Industries in India

7/26/2019 Industries in India

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I. On the Basis of Strength of Labour:

1. Large Scale Industry:

Industries which employ a large number of labourers in each unit are called large-scale

industries. Cotton or jute textile industries are large scale industries.

2. Medium Scale Industries:

The industries which employ neither very large nor very small number of labourers are put in thecategory of medium scale industries. Cycle industry, radio and television industries are someexamples of medium scale industries.

3. Small Scale Industries:

Industries which are owned and run by individuals and which employ a small number of

labourers are called small scale industries.

II. On the Basis of Ra!Material and "inished #oods:

Industries classified on the basis of raw materials and finished goods are:

1. $ea%y Industries:

Industries which use heavy and buly raw-materials and produce products of the same categoryare called heavy industries. Iron and steel industry presents a good example of heavy industries.

2. Light Industries:

The light industries use light raw-materials and produce light finished products. !lectric fans,sewing machines are light industries.

III. On the basis of Onershi&:

"ince the start of the planned development of Indian economy in #$%#, industries are divided inthe following four classes:

1. 'ri%ate Sector Industries:

Industries owned by individuals or firms such as &ajaj 'uto or TI"C( situated at )amshedpurare called private sector industries.

2. 'ublic Sector Industries:

Industries owned by the state and its agencies lie &harat *eavy !lectricals +td., or &hilai "teellant or urgapur "teel lant are public sector industries.


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3. (oint Sector Industries:

Industries owned jointly by the private firms and the state or its agencies such as ujarat 'lalies+td., or (il India +td. fall in the group of joint sector industries.

). *o!o&erati%e Sector Industries:

Industries owned and run co-operatively by a group of people who are generally producers ofraw materials of the given industry such as a sugar mill owned and run by farmers are called co-operative sector industries.

I+. On the Basis of Source of Ra Material:

(n the basis of source of raw materials, industries are classified as under:

1. ,gro Based Industries:

'gro based industries are those industries which obtain raw-material from agriculture. Cottontextile, jute textile, sugar and vegetable oil are representative industries of agro-based group ofindustries

2. Mineral Based Industries:

The industries that receive raw materials primarily from minerals such as iron and steel,aluminium and cement industries fall in this category.

3. 'astoral!Based Industries:

These industries depend upon animals for their raw material. *ides, sins, bones, horns, shoes,dairy, etc. are some of the pastoral-based industries.

). "orest Based Industries:

aper card-board, lac, rayon, resin, tanning of leather, leave- utensils, baset industries areincluded in this type of industries.

+. Miscellaneous Industries:

Industries are also classified into the following miscellaneous categories.

1. +illage Industries:

/illage industries are located in villages and primarily cater to the needs of the rural people.They usually employ local machinery such as oil extraction, grain grinding and agriculturalimplements.


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2. *ottage Industries:

Industries which artisans set up in their own houses, wor with wood, cane, brass, stone, etc. arecalled cottage industries. *andloom, hadi and leather wor at the artisans house fall in thiscategory.

3. *onsumer #oods Industries:

Consumer industries convert raw materials or primary products into commodities directly usedby the people. Textiles, baeries, sugar, etc. are some of the consumer goods industries.

). ,ncillary Industries:

The industries which manufacture parts and components to be used by big industries formanufacturing heavy articles lie trucs, buses, railway engines, tractors, etc. are called ancillaryindustries.

-. Basic Industries:

Industries on which depend many other industries for their manufacturing processes are calledbasic industries. Iron and steel industry and power generating industry are included in thiscategory.

. *a&ital!Intensi%e Industries:

Industries re0uiring huge investments are called capital-intensive industries. Iron and steel,cement and aluminium are outstanding examples of capital-intensive industries.

/. Labour!Intensi%e Industries:

Industries which re0uire huge labour force for running them are called labour-intensiveindustries. In these industries, labour is more important than capital. "hoe- maing and bidi-manufacturing, etc. are included in these industries.

The different industry sectors of Indiawitnessed astronomical growth over the last #% years.This growth of the different industry sectors of India is attributed to the overnment of Indianliberal economic policy.

reviously, the Indian economy was of closed type and the government enterprises controlled allIndian maret. The post #$$1 overnment of India economic policy endorsed a complete


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different economic policy and opened its maret for foreign investments. This saw a horde of 2IImaing inroads to Indian marets. 's a result of which different industry sectors of India madehuge progress, both technologically and economically.

0he main features of the im&ortant sectors of Indian economy 2/!2 are as follos !

Indian industry !

#34 production sharing contracts awarded in etroleum and 5atural as

"6!s has witnessed increase in outstanding credit from 7 #8%,411 crore to 7 #98,31

crore

Indian ser%ice sector !

2oreign Trade and 6erchandise exports expected to cross ;"s differential rate of interest scheme providing finance at the rate of ? to weaer

sections

=egional =ural &ans to open at least one branch in @1 uncovered districts in 4119-1@

*ousing loans are extended to the weaer sections

!xclusive health insurance scheme for senior citiAens

'5 to be made sole identification number for all participants of capital maret

Indian agriculture sector !

2arm credit target of 7 44%,111 crore for 4119-1@ has been set with an addition of %1 lah

new farmers to the baning system 8% projects have been completed in 4113-19 and additional irrigation potential of $11,111

hectares to be created

Training of 2armers arranged


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&ased on study to be conducted, a pilot programme to be implemented for delivering

subsidy directly to farmer.

+oan facilitation through 'gricultural Insurance, 5ational &an for 'griculture and =ural

evelopment

Corpus of =ural Infrastructure evelopment 2und to be raised

In%estments !

ross domestic capital formation in 411%-13 grew by 48.9?B in 'pril- )anuary, 4113-19,

foreign direct investment amounted to ;" also gatheringmomentum.

't present, the sugar industry in Tamil 5adu stands in a total mess similar to that of the

other rural industries. The sugar industry had faced a boom in the #$@1s but the crisis erastarted from #$$1, all after the economic liberaliAation. ith the surge in the procurementprice of sugarcane, surplus production and reduction in the open maret sugar price,directed the industry and the sugar factories, thereafter to have a glut of stocs.

't present the Tamil 5adu sugar industry comprises of # "ugar 6ills in Tamil 5adu,with #3 of them in the co-operative sector, 8 sugar mills in public sector and 44 "ugar6ills in the private sector. 't present, around 8@ "ugar 6ills are operational, while 8mills viA. 6adurantaam Co-operative "ugar 6ill Dfrom 411#-14 seasonE 6adura "ugarsDfrom 4114-18 seasonE and 'runachalam "ugar 6ills Dfrom 4118-1 seasonE havestopped functioning.

Sugar &roduction in 0amil 5adu


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8ear,rea registered

9Lah $ectare;

Sugarcane crushed

9LM0;

Sugar &roduced

D+6TEReco%ery s health is improvedB or personal services,such as when a hairstylist cuts a consumer>s hair. ' change to an organiAation is a third type oftransformation involved in the service industry. 2or instance, a management consulting firm maymae changes to an organiAation>s structure or business processes to improve it. The final set ofjobs in this categoriAation captures those professions in which there is no apparent object. 2orexample, when an attorney provides legal representation to a client, or in professional sportscompetitions a service is provided, even though no specific object can be identified.

*(T!+ I5;"T=O

$otels in India> have supply of ##1,111 rooms. 'ccording to the tourism ministry, . million

tourists visited India last year and at current trend, demand will soar to #1 million in 41#1 - to

accommodate 8%1 million domestic travelers. >*otels in India> has a shortage of #%1,111 rooms

fueling hotel room rates across India. ith tremendous pull of opportunity, India is a destination

for hotel chains looing for growth. The orld Travel and Tourism Council, India, data says,

India rans #@th in business travel and will be among the top % in this decade. "ources estimate,

demand is going to exceed supply by at least #11? over the next 4 years. 2ive-star hotels in

metro cities allot same room, more than once a day to different guests, receiving almost 4-hour

rates from both guests against 3-@ hours usage. ith demand-supply disparity, >*otel India> room

rates are most liely to rise 4%? annually and occupancy to rise by @1?, over the next two years.

>*otel Industry in India> is eroding its competitiveness as a cost effective destination. *owever,

the rating on the >Indian *otels> is bullish.

>India $otel Industry> is adding about 31,111 0uality rooms, currently in different stages of

planning and development and should be ready by 41#4. 65C *otel Industry giants are flocing

India and forging )oint /entures to earn their share of pie in the race. overnment has approved811 hotel projects, nearly half of which are in the luxury range. "ources said, the manpower

re0uirements of the hotel industry will increase from 9 million in 4114 to #% million by 41#1.

ith the ;" 48 billion software services sector pushing the Indian economy sywards, more

and more IT professionals are flocing to Indian metro cities. >$otel Industryin India> is set to

grow at #%? a year. This figure will syrocet in 41#1, when elhi hosts the Commonwealth


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ames. 'lready, more than %1 international budget hotel chains are moving into India to stae

their turf. Therefore, with opportunities galore the future >"cenario of Indian *otel Industry>

loos rosy.

07L7*OM I564S0R8

The growth in communication industry was triggered by an increase in the revenues generatedfrom both landline and mobile facilities. 's per the &usiness 6onitor International report, thenation is all set to include @ to #1 million cellular phone subscribers on monthly basis. 't thispace the communication industry is expected to encompass more than half of India>s populationi.e. 3#4 million cellular phone subscribers by mid 41#4.

In addition, as per a research carried out by 5oia, the communications sector is estimated tosurface as the biggest driving component in India>s with a contribution of about #%.? bythe 2O41#.

?ey 'layers in Indian *ommunication Industry

ith the coming in of several new players the level of competition has increased, tremendouslyin the telecom industry in India.Currently the industry is witnessing as many as #% players.'ccording to the latest data by Telecom =egulatory 'uthority of India of "eptember 81, 41#1, itis &harti 'irtel that is leading the communication sector in India with 41.@ per cent maret share,followed by =eliance Communicationwhich holds #9.# per cent maret share, /odafonewith

#3.@ per cent maret share, &"5+with ##. per cent maret share, Tata with##.% per cent, Ideawith #1.@ per cent and 'ircel holding 3.@ per cent. The remaining maret share is held by theother small players that are relatively new in the industry.

Re%enue and 'rofit of 0o& *om&any for year 21

*om&any Re%enue 'rofit

&harti 'irtel


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's per a research conducted by F6, the Indian mobile value-added services D6/'"E reached;"< 4.% billion in 2O ecember 41#1. /alue-'dded "ervices account for almost #1 percent ofthe total revenues earned by the wireless industry. 2urthermore the revenues earned by /'" aregoing to increase by almost #4-#8 per cent by the end of 41##. To benefit from the emerging6/'" maret in India, =eliance Communications and &harti 'irtel +imited are all set to

introduce online cellular phone applications in Indian retail stores.

India as an emerging telecom e@ui&ment manufacturing Maret

The manufacturing of Cellular phone in India is predicted to expand at an annual rate of [email protected]?till the 2O 41##. The production would automatically generate profits and is predicted to increaseat an annual rate of 43.3? till 41##, reaching the target of ;"#8.9 billion.

*hief In%estments in the *ommunication Industry in India

(ver the past one decade, the flourishing Indian Communication industry has been successful in

drawing the attention of conglomerates that have invested and are willing to invest more in thesector. ith the influx of new telecom giants in Indian maret, the investments are liely to gainimmense momentum:

's per data published by the epartment of Industrial olicy and romotion DIE, the

communications industry in India received foreign direct investment D2IE of about ;"

Industries in India

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