INDUSTRIES OF ODISHA

Odisha is one of the fastest-growing states in India, full of opportunities. The state’s economy is growing quickly, with a GDP growth of 10.4% during 2016-17, and it was expected to reach around 12% by 2020. For more than 15 years, Odisha has experienced remarkable growth thanks to the State Government’s focus on industrial development and political stability.

To further boost industrial growth, the Odisha Government launched the ‘New Odisha Industrial Development Plan 2020.’ Odisha is rich in mineral resources and is crucial for India’s steel and aluminum production. The state also has a strong single-window clearance system, making it easier for industries to set up.

Key Industries in Odisha

Here are the main industries driving Odisha’s economy:

  1. Iron and Steel Industry
    • Odisha has over 33% of India’s iron ore reserves, making it a key player in the steel industry, contributing over 20% to India’s steel production.
    • It is the largest producer of stainless steel in India.
    • Several major steel plants are located here, including Rourkela Steel Plant, TATA Steel, and Jindal Steel.
    Rourkela Steel Plant (RSP)
  • The first integrated steel plant in the public sector, set up with German collaboration.
  • Located in Rourkela, this plant has a production capacity of 1.9 million tonnes of crude steel.
  • RSP uses modern techniques like external desulfurization of hot metal and is known for its special purpose steels. Nilachal Ispat Nigam Limited (NINL)
  • A company promoted by Metals and Minerals Trading Corporation of India (MMTC) and other government agencies.
  • NINL is the largest exporter of saleable pig iron in India. POSCO India Private Limited
  • A South Korean steel company, POSCO is one of the world’s largest steelmakers.
  • They plan to set up a 12 million tonnes steel plant at Paradip in Odisha.
  1. Cement Industry
    • Odisha has 2.224 billion tonnes of proven limestone reserves, vital for cement production.
    • Major cement factories in Odisha include OCL India, Ultra-Tech-Grasim, and ACC-IDCOL.
  2. Aluminium Industry
    • Odisha is India’s largest aluminum producer due to its rich bauxite reserves, which make up half of India’s total.
    • Major companies include NALCO, HINDALCO, and Vedanta Alumina.
    National Aluminium Company Limited (NALCO)
  • Set up in 1981, NALCO is an integrated alumina and aluminum complex located in Damanjodi.
  • The plant is one of the most modern in the world and the biggest in Asia.

Key Industries in Odisha

  1. Iron and Steel Industry:
  • Importance: Odisha holds 33% of India’s iron ore reserves and accounts for over 20% of the country’s steel production. This gives the state a strong position in the iron and steel industry.
  • Major Plants: The state is home to major steel plants like Rourkela Steel Plant (RSP), TATA Steel, Jindal Steel, and others. The presence of seaports also helps in exporting steel products.
  1. Cement Industry:
  • Resources: Odisha has vast limestone reserves, essential for cement production. Major cement companies like UltraTech, ACC, and OCL India have their plants in the state.
  • History: The Odisha Cement Limited (OCL) factory, established in 1948, was one of the first cement factories in the state.
  1. Aluminium Industry:
  • Resources: Odisha is the largest producer of aluminium in India due to its rich bauxite reserves. The state also has large aluminium smelting plants like NALCO, HINDALCO, and Vedanta Alumina.
  • Key Locations: The main aluminium production areas are in Angul and Damanjodi. The presence of ports at Paradip and Visakhapatnam helps in exporting aluminium products.
  1. Ferro-Manganese Industry:
  • Major Plants: The Tata Iron and Steel Company runs a ferro-manganese plant in Joda, Keonjhar district. Another plant is located at Rayagada, managed by Jeypore Sugar Company.
  • Power Supply: These plants receive power from Hirakud and Machkund Hydroelectric Projects.
  1. Paper Industry:
  • Key Players: The Orient Paper Mills in Brajrajnagar, Jharsuguda, was the first paper mill in Odisha. Another paper mill is located in Rayagada.
  • Raw Material: The industry relies on bamboo pulp, which is abundant in Odisha’s forests.
  1. Handloom and Textile Industry:
  • Historical Significance: Odisha’s handloom industry is one of the oldest and most renowned in the state. The state has over 1,140 primary weavers’ cooperative societies.
  • Textile Industry: A modern textile mill was established at Chaudwar in 1949, and other cotton spinning mills operate in Jharsuguda, Bargarh, and Khurda.
  1. Sugar Industry:
  • Oldest Factory: The Aska sugar factory is the oldest in the state, with other factories located in Bargarh, Rayagada, and Nayagarh.
  • New Developments: New sugar factories are being set up in different districts like Cuttack and Kalahandi.
  1. Ceramic and Glass Industry:
  • Products: This industry specializes in producing glass and ceramics. Major units are located in Barang, Khansbahal, and Rajgangpur.
  • Raw Materials: The industry uses silica, soda, and limestone as raw materials.
  1. Aeronautical Industry:
  • MIG Engine Factory: The Hindustan Aeronautical Limited (HAL) established a MIG Engine factory at Sunabeda near Koraput, marking a significant step in Odisha’s industrial development.
  1. Chemical Industry:
    • Key Players: Jayshree Chemicals Limited produces caustic soda in Ganjam, while Paradip Phosphate Limited produces fertilizers.
    • Fertilizer Plants: The Fertilizer Corporation of India set up a unit in Talcher in 1971.
  2. Salt Industry:
    • Production: Odisha has a long coastline, which helps in producing salt in coastal districts like Ganjam, Puri, and Balasore.
    • Government Initiatives: The Namak Majdoor Awaas Yojana scheme provides housing for salt workers.
  3. Coir Industry:
    • Products: The industry uses coconut fibre (coir) to make products like mats and brushes. The Odisha Cooperative Coir Corporation oversees the marketing of coir products.
  4. Common Industries and Their Locations:
    • Rice Mills: Located in Balasore, Cuttack, Sambalpur, and Bargarh.
    • Jute Mills: Located in Dhanamandal (Jajpur).
    • Tyre Factory: Located in Balasore.
    • Bidi Production: Located in Sambalpur, Sundargarh, Balangir, and other districts.
    • Leather Industry: Located in Boudh, Bhanjanagar, and Cuttack.
    • Jewellery: Located in Cuttack and Berhampur.
    • Stone Carving: Located in Puri.
    • Salt Industry: Located in Ganjam and Puri.
    • Coach Building: Located in Mancheswar.
  5. Information Technology Sector:
    • Growth: Odisha is one of the leading states in IT and IT-enabled services (ITES). Major IT parks in Bhubaneswar include Infocity and Fortune Tower.
    • Key Players: Companies like Infosys, Hexaware Technology, and others have a strong presence in Odisha.

Cottage Industries in Odisha

  • Cottage industries in Odisha are a major source of income in rural areas. Handloom weaving of various fabric patterns and handicrafts form the primary cottage industries.
  • Weaving of cotton and silk sarees is a very popular means of livelihood in rural Odisha. The government of Odisha has identified many handloom centers.
  • Boudh is known for handloom silk sarees and Bomkai silk, Mayurbhanj and Gopalpur for Tassar silk, Jagatsinghpur for fine cotton, and Sambalpur and Sundargarh for coarse cotton sarees.
INDUSTRIES OF ODISHA

Other Cottage Industries in Odisha:

Cottage IndustryImportant Areas
Badi making from Urad dalKeonjhar
Firecracker cottage industryCuttack (Padampur)
Cane and bamboo craftJagatsinghpur, Bargarh, Balangir
Wood craftBalasore (Khandpara), Cuttack (Badhei-Sahi), Puri
Metal craftBargarh, Cuttack, Dhenkanal

Special Economic Zones in Odisha (SEZ)

Special Economic Zones (SEZ) are specifically designated as duty-free enclaves treated as foreign territories for trade operations, duties, and tariffs. The main objective of SEZs is to attract investments, increase exports, and develop world-class infrastructure. The Odisha Government has established SEZs in many places:

LocationSEZ
BhubaneswarIT/ITES, Infocity, IDCO Knowledge Park
GanjamGopalpur (Multi-Product Park), Chhatarpur (minerals)
SambalpurRengali (HINDALCO)
JharsugudaVedanta Alumina Zone
CuttackChaudwar (LANCO Solar Park), JINDAL Steel
JajpurKalinga Nagar
JagatsinghpurParadip (POSCO)

The Odisha Government plans to set up 18 Special Economic Zones (SEZs) to promote industrial activity in the state. These centers will be established at locations such as Lapanga in Sambalpur, Burkhamunda in Jharsuguda, Goudakashipur and Mancheswar in Khordha, Manoharpur in Jajpur, Tulasideipur in Chandaka under Khordha, and Belar in Nuagaon of Kendrapara.


Major State-Level Institutions

  • Odisha Industrial Infrastructure Development Corporation (IDCO): Established in 1962, IDCO acts as the Nodal Agency for providing industrial infrastructure and land for industrial development in Odisha. IDCO has taken up projects like Angul Aluminium Park, Seafood Park at Dewas, Plastic Park at PCPIR (Refinery Complex of IOCL), Textile Park, Food Park at Dhamnagar, and IT hub at Info Valley, Bhubaneswar.
  • Industrial Promotion and Investment Corporation of Odisha Limited (IPICOL): IPICOL, under the Odisha Industries Facilitation Act 2004, extends Single Window Facilitation Services to investors and promotes the state.
  • Industrial Development Corporation of Odisha Limited (IDCOL): Established in 1962, IDCOL supports large and medium-scale industrial units and has set up 15 such units in the state, including IDCOL Kalinga IronWorks Ltd. at Bargil and IDCOL Ferro Chrome and Alloys Ltd. at Jajpur Road.
  • Odisha Small Industries Corporation (OSIC): Established in 1972, OSIC aids and assists MSME units for their growth and development, managing activities such as consortium marketing, raw material assistance, civil construction, and rural electrification.
  • Odisha State Financial Corporation (OSFC): Established in 1956, OSFC provides financial support to micro, small, and medium-scale industrial units, offering loan assistance of up to ₹10 crore per project.

Industrial Regions of Odisha

Industrial RegionMajor Industries
Chandikhol AreaStone Crusher, Coke Oven
Dubari AreaIntegrated Steel, Ferro Alloys, Rubber Industries
Paradip AreaFertilizer, Sea-food Processing, Petroleum, Coke
Khordha-Tapang AreaStone Crusher
Joda-Barbil AreaIron, Sponge Iron, Ferro Alloys, Iron Ore Crusher, Mineral Processing
Rayagada AreaPulp and Paper, Ferro Alloys
Rajgangpur AreaIron and Steel, Sponge Iron, Cement, Secondary Steel, Melting and Rolling Mill, Refractories, Chemicals
Ib Valley AreaThermal Power, Sponge Iron, Refractories, Coal Mines
Hirakud AreaAluminium and Rolling Mills
Talcher-Angul AreaThermal Power, Aluminium, Ferro Alloys, Coal Mines
Chaudwar AreaFerro Alloys, Thermal Power, Pulp and Paper
Balasore AreaPulp and Paper, Ferro Alloys, Rubber Industries

State Industrial Policy, 2015

The Industrial Policy Resolution of 2015 aims to make Odisha a destination of choice for global investors. The primary objectives include:

  • Transforming Odisha into a vibrant industrialized state with sustainable and inclusive economic growth.
  • Promoting sectors like IT/ITES, ESDM, biotechnology, agro, marine and food processing, tourism, textiles and apparel, and automotive industries, which offer strong employment linkages.
  • Encouraging employment-intensive sectors such as handicrafts, handlooms, Khadi and village industries, coir, and salt.
  • Maximizing employment generation and enhancing employability through skill development.
  • Encouraging linkage between MSMEs and large industries, focusing on ancillary and downstream industries.
  • Promoting the establishment of environment-friendly and less polluting industries.
  • Creating a conducive business climate and enabling environment to encourage private sector investments.

Industrial Schemes in Odisha

Go-PLUS: Provides detailed information on industrial lands, including plot availability, connectivity, road linkages, and other utilities.

Go-SWIFT: A state-run scheme providing easy access for business investments in Odisha, streamlining government processes and offering a single window for investor facilitation.

FAQs

Here is the MCQ content converted into single-line FAQs format for your blog:

  1. Which state is the largest producer of stainless steel?
    Odisha is the largest producer of stainless steel.
  2. Which company is the largest exporter of pig iron in Odisha?
    NINL is the largest exporter of pig iron in Odisha.
  3. Which steel plant in Odisha was set up with South Korean collaboration?
    POSCO India Private Limited was set up with South Korean collaboration.
  4. Where was the first cement industry in Odisha started?
    The first cement industry in Odisha was started in Rajgangpur.
  5. Who runs ‘The Hira Cement Works’ in Odisha?
    ‘The Hira Cement Works’ in Odisha is run by IDCO.
  6. Where are the port facilities for exporting bauxite and aluminium available in Odisha?
    The port facilities for exporting bauxite and aluminium are available at Paradip.
  7. Where does the second aluminium plant of NALCO in Odisha run?
    The second aluminium plant of NALCO in Odisha runs in Damanjodi.
  8. Who are the prominent players in the aluminium industry in Odisha?
    NALCO and HINDALCO are the prominent players in the aluminium industry in Odisha.
  9. Where does NALCO in Odisha get its coal supply from?
    NALCO in Odisha gets its coal supply from Talcher.
  10. Which company runs the Ferro-Manganese Plant located at Joda in Keonjhar district?
    Tata Iron and Steel Limited runs the Ferro-Manganese Plant at Joda in Keonjhar district.
  11. Where is a Ferro-Silicon plant located in Odisha?
    A Ferro-Silicon plant is located in Theriruveli, Odisha.
  12. In which district of Odisha was the first paper mill set up?
    The first paper mill in Odisha was set up in Jharsuguda district.
  13. Which industry ranks among the most exported commodities from Odisha?
    Iron and Steel industry ranks among the most exported commodities from Odisha.
  14. Which variety of silk is less popular than Tassar in Odisha?
    Mulberry silk is less popular than Tassar in Odisha.
  15. Where does the textile mill at Chaudwar get its raw cotton supply from?
    The textile mill at Chaudwar gets its raw cotton supply from the Western Peninsula.
  16. Where is the oldest sugar factory located in Odisha?
    The oldest sugar factory in Odisha is located in Aska.
  17. Which areas in Odisha have a flourishing ceramic glass industry?
    Latikata, Khansbahal, and Barang have flourishing ceramic glass industries in Odisha.
  18. Who established the aeronautical factory at Koraput district in Odisha?
    The aeronautical factory at Koraput district in Odisha was established by Hindustan Aeronautical Limited (HAL) in collaboration with the USSR.
  19. Which place in Odisha has many salt factories?
    Ganjam has many salt factories in Odisha.
  20. Which are the principal centres of leather production in Odisha?
    Cuttack, Boudh, and Balangir are the principal centres of leather production in Odisha.
  21. Which region in Odisha is famous for its jewellery work?
    Berhampur is famous for its jewellery work in Odisha.
  22. What is Boudh district in Odisha famous for?
    Boudh district in Odisha is famous for handloom silk sarees.
  23. Where is ‘Infocity’ situated in Odisha?
    ‘Infocity’ is situated in Bhubaneswar, Odisha.
  24. Which areas are among the Special Economic Zones in Odisha?
    Cuttack, Kalinga Nagar, and Jharsuguda are among the Special Economic Zones in Odisha.
  25. Who established the Angul Aluminium Park in Odisha?
    The Angul Aluminium Park in Odisha was established by IDCO.
  26. When was the Industrial Development Corporation of Odisha Limited established?
    The Industrial Development Corporation of Odisha Limited was established in 1962.
  27. Where is IDCOL Ferro Chrome and Alloy Ltd situated in Odisha?
    IDCOL Ferro Chrome and Alloy Ltd is situated in Jajpur, Odisha.
  28. Where are seafood processing industries located in Odisha?
    Seafood processing industries are located in Paradip, Odisha.
  29. Who is responsible for mapping industrial land in Odisha?
    Go-PLUS is responsible for mapping industrial land in Odisha.
  30. What are some facts about the Rourkela Steel Plant?
    The Rourkela Steel Plant is the first integrated steel plant, set up with German collaboration and undertakes pollution control measures.
  31. What is the capacity of the Rourkela Steel Plant?
    The Rourkela Steel Plant has a capacity to produce 1.9 million tonnes of crude steel.
  32. What are some facts about NALCO?
    NALCO was set up in 1981 in collaboration with Aluminium Pechiney of the USA, is the biggest in Asia and is located in Angul, and is an integrated alumina/aluminium complex.
  33. What are the objectives of the State Industrial Policy, 2015?
    The objectives are to promote sustainable and inclusive economic growth by attracting investments systematically and to transform Odisha into a vibrant industrialised state.
  34. Where is the Tassar variety of silk mostly manufactured in Odisha?
    The Tassar variety of silk is mostly manufactured in Mayurbhanj, Sundargarh, Keonjhar, and Koraput districts.
  35. Which districts in Odisha are important for bidi production?
    Sambalpur, Sundargarh, Cuttack, and Balasore are important for bidi production in Odisha.
  36. What are the Special Economic Zones in Odisha?
    The Special Economic Zones in Odisha include HINDALCO Industries in Sambalpur, Genpact IT/ITES, Infocity SEZ IT/ITES in Bhubaneswar, and IDCO IT/ITES in Bhubaneswar.
  37. Which areas in Odisha are known for specific industries?
    Refractory unit – Barbil, Hira Cement Work – Bardol, Indian Rare Earths Ltd. – Gopalpur, Rourkela Steel Plant – Sambalpur.

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