Agro Based Industries in India

By : Neha Dhyani

Updated : Apr 5, 2022, 12:14

The Agro-Based Industries in India comprise industries relating to textile, sugar, newspaper, and vegetable oil. Agricultural products are used as raw materials in these businesses.

List of Agro-Based Industries in India

Following is the list of agro-based industries that are prominent in India:

Textiles made of cotton

Vegetable Oil Industry

Textiles made of wool

Tea & Coffee Industry

Textiles made of silk

Textile industry made of jute

Fibres made of synthetic materials

Leather Goods Industry

Agro-Based Industries in India - Overview

Textile Manufacturing

It holds a unique role in the Indian economy, making a significant contribution to Agro-Based Companies in India (14%), employment creation (35 million people directly, second only to agriculture), and foreign exchange gains (about 24.6 per cent). It provides 4% of the country's GDP.

It is the country's sole industry that is self-sufficient and comprehensive throughout the value chain, from raw materials to the highest value-added products.

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Cotton Textile

Cotton textiles were made in ancient India using hand spinning as well as handloom weaving techniques. During the colonial period, our traditional businesses experienced a setback since they couldn't compete with England's mill-made textiles. There are over 1600 cotton and human-made fibre textile factories in the country today.

The private sector accounts for about 80% of these, while the public and cooperative sectors account for the remaining 20%. There are thousands of small Agro-Based Companies in India with four to ten looms.

Cotton textile manufacturing was initially focused in Maharashtra and Gujarat's cotton-growing belt.

Sugar Industry

India is the world's second-largest producer of sugar, but it is the world's largest producer of jaggery. The raw material utilized in this sector is hefty, and its sucrose concentration decreases during transportation.

Uttar Pradesh, Bihar, Mumbai, Karnataka, Tamil Nadu, Andhra, and Gujarat, as well as Punjab, Haryana, and Madhya Pradesh, have over 460 sugar mills. Uttar Pradesh and Bihar account for 60% of all mills. Because this is a seasonal enterprise, it is well-suited to the cooperative sectors.

Jute Textile

India is the world's largest manufacturer of raw jute and jute products, as well as the world's second-largest exporter after Bangladesh. In India, there are approximately 70 jute mills.

There are approximately 70 jute mill Agro-Based Companies in India. The majority of them are in West Bengal, mostly along the Hugli River's banks. The Hugli basin's location is due to several factors, including proximity to jute-producing areas, low-cost water transportation backed by a decent connection of railways, roadways, and rivers and streams to facilitate raw material movement to mills, abundant water for raw jute processing, and cheap labour from West Bengal and neighbouring states of Bihar, Orissa, and Uttar Pradesh. Kolkata, as a large city, provides banking, insurance, and port services for jute exports.

Indian Leather Industry

The Indian leather Agro-Based Companies in India produce 12.93 percent of the world's hides/skins, which are derived from pelts of cattle, large animals, and small animals such as sheep and goats.

Kanpur is known in India for its leather industry since it has some of the best leather factories in the country, all of which are noted for producing high-quality goods. It necessitates a huge workforce, resulting in the employment of many young people in our country.

Agro-Based Companies in India provide roughly 18 percent of India's GDP. According to recent figures, about 42 percent of India's population relies on agriculture to make a living.

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FAQs on Agro-Based Industries in India

Q.1. How many types of Agro-Based Industries in India are there?

There are four types of Agro-Based Industries in India.

Q.2. Which is the most important agricultural sector with the most Agro-Based Industries in India?

Textile is the largest agro-based sector in the world and is the largest industry of Agro-Based Industries in India.

Q.3. What are the types of Agro-Based Industries in India?

Agro-Based Industries in India use agricultural raw materials to produce cotton, jute, silk, woollen fabrics, sugar, and edible oil, among other products.

Q.4. Which industry forms India's second-largest Agro-Based Industries in India?

The sugar industry in India forms the country's second-largest Agro-Based Industries in India.