On the occassion of Diwali, Harish went to a market with his parents. They purchased shoes and clothes for him. His mother purchased utensils, sugar, tea and diyas (earthen lamps). Harish observed that the shops in the market were flooded with items for sale. He wondered how so many items could be made in such large quantities. His father explained that shoes, clothes, sugar etc. are manufactured by machines in large industries, some utensils are manufactured in small industries, while items like diyas are made by individual artisans in household industry.

Do you have some ideas about these industries?

Production of goods in large quantities after processing from raw materials to more valuable products is called manufacturing. Do you know that paper is manufactured from wood, sugar from sugarcane, iron and steel from iron ore and aluminium from bauxite? Do you also know that some types of clothes are manufactured from yarn which itself is an industrial product?

People employed in the secondary activities manufacture the primary materials into finished goods. The workers employed in steel factories, car, breweries, textile industries, bakeries etc. fall into this category. Some people are employed in providing services. In this chapter, we are mainly concerned with manufacturing industries which fall in the secondary sector.

The economic strength of a country is measured by the development of manufacturing industries.

IMPORTANCE OF MANUFACTURING

Manufacturing sector is considered the backbone of development in general and economic development in particular mainly because-

• Manufacturing industries not only help in modernising agriculture, which forms the backbone of our economy, they also reduce the heavy dependence of people on agricultural income by providing them jobs in secondary and tertiary sectors.
• Industrial development is a precondition for eradication of unemployment and poverty from our country. This was the main philosophy behind public sector industries and joint sector ventures in India. It was also aimed at bringing down regional disparities by establishing industries in tribal and backward areas.
• Export of manufactured goods expands trade and commerce, and brings in much needed foreign exchange.
• Countries that transform their raw materials into a wide variety of finished goods of higher value are prosperous. India’s prosperity lies in increasing and diversifying its manufacturing industries as quickly as possible.

Agriculture and industry are not exclusive of each other. They move hand in hand. For instance, the agro-industries in India have given a major boost to agriculture by raising its productivity. They depend on the latter for raw materials and sell their products such as irrigation pumps, fertilisers, insecticides, pesticides, plastic and PVC pipes, machines and tools, etc. to the farmers. Thus, development and competitiveness of manufacturing industry has not only assisted agriculturists in increasing their production but also made the production processes very efficient.

In the present day world of globalisation, our industry needs to be more efficient and competitive. Self-sufficiency alone is not enough. Our manufactured goods must be at par in quality with those in the international market. Only then, will we be able to compete in the international market.

Classification of Industries
List the various manufactured products you use in your daily life such as - transistors, electric bulbs, vegetable oil, cement, glassware, petrol, matches, scooters, automobiles, medicines and so on. If we classify the various industries based on a particular criterion then we would be able to understand their manufacturing better. Industries may be classified as follows:

On the basis of source of raw materials used:
$\bullet$ Agro based: cotton, woollen, jute, silk textile, rubber and sugar, tea, coffee, edible oil.
$\bullet$ Mineral based: iron and steel, cement, aluminium, machine tools, petrochemicals.

According to their main role:
$\bullet$ Basic or key industries are those which supply their products as raw materials to manufacture other goods e.g. iron and steel and copper smelting, aluminum smelting.
$\bullet$ Consumer industries that produce goods for direct use by consumers - sugar, toothpaste, paper, sewing machines, fans etc.

On the basis of capital investment:
$\bullet$ A small scale industry is defined with reference to the maximum investment allowed on the assets of a unit. This limit has changed over a period of time. At present the maximum investment allowed is rupees one crore.

On the basis of ownership:
$\bullet$ Public sector, owned and operated by government agencies - BHEL, SAIL etc.
$\bullet$ Private sector industries owned and operated by individuals or a group of individuals -TISCO, Bajaj Auto Ltd., Dabur Industries.
$\bullet$ Joint sector industries which are jointly run by the state and individuals or a group of individuals. Oil India Ltd. (OIL) is jointly owned by public and private sector.
$\bullet$ Cooperative sector industries are 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 examples are the sugar industry in Maharashtra, the coir industry in Kerala.

Based on the bulk and weight of raw material and finished goods:
$\bullet$ Heavy industries such as iron and steel
$\bullet$ Light industries that use light raw materials and produce light goods such as electrical goods industries.

Activity Classify the following into two groups on the basis of bulk and weight of raw material and finished goods.
(i) Oil
(ii) Knitting needles
(iii) Brassware
(iv) Fuse wires
(v) Watches
(vi) Sewing Machines
(vii) Shipbuilding
(viii) Electric Bulbs
(ix) Paint brushes
(x) Automobiles

Agro-based Industries

Cotton, jute, silk, woollen textiles, sugar and edible oil, etc. industries are based on agricultural raw materials.

Fig. 6.1: Value addition in the textile industry

Textile Industry: The textile industry occupies unique position in the Indian economy, because it contributes significantly to industrial production, employment generation and foreign exchange earnings. It is the only industry in the country, which is self-reliant and complete in the value chain i.e., from raw material to the highest value added products.

Cotton Textiles: In ancient India, cotton textiles were produced with hand spinning and handloom weaving techniques. After the $18^{\text {th }}$ century, power-looms came into use. Our traditional industries suffered a setback during the colonial period because they could not compete with the mill-made cloth from England.

• The first successful textile mill was established in Mumbai in 1854.
• The two world wars were fought in Europe, India was a British colony. There was a demand for cloth in U.K. hence, they gave a boost to the development of the cotton textile industry.

In the early years, the cotton textile industry was concentrated in the cotton growing belt of Maharashtra and Gujarat. Availability of raw cotton, market, transport including accessible port facilities, labour, moist climate, etc. contributed towards its localisation. This industry has close links with agriculture and provides a living to farmers, cotton boll pluckers and workers engaged in ginning, spinning, weaving, dyeing, designing, packaging, tailoring and sewing. The industry by creating demands supports many other industries, such as, chemicals and dyes, packaging materials and engineering works.

While spinning continues to be centralised in Maharashtra, Gujarat and Tamil Nadu, weaving is highly decentralised to provide scope for incorporating traditional skills and designs of weaving in cotton, silk, zari, embroidery, etc. India has world class production in spinning, but weaving supplies low quality of fabric as it cannot use much of the high quality yarn produced in the country. Weaving is done by handloom, powerloom and in mills.

The handspun khadi provides large scale employment to weavers in their homes as a cottage industry.

Why did Mahatma Gandhi lay emphasis on spinning yarn and weaving khadi?

Why is it important for our country to keep the mill sector loomage lower than power loom and handloom?

Jute Textiles

India is the largest producer of raw jute and jute goods and stands at second place as an exporter after Bangladesh. Most of the mills are located in West Bengal, mainly along the banks of the Hugli river, in a narrow belt.

The first jute mill was set up near Kolkata in 1855 at Rishra. After Partition in 1947, the jute mills remained in India but three-fourth of the jute producing area went to Bangladesh (erstwhile East Pakistan).

India: Distribution of cotton, woollen and silk industries

Factors responsible for their location in the Hugli basin are: proximity of the jute producing areas, inexpensive water transport, supported by a good network of railways, roadways and waterways to facilitate movement of raw material to the mills, abundant water for processing raw jute, cheap labour from West Bengal and adjoining states of Bihar, Odisha and Uttar Pradesh. Kolkata as a large urban centre provides banking, insurance and port facilities for export of jute goods.

Sugar Industry

India stands second as a world producer of sugar but occupies the first place in the production of gur and khandsari. The raw material used in this industry is bulky, and in haulage its sucrose content reduces. The mills are located in Uttar Pradesh, Bihar, Maharashtra, Karnataka, Tamil Nadu, Andhra Pradesh, Gujarat, Punjab, Haryana and Madhya Pradesh. Sixty per cent mills are in Uttar Pradesh and Bihar. This industry is seasonal in nature so, it is ideally suited to the cooperative sector. Can you explain why this is so?

In recent years, there is a tendency for the mills to shift and concentrate in the southern and western states, especially in Maharashtra, This is because the cane produced here has a higher sucrose content. The cooler climate also ensures a longer crushing season. Moreover, the cooperatives are more successful in these states.

Mineral-based Industries

Industries that use minerals and metals as raw materials are called mineral-based industries. Can you name some industries that would fall in this category?

Iron and Steel Industry

The iron and steel industry is the basic industry since all the other industries - heavy, medium and light, depend on it for their machinery. Steel is needed to manufacture a variety of engineering goods, construction material, defence, medical, telephonic, scientific equipment and a variety of consumer goods.

Activity
Make a list of all such goods made of steel that you can think of.

Production and consumption of steel is often regarded as the index of a country’s development. Iron and steel is a heavy industry because all the raw materials as well as finished goods are heavy and bulky entailing heavy transportation costs. Iron ore, coking coal and lime stone are required in the ratio of approximately $4: 2: 1$. Some quantities of manganese, are also required to harden the steel. Where should the steel plants be ideally located? Remember that the finished products also need an efficient transport network for their distribution to the markets and consumers.

India: Iron and Steel Plants

Chhotanagpur plateau region has the maximum concentration of iron and steel industries. It is largely, because of the relative advantages this region has for the development of this industry. These include, low cost of iron ore, high grade raw materials in proximity, cheap labour and vast growth potential in the home market.

Aluminium Smelting

Aluminium smelting is the second most important metallurgical industry in India. It is light, resistant to corrosion, a good conductor of heat, malleable and becomes strong when it is mixed with other metals. It is used to manufacture aircraft, utensils and wires. It has gained popularity as a substitute of steel, copper, zinc and lead in a number of industries.

Fig. 6.3: Strip coasting mill at smelter of NALCO

Aluminium smelting plants in the country are located in Odisha, West Bengal, Kerala, Uttar Pradesh, Chhattisgarh, Maharashtra and Tamil Nadu.

Bauxite, the raw material used in the smelters is a very bulky, dark reddish coloured rock. The flow chart given below shows the process of manufacturing aluminium. Regular supply of electricity and an assured source of raw material at minimum cost are the two prime factors for location of the industry.

Chemical Industries

The Chemical industry in India is fast growing and diversifying. It comprises both large and small scale manufacturing units. Rapid growth has been recorded in both inorganic and organic sectors. Inorganic chemicals include sulphuric acid (used to manufacture fertilizers, synthetic fibres, plastics, adhesives, paints, dyes stuffs), nitric acid, alkalies, soda ash (used to make glass, soaps and detergents, paper) and caustic soda. These industries are widely spread over the country.

Why do you think it is so?

Organic chemicals include petrochemicals, which are used for manufacturing of synthetic fibers, synthetic rubber, plastics, dye-stuffs, drugs and pharmaceuticals. Organic chemical

plants are located near oil refineries or petrochemical plants.

The chemical industry is its own largest consumer. Basic chemicals undergo processing to further produce other chemicals that are used for industrial application, agriculture or directly for consumer markets. Make a list of the products you are aware of.

Fertilizer Industry

The fertilizer industry is centred around the production of nitrogenous fertilizers (mainly urea), phosphatic fertilizers and ammonium phosphate (DAP) and complex fertilizers which have a combination of nitrogen $(\mathrm{N})$, phosphate $(\mathrm{P})$, and potash $(\mathrm{K})$. The third, i.e. potash is entirely imported as the country does not have any reserves of commercially usable potash or potassium compounds in any form.

After the Green Revolution the industry expanded to several other parts of the country. Gujarat, Tamil Nadu, Uttar Pradesh, Punjab and Kerala contribute towards half of the fertilizer production. Other significant producers are Andhra Pradesh, Odisha, Rajasthan, Bihar, Maharashtra, Assam, West Bengal, Goa, Delhi, Madhya Pradesh and Karnataka.

Cement Industry

Cement is essential for construction activity such as building houses, factories, bridges, roads, airports, dams and for other commercial establishments. This industry requires bulky and heavy raw materials like limestone, silica and gypsum. Coal and electric power are needed apart from rail transportation.

Activity
Where would it be economically viable to set up the cement manufacturing units?

The industry has strategically located plants in Gujarat that have suitable access to the market in the Gulf countries.

Activity
Find out where the plants are located in other States of India. Find their names.

Automobile Industry

Automobiles provide vehicle for quick transport of good services and passengers. Trucks, buses, cars, motor cycles, scooters, three-wheelers and multi-utility vehicles are manufactured in India at various centres. After the liberalisation, the coming in of new and contemporary models stimulated the demand for vehicles in the market, which led to the healthy growth of the industry including passenger cars, two and three-wheelers. The industry is located around Delhi, Gurugram, Mumbai, Pune, Chennai, Kolkata, Lucknow, Indore, Hyderabad, Jamshedpur and Bengaluru.

Information Technology and Electronics Industry

The electronics industry covers a wide range of products from transistor sets to television, telephones, cellular telecom, telephone exchange, radars, computers and many other equipments required by the telecommunication industry. Bengaluru has emerged as the electronic capital of India. Other important centres for electronic goods are Mumbai, Delhi, Hyderabad, Pune, Chennai, Kolkata, Lucknow and Coimbatore. The major industry concentration is at Bengaluru, Noida, Mumbai, Chennai, Hyderabad and Pune. A major impact of this industry has been on employment generation. The continuing growth in the hardware and software is the key to the success of IT industry in India.

Fig. 6.6: Cable manufacturing facilities at HCL, Rupnarainpur (West Bengal)

Industrial Pollution and Environmental Degradation

Although industries contribute significantly to India’s economic growth and development, the increase in pollution of land, water, air, noise and resulting degradation of environment that they have caused, cannot be overlooked. Industries are responsible for four types of pollution: (a) Air (b) Water (c) Land (d) Noise. The polluting industries also include thermal power plants.

Air pollution is caused by the presence of high proportion of undesirable gases, such as sulphur dioxide and carbon monoxide. Airborne particulate materials contain both solid and liquid particles like dust, sprays mist and smoke. Smoke is emitted by chemical and paper factories, brick kilns, refineries and smelting plants, and burning of fossil fuels in big and small factories that ignore pollution norms. Toxic gas leaks can be very hazardous with long-term effects. Are you aware of the Bhopal Gas tragedy that occurred? Air pollution adversely affects human health, animals, plants, buildings and the atmosphere as a whole.

Water pollution is caused by organic and inorganic industrial wastes and affluents discharged into rivers. The main culprits in this regard are paper, pulp, chemical, textile and dyeing, petroleum refineries, tanneries and electroplating industries that let out dyes, detergents, acids, salts and heavy metals like lead and mercury pesticides, fertilisers, synthetic chemicals with carbon, plastics and rubber, etc. into the water bodies. Fly ash, phospo- gypsum and iron and steel slags are the major solid wastes in India.

Thermal pollution of water occurs when hot water from factories and thermal plants is drained into rivers and ponds before cooling. What would be the effect on aquatic life?

Wastes from nuclear power plants, nuclear and weapon production facilities cause cancers, birth defects and miscarriages. Soil and water pollution are closely related. Dumping of wastes specially glass, harmful chemicals, industrial effluents, packaging, salts and garbage renders the soil useless. Rain water percolates to the soil carrying the pollutants to the ground and the ground water also gets contaminated.

Noise pollution not only results in irritation and anger, it can also cause hearing impairment, increased heart rate and blood pressure among other physiological effects. Unwanted sound is an irritant and a source of stress. Industrial and construction activities, machinery, factory equipment, generators, saws and pneumatic and electric drills also make a lot of noise.

Control of Environmental Degradation

Every litre of waste water discharged by our industry pollutes eight times the quantity of freshwater. How can the industrial pollution of fresh water be reduced? Some suggestions are-

(i) minimising use water for processing by reusing and recycling it in two or more successive stages

(ii) harvesting of rainwater to meet water requirements

(iii) treating hot water and effluents before releasing them in rivers and ponds. Treatment of industrial effluents can be done in three phases

(a) Primary treatment by mechanical means. This involves screening, grinding, flocculation and sedimentation.

(b) Secondary treatment by biological process

(c) Tertiary treatment by biological, chemical and physical processes. This involves recycling of wastewater.

Overdrawing of ground water reserves by industry where there is a threat to ground water resources also needs to be regulated legally. Particulate matter in the air can be reduced by fitting smoke stacks to factories with electrostatic precipitators, fabric filters, scrubbers and inertial separators. Smoke can be reduced by using oil or gas instead

India: Some Software Technology Parks

of coal in factories. Machinery and equipment can be used and generators should be fitted with silencers. Almost all machinery can be redesigned to increase energy efficiency and reduce noise. Noise absorbing material may be used apart from personal use of earplugs and earphones.

The challenge of sustainable development requires integration of economic development with environmental concerns.

Fig. 6.7: Sewage Treatment plant under Yamuna action plan at Faridabad

NTPC shows the way
NTPC is a major power providing corporation in India. It has ISO certification for EMS (Environment Management System) 14001. The corporation has a proactive approach for preserving the natural environment and resources like water, oil and gas and fuels in places where it is setting up power plants. This has been possible through-
(a) Optimum utilisation of equipment adopting latest techniques and upgrading existing equipment.
(b) Minimising waste generation by maximising ash utilisation.
(c) Providing green belts for nurturing ecological balance and addressing the question of special purpose vehicles for afforestation.
(d) Reducing environmental pollution through ash pond management, ash water recycling system and liquid waste management.
(e) Ecological monitoring, reviews and online database management for all its power stations.

Fig. 6.8: Ramagundam plant

Exercises

1. Multiple choice questions.

(i) Which one of the following industries uses bauxite as a raw material?

(a) Aluminium Smelting

(b) Cement

(c) Paper

(d) Steel

(ii) Which one of the following industries manufactures telephones, computer, etc.

(a) Steel

(c) Aluminium Smelting

(b) Electronic

(d) Information Technology

2. Answer the following briefly in not more than 30 words.

(i) What is manufacturing?

(ii) What are basic industries? Give an example.

3. Write the answers of the following questions in 120 words.

(i) How do industries pollute the environment?

(ii) Discuss the steps to be taken to minimise environmental degradation by industry?

Activity

Give one word for each of the following with regard to industry. The number of letters in each word are hinted in brackets.

(i) Used to drive machinery
(5) $\mathrm{P}$ ………..

(ii) People who work in a factory
(6) W ………..

(iii) Where the product is sold
(6) M ………..

(iv) A person who sells goods
(8) $\mathrm{R}$ ………..

(v) Thing produced
(7) P ………..

(vi) To make or produce
(11) M ………..

(vii) Land, Water and Air degraded
(9) P ………..

Project WorK

Select one agro-based and one mineral-based industry in your area.

(i) What are the raw materials they use?

(ii) What are the other inputs in the process of manufacturing that involve transportation cost?

(iii) Are these factories following environmental norms?

Activity

Solve the puzzle by following your search horizontally and vertically to find the hidden answers.

1. Textiles, sugar, vegetable oil and plantation industries deriving raw materials from agriculture are called…
2. The basic raw material for sugar industry.
3. This fibre is also known as the ‘Golden Fibre’.
4. Iron-ore, coking coal, and limestone are the chief raw materials of this industry.
5. A public sector steel plant located in Chhattisgarh.

Activity

Solve the puzzle by following your search horizontally and vertically to find the hidden answers.

1. Textiles, sugar, vegetable oil and plantation industries deriving raw materials from agriculture are called…
2. The basic raw material for sugar industry.
3. This fibre is also known as the ‘Golden Fibre’.
4. Iron-ore, coking coal, and limestone are the chief raw materials of this industry.
5. A public sector steel plant located in Chhattisgarh.
6. Railway diesel engines are manufactured in Uttar Pradesh at this place.