Private sector industries
Topic: Secondary Activities: Manufacturing and Industrial Location · NCERT: Class 12, Ch 5 "Secondary Activities"
Meaning
Private sector industries are owned by individual investors and run by private organisations, not by the government. Their main aim is profit. They are the main form of industry in capitalist countries, where individuals own the factors of production such as land, capital and factories.
Example
Tata Steel is a private sector industry in India. Its plant at Jamshedpur in Jharkhand is close to iron ore and coal fields. Reliance Industries is another example. It runs a large refinery and petrochemical complex at Jamnagar in Gujarat.
Don't confuse with
- Public sector industry: owned and managed by the government, for example SAIL or ONGC.
- Joint sector industries: owned and run by the government and private investors together.
Related concepts
- Basic industries
- Consumer goods industries
- Public sector industry
- Joint sector industries
- Mixed economy