Explain the classification of Industries?
Industries can be classified into several groups :
On the Basis of Strength of Labour:
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.
Medium Scale Industries:
The industries which employ neither very large nor very small number of labourers are put in the category of medium scale industries. Cycle industry, radio and television industries are some examples of medium scale industries.
Small Scale Industries:
Industries which are owned and run by individuals and which employ a small number of labourers are called small scale industries.
On the Basis of Raw-Material and Finished Goods :
Industries classified on the basis of raw materials and finished goods are:
Heavy Industries:
Industries which use heavy and bulky raw-materials and produce products of the same category are called heavy industries. Iron and steel industry presents a good example of heavy industries.
Light Industries:
The light industries use light raw-materials and produce light finished products. Electric fans, sewing machines are light industries.
On the basis of Ownership :
Since the start of the planned development of Indian economy in 1951, industries are divided in the following four classes:
Private Sector Industries:
Industries owned by individuals or firms such as Bajaj Auto or TISCO situated at Jamshedpur are called private sector industries.
Public Sector Industries:
Industries owned by the state and its agencies like Bharat Heavy Electricals Ltd., or Bhilai Steel Plant or Durgapur Steel Plant are public sector industries.
Joint Sector Industries:
Industries owned jointly by the private firms and the state or its agencies such as Gujarat Alkalies Ltd., or Oil India Ltd. fall in the group of joint sector industries.
Co-operative Sector Industries:
Industries owned and run co-operatively by a group of people who are generally producers of raw materials of the given industry such as a sugar mill owned and run by farmers are called co-operative sector industries.
On the Basis of Source of Raw Material :
On the basis of source of raw materials, industries are classified as under:
Agro Based Industries:
Agro based industries are those industries which obtain raw-material from agriculture. Cotton textile, jute textile, sugar and vegetable oil are representative industries of agro-based group of industries.
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.
Pastoral-Based Industries:
These industries depend upon animals for their raw material. Hides, skins, bones, horns, shoes, dairy, etc. are some of the pastoral-based industries.
Forest Based Industries:
Paper card-board, lac, rayon, resin, tanning of leather, leave- utensils, basket industries are included in this type of industries.