He is a potter, making pots with the help of his family members. He sells pots in the nearby local market, or sometimes he gives them away for barter. What type of industry is he engaged in?
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Cottage Industry
Manufacturing is grouped by size into household or cottage, small-scale and large-scale industries. The potter works at home with his family, uses local clay and simple tools, and sells in the local market or barters his pots.
Option (1) Small scale Industry — Incorrect. Small-scale manufacturing is done in a workshop outside the home, with simple power-driven machines and semi-skilled labour.
Option (2) Cottage Industry — Correct. Work at home, family members as workers, local raw material, simple tools and sale in the village market or barter are all marks of cottage manufacturing, the smallest manufacturing unit.
Option (3) Large scale Industry — Incorrect. Large-scale manufacturing needs a large market, skilled labour, advanced technology, huge energy and vast capital, and it makes goods in very large quantities.
Option (4) Joint sector industry — Incorrect. This is a group based on ownership, not size. Joint sector industries are run by joint stock companies, or by the private and public sectors together.
NCERT (2026-27): “HOUSEHOLD INDUSTRIES OR COTTAGE MANUFACTURING … It is the smallest manufacturing unit. The artisans use local raw materials and simple tools to produce everyday goods in their homes with the help of their family members or parttime labour. Finished products may be for consumption in the same household or, for sale in local (village) markets, or, for barter.” |