5 physical factors which influence the location of industry
Answers
1. Availability of raw materials: In determining the location of an industry, nearness to sources of raw material is of vital importance. Nearness to the sources of raw materials would reduce the cost of production of the industry. For most of the major industries, the cost of raw materials form the bulk of the total cost. Therefore, most of the agro-based and forest-based industries are located in the vicinity of the sources of raw material supply.
2. Availability of Labour: Adequate supply of cheap and skilled labour is necessary for and industry. The attraction of an industry towards labour centres depends on the ratio of labour cost to the total cost of production which Weber calls ‘Labour cost of Index’. The availability of skilled workers in the interior parts of Bombay region was one of the factors responsible for the initial concentration of cotton textile industry in the region.
3. Proximity to Markets: Access to markets is an important factor which the entrepreneur must take into consideration. Industries producing perishable or bulky commodities which cannot be transported over long distance are generally located in close proximity to markets. Industries located near the markets could be able to reduce the costs of transport in distributing the finished product as in the case of bread and bakery, ice, tins, cans manufacturing, etc. Accessibility of markets is more important in the case of industries manufacturing consumer goods rather than producer goods.
4. Transport Facilities: Transport facilities, generally, influence the location of industry. The transportation with its three modes, i.e., water, road, and rail collectively plays an important role. So the junction points of water-ways, roadways and railways become humming centres of industrial activity. Further, the modes and rates of transport and transport policy of Government considerably affect the location of industrial units. The heavy concentration of cotton textile industry in Bombay has been due to the cheap and excellent transportation network both in regard to raw materials and markets.
5. Power: Another factor influencing the location of an industry is the availability of cheap power. Water, wind, coal, gas, oil and electricity are the chief sources of power. Both water and wind power were widely sought at sources of power supply before the invention of steam engine. During the nineteenth century, nearness to coal-fields became the principal locating influence on the setting up of new industries, particularly, for heavy industries. With the introduction of other sources of power like electricity, gas, oil, etc. the power factor became more flexible leading to dispersal and decentralization of industries.
The following are the five factors that influence the location of an industry:
1. Availability of Raw materials: the availability of raw material near the factory is a necessity of a factory if the raw material is overweight and cumbersome to carry, for instance, iron and steel industries, that are placed near the source of raw material.
2. Water Source: the supply of water is another important factor that decides the location of industry. As water from the rivers and waterfalls can also be used in the production of hydroelectricity.
3. Power supply: as the modern industry works on machines, the availability of electricity becomes vital in choosing the location of the industries.
4. Climatic conditions: climate plays an important role in selecting the location of industries. For instance, the harsh climate (very humid, extremely hot or extremely cold) is not much proper for industries. Thus, while choosing a location for industry set up one should keep in mind the climate of the place.
5. Transportation: transport by water or land is crucial for gathering raw material and for marketing of the furnished goods.