Technical Aspects

Technical Aspect
• Location and Site
• Size of plant
• Technical feasibility
 Factors influencing industrial location

1. Raw Material Supplies 8. Natural and Climatic

Factors
2. Proximity of Marker
9. Strategic Considerations
3. Transport Facilities
10. Taxes and Fees
4. Power and fuel Supply
11. Incentives and
5. Water Disincentives
6. Manpower 12. Site and Services
7. Labour Laws and Govt. 13. Socio economic and
Policies Political Factors
14. Miscellaneous Factors
 Selection of Site
• Important factors to be considered
– Load bearing capacity of the site towards flood
and earthquake hazards.
– Transport facilities
– Water supply, effluent discharge and ecological
factors.
– Nature of industry
 Size of the Plant
• Important from economic and financial
aspect
• Availability of equipment
• Market demand
• Availability of row material
• Risk of rapid obsolescence of the
technology or product
 Technical feasibility
Factors to be specifically considered as per
policy of the Govt. of India

1. Whether the proposed capacity is of economic size.

2. Whether the processes proposed to be adoped are
efficient from the techno-economic point of view.
3. The extent to which diversification and expansion
proposals will result in fuller utilization of capacity
and economies of scale.