NCERT · Class 10 · Social Science · Geography: Manufacturing IndustriesExplain the classification of manufacturing industries on the basis of various criteria such as raw materials, capital investment, ownership, and bulk and weight of finished goods. Also, discuss the major factors influencing the location of these industries.

Classification of Manufacturing Industries\nManufacturing industries are vital for the economic development of a country. They can be classified on several bases to understand their nature, scale, and operational requirements:

• 1. On the Basis of Source of Raw Materials:

  • Agro-based Industries: These industries obtain their raw materials from agricultural products. Examples include cotton, woollen, jute, silk textile, rubber, tea, coffee, and edible oil.
  • Mineral-based Industries: These industries use minerals as their raw materials. Iron and steel, cement, machine tools, and petrochemicals are prime examples.

• 2. According to their Main Role:

  • Basic or Key Industries: These supply their products or raw materials to manufacture other goods. Examples include iron and steel, and copper smelting.
  • Consumer Industries: These produce goods directly for consumers. Examples are sugar, toothpaste, paper, sewing machines, and fans.

• 3. On the Basis of Capital Investment:

  • Small Scale Industry: If the investment is up to a certain monetary limit (defined by the government periodically, usually measured in crores of rupees currently), it is classified as a small-scale industry. These are labor-intensive.
  • Large Scale Industry: If the investment exceeds the specified limit of small-scale industries, it is categorized as a large-scale industry.

• 4. On the Basis of Ownership:

  • Public Sector: Owned and operated by government agencies, such as BHEL, SAIL, etc.
  • Private Sector: Owned and operated by individuals or a group of individuals, such as TISCO, Bajaj Auto, or Dabur.
  • Joint Sector: Jointly run by the state and individuals or a group, such as Oil India Ltd. (OIL).
  • Cooperative Sector: Owned and operated by the producers or suppliers of raw materials, workers, or both. They pool resources and share profits/losses, such as the sugar industry in Maharashtra, or co-operative coir mills in Kerala.

• 5. Based on Bulk and Weight of Raw Materials and Finished Goods:

  • Heavy Industries: Such as iron and steel, which use heavy and bulky raw materials and produce heavy goods.
  • Light Industries: Which use light raw materials and produce light goods, such as electrical goods industries.

Factors Influencing Industrial Location\nIndustrial locations are complex in nature. They are influenced by the availability of several factors:

• Availability of Raw Materials: Industries are often located near the sources of heavy, weight-losing, or perishable raw materials to minimize transportation costs.
• Labour: Availability of cheap and skilled labor is crucial for labor-intensive industries.
• Capital: Huge capital is required for setting up modern manufacturing plants; hence, proximity to banking and financial institutions is important.
• Power: Continuous supply of electricity and other power resources is mandatory for running heavy machinery.
• Market: Proximity to markets ensures that finished goods can be sold quickly without incurring exorbitant distribution costs.
• Transport and Communication: Efficient networks of roadways, railways, waterways, and communication facilities are indispensable for moving raw materials and finished products.