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Manufacturing Industries 17
q Types of industries q Classification of industries
q Factors affecting location of industries q Industrial regions
q Major industries q Comparative studies
Introduction On the Basis of Size
Industry is an organised activity whose aim is to When we classify industry on the basis of size, we
produce or supply goods or to provide services. Its mainly consider the money invested, number of
literal meaning is working in organised and people employed and the volume of production in
systematic way. The word industry usually brings to that industry. On the basis of these factors, we can
mind images of large factories and mills. But classify industry as follows :
industry also includes agriculture, fishing,
Small-scale Industries
lumbering, trade and in fact, all forms of economic
activity. Industries whose investment is up to one crore
rupees come under the category of small-scale
industries. These industries require small capital
TYPES OF INDUSTRIES
investment on plant and machinery. Labour could
Industries can be divided into three main be low skilled as in cloth manufacturing or food
types—primary industries, secondary industries processing or highly skilled as in electronics or
and tertiary industries. gemstone cutting. Production volume here is small.
Primary industries involve extracting resources Large-scale Industries
from the sea or land and include forestry, farming,
fishing, coal mining, oil drilling and hunting. Industries having an investment of more than one
crore rupees are called large-scale industries. They
These are particularly dependent on physical
factors such as climate and geology. have superior quality of technology as they
produce different variety of goods in large
Secondary or manufacturing industries produce quantity. A large number of labours (skilled or
things for people by processing raw materials or unskilled) are required in such industries. The
assembling components, for example; clothes are production volume here is huge. For example,
manufactured by cotton. the iron and steel manufacturing, automobile
Tertiary industries deal with services and manufacturing or heavy machinery industry etc.
distribution of manufactured goods. They provide are large-scale industries.
various services in trade, transportation system, Cottage Industries
administration and education etc.
These are still smaller industries which do not
require much investment. These industries deal
CLASSIFICATION OF INDUSTRIES
with the manufacture of crafts by hand or without
Industry can be classified in three different ways machinery for example, selling home baked cakes
depending on size, raw material used and and making handicrafts. These are attached to
ownership. homes and often employ family members.
Contemporary Social Science-8
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