Professional Documents
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IS 4 Minor II
IS 4 Minor II
c Activity producing GOODs or SERVICES It is part of a chain from raw materials to finished product, finished product to service sector, and service sector to research and development. It includes AGRICULTURE, MANUFACTURING and SERVICEs Industry varies over time and between different countries
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When one Industry depends on the output of another This can cause problems if one industry has production problems or closes down The CAR INDUSTRY is a good example each component (engine parts, lights, body etc) may be produced by a different company before it goes to the ASSEMBLY PLANT
05/04/12
By Devesh Sharma
05/04/12
By Devesh Sharma
This involves RAW MATERIALS or NATURAL RESOURCES (before PROCESSING) Raw Materials can be: - Quarried - Mined (all below the earths surface) - Drilled for ( INCLUDING: Coal Mining, Oil Drilling, Gold Mining) - Grown Collected(INCLUDING: Farming and Forestry - INCLUDING: Fishing)
05/04/12
By Devesh Sharma
This involves a PRODUCT from Primary Industry which is PROCESSED or MANUFACTURED into another product Processing of Raw Materials (where raw materials are changed into something different) - Oil refined to make Petrol - Fish is processed to make Fish Fingers! - Wheat ground to make Flour - Trees are sawn to make Timber Manufacturing of Raw Materials (different parts assembled to make a finished product) - Steel Making - Making Ships/Cars/Televisions - Building Roads and Houses (the FINISHED PRODUCT from one Secondary Industry may be the Raw Material from another e.g. One factory may make tyres
By Devesh Sharma 5
05/04/12
This provides a SERVICE It involves a wide range of services INSTEAD of making anything and is the LARGEST group of industries Examples of so-called Service Industries - Teaching - Nursing - Retail - Civil Service - Police Force - Transport
05/04/12
By Devesh Sharma
This involves a small group of RESEARCH and DEVELOPMENT industries It is the newest industrial sector (often linked with Tertiary) and is growing rapidly due to developments in INFORMATION TECHNOLOGY and COMMUNICATION It focuses on the LATEST TECHNOLOGY Examples of Quatenary Industries - Designing new computers/writing computer software - Researching new medicines and medical equipment - Genetically modifying plants and animals for farming - New forms of communication through satellites and fibre optics
By Devesh Sharma 7
05/04/12
PRIMARY FACTORS:
SECON:DARY FACTORS
Energy* RAW MATERIALS* proximity to supplies of electricity (or coal/water distance from raw materials in the past) to power the industry affects transport costs Site* modern factories require large areas of flat - LABOUR* land (esp. for assembly lines) employees with different - Communications* skills reliable telecommunications are increasingly important are needed - Capital* - TRANSPORT* money needed to up the industry road, rail, sea and air - Government Policy* networks industry is restricted/encouraged in certain are needed for the import areas by the use of grants, low taxes, rent allowances and - Environment* export of goods attractive surroundings with good leisure facilities - MARKET* can be important to a workforce - Other* access to people who will sometimes (as not all bosses are rational) purchase the goods or industries are services established 05/04/12 By Devesh Sharma in places that someone just thinks is 8
Factory system has INPUTS, PROCESSES and OUTPUTS INPUTS all the items that go into making the product anything needed before the production process can take place PROCESSES are factory activities that transform raw materials into the finished product everything needed to make the product OUTPUTS are what comes out of the factory after the production process Some OUTPUTS are fed back into the system as inputs: e.g. PROFIT will be put back in as investment capital
Inputs Outputs
Dyes Thread Garments Power Supplies Machinery Capital
Process
Dyeing, Cutting Sewing, Packaging Administration Factor maintenance Shirt Second Clothes Profit
Profits
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By Devesh Sharma
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Definition: Industrialization is a historical phase and experience. Industrialization is the overall change in circumstances accompanying a society's movement population and resources from farm production to manufacturing production and associated services. By S. Haward Patterson Industrial revolution may be defined as changes in methods of production brought about by the invention of power machinery & the consequent development of factory system
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By Devesh Sharma
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1 :-Feudal System
The Primary industry was Agriculture in this era. It was operated by feudal lord & serfs. Serfs were virtual slaves & dependent upon feudal lords .
Fabrication Manually Operated Machines Stocking & Exchange of Goods Small Industries by Carpenters, Blacksmiths & 05/04/12 By Devesh Sharma 13
Merchant Guild:- In this System persons were engaged to look after the interest of businessmen Crafts Guild:- They were worked for promotion & protection of craftsmen
Note@@ (Lack of functionality & responsibilities of Officials as internal factor. Hold of capitalists on production sector & arbitrarily used their own selfish ends as external factor) were the reasons of decline of guilds
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Money lenders (sohukaars) were main source of finance which provided money with interest Barber ,Shoemakers, Washer men& Women Cooks were the main jobs that time Domestic goods ( Corase cloth, baskets & earthenware etc)
By Devesh Sharma 15
05/04/12
In Modern System Industry is moving from human/animal power to machine power. Factory System Heavy Industry Availability Of Primary Factors
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By Devesh Sharma
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Industrial policy is a statement to define the role of government to protect & develop the industry. It covers rules, regulations, principles, policies, & procedures laid down by government for regulating & controlling industrial undertakings in the country. It prescribes the respective roles of the public, private, joint, cooperative large, medium & small scale sectors for the development of industries It incorporates fiscal & monetary policies, tariff policy, labor policy.
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To achieve optimal utilization of human resources To attain international competitiveness and To transform India into a major partner and player in the global arena
In other Words :1.Rapid Industrial Development 2.Balanced Industrial Growth 3. Balance Industrial Structure
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Policy Resolution of Policy Resolution of Policy Resolution of Policy Resolution of Policy Resolution of
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Priority to promote rural and traditional industries in sectors, such as: Handlooms, Handicrafts, Sericulture, Coir and Khadi and village industries Constitution of Statutory Boards / Commissions for the same Policy Framework for SSI sector Constitution of Independent Board for Small Scale Industries Policy on Credit, Marketing, Technical Assistance, Industrial Infrastructure and Extension Services.
Policy Focus
Priority to mitigate regional imbalances 1977 Measures to promote ancilarisation 1988 Stress on Exports and dispersal of enterprises in rural areas year 1990 By 05/04/12 Priority for Small tiny agroDevesh Sharma 1991 industries
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It came in forced in April 1956 classified the industry into three categories
Schedule A:- Carrying 17 industries Schedule B:- Carrying 12 Industries Schedule C:- Remaining industries
The Constitution of India, in its preamble, has declared that it aims at securing for all its citizens: JUSTICE, Social, economic and political; LIBERTY of thought, expression, belief, faith and worship; QUALITY of status and opportunity; and to promote among them all; FRATERNITY assuring the dignity of the individual and the unity of the Nation. In its Directive Principles of State Policy, it is stated thatThe State shall strive to promote the welfare of the people by securing and protecting as effectively as it may a social order in which justice, social economic and political, shall inform all the institutions of the national life.
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All other Minerals except minor minerals Aluminum & other non ferrous metals Machine Tools Ferror alloys & tool steel Chemical industries (Drugs, dyestuffs & Plastic Antibiotic & other essential drugs Fertilizers Synthetic Rubber Carbonization of Coal Chemical Pulp Road Transport Sea Tranport
By Devesh Sharma
05/04/12
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Policy focus is on
Deregulating Indian industry; Allowing the industry freedom and flexibility in responding to market forces and Providing a policy regime that facilitates and fosters growth of Indian industry
In pursuit of the industrial objectives, Government decided to take a series of initiatives in respect of the policies relating to the following areas:
Industrial Licensing Foreign Investment Foreign Technology Agreements Public Sector Policy MRTP Act
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By Devesh Sharma
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The Industrial Policy Resolution of 1956 identified the following three categories of industries:
Those that would be reserved for development in public sector. Those that would be permitted for development through private enterprise with or without State participation. Those in which investment initiatives would ordinarily emanate from private entrepreneurs. Industrial Licensing is governed by the Industries (Development & Regulation) Act, 1951. Industrial licensing was abolished for all industries, except those specified (18 industries), irrespective of levels of investment
By Devesh Sharma 25
05/04/12
Limit on foreign equity holdings raised from 40% to 51% in a wide range of industries Foreign Equity Proposals need not to be accompanied by Foreign Technology Transfer Agreement Procedure for FDI streamlined by creating a Foreign Investment Promotion Board to consider individual application case by case
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By Devesh Sharma
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Foreign technology agreements in highpriority industries upto Rs. 1 crore were given automatic permission. No permission was required for hiring foreign technicians and foreign testing of indigenously developed technologies.
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By Devesh Sharma
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List of industries reserved for the public (Schedule A) reduced from 17 to 8 List of sector reserved for dominance by public sector (Schedule B) effectively abolished Disinvestment in selected public sector enterprise to raise finance for development, bring in greater accountability & help create a new culture in their working for improved efficiency
By Devesh Sharma 28
05/04/12
Removed the threshold limits of assets in respect of MRTP companies and dominant undertakings Eliminated the requirement of prior approval of Central Government for Establishment of new undertakings Expansion of undertakings Merger, Amalgamation and Takeover Appointment of Directors under certain circumstances. The newly empowered MRTP Commission will be authorised to initiative investigations on complaints received from individual consumers or classes of consumers in regard to monopolistic, restrictive and unfair trade practices.
By Devesh Sharma 29
05/04/12