Proximity to raw materials areas (Bauxite, caustic soda, aluminum fluoride).
Availability of cheap Electricity as a continuous source of energy.
Effective transportation to carry huge weight.
Industrial clusters to serve as immediate market.
ISSUES IN ALUMINIUM INDUSTRY
Production concentrated in few units like BALCO, HINDALCO, NALCO etc.
Rising cost of domestic production due to increase in energy cost, coal cess and other duties.
Over reliance on imports for coal, scrap and strategic metals.
Administrative issues like delays in environmental clearances, complex laws and frequent change in policies.
Aluminum is a very important industry due to its light weight nature. It is increasingly replacing steel in automobile industry as aluminum-based vehicles are less in weight and are more fuel efficient. Also in aircrafts, railways etc.
