Industrial Policy For Promoting
Small Scale Business
HIGHLIGHTS
On March 2000, 32.16 lakh SS units Providing employment to about 187.62
lakh peopleProducing goods worth rs 27,00,855
crores Exports 43,946 crores
PROMOTIONAL INCENTIVES
MotivationRegional developmentEntrepreneurial
developmentAbility to face competition
[[[ > Incentives includes sudsidies,concessions n bounties <]]]
Need Of Promotional Incentives
To generate more
employment
To promote
entrepreneurship
To remove regional
disparities
Schemes of promotional incentives in operation
Import/export subsidies and bounties
(Facilities available in UP,karnatka,HP, Punjab ,Rajasthan n Tripura )
Interest free loans
Subsidy for research and development work
(Facilities are available in J&K, Sikkim, Delhi, kerala,manipur)
Special incentives for women
Benefit 1 •Entrepreneur having 80% women labourers are provided 50% subsidy on----
•Building n machinery, rent , subsidy
Benefit 2 •Facilities are available in Tripura n Kerala
Land n Building At Concessional Rates
-: Facilities Available In :-
Haryana
J&KHP
Modernization Facilities
SIDO Testing
Centers- mumbai,delhi
,kolkata chennai.
Scheme aims at providing consultancy
services, credit facility
quality control etc..
Credit Facility
SFCs for FIXED CAPITAL Commercial banks for WORKING CAPITAL
Co-operative banks for industries those who
are organized in corporate mannerIDBI NABARD
NSIC for machinery on Hire Purchasing
SFC’s
Other Incentives -
Production
Quality n technology up gradation
Pollution
control
State government provide incentives for :-
Recommendations
Expert committee
Support for technology in SSI’s
Measures have been suggested :- Providing technology support Financing for technology up-gradation Support for R&D
Small Scale Business
N’ Modern Technology
Technology
It implies the knowhow, design
and intellectual input
Practical application of principals of
science
Expertise, equipment n procedure used
Factors effecting selection of technology
INVESTMENT CAPACITY
• MANUFACTURIN-G STRATEGY
VOLUME OF PRODUCTION
• ENGINEERING N TECHNOLOGY EVALUATION
NATURE OF PRODUCT
• ECONOMIC EVALUATION
Benefits of technology
to SSI’s
Increase production
• Improved quality
Higher standard of living
Nation producing more goods n services have world’s largest standard of living
Reduced labour Improved products Speed up work
Elements of selection of technology
Plant select
ion
Equipment
selection
Consideration in selecting plant
Availability of raw material
Availability of skilled n unskilled labour
Nearness to the source of motive power
Nearness to market, banking and credit facility
Availability of transport facilities
Selection of equipment
Saving in time n water
Securing greater accuracy
Degree of skill required to operate the equipment
Probable amount of use
Type of productionmethod of production
Type of technology
• Labour intensive technology• Capital intensive technology
Technology up-gradation
• It refers to induction of commercially proven advanced technology leading to significant improvement in quality, productivity, cost reduction, saving of energy and use of raw material
Government schemes for technology up-gradation