Answer: The industries that make various components and parts used by large commercial enterprises to assemble their final merchandise are called ancillary industries.
For example, Industries which commercial enterprise railway engines, automobiles, etc., are ancillary industries.
Features of Ancillary industries are mentioned below:
- It is pursued in manufacturing or producing sub-assemblies, parts, components, intermediates, or tooling.
- It advises supplying 50 % of its manufacture or services to one or more other industrial undertakings.
- They have a fixed investment in machines and plants not surpassing Rs. 1 crore.