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Manufacturing Industries – Classification Of Industries

Classification Of Industries : 

(i) Industries are classified on the basis of the following criteria

  • On the Basis of Raw Materials used
  • Agro-based Industries – Cotton, woollen, jute, silk textile, rubber, sugar, tea, coffee and edible oil.
  • Mineral-based Industries – Iron and steel, cement, aluminium, machine tools, petrochemicals.
  • (ii) On the Basis of Role Played by them
  • Basic or key industries – Industries which supply their products as raw materials to other industries, e.g. iron and steel, copper smelting, aluminium smelting.
  • Consumer industries – Industries which produce goods for direct consumer use. e.g. sugar, paper, toothpaste, sewing machines, fans etc.
  • (iii) On the Basis of Capital Investment.
  • Small scale industry – Industries with Investment upto 1 crpre
  • Large scale industry – Industries with Investment above 1 crore.
  • (iv) On the Basis of Ownership
  • Public sector – Owned and operated by government agencies e.g. BHEL, SAIL etc
  • Private sector – Owned and operated by individuals or a group of individuals e.g. TISCO, Bajaj Auto Ltd, Dabur Industries.
  • Joint sector venture – Jointly run by the state and individuals or4a group of individuals e.g. Oil India Ltd (OIL).
  • Cooperative sector-Owned and operated by the producers or suppliers of raw materials, workers or both. They pool in the resources and share the profits or losses proportionately such as the sugar industry in Maharashtra, the coir industry in Kerala.
  • (v) On the Basis of the Bulk and Weight of Raw Material and Finished Goods
  • Heavy industries-Industry in which large machines and heavy or bulky raw materials are used to produce products which are heavy or bulky, including capital goods like automobiles and construction machinery.
  • Light industries-Industries that produce light utility goods. Electrical industries, toy industry.

TYPES OF INDUSTRIES ON THE BASIS OF MATERIAL USED

As per the syllabus, here we are discussing industries on the basis of material used. They are agro-based and mineral based industries.

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