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Asked by Neha Last Modified
Answer 
Basic industries supply their products as raw materials to other industries. This industry produces iron and steel, which is used for manufacturing machines, tools and equipments. Machineries and tools are basic for any manufacturing process.
It also provides raw materials for heavy engineering automobiles, shipbuilding, manufacturing of locomotives, etc.
The development of these heavy industries is dependent on the supply of iron and steel. Thus, iron and steel industry plays a key role in the development of any manufacturing industry. Iron and steel is a heavy industry because all the raw materials (iron ore and limestone are examples) are heavy and bulky. They involve heavy transportation cost. Besides, the finished goods are generally either heavy or bulky or both.
Thus, it can be concluded that Iron and steel industry is basic as well as heavy industry.
The iron and Steel industry is called a basic and heavy industry because:
i). It is this industry which lays the foundation of a rapid development of other industries such as the heavy engineering, defence equipment, automobiles, aeroplane, etc.
ii). It is also helpful in providing employment to many.
iii). It also helps in the development of agriculture.
iv).It is a heavy industry because all the raw materials and finished products are heavy and bulky.
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