Important Facts Related to this Issue
- In a developing country like India, the Iron and Steel industry has taken advantage of cheap labor, raw material, and the demanding market.
- Bhadravati and Vijay Nagar in Karnataka, Visakhapatnam in Andhra Pradesh, and Salem in Tamil Nadu are essential steel plants established utilizing local resources.
- The densely populated areas like Gujarat and Maharashtra provide skilled and semi-skilled labor, favorable factors for industries.
- Ahmedabad was the second-largest textile city and was referred to as the ‘Manchester of India‘.
Non-geographical Factors Needed for Industries
Many factors influence the establishment of an industry in a particular region or location. Apart from geographical factors such as land, raw material resource, energy supply, etc., a range of non-geographical factors also determines the location and presence of industries in a region. These factors include a source of capital, labor supply, market demand, and many other factors. Non-geographical factors can be related to that region’s economic, social, or political environment that generates some favorable conditions for the establishment and functioning of the industries. In general, industrial establishments tend to locate where all the favorable factors of industrial activities are either available or can be arranged conveniently at a lower cost. The location decisions of the industry have been generally based on demand, market, and revenue factors which often are affected by several non-geographical factors.