Industrial Sector
Gujarat Board · Class 12 · Economics
Quick revision notes for Industrial Sector — Gujarat Board Class 12 Economics. Key concepts, formulas, and definitions for last-minute revision.
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Importance of Industrial Sector
- Industrial sector's contribution to national income increased from 16.6% in 1951 to 27% in 2013-14
- Employment in industries rose from 10.6% in 1951 to 24.3% in 2011-12
- Industries earned about 2/3 share of India's export income in 2013-14
Industrial Structure - Classification by Investment Size
- Cottage Industries: Family-run with simple equipment, negligible electricity and machinery use
- Tiny Industries: Labour-intensive with investment up to ₹25 lakhs
- Small Scale Industries: Investment between ₹25 lakhs to ₹5 crores, labour-intensive
Industrial Structure - Classification by Ownership
- Public Sector: Government owned and controlled (Railways, Post, Telephone)
- Private Sector: Owned and managed by private individuals or companies
- Joint Sector: Government holds 51% or more shares but involves private participation
Government Measures for Industrial Development
- State Owned Enterprises: Government establishes basic and key industries requiring heavy investment
- Promotion of Private Sector: Land at concessional rates, tax breaks, cheap finance
- Import Tariff: Tax on imports to protect domestic industries from foreign competition
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