setting up a major industry is not easy and what’s more difficult is relocating it. It takes so much to build a full-blown market and then successfully running it. So, what makes it so important to shift an industry from one place to another? There is not just one but multiple causes behind industry relocation. The major causes of industry relocation are –

Government policies

Sometimes, an industry has to be relocated because according to some government norm, it is no more fit to stay on its current location and it should now be removed from there. (residential presence or threat to nature are major reasons behind this phenomenon).

Changes in transport and market demand

Industries are also set up according to the demand of the market. Their location directly affects their business. This is why sometimes changing the location becomes the need of the hour from profit point of view.

Exhaustion of raw materials at the current location

As you know, no industry can run without raw materials related to their business. And usually, industries are set up looking at the presence and availability of required raw materials in the locality. So, when these raw materials run out, the need of relocation arises.

Strict environmental policies on pollution

If an industry or factory is creating too much of nuisance and damaging its natural surroundings, then they have to vacate the place on official orders and have to find a new location for setting their industry with better means of pollution management.

Reformations in the production technology

If any reformations are done in the industrial sector that are much more fruitful than the existing one but it needs an industry to relocate, then also industry relocation takes place for better opportunities in their business.

These are the major reasons why industrial relocation happens. Sometimes, all these reasons don’t even exist as internal reasons also contribute to industrial relocation.