Industries of India: Evolution & Locational Factors

1. Evolution of Industries in India

Colonial Period (1757–1947)

• India was renowned for handloom textiles (Dhaka muslin, Banaras silk), ironwork (Wootz steel), and handicrafts.
• British policies deindustrialised India: cheap imports decimated indigenous textile industry.
• Cotton Textile: Modern mills in Bombay (1850s) — Maharashtra/Gujarat advantage.
• Jute: Rishra, Bengal (1855) — along Hugli by British entrepreneurs.
• Iron & Steel: TISCO, Jamshedpur (1907) — first integrated plant by Indians.

Post-Independence

• Industrial Policy Resolution 1948 & 1956: Heavy industries reserved for public sector.
• Second Five Year Plan (Mahalanobis Model): Steel plants at Bhilai (Soviet), Durgapur (British), Rourkela (German) — all PSUs.
• 1991 LPG Reforms: Abolished Licence Raj, opened FDI, dismantled MRTP.

2. Locational Factors of Key Industries

Cotton Textile

• Raw material proximity, humid climate (prevents thread breakage), port access, capital, labour.
• Centres: Mumbai–Ahmedabad ("Cottonopolis"), Tirupur (Tamil Nadu — "Hosiery Capital of India"), Coimbatore.

Jute Textile

• Weight-losing material → proximity to jute growing areas critical (WB, Bihar, Assam deltas).
• Soft water of Hugli river, DVC coal power, Kolkata port, cheap Bihar-UP labour.
• Centre: Hugli river basin, West Bengal. India = world's largest jute producer & exporter.

Iron and Steel

• Iron ore + coking coal + limestone + manganese + water + transport.
• High material index → raw-material-oriented location.
• Plants: Jamshedpur (TISCO–private), Bhilai, Durgapur, Rourkela, Bokaro (SAIL–PSU), Visakhapatnam (RINL–coast).
• Chotanagpur Plateau = "Ruhr of India".

Aluminum

• Very energy-intensive smelting → proximity to cheap power paramount.
• Plants: Hirakud (NALCO, Odisha), Korba (BALCO, Chhattisgarh), Angul (Odisha), Alupuram (Kerala).

Fertilizer

• Raw material: natural gas/naphtha, rock phosphate.
• Plants: Hazira (Gujarat), Paradip (IFFCO, Odisha), Namrup (Assam–gas-based), Nangal (Punjab), Phulpur (UP).

Paper

• Bamboo/wood/bagasse as raw material (weight-losing) → near forests.
• Plants: Nepanagar (MP–newsprint), Sirpur (AP), Ballarpur (Maharashtra).

Chemical & Pharmaceutical

• India = 3rd largest pharma producer by volume; largest exporter of generics.
• Chemical Hubs: Gujarat (Vapi–Ankleshwar corridor).
• Pharma Clusters: Hyderabad (Genome Valley), Mumbai, Ahmedabad, Baddi (HP).

Automobile

• India = 3rd largest auto market and manufacturer.
• Hubs: Delhi-NCR (Gurugram–Maruti Suzuki), Chennai ("Detroit of Asia"–Hyundai, Ford), Pune (Tata, Bajaj), Bengaluru.

Cottage & Agro-Based

• Cottage: Khadi, handloom, handicrafts (KVIC), pottery — decentralised, labour-intensive.
• Agro-based: Sugar (UP + Maharashtra dominate), vegetable oil, jute goods, cotton textiles.

3. Industrial Regionalisation

8 Major Industrial Regions:

1. Mumbai–Pune: Cotton textiles, chemicals, automobiles. Near JNPT port.
2. Hugli (WB): Jute, engineering, chemicals near Kolkata.
3. Bengaluru–Chennai: IT/Electronics, HAL aircraft, automobiles, textiles.
4. Chotanagpur: Iron & steel, coal, heavy engineering — mineral-richest region.
5. Ahmedabad–Vadodara: Cotton, chemicals, pharmaceuticals.
6. Visakhapatnam–Guntur: Steel (RINL), chemicals, petroleum.
7. Gurugram–Delhi–Meerut: Electronics, automobiles, garments.
8. Kollam–Thiruvananthapuram: Titanium, cashew, chemicals.

4. New Industrial Policy (1991 LPG)

• Abolished Industrial Licensing for most industries.
• Only 6 industries require compulsory licensing (alcohol, hazardous chemicals, etc.).
• Reduced PSU reservations (only atomic energy + railways retained).
• Opened FDI with automatic approval.
• Make in India (2014): Attract global manufacturing; focus sectors: Automobiles, Defence, Electronics, Pharma.

5. Special Economic Zones (SEZs)

• SEZ Act, 2005: Designated areas with liberal regulations to attract FDI, boost exports.
• Benefits: Duty-free imports, tax holidays, single-window clearance.
• First EPZ in India: Kandla (Gujarat, 1965) — predecessor to SEZs.
• Key SEZs: Noida, Cochin, Kandla, SEEPZ (Mumbai), Surat.
• Criticism: Land acquisition controversy, tax revenue loss, enclave effect.

6. Tourism

• Contributes ~4–5% of GDP; employs 80 million+ people.
• Incredible India campaign by Ministry of Tourism.
• India has 42 UNESCO World Heritage Sites (40 Cultural + 7 Natural).
• Types: Heritage (forts, temples), Religious (Char Dham, Golden Temple), Beach (Goa, Andaman), Hills, Wildlife.

Ecotourism

• Responsible travel to natural areas that conserves environment and sustains local communities.
• Key sites: Western Ghats (Silent Valley, Periyar, Coorg), Sundarbans, Andaman, NE India.
• Challenge: Unregulated ecotourism causes trampling, littering, wildlife disturbance — "carrying capacity" crucial.

Medical Tourism

• India major destination for cardiac surgery, orthopaedics, transplants at lower cost.
• Heal in India initiative.