5. Metal & Metallurgical Products
Metal & metallurgical products industry at the DSIR does not envisage production of metals from their ores. This is because base metal producers in India typically have captive mines supplying ore to the producer at negligible costs. Moreover, the plants are located closer to the mines to reduce the logistics cost. Hence, the basic metals produced in India are among the most competitively priced across the globe. However, Gujarat does not have rich reserves of basic metals which can be used to sustain production. The bulky nature of import ensures a high logistics cost in transporting ore from a mine located elsewhere in India or abroad. This would raise the cost of production of metal making it production unviable.
Metal and metallurgical product industry proposed at the DSIR includes secondary production of steel. The raw material for the industry can be sourced from the ship breaking yard at Alang located in close proximity to the DSIR. The proposed industry also includes production of fabricated metal products like steel pipes, steel & aluminium furniture and manufacturing of steel re rolled products. Similarly copper could be sourced from largest smelter located at Dahej.
The industry also involves production of metallurgical products like Iron and Steel Pipe and Tube Manufacturing, Rolled Steel Shape Manufacturing, steel wire drawing, Rolled Steel Shape Manufacturing, Aluminum Extruded Product Manufacturing, Other Aluminum Rolling and Drawing, copper alloying, automobile forging etc.