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Chapter V Micro, Small and Medium Enterprises Development Institute (MSME-DI), Kerala

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Page 1: Micro, Small and Medium Enterprises Development Institute ...shodhganga.inflibnet.ac.in/bitstream/10603/19765/14/14_chapter5.pdf · CHAPTER V Micro Small and Medium Enterprises Development

Chapter V

Micro, Small and Medium Enterprises Development Institute (MSME-DI), Kerala

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Contents of the Chapter

Page No

Part I MSME-DIs - An Overview

� Introduction ..................................................................................................... 127

� Ministry of Micro, Small and Medium Enterprises .................................... 128

� Office of the Development Commissioner (MSME) Network .................. 130

� Organization Structure .................................................................................. 134

� MSME-DIs – At a glance ................................................................................ 135

� Aims and objectives of MSME-DIs ............................................................... 137

� Activities and Assistance of MSME-DIs ...................................................... 137

Part II MSME-DI, Kerala

� Introduction ..................................................................................................... 139

� Significant Activities ...................................................................................... 141

� Training Programmes ..................................................................................... 141

� Business Skill Development Programme ..................................................... 154

� Techno Managerial Consultancy Services ................................................... 155

� Workshop Services .......................................................................................... 157

� Technology Resource Centre ......................................................................... 162

� Awareness Programmes ................................................................................. 164

� Leather and Footwear Division ..................................................................... 166

� Cluster Development Programmes .............................................................. 166

� Status Reports .................................................................................................. 169

� Project Profiles ................................................................................................. 169

� Market Development Assistance .................................................................. 170

� Bar Code Reimbursement ............................................................................. 170

� ISO CELL .......................................................................................................... 171

� Women Entrepreneurs Development Cell (WEDC) .................................. 171

� Conclusion ........................................................................................................ 172

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CHAPTER V

Micro Small and Medium Enterprises Development Institute (MSME-DI), Kerala

This chapter is divided into two parts. Part I is a general study the MSME-

DIs and Part II, a detailed study about the working of the MSME-DI, Kerala.

Part I

5.0 Introduction

India is relatively fortunate among the developing countries as it felt the

need to have appropriate institutions at the central and at the state level for the

growth of the small scale industries much earlier. It has set up, over the years, a

broad-based institutional structure for the promotion of these industries. At the

heart of all the institutions, we have the Central Small Industries Organization

(CSIO), renamed as Small Industries Development Organisation (SIDO) and at

present it is the Office of the Development Commissioner (Micro, Small and

Medium Enterprises) under the Ministry of the Micro, Small and Medium

Enterprises (MSMEs).

The Office of the Development Commissioner known as the Small

Industries Development Organization (SIDO) was set up in 1954. It was

instituted on the basis of the recommendation of the Ford Foundation Team of the

Government of India. The Team also suggested the creation of a support network

called the Small Industries Service Institutes, now renamed as Micro, Small and

Medium Enterprises Development Institutes (MSME-DIs)

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128

SIDO is mainly intended for the development of the various small scale

units in the different areas. It is a nodal agency for identifying the needs of the

SSI units, co-ordinating and monitoring the policies and programmes for the

promotion of the small industries. It undertakes various programmes of training,

consultancy, evaluation of the needs of the SSIs and the development of the

industrial estates. All these functions are taken care of with the various

institutions attached to it, mainly through the MSME-DIs located in all the Indian

States.

“The Indian President under notification dated 9th May 2007 has amended

the Government of India (Allocation of Business) Rules 1961. Pursuant of this

amendment, the Ministry of the Agro and Rural Industries (Krishi Evam Gramin

Mantralaya) and the Ministry of Small Scale Industries (Laghu Udyog

Mantralaya) have been merged into a single Ministry, namely (MINISTRY OF

MICRO, SMALL AND MEDIUM ENTERPRISES (SUKSHMA LAGHU AUR

MADHYAM UDYAM MANTRALAYA)” 1.

5.1 Ministry of Micro, Small and Medium Enterprises

The Micro, Small and Medium Enterprises (MSME) sector has been

recognized as the engine of growth all over the world. Many countries of the

world have established the SME Development Agency as the nodal agency to co-

ordinate and oversee all the Government interventions in respect of the

development of this sector. In the case of India too, the small and medium

enterprises have, for the first time, been defined in terms of a separate Act,

governing the promotion and the development of the Micro, Small and Medium

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129

Enterprises (MSME) Development Act, 2006. The office of the Development

Commissioner (Micro, Small and Medium Enterprises) functions as the nodal

Development Agency under the Ministry of the Micro, Small and Medium

Enterprises (MSMEs).

The Office of the Development Commissioner (SSI) established in 1954.

It has over 70 offices and 21 autonomous bodies under its management. These

autonomous bodies include Tool Rooms, Training Institutions and Project-cum-

Process Development Centres. The Office of the Development Commissioner

(MSME) provides a wide spectrum of services to the Micro, Small and Medium

Industrial sector. These include training for entrepreneurship development,

preparation of project and product profiles, technical and managerial consultancy,

assistance for exports, pollution and energy control. It supplies economic

information services and advises the Government in its policy formulation for the

promotion and development of the SSIs. The field offices also work as effective

links between the Central and the State Governments.

Consequent on the increased globalization of the Indian economy, the

MSMEs must face new challenges. The Office has also recognized the changed

environment and is currently focusing on providing support in the fields of credit,

marketing, technology and infrastructure to the MSMEs. “Global trends and

national developments have accentuated the Office of the Development

Commissioner (MSME)’s role as a catalyst of growth of the MSMEs in the

country”2.

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130

5.2 The Office of Development Commissioner (MSME)

A vast network of field organizations and institutes, across the country,

operate according to the aims, objectives and guidelines laid down by the

Development Commissioner (MSME). It consists of the MSME-DIs,

Autonomous bodies and Training Institutes.

Figure 5.1 MSME Network

The Office of the Development Commissioner Network

Source: The Office of the Development Commissioner, MSME

The Ministry of The MSME is the administrative Ministry in the

Government of India for all matters relating to the Micro, Small and Medium

Enterprises. It designs and implements policies and programmes through its field

DC (MSME)

MSME-DI

MSME-TC

HTI

SEPTI

Autonomous Bodies

Br. MSME-DI

MSME-TS

TR/TDI

CFTI

P P D C (S)

ESTC

IDEMI

PPDC

FFDC

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131

organizations and attached offices for the promotion and growth of the MSME

sector.

5.2.1 Institutional Network

The Development Commissioner (MSME) has a network of 30 MSME-

Development Institutes (MSME-DIs), 28 Br. MSME-Development Institutes (Br.

MSME-DIs), 4 MSME-Testing Centers (MSME-TCs), 7 MSME-Testing Stations

(MSME-TSs), 21 Autnomous bodies which include 10 Tool Rooms (TRs) and a

Tool Design Institute (TDI), 4 MSME-Technology Development Centres

(MSME-TDCs), 2 MSME-Technology Development Centre-Footwear (MSME-

TDC), 1 Electronics Service and Training Centre (ESTC), 1 Institute for the

Design of Electrical Measuring Instruments (IDEMI), 2 National Level Training

Institutes and 1 Departmental Training Institute and one Production Centre.

5.2.3 MSME-Testing Centre (MSME-TC) (Formerly Regional Testing

Centres (RTCs))

• Provides Testing facilities for quality upgradation

• Training or Consultancy in testing, quality control, quality management

• Process quality control systems

• Product specific testing facilities are provided by the MSME-Testing

Stations (MSME-TSs).

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132

5.2.4 Autonomous Bodies

Tool Rooms or Tool Design Institutes (TRs/TDI)

• To assist the MSMEs in technical upgradation, to provide good quality

tooling by designing and producing tools, moulds, jigs and fixtures and

components.

• To provide Training and consultancy for tool and die makers.

5.2.5 MSME-Technology Development Centre (MSME-TDC) (Formerly

Product-cum-Process Development Centres (PPDCs))

These are product specific Centres to:

• Look into their specific problems and render technical service

• Develop and upgrade technologies

• Manpower development and training

5.2.6 MSME-Technology Development Centres –Footwear (MSME-TDC)

(Formerly Central Footwear Training Institutes (CFT Is))

These are intended to:

• Develop footwear designing to promote exports

• Give training for manpower in footwear industry

5.2.7 Training Institutes

• The National Institute of Micro, Small and Medium Industry Extension

Training (NIMSMIET), Hyderabad

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133

• The National Institute for Entrepreneurship and Small Business

Development (NIESBUD), New Delhi, which conducts National and

International level training programmes in different fields and disciplines.

• The Indian Institute of Entrepreneurship (IIE), Guwahati. The main

objective of the Institute is to act as a catalyst for entrepreneurship

development with its focus on the North East.

5.2.8 Other Associated Agencies

• The National Small Industries Corporation (NSIC) for technology and

marketing support.

• The Small Industries Development Bank of India (SIDBI) and the apex

bank set up to provide direct or indirect financial assistance under

different schemes to meet the credit needs of the small-scale sector and to

co-ordinate the functions of the other institutions in similar activities.

• Khadi and Village Industries Commission (KVIC) assists the

development and promotion and disbursal of rural and traditional

industries in rural and town areas.

5.2.9 State Level Institutional Support

• The State Government executes different promotional and developmental

projects or schemes and provides a number of supporting incentives, for

the development and promotion of the MSME sector in their respective

States.

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134

• These are executed through the State Directorate of Industries, who have

District Industries Centres (DICs) under them to implement the Central

and the State Level schemes.

• The State Industrial Development and Financial Institutions and the State

Financial Corporations also take care of the needs of the MSME sector.

5.3 Organisation Structure

5.4 Micro, Small and Medium Enterprises – Development Institutes

(MSME-DIs) At a Glance

The small scale industries covering a wide range of small, tiny and

cottage sector occupy an important position in the planned development of the

Indian economy and plays a pivotal role in the overall economic and industrial

growth and development of the country. In order to accelerate the development

of small industries, the Government of India has set up a number of agencies.

These agencies are under the control of The Development Commissioner

- Micro, Small and Medium Enterprises (DC MSME). There are 30 MSME-DIs

in all and 28 branch institutes. The MSME-DIs are most significant among them.

Government of India

Ministry of MSME

Development Commissioner (MSME)

MSME-DIs

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135

The following figure shows the details of the MSME-DIs

Figure 5.2

MSME-DIs at a Glance

5.4.1 List of MSME-DIs

The details of the MSME-DIs in India are given in appendix V.

5.5 Aims and Objectives of the MSME-DIs

The MSME-DIs have a lot of technological, management and

administrative tasks to perform. One of the most important functions of the

MSME-DI is to provide technical consultancy and advisory services. They guide

entrepreneurs as to the type of industry to start, where to start and how to start it.

MSME-DIs 30

Branch MSME-DIs 28

MSME Testing Centres 4

MSME Testing Stations 7

MSME Tool Rooms 10

MSME Technology Development Centres 4

MSME Training Institutes 2

MSME Departmental Training Institute 1

Production Centre 1

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136

It helps them to select the various items of manufacture which have great scope

for development in various areas.

Training is provided for the workers in the basic trades in the workshops,

attached to the Institutes and its extension centres. They also conduct

entrepreneurship development programmes all over the country for the benefit of

the small industrialists. Training courses in small industries entrepreneurship and

management are conducted with emphasis on the practical aspects of the small

industries management. Besides these major functions, the MSME-DIs provide

the following important roles in the industrialization of the country.

• Advise the Central and the State Governments on policy matters relating

to the small industries development.

• Supply market information to the small scale industries

• Enlist the small units for participation in the Government stores’

purchase programme.

• Conduct economic and technical surveys and prepare techno economic

reports for selected areas and industries.

• Identify the potential for auxiliary development through sub-contract

exchanges

• Assist in making tools, dyes, jigs and fixtures.

• Prepare management control charts for maximization of profit

• Enlist small units for participation under the export aid to small Industry

scheme of the State Trading Corporation of India

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137

• Disseminate information about the items having export markets

• Maintain a close liaison with specialized agencies like the export

promotion council to have upto date knowledge about the products

having export markets.

5.6 Activities of the Micro, Small and Medium Enterprises –

Development Institutes

The MSME-DIs try to impart greater vitality and growth impetus in terms

of output, employment, exports and instilling a competitive culture based on the

heightened techno-managerial awareness. They take all the measures to

popularize entrepreneurship and motivate them to adopt it as their career. Their

mission is economic upgradation and employment generation through industrial

development. These institutes assist the small scale enterprises in upgrading their

knowledge and improving their technical skills through structured management

and skill upgradation programmes.

Eventhough the activities differ, all of them have some common functions

to perform. They include the following.

5.6.1 Assistance to Entrepreneurs

Assistance is provided to the small scale entrepreneurs in various forms. It

consists of the following.

• Motivation campaigns

• Entrepreneurship Development Programmes

• Management Development Programmes

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138

• Preparation of Project Profiles

• Cluster Development Programmes

• Workshop Services

• Export Assistance

5.6.2 Assistance to the District Industries Centres

The following are the assistance provided to the District Industries

Centres.

• The Institute renders technical assistance to the prospective entrepreneurs

referred by the DICs

• Technical schemes are provided to the DICs on their request.

• It organizes campaigns in active collaboration with the DICs.

5.6.3 Assistance to Government

The Institute provides various types of assistance to the Government. It

gives suggestions and information to the Government for formulating the policy

for the promotion and development of the small scale industries. It also maintains

close collaboration with the Central Ministers, the Planning Commission, the

State Governments, the Financial agencies and the other agencies concerned with

the development of the small scale industries.

5.6.4 Assistance to SC/ST/Women Entrepreneurs

The Institute regularly provides technical assistance for organizing

Entrepreneurship Development Programmes for the SCs or STs and the

entrepreneurs of weaker section.

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139

PART II

5.7 MSME-DI, Kerala

5.7.0 Introduction

The Micro, Small and Medium Enterprises Development Institute

(MSME-DI), Kerala, situated at Ayyanthole, Thrissur is a field level agency of

the Small Industries Development Organisation (SIDO) under the Ministry of the

MSMEs, Government of India, to meet the needs of the MSMEs in the state of

Kerala.

It was started in the year 1956 as Small Industries Service Institutes

(SISI); now it is renamed as the Micro, Small and Medium Enterprises

Development Institute (MSME-DI).

The jurisdiction of the MSME-DI, Kerala, extends to all the districts of

Kerala and the Union Territory of Lakshadweep. It provides technical and

managerial consultancy services. Further, it attends to the revival of the small

scale sick units. It undertakes promotional and developmental activities, starting

from the creation of awareness, motivation, instilling and identifying products

and entrepreneurs. It sets up industrial establishments. It resorts to follow up

measures in the context of a new era of liberalization and globalization. The

activities of the Institute are extended through its extension centres at Alappuzha,

Shornur, Kozhikode and the Central workshop situated at the headquarters,

Thrissur. The Nucleus Cell of the Institute is functioning at Cochin for the

promotion and the development of the Small Scale units in the Lakshadweep

Islands.

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140

This part presents a clear picture of the working and achievements of the

MSME-DI from 2000-2001 to 2009-2010.

Figure 5.3

Organisation Structure (MSME-DI, Kerala)

Source: Annual Report, MSME-DI, Kerala

ORGANISATION CHART OF OFFICERS The MSME-DEVELOPMENT INSTITUTE, KERALA

O.L

. Div

isio

n

EN

GG

ST

AT

S

EI

DIRECTOR (LJ)

DD (GSP)

AD (PVB)

Ad (KJ)

SUPDT (UKB)

SUPDT (KC)

SUPDT (GS)

SUPDT (EKS)

Administrative Wing

AD

(K

S)

AD

(P

CJ)

AD

(M

SR

)

AD

(JJ

)

AD

(N

NR

)

AD

(JT

)

AD

(V

MN

)

AD

(S

RC

)

AD

(V

PN

)

AD

(S

P)

AD

(M

PC

)

INV

(K

R)

SH

T (

RV

)

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141

5.8 Significant Activities

The MSME-DI, Kerala offers a wide variety of training programmes for

the promotion and development of the micro, small and medium enterprises in

Kerala. This is represented in figure 5.4.

Figure 5.4

5.9 Training Programmes

The Institute conducts a series of training programmes every year. The

branches are well equipped with theoretical and practical knowledge in the

respective fields. The Institute conducts Entrepreneurship Development

Programmes (EDPs), Enterpreneurship Skill Development Programmes (ESDPs),

Management Development Programmes (MDPs) and Motivation Campaigns

(MCs). All these programmes are intended to motivate and equip young people to

Activities & Services of MSME-DI Thrissur

EDP/ ESDP/BSDP/MDP

SPECIAL SKILL

Programme Under PD Account

FINANCIAL ASSISTANCE

SCHEME CGS & CLCSS

MSE-CDP/ NMCP

ISO/NSIC VDP/MDA AWARD

DIRECTORY & STATUS REPORTS PROJECT

PROFILES/ REPORTS

STATE PROFILE &

INDUSTRIAL POTENTIAL SURVEYS

Entreprenur

Training Programmes

Implementation of

Various Schemes of

Govt of India

Preparation of Reports

and Profiles

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142

set up their own enterprises and make Kerala an Industrial State. To assure the

participation of the weaker sections of the society exclusive programmes are

conducted for women and the SC/STs.

The Institute conducts training programmes in various disciplines,

depending upon the need of the area. The Engineering Workshop, the Leather and

Footwear Service Centre and The Fruit and Vegetable preservation Centre

attached to the Institute conduct various technical training courses.

In such areas where sufficient infrastructure facilities are not available at

the Institute, the training programmes are conducted in association with reputed

technical institutions and NGOs in that particular field. The training programmes

are being organized for different categories of people such as the educated youth,

both men and women, backward classes and the SC/ST, with a view to promoting

entrepreneurship.

The important training programmes conducted by the Institute are as

follows:

5.9.1 Entrepreneurship Development Programmes (EDPs)

With a view to develop entrepreneurial skill among the educated

unemployed youth of the state, the Institute undertakes a number of product and

process oriented EDPs in the various parts of the State.

The following table shows the number of EDPs conducted from 2000-2001 to

2009-2010

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143

Table 5.1

Entrepreneurship Development Programmes (2000-2001 to 2009-2010)

Year No. of Programmes No. of Participants

2000-01 30 650

2001-02 24 580

2002-03 26 560

2003-04 20 450

2004-05 18 448

2005-06 24 611

2006-07 16 403

2007-08 5 116

2008-09 8 209

2009-10 10 241

Source: Annual Reports MSME-DI, Kerala

Number of Participants are high during the initial period, then shows a

declining trend.

The following table shows the details of the category wise participation in

EDPs during 2000-2001 to 2009-2010.

Table 5.2

The category wise participation in EDPs (2000-2001 to 2009-2010)

Year No.of

Programmes No.of participants

Total General Women SC/ST

2000-01 30 585 450 65 650

2001-02 24 535 390 45 580

2002-03 26 500 370 60 560

2003-04 20 410 300 40 450

2004-05 18 413 327 35 448

2005-06 24 441 327 35 611

2006-07 16 350 230 53 403

2007-08 5 71 40 35 116

2008-09 8 179 85 30 209

2009-10 10 200 108 41 241

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144

Participation of women is greater in all EDPs conducted by the Institute.

The district wise classification of EDPs during 2000-2001 to 2009-2010 is

given below:

Table 5.3

District wise classification of EDPs (2000-2001 to 2009-2010)

Year

Triv

andr

um

Kol

lam

Pat

hana

mth

itta

Kot

taya

m

Iduk

ki

Ala

ppuz

ha

Ern

akul

am

Thr

issu

r

Pal

akad

Mal

appu

ram

Koz

hiko

de

Vay

anad

u

Kan

nur

Kas

argo

d

2000-2001 0 4 3 5 3 4 3 6 0 0 0 1 0 1

2001-2002 0 3 2 4 2 3 2 4 1 1 1 1 0 0

2002-2003 1 2 2 3 1 2 2 4 2 2 2 2 0 1

2003-2004 0 2 1 1 2 2 2 3 2 1 1 1 1 1

2004-2005 0 1 2 2 1 1 1 3 1 2 0 2 0 2

2005-2006 0 3 1 2 2 0 3 3 2 2 2 2 0 2

2006-2007 0 0 1 2 1 1 2 3 2 0 2 0 2 0

2007-2008 2 0 0 0 0 0 0 2 1 0 0 0 0 0

2008-2009 0 1 1 1 1 1 1 1 1 0 0 0 0 0

2009-2010 1 0 0 0 0 0 0 2 2 1 1 1 1 1

Total 4 16 13 20 13 14 16 31 14 9 9 10 4 8

Source: Annual Report MSME-DI, Kerala

Out of the 14 districts in the state, the number of programmes are high in

certain districts, such as Kollam, Kottayam, Thrissur and Palakkad. The Institute

concentrates more in the district of Thrissur.

Lack of entrepreneurship is said to be the most important reason for the

industrial backwardness of the state. Hence the Institute conducts ESDPs

regularly in the different parts of the State.

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145

Skill Development Programmes are Self-supporting and are organized

mostly utilizing the skill available with the NGOs in the different parts of the

state. The objective of the programme is to promote efficiency and self-

confidence among the educated unemployed youth and potential entrepreneurs to

enable them to start their own ventures.

ESDP is a new concept introduced in the year 2007-2008. During the

year, the Institute was assigned a target of five ESD programmes. One

programme was targeted for the weaker sections (SC, ST, Women and Physically

Handicapped) with a stipend of Rs. 500 per capita per month. One non stipend

programme was also conducted for this weaker section; three other programmes

were organized for the unemployed youth.

The following table shows the details of entrepreneurship Skill

Development Programmes (ESDPs) conducted in 2007-2008 to 2009-2010.

Table 5.4

ESDPs Conducted by the MSME-DI (2007-08 to 2009-2010)

Year No.of

programmes No.of participants

Total General Women SC/ST OBC Minority

2007-2008 25 26 107 2 79 39 253

2008-2009 33 194 475 155 296 188 740

2009-2010 41 277 670 111 339 316 1018

Source: Annual Report, MSME-DI, Kerala

Since the introduction of ESDP, the number of programmes shows an

increasing trend.

The district wise classification of the ESDPs during 2007-2008 to 2009-

2010 is given in table 5.5.

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146

Table 5.5

District wise classification of the ESDP (2007-2008 to 2009-2010) Y

ear

Triv

andr

um

Kol

lam

Pat

hana

mth

itta

Kot

taya

m

Iduk

ki

Ala

ppuz

ha

Ern

akul

am

Thr

issu

r

Pal

akad

Mal

appu

ram

Koz

hiko

de

Vay

anad

u

Kan

nur

Kas

argo

d

2007-2008 2 1 1 2 1 1 2 3 1 2 2 2 3 2

2008-2009 1 2 3 3 1 2 3 3 2 2 3 3 4 2

2009-2010 1 2 3 3 2 2 3 7 3 4 3 2 4 2

Total 4 5 7 8 4 5 8 13 6 8 8 7 11 6

Source: Annual Report, MSME-DI, Kerala

The district wise comparison shows that more ESDPs are conducted in the

district of Thrissur, Kannur comes second and Ernakulam and Kottayam have

only the third place.

5.9.2 Management Development Programmes (MDPs)

As the lack of managerial skill has been found to be one of the major

reasons for the failure of the Small Scale Industries the Institute conducts a

number of Management Development Programmes (MDPs) rather regularly in

the various parts of the State. They are intended to equip the owners and the

management of the MSMEs with the latest managerial tools as well.

The MDPs are introduced by the Institute with a view to inculcating the

management know how among the Small Scale Industrialists and their

employees.

The following table shows the number of Management Development

Programmes conducted from 2000-2001 to 2009-2010.

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Table 5.6

MDPs Conducted by the MSME-DI (2000-2001 to 2009-2010)

Year No. of MDPs No. of Participants

2000-2001 20 508

2001-2002 22 517

2002-2003 21 485

2003-2004 13 390

2004-2005 16 408

2005-2006 18 411

2006-2007 11 267

2007-2008 4 87

2008-2009 8 180

2009-2010 13 287

Source: Annual Reports, MSME-DI, Kerala

The following table shows the district wise classification of MDPs from

2000-2001 to 2009-2010.

Table 5.7

District wise classification of MDPs (2000-2001 to 2009-2010)

Year

Tri

vand

rum

Kol

lam

Pat

hana

mth

itta

Kot

taya

m

Iduk

ki

Ala

ppuz

ha

Ern

akul

am

Thr

issu

r

Pal

akad

Mal

appu

ram

Koz

hiko

de

Vay

anad

u

Kan

nur

Kas

argo

d

2000-2001 2 0 0 2 0 1 2 4 2 0 2 0 3 2

2001-2002 2 1 2 2 1 1 1 3 2 1 1 1 2 2

2002-2003 1 1 1 2 1 2 1 3 1 2 1 2 2 1

2003-2004 0 2 0 2 0 1 0 4 0 0 2 1 1 0

2004-2005 1 1 1 2 2 1 2 3 1 1 1 0 0 0

2005-2006 2 0 0 2 1 1 4 4 0 0 0 0 4 0

2006-2007 1 0 2 2 0 2 0 3 0 0 0 0 2 0

2007-2008 0 0 0 0 0 0 0 2 0 0 0 0 2 0

2008-2009 0 0 2 2 0 1 0 2 0 0 0 0 1 0

2009-2010 2 1 2 2 0 1 2 2 0 0 0 0 1 0

Total 11 6 10 18 5 11 12 30 6 4 7 4 18 5

Source: Annual Report, MSME-DI, Kerala

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5.9.3 Motivation Campaigns (MCs)

With a view to develop entrepreneurial skill among the youth and to

create an awareness about the need for industrialization in the socio-economic

development of the State and popularizing the policies and programmes of the

State and the Central Governments towards industrialization, the Institute

conducts a number of motivation campaigns at different places. They are

organized for different categories like the educated unemployed youth, the

weaker sections of the society and women. During the motivation campaign,

representatives from various banks, state financial agencies and representatives

of the Central and State Governments give guidelines for the promotion of the

small scale industries, followed by the interaction of the participants with the

successful entrepreneurs. In the motivation campaigns, the resource persons

present the various items of assistance, available to start small scale industries

and the procedures and formalities to be completed, therewith.

The following table presents the picture of the Motivation Campaigns

conducted by the Institute.

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Table 5.8

Motivation Campaigns (MCs) (2000-2001 to 2009-2010)

Year No.of MCs No.of participants

2000-2001 4 240

2001-2002 8 600

2002-2003 10 745

2003-2004 15 1300

2004-2005 17 1450

2005-2006 24 2900

2006-2007 25 3007

2007-2008 18 1627

2008-2009 20 2599

2009-2010 45 3491

Source: Annual Report, MSME-DI, Kerala

The following figure presents the number of motivation campaigns conducted by

the Institute from 2000-2001 to 2009-2010.

Figure 5.5

Number of Motivation Campaigns conducted

4

8

10

15

17

2425

18

20

45

0

5

10

15

20

25

30

35

40

45

MCs

2000-2001

2001-2002

2002-2003

2003-2004

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

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The number of participants in motivation campaigns from 2000-2001 to

2009-2010 is given in the following figure.

Figure 5.6

Number of participants in Motivation Campaigns (MCs)

240

600

745

1300

1450

29003007

1627

2599

3491

0

500

1000

1500

2000

2500

3000

3500

MCs

2000-2001

2001-2002

2002-2003

2003-2004

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

Table 5.9 shows the category wise participation in motivation campaigns

from 2000-2001 to 2009-2010.

Table 5.9

The category wise participation in MCs (2000-2001 to 2009-2010)

Year No.of participants

Total General SC/ST Women

2000-2001 210 30 85 240

2001-2002 540 60 135 600

2002-2003 690 55 230 745

2003-2004 1100 200 325 1300

2004-2005 1125 325 1150 1450

2005-2006 2577 323 1398 2900

2006-2007 2664 343 1498 3007

2007-2008 1523 104 1300 1627

2008-2009 2199 400 1900 2599

2009-2010 3116 375 2800 3491

Source: Annual Report, MSME-DI, Kerala

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The following table shows the district wise classification of motivation

campaigns from 2000-2001 to 2009-2010.

Table 5.10

District wise classification of MCs (2000-2001 to 2009-2010)

Year

Triv

andr

um

Kol

lam

Pat

hana

mth

itta

Kot

taya

m

Iduk

ki

Ala

ppuz

ha

Ern

akul

am

Thr

issu

r

Pal

akad

Mal

appu

ram

Koz

hiko

de

Vay

anad

u

Kan

nur

Kas

argo

d

2000-2001 0 1 1 1 0 0 0 1 0 0 0 0 0 0

2001-2002 0 1 0 0 1 1 1 1 1 1 1 0 0 0

2002-2003 0 0 0 2 0 0 1 2 0 0 1 1 2 1

2003-2004 1 2 1 2 0 1 1 2 0 1 1 1 1 1

2004-2005 1 1 2 1 1 1 1 2 1 1 1 1 2 1

2005-2006 1 2 1 2 0 2 0 3 2 2 2 2 3 2

2006-2007 1 2 2 1 2 1 1 3 1 2 2 2 3 2

2007-2008 1 1 2 2 1 2 0 2 0 1 1 2 2 1

2008-2009 0 1 2 2 1 2 1 2 1 1 1 2 2 2

2009-2010 2 1 5 5 2 3 0 5 2 3 4 4 5 4

Total 7 12 16 18 8 13 6 23 8 12 14 15 20 14

Source: Annual Report, MSME-DI, Kerala

Motivation Campaigns were conducted by the Institute all over the state.

Nevertheless, it was concentrating more in the districts of Thrissur, Kannur and

Kottayam.

5.9.4 Programmes Under PD Account

Apart from the Government Programmes such as the EDPs, the ESDPs,

the MDPs and the MCs, the Institute conducts a number of self – supporting, skill

developing, training programmes, operating under the PD Account. These

programmes are self- supporting and organized mostly by the NGOs in the

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different parts of the State. The Institute receives revenue from these

programmes.

A detailed account of the various courses conducted during 2000-2001 to

2009-2010 are given below.

Table 5.11

P.D Account programmes (2000-2001 to 2009-2010)

Year No. of Programmes No. of participants

2000-2001 20 385

2001-2002 18 360

2002-2003 15 320

2003-2004 16 340

2004-2005 25 496

2005-2006 27 514

2006-2007 23 473

2007-2008 27 530

2008-2009 18 385

2009-2010 15 355

Source: Annual Report, MSME-DI, Kerala

The category wise participation in the PD Account programmes is given

below.

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Table 5.12

The category wise participation in P.D Account programmes (2000-2001 to 2009-2010)

Year No.of participants

Total General Women SC/ST

2000-2001 305 300 80 385 2001-2002 295 280 65 360 2002-2003 280 260 40 320 2003-2004 275 275 65 340 2004-2005 401 200 95 496 2005-2006 400 225 114 514 2006-2007 341 160 132 473 2007-2008 386 185 144 530 2008-2009 295 230 90 385 2009-2010 273 175 82 355

Source: Annual Report, MSME-DI, Kerala

The district wise classification of the PD account programmes is given

below.

Table 5.13 District wise classification of P.D Account programmes

(2000-2001 to 2009-2010)

Year

Triv

andr

um

Kol

lam

Pat

hana

mth

itta

Kot

taya

m

Iduk

ki

Ala

ppuz

ha

Ern

akul

am

Thr

issu

r

Pal

akad

Mal

appu

ram

Koz

hiko

de

Vay

anad

u

Kan

nur

Kas

argo

d

2000-2001 0 1 2 2 0 1 1 5 0 2 0 2 2 2 2001-2002 0 2 1 2 0 1 0 7 1 1 0 1 1 1 2002-2003 1 0 1 2 1 2 2 6 0 0 0 0 0 0 2003-2004 0 0 0 1 0 0 0 7 1 2 1 2 2 0 2004-2005 0 2 2 4 0 0 0 8 1 1 1 1 3 2 2005-2006 0 1 0 2 1 2 2 10 1 1 2 2 2 1 2006-2007 0 0 4 2 0 2 0 8 0 0 1 2 2 2 2007-2008 0 0 2 2 2 2 2 9 0 1 0 2 3 2 2008-2009 0 1 3 3 2 0 0 5 2 1 0 0 0 0 2009-2010 0 1 2 2 0 2 2 6 0 0 0 0 0 0

Total 1 8 17 22 6 12 9 71 6 9 5 12 15 10

Source: Annual Report, MSME-DI, Kerala

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The number of PD Account programmes is very high in the home district

of the Institute. However, the Institute make an earnest effort to conduct

programmes all over the state.

5.9.5 Business Skill Development Programmes (BSDPs)

With the objective of grooming technical manpower in the State into

entrepreneurs and capitalize on the emerging opportunities, the Micro, Small and

Medium Enterprises Development Institute (MSME-DI) of the Ministry of the

MSME has started a Business Skill Development Programme for the students of

the engineering colleges, the schools and the other institutions imparting

technical education in the State.

Under the programme, eligible students, doing the final year or semester

and pre-final terms, are trained in the various aspects of entrepreneurship. The

course involves selection of potential sectors against the backdrop of the

upcoming large industries, product - cum - process design, manufacturing, quality

management, export opportunities, marketing techniques, preparation of projects

accompanied by field –level exposure. Necessary information required to

establish business ventures like Product selection, preparation of business plan,

sources to get financial assistance, interaction with the entrepreneurs, awareness

of the government schemes or policies and market study are focused in this

programme.

The highlight of this programme would be to encourage the preparation of

a business plan by each of the participant in his or her own, chosen, interested

areas.

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Business Skill Development Programmes (BSDPs) 2008-2009

Details of BSDPs for the year 2008-2009 are given below.

Table 5.14

BSDP Trainees 2008-2009

Achievement 2008-2009: BSDP

SC ST W Minorities OBC Others Total

BSDPs

SC 1 19 17 19

Women 1 30 6 24 30

General 1 18 11 19 30

Total 3 19 0 65 0 17 43 79

Source: Annual Report, MSME-DI, Kerala

The following table outlines the details of BSDP trainees for 2009-2010.

Table 5.15

BSDP Trainees 2009-2010

Programmes No. of persons trained

SC ST Women Minorities OBC Others Total

3 2 1 15 36 19 27 85

Total 2 1 15 36 19 27 85

In 2009-2010, 3 BSDPs have been conducted. 85 trainees of various

technical institutions actively participated in the programme.

5.9.6 Techno-Managerial Consultancy Services

The prime motto of the Institute is to provide technical consultancy for

the development of small scale industries in the state of Kerala and the Union

Territory of Lakshadweep. It renders assistance to the entrepreneurs in areas like

the selection of the product, the location, the machinery and its layout, the raw

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materials and the marketing techniques. A number of prospective and existing

entrepreneurs have availed themselves of the facilities available at the

Technology Resource Centre with the assistance of the technical offices of the

trade concerned.

Figure 5.7

The Techno Managerial Consultancy Services provided by the Institute

The following table shows the technical assistance rendered by the

officers during 2004-2005 to 2008-2009

Identification of New Project Profiles & Updation of Existing Profiles Diversification

Identification & promotion of Entrepreneurs (Prospective & Existing)

Special Skill Training

Technology Upgradation & Modernisation

Hand holding Technical Consultancy & Capacity Building

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Table 5.16

Technical Assistance provided by the Institute

SL. No

Particulars

No. of Persons or units benefited

2004-2005

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

1 Number of units visited by officers

325 599 403 259 400 220

2 Total Visitors at the Institute

2114 4026 3817 3871 3800 3850

3 Number of Persons trained

1161 1552 1105 1155 1050 1080

Source: Annual Report, MSME-DI, Kerala

5.9.7 Workshop Services

There are two workshops functioning in their full-fledged capacity viz

Engineering Workshop and Footwear Service Centre. They offer common facility

services to the MSME units for various job works, and developing new products.

They also render technical training. Actually there is one more workshop, the

Fruit and Vegetable Preservation Centre. But it has not been functioning properly

for the last five years.

The details of the various activities performed by the workshops during

the year 2004-2005 are given in the following table.

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Table 5.17

Workshop-wise and Category-wise revenue earned (2004-2005)

Name of the workshop Service

Charge (Rs.)

Sale Proceeds

(Rs.)

Course fee (Rs.)

Total (Rs.)

Mechanical Engineering 55331 0 39000 94331

Leather & Footwear 525 48338 2100 50963

Food Processing Nil Nil Nil Nil

Total 55856 48338 41100 145294

Source: Annual Report, MSME-DI, Kerala

During the year 2005-2006, the Engineering workshop conducted Hi-

Tech and Skill Oriented Training Programmes in various trades such as CNC

Manual Programming and Operation, X-ray Quality Welding, Non Destructive

Testing, CAD/CAM etc using PD Account facility. The workshops attached to

the Institute have earned a total revenue of Rs. 134946 by way of the sale of the

trainee products, common facility service charges and course fee. The category-

wise revenue earned by the workshops during 2005-2006 is detailed hereunder:

Table 5.18

Workshop-wise and Category-wise revenue earned (2005-2006)

Name of the workshop Service Charge (Rs.)

Sale Proceeds

(Rs.)

Course Fee (Rs.)

Total (Rs.)

Mechanical Engineering 51331 36000 87331

Leather & Footwear 252 45583 1800 47635

Food Processing Nil Nil Nil Nil

Total 51583 45583 37800 134966

Source: Annual Report, MSME-DI, Kerala

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During the year 2006-2007 three workshops together earned only Rs.

567826 as revenue as against the target of Rs. 750000.

The Central Workshop (General Engineering Workshop) during the year

2006-2007 undertook a total of 178 job work and 148 units availed themselves of

the benefit. Apart from these common facility services, the workshop conducted

17 Technical Training Programmes and trained a total of 235 persons. The

Central Workshop earned a revenue of Rs. 480001 against the target of Rs.

500000 in the year 2006-2007. The revenue of the Central Workshop includes

service charges. It collected Rs. 60095 and an amount as course fee Rs. 419690.

The fruit and vegetable centre also earned a revenue of Rs. 12315 from the

training programme conducted at the workshop and through the sales proceeds of

the trainees’ products.

The footwear service centre (Leather Workshop) has conducted two

batches of Master Technician Course on Footwear Making in association with the

CFTI, Chennai. The course was of six months duration. It was arranged in such a

way that two months training will be given at SISI-KERALA and four months at

CFTI, Chennai. It has conducted an EDP on Leather Footwear Manufacturing at

Alakkode, Kannur. The revenue achievement of the Leather workshop during

2006-2007 is Rs. 75510 against the target of Rs. 130000.

The category-wise details of the revenue earnings of each workshop are

given in the following table 5.19.

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Table 5.19

Category-wise revenue earnings of workshops (2006-2007)

Category Sales

Proceeds (Rs.)

Service Charge (Rs.)

Course Fee (Rs.)

Total (Rs.)

General Engineering. Workshop

0 60095 419690 480001

Leather Workshop 54010 0 21500 75510

Food Processing Centre 1065 0 11250 12315

Total 55075 60095 452440 567826

Source: Annual report, MSME-DI, Kerala

During 2007-2008, in the General Engineering Workshop (Central

Workshop), 144 outside jobs have been undertaken and a total service charge of

Rs. 35460 has been collected. The workshop conducted regular training

programmes on CNC, X-ray Quality Welding, AutoCAD, Master CAM etc under

PD Account and Machine shop Practice as Skill Development Programme. This

workshop completed 20 technical training programmes during 2007-2008. 230

persons have received training from these programmes. The central workshop has

earned a revenue of Rs. 479541 during the period against the target of Rs. 500000.

The Leather and Footwear Workshop also conducts training programmes

on Footwear and Leather Products. During 2007-2008, this section conducted

three training programmes on Leather products manufacturing. A sum of Rs.

35629 has been collected by sales prceeds of trainees’ products. Total revenue

from the Leather Footwear Workshop during 2007-2008 was Rs. 48168 against

the target of Rs. 130000.

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The category wise revenue earnings of the workshop for the year 2007-

2008 is given in the following table.

Table 5.20

Category-wise revenue earnings of workshops ( 2007-2008)

Description Revenue from workshops (Rs.)

Central Workshop Leather Workshop Total

Service Charge 35460 0 35460

Sales 0 35629 35629

Through Training 444081 12539 456620

Total 479541 48168 527709

Source: Annual Report, MSME-DI, Kerala

The category wise earnings of the workshop is given in the following

table.

Table 5.21

Category – wise earnings of workshop (2008-2009)

Description Revenue (Rs.)

Service charge of Job 53830

Sale of Trainee products 44112

Machine shop practice 30200

Special Training Programmes 116615

Other Training 89263

P D Accounts 226317

Total 560337

Source: Annual Report, MSME-DI, Kerala

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Table 5.22

Category – wise earnings of workshop (2009-2010)

Description Revenue (Rs.)

Service charge 62606

Sale of Trainee products 36995

Machine shop practice 11200

Special Training Programmes 257294

Total Revenue 368095

Source: Annual Report, MSME-DI, Kerala

5.10 Technology Resource Centre (TRC)

The activities of the TRC is depicted in figure 5.25.

Figure 5.8

Activities of Technology Resource Centre

SENET/TRC Type of Technical

Assistance & Consultancy

Jigs, Fixtures and Toolings

Product Development &

Quality Standards

Improved Manufacturing

& Technologies/ Process

Selection of Items/ Product

Diversification

Technology Providers

Optimum Utilization of

resources

Exports Information

Marketing Assistance

Plant & Machinery

including Plant Layout

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A Technology Resource Centre is functioning at the Institute with the

motive of assisting the entrepreneurs to source technology information.

The following table shows the details of assistance rendered by the TRC

division in 2004-2005.

Table 5.23

Details of Assistance Rendered by TRC Division in 2004-2005

SL. No Types of Assistance No. of Persons

benefited

1 Plant and Machinery including Plant layout 90

2 Improved Manufacturing process 40

3 Product Development and Quality and Quality Standard

10

4 Selection of items/Product Diversification 5

5 Technology Providers 25

6 Optimum utilization of resources 20

7 Marketing Assistance 10

8 Export Information 10

Total 210

Source: Annual Report, MSME-DI, Kerala

During the year 2005-2006, 149 prospective and existing entrepreneurs

visited the TRC and received information.

The following table shows the details of assistance rendered by the TRC

during 2005-2006.

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164

Table 5.24

Details of Assistance Rendered by TRC Division

SL. No Types of Assistance Rendered No. of Persons

benefited

1 Plant and Machinery 80

2 Improved Manufacturing Technologies/Process 29

3 Product Development and Quality Standard 5

4 Selection of items/Product Diversification 3

5 Technology 15

6 Optimum utilization of resources 8

7 Marketing Assistance 3

8 Export Information 6

Total 149

Source: Annual Report, MSME-DI, Kerala

During the year 2006-2007 the Technology Resource Centre of this

Institute assisted 387 entrepreneurs by way of sourcing information like

addresses of machinery manufacturers, new technologies, technology providers

etc from relevant sites.

5.11 Awareness Programmes

Awareness Programmes are one of the important areas of the operation of

the Institute. It organizes a number of awareness programmes on various aspects

connected with Quality Development, Energy Conservation, Taxation and the

like.

Brief details of the achievement of the Awareness Programmes by the

Institute during 2004-2005 are given below.

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Table 5.25

Awareness Porgrammes 2004-2005

Sl. No

Name of the Programme Annual Target

Achievement No. of persons

benefited

1 Awareness Programme on Emerging Technologies Gem and Jewellery

1 2 150

2 Awareness Programme on VAT

1 1 105

3 Energy Conservation 1 1 95

4 Technology Sourcing and Finding

1 1 125

Total 4 5 475

Source: Annual Report, MSME-DI, Kerala

In 2005-2006, the Institute organized a number of awareness programmes

on various aspects. The details of such programmes during the year are given in

the following table.

Table 5.26

Awareness Programmes 2005-2006

Sl. No

Name of the Programme Annual Target

Achievement No. of persons

benefited

1 Awareness Programme on ISO 9000/ Hall marking

1 2 100

2 Awareness Programme on Emerging Technolgy in GEM and Jewellery

1 1 91

3 Awareness Programme on Energy Conservation

1 1 75

4 Programme on Energy Conservation

1 1 75

5 Programme on VAT 1 75

Total 4 6 416

Source: Annual Report, MSME-DI, Kerala

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5.12 Leather and Footwear Division

The leather workshop renders assistance to the leather footwear industries

in the State of Kerala by providing the following services.

• Rendering Common facility services to the MSMEs on the machine

installed in the LWS for a nominal charge.

• Training to the Artisans, Supervisors and the Engineers to upgrade their

skills.

• Skill-oriented training to the educated unemployed youth to equip

themselves to find employment.

5.13 Cluster Development Programmes (MSE-CDP)

The cluster approach has a key strategy for enhancing the productivity

and competitiveness as well as the capacity building of small enterprises in the

state. Among other things, this approach also facilitates substantial economies of

scale in terms of the deployment of the available resources for the effective

implementation and for more sustainable results in the medium to long term.

The soft promotional activities are given in the following figure.

Figure 5.9

Soft Promotional Activities

Soft Intervention

Diagnostic Study

Market Development

Skill Development

Capacity building of

cluster actors

Technology Upgradation

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The MSME-DI, Thrissur has taken up 6 clusters for development. The

development of Gold ornaments cluster was started in the year 2005 and 5 other

clusters were taken up in the year 2007. A total of 14 clusters are assisted in Kerala.

For five MSME clusters viz: Dies and Moulds, Diamond, Note book, Light

Engineering and Palakkad Rice Mill, the soft intervention is carried out by the

dedicated officers of the Institute, who are acting as Cluster Development Officers.

Figure 5.10

MSME-Clusters

5.13.1 Diamond Cluster, Thrissur

This cluster is located in the panchayats of Adat, Tholur, Kaiparambu,

Avaneer, Choodal and Thrissur in the district of Thrissur. All the units are located

within a circle of 30 Kms. It consists of ten small units and sixty five micro units.

They carry out the job of cutting and polishing of material diamonds. Their

annual turnover is, approximately, 3 lakh Carats worth Rs. 140 Crores. Total

employment in this cluster is around 25000. The main countries of export are

Australia, China, Peru and a few other nations. The raw material is coming from

Surat of Gujarat. Here each unit is cutting the raw diamond into standard sizes

MSME-DI CLUSTERS IN

KERALA 2008-2009

Diamond Cluster, Thrissur

Notebooks Cluster Thrissur

Rice Milling Cluster

Palakkad

Dies & Moulds Cluster

Thrisur

General Engineering

Cluster Thrissur

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and polishing the pieces as per the standards. The pieces are mostly given back to

the original supplier. A common facility centre with all modern facilities of

international standard is proposed. A diagnostic study is already prepared and

approved by the DC MSME.

5.13.2 Notebook Cluster

The notebook industries of Kunnamkulam, Kerala is one of the natural

clusters of industry having a history of about 70 years. There are about 170 small

and tiny units located within a radius of 6kms around Kunnamkulam

Municipality. Out of the 170 units, almost 150 units are function smoothly.

5.13.3 Rice Mill Cluster, Palakkad

This cluster of rice mill industry is located in the District of Palakkad in

Kerala. The rice mill units of Palakkad District are concentrated in 3 Taluks viz.

Palakkad, Chittur and Alathur. The Palakkad Rice Mills have been developed in

close co-ordination with the local production of paddy known as Palakkadan

Matta which is under the process of registration with the Geographic Registrar of

the Government of India. In this rice cluster, there are 58 working and hundreds

of non working units. Among the 58 working units, 28 are modern. They have an

investment in the plant and machinery above 35 lakhs and 30 units are

conventional with investment below 25 lakhs.

5.13.4 Dyes and Moulds Cluster

The dye-making industries, started in Thrissur, are basically connected

with the Tile industry. The cluster is located in a Geographical area of 25 Kms

away from Thrissur. Except two units, the others are in the Micro Enterprises

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sector. Most of the units are in low technology area. Their owners had been

working in the Metropolitan towns like Bombay. Returning from there, they

started their tool rooms. They, generally, cater to the requirements of the plastics

industries, rubber moulding industries and tile industries in the small scale sector

in Kerala. Some units are supplying their products outside Kerala. Most of the

units employ conventional machines.

It aims at inculcating knowledge among the cluster members about the

benefit of team spirit, modern marketing techniques and accounting practices,

prevailing in the modern MSMEs. This cluster is located in Perinjanam in the

district of Thrissur. The cluster consists of 70 active members.

5.14 Status Report

The Status Report is a document, which focuses on the scope of the

Industry in general and the promotional scope for further development in the state

with special reference to the present status of the industry. The report also

discusses the technological development and the various problems of the industry

with suggestions for improvement for promoting the same. The present structure

of the industry is also briefly covered in the study report so as to enable the

entrepreneurs to keep in mind the various points while deciding the setting up of

the MSMEs.

5.15 Project Profiles

Project Profiles work like a guide to the prospective entrepreneurs to

march towards the goal of setting up a venture. It helps the entrepreneurs to arrive

at some final conclusion about the product, the machinery required, the source of

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the availability of man power and the machinery, the raw materials and the profit

margin. Thus, it may help in arriving at a final decision about the selection of the

product and place. The technical officers of the Institute prepare feasible project

profiles for the entrepreneurs.

5.16 Market Development Assistance

The MDA Scheme offers funding for participation of the Small and

Micro Enterprises in the International Trade Fairs or Exhibitions.

Permissible subsidy

i. The Government of India will reimburse 75 percent of the fare by the

economy class and 50 percent space rental charges for the Micro and

Small manufacturing enterprises of General category entrepreneurs.

ii. 100 percent reimbursement for the Women or SC or ST Entrepreneurs

and the Entrepreneurs from the North Eastern Region.

iii. The total subsidy on air fare and space rental charges will be restricted

to Rs. 1.25 lakhs per unit.

5.17 Bar Code Reimbursement

In order to implement the scheme for the promotion of Bar coding the

Institute takes adequate efforts in close liaison with the Kerala State Small

Industries Association and the State Government. The MSME-DI, Thrissur, is

designated as the nodal agency for the implementation of the scheme in Kerala

and entitled to reimburse the benefits to the units directly. Thus the SME units

can apply directly to the Institute for reimbursement with effect from April 1

2009.

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5.18 ISO Cell

The Main objective of the ISO Cell is to render consultancy services in

implementing Quality Management System as per ISO 9000-2000 standard to the

MSEs and to operate the ISO 9000/14001/HSCCP reimbursement scheme.

The MSME-DI, Kerala started an ISO Cell in the year 2002 to enhance

the quality awareness in the Small and Medium Enterprises of Kerala. The

activities of the ISO Cell are as follows:

• Conducting awareness programmes on the ISO 9000:2000/ 14001:2004/

HACCP

• Conducting training programmes on Internal Audit for the MSME units.

• Consultancy service for the establishment, the documentation or the

implementation of the ISO 9000 Quality Management System.

• Scrutiny and recommendation for the ISO 9000/14001 reimbursement

applications from the MSMEs.

5.19 Women Entrepreneurs Development CELL (WEDC)

The ultimate objective of setting up of this cell (WEDC) is to build up

motivation and confidence among the prospective and the existing women

entrepreneurs, by providing them with information, advice and assistance relating

to the designing of the project, the procurement of the raw materials, the

technology, the finance and the marketing by involving Governmental and non

governmental organizations, financial institutions and the other developmental

agencies.

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5.20 Conclusion

Thu, the Institute undertakes a wide range of activities all over Kerala for

the industrialisation of the state. It conducts a series of training programmes

every year. The training programmes are conducted in various disciplines,

depending upon the need of the area. It also undertakes the implementation of the

various schemes of the Government of India. Besides these, it conducts a number

of awareness programmes all over the State. Cluster development programmes

are the special attraction of the MSME-DI, Kerala. Thus, undoubtedly, we can

say that the Institute has a wide range of activities for the benefit of the MSMEs

in Kerala.

References

1 Report of the Ministry of MSME 2008-2009.

2 Ibid, P. 11.