Classify industries on the basis of source of raw material. How are they different from each other?

Classify industries on the basis of source of raw material. How are they different from each other?

Answer:
On the basis of sources of raw material industries are classified as:

  • Agro based: Agro based industries draw their raw materials from agricultural products.
    For example, Textiles, Sugar, Coffee, Tea and Edible Oil, etc.
  • Mineral based: Mineral based draw their raw material from minerals.
    For example, Iron and Steel industries, cement, machine holes, petrochemicals, etc.