RESOURCE BASED
Agro based
Forest based
A.H. and Poultry based
Mineral based
Marine based
Miscellaneous
Agro-based
Agro-produce Agro-produce Agro-input Agro-service Processing Manufacturing Manufacturing units units units units
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Those
industries which have either direct or
indirect link with agriculture. `
Industries which are based on agricultural produce and industries which support agriculture come under agro-based industries.
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Agro-produce processing units: units : These industrial units simply process the agriculture produce .
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They do not manufacture any new product. The bulkiness of the produce is reduced.
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They simply process the raw material so that it can be preserved or transported .
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Eg.. Rice mills, Dall mills, G.N. Decorticating units .
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These
units manufacture entirely new products
based on agricultural produce as main raw material . `
The
finished goods will be entirely different when
compared to its original raw material. `
Sugar factories, textile mills, paper mills etc.
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These industrial units produce goods either for mechanisation of of agriculture or for increasing productivity of agriculture.
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These units are directly linked with agriculture , as they support agriculture at various stages.
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Eg., Industries manufacturing fertilizers, pesticides, all types of agril. implements, pump sets etc.,
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These are the workshops and service centers which wh ich are engaged in repairing and servicing of agricultural implements and machinery.
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Eg : Servicing Servicing center centerss of pump sets, sets, tractor tractors, s, diesel engines,
Establishment of Agro-based industries at a particular place is based on the availability of raw material. ` As suc h agro-based industries have to be set up in rural areas where raw material may be available in plenty. ` Establishment of agro-industries in rural areas helps in the up-liftment of rural economy. `
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Agro-industries provide employment opportunities to rural population.
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Setting up of agro-based industries in rural areas will generate income thereby improving the economic conditions of the people , which in turn create the potential for demand based industries.
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Establishment of Agro-based industries in rural areas will help in
Dispersal of industries.
Reducing exploitation exploitation of producers by middlemen.
Assuring a better price to producers.
Bringing more areas under different crops,
Reducing transporting costs of produce and thereby price of the finished products.
Reducing wastage of perishable agricultural commodities.
Increasing the incomes of farmers.
Development of backward areas.
Preventing in the migration of people from rural areas to urban areas.
They are suitable to rural areas as they are raw material oriented. The up-lif up-liftment tment of rural economy is possibl possible. e. They provide employment opportunities to rural people, solving the problem of underemployment and disguised unemployment.
Improve the purchasing power of rural people through income generation . This creates potential for demand based industries and improves the standard of living of people. Decentralisation and dispersal of industries is possible through establishment of agroindustries in rural areas.
To bring rural economy on par with urban economy ,rural industrialisation is important. To achieve a balanced growth of industry and agriculture , Agro-industries should be encouraged. To solve the problem of exploitation of farmers by middlemen.
Transport Trans portation ation cost of agric agricultur ultural al produ produce ce can be reduced by processing them at the place of production. Infrastructural facilities can be improved in rural areas and create potential for the establishment of other industries in rural areas.
Backward areas can be developed. They curb the migration of people from rural areas to urban areas.
Industry
and agriculture are closely inter-
related. Improvement
in the productivity of
agriculture is one of the most important means of promoting industrialisation.
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Unless
agriculture is modernised ,
industrialisation in under developed countries is not possible.
Higher
purchasing power in the hands of
people create demand for other goods.
Industrial development helps in the modernisation of agriculture and provide a technical base for agriculture.
Industry and agriculture in the initial stages may look competitive but in the long run they complement each other.
There should be a balanced growth between agriculture and industry.
It supp supplie liess raw mater material ial to ind indust ustry. ry.
Provides sustenance to people engaged in industry.
Provides purchasing power to agriculture community to purchase industrial goods.
Accumulation of money in agriculture may
become capital investment to industry.
Consumption of more manufactured commodities and services and less food products is a consequence of higher incomes and a sign of high standard of living.
Ministry of Agriculture deals wit h rice mills, sugar
mills, bakeries, cold storages. storages .
hadi K hadi
and Village Industries Commission
(K VIC) looks after the traditional agro-based industries like Gur and K handasari handasari Director
General of Trade and Development
looks after the industries engaged in the manufacture of tractors , power tillers, diesel engines, pump sets etc.,
Agro-industries Agro-industries
Development Development Corporation Corporation
(AGROS) in eac h state mainly supply agricultural machinery, inputs and agricultural advisory to farmers. Some
of the corporations have also undertaken
certain manufacturing activities
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Small Industries Development Organisation (SIDO) deals wit h hosiery, osiery, processing processing of food products, beverages, food and fruit preservation, agricultural implements implements , pesticide formulations etc.,
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Agricultural and Processed Food Products Development Development Authority (APEDA) helps in setting up of fruit and vegetable processing units and export of raw fruits and vegetables.
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They prepare project reports and help in setting of these units in the country and export of the processed products.
Assessment of t he agricultural resource potential in the area. Quantification of the output. Present utilisation of resources by the existing units. Surplus produce left out. Preserving requirements of the resources.
Selection of certain items of considerable importance. Growth centre approach for actual location of the units. Preparation of industrial profiles and feasibility studies.
Identification of entrepreneurs. Selecting appropriate tec hnology and imparting suitable training. Arranging finance. Marketing assistance.
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No-availability of raw material throughout the year.
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Under-utlilisation
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Changing cropping patterns make the units defunct.
of the capacity of the unit.
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Failure of monsoon may hit the supply of raw material.
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Units
may have to diversify to t o utilise
different varieties of the same product. `
Proper guidance of entrepreneurs is not available.
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Certain agro-based units are capital intensive and financing by institutions is a difficulty.
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Promotional activities by Govt. departments is inadequate.
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Uncertainty
about market demand.
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Absence of information about the market.
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Absence of proper integration among various agencies of development in the district.
Coordination
between Agro-industries Corporations
and Research institutions. Study
of existing units before setting up of new n ew
units. Growth
centre approach to locate units.
Identification
training.
of entrepreneurs and imparting
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Establishment of a cell of technical officers for technical guidance.
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Proper institutional set up to achieve integration among various agencies of development in the district.
