Small Scale Industries

Presented by: Preeti K (826) Reshma A (832) Sagar D (834) Vinayak T (840)

Small Scale Industry in INDIA

Small Scale Industries may sound small but actually plays a very important part in the overall growth of an economy. Small Scale Industries can be characterized by the unique feature of labor intensiveness.

The total number of people employed in this industry has been calculated to be near about one crore and ninety lakhs in India.
The importance of this industry increases manifold due to the immense employment generating potential. The countries which are characterized by acute unemployment problem especially put emphasis on the model of Small Scale Industries.

Small Scale industry

Formalities for starting up of an SSI:

1. Selection of a project 2. Decide on the constitution 3. Obtain SSI registration 4. Obtain clearances from departments as applicable 5. Arrange for land 6. Arrange for machinery 7. Arrange for infrastructure 8. Prepare project report 9. Apply and obtain finance 10.Implementation

Advantages:
Labour intensive in nature Useless capital per unit of output Prevent congestion Suitable for people with limited resource Prevent concentration of economic power Lead to better distribution of incomes Help in putting idle resources to productive user Suitable for lean production Lead to allocate efficiency

Problems:
Problem of Finance Problem of resources Problem of power Export difficulties Problem of technical know how Problem of industrial relations Growing sickness and mortality among these units

Opportunity:
Less Capital Intensive Extensive Promotion & Support by Government Reservation for Exclusive Manufacture by small scale sector Project Profiles Funding - Finance & Subsidies Machinery Procurement Raw Material Procurement

Contd
Manpower Training Technical & Managerial skills Tooling & Testing support Reservation for Exclusive Purchase by Government Export Promotion Growth in demand in the domestic market size due to overall economic growth Increasing Export Potential for Indian products