Industries: Their Need and Classification
ICSE Class 7 · Geography · Chapter 9
What this chapter covers
- What an industry is
- Why we need industries
- Classifying industries by size
- Agro-based industries
- Factors that decide where an industry is set up
- Industrial pollution
- Preventing industrial pollution
Key definitions
Manufacturing is the process of changing raw materials into more useful goods, by hand or with the help of machines.
An industry is an economic activity in which raw materials are changed into finished goods that people can use or sell.
A raw material is any substance in its natural or nearly natural state that is used to make finished goods.
A finished product is a good that has gone through manufacturing and is ready to be used or sold.
Value addition is the increase in the worth of a material when it is processed into a more useful form.
Capital is the money and property, such as land, buildings and machines, that is used to set up and run an industry.
Labour is the human effort, of hand or mind, that workers put into producing goods.
A large-scale industry is an industry that uses a very large amount of capital, employs a large number of workers, uses heavy and complex machines and produces goods in huge quantities.
A small-scale industry is an industry that is run with a modest amount of capital, employs a smaller number of workers and uses simple or medium-sized machines, often driven by electricity.
A cottage industry is an industry in which goods are made at home by the members of a family, mainly by hand, using simple tools and local raw materials.
An agro-based industry is an industry that uses plant or animal products from farms as its main raw material.
A perishable raw material is a raw material that spoils quickly if it is not processed soon after it is harvested.
Key points
- An industry changes raw materials into finished goods; the increase in worth during this process is called value addition.
- The finished product of one industry is often the raw material of another.
- Industries are needed to meet daily needs, give jobs, use natural resources, support agriculture and earn money through trade.
- By size, industries are large-scale, small-scale or cottage industries, depending on capital, labour, machines and output.
- A cottage industry runs at home with family labour and hand tools; a small-scale industry runs in a workshop with hired workers and power-driven machines.
- Agro-based industries use farm products such as cotton, jute, sugar cane, oilseeds and milk as raw materials.
- Industries using perishable or weight-losing raw materials are set up close to the source.
- The location of an industry depends on raw materials, power, labour, transport, market, water, capital, land, climate and government policy.
- Industrial pollution affects air, water and land and causes noise.
- Pollution can be prevented by treating effluent, filtering smoke, recycling waste, safe disposal, careful location, green belts and strict laws.