: What is the process of steel production?

Ans:

The process is given below: 

  • Step 1 – The iron-making process
  • Step 2 – Primary steel making
  • Step 3 – Secondary steel making
  • Step 4 – Casting
  • Step 5 – First, forming
  • Step 6 – The manufacturing, fabrication and finishing process.

Q: Which are the Aluminium industries of India?

Ans:

Following are the aluminium industries of the country: 

  • BALCO - Ratnagiri, Maharashtra
  • Chhattisgarh - Korba (Vedanta)
  • MALCO - Mettur, TN
  • NALCO - Koratpur, Odisha
  • Odisha - Hirakund (Birla), Jharsuguda (Vedanta)
  • UP - Hindalco (Birla)

Q: What raw materials are used in the Iron and steel industries?

Ans:

Mineral based industry sector is based on minerals as raw material. The minerals actively involved are:

  • Iron ore
  • Limestone
  • Coking coal
  • Dolomite
  • Fire clay
  • Manganese

Q: What is a mineral-based industry?

Ans:

Mineral-based industries use the mineral ores from the mineral deposits as their raw material. This sector provides employment and adds to the GDP of the country.

Q: Which are the Steel industries of the country located?

Ans:

The iron and steel industries of India are located in: 

  • Andhra Pradesh - Visakhapatnam
  • Chhattisgarh - Bhilai
  • Jharkhand - Jamshedpur (TISCO), Bokaro
  • Karnataka - Vishveshwarya
  • Odisha - Rourkela
  • Tamil Nadu - Salem
  • West Bengal - Durgapur, Burnpur

Q: What is the importance of mineral industries in India?

Ans:

Mineral-based industries are very crucial for a country’s economy. They play a major role in bolstering it. These industries rely on minerals like iron, zinc, copper, lead, and others. These heavy industries are responsible for the nation's strong infrastructure, growth, and rapid development.

Q: What are the different types of iron ores?

Ans:

Following are the different types of iron ores:

  • Hematite: India is the 2nd largest producer of this ore
  • Limonite: Used in paint manufacturing industries
  • Manganite: used in electronic industries
  • Siderite: Contains a mix of magnesium and manganese

Q: What are the types of minerals available in the country?

Ans:

The following types of minerals are available in India: 

  • Metallic and non-metallic minerals –
  •  Iron
  • Chromite
  • Copper
  • Mica
  • Manganese
  • Energy reserves –
  • coal
  • petroleum
  • thorium
  • uranium.

Q: Mention the example of a mineral-based industry.

Ans:

The mineral-based industries examples are mentioned below: 

  • Iron and Steel Industry
  • Copper Smelting Industry
  • Aluminium Industry
  • Lead arid Zinc Smelting Industry
  • Cement Industry

Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.
Disclaimer :
The information, product and services provided on this website are provided on an “as is” and “as available” basis without any warranty or representation, express or implied. Khatabook Blogs are meant purely for educational discussion of financial products and services. Khatabook does not make a guarantee that the service will meet your requirements, or that it will be uninterrupted, timely and secure, and that errors, if any, will be corrected. The material and information contained herein is for general information purposes only. Consult a professional before relying on the information to make any legal, financial or business decisions. Use this information strictly at your own risk. Khatabook will not be liable for any false, inaccurate or incomplete information present on the website. Although every effort is made to ensure that the information contained in this website is updated, relevant and accurate, Khatabook makes no guarantees about the completeness, reliability, accuracy, suitability or availability with respect to the website or the information, product, services or related graphics contained on the website for any purpose. Khatabook will not be liable for the website being temporarily unavailable, due to any technical issues or otherwise, beyond its control and for any loss or damage suffered as a result of the use of or access to, or inability to use or access to this website whatsoever.