Correct Option: C. Nearness of raw materials Detailed Explanation: The iron and steel industry is heavily reliant on the availability of raw materials, particularly iron ore and coal, which are essential for the production of steel. The location of such industries is often determined by the proximity to these raw materials to minimize transportation costs and ensure a steady supply for production processes.

1. Importance of Raw Materials:
2. Iron ore is the primary raw material for steel production. The process of converting iron ore into steel involves several steps, including smelting, which requires significant amounts of energy and resources.
3. Coal is also crucial, as it is used in the blast furnace to produce coke, which is necessary for the smelting process.
4. Transportation Costs:
5. When industries are located far from their raw materials, they incur higher transportation costs. This can significantly affect the overall cost of production and, consequently, the competitiveness of the steel produced.
6. By situating the iron and steel industry close to the sources of iron ore and coal, Ajaokuta can reduce these costs, making the industry more economically viable.
7. Local Economic Development:
8. The establishment of the iron and steel industry in Ajaokuta not only benefits from the raw materials but also contributes to local economic development. It creates jobs and stimulates other sectors of the economy, such as transportation and services.
9. Infrastructure Considerations:
10. While access to transport facilities (Option B) is important, it is secondary to the availability of raw materials. Transport facilities can be developed over time, but the raw materials must be present to sustain the industry in the long term.
11. Power Availability (Option D):
12. Availability of power is also a significant factor, especially for energy-intensive industries like steel production. However, without the raw materials, the industry cannot operate. Thus, while power is necessary, it is not the most critical factor compared to the nearness of raw materials.
13. Labour Availability (Option A):
14. The availability of labor is important for any industry, but it is not as crucial as the raw materials. Labor can often be sourced from nearby areas, and training programs can be implemented to ensure a skilled workforce.

Why Other Options Are Weaker:

• A. Availability of labour in the area: While having a skilled labor force is important, it is not the primary factor influencing the location of the iron and steel industry. The industry can often attract labor from surrounding regions, and the presence of raw materials is a more pressing concern.
• B. Access to transport facilities: Although transport facilities are essential for moving raw materials and finished products, they can be developed or improved over time. The immediate need for raw materials takes precedence in determining the location of the industry.
• D. Availability of power: Power is critical for the operation of the steel industry, but without the raw materials, the industry cannot function. Therefore, while power is necessary, it is not the most important factor compared to the nearness of raw materials.

Revision Summary:

• The iron and steel industry is primarily influenced by the proximity to raw materials, particularly iron ore and coal.
• Reducing transportation costs is crucial for economic viability in steel production.
• While labor and power are important, they are secondary to the availability of raw materials.
• Ajaokuta's location is strategically chosen to ensure a steady supply of essential resources for steel manufacturing.