A G R O -- B A S E D I N D U S T R I E S

1. Importance of Cottage Industries/Small Scale Industries in India

i. Capital investment is very small. So cottage industries suit Indian
economy.
ii. Provide employment to rural workers
iii. They raise the standard of living of people and provide rural
development.
2. Woollen industries are not well developed in India because
i. The climate of India is tropically hot throughout the year.
ii. The demand of woollen clothes is for only 3 months and that too in
northern part.
iii. Indigenous wool is of poor quality hence it has imported from
Australia, Britain
3. Karnataka is famous for silk industries because it has favourable climate
for rearing the silk worms. They have plenty of water for the processing
of the silk fabric.
4. Most of the Jute industries are concentrated in Hoogly basin because
i. Easy availability of Jute from the nearby cultivated lands
ii. Plenty of water available for the processing of Jute.
5. Woollen Industries are highly dispersed because of the demand for
woollen garments is localised and seasonal as well as the availability of
the raw material i,e wool is not concentrated at one place.
6. Punjab is the leading state in the manufacture of woollen goods because
i. Owing to its very cold climate in winter.
 ii. The hills provide good pastures for rearing of good quality sheep.
7. Problems faced by cottage industries in India today are :--
a. Lack of Capital
b. Lack of marketing products
c. Products are not identical
d. Nor do they meet the quality standards
8. Government is encouraging cottage industries in India :-
a. Government gives financial assistance
b. Khadi and village commission is set up to look after their special needs.
9. Sugar industries is highly dispersed in India because it depends upon :-
a. Availability of labour
b. Marine climate
c. Cooperative societies
d. Manage the farmlands as well as mills.
10. Woollen industries are concentrated in North India because of its
cold climate, availability of raw material ie wool as well as market for its
finished products.
11.