IMPORTANCES OF MANUFACTURING INDUSTRY IN THE COUNTRY AND HOW CITIZENS BENEFITS FROM IT
Explain the importance of manufacturing industry
The manufacturing industry plays a vital role in the economy of many countries. It contributes to growth and strengthening of the country’s economy. The wealthiest countries in the world are heavily industrialised.
The manufacturing industry is important in the following ways:
- Source of employment:Operations in any industry require manpower or labour. People are employed to undertake various activities carried out in a manufacturing industry. This helps lessen the problem of unemployment in the respective country.
- Diversification of economy:Whereby the economy of a country depends mainly on other sectors such tourism, mining, fishing, and lumbering, for example, the establishment of manufacturing industries help to diversify the country’s economy. In this way, if one sector collapses the economy will still remain stable.
- Source of foreign exchange:The finished goods from manufacturing industries are often exported overseas. The sale of such goods earns the country the much needed foreign currency and hence helps to improve the country’s economy.
- Increased agricultural production:Most of the agricultural produces are processed into finished products by the manufacturing industries. So long as there is demand for agricultural produces by the industries, farmers will produce more to meet the demand of the industries. Hence agricultural production will increase because the surplus from farmers finds a ready market, that is, the manufacturing industries.
- It stimulates the development of infrastructure:Industries require a good network of roads and railways linking them to areas where raw materials are produced. Industries, therefore, lead to improvement of transport infrastructure between their locations and the sources of raw materials.Industries also need power and water infrastructure set in place. Thus, they also lead to improvement of public services which could have otherwise not been developed.
- Improvement of international relations:The exchange of goods and services for money between countries help to improve the diplomatic relationship between the trade partners. This happens through interaction of traders and business people between two or more trade partners.
- Higher earning:Processing of raw material adds value to a commodity, enabling the country earn more by exporting processed goods than when exporting the unprocessed raw materials.
- Reducing dependency on imports:Manufacturing industries enable the countries to become self-sufficient in the goods they produce. This means that the country can only import the goods and services that are not manufactured within its borders. This reduces dependency on imported goods, hence saving the government revenue and foreign currency that could be spent on imported products. The revenue is consequently directed towards improvement of social services in the country.
Generally manufacturing industries help to provide job for those who haven't job may get job throw hiring jobless the government get income and make a farmer produce more crops hence medication will be present that's all it is,.
