Industries of Karnataka

Karnataka > Industries of Karnataka

Karnataka State is endowed with a large number of useful minerals, raw materials, marine resources, besides infrastructural facilities such as transport and communication, banking, technical man-power, industrial estates, industrial areas, International Technological Park, Information Technology, Biotechnology, and Electronics etc. A sound industrial base has been built up over a period of time and good labour relations have helped the state achieve a pre-eminent position on the industrial map of the country.

The Central and State Governments have declared special incentives and concessions for the development of industries in the State. The mineral based industries such as iron and steel, manganese, cement, bricks, tiles etc., have played a vital role in the state. Agro-based industries such as sugar, cotton, textile, oil extraction, processing of cashew-nuts, fruit processing and food products are prominent. Wood-based industries such as saw mills, paper mills, plywood, poly-fibres etc., are flourishing in the State. The need for supporting institutions relevant for development of industries in the State was realised by the Government even before independence and some of the important measures which were introduced include starting of the Department of Industries and Commerce (1913), the Mysore Bank (1913), and the Chamber of Commerce (1915). Hydro electric power was first produced at Gokak Falls on a small scale as early as in 1887 and on a large scale, to meet the needs of Kolar gold mines in 1902 at Shivasamudram.

About 14 percent of the State's income is expected from the industrial sector during 2003-04. The growth of gross value added during 2002-03 which was about 8.2%, is expected to increase by about 10.4% in the year 2003-04. Manufacturing industry account for 62% of the secondary sector. The average annual growth of industrial production (mining, manufacturing and electricity) was 2.39% in 2002-03 against 3.89% in 2001-02. According to the index of industrial production, in 2002-03, manufacture of food products (7.06%) recorded the highest growth followed by paper and paper products (6.18%), wood and wood products (6.08%), rubber, plastic, petroleum and coal products (4.90%), wool, silk and synthetic fibre textiles (3.80%). Barring items like aluminium, pig iron, saleable steel, steel ingots, wrist watches, silk fabrics the production of the rest of the products showed a positive growth in 2002-03. During 2002-03, 12029 small scale units were registered with an investment of Rs.408.36 crores, providing employment to 57371 persons. In the year 2003-04 (April to December 03), 6528 small scale units were registered with an investment of Rs. 183.68 crores, providing employment to 30533 persons. In the year 2002-03 (up to Dec'03) 5746 industrial sheds were constructed, 396 acres of land was developed and allotted to 235 entrepreneurs. 1472 joint stock companies were registered with an authorised capital of Rs. 1947.84 crores in the State in 2002-03. In the first eight months of 2003-04, 1162 joint stock companies were registered with an authorised capital of 2046 crores. In 2002-03 the sericulture industry produced 55,800 MT.s of cocoons of which 49,300 M.Ts. were marketed and provided employment to 11.5 lakh persons. In the first eight months of 2003-04 the sericulture industry produced 28,000 M. Of cocoons of which 25,500 M. Were marketed and provided employment to 11.5 lakh persons.

Traditional Industries in Karnataka

Many crafts and industries have flourished in the state from ancient times. Of the industries of Karnataka, production of textile is an important industry. It had centres all over Karnataka and they included places like Binnamangala, Aigandapura (Bangalore Dt), Belgavi (Shimoga Dt), Arasikere (Hassan Dt) and Chinmali (Raichur Dt) to speak of the most prominent centres mentioned in inscriptions. During the medieval times Hubli, Gadag, Badami, Ilkal, Kodiyala, Guledgud, Bangalore and Doddaballapur became notable centres. The Adilshahi rulers of Bijapur started paper and agarbathi (joss stick) industries in their territory in North Karnataka. A British factory founded at Kadwad on the banks of the Kali in 1638 exported cloth from the hinterland at Hubli. Under Chikkadevaraya of Mysore, Bangalore had 12,000 families of Weavers and Dodballapur also grew to be a major centre of textile production. Under Tipu, many weavers from Baramahal in Tamilnadu settled down in Bangalore and surrounding places. Buchanan, while speaking of the Mysore State during his visit, says that there were a class of weavers called Togataru who wove coarse, thick, white cotton cloth with red borders and Holiars who wove coarse, white strong cloth called parakali. Karnataka women spun yarn using a charkha in their spare time and Buchanan says that a full-time spinner earned as much a farm worker. But the Industrial Revolution ruined spinning as a profession, and also throttled weaving on a major scale.

Weaving coarse blankets (kambli) also flourished and inscriptions speak of Davangere and Dodballapur as the two centres of this industry. Dr. A. Appadorai speaks of Budihal (Chitradurga dt.) as a centre of producing cloth from hemp fibre. Inscriptions speak of Pattegars or silk weavers from Lakshmeshwar (Gadag dt.) and Varagiri (Haveri dt.). Though the raw silk was imported in ancient times, Tipu introduced sericulture in Mysore on a large scale. Buchanan speaks of the Khatries (Kshatriyas, people from the Southern part of Gujarat) in Bangalore who prepared very strong and rich clothes. They dyed much of their silk and were more wealthy than other weavers, he adds. These people had also settled in Hubli in good numbers. They were well-versed in brocade work too. Production of oil was another flourishing industry in the state, sesamum and linseed, soyabean, nigerseed, rape and mustard, sunflower, honge seed, castor, coconut, kusube (safflower) etc., were used to extract oil.

The Panchalas included blacksmiths, goldsmiths, coppersmiths, braziers and carpenters and they are also called Vishvakaramas. An inscription of 11 th Century from Mysore district speaks of a blacksmith who was an expert in producing swords. Under Mysore Rulers, Chikkadevaraya had Kabbinadachavadi (3s3p23«>s38), perhaps to supervise production and sale of iron tools and implements. Tipu continued this monopoly and he also founded a state foundry at Kanakapura where even canons were forged. Buchanan speaks of manufacture of iron from sand accumulating in the rainy seasons at places like Madhugiri, Chennarayanadurga. Hagalavadi and Devarayanadurga. He gives the technical details of iron smelting too at these places. He speaks of iron ore from Ghattipura in Magadi taluk. He also informs us of manufacture of steel which was used to produce sword blades and stone cutter chistles at Magadi near Bangalore and other places. He tells us that Channapatna was a centre of production of steel wires which had a demand all over was used in musical instruments too. Tegur near Dharwad, Halgur in Mandya, Benkipura (modern Bhadravati) etc., were notable centres of iron production and charcoal to smelt iron was available in abundance in the forests of Western Ghats, which had also abundant iron mining centres.

Production of jewellery was also a flourishing industry and Manasollasa gives a long list of jewellery worn by both men and women. Among the Panchalas, the goldsmiths make the jewels, earlier, they minted coins by paying a fee called tonka to the State. There were state mints at Lakkundi, Sudi, Kudutini, Belgavi, Mangalore, Barkur and the capital cities. The Kasars or Kanchugars (braziers) produced bronzeware which included vessels, musical instruments like bells and trumpets, lamps of various kinds, mirrors and images of various deities. They are mentioned in many records and the one at Laksmeshwar of the 8th century is notable among them. Carpentry was another profession of the Panchalas and in addition to the production of agricultural implements and household furniture; they also produced chariots, carts, boats and palanquins. They also built palaces with decorated pillars, panels and ceilings. All old palaces were mostly wooden as can be seen even today by those surviving ones at Shimoga, Bangalore and Srirangapattana.

Production of foot-wear, waterbags, shields, beds and cushions, drums, etc. was undertaken by leather workers called Samagars (tanners) and Mochis. Footwears produced by them were of a variety of designs and colours as testified to by Manasollasa. A Badami record speaks of their guild. The Kumbaras or potters were producing earthern vessels and tiles. The vessels were both handmade and wheel turned. Production of salt and lime were two other notable industries. Salt was produced from sea water on the coast and the salt stones mined. There were uppina moles or salt pans mentioned in records. Places like Uppina Kuduru, Uppinamogaru, Uppinapatna, Uppuru, Uppalli, Uppinangadi etc., are reminders of the fact that these places were centres of salt manufacture. The Uppars were the caste engaged in producing salt. This traditional industry which supported thousands, came to be ruined after the British made salt production a state monopoly. Buchanan speaks of the industry as flourishing at Tekal (Kolar dt) and gives details of the techniques of production adopted at the place. Lime was produced both from sea shells on the coast and from lime stones mined. Buchanan also described the kilns at Kadugodi near Whitefield (Bangalore dt). There was a community called Sunagars engaged in this industry.

Production of glass bangles was also a flourishing industry. A record of 1161 from Belgaum district speaks of Senahalli, Kallakundarge (Kallakundri) and Nittur as centres of this industry. The Balegars formed a seperate caste and Kannada poet Ranna was of this caste. Some of them had the surname Setti as seen from inscriptions. Buchanan speaks of Muttodu in Chitradurga district as a centre of bangle manufacture and he mentions that these bangles were of five colours viz., black, green, red, blue and yellow. He also states that glass produced there was opaque and coarse and materials needed for glass making were available in the neighbourhood of the place. He also describes manufacturing glass bangles and bottles at Channapatna and here this industry was started under the initiative of Tipu.

Production of jaggery, sugar candy was other notable industries. Inscriptions speak of alemane found in many parts of Karnataka where sugar cane juice was boiled and jaggery was manufactured. Buchanan speaks of this manufacture as seen by him at Maddur and surrounding villages. Palm juice was also used to produce jaggery. Tipu had made special efforts to foster sugar and sugar candy industry and has even secured the assistance of Chinese technicians. Buchanan speaks of sugar produced at Chikkaballapur which he describes as very white and fine and the sugar candy of the place was "equal to the Chinese". The Astagrama sugar works started at Palahalli (Mandya dt) in 1847 was famous for its crystal sugar. It had the privilege of participating in international exhibitions of 1850, 1861 and 1867 held at London and had even won a prize. But it stopped working later due to various reasons.

Manufacture of perfumes was another industry. Manasollasa in the section 'Snanabhoga' (on enjoying bath) refer to perfumed oil and ointments and also speaks of the processes of their production, using mostly the raw materials derived from vegetable sources. A good number of craftsmen especially in villages were partly agricultural and also pursuing their craft which was hereditary and the training was mostly imparted by father to son. The craftsmen had their flourishing guilds, and even the Shatavahana records make a mention of these nigamas, nikayas or shrenisfm Sanskrit). In Kannada, the guilds were called kottali, shreni, samaya, samuha or hittu. A record of the Badami Chalukya times from the capital city speaks of the guilds of garland makers (malekaras), cobblers etc, A record of the days of the same dynasty from Lakshmeshwara mentions the guild of the braziers and another of Pattegars (silk weavers). The State did protect the guilds and maintained their privileges. Inscriptions speak of saligasamaya or jedagottalli, the guilds of weavers, oddagottali (the stone-cutters guild) or telliganakhara or oilmen's guild. Some of the guilds are mentioned with certain numerical suffixes attached to thier professional name such as telttga ayvattu (fifty) or ugura munnuru (300), the ugurus being pluckers of betal leaves or gale munnuru (300), pluckers of fruits in orchards. Uguru literally means nail and they plucked leaves by attaching a small chistle to their nails, ugundi. Gale or bamboo was used to pluck fruits.

Related Information on Industries of Karnataka

Beginning of Modern Industries in Karnataka
Economic Conference in Karnataka
Public Sector Units
Information Technology in Karnataka
Handlooms in Karnataka
Handicrafts in Karnataka
Coir Industries
Khadi and Village Industries
Sericulture
Large and Medium Scale Industries