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What is Industrialization?the causes of low industrialization in Madhya Pradesh.

Industrialization is the name of a social and economic process. In this, the socio-economic condition of the human group changes, in which the occupation of industries is dominated. In fact, it is a part of modernization. Large-scale energy consumption, large scale production, excess of metallurgical, etc. are the characteristics of industrialization. In a way, it is a large-scale organization of the economy by promoting construction works. In other words, industrialization is the central dynamic force in the process of economic development of an economy.
There is a resolve to make Madhya Pradesh a developed and industrialized state of the country. This is also possible given its central geographical location and the abundant natural resources available here. This is the reason that the state government's campaign to attract investment in the state has been continuously running for the last seven years.

Industry in Madhya Pradesh is largely dependent on natural resources. Here limestone, coal, oilseeds, pulses, bauxite, iron ores, diamond, copper ore, manganese ore, rock phosphate, silica, soy, cotton, and other natural wealth is abundant. The state remains a strong industrial foundation for sectors such as textiles, cement, steel, food processing, automobile and auto components, pharma, and optical fiber. To invest in the state
Madhya Pradesh is a resource-rich state to attract. The government is continuously improving the business environment through progressive policies and proactive measures. Despite this, Madhya Pradesh is still a backward state in terms of industrialization. 

The reasons for shortage or backwardness in the state's industrial sector can be explained through the following points:

1. Lack of finance- The lack of finance is the main reason behind the industrialization of the state. This includes a weak equity base, poor utilization of assets, inefficient working capital management, lack of cost and pricing, planning and budgeting, and inappropriate use or lack of funds.

2. Production Policies- Another very important reason for backwardness is related to production, which is due to incorrect selection of site, improper plant, and machinery, lack of plant and machinery, quality control, standard R&D, etc.

3. Weak personnel management- Another internal reason for the backwardness of small scale industries in the state includes wrong wages and salary administration, weak labor relations. All this causes dissatisfaction between employees and workers due to the lack of behavioral approach.

4. Ineffective corporate management- Another reason for the sickness of small scale industries is improper corporate planning, which includes lack of honesty, lack of coordination and control, etc. in the top management.

5. Concentration of industries in a limited area - M.P. Concentration of industries is also limited to a few districts due to low industrialization. State total
Out of 51 districts, only 12-14 districts have a concentration of important industries.

6. Transport system- A well-organized transport system has not been developed in the state. Where natural resources are available from the point of view of industries, there is a lack of rail or roadways. This poor transportation system has a negative impact on the development of industries.

7. Lack of investment- There is a lack of investment required for industrialization in the state. Although continuous efforts are being made by the government to promote industrial investment, despite this there remains a lack of investment in this sector.

Apart from this, there are many reasons such as loss of profit rather than lack of necessary infrastructure development for industries, wrong marketing policies, lack of incentive to the private sector, lack of capital support, complex regulatory structure, the slow process at the government level, etc. Which can be attributed to the slow industrialization of the state.


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