There are several reasons behind this: (i) Although India has modernised its steelmaking considerably, however, nearly 6% of its crude steel is still produced using the outdated open-hearth process. (ii) Labour productivity in India is still very low. (iii) Steel production in India is also hampered by power shortages. (iv) Insufficient shipment capacity and transport infrastructure too hinder the growth of Indian steel industry. (v) India is deficient in raw materials required by the steel industry.