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ECONOMIC TRENDS
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INDUSTRIALISATION
Development of industries is conditioned by a multiplicity of
factors which can be grouped as natural and external factors of
production. The natural factors of production consist of minerals,
means of power, fuel, water-supply, raw materials and labour.
Under the external factors of production might be grouped capital,
machinery, mechanical equipment, capital goods, power and
transport facilities. The industrial potential of this district is
considered here against the background of the availability of
these factors of production.
Bhir cannot be described as an industrialised district. It is one
of the industrially backward districts of Maharashtra. Whatever
industries are in existence are small-scale factories They are
mainly engaged in the processing of agricultural produce.
The sluggishness in industrial growth in Bhir
district might be due to the. non-availability of minerals, raw
materials required for manufacturing, means of power, capital,
enterprising
entrepreneurs and transport. facilities. Dearth of the requisite
natural resources and industrial raw materials have deterred the
growth of large-scale industries.
An appraisal of the industrial situation in the district is given
in the following paragraphs.
The mineral resources in Bhir, as in the entire Marathwada region
are meagre and consist mainly of building stones, zeolites, and
material for the lapidary industry.
The absence of adequate power supply is one of the main reasons
hampering industrial growth in this district. The existing;
capacity of power generation is insufficient to meet the demand
even for domestic consumption and the present industrial
establishments. The hydro-electric power project on the Purna
river envisages supply of power only to Parali-Vaijnath. The
proposed Purna-Paras grid system may not be of much benefit to
Bhir district except Parali-Vaijnath town and the surrounding
villages. It is, therefore, necessary to step up the existing
capacity of the local generating sets and to establish new thermal
stations at convenient places in the district. Without
electrification on a wider scale, industrialisation will not take
any concrete shape in this district. It should be noted that
electrification will give a spurt not only to industries but will
also lead to agricultural prosperity. It will enable the
agriculturists to draw water from the wells which, in turn, will
help boosting up production of garden crops as also of wheat,
rice, jowar and cotton. The cheaper irrigation, thus available,
will not only reduce the cost of cultivation but will lead to
diversification of the crop pattern.
Another very important factor which determines the growth of
industries is the facility of transport and communications. The
situation as regards transport facilities is not very
satisfactory. During the early years of this century there were no
constructed roads and no line of traffic fit for easy transport.
Roads were just earthen tracks unsuitable for any automobile
vehicle. Even bullock-cart traffic used to be adversely affected
in the rainy season. The government under the then Nizam State
never encouraged road building. The picture has changed to some
extent during the last few years. A few state highways linking the
important towns in this district with commercial centres such as
Sholapur, Aurangabad, Jalna, Latur, Ahmadnagar, Poona and Nanded
have been constructed.
Still the facilities of transport are quite inadequate. The two
railway routes are not of much utility to the district as a whole,
because they traverse only a part of Ambejogai tahsil. Their
usefulness to industry is restricted further by the fact that the
approach roads from other towns to the railway stations are not
satisfactory and of good quality. Transport of industrial and
commercial goods through railways always poses a problem.
The other factors conditioning industrial development are cither
absent or unfavourable in the district. They are lack of skilled
labour, industrial raw materials and circumstances leading to
localisation of industries. The former princely rulers did not
evince keen interest in developing the industrial potential.
Consequently the district remained industrially backward like the
other regions of Marathwada.
The prospects of industrial development in the near future are
discussed below.
Extraction of cotton-seed oil which fetches handsome returns is a
very prospective industry. A cotton-seed extraction factory can be
developed at Bhir or at Parali-Vaijnath. A 60 tons per day
cotton-seed processing plant [Master Plan for Industrialisation
of Bombay State, Department of Industries. Government of
Bombay, 1960.] would require an investment of about Rs. 25 lakhs
inclusive of preparatory machinery and refinery of matching
capacity. In case of a solvent extraction plant, additional cost
of cotton-seed preparatory machinery and attendant non-recurring
expenditure will be about Rs. 7 lakhs. Thus, the total capital
requirement is estimated to be about Rs. 22 lakhs. Such a plant
would employ about 70 to 80 persons.
Better quality and higher percentage of oil is obtainable if the
seeds are decorticated before the extraction of oil. The hitters
which are available after delinting of the seed is a valuable raw
material for the manufacture of surgical cotton, gun-cotton, high
grade paper and certain cellulose products. A composite factory
for recovering linters, decorticating seeds for extraction of oil
and refining Will, therefore, be more economic.
The agricultural resources available in the district can support
small industries like cotton spinning, hydrogenation of groundnut
oil, gul making and power-loom weaving. Small-scale
engineering units as ancillary industries may not figure
prominently. However, small steel re-rolling mills and workshops
for the production of agricultural implements and pumping sets can
be established at convenient places like Parali-Vaijnath and Bhir.
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