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Answer :

Iron-ore, coking coal and limestone are the basic raw material for the iron and steel industry. Iron and steel industry is located near the iron and coal deposits particularly at Jamshedpur in Bihar or in the Chhotanagpur area, bordering West Bengal, Bihar, Orissa and Madhya Pradesh, because of the following reasons:
1. All the raw materials required for iron and steel industry like iron-ore, coking coal and the limestone are available in this area.
2. Because all these things are heavy and bulky , the location of this industry is therefore, governed by the close proximity to raw materials. Bulky and heavy raw materials exert much pressure to locate the industry nearby i.e., in the Chhotanagpur area. Jamshedpur, Bokaro and Durgapur etc, are all situated in this area. 3. Means of transport, like railways and roads, also pass through this area on stupendous scale, so manufactured goods can easily be distributed within the country and also exported to other countries.4. Fourthly, if the iron and steel industries are near the iron and coal mines, the labour problem is also solved to a great extent. The labour and other facilities are easily available there.

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