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Agro-based Industries

What is the importance of agro-based industries?

1. Agro-based industries like industries related to textiles, sugar, paper, etc use agricultural products as their raw materials.

2. They consist of the processing, preservation and preparation of agricultural production for intermediate and final consumption.

3. They play a crucial role in boosting the country’s economy.

4. These industries are labour-intensive and generate employment especially in rural India.

5. They support the development and help in poverty alleviation.

6. They have a natural tendency to stabilize and make agriculture stable and lucrative.

7. They are important for fulfilling the target of doubling the farmer’s income.

Which industries are being focused?

1. Textile and clothing industry has the potential to grow significantly and shift surplus labour from agriculture sector to more productive industrial activities.

2. Dairy industry is being promoted which includes milk production, collection, processing and marketing.

3. National Bamboo Mission (NBM) with its multidisciplinary and multidimensional approach is trying to promote bamboo production, handicrafts, marketing, export and establish a bamboo wholesale and retail market.

4. Indian Jute industry is also expanding fast and it supports various farmer families and industrial workers in the tertiary sector and also contributes to the export earnings of the country.

How are these industries being promoted?

1. Government has implemented various schemes and policies like:

a. providing collateral-free credit,

b. access to incubation centers,

c. providing better equipment and employment opportunities for entrepreneurs.

2. Director General of Trade Remedies (DGTR), quasi-judicial body also works to protect Indian businesses from unfair practices like Dumping or Subsidies, of other countries.

Where do we need to focus?

1. Agro-based industries provide a competitive advantage both within and outside the country.

2. Policymakers and industry leaders should recognize agriculture in connection with industry as a competitive and value-adding business sector.

3. Its development should be facilitated by them.

4. They help in all-round industrial growth in rural areas.