- SECONDARY ACTIVITIES:
Secondary Economic Activity is when natural resources are manufactured ,refined and processed to produce the finished goods. Activities involved in the secondary include metal working , smelting ,textile production , chemical production and engineering.
Steel is produced throughout the country in several steel industries.This is a popular form of employment but certain skills are required to run the machines and produce the finished good.
Another noticeably successful secondary economic activity within the country is the textile industry. This is mainly carried out by women and curtains , clothes blankets etc are made from natural resources .eg. wool.
The secondary sector is becoming more popular than the primary sector as new inventions and ideas are formed which allows more income to come into the country.
🔸️Classification of manufacturing industries:
Industries based on Size :
The amount of capital invested, the number of workers employed and the volume of production determine the size of the industry. Consequently, industries may be divided into household or cottage, small-scale and large-scale. The size of an industry is determined on the basis of investment, number of workers employed, amount of output produced ,on the basis of size, industry can be classified as follows:
• Household industries or cottage manufacturing:
cottage industries uses local raw material, simple tools ,and household labour or some part time labour from outside .these Industries Manufacture products for day to day life such as food items, mats ,and shoes. cottage industries are present mostly in developing countries.
The workers or artisans use local raw materials and simple hand tools to produce daily use goods in their houses with the assistance of their family or part-time job. Finished products can be used for consumption in the same household or, for sale in local markets, or used as barter. Property and transportation do not exercise much influence as this type of manufacturing has low economic significance, and most of the tools are made locally.
• Small scale industries:
these industries are distinguished from cotton industries on the g round by its production techniques and place of manufacture . This type of production uses local raw material, easy power-operated machines and semi-skilled workers. It provides employment and promotes regional purchasing power. Therefore, countries like India, Indonesia, China and Brazil, etc. have developed labour-intensive small scale manufacturing to employ their population.
▪︎ separate place of manufacture other than household
▪︎ involvement of some sort of scientific production techniques .
small scale industries generate employment for the people in their native regions.
• Large Scale Manufacturing :
These industry requires a large amount of investment and high level of Technology and employment.
Large scale production involves a large market, several raw materials, tremendous energy, specialised operators, superior technology, large capital and assembly-line mass production. in West Europe large scale industries started around the beginning of 19th century at present this industry has moved to various part of the world.This kind of production developed in the last 200 years, in the UK, Europe and the northeastern U.S.A. Now it has spread in almost all over the world.
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🔸️ industries based on Inputs or raw materials:
• Agro-based industries:
Agro-processing includes the processing of raw elements from the fields and the farms into finished products for rural and urban businesses. these industries are located near the source of raw material because agriculture output is perishable in nature. once the raw material is processed, it can be transferred to distant areas without much risk of damage. for instance, Sugar Mills, processed foods Industry ,etc .are agro based.
Major agro-processing industries are food processing, sugar, fruit juices, pickles, spices, beverages and oils fats and textiles , rubber, etc.
• Mineral based Industries – These industries use minerals as raw material. these industries are located near the source of raw material .the raw materials used are bulky and may experience loss in value on account of their transportation. for instance ,iron and steel, copper, zinc, aluminium ,etc. are mineral based industries.Some enterprises utilise metallic minerals which contain ferrous (iron), such as iron and steel industries but some utilize non-ferrous metallic minerals, such as copper, aluminium and jewellery industries..
• Chemical based industries:
This industries are preferably located near the places of High connectivity and markets.chemical minerals; for example, mineral-oil (petroleum) is used in the petrochemical industry. Slats, sulphur and potash, are some natural minerals used in industries. Chemical industries are dependent on raw materials obtained from coal and wood. Synthetic fibre, plastic, etc. are some examples of chemical-based industries.
• passengers vehicle industries:
Passenger vehicle industry is segmented on the basis of model type and fuel type. Model type segment is further categorized into hatchback, sedan and SUV. Among these segments hatchback model acquired maximum share of total passenger vehicles sales in India. This industry is situated in places that are connected to other places of the country for instance the Maruti plant in Gurgaon Ford plant in Chennai etc.
🔸️ Industries on the basis of outputs:
• Intermediate goods industry:
Intermediate goods, producer goods or semi-finished products are goods, such as partly finished goods, used as inputs in the production of other goods including final goods. A firm may make and then use intermediate goods, or make and then sell, or buy then use them. these goods are sold for further resale or for the production of Other goods .one example of an intermediate good is salt ,a product that is directly consumed and is also used manufacture food products. these industries are located near the source of raw material.
▪︎ consumer goods industry:
The consumer goods industries manufactured goods which are utilised by consumers directly. For example, industries producing bread and biscuits, tea, soaps and toiletries, televisions, paper for writing, etc. are consumer goods or non-basic industries. These Industries produce goods for the conception of and customers, for example furniture ,passenger cars, Textiles ,etc.this industries are located near market or places that are connected to various parts of the country.
- TERTIARY ACTIVITIES:
The tertiary sector of industry involves the provision of services to other businesses as well as final consumers. Services may involve the transport, distribution and sale of goods from producer to a consumer, as may happen in wholesaling and retailing, pest control or entertainment. The goods may be transformed in the process of providing the service, as happens in the restaurant industry. However, the focus is on people interacting with people and serving the customer rather than transforming physical goods.It is sometimes hard to define whether a given company is part and parcel of the secondary or tertiary sector. Services are also defined as goods that cannot be seen or touched.
Factors responsible for location of services:
The location of service centre is determined by two important factors availability of consumers and skilled manpower to deliver services however Information Technology offers flexibility to deliver some of the services from even remote locations.
• Business process outsourcing or BPOs:
Business process outsourcing (BPO) is a method of subcontracting various business-related operations to third-party vendors. BPO refers to the assignment of some industrial processes to other business units. this processes can be assigned to reduce cost, brings operational efficiency, etc.
Although BPO originally applied solely to manufacturing entities, such as soft drink manufacturers that outsourced large segments of their supply chains, BPO now applies to the outsourcing of services, as well. BPO are located in developing Nations due to the low cost of skilled human resources in these nations. in developing Nations ,BPO units are located in the urban areas on account of larger availability of skilled english-speaking workforce.
▪︎ Major trading centres of the world:
Some of the major trading centres of the world are Singapore ,Dubai ,new York, Mumbai etc. factors determining location of these trading Centre as follows:
• Location on important sea route .
• liberal policies of the government, which facilitate foreign trade .
• availability of financial services.
• easy conversion of currency.
• large investment of in Port facilities and shipping services.
🔸️ factors governing location of industries:
☆ Access to market:
The existence of market for manufacture good is the most important factor in the location of industries. Market means people who have a demand for these goods and also have the purchasing power to be able to purchase from the seller At a place.
Some industries are preferably established near the final consumers for example furniture industry ,textile industry ,
Forticulture ,Horticulture etc.
Many industries are located near the large urban Centre because the concentration of population in those areas ensures readily available in market. Densely populated regions of south and South East Asia also provide large market such as aircraft manufacturing ,have a global market, the arms industry also have Global markets.
☆ Acess to raw materials:
Raw materials are one of the important factors in an industrial location. The mere location of industries itself may be determined by the availability or location of the raw materials. Raw material used by industries should be cheap and easy to transport raw material at the basic in requirement for manufacturing industries . Some raw material lose weight during processes but others do not. Some industries are preferably established near the source of raw materials especially when the raw material is bulky, perishable, and reduce in value with passage of time, for example sugar ,iron and steel, aluminium Industries ,etc.
Establish of iron and steel industry in Japan and cotton textile industry in Liverpool prove that the multinationals and countries with sufficient capitals can manipulate the mean of transportation in their favour and obtain raw material.
☆ Access to labour supply :
The availability of both unskilled and skilled, or technically qualified manpower, is an important factor in the location of industries.
Unskilled labour is easily available in urban locations due to large rural-urban migration. One characteristic feature of the labour factor is its mobility. The industrial belt around Mumbai attracts labour from all over the country. Some of the small scale industries traditionally associated with labour is glasswork (Ferozabad), brass-work (.Moradabad), utensils (Yamunanagar in Haryana), silk sarees (Varanasi), carpets (Mirzapur), etc.
Some business units are established near the source of large labour supply .as a result these units are set up in high population density areas.
☆ amount of investment:
It investment required a large ,very few units are established that cater to large Geography . these units are well connected to other parts of the country .for example iron and steel Industries, auto mobile industries etc. On the other hand, if investment required is a small, the units are established in various parts of the country to minimize the cost of transportation. for instance ,cotton textile industry, furniture industry etc.
▪︎ Government policy:
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A government policy statement is a declaration government’s political activities, plans and intentions relating to a concrete cause or, at the assumption of office, an entire legislative session. In certain countries they are announced by the head of government or a minister of the parliament. In constitutional monarchies this function may be fulfilled by the Speech from the Throne.
Government policies such as tax exemption and availability of infrastructure determines the location of industries.
▪︎ Ancillary industry:
Ancillary industry is an industry which has fixed investment in plant and machines that do not exceed.Ancillary industry manufactures parts, components, sub-assemblies, tools, intermediates, machines etc.
Any heavy industry depends on the machinery for its work to progress; the heavy industry always require support of ancillary industry. Ancillary industry exists near the main industry .for example, cycle parts industry is located in proximity to cycle industry.
🔸️ Factors responsible for the location of iron and steel industry:
The establishment, development and concentration of iron and steel industry requires many things. It must collect raw material and power resources to produce things. It requires finances, machinery and labour to keep it running. It requires a market to sell its produce and above all it requires transport facilities. Raw materials used in the iron and steel industry are bulky in nature and lose weight during transportation .the output of the industry is required across the country .as a result , the industries located near the source of raw materials.Raw material and power resources are key components of the establishment, development and concentration of iron and steel industry. Many of the world’s famous steel centres of today have had their inception during the 19th and early 20th centuries at the places where iron ore and/or coal were available. all the raw materials and energy resources used to manufacture iron and steel are localised and impure or weight-losing material. So, the Weberian concept reveals that coal area is the most suitable location,as far as transport costs are concerned.
Initially, iron and steel plants had a clear tendency towards coal areas. But, with the passage of time, new technologies were introduced which were, on the one hand, fuel saving, and on the other hand, the requirement of iron ore volume also came down. Most of the iron and steel Industries concentrated in crescent shaded region comprising parts of Chhattisgarh Nagar and Odisha, Jharkhand, and western West Bengal. these reasons is rich in iron or cool and other essential raw material such as water, power etc.
▪︎Tisco ,Jharkhand
▪︎Rourkela, Odisha
▪︎ Bhilai,Chhattisgarh
▪︎Durgapur ,West Bengal
The energy to these plants is provided from other resources such as hydroelectricity .for instance ,the Visvesvaraya iron and steel plant in Bhadravathi ,Karnataka, is supplied electricity from the Jog Falls hydroelectric power plant.
apart from large plant small plants convert scrap into iron and steel products. this plant are located throughout the country .
🔸️ factors responsible for the location of cotton textile industry:
Cotton is a non perishable raw material with no weight loss when converted to yarn or textile and so proximity to source of raw materials doesn’t bring any benefit. The factors that determine the location of cotton industry are labor, proximity to markets, energy supply and availability of capital or finance. Climate to is a factor as dry climate not suitable for mass production as cotton threads break and manually have to be joined again.Similar factors led to the development of textile industry in Mumbai and Japan. Both regions had black cotton soil needed for manufacturing short, medium staple cotton. Port location in both these areas made import of cotton staple and export of finished textiles suitable. The presence of skilled labor in Mumbai and connectivity via road, rail and sea was present. Energy needs were met and water too was present for dyeing and bleaching. Population in Mumbai was high so market for the textiles existed. The capital needed for investment was obtained by huge profits earned during American Civil War. As a result, other factors such as market ,availability of cheap labour ,and capital decide the location of the Cotton Industry. Thus, most of the cotton textile industry is located in urban areas .
the first Cotton Industry was established in 1854 in Mumbai because of the following reasons:
places
▪︎ nearness to market
▪︎ close proximity with Gujarat, which was the major cotton producing area
▪︎ availability of investment
▪︎ work force availability
at present, the cotton textile industry is located in every state of India.
However dependence on foreign colonies for raw materials cost it. After the World Wars the dominant position in the colonies was gone and market was no longer available. Cheaper textiles were obtained from other Asian colonies and Britain textiles industry no longer got larger orders. The Business moved towards more profitable businesses like light engineering, ship building and heavy chemicals.
🔸️ factors responsible for the location of sugar industry:
Sugar industry is the second most important agro based industry after the Cotton Industry .India is the largest producer of sugarcane and sugar and contributes about 8% of the total sugar production in the world.Sugar industry is broadly distributed over two major areas of production- Uttar Pradesh, Bihar, Haryana and Punjab in the north and Maharashtra, Karnataka, Tamil Nadu and Andhra Pradesh in the south.
South India has tropical climate which is suitable for higher sucrose content giving higher yield per unit area as compared to north India. Sugar industry is a seasonal industry because of the seasonal availability of raw materials. in 1903 ,sugar industry was set up for the first time in Bihar .at present, Maharashtra has emerged as a leading producer of sugar and produces more than one third of the total sugar produced in the country.
Sugar production commenced in 1920’s but it got industry status in late 20’s/early 30’s when India had 29 sugar mills producing just 100,000 tons of sugar. The industry, facing competition from imported sugar, sought tariff protection. Sugar production picked up under the Sugar Industry Protection Act passed in 1932 and country became self sufficient in 1935. Also cane pricing act was enforced to provide good cane price to farmer. This was followed by land reforms putting ceiling on land holdings to protect small farmers, formation of cane grower cooperatives and setting up of sugar mills jointly with farmers called as cooperative mills on ownership and sharing basis. Today this sector produces 60% of country’s production.
Sugarcane is a weight losing crop. the ratio of sugar to sugarcane varies between 9% and 12% depending on the variety of sugarcane .the best recovery of sugar is dependent on the crushing of harvest sugarcane within 24 hours .sugar industries located near sugar cane farm.
🔸️ factors responsible for the location of petrochemical industry:
Petrochemical industry is located near coastal regions because most of crude oil used in India is imported from abroad. Jamnagar , Gujarat ,is the largest oil refinery in India .it was established by Reliance Petroleum .In the petrochemical industry, the organic chemicals produced in the largest volumes are methanol, ethylene, propylene, butadiene, benzene, toluene, and xylenes. Ethylene, propylene, and butadiene, along with butylenes, are collectively called olefins, which belong to a class of unsaturated aliphatic hydrocarbons having the general formula CnH2n. Olefins, aromatics, and methanol are precursors to a variety of chemical products and are generally referred to as primary petrochemicals. Given the number of organic chemicals and the variety and multitude of ways by which they are converted to consumer and industrial products, this report focuses primarily on these seven petrochemicals, their feedstock sources, and their end uses. The inland Refineries processor mainly domestically produced crude oils ,which has little in quantity. Mathura ,Uttar Pradesh, is an important in refinery in India.
🔸️ factors responsible for the location of IT industry:
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Information Technology in India is an industry consisting of two major components: IT services and business process outsourcing (BPO).[1] The sector has increased its contribution to India’s GDP from 1.2% in 1998 to 7.7% in 2017.[2] According to NASSCOM, the sector aggregated revenues of US$180 billion in 2019,[3][4] with export revenue standing at US$99 billion and domestic revenue at US$48 billion, growing by over 13%. As of 2020, India’s IT workforce accounts for 4.36 million employees. The information technology workforce is connected to customers and suppliers throughout the world with the help of the internet. The share of IT software and services industry is nearly 2% of GDP. it is expected that the industry will grow further because of its ability to deliver services at low cost. the primary consideration of the location of IT industry is availability of a skilled personnel. as a result, it Industries preferably located in Metropolitan cities.
