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1
Chapter -1
Introduction and Research Design
“It is only when India has acquired the ability to design, fabricate and erect its own plants
without foreign assistance that it will have become a truly advanced and industrialized
country”. - Jawaharlal Nehru
1.1 Industrial Development
From the dawn of human civilization to the modern civilized society, the basic
physiological needs viz. - food, cloth and shelter have remained the same, but these needs
have undergone remarkable changes. Such changes have kept pace with the development
of human civilization. With the development of cultural standards and growth of
civilization, the liking, tastes, and styles of fulfilling these physiological needs have also
changed. The human wants and satisfaction are changed with time. The human wants
have not been confined to the physiological needs like food, clothing and shelter but
human beings also aspire for status, recognition, esteem etc.
The human civilization has passed through the varied stages with settled life, village
society or household system, handicraft system, factory system, industrial town and city
life, global partnership stage etc. The industrial revolution was the result of continuous
application of skills and inventions for increase in production. The invention, which took
place during this period and thereafter brought phenomenal changes in the quantity and
quality of the production, mechanical inventions gradually changed the whole character of
competition. The industrial revolution proved a mixed blessing.
Good effects:
Increase in volume of production,
Better quality of production,
Lower unit cost of production,
Minimization of human efforts,
Specialization in manufacturing activities,
Development of means of production.
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Bad effects:
Unemployment as mechanical devices,
Degradation of labour caused by the transfer of skill and intelligence from man to
machine,
Replaced human efforts,
Need for huge financial investments in machines with chances of losses on
becoming obsolete,
1.2 Problems of Industrial Development of India:
Industrial development in India since independence has been truly remarkable; the process
brought about in its wake a wide range of serious problems. Such as:
1. Failure to achieve targets of production- Even investments made in productive assets
do not bring fruits as expected in terms of time, value and quality and cost.
2. Underutilization of capacity- The factors responsible for under utilization of capacity
are said to be: demand short- falls, Supply bottle-necks, labour problems and deliberate
under – utilization to create shortages and thereby to corner more profits.
3. Increasing capital – output ratio- Another very disturbing future of industrial
development of India is the ever- rising average and Incremental Capital Output Ratios
(ICOR).
4. High cost industrial economy- The costs and prices of manufactured goods and
services in India are generally much higher than international costs and prices, high wages
rates, low productivity of labour, uneconomic size of industrial units, lack of cost
consciousness.
5. Inadequate employment generation- One of the most serious deficiencies of industrial
development over the decades since independence is its inadequate employment
generation, in relation to investment made. The process of industrialization has failed to
make a marked dent on the unemployment problems in India.
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6. Poor performance of public sectors-Though public sector has grown by leaps and
bounds over the last four decades backed by massive public investment, its performance
on production and profit fronts has been generally disappointing. It has lost dynamism and
survival capability. A large number of public sector units are „loss leaders‟ in the industrial
sphere while the rate of profitability of others is low.
7. Sectoral imbalance- Planned economic and industrial development pre-supposes co-
ordinate and balanced development of all sectors. But in reality several sectoral
imbalances at a point of time and over a period of time plague the industrial economy of
India.
8. Regional imbalances- Industrial development continues to be lopsided, region wise,
large scale industries are concentrated in a very few states. All states have not been able to
attract major industrial units in spite of incentives and facilities because of the magnetic
pull of industrially advanced states.
9. Industrial Sickness- Industrial sickness has become a serious problem affecting small,
medium and large units. It is a major area of concern due to its implications for the entire
economy and health of the industrial sector in particular. The causes of sickness are
identified as financial mismanagement, demand recession, labour unrest, working capital
shortage, cost escalations, shortage of raw materials, uneconomic size, out- dated
machinery and equipment and so on.
1.3 History of Maharashtra Industrial Development Corporation (MIDC):
The BID (Board of Industrial Development) framed the legislation and it was introduced
before the state legislation and passed in the form of "Maharashtra Industrial Act" which
gave birth to MIDC, as a separate corporation on August 1, 1962. The BID was the first
personnel strength of MIDC. A small ceremony at Wagle Estate Thane, under the
Chairmanship of the Chief Minister Shri Y.B. Chavan, marked the birthday of MIDC on
August 1, 1962. The Board of Industrial Development during its existence between
October 1, 1960 and August 1, 1962 has done enough spade work to identify the locations
for setting up industrial areas in different parts of the state. Thus, right in the first year of
establishment MIDC has come up with 14 industrial areas, to initiate action for
infrastructure and help entrepreneurs set up the industrial units in those areas.
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Maharashtra Industrial Development Corporation is the nodal industrial infrastructure
development agency of the Maharashtra Government with the basic objective of setting up
Industrial areas with a provision of industrial infrastructure all over the state for planned
and systematic industrial development. MIDC is an innovative, professionally managed,
and user friendly organization that provide the World Industrial Infrastructure. MIDC has
played a vital role in the development of industrial infrastructure in the state of
Maharashtra. As the state steps into the next millennium, MIDC lives up to its motto
„Udyamat Sakal Samruddhi‟ i.e., Prosperity to all through industrialization. Indeed, in
the endeavour of the state to retain its prime position in the industrial sector, MIDC has
played a pivotal role in the last 35 years.
MIDC has developed 268 industrial estates across the state which spread over 52653
hectares of land. The growth of the Corporation, achieved in the various fields, during the
last three years, could be gauged from the fact that the area currently in possession of
MIDC has doubled from 25,000 hectares in 1995. Maharashtra Industrial Development
Corporation is the premier body for the development of IT Industry in Maharashtra. The
MIDC has constructed 15 IT Parks in the state.
The Government of India in 1988 announced a scheme for development of growth centers
covering each District of the State. Out of these growth centers, 61 have been notified and
in 24 growth centers, the land is already in possession and in 17 growth centers, MIDC has
already started allotment of plots.
The State Government has also announced a programme of establishment of 140 mini
industrial areas at Taluka levels. This work has also been entrusted to MIDC. Among 102
areas, land is already in possession 90 industrial areas and plots have already been allotted
to small scale entrepreneurs.
MIDC is also a “special planning authority” for all its industrial areas for various
functions such as selection of land, planning, development and management of industrial
parks. Other objectives are
1. Development of industrial areas by acquiring land.
2. Preparing layout with suitable grouping of plots of various sizes and allotment of
plots on leasehold basis.
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3. Construction of roads, drainage system and provision of street lights in the
industrial areas.
4. Planning, implementation and managing water supply schemes.
5. Establishing common facility centers (CFC) by providing accommodation for
bank, post office, telecom facilities, police station, fire station, medical facility,
canteen, etc.
6. Establishment of effluent collection and disposal systems for chemicals zones.
7. Implementing government/semi government projects.
1.4 Locations of Maharashtra Industrial Development Corporation (MIDC):
MIDC areas are spread all over the state of Maharashtra. The MIDC started in 1962 with
Wagle estate, Thane as its first industrial Area. MIDC's major Industrial Areas are at:
TTC (Trans Thane Creek) near Thane & Navi Mumbai
Pimpri-Chinchwad near Pune
Satpur, Ambad, Sinnar, Gonde near Nasik
Butibori near Nagpur
Nanded 5 Star MIDC Nanded
Kupwad - Sangli
Miraj - Sangli
Latur
Waluj near Aurangabad
Islampur near Sangli
Objectives of MIDC for development of Small and Medium Enterprises (SME):
Set up Industrial Areas for planned and systematic industrial development in Navi
Mumbai.
To function as a special planning authority in development of industrial areas in Navi
Mumbai.
"Prosperity to all through Industrialization" is the corporate philosophy of MIDC
MIDC has developed specialised parks in Navi Mumbai based on sectors such as:
Automobiles and Auto Components
Biotechnology
Consumer Durables
Chemicals
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Engineering
Electronics Hardware
Information Technology
Petrochemicals
Pharmaceuticals
Transportation
Textile
Wine
Achievements at a glance
Since its inception, MIDC has established at least one industrial area in every District of
the State.
a. 225 industrial areas (including Major, Mini, etc.) are functioning.
b. Notified industrial areas by the Government.
c. 52653 hectares of land in possession out of 86822 hectares planned.
d. 44598 plots (including Industrial, Commercial, amenities, residential, etc.) are
allotted out of 54304 plots demarcated.
e. 3199 kms. Length of pipeline constructed by MIDC.
f. Construction and maintenance of airstrips and helipads.
g. MIDC has developed five star rated industrial areas with state-of-the-art
infrastructure at nine strategically located centres in Maharashtra.
h. MIDC has acquired 90,000 hectares of land for industrial development.
i. 2,235 kms of road has been laid by MIDC as a part of infrastructure facilities on
offer.
k. 1,300 industrial units already operating in MIDC parks-another 3887 units are
under Implementation.
Development of 5-star industrial areas at 9 centres:
1. Butibori (Nagpur)
2. Mahad (Raigad)
3. Kagal- Hatkangale(kolhapur)
4. Sinnar (Nashik)
5. Indapur (Pune)
6. Shendre (Aurangabad)
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7. Nivli Phata(Ratangiri)
8. Krushnoor (Nanded)
9. Nandgaon Peth (Amaravati)
are the top quality infrastructure is being developed by MIDC
1.5 General Introduction:-
Schumacher was right when he said “Small is beautiful”. The experience of Small and
Medium Enterprises (SME) development during the last two decades all over the world
has proved it so.SME have emerged as an engine of growth in the new millennium. In
India also they have emerged as vibrant and dynamic components of the economy by the
virtue of their significant contribution to GDP, industrial production and exports.
However, the most important contribution of this sector toward employment at lower
capital cost generation which is second only to agriculture. It has also helped in balanced
regional development, generation of exportable surplus and in the establishment of a
more flexible, innovative and competitive structure. Even in many developing countries,
it is being accepted as key to sustainable economic growth. Considering its potential and
ability, the SME sector has been assigned a target of 12 per cent annual growth rate and
additional employment of 4.4 million persons.
Small and Medium Enterprises (SME) exist in the form of factories, workshops, trading
and service organizations and range from the most modern and up-to-date enterprise to
the simple and traditional unites. These enterprise exist in various forms such as
proprietorship, partnership, companies or co-operatives in almost all major sectors in the
Indian Industry such as Food Processing, Agricultural inputs, chemicals and
pharmaceuticals, Electrical and Electronics, Medical and Surgical equipment, Textiles
and Garments, Gems and Jewellery, Leather and Leather products, Plastic Products, Bio-
engineering, Computer Software etc. Within the SME sector, the small sector serves as a
green field for nurturing of entrepreneurial talent and helping the units to grow into
medium and large size.
After the formation of Maharashtra State on May 1, 1960, the Government of
Maharashtra constituted a "Board of Industrial Development" (BID) on October 1, 1960,
under the Chairmanship of Shri.S. G. Barve, I.C.S. The various committees
recommendations received in the industries department were taken up for implementation
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and as per the Borkar Committee's recommendations; development of Ulhas Valley
Water Supply was entrusted to the Board of Industrial Development (BID). The BID
framed the legislation and it was introduced before the state legislation and passed in the
form of "Maharashtra Industrial Act" which gave birth to MIDC, as a separate
corporation on August 1, 1962. A small ceremony at Wagle Estate Thane, under the
Chairmanship of the Chief Minister Shri Y.B. Chavan, marked the birthday of MIDC on
August 1, 1962.
The key historical policy decisions taken by MIDC certainly changed the socioeconomic
scenario of the state highly in Navi Mumbai as its activities spread in the interior. The
important policy decision of setting up "independent filtered, potable water supply system
of adequate capacity" as essential infrastructure for industrial development was the most
intelligent step taken by MIDC right in the beginning. It stabilized the population base
near the industrial areas in Navi Mumbai. The strategic wise decision taken
simultaneously to provide water supply to nearby domestic population from the
capabilities created by MIDC of their own water supply system resulted in phenomenal
urban growth in the nearby small towns and villages.
The growth of Kalyan complex, Pimpri-Chinchwad and Navi Mumbai are results of this
key policy decision taken by MIDC. Up to date 229 industrial areas are developed by
MIDC in State of Maharashtra on 53120 Hectors of land. With the experience of 45 years
MIDC observed that certain industries are required to be provided some specialized
facilities. For the growth of such industries and accordingly specialized parks / industrial
clusters are developed with specialized infrastructure facilities. In this way IT & BT
Parks, Wine Parks, Textile Parks, Chemical Zones, Food Parks, Leather Park, Floriculture
Park and Electronic Zone etc. are developed by MIDC in Navi Mumbai.
Considering the International standard facilities required to attract multinational
companies, five star industrial areas are developed by MIDC at 9 locations in the State of
Maharashtra and out of this one is Trans-Thane creek i.e. Thane - Belapur Industrial Belt
. Considering the export potential of the various products specifically delineated duty free
enclave which is to be deemed to be foreign territory for the purpose of trade operations
and duties and traffics special economic zones are being developed by MIDC at Thane-
Belapur Industrial Belt to provide hassle free environment for exporters.
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Maharashtra got overwhelming 74 Special Economic Zone approvals from the
Government of India which is leading at No.1 position compare to other states in India.
The planned and systematic industrial development in the State of Maharashtra has
continuously placed Maharashtra at No.1 position in India for the highest productivity,
economics performance, business efficiency, government efficiency, infrastructures and
overall competitiveness.
As per the World Competitiveness Report 2006 Maharashtra ranks 37, ahead of South
Korea, South Africa, Philippines, Greece, Brazil, Italy, Russia & Indonesia. In the
Maharashtra State MIDC has demarcated 57650 No. of plots and allotted 48701 No. of
plots to the entrepreneurs. There are total 28918 No. of industries in production. MIDC
has provided the water supply scheme of total 2240.83 MLD Capacity and water
consumption is 1314.73 MLD in the MIDC areas in the State of Maharashtra. MIDC has
provided water supply pipelines of 3238.60 K.M. lengths to cater the water supply
demand of the industries in Maharashtra. Total roads of 2422.82 K.M. lengths are
constructed by MIDC for providing good quality approach to the industries. The
development expenditure of Rs.3096.75 Crores is incurred for the various infrastructure
works by MIDC. The annual revenue generated from the water supply is Rs.432.00
Crores.
The Thane Belapur Industrial belt developed by MIDC in mid sixties witnessed a Sharp
growth of Small and Medium Enterprises in terms of number of units, capital deployed,
employment and turn over. Most of the small industrial units continue to be high capital
incentive industries. The basic petro chemical units like NOCIL and Hardily Chemicals
were set up in late 1960s. This is followed by setting up a large number of chemical
industries such as Polyethylene Plastic and Resins, Synthetic Tanning Agents Leather,
PVC Products etc. The Thane Belau Industrial belt had 72 industrial units in 1974. This
has been increased to 533 in 1984 and 1931 in 1990. Now there are about 2,300 industrial
units with an employment of over one lakh with an annual turnover of more than 10,000
Crores.
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1.6 History of Small and Medium Enterprises (SME):
Unlike most countries, which define small and medium enterprises in terms of
employment levels, capital investment or turnover in India, the small and medium
enterprises are defined in terms of investment limit in plant and machinery. The small and
medium enterprise was defined under the Industries (Development and Regulation) Act,
1951. The definition of small and medium enterprises had undergone several changes
over the years; in terms of investment limit.In 1950 with certain conditions on the number
of persons employed the investment limit in fixed assets was set at Rs.5.0 lakh. This
definition was revised in a phased manner further. Till 2006, a small and medium
enterprise is defined as an industrial undertaking in which the investment in plant and
machinery does not exceed Rs.100 lakh. The Government of India enhanced the
investment limit of Rs.100 lakh for classification as small and medium enterprises to
Rs.500 lakh in respect of certain specified items under hosiery, hand tools, drugs and
pharmaceuticals, stationery items and sports goods.
1. Small and medium enterprises where in investments in plant and machinery
(excluding land and building) up to Rs.25 lakh are classified as tiny industries.
2. Food and agriculture based processing units with investment in plant and machinery
up to Rs.500 lakh was included under priority sector lending.
3. All small and medium enterprises, which export more than 50 per cent of their output,
are classified as Export Oriented Units.
4. Industry related service business enterprises with investment in fixed assets,
excluding land and building up to Rs.10 lakh are registered under Small Scale Service
Business Enterprises (SSSBEs).
5. The Internal Group to review Guidelines on Credit Flow to SME sector, appointed by
the RBI in 2005 suggests that current tiny definition may continue. Units with
investment in plant & machinery in excess of small and medium enterprises limit and
up to Rs.10 crore may be treated as Medium Enterprises (MEs).
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6. For the purpose of lending, the Rs.1000 crore SME Fund, launched by Small
Industries Development Bank of India (SIDBI) Defines SMEs as those industries
which invest more than Rs.1 crore but less than Rs.10 crore in plan and machinery.
With the revised definitions of SSI Units, the sector has also witnessed changes in its
structure during the recent times.
7. Micro Small and Medium Enterprises Development (MSMED) Act was passed in
2006 which offers separate definitions for manufacturing and service enterprises.
These are as under:
For enterprises engaged in Manufacturing activities, the criteria are as -
Manufacturing category:
Investment in Plant & Machinery (excluding Land & Building)-
Micro Enterprises- UptoRs. 25 lakhs
Small Enterprises- AboveRs. 25 lakh uptoRs. 5 Crore
Medium Enterprises- AboveRs. 5 crores uptoRs 10 crores
For enterprises engaged in service activities, the criteria are as:
Service category:
Investment in equipment (excluding Land & Building)-
Micro Enterprises- UptoRs. 10 lakhs
Small Enterprises- AboveRs. 10 lakh uptoRs. 2crores
Medium Enterprises- Above Rs. 2 crore uptoRs. 5 Crore
For the development of MSME, particularly of the Micro and Small Enterprises, the
Government has given importance in its MSME Development Act, 2006.
1.7 Small and Medium Enterprises (SME):
SME play important role in restructuring and in transformation of an economy with a
comparatively higher Labour-capital ratio and a shorter gestation period. SME involve
lower investment and greatly suit the economies of less developed countries that are
capital deficient and labour abundant. They operate relatively in smaller markets to be
economic. They offer a method of ensuring more equitable distribution of national
income and facilitate on effective mobilization of resources of capital and skill which
might otherwise remain unutilized Small and Medium Enterprises (SME) stimulate
growth of entrepreneurship and promote diffused pattern of ownership and location and
development of rural urban areas. They make use of more unskilled labour force and have
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direct impact on poverty alleviation. Have the spread effect on domestic market since
they buy more of domestic inputs and indigenous raw materials and domestic technology
to a large extent.
1.8 Development trend of Small and Medium Enterprises (SME):
The legacy of the present policy framework for development of small and medium
enterprises in India derives from a conscious attempt to reconstruct and re-
conceptualize pre-colonial and pre-capitalistic mode of production in the fabric of
modern manufacturing activities On the other hand this approach was a political
necessity to rehabilitate millions of distressed rural craftsmen, who could not survive
the onslaught of the forces of colonial economic imperialism; on the other hand such
compulsions forced the planners to make an attempt to evolve a development strategy
to integrate this segment of the country in the overall ambit of successive Five Year
Plans in India
1.9 Structure of the SME Sector:
Till recently, the SME sector structure is broadly classified into
“Household enterprises (those establishments, which carry out their operations from their
own residence)” and “Non-household enterprises (all other establishments in the
manufacturing sector)”. The household enterprises engage in the manufacture of a variety
of products that include food products, beverages, tobacco products, cotton textiles,
textile products, wood products, paper, leather, rubber, plastics, etc.
The manufacturing sector may be classified into „registered‟ and „unregistered‟.
Administratively, India‟s SSI sector is divided into seven industry groups – (1)
handicrafts (2) handlooms (3) Khadi, village and cottage industries (4) coir (5) sericulture
(6) power looms and (7) residual small scale industries.
The first five sub-sectors are collectively called the “traditional” sector whereas the last
two are known as the “modern” sector. The small-scale industrial undertakings can also
be classified into ancillary units, tiny units, export-oriented units and small-scale service
business enterprises.
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The Ministry of SSI, Government of India has conducted Four all-India censuses so far to
capture the developments taking place in the small-scale sector in India. The first and
second censuses were conducted in 1972 and 1987 respectively. The third census was
carried out during 2002-03 covering information up to 2001-02 and fourth census were
conducted in 2013.
1.10 Significance of Small and Medium Enterprises (SME)
Small and Medium Enterprises (SME) occupy a significant place in the industrial set up
of a country irrespective of the stage of its economic development. The importance of
Small and Medium Enterprises (SME) in the economic life of an under-developed and
developing country is indeed very great, particularly in view of its large employment
potential and contribution to national income. The principal elements in the economic
picture of India are the rapid growth of population, increasing size of labour force, large
volume of unemployment and under-employment and a low rate of savings. This
panorama can be effectively altered through the establishment of Small and Medium
Enterprises (SME).
The banking sector being a part of the economic system has its crucial role in economic
development. The scope for banks to play a vital role as development agencies is
practically unlimited. In earlier periods, commercial banks were concentrating on
metropolitan areas and industrial centers with the Nationalization of Bank and the
assigning of priority in their credit to Small and Medium Enterprises (SME), there has
been a rapid expansion of bank credit to the Small and Medium Enterprises (SME).
sector. Bank finance has diversified and is finding its way to the rural and semi-urban
areas. Commercial banks have become the principal financial institutions in meeting the
financial needs of Small and Medium Enterprises (SME).
1.11 Brief of Thane District
1. General Characteristics of the District.
Thane is the third most industrialized district in the State. The Thane Belapur-Kalyan
industrial belt is the Centre of highly sophisticated modern industries. The industrial
growth in the district, however, is concentrated in this industrial belt. The district can be
divided into three district parts. The first is the area under direct influence of Mumbai
metropolis. This area is more or less suburban to the metropolis and includes Thane,
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Kalyan and Ulhasnagar talukas where a number of organized modern industries are
concentrated. The second zone comprises the industrially developing areas of Vasai,
Bhiwandi, Palghar and Dahanu. The third part includes the rest of the area of the district
having conventional village industries, age-old cottage industries and primary processing
agro-industries.
2. Location and geographical Area.
Thane, the northern-most district of Konkan, lies adjoining the Arabian Sea in the north0-
west of Maharashtra States. It extends between 18*42‟ and 20*20‟ north latitude and
72*45‟ and 73*48‟ east longitude. Its northern limits adjoin the Union territories of
Dadra, Nagar Haveli and the State of Gujarat while the district of Nasik and Ahmednagar
to its east, Pune to the South –East, Raigad to the south and Mumbai Metropolitan to the
South – West. The total geographical area of the district is 9558 Sq. KMS which is 3.11%
of the total Maharashtra area.
3. Topography
Topographically, district can be divided into 3 parts:-
(1) In the Eastern Part of the district, Sahyadri ranges are spread and its north side the
thick forest area is situated.
(2) The Central Region of the district is mostly flat area and Rice farming is done in
this area.
(3) In the coastal part and 15 to 20 Kms, its nearly area cultivated for Vegetables,
Fruits and high quality of grass.
4. Avaibility of Minerals.
There is no major mineral or mining in the district. However, the mining activities in the
district are confined to quarrying of stones and sand which is carried on especially at
places which are near urban areas in Kalyan, Bhiwandi and Thane Tehsils. Deposits of
reddish laterite clay are also found near Gokhivara in Vasai Tehsil. The clay is used for
making bricks, tiles and cheap red glazed wares.
5. Forest
The total area under forest in the district is 3463 Sq. Kms which is 37.10% of total
geographical area. Out of this total forest area, 80.51% area is spread in Shahapur,
Palghar, Jawhar, Wada, Murbad, Dahanu and Vasai talukas and in remaining talukas it is
spread only 19.49%
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Table No1.1
Status of Forest in Thane District
2008 – 2009 2009 – 2010 2010 -2011
Sl.
No
Name of the
forest product
Total
produ-
ction
Total
value of
sale
Total
produ-
ction
Total
value of
sale
Total
produ-
ction
Total
value of
sale
1.
Timber
(„000‟cubic mtrs.) 6.798 18387 1.480 11095 0.787 6181
2.
Fire wood
(„000‟cubic mtrs.) 28.622 10592 5.250 8972 4.437 4849
3. Bamboo (Nos.) 16176 266835 35 - - -
4. Grass (Qntls.) 1200 130 740 117 1660 176
5. Gum (Qlsnt) 345 138 2100 134 2526 182
6. Others X 4798 X 3559 X 8217
Total X 36713 X 23877 X 19605
(Source: Thane District Industrial Survey, 2012)
1.5. Thane District at Glance:
According to Administrative convenient, the State is divided in six regional divisions.
The Thane district is included in Konkan Region Division. The district consists of 15
tehsils which are Thane. Vasai, Palghar, Dahanu, Talasari, Jawhar, Mokhada, Bhivandi,
Wada, Shahapur, Murbad, Kalyan, Ulhasnagar, Ambernath and Vikramgad.
At the district level, Collector is the Administrative Chief and the Tehsil level. For rural
development, Chief Executive Officer of Zilla Parishad, at district level and Block
Development Officer at Block level, are in charge of the administrative.
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Table No1.2
Thane District at a glance
Sl.
No.
Particular Year Unit Statistic
1. Geographical
(A)
i) Latitude 2010-11 Degree 18.42‟-20.20‟
ii) Longitude 2010-11 Degree 72.45‟- 73.48‟
iii) Geographical Area Sq. Kms. 9558
(B)
Administrative Units
i) Sub divisions Nos. 6
ii) Tehshils Nos. 15
iii) Sub Tehshils 0
iv) Patwari Circle Nos. 588
v) Panchayat Samiti Nos. 13
vi) Nagar Nigam (Mahapalika) Nos. 7
vii) Nagar Palika Nos. 5
viii) Gram Panchayat Nos. 924
ix) Revenue Village Nos. 1748
x) Assembly Area 24
2. Population
(A)
Sex-wise
i) Male 2010-11 „000‟ 4378
ii) Female 2010-11 „000‟ 3754
(B) Rural Population 2010-11 „000‟ 2229
3. Agriculture
Land Utilization
(A)
i) Total area 2010-11 Thousand
Hectares
934
ii) Forest cover 2010-11 Thousand
Hectares
346
iii) Non Agriculture Land 2010-11 Thousand
Hectares
58
17
iv) Cultivable Barren Land 2010-11 Thousand
Hectares
55
4. Forest
i) Forest 2010-11 Thousand
Hectares
346
5. Livestock & Poultry
(A)
Cattle
i) Cows 2007 Nos. 454372
ii)Buffaloes 2007 Nos. 192700
(B)
Other Livestock
i) Goats 2007 Nos. 203433
ii) Pigs 2007 Nos. 192700
iii) Dogs & Bitches/Horse 2007 Nos. 76022
(C) Railways
i) Length of rail line 2010-11 Kms. 545
(D)
Roads
i) National Highway 2010-11 Kms. 467
ii) State Highway 2010-11 Kms. 3349
iii) Main District Highway 2010-11 Kms. 2205
iv) Other district & Rural roads 2010-11 Kms. 3398
v) Rural road/Agriculture
Marketing Board Road
2010-11 Kms. 8782
(E)
Communication
i) Telephone connection 2010-11 Nos. 60639
ii) Post offices 2010-11 Nos. 412
iii) Telephone Centres 2010-11 Nos. 7
iv) Density of Telephone 2010-11 Nos./1000
persons
606
v) PCO Rural 2010-11 Nos. 1710 Approx.
vi) PCO STD 2010-11 Nos. 1820 Approx.
vii) Mobile 2010-11 „000‟ Nos. 813 Approx.
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(F)
Public Health
i) Allopathic Hospital 2010-11 Nos. 44
ii) Beds in Allopathic Hospitals 2010-11 Nos. 9525
iii) Ayurvedic Hospital 2010-11 - 01
iv) Beds in Ayuvedic Hospitals 2010-11 - 0
v) Unani Hospitals 2010-11 - 0
vi) Community Health Centre 2010-11 Nos. 113
vii) Primary Health Centres 2010-11 Nos. 125
viii) Dispensaries 2010-11 Nos. 44
ix) Sub Health Centres 2010-11 Nos. 532
(G)
Banking Commercial
i) Commercial Banks 2010-11 Nos. 709
ii) Rural banks 2010-11 Nos. 20
iii) Co-operative banks 2010-11 Nos. 83
(H)
Education
i) Primary 2010-11 Nos. 5794
ii) Middle schools 2010-11
Nos.
1866 iii) Secondary & senior
secondary schools
2010-11
iv) Colleges (Degree) 2010-11 Nos. 96
v) Technical University 2010-11 Nos. 0
(Source: Thane District Industrial Survey, 2012)
19
Table No1.3
Existing Status of Industrial Areas in the Thane District
Sl.
No
Name of
Indl. Area
Land
Acquir
ed (in
hectar
es)
Land
Develop
ed (in
hectares)
Prevaili
ng Rate
Per sq
km
(in Rs.)
No. of
plots
No.of
allotte
d
plots
No.
of
vaca
nt
plots
No. of
units (in
produ-
ction)
1 Thane 252.36 252.36 13570/- 827 737 90 633
2 Tarapur 1028.5
4
1028.54 2355/- 71588 70109 1479 1760
3 Dombivali 357.27 357.27 10180/- 21468 19915 1553 1514
4 Mira 7.82 7.82 6650/- 4647 4647 0 37
5 Ambernath
(Ambernath
Belapur
Rd)
228.49 228.49 2660/- 291 290 1 250
6 Addl.
Ambernath
Anandnagar
507.47 504.47 2695/- 846 823 23 717
7 Addl.
Ambernath
Village
Pale &
Bohonoli
506.64 503.22 2660/- 3 3 0 0
8 Badlapur 101.10 99.80 2660/- 374 331 43 274
9 Kalyan
Bhiwandi
48.16 48.16 1995/- 33 33 0 20
10 Addl.
Kalyan
Bhiwandi
4.27 44.27 1995/- 2 2 0 0
20
11 Murbad 130.71 130.71 935/- 217 202 15 172
12 Addl.
Murbad
(Khudavali)
138.85 134.86 935/- 303 300 3 260
13 T.T.C. 2333.27 2333.27 15960/- 3693 3664 29 2812
Total
5,644.95 5,673.24 104.292 101056 3236 8449
(Source: Thane District Industrial Survey, 2012)
Table No1.4
Co-operative Industrial Area of Thane District
Sr.
No.
District No. of
Co-op.
Indl.
Estate
Total
Area
No. of
plots
carved
No. of
plots
allotted
No. of
working
industries
1. The Palghar
Taluka Co-op.
Indl. Estate
-- 8.80 60 60 57
2. The Vasai
Taluka Co-op.
Indl. Estate
-- 25.60 140 140 138
(Source: District Industrial Survey,2012)
21
22
Table No1.6
Year wise trend of units registered in Thane District
(Source: Thane District Industrial Survey, 2012)
Sr.No. YEAR
Number of
Registered Units Employment
Investment
(lack Rs.)
1 1984-85 2028 17408 445711
2 1985-86 377 5341 145302
3 1986-87 437 5135 215753
4 1987-88 480 4524 259819
5 1988-89 470 4266 250809
6 1989-90 378 3587 235786
7 1990-91 299 3091 203403
8 1991-92 535 4564 284273
9 1992-93 684 6323 355542
10 1993 – 94 1166 9277 455041
11 1994 – 95 1059 10071 584333
12 1995 – 96 594 5250 514791
13 1996 – 97 409 3509 410380
14 1997 – 98 449 5288 592169
15 1998 – 99 443 5604 1272829
16 1999 – 2000 436 5282 1239667
17 2000 – 01 355 4152 923182
18 2001 – 02 315 3746 1050181
19 2002 – 03 324 3693 914115
20 2003 – 04 311 3594 697361
21 2004 – 05 318 3510 711050
22 2005 – 06 383 4384 910677
23 2006 – 07 734 7735 868056
24 2007 – 08 1038 20120 846656
25 2008 – 09 992 16532 623464
26 2009 – 10 1160 20287 781138
27 2010 – 11 2139 31148 1271124
TOTAL 18313 217421 17062612
23
Table No. 1.7
Existing Micro & Small Enterprises and artisan units in the Thane district.
Sr. No. Type of Industry No. of Registered Units
(in 000‟)
1 Agro Based 245
2 Soda Water 28
3 Cotton Textile 460
4 Woolen, silk & artificial tread based clothes 282
5 Jute & Jute based 9
6 Ready-made garment & Embroidery 67
7 Wood/wooden based furniture 30
8 Paper & paper products 81
9 Leather based 11
10 Chemical/chemical based 342
11 Rubber, plastic & petro based 273
12 Mineral based 105
13 Engineering units 826
14 Electrical machinery and transport
equipment
87
15 Repairing & servicing 44
16 Metal Based 145
17 Others 13927
TOTAL 16962
(Source: Thane District Industrial Survey, 2012)
24
Table No. 1.8
Investment in Existing Micro & Small Enterprises and
artisan units in the Thane district
Sr. No. Type of Industry Investment (in lakhs)
1 Agro Based 15283
2 Soda Water 1776
3 Cotton Textile 40314
4 Woolen, silk & artificial tread based clothes 10698
5 Jute & Jute based 146
6 Ready-made garment & Embroidery 5000
7 Wood/wooden based furniture 1757
8 Paper & paper products 4443
9 Leather based 300
10 Chemical/chemical based 22443
11 Rubber, plastic & petro based 33733
12 Mineral based 8675
13 Engineering units 29882
14 Electrical machinery and transport
equipment
4599
15 Repairing & servicing 1788
16 Metal Based 18420
17 Others 623571
TOTAL 16962
(Source: Thane District Industrial Survey, 2012)
25
Table No1.9
Employment in Existing Micro & Small Enterprises and
artisan units in the Thane district
Sr. No. Type of Industry Employment
1 Agro Based 3849
2 Soda Water 282
3 Cotton Textile 9652
4 Woolen, silk & artificial tread based clothes 11268
5 Jute & Jute based 165
6 Ready-made garment & Embroidery 4019
7 Wood/wooden based furniture 529
8 Paper & paper products 1377
9 Leather based 503
10 Chemical/chemical based 5454
11 Rubber, plastic & petro based 3701
12 Mineral based 1608
13 Engineering units 11127
14 Electrical machinery and transport
equipment
1926
15 Repairing & servicing 424
16 Metal Based 3660
17 Others 201034
TOTAL 260578
(Source: Thane District Industrial Survey, 2012)
26
1.12 Thane Belapur Industrial Belt (TBIB) in Navi Mumbai :
Thane Trance Creek Industrial area was established by MIDC in the year 1972. The
area is well developed with quality infrastructural facilities such as roads, water
supply and street lights. Many renowned industries are operating from this area.
MIDC had acquired 591 hectares of land for the area. Recently, MIDC opened a
software park for the IT industry and also constructed an IT Tower here. Besides,
MIDC has developed a residential zone for the employees and owners of the
companies.
Objectives of MIDC are:
1. Rapid and orderly establishment and growth of firms in the entire area to
achieve balanced industrialization.
2. To achieve balanced industrial development of Navi Mumbai with an
emphasis on developing parts and underdeveloped parts of the firms.
3. Facilitate entrepreneurs in setting up firms at various locations in MIDC.
4. Infrastructural development in setting up firms at various locations in MIDC.
Following are the activities efficiently carried out by MIDC:
5. Developing industrial areas through acquisition of appropriate land.
6. Planning and developing industrial parks, providing basic infrastructure such
as roads, drainage systems, power and water in the industrial parks.
7. Planning, implementing and managing water supply schemes.
8. Co-ordinating with other infrastructure providers for electricity, telecom,
connectivity, etc.
9. Establishing common facility centres by providing banks, post offices,
telecom facilities, police stations, fire stations, medical facilities, canteens, etc.
10. Establishing effluent collection and disposal systems for chemical zones.
11. Providing residential areas for housing industrial workers.
The TTC MIDC has been declared as an agent of the State Government for carrying
out the activities within the framework of the MID Act and the MID Rules.
27
1.13 Growth of Industries in Navi Mumbai:
In a span of 35 years from 1965 to 1999, the entire area was transformed from that of
a sleeping village, where fishery was the main occupation, into a large vibrant
industrial centre. The following table reveals the growth of industries in Thane-
Belapur Industries Belt (TBIB). A nature of cross section of the industries which are
set up here gives an idea about the major thrust areas for various countries to establish
business relations with the local industry, trade and commerce.
The classifications of industries are:
Table No.1.10
Sr. No Product Units %
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
Engineering
Chemicals
Pharmaceuticals
Food
Textile Processing
Petrochemical
Dyes & Intermediates
Steel & Allied
Electronics
Oil Processing
Paper
Plastics
Misc.
730
400
50
50
50
10
50
25
300
10
02
23
300
36.00
20.00
03.00
02.00
03.00
01.0
02.0
01.00
15.00
01.00
01.00
01.00
14.00
Total 2,000 100.00
( Source: Census Survey of industries in Navi Mumbai, CIDCO, 2008.)
28
These industries located here are of large multi-national and national industrial houses
along with medium and small scale industries set up by entrepreneurs.
They are has dedicated Chemical & Petrochemicals, Pharmaceuticals, Engineering
and Electronic Zone as well as InfoTech Park Millennium and Knowledge Park which
could cater to the needs of International Market and efficient business.
We have exclusive 100% export oriented units and there is a tremendous scope to
enhance the export because Government of India has a very lucrative incentive policy
for the same.
The quality consciousness and zeal for Total Quality Management along with best
business management practices has made this area a class different from other
industrial areas of the country.
TBIA in a way is narrated as the pulse of the Nation. It is an indicator of Techno-
Economic upheavals of the country and is pro-active in response to Ecological issues
while making an effort to achieve sustainable growth, focusing itself on propagating
cleaner technologies and processes instead of the end of pipe technologies.
1.14 Industrial Development in the Thane Belapur Industrial Belt (TBIB):
Thane-Belapur Industrial Belt (TBIB) also known as the Trans Thane Creek Area
(TTCA) is situated in Zone II of Mumbai Metropolitan Region Development
Authority (MMRDA). It is one of the major industrial belts in the country. TBIB
mainly covers a strip between Thane Creek on the west, reserved forest land on the
east; CBD, Belapur on the south and Thane city limit on the north admeasuring
approximately 162 sq.km. The industrial development in TBIB commenced in 1961,
along with declaration of Maharashtra Industrial Development Corporation (MIDC).
The objective was primarily to promote chemical, engineering and other auxiliary
industrial units. Subsequently MMRDA, along with City and Industrial Development
Corporation (CIDCO) has developed a number of residential and commercial zones
within this area, apart from a large number of villages that are situated in this belt.
29
Navi Mumbai's economic base was expected to be unique - more dependence on
private sector activities like wholesale trading and processing activities in agricultural
produce, iron and steel stockyards and wholesale markets, port based commercial and
industrial activities, private and public sector offices, training and R & D centers in
selected District Business Centers (DBCs) and Central Business District (CBD) and
last, but not the least, the fast emerging industrial belts along Thane - Belapur Road
and at Taloja. In fact, at the time of formation of CIDCO in 1970-71, the only
economic input available was about 16,000 industrial jobs in the Thane - Belapur belt;
huge amounts of money were being spent by each company in transporting their
workers to and from Mumbai.
1.15 Contribution of MIDC in the development of SME in Navi Mumbai
1. Acquisition & disposal of land: The land for industrial areas is acquired by the
Government of Maharashtra under Chapter VI of the MIDC Act. 1961 and handed
over to the Corporation for further disposal. Likewise, wherever available, the
Government land is also handed over to the Corporation as an industrial area. The
Government pays for the compensation for the private land from its own fund. The
Corporation in turn plans the area and disposes the land in suitable plots by leasing
out for 95 years. For this purpose the Corporation recovers the premium lease money
at different rates for different industrial areas. Also the Corporation constructs built-
up accommodations like Sheds and Flatted units and sale them out to the prospective
industrialists together with the land there under on lease basis. As on 31.3.2002 the
Corporation has planned 673.72 (Hectares) of land against which 591.02 Hectares of
land has already come in possession of the Corporation.
2. Provision of infrastructure facilities: In terms of the provision of the MID Act, 1961
and the relationship prescribed by the government in that regard, the corporation is
required to provide infrastructure facilities like roads, streetlight, drainage, water
supply schemes and buildings for common facilities like post & telegraphs, canteen,
bank, and telephone etc. The corporation meets the expenditure on such works
(facilities) generally from the premium lease money received by it from the allottees.
The relationship further prescribes that the industrial area, after it is fully developed,
should be returned back to the Government/handed over to such agency or authority
as the State Government may directs, after striking out the account of the industrial
30
area concerned. The surplus/deficit generated out of such operations is to be made
good to or recovered from the state government as the case may be.
As the development of an industrial area is a long process and instant
objective, the government has prescribed certain scale of interim annual payments
which are termed as on account advance payment to government. In this connection it
may stated that the powers to fix the rates of premium for land for different industrial
areas rest with the corporation. Since it is the aim of the government and the
corporation to achieve a balanced development of the entire State with special
emphasis on the development of backward regions of the state, the Corporation
follows a policy of cross subsidization rate structure on A B C D zones pattern, in that
the rates of land premium in developed and semi developed parts of the State are
higher compared to the rates in developing and backward regions.
3. Providing of services:
The Corporation provides the following services to the units in its industrial
areas:-
a) Assured Water Supply: From among the various services provided by the
Corporation, an assured pure water supply can be regarded as a unique specialty of
the MIDC. The investment on the water supply scheme (Head works) made by MIDC
as on 31st March, 2002 is over Rs.5 crores with installed capacity of water supply of
25 MLD. For the purpose of regulating the water supply operations of the Corporation
the Government of Maharashtra has prescribed a legal and financial relationship
between the Government and the Corporation.
b) Maintenance of Industrial Areas: This is a municipal function requiring the
Corporation to maintain the Roads, Street lights, Fire stations (in few areas) during
the transitory period up to handing over of the industrial area either to Government or
other agency as the Government may decide. The MIDC Act, vide Section 56,
provides for the exits policy after the purpose of industrial development as
contemplated in the Act is fulfilled. However, this has seldom become possible in the
absence of a substitute agency to take over the responsibility, except in few cases like
that of Marol, Wagale Estate, Pimpri Chinchwad etc. where the Corporation could
hand over only the roads and street lights to local Municipal Corporations. In other
31
areas, the Corporation carries on this function as a committed obligation. For this
purpose the Corporation recovers service charges to defray the expenditure on such
services.
c) Drainage (effluent disposal) and CETP Schemes: The Corporation has effluent
disposal (drainage) schemes only in selected Industrial areas having chemical
industries. Such schemes are designed to collect and discharge the treated effluent
only. In such areas the Corporation recovers drainage cess to defray the expenditure
on maintenance and to partially recover the capital cost. Also with a view to arrest
pollution, the Corporation has started the operations like Hazardious waste
Management and common effluent plants on Joint venture basis with the help of local
industries associations.
d) Other Services: Theses include providing and maintaining Common Facility
Centers like P&T, Banks etc. Though the Corporation does not levy any specific cess
for the purpose, the C. F. C. building is subject to rentals. Such rental together with
other miscellaneous income from the area covers the maintenance cost of such CFCs.
The policy decisions taken by TTC MIDC certainly changed the social economic
scenario of the city as its activities spread in the interior. The important policy
decision of setting up "independent filtered /potable water supply system of adequate
capacity" as essential infrastructure for industrial development was the most
intelligent step taken by TTC MIDC right in the beginning. It stabilized the
population base near the industrial areas. The strategically wise decision taken
simultaneously to provide water supply to nearby domestic population from the
capabilities created by TTC MIDC of their own water supply system resulted in a
phenomenal urban growth in the nearby small towns and villages.
1.16 Research Idea in making:
Small and Medium Enterprises (SME) always plays an important role in providing
employment to masses ,increasing production in a country, encouragement for exports
in India and many others. A research idea to be conducted with reference to SME
seems to be a subconscious and conscious call. In the process, the review of literature
was conducted to know more and more about SME. Lots of material has been found
with reference to the history, evolution and with regards to the development and
32
problems of SME. In the process it is observed that there is lack of empirical study
with reference to SME in Navi Mumbai at Thane Belapur Industrial Belt which is
second node of industries in a country. This revealing fact triggered the idea to
conduct an empirical, descriptive and analytical study with references to SME in Navi
Mumbai. the individual limitations of resources in command the research idea got
crystallized to focus on the contribution of Maharashtra Industrial Development
Corporation(MIDC) in the development of SME in the Navi Mumbai with special
reference to Thane Belapur Industrial Belt(TBIT).
1.17 Statement of the problem:
It is clearly noticed that in emerging world and rapid change in the industrialization in
Navi Mumbai contributed steady and impressive growth in India‟s GNP. Role of
MIDC in the process of Industrialization especially in small and medium enterprises
is significant. MIDC has changed the lifestyle of the people in Navi Mumbai at high
extent. Thane-Belapur Industrial Belt(TBIB) gaining lot of significance due to high
spresd of I.e.80% industrial unites are small and medium enterprises which provides
employment opportunities to people.There was very limited study on contribution of
MIDC in the development of small and Medium enterprises in Navi Mumbai. Thus
this situation attracted the research student for conducting surveys and interviews for
knowing how small and Medium enterprises in Navi Mumbai are developed due to
the high support of MIDC.
Thus the exact problem of study is –
“STUDY OF CONTRIBUTION OF MIDC IN THE DEVELOPMENT OF SMALL
AND MEDIUM ENTERPRISES IN NAVI MUMBAI-A CASE STUDY OF THANE
BELAPUR INDUSTRIAL BELT, THANE DISTRICT”
1.18 Objectives of the study:
1. To ascertain the role of MIDC in terms of employment generation to the SME in Navi
Mumbai
2. To study the role of MIDC in promoting the SME in Navi Mumbai.
3. To identify the role of MIDC in terms of infrastructure to the SME in Navi Mumbai.
4. To identify the role of MIDC in terms of waste disposal to the SME in Navi Mumbai.
33
5. To identify the role of MIDC in terms of consultancy and incentives to the SME in
Navi-Mumbai
6. To provide measures and suggestions.
1.19 Hypothesis and Null Hypothesis:
Hypothesis:
“Proper planning and execution of infrastructure development policy and programme of
MIDC can contribute in development of SME and enhance economic development of that
region”
“Null Hypothesis”:
Null Hypothesis with reference to the employability in SME in Navi Mumbai
1. There is no significant increase in employability in Navi-Mumbai MIDC over
a period of interval (2000-2013).
2. There is no association between type of SME and year of existence with
respect to year 2000
Null Hypotheses with reference to contribution of MIDC in the development of
SME:
A) Null Hypotheses with reference to Land acquisition and allotment:
1. There is no association between level of satisfaction of land acquisition and
allotment for SME and type of organisation of the respondent.
2. There is no association between level of satisfaction of land acquisition and
allotment and type of SME of the respondent.
3. There is no association between level of satisfaction of land acquisition and
allotment and type of industry of the respondent
4. There is no association between level of satisfaction of land acquisition and
allotment and annual turnover of the respondent.
5. There is no association between satisfaction of land acquisition of allotment
by policy of MIDC in Navi Mumbai and development of SME.
B) Null Hypotheses with reference to Power Supply:
1. There is no association between level of satisfaction of Power Supply for SME
and type of organisation of the respondents.
34
2. There is no association between level of satisfaction of Power Supply and type
of SME of the respondent.
3. There is no association between level of satisfaction of Power Supply and type
of industry of the respondents.
4. There is no association between level of satisfaction of Power Supply and
annual turnover of the respondents.
5. There is no association between satisfaction of Power Supply by policy of
MIDC in Navi Mumbai and development of SME.
C) Null Hypotheses with reference to Water Supply:
1. There is no association between level of satisfaction of Water Supply for SME
and type of organisation of the respondents.
2. There is no association between level of satisfaction of Water Supply and type
of SME of the respondents.
3. There is no association between level of satisfaction of Water Supply and type
of industry of the respondents.
4. There is no association between level of satisfaction of Water Supply and
annual turnover of the respondents.
5. There is no association between satisfaction of Water Supply by policy of
MIDC in Navi Mumbai and development of SME.
D) Null Hypotheses with reference to Fire Prevention Measures:
1. There is no association between level of satisfaction of Fire Prevention
Measures for SME and type of organisation of the respondent.
2. There is no association between level of satisfaction of Fire Prevention
Measures and type of SME of the respondent.
3. There is no association between level of satisfaction of Fire Prevention
Measures and type of industry of the respondent.
4. There is no association between level of satisfaction of Fire Prevention
Measures and annual turnover of the respondent.
5. There is no association between satisfaction of Fire Prevention Measures by
policy of MIDC in Navi Mumbai and development of SME.
35
E) Null Hypotheses with reference to Safety and Security Measures:
1. There is no association between level of satisfaction of Safety and Security
Measures for SME and type of organisation of the respondent.
2. There is no association between level of satisfaction of Safety and Security
Measures and type of SME of the respondent.
3. There is no association between level of satisfaction of Safety and Security
Measures and type of industry of the respondent.
4. There is no association between level of satisfaction of Safety and Security
Measures and annual turnover of the respondent.
5. There is no association between satisfaction of Safety and Security Measures
by policy of MIDC in Navi Mumbai and development of SME.
F) Null Hypotheses with reference to Waste Management:
1. There is no association between level of satisfaction of Waste Management for
SME and type of organisation of the respondent.
2. There is no association between level of satisfaction of Waste Management
and type of SME of the respondent.
3. There is no association between level of satisfaction of Waste Management
and type of industry of the respondent.
4. There is no association between level of satisfaction of Waste Management
and annual turnover of the respondent.
5. There is no association between satisfaction of Waste Management by policy
of MIDC in Navi Mumbai and development of SME.
G) Null Hypotheses with reference to Consultancy:
1. There is no association between level of satisfaction of Consultancy for SME
and type of organisation of the respondent.
2. There is no association between level of satisfaction of Consultancy and type
of SME of the respondent.
3. There is no association between level of satisfaction of Consultancy and type
of industry of the respondent.
4. There is no association between level of satisfaction of Consultancy and
annual turnover of the respondent.
36
5. There is no association between satisfaction of Consultancy by policy of
MIDC in Navi Mumbai and development of SME.
H) Null Hypotheses with reference to Marketing Research:
1. There is no association between level of satisfaction of Marketing Research
for SME and type of organisation of the respondent.
2. There is no association between level of satisfaction of Marketing Research
and type of SME of the respondent.
3. There is no association between level of satisfaction of Marketing Research
and type of industry of the respondent.
4. There is no association between level of satisfaction of Marketing Research
and annual turnover of the respondent.
5. There is no association between satisfaction of Marketing Research by policy
of MIDC in Navi Mumbai and development of SME.
I) Null Hypotheses with reference to Incentives:
1. There is no association between level of satisfaction of Incentives for SME
and type of organisation of the respondent.
2. There is no association between level of satisfaction of Incentives and type of
SME of the respondent.
3. There is no association between level of satisfaction of Incentives and type of
industry of the respondent.
4. There is no association between level of satisfaction of Incentives and annual
turnover of the respondent.
5. There is no association between satisfaction of Incentives by policy of MIDC
in Navi Mumbai and development of SME.
1.20 Research Methodology:
As the requirement to have research methodology in conducting any research, the
study in hand had adopted the popular Research Methodology normally adopted in
conducting social research. The research adopted is tuned to „Descriptive and
Analytical method‟. The Research Methodology considered popular methods for
understanding the population, sample and sampling, collection of data, editing,
classification and interpretation of data. The standard practice of conducting social
37
research was adopted as Research Methodology. The objectives and Hypothesis of the
study were kept in mind to develop a supportive Research Methodology.
Population of the study
The population of the study covered the 100 SME unites in Thane Belapur Industrial
Belt in Navi Mumbai covering engineering, chemical, pharmaceuticals, Textile and
others enterprises in a size of small and medium enterprises.
Sampling and Sample size
All the 100 SME Unites in the local of the study are covered as shown in Annexure-
II. The original idea is to go on census method which will cover all the units, MIDC
officials. When the research reached the practical side of the activity it was found that
the response given to the data collection process does not fulfill the claim having
census method of research. By consistent persuasion and personal contacts the
research could have response determining a favorable sample size. The sample size
thus arrived is stratified sample based on response received from the respondents.
Table No 1.11
Sample units for conducting surveys
Engineering Chemical Others Textiles Pharmaceutical Total
Small
Enterprises
29 15 28 04 01 78
Medium
Enterprises
10 07 04 01 01 22
Total 39 22 32 05 02 100
(Other Enterprises includes Paint(01), Fabrications(03), Food(02), Packaging(02), Ice
Sheet(01), Printing(03), Mineral water(02), Furniture(01), Spare parts(07)
,Plastic(01), IT(01), Promotion(01), Logistic(01),Peper(01), Rubber(02),Electronic
Component(01).)
38
Area of the study
Research student has selected location at Industrial belt includes Trans Thane Creek
(TTC) . The TTC area spread over 2,562 Ha and number of plots in TTC is 3824.TTC
is a main concentration point by Industries for their set up in New Mumbai.
Data collection and Processing
The study relied upon both primary and secondary data
Primary Data is collected by use of methods like structured questionnaires to the SME
unit (Annexure –II), Structured questionnaires to MIDC officials (Annexure-III) and
along with discussion and interview with the respondents. Before finalizing the
structured questionnaires the draft questionnaires were prepared which can facilitate in
achieving required data for the study. While preparing the questionnaires detail
consideration of review of literature, the objective of the study and Hypothesis were
considered, in all two set of questionnaires were prepared. The Questionnaires become
the tool to collect data from the SME unites, entrepreneurs and MIDC officials. Each
Questionnaire consisted of classified set of questions which can generate classified
data with reference to Questionnaires.
In the process of collecting data through structured questionnaires it could facilitate
healthy environment of understanding which lead to fruitful interaction, discussion
and interviews of the respondents. This could help in having insight to the existing
facts required for the study.
Secondary data sources will include research reports published by CIDCO and
MIDC, District Industrial Development Corporation (DIDC), Regional development
offices, articles published in national journals, magazine, and newspapers, Reports of
various government departments, consultancy firms, published and unpublished
Research work at various institutions.
The Secondary data consisted of annual reports of SME covered in the study as well
as review of literature, publish articles by different authors and experts in the area of
Industrial location. Development of SME, plant location theories.The unpublished
data of SME that came to the knowledge during conduct of the study was considered
as a part of secondary data.
39
Analysis of Data
During the research, research student will use the statistical techniques for analysis like SPSS
Package, T-test, Chi-Square test and ANOVA etc.
Data Processing
The collected data subject to editing process by which purification of data could be achieved.
Incomplete questionnaires and irrelevant answered questionnaires were edited from the
collected data and constituted for Classification of data, Tabulation, Analysis of data and
statistical Methods.
Statistical Methods
Statistical Methods used for data analysis consist of Quantitative and Qualitative analysis.
T-test, ANOVA and Descriptive statistics are used in the study. The SPAA package was used
for statistical analysis
Reporting method
The study gets reported in a „Popular Method‟ of reporting. The statistical part of the report is
in „Technical Method of Reporting‟. Over all the reporting consist of use of tables, diagrams
(pictograms, pie-diagramme, histograms etc.), photographs and other visual presentations.
1.21 Scope of the study:
Temporal Scope:-
For the purpose of data collection and study, the data has been collected from the
present 100 SME unites in Thane-BelapurIndusrial Belt(TBIB) in NaviMumbai.To
calculate the trends in development of SME in Navi-Mumbai,14years data (Calender
year 2000 to 2014) is considered..For review and other purpose reference have been
made about the history of MIDC and SME in NaviMumbai in other domains.
Functional Scope:-
The purpose of the study is to go in depth for contribution of MIDC in development
of SME in NaviMumbai at Thane Belapur Industrial Belt (TBIB). The study also
intends to obtain further suggestions for improving existing MIDC support and
facilities for the development of SME in Thane Belapur Industrial Belt (TBIB) in
Navi Mumbai. The important factors considered for development of SME in TBIB in
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Navi-Mumbai study include Infrastructure facility, Land acquisition Policies, Water
Supply, Safety and Securities measures and Disposal management.
The SME respondent‟ opinion on the problems faced by them with respect to MIDC
support, Also their view on significance of major benefits of MIDC in Navi-Mumbai.
Geographical Scope:-
The study is in-depth study with special reference Small and Medium Enterprises
(SME) at Thane-Belapur Industrial Belt (TBIB) in Navi-Mumbai. Small and Medium
Enterprises (SME) includes the category of Engineering unites, Chemical unites,
Pharmacutical unites, Textile unites and other unites in Navi Mumbai
1.22 Limitations of the study:
1. The study only deals with Small and Medium Enterprises (SME) in Navi Mumbai
at Thane-Belapur Industrial Belt (TBIB).
2. The study deals specifically with 100 Small and Medium Enterprises (SME)
unites in a category of Engineering, Chemicals, Pharmaceuticals, Textile and
Others.
3. The study also deals with some unites which are existed after 2000 but which are
now functioning in MIDC area in Navi-Mumbai.
4. The study does not include Large Scale Enterprises (LSE) in Thane-Belapur
Industrial Belt (TBIB) in Navi-Mumbai.
5. As the study requires data from SME unites all over the Thane-Belapur Industrial
Belt (TBIB) in Navi-Mumbai region, the cost and time constraints have put
certain limitations including sample size. But every attempt is made to keep spirit
of the objectives and research methodology.
6. The reliability of the study may depend on authenticity of the data supplied by the
SME respondents.
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1.23 Organisation of Chapters:
Chapter 1: Introduction and Research Design.
The introduction and importance of Small and Medium Enterprises in general and of
MIDC in particular gets incorporated in this chapter.
History of SME in general and MIDC in particular gets incorporated in this chapter.
Industrial Development, Brief of Thane District and SME in it, Thane Belapur
Industrial Belt in Navi Mumbai and nature of industries gets reflected in this chapter.
Statement of problem, Objectives of the study, Hypothesis of the study, Null
Hypothesis with reference to contribution of MIDC in the development of SME in
Navi Mumbai with special reference to Thane Belapur Industrial Belt..
Research Methodology, scope of the study, span of the study, limitations of the study
and the organization of the chapters gets reflected in this chapter.
Chapter 2: Review of Literature
The published and unpublished literature gone through for this research study which
found the base of fair understanding and support to conduct the research gets
highlighted in this chapter.
Chapter 3: Overview of SME in Thane Belapur Industrial Belt
This chapter covers brief introduction and definitions of SME, Role of SME,
Development in Maharashtra, Performance in India and overview of SME in Thane
Belapur Industrial Belt in Navi Mumbai.
Chapter 4: MIDC in practice in Navi Mumbai.
This chapter covers the concept and the areas of functioning and services of MIDC in
general and in Thane Belapur Industrial Belt in Navi Mumbai with reference to land
acquisition policy, Infrastructure, Power supply support services, Safety and Security
measures, Water supply, Waste disposal mechanism, CEPT service, Consultancy and
incentives to SME in Navi Mumbai.
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Chapter 5: Profile of SME unites –TBIB in Navi Mumbai.
The chapter covers the profile of selected SME unites from engineering, chemical,
pharmaceutical, Textile and others category in TBIB in Navi Mumbai.
Chapter 6: Perception of SME unites at Thane Belapur Industrial Belt(TBIB) in
Navi Mumbai.
The chapter covers the Perception of SME unites towards Land acquisition and
allotment, infrastructure, Water supply facilities, Safety and Security measures, Waste
Management, Consultancy and Incentives provided by MIDC in Navi Mumbai.
Chapter 7: Findings and Testing of Hypothesis.
The chapter covers the findings, Quantitative and Qualitative analysis of the collected
data from the SME respondents in NaviMumbai.Chapter also covers the physical
observation of MIDC services in the jurisdiction of the study. The quantitative
analysis gets reported by usage of T-test, ANOVA, chi-square test and Descriptive
statistics.
Chapter 8: Suggestions and Conclusion.
In these chapter suggestions, significance of the study, areas are open for further
research and a concluding remark gets incorporated. The study was conducted
keeping in mind the objectives and hypothesis sets for study.
The Research Methodology was formulated to conduct the research study that could
arrive at findings of the study.
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1.24 Conclusion
The research was conducted as per the objectives; Hypothesis and Research
Methodology mentioned in this chapter. The history of SME and MIDC gets reviewed
and incorporated in this chapter. The information incorporated in this chapter not only
sets platform for the research study in hand but shall provide required literature
support for the other researcher who intend to initiate research study with reference
SME. The books and literature that gave the information in the spread of this chapter
are cited and given in Bibliography of this Thesis.