Textiles, sugar, vegetable oil and plantation industries derive their raw materials from agriculture. These are therefore called agro-based industries.
The Sugar Industry:
After the cotton textile industry, the sugar industry is the most important agro-based industry in India. It provides employment to about 0.5 million skilled and unskilled workers constituting about 7.5% of the rural population and about 45 million sugarcane farmers.
India ranks second in the world production of sugar despite the fact that it is the largest producer of sugarcane. There are two main reasons for this:
1. The sugarcane grown in India is of low quality with low sugar content.
2. More than half of the sugarcane is used to produce gur and khadsart.
India has emerged as the largest sugar producing country in the world with a 15 per cent share of the world’s sugar production. However, the share in international trade of sugar is only 0.5 per cent.
Development of the Sugar Industry:
India is the native of sugarcane and the art of preparing gur and khand owes to this country. The development of the industry on modern lines dates from 1903 when a sugar mill was started in Bihar. Subsequently, sugar mills were started in other parts of Bihar and Uttar Pradesh. In 1931, their number reached 31, of which 14 were in Uttar Pradesh, 12 in Bihar and only 5 in other states. After 1932 this industry made remarkable progress and the country became self-sufficient in sugar.
Production of sugar increased during the war. In 1950-51, 139 factories were in operation producing 11.34 lakh tonnes of sugar. Sugar production in India has been cyclic in nature due to good