TAMILNADU SMALL INDUSTRIES DEVELOPMENT CORPORATION LTD CHENNAI 32 POLICY NOTE 2012 -2013

3.Tansidco The known as Tamil Nadu was Small Industries on

Consequent to the enactment of the MSMED Act 2006 on 16.6.2006, SIDCO has been actively striving to achieve its goals, viz. i. To facilitate the promotion and development of the MSME Sector To enhance the competitiveness of the MSME Sector

Development Corporation Limited commonly SIDCO, established 16.3.1970 by the Government of Tamil Nadu with the main objective of assisting and promoting the interests of Small Scale Industries in the State by providing the following services. i. ii. iii. Formation and maintenance Industrial Estates Assistance Distribution in Raw of the 3.1

ii.

Sidcos Vision To forge sustainable partnerships with MSMEs for enhancing their

Competitiveness. This will be achieved through its mandated mission of i) Development of Industrial Estates and associated social infrastructure

Material

Assistance to small industries in marketing their products through Marketing Assistance Scheme.

ii) Promotion of Clusters and Common Facility Centres

2

iii) Enabling the access of MSMEs to Technology Inputs Best Management and Manufacturing practices Capital Markets

in these estates are engaged in the following manufacturing activities. 1. 2. 3. 4. Auto Components PVC / Rubber Products 12. Milk Products 13. Corrugated boxes

Forging / Casting 14. Spinning Mills units Readymade Garments Textile units IT & IT enabled services Leather Products Electrical and Electronics spare Parts General Engineering & Fabrication 15. Aluminium Caps 16. Paints 17. Transformers 18. Chemicals 19. Polythene Bags

3.1.1 Major line of activity carried-out in the Industrial Estates Traditionally, 35 Industrial SIDCO has by been the 59

5. 6. 7. 8.

performing the functions of maintenance of Estates created Government of Tamil Nadu and the

Industrial Estates established on its own, thus maintaining 94 Industrial Estates as on date. A total of 11,703 units are functioning in these industrial estates, of which 303 units are export oriented. The employment generated in these units is approximately 2,18,248 persons. The industries functioning
3

9.

20. Furniture

10. Drugs and Pharmaceuticals 11. Fly Ash Bricks

21. Ceramics

3.1.2

Industrial Estates so far developed

Industrial Estate Guindy (G) (S) Year of format ion 1958 1979 1979 1979 1963 1988 2009 1988 1988 1996 1994 2001 Total Extent (in acres) 404.08 3.92 2.04 7.88 1167.00 199.00 84.01

13

(3) Kancheepu ram

Kancheepuram(G) 1968 Maraimalainagar(S) Alathur (S) Thirumudivakkam(S) 1981 1984 1993 1968 1968 II 2009 1972 1980 1987 2009 1968 Krishnagiri Uthangarai (G) (S) 1965 1995 1976 37.95 39.50 150.00 201.11 19.48 11.09 40.65 113.44 86.19 16.44 10.49 15.56 41.86 41.28 95.15

Sl. No 1 2 3 4 5 6 7 8 9 10 11 12

District

14 15 16 17 18 19 20 21 22 (4) Vellore

(1) Chennai

Arumbakkam Villivakkam (S)

Katpadi

(G)

Arakonam(G) Arakonam-Phase (G) Ranipet (S)

Kodungaiyur(S) (2) Thiruvallur Ambattur (G) Kakkalur (G) Kakkalur-PhaseII (G) Thirumazhisai (S) Gummidipoondi(S) R.K.Pet (S) Vichoor (S) Thirumullaivoyal (WIP) (S)

Mukuntharayapuram (S) Vannivedu(S) Vinnamangalam(S) (5) Thiruvanna malai Thiruvannamalai(G)

160.85 25.24 8.15 59.16 225.88

23 24

25 26 27

(6) Krishnagiri

Hosur(SIPCOT) (S)

28 29 30 31 32 (7) Dharmapur ai

Hosur (New) Bargur (S)

(S)

1999 1995 2009 2009 1965 2009 1967 1967 2004 1993 1977 1980 1959 1995 1972 1994

18.80 13.05 18.59 60.96 20.28 7.02 19.55 184.38 51.70 9.79 10.09 9.18 25.13 13.05 88.43 36.14

44

(12) Tiruppur

Ganapathipalayam (S)

1993 2011 1978 1992 1981 1971 1972 2009 2011 2009

17.10 51.80 10.14 6.74 10.65 15.60 26.22 107.80 38.88 44.48 32.30 21.94 10.96 26.30

BargurPhase-II (S) Pollupalli (S) Dharmapuri(G)

45 46 47 48 49 50 51 52 53 54 55 56 57 (13) Nilgiris (14) Cuddalore

Rasathavalasu (S) Tiruppur (S) Gudimangalam (S) Ooty (S)

33 34 35 36 37 38 39 40 41 42 (11) Coimbato re (10)Erode (9) Namakkal (8) Salem

Kadagathur (S) Salem (G)

Cuddalore(G) Vadalur (G)

Mettur(G) Karuppur(WIP)(S) Veerapandi(S) Namakkal (S)

(15) Villupuram Asanur (S) Venamaniathur(S) (16)Perambalur Elambalur (S) (17) Thanjavur Kumbakonam Thanjavur Pillayarpatti Nanjikottai (G) (S) (S) (G)

1968 1968 1974 1996

Thiruchengodu (S) Erode (G) Nanjaiuthukuli (S) Kurichi (G)

43

Malumichampatti(S)

58

(18) Nagapatti nam

Nagapattinam(G)

1966 20.97

72 73 74 75 478.38 76 77 78 79

(22) Theni

Theni

(G)

1963 1994 1965 1965 1960 1966 2007 1976 1993 1993 1966 1966 1993

26.59 22.34 39.90 16.26 56.05 534.64 18.90 10.00 10.00 12.14 180.19 70.61 21.85

Andipatty(S) (23) Dindigul Dinidigul (G)

59 60 (19) Tiruchirap palli

Mayiladuthurai (S) Thuvakudi (G)

2009 1974

12.56

Batlagundu(G) (24) Madurai MaduraiK.Pudur (G) Kappalur (G)

61 62 63 64 65 66 67 68 69 70 71 (20) Karur

Thiruvarambur(G) Ariyamangalam (G) Valavanthankottai(W IP) (S) Valavanthankottai(PII) (S) Valavanthankottai(PIII) (S) Kumbakudy Karur (G) (S)

1974 1974 2003

74.50 17.64 51.70

Kappalur- WIP (S) (25) Ramanath apuram Paramakudi(S)

2008 87.18 2009 2009 1974 1993 1974 1988 1975 26.84 24.46 26.63 36.29 23.18 51.45 26.00 80 81 82 83 84

Keezhanagachi (S) Urapuli (26)Sivagangai (S)

Karaikudi (G) Sivagangai (G) Kirungakottai(S)

Karur(Athur) ( S) (21) Pudukottai Pudukkottai (G)

Pudukkottai(SIPCOT) (S) Mathur (S)

10

85

(27) Virudhuna gar

Virudhunagar (G) 1958 Rajapalayam (S) 1995 1959 (S) 1992 2005 2010 45.65 41.13 50.55 10.00 16.75 23.16

3.1.3

Stake-holders involved Development of MSMEs

in

the

Considering the 15%

share of Tamil

86 87 88 89 90 91 (29) Thoothuku di 92 93 94 (30)Kanyakum ari (28) Tirunelveli

Nadu, in the total number of MSMEs in India, SIDCO is undertaking an active engagement for the development of this sector with the other stake-holders like 1. 2. Government of Tamil Nadu Commissionerate Commerce of Industries &

Pettai (G) Kadayanallur Valliyur (S) Valliyur-Phase-II (S) Kovilpatti (G)

1962 Thoothukudi (S) Konam(G) Marthandam (G) TOTAL 1988 1964 1964

85.54

3.
24.18 20.70 7.50 6,576.86

Micro, Small and Medium Enterprises Department Government of India Micro, Small and Medium Enterprises Development Institute Small Industries Development Bank of India Other Financial Institutions

4. 5.

6. 7.

(G)- Denotes Government Industrial Estates (S) - Denotes SIDCO Industrial Estates. (WIP)-Denotes Women Industrial Estates

11

12

Mathur Palayapatti Virudhunagar (Urban) Total

Pudukottai Thanjavur Virudhunagar

19.92 103.03 37.54 445.91

8.

Producers of key Raw Materials viz., Steel Authority of India Ltd., Rashtriya Isput Nigam Ltd, Chennai Petro Chemicals Ltd., Indian Oil Corporation, Tamil Nadu Papers Ltd., etc., National Productivity Council

7 8

9.

Out

of

the

locations,

Industrial

10. Industries Association like TANSTIA,CODISSIA, MADISIA, etc., 3.1.4 It Formation of Industrial Estates was announced that during the last

Estates have been established in 2 places viz. Venmaniathur and Rasathavalasu. With regard to the remaining 6 locations, possession has been taken and development work will commence during the course of this year. In addition to these, it is proposed to

Budget session locations.

Sl. No. 1 2 3 4 5 Locations Rasathavalasu Venmaniathur Vaniyambadi Marikundu Pidaneri

New Industrial

Estates would be established at the following

Area (acres) 51.80 38.88 7.08 79.43 108.23

District Tiruppur Villupuram Vellore Theni Thuthukudi

establish

new

Industrial

Estates

at

the

following sites:

13

14

Virudhunagar Palayapatti
Sl. No. 1 2 3 4 5 6 7 Name of Indl. Estate Kurukkalpatti Minnur Pattnam A.Sathanur Ponnukudi Chengarai Asanur(Phase-II) Total District Tirunelveli Vellore Villupuram Villupuram Tirunelveli Thiruvallur Villupuram Area (acres) 68.77 10.00 60.55 219.52 82.18 36.53 143.94 621.49 Sl. No 1

(Urban), and proposals

Mathur for

and be

Pidaneri,

Marikundu and Kurukkalpatti will also

forwarded shortly . With a view to sustain the growth of SIDCO in the years to come, the creation of a credible taken to acquire Land Bank has been acres in 15 planned. Towards this end, action has been 1257.53 locations in the State as indicated:
Extent (in Acres ) 70.79 50.43 50.91 83.78 67.86

Village /Taluk Kalakurichi, Aravakurichi Vazhkai, Nannilam Sedapatti, Peraiyur Kattamaduvu, Chengam SadayampalayaDh arapuram

District Karur Thiruvarur Madurai Thiruvannamal ai Tiruppur 16

Apart from this, in Kurichi an extent of 1.51 acres will be utilized for a Common Facility Centre under the MSECDP Scheme. Proposals for sanction of grants under the MSE-CDP Scheme have been sent to Govt. of India for the at development of
2 3 4 5

Industrial

Estates

Vaniyambadi,

15

6 7 8 9 10

KandiyanKoil, Tiruppur Nanjaiuthukuli (Ph-2), Erode Thandarai, Chengelpattu, Vaipur, Tiruvarur Mulluvadi, Allalacheri and Nagaleri, Arcot Kaverirajapuram Uthukkottai Enambakkam, Uthukkottai Pappambadi&Mur ugapadi, Polur Kasthuripatti,San gagiri Vadamugam Kangeyam palayam, Perundurai Total

Tiruppur Erode Kancheepuram Thiruvarur Vellore

252.44 56.50 43.90 58.21 25.53

3.1.5 Allotment of Plots /Sheds Sites are developed into Industrial

Estates with industrial plots of various sizes ranging from 0.15 acre to 1.00 acre and above as per the requirements of the manufacturing units and the industrial plots are allotted to them either on Outright sale or Hire Purchase
Thiruvallur Thiruvallur Thiruvanna malai Salem Erode 135.18 200.00 60.83 51.71 49.46

based on the demand

11 12 13 14 15

existing in the area. A transparent procedure is followed in allotting the sheds / plots by advertising the availability of sheds/ plots in newspapers. A Screening Committee constituted with the officials of Industries & SIDCO, Commissionerate of Commerce, TIIC and

representatives of TANSTIA as members,

1257.53

scrutinizes the applications and the eligible applicants are selected on merit. transparent manner. Plots are allotted by way of a lot system, in a

17

18

As per G.O.(Ms) No.7, Micro, Small and Medium Enterprises Department, dated 31.01.2009, 30% of the saleable area of the industrial estates are earmarked for Micro Enterprises. To ensure participation of all sections of the society in the industrial development of the state, priority is given in allotment as follows: i) 30% for Women Entrepreneurs. ii) 10% for Ex-servicemen iii)10% for SC/ST and Transgenders. If sufficient numbers of the applicants are not available in these categories, these reserved plots/sheds will be taken up for allotment to other categories.

3.1.6 Creation / Up-gradation of Infrastructure facilities in new / existing Industrial Estates Government of India and Government of Tamil Nadu, are extending their support for creation and up-gradation of infrastructure facilities in new / existing Industrial Estates through various schemes like Micro, Small Enterprises-Cluster (MSE-CDP) Scheme, Up-gradation and by Development Infrastructure Industrial Programme Development Infrastructure

Scheme (IIUS), Assistance to States for Infrastructure Development of Export Allied Activities Scheme of Government of Tamil Nadu sanctioning of grants. 3.1.7Micro and Small Enterprises Cluster Development Programme(MSECDP) Prior to October 2007, the Government of India, MSME was
20

(ASIDE) and the Part II

implementing

the

19

Integrated Infrastructure Development (IID) Scheme, under which a 40% grant subject to a ceiling of Rs.200 Lakhs (Project Cost Rs.500 Lakhs) was being sanctioned for the creation / Up-gradation of infrastructure in new / existing industrial estates. Similarly, a separate Cluster Development Scheme titled the Small Industries Cluster Development Programme (SICDP) was also in operation. In October 2007, this SICDP was renamed as the Micro and Small Enterprises Cluster Development Programme (MSECDP). The Integrated Infrastructure Development (IID) Scheme was also subsumed in the MSECDP for providing developed sites of for new enterprises and up-gradation existing

SIDCO has been availing assistance from the Government of India under these two schemes. 3.1.8 Infrastructure Development under the MSECDP Scheme Under this Scheme, the Government of India sanctions 60% of the project cost subject to a ceiling of Rs.6 Crores as grant (i.e. maximum of new and existing Rs.6 Crores) for the Industrial Estates creation and up-gradation of infrastructure in respectively. The 4074.12 Government Lakhsfor the of India creation have of

approved projects up to 2011-12 worth Rs. infrastructure facilities in 12 new Industrial Estates. Of the sanctioned projects, eight have been completed, and and for
22

industrial infrastructure. These two schemes are now being implemented in the name (i) MSECDP(Infrastructure Development) (ii) MSECDP (Common Facility Centre)

three are one

(Asanur, under at project

Arakkonam

Pollupalli),

implementation
21

Karaikudi, work will be taken up, on order.

the

receipt of the Government of Indias sanction

Details of Creation of Infrastructure in Industrial Estates proposed in 2012-13

(Rs. in Lakhs)

Further, the Government of India has approved projects worth Rs. 2389.15
Funding Pattern Sl. No. 1 Name of the Industrial Estate Palayapatti Phase-I Thanjavur District Project cost 770.00 Grant from GOI (60%) 462.00 SIDCO (40%) 308.00 Stage

Lakhsfor the up-gradation of Infrastructure facilities in 12 existing industrial estates. Of these, in 6 existing industrial estates upgradation works have been completed, and in 6 industrial estates (Alathur, Mettur Kakkalur, and Kovilpatti,Athur(Karur), in progress. In 2012-13, SIDCO has proposed to take up infrastructure works in seven new Industrial Estates and in upgrade two the infrastructure facilities existing

Ganapathipalayam, up-gradation works are

Vaniyambadi, Vellore District

58.00

34.80

23.20

Mathur (New), Pudukottai District

240.00

144.00

96.00

Industrial Estates as indicated.

Sanction order awaited from Government of India Sanction order awaited from Government of India Sanction order awaited from Government of India

23

24

Virudhunagar (Urban) Virudhunagar District Pidaneri, Thoothukudi District

330.00

198.00

132.00

805.00

483.00

322.00

Marikundu, TheniDistrict

720.00

432.00

288.00

Kurukkalpatti, Tirunelveli District Total

890.00

534.00

356.00

Proposals sent to Govt. of India for sanction Proposals will be sent to Government of India Proposals will be sent to Govt. of India for sanction -do-

Details of Up-gradation of Industrial Estates proposed in 2012-13

(Rs. in Lakhs)
Funding Pattern Sl. No. Name of the Industrial Estate Malumichamp atti, Coimbatore District Thiruverumbur, Tiruchirappall iDistrict TOTAL Grant from GOI 60% 120.00 Grant from GOTN 30% 60.00 Beneficiari es Contribution 10% 20.00

Project cost

200.00

368.00

220.80

110.40

36.80

568.00

340.80

170.40

56.80

3813.00

2287.80

1525.20

3.2

Common Facility Centres (CFCs) under the MSE CDP Scheme The Ministry has of Micro, Small the and

Medium Enterprises (MSME), Government of India (GOI) adopted cluster development approach as a key strategy for enhancing the productivity and competitive25 26

ness as well as capacity building of Micro and Small Enterprises (MSEs) and their collectives in the country. Given the diverse nature of the MSEs in terms of both geographical location and sectoral composition, the Micro and Small enterprisesCluster Development Programme (MSECDP) Scheme aims at addressing the needs of the industries, through well defined clusters and geographical areas. This will enable achieving the

resources, linkages to credit and enhance their marketing competitiveness. A Cluster is a group of enterprises located within an identifiable and as far as practicable, contiguous area and producing same / similar products / services. The essential characteristics of

enterprises in a cluster are a) Similarity or complementarities in the methods of production, quality control and testing, level for energy of consumption, and

economies of scale in terms of deployment of resources as well as focusing on the specific needs of similar industries. The capacity building of associations, setting up of special purpose vehicles (SPVs), consortia, etc which are integral part of the scheme would enable the MSEs to leverage their resources and also to have better access to public

pollution control etc. b) Similar c) Channels technology marketing strategies / practices communication among the members of the cluster d) Common challenges and opportunities.

27

28

3.2.1

Objectives of the Scheme

Crores

have

been

sanctioned

by

the

1. To support the sustainability and growth of MSEs by addressing common issues such as improvement of technology, skills and quality, market access, access to capital etc. 2. To build capacity of MSEs for common supportive action through formation of self help groups, consortia, Upgradation of associations etc. 3. To set up common facility centres (for testing, training centre, raw material depot, effluent treatment, complementing production processes, etc.) SIDCO has been Agency nominated for as the

Government of India with a maximum of 70% grant for a sum of Rs.36.89 Crores. The Government of Tamil Nadu has sanctioned a grant of (maximum 10%) Rs.4.97 Crores. Out of the above 15 projects, 7 projects have already been completed. The remaining 8 Common Facility Centres The are under total implementation. will be 10,000. In 2012-13, SIDCO has take up 20 CDPs. number ever to be proposed to up for expected

employment generation from the 50 clusters

implementing under

Establishing vide

This will be the highest taken

Common Facility Centres in Tamil Nadu MSE-CDP scheme G.O.Ms.No.24(MSME) Dept. dated 09.08.11. In total, 50 Projects have been identified in Tamil Nadu for implementation. Out of these, 15 projects at a total project cost of Rs.57.39
29

implementation. The status of the Cluster programme is summarized as follows:-

30

Projects Implemented
Sl. No 1 2 3 4 5 6 7 8 9

Description Projects Implemented Projects under implementation Sanctioned and orders awaited Clarification sought from SIDBI by Govt. of India To be taken up by the Steering Committee Under process with Govt. of India Under process with Govt. of Tamil Nadu Projects ready for Steering Committee DPRs under preparation Total State

Nos. 7 8 1 1 8 6 4 10 5 50

Sl. No. 1 2 3 4 5 6 7

Cluster Sago &Starch Safety Matches Safety Matches Safety Matches Safety Matches Safety Matches Safety Matches

Location Salem Gudiyatham Virudhunagar Srivilliputhur Sathur Kazhugumalai Kovilpatti

Projects under implementation

Sl. No. 1 2 3 Cluster Wet Grinder Brick Ceramic Location Coimbatore Tirunelveli Virudhachalam

31

32

4 5 6 7 8

Coir Engineering Printing Rice Mill Auto Components

Sivaganga Ranipet, Vellore Sivakasi Keelapavoor Hosur Sl. No. 1 2 3 4

To be taken up by the Steering Committee

Cluster Rice Mill Engineering Refractory Stainless Steel Vessels Engineering Plastic Engineering Rice Mill Location Thanjavur Dindigul Virudhachalam Kumbakonam Ambattur Madurai Paramakudi Kangeyam

Sanctioned and orders awaited

Sl. No. 1 Printing

5 6

Cluster

Location Krishnagiri

7 8

Clarification sought from SIDBI by Govt. of India

Sl. No. 1 Rice Mill Cluster Location Alangulam Sl. No. 1

Being processed by theGovt. of India

Cluster Pharma Indian System of Medicine 34 Location Kavangarai

33

2 3 4 5 6

Plastic Lorry Body Building Engineering MICAL Pharma Sago & Starch (Phase II)

Kancheepuram Namakkal Perungudi Chennai Salem Sl. No. 1 2 3

Projects ready for scrutiny by the State Steering Committee

Cluster Auto and Power Loom Power Loom Cement Pipes Lime Gold Jewellery Rice Mill Garment Corrugated boxes Coir Garment exclusively for women

Location Salem Rasipuram Chinnadharapuram Tirunelveli Tiruchirappalli Tiruchendur Thalavaipuram Thiruvallur Pollachi Thalavaipuram

Being processed by the Govt. of Tamil Nadu

Sl. No. 1 2 3 4 Coir Gold Jewellery Gate & Grill products Electronic Products Cluster Location Erode Madurai Thirumullaivoyal Coimbatore

4 5 6 7 8 9 10

35

36

DPRs under Preparation

Sl. No. 1 2 3 4 5 Cashew Jewellery Pharma Readymade Rubber

4 5

Coir Engineering& Auto Printing Rice Mill Plastics Pharmaceuticals Jewellery Electronics Corrugated Boxes Garment / Textiles / Looms Rubber Total

3 10 2 5 2 3 3 1 1 5

Cluster

Location Kanyakumari Coimbatore Alathur Thoothukudi Madurai

6 7 8 9 10 11 12

Sector wise classification

13

Sl. No. 1 2 3

Cluster Safety Matches Agro Ceramic & Bricks (Building materials)

Location 6 3 5

14

1 50

37

38

3.2.2 Cluster Development Programme in Tamil Nadu - Road Map Projects implemented / sanctioned during 2006-2007 to 2011-2012 Projects to be Implemented in 2012- 2013 Projects to be taken up during 2013 2014 to 2015 2016 15 20 65
Sl. No 1 2 3 4 Year 2006-07 2007-08 2008-09 2011-12 No. of Industrial Estates Benefitted 3 3 3 5 (Marthandam, Gummidipoondi, R.K.Pet, UrapuliThiurmudi -vakkam) Total

(Rupees in Lakhs)
Approved project cost 101.50 114.00 120.00 150.00 Govt. of Tamil Nadu Grant 25.00 25.00 20.00 30.00

Remarks Completed Completed Completed Under implementation

-----Total 100 -----3.2.3 State Governments Schemes Part-II

485.50

100.00

SIDCO has been availing grants from the Government of Tamil Nadu under Part II Schemes towards the the strengthening

In 2012-13 it has been proposed to strengthen infrastructure facilities of four Industrial Estates at a total project cost of Rs.210.00 Lakhs.

of infrastructure in the existing industrial estates and has so far availed Rs.100.00 Lakhsas indicated:

39

40

(Rs.in Lakhs)
Project SIDCOs Costimp contriroveme bution7 nt 5% Govt. of Tamil Nadu Grant2 5% 12.50

Sl. No.

Location

Extent Year of in Establish acres -ment

3.2.4 Assistance to States for Infrastructure Development of Export and Allied Activities(ASIDE) The called Special Purpose Vehicle (SPV) Estate Company

1.

Thoothuku diPhase I, Tuticorin Dist. Keelanagac hi, Ramnad Dist. Gudimanga lam Tiruppur Dist. Vichoor, Thiruvallur Dist. Total

1988

9.72

50.00

37.50

the

Guindy

Industrial

Infrastructure
1993 10.00 25.00 18.75 6.25

Up-gradation

2.

(GIEIUC) which was formed for the purpose of up-gradation of infrastructure facilities in Thiru-vi-ka Rs.2794.50 Industrial Lakhs Estate, Guindy under is the

3.

1992

6.74

35.00

26.25

8.75

implementing the project at a project cost of sanctioned Govt. of Indias ASIDE scheme in 2005-06. The project is nearing completion.

4.

1994

59.16

100.00

75.00

25.00

210.00

157.50

52.50

3.2.5 Industrial Infrastructure Up-gradation Scheme (IIUS) The Ambattur, Industrial ongoing up-gradation works at and

Thirumudivakkam Infrastructure
42

Thirumazhisai Industrial Estates under the Up-gradation

41

Scheme was sanctioned by the Government of India at a project cost of M/s. Chennai Auto Rs.49.00 Crores Industrial Company in 2004-05. A Special Purpose Vehicle called Ancillary Infrastructure Up-gradation

SIDCO distributes raw material from its depots situated at Ambattur, Coimbatore, Madurai, Trichy, Sattur, Sivakasi and from its branch offices located at Erode, Salem, Thanjavur, and Vellore. The details of raw materials supplied are:1. 2. 3. 4. Iron & Steel Wax Potassium Chlorate and TNPL Paper

(CAAIIUC) has been created for the purpose of implementing the project which is nearing completion.Further, a sum of Rs.12.10 Crores has been sanctioned under the Govt. of India ASIDE scheme as gap funding for the project. 3.2.6 Raw Material Distribution to and decontrol, the open market economic
Sl. No

The details of target and achievements for the year 2011-12 and Target for the year 2012-13 are as follows:Name of the Material Target for 2011-12 Qty. in MTs. 9800 6000 400 Value Rs. in lakhs 3920.00 5220.00 210.00 Achievement for 2011-12 Qty. in MTs. 4348.96 4344.92 212.91 Value Rs. in lakhs 1904.00 3741.36 121.48 Target for 2012-13 Qty. in MTs. 4981.07 5300.86 242.09 Value Rs. in lakhs 2169.71 4646.30 147.00

Due conditions

changed

scenario, the Raw Material Distribution and Marketing Assistance undertaken by SIDCO has considerably declined and efforts are being taken for a new strategy which would enable market. SIDCO to compete in the open

1. 2. 3.

Iron steel Wax

&

TNPL (Direct Sales) TNPL (Agency Sales)

1119

548.20

487.65

266.21

494.44

269.60

43

44

4. 5.

Pot. Chlorate Essar Steel * Total

50

34.00

4.00 87.13

2.80 37.84 6073.69

5.00 200.00 11223.46

3.34 70.00 7305.95

SIDCO Rs.164.36

has

executed

orders

worth

lakhs upto March, 2012. For

17369

9932.20

9485.57

2012-13 target has been fixed as Rs.197.87 lakhs to make substantial progress.

* Supply started during the month of November 2011

3.2.7 Assistance rendered under Marketing Under this scheme, SIDCO approaches the Government Departments / Local Bodies on behalf of Micro and Small Entrepreneurs units which are registered with SIDCO. The orders received are distributed among Micro and Small Enterprises and the execution of these orders is monitored to effect quality and timely supply. Payments are received from the Departments / Undertakings / Local Bodies for the supplies effected and payment released to Micro and Small Enterprises after deducting 3% Consultancy fees.

3.2.8

e-Governance SIDCO has At initiated action to of

computerize its activities so as to enhance productivity. present downloading application forms for allotment has been made available on its website. A software is being developed with the assistance of the National Informatics Centre to enable entrepreneurs file their applications for

allotment of plots on-line.

45

46

3.2.9National Manufacturing Competiveness Programme (NMCP) The Ministry of Micro and Small and Medium Enterprises Govt. of India have launched the National programme Manufacturing (NMCP) to Competiveness Small and

Promotion of ICT (Information & Communication Technology) in MSME sector Technology and Quality Up-gradation Support to MSMEs (TEQUP) Marketing Assistance and Technology Up-gradation Scheme Marketing Support / Assistance to SMEs (Bar Code) Design Clinic Scheme for Expertise to MSME sector Setting up of Mini Tool Rooms Design

improve the competiveness of all the Micro, Medium the Enterprises (MSME) upgrading well Under have as this been sectors. It was formulated, with a view to increase productivity, processes, products. as technology and conserving energy in the manufacturing of Indian expanding domestic and global market share MSME 10 programme components

National campaign for building awareness on Intellectual Property Rights (IPR) Support for Entrepreneurial and Managerial Development of SMEs through Incubators SIDCO will take proactive steps in partnership with the MSMEDI, the National productivity Council and the National Institute of Design etc. to implement NMCP among the MSMEs of Tamil Nadu.

conceptualized, viz., Lean Manufacturing Competiveness Schemes Enabling manufacturing sector to be competitive through Quality Management Standards / Quality Technology Tools (QMS/QTT)
47

48

3.2.10 Lean Manufacturing Competitiveness Scheme SIDCO will strive to consolidate the pre-eminence of Tamil Nadu in the manufacturing sector. As a part of this drive it will implement the Lean Manufacturing Competitiveness Scheme (LMCS) of MSEs under scheme the National Manufacturing reducing through processed the the proper flows, of competitiveness Programme (NMCP). This envisages costs, improved in manufacturing management, brings

adopting LMCS to remain competitive, but MSMEs have not been able to benefit from these programmes, as they are not fully aware of the benefits. Also, experienced and effective Lean Manufacturing Councellors or Consultants are not easily available and are expensive to engage, hence most MSMEs have been unable to afford LMCS. Lean Manufacturing Competitiveness

Scheme of NMCP will be implemented in 25 clusters this year at five clusters each in the five major manufacturing hubs of Chennai, Coimbatore, Hosur.The Madurai, Tiruchirappalli will be and in implementation

personnel management, scientific inventory reduced engineering time etc., LMCS also improvement quality products and lowers the production costs, which are essential for competing in domestic and international markets. The main objective is to increase productivity by 20%. The larger enterprises in India have been
49

partnership with the National Productivity Council and the MSME-DI, Chennai.

50

3.2.11 Economic Activity Atlas (EAA) SIDCO in partnership with TANSTIA FNF and IFMR, Chennai will develop a Geographical Information System (GIS) c. Value addition The technologies used in an industrial cluster, will be mapped and then based on intra cluster planned. d. Value from waste: One of the synergies higher value adding options for the cluster be

based Economic Activity Atlas for the MSMEs in the State, on a cluster based approach in a phased manner. Creation of an Economic Activity Atlas will lay the foundation for understanding the various dynamic of the economic geography of a particular region and planning for future development. Some of the potential benefits of this EAA are a. b. Better economic governance Better emerging understanding of the and

important aspects of this atlas will the availability of resource map. When the raw materials, finished goods and by products along with effluents are mapped, there will be scope to build value from waste models through resource optimization techniques.

infrastructure

planning requirements

51

52

3.3 SIDCO Corporate Office The Government in G.O.Ms.No.12

MSME (F) Department,

dated 20.2.2009

accorded its administrative approval for the construction of a Corporate Office building at Guindy. Accordingly, work on the building has been taken up at an estimated cost of Rs.44.40 Crores. The structure comprises of a basement, stilt and 9 floors. be completed by January, 2013. The work commenced in June 2010 and is expected to

53

54

55