Besides Geo-Referencing a Raster image, there is also a function called 
"Feature Extraction". I Believe there is a plugin for extracting Vector 
Features from a DEM and possibly other functions to extract features from other 
types of Rasters. Perhaps if Geo-referencing is not your primary goal you can 
research feature extraction to give you some background.  

Sent from my iPhone

On 2011-11-02, at 12:57 PM, Mumtaz Lakho <[email protected]> wrote:

> Dear QGIS Repr.
> Would u please guide me the process of Digitizationof raster layer  under 
> QGIS 1.7.1- wroclaw
> thanks 
> (Mumtaz)
> a QGIS User
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