McqMate
| Q. |
The cost producing iron in India is considerably lower than in other countries because of |
| A. | low wage of miners |
| B. | large supply of iron ore |
| C. | large supply of coal |
| D. | coal and iron ore are found in the same area |
| Answer» D. coal and iron ore are found in the same area | |
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Explanation: Brazil, India, South Africa and China are highly competitive steel production locations. Brazil has vast reserves of high quality iron ore, but needs to import coal and has higher labour costs than some emerging markets. India has cheap iron and labour. But, India needs to import considerable volumes of low ash coal to blend with its domestically available high ash material. Still most of the iron and steel plants are located in vicinity of coal mines. It is for this reason that the Chhota Nagpur plateau bordering West Bengal, Bihar, Orissa, and Madhya Pradesh, has been the natural nerve-centre of this industry. |
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