CLASSIFICATION OF

INDUSTRIES

By
S.Sivanathan
17MIS024
ME-ISE Ist yr
 As per factory act-1948, 10 or more workers with the aid

of power (or) 20 or more workers without the aid of

power.

Industry is the sector of the economy concerned with the

production of goods and services.

All intermediary product output go to other industry while

all consumer product outputs go to the market.

 There are various kinds and range of goods and services

available, so industry may also be of various types.

Broadly we have Four types of industries,

Primary industries

Secondary industries

Tertiary industries

Quaternary industries
 The primary sector of industry generally involves

changing natural resources into primary

products.(i.e.)Most products from this sector are
considered raw materials for other industries.

Scale of operation may be small or may be very large.

Primary industry is a larger sector in developing

countries.
 Examples of primary industries:

Agriculture

Fishing

Forestry

coal mining

oil-refining

metal smelting

stone crushing, etc.

 The secondary sector of industry produces finished and
useable products.
This sector of industry generally takes the output of the
primary sector and manufactures finished goods that are
suitable for businesses, export or sale to domestic
consumers.
The value additions are so significant that they may have
a locational preference in favour of market.
 Secondary industries may again divided into 3 types,

Heavy Industries

Light Industries

Footloose Industries

Heavy Industries :-

Heavy industries are identified by nature of their

bulky product, high capital inputs or units which may have
high capacity to influence environment adversely.

Examples: Chemical industry, Automobile industry,

Shipbuilding industry, Aerospace industry, etc
Light Industries :-

Light industries are less capital intensive and more

inclined to consumer products. products are usually
lighter in weight, require less power, less polluting and
can be established in small areas.
Examples: Clothing industry, Electronics industry, Tobbaco
industry, coesmetic industry, etc..

Footloose Industries :-
Footloose industries are those industries which
nearly remain indifferent with locational aspects of plant.
 Their products are having very high value but smaller in
size and so transportation cost is only a small fraction of
total cost. These industries usually requires a very small
production space, are less polluting but requires highly
skilled workers.

Examples: watch industry, camera industry, diamond

cutting industry, etc.
 They are basically trade and services providing

industries. Services may involve the transportation and

sales of goods from producer to a consumer.

The scale of operation is so large that it is regarded as an

industry.

However, the focus is on people interacting with people

and serving the customer through transfering physical

goods.
 Examples of tertiary industries:

News media

Healthcare/hospitals

Restaurants/hotels

Waste disposal

Estate agents

Government services

Education, etc.
 The quaternary sector of industry is the research

industry. Industrial research looks for new ways to cut

costs, produce new ideas, new production and
manufacturing methods, new markets, etc..
 PRIMARY SECONDA TERTIARY
Cotton is grown and RY
Cotton is processed to cloth, Clothes are sold in high
picked on a cotton which in turn, sewn in to street shops and Fashion
farm clothing shows

QUATERNARY: Research is carried out in new ways of processing

or growing organic cotton and various designing methods of dress.
 The entire fashion industry involves a great number of

different products and services, all of which can be

classified according to industrial sector,

leather Jacket shoe

Cosmetics
 The resistance exerted by an established industry to

move immediately to new location even when its earlier

locational advantages changes to disadvantages.

When an industry established in an area it led into many

industry friendly development in this area with its own

expansion like transport, labour force, ready market,
adequate source of power; finance, etc
 The Union Ministry of Environment, Forest and
Climate Change (MOEFCC) has released a new Four
colour Classification Scheme for industries based on their
pollution level.
The four colour classification scheme of industrial sectors
based on the Pollution Index(PI), is a function of :
Emissions (air pollutants)
Effluents (water pollutants)
Hazardous wastes generated
Consumption of resources
 Based on the Range of Pollution Index, industrial sectors

have been categorized into four colours category:

Red category: PI score of 60 and above. They are

severely polluting industries. It includes sugar, thermal

power plants, paint, cement, petrochemical industry etc

Orange category: PI score of 41 to 59. They moderately

polluting industries. It includes Cotton spinning and

weaving, Automobile servicing and repairs stations, Flour
mills, Non-alcoholic beverages (soft drinks), Fragrances
and perfumes manufacturing industry, etc
 Green category: PI score of 21 to 40. They are significantly

low polluting industries. It includes Mineral water plant, dal

mills, Bakery products, Tailoring and garment making industry,
Printing press, etc.

White category: PI score below and upto 20. They are non-

polluting industries. These industries do not require

Environmental clearance for their functioning. It includes LED
and CFL bulb assembly, power generation using solar
technology, wind power generating units, hydel units less than
25 MW, products made from rolled PVC sheets using
automatic vacuum forming machines, etc..