MANUFACTURING INDUSTRIES
1. What is Manufacturing?
Manufacturing means producing goods in large quantities from
raw materials to make something more valuable.
Example: Cotton → cloth, Sugarcane → sugar.
It is also called secondary activity because it uses products of
primary activities (farming, mining).
Importance
Adds value to raw materials.
Provides employment to a large population.
Helps in modernizing agriculture by providing fertilizers,
machinery, tools.
Enhances exports and national income.
Reduces dependence on foreign goods.
2. Contribution of Industry to National
Economy
India’s manufacturing sector contributes around 17% to GDP (as
per NCERT data).
To increase growth, India aims to improve:
o Infrastructure
o Technology
o Skilled workforce
o Global competitiveness
How to improve industrial growth?
FDI (Foreign Direct Investment)
SEZs (Special Economic Zones)
Use of modern tech
Better transport & power supply
3. Classification of Industries
Industries can be classified on various bases:
, A. On the Basis of Raw Material
1. Agro-based industries
– Use agricultural products
– Example: Textile, Sugar, Edible oil, Dairy
2. Mineral-based industries
– Use mineral ores
– Example: Iron & Steel, Cement, Aluminium
B. On the Basis of Ownership
1. Public sector – Owned by government
Example: SAIL, BHEL
2. Private sector – Owned by individuals
Example: TATA, Reliance
3. Joint sector – Government + Private
Example: Oil India Ltd.
4. Co-operative sector – People cooperate
Example: Amul, Sugar cooperatives
C. On the Basis of Capital Investment
1. Small-scale industries – Less investment, small production
Example: Matchsticks, Handloom
2. Large-scale industries – Large investment
Example: Iron & Steel, Automobile, Petrochemicals
D. On the Basis of Labour
1. Labour-intensive – More labour
2. Capital-intensive – More machines
E. On the Basis of Products
Basic industries – Provide raw material
(Iron & Steel, Copper smelting)
Consumer industries – Produce goods for consumers
(FMCG, Textiles, Sugar)
4. Location of Industries
Industries are located where factors are favourable.
Factors Affecting Location
Raw material availability
1. What is Manufacturing?
Manufacturing means producing goods in large quantities from
raw materials to make something more valuable.
Example: Cotton → cloth, Sugarcane → sugar.
It is also called secondary activity because it uses products of
primary activities (farming, mining).
Importance
Adds value to raw materials.
Provides employment to a large population.
Helps in modernizing agriculture by providing fertilizers,
machinery, tools.
Enhances exports and national income.
Reduces dependence on foreign goods.
2. Contribution of Industry to National
Economy
India’s manufacturing sector contributes around 17% to GDP (as
per NCERT data).
To increase growth, India aims to improve:
o Infrastructure
o Technology
o Skilled workforce
o Global competitiveness
How to improve industrial growth?
FDI (Foreign Direct Investment)
SEZs (Special Economic Zones)
Use of modern tech
Better transport & power supply
3. Classification of Industries
Industries can be classified on various bases:
, A. On the Basis of Raw Material
1. Agro-based industries
– Use agricultural products
– Example: Textile, Sugar, Edible oil, Dairy
2. Mineral-based industries
– Use mineral ores
– Example: Iron & Steel, Cement, Aluminium
B. On the Basis of Ownership
1. Public sector – Owned by government
Example: SAIL, BHEL
2. Private sector – Owned by individuals
Example: TATA, Reliance
3. Joint sector – Government + Private
Example: Oil India Ltd.
4. Co-operative sector – People cooperate
Example: Amul, Sugar cooperatives
C. On the Basis of Capital Investment
1. Small-scale industries – Less investment, small production
Example: Matchsticks, Handloom
2. Large-scale industries – Large investment
Example: Iron & Steel, Automobile, Petrochemicals
D. On the Basis of Labour
1. Labour-intensive – More labour
2. Capital-intensive – More machines
E. On the Basis of Products
Basic industries – Provide raw material
(Iron & Steel, Copper smelting)
Consumer industries – Produce goods for consumers
(FMCG, Textiles, Sugar)
4. Location of Industries
Industries are located where factors are favourable.
Factors Affecting Location
Raw material availability