Numerous items can be manufactured in cottages and villages and at small scale level. For producing such goods, no permission can be given to install factory. Edible oil, soap, foot wear, tooth paste, tooth powder, papad, potato chips, and hundreds of such items can be produced in homes and cottages. Crores of people can get employment in their homes in producing such items. The real wealth of the nation lies in the development of cottage industries. China and Japan are excellent examples. As cottage industries produce goods locally. For local consumption, transport is saved. Marketing expenses are saved.
Advertisement is saved. Middle men are avoided and people get the goods at lower rates. Moreover, crores of people can get employment. So problem of unemployment is solved and resources of the country can be best utilized. So cottage industries are in the interest of our country. No any factory can be permitted to establish to produce such items.
But some items which can not be produced in cottage industries can be manufactured in small scale industries. But no big factories can be allowed to establish which can be produced in small scale. Consumer items such as high grade toilet soap can not be permitted to produce in big factories. High quality toilet soaps can be manufactured at small scale level. So multinational companies and big indigenous companies also can not be permitted to produce such items.