The fire at BL Steel Factory in Bishanpura village was brought under control on Monday, three days after it broke out.
However, a Fire Department team is still deployed at the spot as smoke continues to emanate from the remains.
Officials say the team is stationed to act swiftly in case flames erupt again.
Of the seven women who were injured when the fire broke out, two are still "critical". The other five were discharged after first aid.
Jaswinder Singh Bhangu, Assistant Divisional Fire Officer (ADFO), said around 10 teams were pressed into service for the operation. "At present, only one team has been deployed at the site as a precautionary measure to ensure the fire does not erupt again," he added.
"The materials inside the factory were flammable. As the fire had entered the interiors of the heaps, it took considerable time to douse the flames. The absence of water within the factory premises delayed operations as teams had to fetch water from a distance of over four kms," the ADFO added.
The two women, Meena (40) and Anjali (18), are undergoing treatment at Christian Medical College and Hospital.
Akash Dutt, Station House Officer (SHO), Doraha, said the injured were yet to record their statements with the police. "A case will be registered after they record their statements. The reason behind the fire has not yet been ascertained," the SHO added.
Khanna SSP writes to DC Jain, flags rising blazes
Taking note of the rising fires in Khanna, Senior Superintendent of Police (SSP) Darpan Ahluwalia has written to Deputy Commissioner Himanshu Jain, seeking urgent intervention to ensure the safety of life and property.
The SSP requested the Punjab Pollution Control Board (PPCB) and the Fire Department be directed to ensure all factories, commercial units and industrial establishments adhere to safety norms.
The residents of Bishanpura said the smoke had caused significant hardships for them and demanded strict action against the factory owner, alleging the owner's "callousness" had led to the situation.