Chapter - 2 Industrial Development of Maharashtra Contents 2.1 Early Beginning
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Chapter - 2 Industrial Development Of Maharashtra Contents 2.1 Early Beginning 2.1.1 Emergence of Railways 2.1.2 Cotton Textile Industry 2.1.3 Generation of Hydro Power 2.1.4 Sugar Industry 2.1.5 Gur Industry 2.1.6 Engineering Industry 2.1.7 Glass Industry 2.1.8 Pharmaceutical Industry 2.1.9 Mining Industry 2.1.10 Other Industries 2.2 Second World War 2.3 After Independence 2.4 After formation of Maharashtra 2.5 Growth of Small Scale Industries 2.6 Spatial Distribution 2.7 Qualitative Change In The Industries 2.8 Co-operative Sector 2.9 Public Sector Undertakings In Maharashtra 2.10 Important role played by Government 2.10.1 Industrial Estates 18 2.10.2 Finance for Industry 2.10.3 Efforts to decentralize Industries 2.10.4 Adequate Supply Of Power 2.10.5 Labour Legislation 2.11 New Class of Industrialist 2.12 Local Entrepreneurship 2.13 Industrial Location Policy 2.14 Infrastructure Facilities 2.15 Industries In Maharashtra (Recent Development) 1991 onwards 2.16 Industrial Scenario of Maharashtra 2.16.1 Industrial Policy 2.16.2 State Government’s Industrial Policy 2.16.3 Developments in organized sector: 2.16.4 Package Scheme of Incentives 2.16.5 Assistance to industries 2.17 Industrial Development in 2000 2.18 Electronics Industry 2.18.1 Introduction 2.18.2 Meaning and Definition 2.18.3 Importance 2.19 Development of Electronics Industry In Maharashtra 2.19.1 Historical Perspective W 2.20 Electronics Industry In 90’s 2.21 Post 1990’s Development Of Electronics 2.22 Electronics Production By States 2.23 Profile of Electronics Production 2.24 Conclusion 20 Chapter 2 Industrial Development Of Maharashtra 2.1 Early Beginning In the early nineteenth century, main industries in Maharashtra, like all places in the country, were confined to Indian courts, places of pilgrimage & centers of international trade. These industries were essentially in the nature of handicrafts producing fine textiles & other luxury products for the aristocracy. Some of these industries had also reached high water marks of excellence & enjoyed an all India reputation. Thus Nagpur and Umrer were the centers of hand woven Silk bordered cloth, which was praised all over India for its artistic skill & refined finish. Belgaum, Pune and Irkal were famous for their silk fabrics and Yeola for the Paithani. Paithani had become the craze of every aristocratic woman. The brass metalware of Pune, Nashik and Sangli and the Bidriware of Aurangabad had a great demand all over Maharashtra. The main feature of these industries was that they were catering to local demand & because of limited transport & communication facilities they had a very small local market, which affected their growth and expansion. Apart from such organized industries in a few centres, every village not only grew most of its food, but also provided from its own resources satisfaction of wants of local population. Its cloth and often the raw material for it, its sugar, its dyes, its oil for cooking or lighting, its household vessels, and agricultural implements were manufactured or produced either by the cultivator himself or by the villager craftsmen who were members of the village community. 2.1.1 Emergence of Railways Eighteen - fifties were a decade of great public works activity throughout India. The first railway in India was opened in 1853 between Bombay & Thana, a distance of twenty-one miles. By the middle of sixties the railway lines were extended towards the cotton growing areas of Deccan Plateau and Gujrath. Railway operations forced establishment of railway workshops and expansion of foundry facilities for maintenance & repair works. These workshops and foundries provided necessary training & experience to many Indian technicians and this resulted in opening of many engineering works in Maharashtra. The improved transport facilities by railway greatly helped to develop export trade of raw cotton through the port of Bombay. This trade in turn gave rise to a number of cotton presses meant for bailey cotton. Some of these presses were large and employed more than 1000 workers. 2.1.2 Cotton Textile Industry The first textile mill was established in 1854 at Tardeo (Bombay) named Bombay spinning mill. Other enterprising merchants followed up this successful venture. Early Eighteen sixties were much favourable to the cotton trade in Bombay. Outbreak of the American civil war in April 1861 stopped cotton export from South America and textile industries in Europe had to depend on Indian cotton. During the period between 1861 and 1865, every year, about one million bales of cotton were exported from Bombay. During this period a number of textile mills were established in Bombay and elsewhere. At first Bombay was marked out as the most favourite centre but soon it spread to other places as well. Cotton textile mills were erected at A/agpur in 1887 by 22 the late Mr. J. N. Tata and at Solapur in 1877 by the late Morarji Gokuldas. Nagpur and Solapur were particularly selected as the new centers of cotton mills because they commanded the cotton zones of Berar and Karnataka respectively. The British Government was slowly changing its attitude of indifference and discouragement to Indian industries. Outbreak of the World War I in 1914 brought home the inherent weakness of Indian economy. An industrial commission was appointed in 1916 to chalk out the lines of industrial development in the country and it was followed by appointment of Fiscal Commission in 1922, which recommended a policy of discriminating protection. This policy was accepted by then Government and it helped the establishment and growth of industries in the country and particularly in port cities like Bombay. The stoppage of imports during the First World War and the Swadeshi movement also helped the growth local industries. Though the industry was started in Bombay with the spread of railways, this industry spread very soon to mofussil areas. The industry spread to many cotton growing areas such as Solapur, Nagpur, Khandesh, Wardha, Barshi, Amraoti etc. The princely status of Sangli and Miraj were also able to attract two textile mills within their jurisdiction. Apart from the textile mills power-looms were established in large numbers in centers like Ichalkaranji, Bhiwandl, Malegaon & Sangli, Vidarbha areas continued to have large concentrate of handlooms. The location of cotton textile industry in the interior areas of the state was determined by the availability of labour, raw material & the existence of a reliable market in nearly areas. a 2.1.3 Generation of Hydro Power Another significant factor, which contributed to the industrial development of Bombay, is the generation of Hydro-Power by Tata Hydro-Electric Supply Company Ltd. Dams were constructed at Mulshi and Lonavala and the power was switched on from this power station on 1 1 February 1915. The availability of power helped further development of industries in Bombay. During the inter war period considerable industrial development had taken place in Maharashtra. Among important - industries were textiles, sugar, paper, glass, engineering, chemicals, minerals & metals etc. 2.1.4 Sugar Industry The first sugar factory in Maharashtra was established in Belapur in Ahmednagar District in the year 1918 & for years together was the only factory in this region manufacturing sugar directly from sugar cane. From 1933 to 1940 around 12 sugar factories were set up in Maharashtra at different places like Phaltan, Walchandnagar, Shrirampur, Kopargaon, Belvandi, Ravalgaon, Kolhapur, Akiuj etc. More than one crore of rupees were invest in these factories. 2.1.5 Gur Industry Gur Industry is one of the ancient industries of Maharashtra. Prior to the establishment of the Sugar factories the cultivation of Sugar Cane in the Deccan Canals area was entirely done for this industry. This is a decentralized industry and was mainly concentrated in Pune, Baramati, Kopargaon, Belapur & Kolhapur areas. During factories M/s. Chitale Bros, made an attempt to organize production of gur by promoting public Limited Company. 2.1.6 Engineering Industry In 1934 there were about 37 engineering factories in Maharashtra employing about 6000 workers on an average. Majoring of them were railway workshops engaged in all sorts of repairs in connection with railway wagons & machinery. The Satara Industries works & Kirloskar Brothers Ltd. were the two large concerns in engineering industry. The above two companies did quite a good deal of pioneering work in manufacturing a agricultural implements like iron ploughs, sugar cane crushers, nut crackers and other sundry things like cots, shelves, chairs and a variety of agricultural implements. Some of the engineering factories like G.G. Dandekar Machine Works at Bhiwandi were also manufacturing rice hulling plants, floor mills, weaving machinery and similar kinds of machinery on a smaller scale. They had also exported to some countries in Africa, Iran and Burma some of their machines. 2.1.7 Glass Industry In forties, there were in all five-glass factories, they had a total investment of Rs.10 lakhs and provided employment for about 1000 workers. The Paisa Fund Glass Works promoted by Lokmanya Tilak provided training ground to many ambitious young entrepreneurs, who subsequently started independent factories. Ogale Glass works Ogalewadi; Onama Glass Works at Gondia, Vijay Glass Works at Bombay and Paisa Glass Works at Talegaon were some of the important glass factories established in Maharashtra during this time. 2.1.8 Pharmaceutical Industry Dhootpapeshwar Industries in Panvel was started in 1872 and Sandu Brothers started another Pharmaceutical unit in 1899. As a result of their 25 success till 1925 quite a few pharmaceutical companies were started in Maharashtra. Among them could be mentioned Ayurveda Resashala at Pune, Ayurvediya Arkashala at Satana, Ayurvedashram pharmacy at Ahmednagar, Maharashtra Chemicals, Magora Chemicals, Chemoforma Laboratories, Zandu Pharmaceuticals, T.