The rural sector of Nigeria has not witnessed significant level of development in the past 56 years of the nation’s independence. This is evidenced in the apparent lack of basic infrastructure facilities and abysmal poor quality of life in the rural areas. This situation is so in spite of the contribution of the rural areas to the overall national development. This research work, thus examines how the process of industrialization in rural areas, could foster the development in Nigeria hinterland. It pays particular attention to rural communities in Ideato North Local Government of Imo State. In gathering the data for the study, we relied on primary and secondary sources of information. And adopted descriptive method of research in our analysis. The study submits or observes the existence of insufficient emphasis on rural development policies by successive government. Coupled with laxity in implementing few of such policies. It thus, submits that enhanced / aided localization of cottage industries could engender economic growth and development in rural areas.