Industrial Systems PDF

## The Cloth You Wear is Manufactured in a Factory The cloth we wear is manufactured in a factory by skilled workers using cotton grown in the fields by farmers. From the factories, clothes are transported to malls and shops for selling purposes. These economic activities are constituents of indu...

## The Cloth You Wear is Manufactured in a Factory The cloth we wear is manufactured in a factory by skilled workers using cotton grown in the fields by farmers. From the factories, clothes are transported to malls and shops for selling purposes. These economic activities are constituents of industries. ## Industries Our earth is rich in resources provided by nature. Some of these resources can be used directly, but those directly usable/processed resources reach to the others have to be processed before using. Industry refers to economic activities concerned with the extraction of raw materials from nature (agriculture/mining), conversion of raw materials into finished goods (manufacturing), and the supply of those goods to the market (services). They play an important role in modern times as they satisfy the growing needs of the society and provide employment opportunities to millions in the world. ### Types of Industries Industries can be divided into three main types: 1. Primary Industries: extracting resources in the raw form from nature. This includes forestry, farming, fishing, coal mining, oil drilling, and hunting. These are particularly dependent on physical factors such as climate and geology. 2. Secondary Industries: produce things by processing raw materials. The raw materials may be obtained from the primary industry or by the products of other secondary industries. (Steel production, cotton textiles, food processing, etc., are few examples.) 3. Tertiary Industries: deal with the provision of services that can be consumed, like services provided by lawyers, doctors, bankers, etc. It also includes exchange that involves trading of processed or raw goods. 4. Quaternary Industries: concerned with technological research and development. These help companies to function in a better way, such as Software industry, Research and Consultation agencies, etc. **In-text Question** How are secondary industries different from primary and tertiary industries? ### Classification of Manufacturing Industries Industries can also be classified on the basis of: 1. Raw materials used. 2. Size. 3. Ownership #### Industries Based on Raw Material Industries may be agro-based, mineral-based, forest-based, or marine-based, depending on the raw materials used. (Agro-based industries utilize agricultural and animal-based products as raw materials to make finished products. Cotton textile, sugar, vegetable oils, food processing, dairy products, and leather industries are some of the examples.) #### Industries Based on Size Based on the size, industries can be cottage or household industries, small-scale industries, and large-scale industries. This classification is based on the capital invested, the number of people employed, and the volume of goods produced. **In-class activity** Identify industries located in the top five most populous urban centers of India. #### Mineral-based industries Mineral-based industries depend on mineral ores for raw materials. The products of these industries also feed other industries. Iron extracted from iron ore is the product of a mineral-based industry. Iron is used as raw material for the manufacturing of various products such as railway coaches, heavy machinery, building material, etc. Other examples of mineral-based industry are cement industry and ship building industry, etc. #### Forest-based industries Industries that utilize forest products as raw materials are called forest-based industries. Industries manufacturing paper, furniture, rubber, and pharmaceuticals are examples of forest-based industries. #### Marine-based industries Seas/Oceans provide raw materials to marine-based industries. Industries processing seafood, manufacturing fish oil, etc. are marine-based. **In-text Question** Identify the basis on which classification of industries can be done. ## Industries Based on Ownership Based on ownership, industries can be divided into: 1. Private sector 2. Public sector 3. Joint sector 4. Cooperative sector - **Private Sector:** owned by individuals or firms. (Examples: Iron and steel industry in Jamshedpur and Reliance industries.) - **Public Sector:** owned and operated by the government and its agencies. (Examples: Hindustan Aeronautics Limited (HAL) and Bharat Heavy Electricals Limited (BHEL).) - **Joint Sector:** owned jointly by the central/state government and individuals. (Examples: Maruti Suzuki India Limited is the joint venture of the Government of India and the Suzuki company of Japan.) - **Cooperative Sector:** owned and operated by the producers or suppliers of raw materials, workers, or both. (Examples: Anand Milk Union Limited (Amul) and sugar cane industry in South India are run by cooperatives.) **In-text Question** How many types of industries exist based on ownership? Based on size, industries can be classified into how many categories? ## Factors Affecting the Location of Industries The development of industries depends on the availability of raw materials, land, power, labor, capital, transport, and the market for the finished goods. Industries tend to concentrate in certain areas where some or all of these factors are easily available. The government provides incentives such as low cost transport and electricity, low taxes, paid-holidays, etc., so that industries can be set up in backward areas. ### Raw Materials Since the beginning, raw materials have been very important in determining the location of an industry. Some raw materials are very bulky or heavy and are expensive to transport. If the amount of raw materials required is more than the amount of finished product, then the industry is considered as weight losing industry. Such industries tend to be located near the sources of raw materials. They are called raw material oriented industries too. For example, iron and steel industry. Its raw materials are iron ore, chromium, limestone, and coal which are bulkier than the final output, i.e., steel. Hence, they prefer locating the industry where raw materials can be easily available, so that it reduces the cost of transportation. Those industries whose final products are heavier than the weight of raw materials are known as weight-gaining industries. They prefer to be located nearby market to reduce transportation costs. Cotton textile industry is a weight gaining industry as the weight of the final output (such as cotton cloth) is much more than the raw material cotton. ### Power Industries need an uninterrupted power (electricity) supply to operate their machinery. Earlier, industries were located close to coalfields. Today electricity, petrol, diesel, and natural gas can be transmitted over long distances. ### Transport Transport is needed to bring raw materials to a factory and to deliver finished products to the market. A good transport network helps in reducing input costs and also saves life of products, particularly perishable goods. A site which is well-connected to a motorway network, with a railway station and an airport nearby is more suitable for industrial location. ### Market The goods produced are sold to meet the demand in the market. It is often an advantage to manufacture bulky goods like cement and paper and perishable goods closer to the centers of consumption. **Geography Reveals** Those industries which can be located anywhere as they are dependent more on skilled workforce than raw materials are called footloose industries, e.g.-IT & ITES industry, banking, and insurance industry etc. ### Government Policy There are a number of ways in which the government may influence the location of industries such as: - Creating infrastructure to support industries. - Shifting industries that cause pollution from residential areas to industrial areas. - Offering loans, subsidies and tax exemptions to companies. - Establishing a stable government so that overseas investors are attracted to the country. - GST (Goods and Services Tax) - a value-added tax levied on most goods and services sold for domestic consumption. But it is then remitted to the government by the various businesses selling the goods and services. Thus, the GST provides revenue for the government. GST is a single unit taxation system which helps to eliminate time cost and effort. **In-text Question** Keeping any industry in mind, arrange factors which determine location of industries in a sequence. Also, defend why you have prioritized one over the other? ## Industrial Systems Like agriculture, industries can also be viewed as a system of inputs, processes and outputs. A simple version of a factory system for example in the case of iron and steel industry will have raw materials like-iron ore, coal, and limestone, along with capital, labor, etc., as inputs. Conversion and refining of iron ore into steel is a process, and steel is the final output which is then marketed for various end products. ## Industrial Regions The areas which have high concentration of industries are called industrial regions. Industries tend to develop in a few areas due to certain favorable factors. Gradually many related and interdependent industries cluster together, and form an industrial region. ### The Major Industrial Regions of the World - Eastern part of North America - Western and Central Europe (UK, Italy, France, Sweden, and Germany) - Eastern Europe (Russia and Ukraine) - Eastern Asia (Japan, South Korea, Hong Kong, Singapore, China, and Taiwan) ### Major Industrial Regions of India - Mumbai-Pune Industrial Region - Hugli Industrial Region - Bengaluru-Tamil Nadu Industrial Region - Gujarat Industrial Region (Ahmedabad-Baroda region) - Chotanagpur Industrial Region **Checkpoint** 1. Based on ownership, there are 4 types of industries. 2. Which of the following is a minor industrial region? - Ambala-Amritsar - **Gurgaon-Delhi-Meerut region** - Mumbai-Pune - Hugli industrial region 3. Which of the following is not a component of industrial system? - Input - Output - **Mining** - Processing 4. China is part of which of the following major industrial regions of the world? - Eastern part of North America - Western and Central America - Western and Central Europe - **Eastern Asia** 5. Public sector industries are owned by which of the following? - Government - **Private individual** - Cooperatives - International organization ## Few Major Industries of the World 1. **Iron and Steel Industry:** One of the key industries in India and propels the industrial development of the nation. It has helped in generating several subsidiary and small-scale industries and also supports the power, transport, fuel, and communication industries. 2. **Textile Industry:** One of the largest and oldest industries in India. India is famous for hand-woven cottage industries. Natural fibres like cotton, jute, wool and artificial fibres like rayon, polyester, etc., are used to make clothes. Indian textile industry can be divided into several segments, some of which are cotton textiles, silk textiles, woolen textiles, jute textiles, handcrafted textiles, etc. Some of the major players in the Indian textile industry are Arvind mills, Raymonds, Reliance textiles, Bombay Dyeing Ltd., Welspun India, etc. The main centres of the textiles industry in the world are USA, China, Japan, and India. Germany, UK, France, and Spain are the leading manufacturers of synthetic clothes. In India, textile industries have been set up in Jaipur, Jodhpur (Rajasthan), Ludhiana (Punjab), Delhi, Kanpur (U.P.), Mumbai, Solapur (Maharashtra), Ahmedabad and Surat (Gujarat), Bengaluru (Karnataka), Coimbatore, Erode, Salem, and Tiruchirappalli (Tamil Nadu). **In-text Question** Based on the Map no. 5.6, identify states wherein cotton textile industry has left no footprint. 3. **Chemical Industry**: comprises the companies that produce industrial chemicals and other ingredients for agriculture, manufacturing, construction, and service industries. Polymers and plastics comprise about 80% of the industry's output worldwide. Chemical industries are concentrated in Western North America and Japan. In India, chemical industries have been set up in Delhi, Kolkata, Mumbai, and Bengaluru. **In-text Question** What are the major products of the chemical industry? 4. **Engineering Industry:** the largest in the industrial sectors in India. It is a diverse industry with a number of segments which can be broadly classified into heavy engineering and light engineering. Heavy engineering sector involves the manufacturing of machines tools, cement, sugar, rubber, metallurgical, material handling, mining, and dairy machinery. Light engineering sector is involved in the manufacturing of anti-friction rollers bearing, process control instruments, welded steel pipes and tubes, medical and surgical instruments. Major players in the engineering industry in India are Bharat Heavy Electrical Ltd. (BHEL), Engineers India Ltd. (EIL), Hindustan Aeronautics Ltd. (HAL), Crompton Greaves (CG), HMT, and Larsen & Tourbo Ltd (L&T). USA, Japan, Russia, and Germany are the leading producers in the world. In India, engineering industries have been set up in Bhopal, Bengaluru, Pinjore, and Haridwar. **Geography Reveals** Basic Industries: Products of those industries, which are utilized as raw materials for other industries, are termed basic industries e.g. Iron and steel industries, Cement industries, Petro-chemical industries etc. ## Industrial Disasters ### Causes and Ways to Avoid Industrial Accidents Industrial accidents are any accidents or disasters that occur on industrial business sites. These are some of the most dangerous accidents since they involve volatile chemicals and heavy machinery. Such dangerous occurrences can be the result of or failure of many things as mentioned below: - Forming safety committees - Proper maintenance of machines/equipments and infrastructure facilities - Safety consciousness - Proper safety measures - Risk reduction methods - Enforcement of discipline - Knowledge among people of what precautions to be taken if there is any industrial disaster. ### Case Study In industries, accidents and disasters occur mainly due to the technical failure or irresponsible handling of hazardous material. Take the case of the Bhopal Gas Tragedy. It occurred in the early hours of 3rd December, 1984. It still haunts us today, even after 32 years! It happened at the pesticide factory of Union Carbide in Bhopal, located in a very congested area. Due to technical failure, highly poisonous Methyl Isocyanate (MIC) gas along with hydrogen cyanide, and other reactive products, leaked out of the factory when the city was asleep. The official death toll was 3,598, but thousands who survived, continue to suffer from blindness, gastrointestinal disorder, and impaired immune system. ### Locational Advantages for Jamshedpur Jamshedpur is strategically located and enjoys the following advantages: - Sakchi is ideally situated at the confluence of the rivers Subarnarekha and Kharkai in Jharkhand, approximately 200 km from Kolkata. - The iron ore comes from the districts of (Singhbhum (Jharkhand) and Mayurbhanj mines (Odisha) located at a distance of just 75 km from Jamshedpur.) Coal comes from Jharia and Raniganj coalfields which are about 180 km away. Limestone and dolomite come from Odisha and Chhattisgarh. Manganese is obtained from Keonjhar mines in Odisha - A dam has been constructed on the river Subarnarekha to provide water. - The Damodar Valley project provides cheap and abundant hydroelectric power. - Since the iron and steel industry is labor-intensive, it has demand for a large number of skilled and unskilled labor. This region is densely populated and cheap labor is available from the nearby states of Bihar, Odisha, and West Bengal. - It is located on the main railway line which connects it to the ports of Kolkata and Mumbai. - Several other manufacturing plants were set up later. They produce locomotives, machinery, agricultural equipment, cables, wires, etc. The Indian iron and steel industry consists of large integrated steel plants as well as mini steel plants, rolling mills, ancillary producers, etc. ## Pittsburgh, USA Pittsburgh is historically known for its steel industry. It was named in 1758 by General John Forbes in honour of the British Statesman, William Pitt. It is on the Allegheny Plateau, where the confluence of the Allegheny from the northeast, and Monongahela from the southeast form the Ohio River. The growth of Pittsburgh and its economy was facilitated by the extensive trade in steel through the 1970s. ### Locational Advantages for Pittsburgh Like Jamshedpur, Pittsburgh is also strategically located which helped it grow into a steel city. - Coal is available in the nearby Appalachian coalfields while the iron ore comes from the mines 1500 km away in Minnesota. - The Ohio, Monongahela, and Allegheny rivers provide adequate water supply. - The densely populated eastern area of the US provides the labor supply. Between the iron ore mines of Minnesota and the Pittsburgh area, there are the world's famous shipping routes of the Great Lakes Waterway—a cheap means of transportation. 7 Trains carry the iron ore from the great lakes to Pittsburgh. Finished products are transported to the market by both land and water routes. ## The Cotton Textile Industry in India and Japan The term textile is derived from the Latin word 'textere,' which means to weave. Weaving cloth from various fibers such as cotton, jute, silk, and wool is an ancient art. The textile industries can be grouped on the basis of the raw material they use, which could be natural or man-made. Natural fibers are wool, silk, cotton, jute, and linen while man-made fibers are nylon, rayon, acrylic and polyester. India, China, Japan, and USA are major producers of textiles. Initially, the cotton textile industry was set up in Mumbai (Maharashtra). Later, the cotton textile industry was developed in Ahmedabad, Gujarat. It soon became the largest cotton textile manufacturing centre in Gujarat. ### Ahmedabad, Gujarat-India Ahmedabad city is located in Gujarat on the banks of the Sabarmati River and is the heart of the cotton-growing region. The first mill was established in 1859. It has become the second-largest textile producing city in India after Mumbai. Ahmedabad is often referred to as the ‘Manchester of India.' #### Locational Advantages for Ahmedabad Its strategic location is favorable for the development of the textile industry. Other factors include: - Availability of raw material from the cotton growing areas of Maharashtra and Gujarat. - The humid climate is ideal for spinning yarn. - Cheap hydroelectricity and soft water for dyeing and bleaching are easily available. - Skilled and unskilled labor are available from the densely populated states of Gujarat and Maharashtra. - Ahmedabad is not far from the port facilities of Mumbai and Kandla. The city is also connected by road and rail to the rest of the country. - There are over 72 cotton mills in Ahmedabad, although they are smaller in size than the mills in Mumbai. - Ahmedabad is situated on the bank of Sabarmati River which provides sufficient water. - The flat terrain and availability of land suitable for the establishment of mills. - India, being a tropical country, is a large market for the finished goods produced here. - Capital is available from various financial institutions and public sector banks located in Ahmedabad and Mumbai as well. ### Osaka, Japan Osaka is known as the ‘Manchester of Japan’ due to several geographical reasons. #### Locational Advantages for Osaka Osaka is situated on the Nobi Plain which is a highly industrialised area. Japan has little flat land, so the industries are set up along small coastal plains. Textile industry completely depends upon imported raw materials. Most of the raw material is imported from Egypt, India, China, and USA. - Coastal location helps in importing raw materials and exporting finished textile goods. - The River Yodo provides water for the mills and coal-burning power stations provide adequate power. - The warm humid climate along the coast is well suited for spinning and weaving. - Labor is easily available here. - Hydroelectric power is obtained from streams that flow from the mountains around Osaka. - Technologically advanced machinery and efficient organization make the industry profitable. ## Information Technology (IT) Industry of India and the USA The major hubs of the IT industry in the world are the Silicon Valley in California and Bengaluru in India. Today this industry has become global as it deals with the storage, processing, and distribution of information worldwide. High technology industries group together take advantage of the information, research, and knowledge which can exchange to maximize their profits. They take advantage of the infrastructure that metropolitan centres offer—markets, skilled workforce, attractive and clean environment, plenty of space for development in the future, excellent communication facilities within the city as well, as internationally.) ### Silicon Valley, USA Silicon Valley is a part of Santa Clara County in the state of California, radiating outward from Stanford University. It is surrounded by the San Francisco Bay on the east, the Santa Cruz mountains on the west, and the Coast Range on the south-east. At the turn of the 20th century when fruit orchards predominated, the area was known as ‘The Valley of Heart's Delight.' Since silica is the base material for semiconductors employed in computer circuits, therefore, this valley later got the name of Silicon Valley. #### Locational Advantages of Silicon Valley - It is close to the most advanced technological and scientific centres of the world. ### Bengaluru, Karnataka-India Bengaluru along with Hyderabad were first two locations in India wherein IT industry got established in India. Bengaluru, the state capital of Karnataka, is known as the Silicon Valley of India as it is becoming the nation's leading IT exporter. It is a growing metropolis and home to many colleges, and research institutions. Numerous public sector heavy industries, software companies, aerospace, defence organizations, and telecommunications are located here. Its information technology industry is divided into three main clusters—Software Technology Parks of India (STPI), International Tech Park, and Electronics City. #### Locational Advantages of Bengaluru - A significant number of educational institutions, especially technical ones, are located in and around Bengaluru. Hence, skilled workers are easily available here. - The climate is moderate throughout the year, which attracts foreign companies. - It has a good transport network, good teleconnectivity, advanced infrastructure, and state policy with good investor perception. - The state government of Karnataka was the first to announce an IT policy in 1992.