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Question

"Small Industries are small in size but play a big role in the development of rural areas". Explain briefly the role of small industries in rural areas.

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Solution

Small industries have contributes to the development of rural areas in the following ways:

(i) It generates multiple sources of income for rural households by providing them with wage employment and self-employment in commerce, manufacturing and services in wide range of non-agricultural activities.

(ii) It prevents migration of rural people to urban areas in search of employment.

(iii) It provides employment opportunities in the rural areas especially for traditional artisans and weaker sections of society.

(iv) These industries are the producers of consumer goods and absorbers of surplus labour thereby address the problem of unemployment and poverty in rural areas.


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