Answer:
Agro-based industries are those industries which obtains raw material from agricultual activities. Cotton textile, jute textile, silk, sugar, vegetable oil and paper industry industries of agro-based group of industries. Its characteristics are: (i) Agro-based industries are part of small scale industry which needs very nominal investment. (ii) The contribution of Small scale industrial sector to employment is next to agriculture. (iii) Most crucial factor is the availability of the raw materials. It should be available within a radius of 60 kms. In addition, water, power and other infrastructure facilities like access to road, railways, ports and airports as well as the markets for the products have to be ensured.
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