Factors Affecting Location of Industries:

Factors affecting the location of industries are important to the study of industrial location. These factors are basic elements for the setting up of an industry, which determines the locational choices for this plant. These factors include the availability of raw material, land, water, labour, power, capital, transport and market.

Geographical Factors that Affecting Location of Industries are:-

1. Raw material: Availability of natural resource that can be used as raw material.
2. Technology: To turn the resource into an asset with value.
3. Power: To utilize the technology.
4. Labour: Human resource in the area who can function as labor to run the processes.
5. Transport : Road/rail connectivity.
6. Storage and warehousing.
7. Marketing feasibility.
8. Characteristics of land and soil.
9. Climate.
10. Precipitation and water resources.
11. Vulnerability to natural resources.

Non-geographical Factors Affecting Location of Industries are:-

1. Capital investment.
2. Availability of loans.
3. Investment climate.
4. Government policies/regulations.
5. Influence of pressure groups.