NEWS NOTES
Small Scale Industries in
West Bengal (Part II)
By Jayanta Hazra
A deliberate policy for the promotion of agro-based
cottage and small-scale industries is required in West Bengal. Realising this the state
government has designed a set of promotion measures to encourage the growth of small scale
and cottage industries in the state.
First, following measures have been adopted for the promotion of specific village based
industries:
- With the objective of poverty alleviation programme in rural areas the West Bengal
Government is trying to develop sufficient economic non-conventional sources of energy.
For this SSIs department is working on the bio gas project.
- Sericulture is an important industry in the rural areas of the state providing
employment to about 4 lakh persons. In this sector the state governments main aim
has been to provide encouragement for poor and marginal farmers as well as beneficiaries
of land reform measures to involve themselves in sericulture. The state government
provides them with land, irrigation facilities, and supply of improved variety of cuttings
and disease free laying.
- Handloom industry is another major rural industry in the state providing employment to
7.12 lakh persons. The basic strategy of the state government in the handloom sector is to
organise the poor handloom weavers into cooperatives and to provide these co-operatives
with inputs, finance, technical as well as marketing assistance.
- The state government also assists handicraft artisans -majority of whom are rural poor
people - by providing them with training, production inputs, financial and marketing
assistance.
- Lac industry is another village-based industry, which has good growth potentials. More
than 80,000 scheduled tribe families of the state are connected with this industry. The
state government has established 23 lac firms and training centers for these people.
Co-operatives of lac artisans have also been formed.
Secondly, for the overall development of the SSI the state government has undertaken
the following steps:
- West Bengal Small Industries Corporation (WBSIC) has been set up to provide
infrastructural facilities, marketing assistance as well as scarce raw materials to small
scale units in the state.
- The state government has established Small Industries Development Agency (SIDA)
for assisting registered sick small scale units by formulating rehabilitation packages in
consultation with banks West Bengal Financial Corporation (WBFC).
- In addition to central government measures like SEEVY or PMRY the state government
operates an Entrepreneurs Development Programme (EDP) for the self-employment SSIs.
- The state government is trying to develop SSI Units as ancillaries to large-scale
industrial units. The government has laid special emphasis in persuading large central
government Public Undertakings to adopt small-scale units as ancillaries. However, the
response of central government undertakings situated in the state of West Bengal has not
been encouraging.
- To solve the financial problem of the small-scale industries West Bengal Financial
Corporation (WBFC) is extending their financial support programme to the SSI. During the
last five years 99.4% of the units financially helped by the WBFC are AAI.
- For the development of the SSI industrial estate, District Industrial Centre (DIC) and
Export Council have been formed in every district.
As a result of these measures West Bengal has attained the following:
- Annual average industrial production index (Base 1970-100) has increased from 102.7
during 1975 to around 155 during 1995.
- Number of SSI units in the state has increased from 100019 during 1976-77 to 454551
during 1997. 30 lakh people are employed in those units. Within India West Bengal has the
largest number of registered small-scale units.
- Area under sericulture activities has risen from 18157 Acre during 1976-77 to 54,078
Acre during 1996-97. Number of people engaged in this activity has registered an increase
from 1.50 lakh during 1976-77 to 4.27 lakh during 1996-97.
- West Bengal has also rapidly progressed in the field of leather industry. In 1995-96
West Bengal ranked first within India in the field of export of leather products and
during that period 70% of Indias export earnings from leather products came from
West Bengal.
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