Industries can be classified into several groups, as below


  1. On the basis of Strength of Labor
    1. Large scale Industry
      • These employ a large number of labourers in each unit
      • Cotton and Jute textile industries are large scale Industries
    2. Medium scale Industries
      • These employ neither large nor very small number of labourers
      • Cycle industry, Electronic Industry are some examples of this type
    3. Small scale Industries
      • These are owned and run by individuals, which employ small number of labourers


  1. On the basis of raw material and finished goods
    1. Heavy Industries
      • These use heavy and bulky raw-materials and produce products of the same category
      • Iron and Steel Industry, present a good example of heavy industries
    2. Light Industries
      • These use light raw materials and produce light finished products
      • Electric fans, sewing machines are light industries


  1. On the basis of Ownership
    1. Private sector Industries
      • Industries owned by individuals or firms such as Tata groups, can be grouped under this category
    2. Public Sector Industries
      • Industries owned by the state and its agencies like Bharat Heavy Electricals limited, Durgapur Steel Plant belong to this category
    3. Joint Sector Industries
      • Industries owned jointly by the private firms and the state or its agencies such as ‘Oil India Limited’, belong to this group
    4. Co-operative sector Industries
      • These are owned and run co-operatively by a group of people who are generally producers of raw materials
      • Sugar mills owned and run by farmers belong to co-operative sector Industries


  1. On the basis of source of raw material
    1. Agro based Industries
      • These are those Industries which obtain raw-material from agriculture
      • Cotton textile, Jute, Sugar, Vegetable oil are the industries of this category
    2. Mineral Based Industries
      • These receive raw materials primarily from minerals such as iron and steel, aluminum, etc.
      • Cement Industry falls into this category
    3. Pastoral based Industries
      • These are dependent on animals for their raw materials
      • Hides, skins, bones, horns, diary, etc. are some of the examples
    4. Forest based Industries
        • Paper card-board, rayon, tanning of leather, basket industries are included in this category


  1. Miscellaneous Industries
    1. Village Industries
      • These are usually located in villages and primarily cater to the needs of the rural people
      • They usually employ local machinery, and engage in activities such as oil extraction, grain grinding and agricultural implements
    2. Cottage Industries
      • Industries where artisans set-up the implements in their own houses, work with wood, cane, brass, stone, etc. belong to this category
      • Handloom, khadi and leather work at artisans’ house fall in this category
    3. Consumer goods Industries
      • These convert raw materials or primary products into commodities directly used by the people
      • Textiles, Bakery products, sugar, etc. are some of the examples
    4. Ancillary Industries
      • The manufacture parts and components of these Industries, are used by big industries for manufacturing heavy articles like trucks, buses, railway engines, tractors, etc.
    5. Capital-Intensive Industries
      • These require huge investments for their functioning
      • Iron and steel, cement and Aluminum are examples of capital intensive Industries