DIPS Surat 01.06.2016 FINAL PDF
DIPS Surat 01.06.2016 FINAL PDF
DIPS Surat 01.06.2016 FINAL PDF
MSME-DEVELOPMENT INSTITUTE
AHMEDABAD
Harsiddh Chambers, 4th Floor,
Ashram Road, Ahmedabad-380014
Ph: 079-27543147/27544248
E-mail: [email protected]
Website: www.msmediahmedabad.gov.in
ACKNOLEDGEMENT
1. District At A Glance 1 to 3
3. District Profile 5 to 7
4. Principal Resources 8 to 15
8. Conclusion 89
1.
CHAPTER 1
DISTRICT AT A GLANCE
PHYSICAL AND GEAOGRAPHICAL CONDITION:
Surat district is located in the Southern part of Gujarat State and stands at second
number as largest commercial hub. Surat is mainly known for its Textiles& diamond
processing industries. The district is emerging as a potential hub in the IT/ITeS sector
in Gujarat. Besides, Gems & Jewelry and Chemicals/Petrochemicals and Ports sector
have huge potential for further development in the district. Moreover, Hazira and
Magdalla Ports provide logistic support to the industrial operations in the state. Surat
district is situated on Southern part of Gujarat State having area of 4326.97 sq.kms.
Surat is the district head quarter for the Government administration. There are 10
Taluka in Surat district namely Olpad, Mangrol, Umarpada, Mahuva, Mandvi, Kamrej,
Choryasi, Palsana and Surat City itself. There are total 10 taluka and 729 villages in the
district.
Geographically it lies on the Southern part of Gujarat, which comes between 21.21.23
degree Northern latitude and 72.38.23 degree Eastern Longitude.
3.
Description Details Gujarat State Surat District
(ii) Marginal Number %
Workers
Persons 44,02,373 17.77462 1,48,254 2.42785
Male 14,33,219 7.961923 66,899 1.96633
Female 29,69,154 43.87804 81,355 3.03667
Non-Workers
Persons 3,56,71,945 59.02073 11,22,422 18.4569
Male 1,34,90,346 42.83838 4,19,454 6.8974
Female 2,21,81,599 76.62453 7,02,968 11.5595
Category of
Workers Persons 54,47,500 21.99433 1,09,549 1.8014
(i) Cultivators Male 42,44,449 23.57907 99,019 1.6282
Female 12,03,051 17.77864 10,530 0.1732
(ii)Agricultural
Labourers
Persons 68,39,415 27.6142 3,25,739 5.35638
Male 36,49,591 20.27448 1,392 24.4615
Female 31,89,824 47.1391 24,347 0.5020
(iii)Workers in
household
industry
Persons 3,43,999 1.388899 32,933 0.5415
Male 2,10,561 1.169724 20,738 0.3410
Female 1,33,438 1.971942 12,195 0.2005
(iv) Other Workers Persons 1,21,36,833 49.00257 19,95,872 32.8197
Male 98,96,313 54.97673 18,07,990 30.2235
Female 22,40,520 33.11032 1,87,882 3.0894
Enterprises including No. of Total Investment Employment
(Manufacturing & Service Registered Rs. In
Sector) units Lacs
CHAPTER: 2
OBJECTIVES, SCOPE AND METHODOLOGY:
OBJECTIVES:
The main objective of the District Industrial Potential Survey Report (DIPS) is to find
out the possibilities of establishing and developing new manufacturing units on the
basis of local resources and demand in the district during the coming years. To full fill
these objectives, correct estimates of available raw materials, natural resources,
infrastructure, monetary assistance to the economic sector, industrial policies and
programmes need significant importance. The problems of present SME sector have
been discussed in the report so that the new comers can overcome it and succeed to
achieve the targeted rate of growth. The report is techno-economic in nature rather
than a mere statistical representation. It will be a focused guide and will be given due
publicity to attract the entrepreneurs of the district.
SCOPE:
District Industries Potentiality Survey Report (DIPS) of Surat district was prepared in
the year 2002-03. This Report is prepared with a view to achieve comparatively higher
industrial growth rate. It has focused over the problems of the industrial sector and
courteous endeavors have been put forth to provide information of the Central as well
as State governments industrial policies and programmes to overcome the problems
and crises and achieve the targeted industrial growth rate in the coming years. The
existing prosperities of the district has generated esteem and inherent risk taking
capacity of the people on account of sound agricultural basis, the people migrated in
other part of the country and in other countries like Africa, U.K. and U.S on account of
trade and commerce they have earned huge foreign currency. This surplus money has
created further huge scope for stimulating the industrial growth in the district.
METHODOLOGY:
District Industries Potentiality Survey Report (DIPS) is prepared by Assistant Director
(Statistics) of MSME-Development Institute, Ahmedabad. Derivations and compilations
included in this Report after extensive touring and data collected from various State
Government Offices, Local Bodies, Financial Organizations, and other NGOs and Trade
Organization Industrial Organizations situated in the district, by giving concurrent
weitage to the “Secondary” as well as “Primary” data and information about important
variants like local markets, demand, agricultural and industrial operations and financial
system etc.
5.
CHAPTER 3
DISTRICT PROFILE
(i) Location:
Surat district is located in the Southern part of Gujarat State and stands at second
number as largest commercial hub. Surat is mainly known for its Textiles & diamond
processing industries. The district is emerging as a potential hub in the IT/ITeS sector
in Gujarat. Besides, Gems & Jewelry and Chemicals/Petrochemicals and Ports sector
have huge potential for further development in the district. Moreover, Hazira and
Magdalla Ports provide logistic support to the industrial operations in the state. Surat
district is situated on Southern part of Gujarat State having area of 4326.97 sq. km.
Surat is the district head quarter for the Government administration. Geographically it
lies on the Southern part of Gujarat, which comes between 21.21.23 degree Northern
latitude and 72.38.23 degree Eastern Longitude. There are 10 Taluka in Surat district
namely Olpad, Mangrol, Umarpada, Mahuva, Mandvi, Kamrej, Choryasi, Palsana and
Surat City itself. There are total 10 taluka and 729 villages in the district.
The geographical area of the district is 4,326.97 sq. km. Land at the Arabian Sea lying
in Olpad and Choryasi taluka is salty. While, land in Kamrej, Palsana and Bardoli,
Mangrol and taluka is Black. Wherein Umarpada taluka, the land is goradu and mixed
up with forest area.
Taluka wise particulars of land is given as under: (in Hector)
(v) Rivers:
There are nine continuously flowing rivers in Surat district. The main rivers are Tapti,
Mindhola Kim, Purna and Ambica. The main and huge river Tapti becomes dangerous
during monsoon season, which, serves as vital source of irrigation. Surat City taluka is
situated on the bank of Tapti River.
(vi) Forest:
The district has a forest area of 36,671 hectors and it is mainly located in Mangrol,
Umarpada, Mahuva and Mandvi taluka. Over a period of time the forest area is
diminishing gradually. Kher, timber and babool are collected as main forest products.
Moreover, teak wood, firewood, and charcoal are also collected from the forest. The
State Government through Forest Department Authority has undertaken various
concrete steps relating to forestry and waste land development. The Forest Department
is having network of nurseries in all the taluka for supplying of seeds.
(vii) INCOME:
Predominant Economic activities in the district:
Agriculture and Animal husbandry are the predominant economic activities of the
district. Dairy is the main activity in the Animal Husbandry. Nowadays, poultry is the
steadily growing activity under Animal Husbandry.
Wheat, paddy, maize and bajra are the major food crops. Besides, chana, moong, tur
and udad crops are also grown in the district. Besides, zeera, fennel seed and isubgul
are grown by the farmers of the district. Mango, chiku, banana, lemon and coconut
are the important crops in plantation and horticulture in the district. Medicinal and
aromatic crops are gradually produced at higher scale during the last decade. Hence,
there also high potential exists for establishing new fruit processing industry in the
district.
The district captured a share of 15.24 % of the total fruit production in Gujarat by
becoming the largest producer of papaya and second largest producer of banana
in the state.
Surat is the largest producer of ladies finger in Gujarat with a share of 19 % of the
total production of the state.
8.
CHAPTER 4
PRINCIPAL RESOURCES
Social, economic and industrial growth of any district obviously depends upon the
availability of abundant natural as well as skilled human resources. Classification of
these resources can be done as under.
1. Population:
Description No.
Population Total : 60,81,322 Person
Male : 34,02,224 Person
Female : 26,79,098 Person
Population density 1,337 persons per sq. km
Village Population 12,32,109 Person
Urbanised Population 48,49,213 Person
Population increase rate (Decadal) 42.24%
Male- female ratio 1000:835
Scheduled Caste population 1,58,115 person
Scheduled Tribe population 8,56,952 person
Labour force population 25,53,542 person
9.
It can be shown in the Table shown below.
Sr. No. Description Population Percentage
1. Cultivators 1,07,218 2.51
2. Agriculture labours 2,51,808 5.89
3. Household enterprise labours 32,438 0.76
4. Other labours 12,73,146 29.78
5. Marginal Labours 1,21,695 2.84
6. Total population in labours force 17,86,305 41.78
7. Unproductive population 24,89,235 58.22
Total population 42,75,540 100.00
Agriculture:
The district has captured a share of 15.24% of the total fruit production in Gujarat by
becoming the largest producer of papaya and second largest producer of banana in
the State. The region contributes 10.39% to the total production of spices in Gujarat
as it is the largest producer of turmeric and second largest producer of ginger and
chilly in the State.
10.
(c) Agricultural Production & Marketing:
(e) Irrigation:
Water Resource projects can be classified into three categories (a) Major irrigation
projects where culturable command area is more than 10000 hector, (b) Medium
irrigation projects where culturable command area is between 2000 to 10000 hector
and, (c) Minor irrigation projects where culturable command area is below 2000
hector. The minor irrigation assumes greater importance for sustainable development
of agriculture sector in the district. The Monetary Institutional activities are to be
emphasized for bank financing schemes for ground water exploitation, water lifting
devices, lift irrigation and micro irrigation schemes. The ground water potential of the
district is as under.
11.
(f) Horticulture:
Good production of spices, fruits and vegetables is taken in horticulture during the
year in the district. Mangoes, banana, chiku, and kharek are the main crops in fruit.
Besides, onion, potato and guwar are main crops in the vegetables. Besides, guwar,
papdi, parwal patal etc. are produced at satisfactory level in the district. Hara dhania,
garlic, chili and turmeric are produced in satisfactory quantity in the district under
head spices.
Production of various fruits in the district during the last two years is as under:
(Production in M.T.)
Sr. Name of fruit 2013-14 2014-15
No. Hector Production Productivity Hector Production Productivity
(MT) (MT)
1. Mango 8931 75914 8.50 9143 76253 8.00
2. Chiku 2118 22345 10.55 2132 23452 11.00
3. Citrus 66 521 7.90 90 692 8.00
4. Banana 6968 473824 68.00 7660 526625 69.00
5. Papaya 366 20862 57.00 615 36900 60.00
6. Guvava 30 345 11.50 52 598 50.00
7. Pomegranate 32 304 9.50 42 393 9.00
8. Coconut 219 1840 8.40 232 1953 8.00
Source: Office of the Dy. Director, Horticulture, Surat.
12.
Production of Spices is as under: (Production in M.T.):
Sr. Name of 2013-14 2014-15
Spices
No. Hector Production Productivity Hector Production Productivity
1. Coriander 25 45 1.80 0 0 0.00
2. Ginger 167 2869 17.18 192 3446 18.00
3. Turmeric 168 2856 17.00 220 4567 2.00
4. Fenugreek 76 114 1.50 82 128 1.56
Source: Office of the Dy. Director, Horticulture, Surat.
13.
Dairy Development:
The Dairy Development Programme seeks vital significance as a supplementary
source of additional income generation in terms of allied activities in the agriculture
sector for bringing improvement of the living standards of small and marginal farmers
and landless labourers of the district.
Surat District Co-operative Milk Union is simply known as „‟SUMUL‟‟ in the whole
district. Sumul collects, processes and sales the milk and milk products in whole of the
district. Sumul extends its co-operation to the livestock farmers for purchasing high
quality livestock and sale of the milk produced by them to it. Sumul is having five
chilling units with built in capacity of 11 lac liters.
There is well developed infrastructure is developed in the district for safety and good
health of livestock. Jilla Panchayat runs separate Animal Husbandry Department for
this purpose. There are 10 livestock Medical Officers, 30 livestock Inspectors, 38
hospital/dispensaries/institutions and 4 mobile vans are operating in the district.
Fisheries:
Particulars of Fisheries are as given below:
Description No.
Centers 77
Total No. of Fishermen Families 5,976
Total Population of fishermen 28,995
Male 15,110
Female 13,885
Active Marine Fishermen 5,491
Active Inland Water Fishermen 5,162
No. of Fishermen‟s Primary Co-op. Societies 22
No. of Members in the Co-op. Societies 3095
Paid up Share Capital of Co-op. Societies 1,00,143
14.
Online (Boat Registration (As on 11.03.2014
Total Application Total approval No. of certificates issued
15.
Mineral Resources:
Surat is the second largest producer of lignite in Gujarat, which, amounts to 19%
(17,21,233 MT) of the total production (90,96,438 MT) of lignite in the state during
2005-06. 1,23,809 MT of limestone was produced in the year 2005-06. At present
lignite based thermal power stations, roofing tiles factories, stoneware pipes and
drainage pipe industries and glass factories are running in the district. Lignite and
limestone are the major minerals found in Surat district. Black trap, brick clay, sand,
and common sand are the minor minerals found in the district. Some of the mineral
based industries are running in Surat district are as under:
Glass Factories.
CHAPTER 5
Providing basic infrastructure facilities by the State Government and local authorities
is a pre-requisite for speedy economic growth of the district. Such facilities are
extensive transportation infrastructure, better communication network, better Post &
Telegraph services, broader banking and financial system, higher educational system
and good health services etc. Moreover, easy and cost effective availability of raw
materials in huge quantity, technically sound and skilled man power hefty distribution
system for the sale of finished goods and services, heavy machinery, constant
electricity power and fuel arrangement are significant factors for achieving high
industrial growth. So, these facilities are mainly divided into two parts.
Availability of vacant plot of land in ample quantity should be easily available to the
entrepreneurs. There should be balanced economic growth of the agricultural as well
as industrial sectors in the district. There is 38,803 hector of non-agriculture and
10,167 hector barren land is available for establishing new industries in Surat district.
17.
Gujarat Industrial Development Corporation (GIDC):
Surat is the main center of industrialization with GIDC estates like, Khatodara,
Bardoli, Gaviyar-Magdalla, Olpad, Hajira (GSPCL), Katargam, Icchapor Bhator (IOC),
Apparel park, Hajira, Doshwada, Pandesara, Hajira (Reliance), Sachin, Icchapor
Bhatpor, and Sachin (DGDCL). Emergence of a Petro-chemical Complex, a Gems &
Jewelry Park and the centrally promoted Surat SEZ are expected to further fuel the
industrial and economic growth of the city. GIDC helps new as well as existing
entrepreneurs for procuring industrial plots and getting other infrastructural and
financial assistance from the various banks and institutions. At present, GIDC has
established industrial estates. Thus, role of the GIDC seeks greater significant in
developing balanced industrial growth in the district.
Sl. Taluka Indl. Area Total Area No. of Vacant Rate of Vacant
No. (Hecotr) Units Shed Shed
1. Choryasi Katargam 38.33.12 835 2 ---------
Pandesara 218.27.10 260 Nil ---------
Sachin 749.34.58 569 1 ---------
Hajira Mora 428.03.52 0 0 ---------
Icchapor 919.84.44 85 37 ---------
GIDC
Sachin 54.96.06 0 0 ---------
Apparel Park
2. Olpad Olpad 31.26.15 7 0 ---------
3. Kamrej Khatodara 2.10.00 99 0 ---------
4. Bardoli Bardoli 4.71.46 24 0 ---------
Source: Regional Manager, GIDC, Surat.
INDUSTRIAL PARKS:
Four Industrial Parks have been developed in Surat district as mentioned below:
M/s Gujarat Echo Textile Park Ltd., Textile Park, Palsana, Surat.
M/s Fairdeal Textile Park Ltd., Integrated Textile Park, Vill. Mahuwej, Ta: Mangrol,
Surat.
M/s Shri Laxminarayan Industrial Cooperative Service Ltd., Textile Park, Khatodara,
Surat.
M/s Surat Super Yarn Park Ltd., Integrated Textile Park, Hathura, Surat.
18.
2. Water Facility for the Industrial Units:
Water facility is the prime factor for constant manufacturing of finished industrial
goods as well as agricultural produces for final consumption and for drinking facilities.
Tapti and Kim are the main constantly flowing rivers throughout the year in the
district. There are two dams over Tapti River namely Ukai and Kakrapar, which are
used as an important source of irrigation and provide water to the industrial sector of
Bardoli, Kamrej, Palsana, Choryasi and Olpad taluka of the district.
3. Electricity Facility:
Surat has a well developed network of Sub Stations and Power Stations in the district
to cater electricity need for the industrial and residential use. There are 220 KV sub
stations at different locations in the district at Sachin, Icchapor, Kim, Vav and Bardoli.
There are eight power stations in the district and one power station is proposed at
Aakhakhol. One 132 KV Sub Station is situated in Bhesan.
The list of Taluka wise villages getting electricity form Gujarat Vidhyut Board is as
under:
4. Gas
There are eight pipeline sections in the district. Mora-Sajod section is the longest
segment with 36.22 kms length. The existing gas grid in the district is 113.85 kms
long and the proposed length of the gas grid is 19.5 kms. The proposed gas grid will
cover three sections i.e. ONGC-Olpad and Olpad- Utran power plants.
5. Telecommunication Facility:
Telecommunication facility also seeks greater significance in the process of
industralisation and economic growth of any district as a modernized equipped
infrastructure.
Taluka wise available infrastructure in the district is as under:
Sr. No Taluka No. of Exchange Total Capacity
1 Choryasi 21 26,68,812
2 Bardoli 15 25,528
3 Mandvi 7 5,008
4 Sayan 18 30,672
5 Mangrol 8 9,720
Bharat Sanchar Nigam Limited, GMTD, Surat.
6. Railway Infrastructure:
Surat district is well connected by Broad Gauge railway lines of 105 km with other
districts and cities of the State and Country. It is also well connected by meter gauge
railway line of 59 km with other taluka. There are 12 meter gauge and 5 broad gauge
railway stations in the district. Thus, railway infrastructure is available in ample
length, which can immensely contribute towards the rapid economic growth. It is
mainly used for procuring raw materials from outside the district and for
transportation of sold out finished goods to other markets in the various districts and
States. Any railway line does not pass through Kamrej and Mandvi taluka of the
district.
20.
7. Road Infrastructure:
21.
8. Road Transport:
Surat district is well connected with other metros of the state by domestic airport. It is
having direct flights to Delhi, Jaipur and Ahmedabad. It is located between 72.5‟ E
Longitude and 21.10‟ N Latitude on Surat-Daman Road near Magdalla. The airport
type is STV having an area of 312 Hectors and run way facility of 1400 meters. It was
inaugurated on 6th May 2007. The State Government has also undertaken aviation
master plan for the state which prioritises development as well as upgradation of the
Surat airport. The nearest airports are at Vadodara and Mumbai.
The upgraded airport is envisaged to offer direct air connectivity with the important
destinations in India and abroad. This is expected to boost the commercial activities in
the city as well as in the district, leading to an upsurge in the demand in hospitality
sector, which is primarily driven by corporate tourism.
22.
10. Sea Port:
Magdalla and Hajira Ports in Surat have good rail and road connectivity. Magdalla port
is 2 km away from the state highway and 15 km away from the NH 8. Hajira port has
close proximity to the high speed dual carriageway which is under construction. The
port is well connected with main Mumbai-Ahmedabad-Delhi broad gauge railway line.
The nearest airport is in Surat itself. The proposed Mumbai-Ahmedabad-Delhi Freight
Corridor is expected to be major driver for the industrial growth of Hajira Port.
HAJIRA PORT: India’s New Trading Hub
Hajira is known as the „Gateway Port‟ to serve the hinterlands of North, West and
South Central India as it is situated in the midst of one of the most industrialized
areas in the country. It is a deepwater, all weather and direct berthing port. The
existing industrial portfolio of Hajira includes industrial activities such as
petrochemicals, fertilizers, heavy engineering, steel, energy and port related
activities. More than 20 large and medium sized companies are located in Hajira
including Bharat Petroleum Corporation, Cairn Energy, Essar Power, Hindustan
Petroleum, Larsen & Toubro, Reliance and NTPC among others. Shell has established
an LPG Terminal at Hajira in 2004. In the recent development, Hajira Port Pvt. Ltd and
PSA Ltd, Singapore has signed a Heads of Agreement for the development of a
Container Terminal at Hajira Port. A steel plant is established by Essar Steel Ltd. In
Hajira port having the largest steel manufacturing facility on the Western Coast of
India. The expansion of Hajira Port is envisaged in two phases. The first phase
envisions the development of port infrastructure to handle Liquefied Natural Gas
(LNG) imports, and the second phase would offer port facilities for handling dry cargo
bulk containers. The port facility would definitely help in attracting sizeable
investments in the coming time period.
MAGDALLA PORT:
Magdalla port is a lighter age port. The port is situated on the Western coast of India
in Southern Gujarat. It is on the Southern bank of river Tapti about 16 km upstream
the river. The state highway is 2 km and 15 km away from NH 8 from Magdalla Port.
The nearest broad gauge railway line and Surat railway station are 15 and 16 km
away from Magadalla Port respectively. The port is well connected by road with
Rajasthan, Madhya Pradesh and North Maharashtra which are hinterland areas to the
port. The airport is 4 km away from the port. The main cargo handled by Gujarat
Maritime Board (GMB) jetty at Magdalla Port is coal. Essar Steel Ltd., Reliance
Industries Ltd., Larsen & Toubro Ltd., and Gujarat Ambuja Cement Co. Ltd. have
constructed captive jetties at Magdalla for import and export of their products. GMB is
planning to develop a common user berth towards South of Essar jetty at Hajira. The
location is falling under the administrative control of Magdalla Port. Fertilisers,
soyabean, groundnut, coal, general cargo etc. can be handled at this proposed
location.
Source: Project Profiles, Industries Commissionerate, GoG.
23.
(B) SOCIAL INFRASTRUCTURE FACILITIES:
1. Entrepreneurship:
Sugarcane, rice, groundnut, juwar and tuwar are the main kharif crops. Besides, bajri,
maize, ragi, millets and cotton are also produced in the district. While, wheat, til,
chana, juwar, and rice are also produced in ravi season.
According to Agriculture Department Well developed infrastructure is existing in the
district for the sale of agriculture produces. Various agriculture produces are sold
through Marketing yards only in the district. A huge marketing yard is developed in
Surat city itself. Moreover, in almost all the taluka, marketing yards have been
established. Besides, marketing yards, District Purchase and Sale Sangh (Corpn.) is
established at Surat city, Mandvi, Kamrej, Mangrol, Olpad, Bardoli, and Mahuva
taluka. There are four Co-operative Societies operates in Surat city for the sale of
cotton. Moreover, one at Mandvi, four at Mangrol, four at Kamrej, ten at Olpad and
three Co-operative Societies are operating for the sale of cotton. There are fourty co-
operative Societies and 124 Consumer Societies operates for the sale of
fruit/vegetables in the district.
24.
3. Educational and Technical skills Infrastructure:
Surat has many Medical, nursing, Ayurvedic and Physiotherapy colleges. Technical
colleges offering courses in Chemical, Civil, Electrical, Electronic and Communication,
Information Technology, production and Mechanical Engineering are also present in
the district. Institutes providing specialized courses in Gems & Jewellery and textile
sectors are also widely available to provide well trained manpower for the industry.
Indian Diamond Institute provides different courses in diamonds, colored stones and
machine cast jewellery. Besides imparting training, it is also undertaking R & D and
consultancy services. Man Made Textile Research Association (MANTRA) has been
established to carry out R & D, testing and technical service activities to the man-
made fiber textiles industry. MANTRA also caters to the increasing quality control
needs of growing manmade textiles industry in Surat.
The no. of Education and Technical Skills Training Institutions are as given below:
2 Mandvi - 1 3 “
3 Mangrol - 1 6 “
4 Bardoli 3 1 7 “
5 Palsana - 1 7 “
6 Mahuva - 1 7 “
7 Olpad - 1 7 “
TOTAL 5 7 - -
25.
26.
No. of educated and unemployed youth registered with the Employment Exchange of
the district at Surat are as under:
GROWTH CENTERS:
Growth Centers which helps the administrative and Non-administrative agencies to
establish and fasten the industrialization in the district are as under:
27.
The Credit Guarantee Fund Trust for Micro & Small Enterprise shall cover credit
facilities extended, by eligible lending Institution(s) in respect of a single eligible
borrower not exceeding Rs. 1 Crore, by way of term loan and /or working capital
facilities on or after entering into an agreement with the Trust, to the small scale
industrial units including information technology and software industries, without any
collateral security and/or third party guarantee. The guarantee cover available under
the scheme is to the extent of 75 per cent of the sanctioned amount of the credit
facility. The extent of guarantee cover is 80 per cent for (i) micro enterprises for loans
up to Rs.5 lakh; (ii) MSEs operated and/or owned by women; and (iii) all loans in the
North-East Region.
The fee payable to the Trust under the scheme is one-time guarantee fee of 1.5% and
annual service fee of 0.75% on the credit facilities sanctioned. For loans up to Rs.5
lakh, the one-time guarantee fee and annual service fee is 1% and 0.5% respectively.
Further, for loans in the North-East Region, the one-time guarantee fee is only 0.75%.
28.
CREDIT LINKED CAPITAL SUBSIDY SCHEME FOR TECHNOLOGY
UPGRADATION OF THE SMALL SCALE INDUSTRIES (CLCSS):
The Scheme aims to facilitate technology up-gradation of MICRO & SSI units in the
specified products/ sub-sectors by providing 15% capital subsidy on loan up to Rs.
100 lacs for induction of proven technologies approved under the scheme.
Existing Micro & SSI units registered with State Directorate of Industry which
upgrade with the State-of-the-Art-Technology with or without expansion.
New Micro & SSI units which are registered with State Directorate of Industry and
which have set up their facilities only with the appropriate eligible and proven
technology duly approved by the GTAB (Governing & Technology Approved Board)
Financial assistance will be given to Micro & SSI‟s for adoption of international
numbering standards used in Bar Coding/E commerce applications. Financial
assistance under the Scheme will be limited to 75% of the registration fee and 75% of
the annual fee for first three years of registration.
29.
NATIONAL AWARDS:
Objectives:
These awards are given to Micro, Small & Medium scale entrepreneurs in
Manufacturing and Service sector separately for encouraging and motivating them to
set up small scale units to modernize their existing industries with a view to upgrade
the quality of their products, enhancing turnover, productivity, profit and to increase
their share both in domestic/ export markets, innovating new technology/design and
bringing in technological improvements.
30.
Objective:
(a) To encourage small scale industries to produce quality products conforming to
national and international standards.
(b) To propagate a culture of quality consciousness amongst a vast section of small
scale manufacturing units and
(c) To instill a sense of confidence in small industry products with the domestic
consumers and to enhance the image of Indian Products in export market.
MSMEs implement the LM techniques for reducing their manufacturing costs through
proper personnel management, better space utilization, scientific inventory
management, improved process flows, reduced engineering time etc. Such LM
techniques also help in improving the quality of the final product. Large enterprises
are capable of taking initiative on their own which essentially involves engaging the
services of LMCs (Lean Manufacturing Consultants). The Indian entrepreneurs are
very creative and implement the LM techniques to remain competitive in domestic and
global market. The Ministry of MSME recognizes these entrepreneurs for their
outstanding efforts for implementing LM Techniques for reducing their manufacturing
costs and by conferring Awards to motivate and encourage them.
31.
Scheme for Capacity Building, Strengthening of Database & Advocacy by
Industry/Enterprise Association:
Under the scheme, National/Regional/State/Local Level Industry Associations which are
registered for at least 3 years and having a regular charter, list of member and audited
account, etc; would be eligible for financial assistance.
Financial assistance for Secretarial & Advisory/ extension services, maximum of
Rs 5 lakh.
Association will be required to provide the regular manpower and office space at their
own cost & also to bear equivalent/ matching contribution towards cost of
modernisation of their facilities, equipment and training of their personnel.
32.
It is a tool room and training Centre engaged in production of tools of precision plastic
& metal component and also engaged in area of Training in tool and die making,
CAD/CAM & CNC Technology.
The time has now come to evolve and implement new strategies, to exploit the hidden
potential in human resource and future entrepreneurs in making for the development
of the society, in this context INDO GERMAN TOOL ROOM offers a wide range of
services especially to small scale industries.
GSFC has played an important role in the industrial development of the state. Till
date, it has financed 47,331 units and disbursed Rs. 3,300 Crore, generating
employment for over 6,00,000 persons. Many units financed by it are now well
established and have also graduated from small to medium and large scale.
Since the last few years, Corporation is passing through financially difficult times.
Due to very heavy NPA and as commercial banks are now performing similar activity
has stopped advancing fresh loans since October 2001.
Currently, it is engaged in the activity of recovering dues from its borrowers and
paying its lenders.
33.
One Time Settlement schemes have been introduced to expedite recovery.
Cost cutting exercise has been implemented to reduce manpower by deputing staff to
various Government departments and by implementing VRS.
34.
The Company has three subsidiaries:
1. GSEC Logistics Limited:
Along with the subsidiaries, GSEC Limited is heading towards becoming the leading
Logistics Services Provider and a successful well diversified Company in the coming
years.
With a view to fasten the industrialization in the State and to provide all type assistance
and guidance to the new entrepreneurs and the existing one, GIDC is established by the
Government of Gujarat. It helps the entrepreneurs in procuring industry base sheds,
formation of industrial plots, provide basic infrastructural necessary facilities to the
various industries viz.-a-viz. roads, electricity, drainage, telephone lines, canteen,
shopping centers, fire safety services etc.
35.
ALLOTMENT OF THE PROPERTIES:
Allotment of Properties
Circular
PROJECT WORK:
The Government of Gujarat enacted the SIR act in 2009 with the objective of creating
large size Investment Regions and Industrial Areas in the State of Gujarat and develops
them as global hubs of economic activity supported by world class Infrastructure.
Gujarat is the only state in the country to enact such an Art. GIDC is setting up 11
Special Investment Regions in Gujarat catalyzing unprecedented economic growth in
the state.
it enables the State Government to establish, develop, operate and regulate SIRS
Marketing Assistance
Infomediary Services
Marketing Intelligence
Bill Discounting
Infrastructure
36.
(5) Gujarat Industrial & Technical Consultancy Organisation (GITCO):
Gujarat Industrial & Technical Consultancy Organisation (GITCO) is established in 1987
with collaboration of seven nationalized banks along with BIICGS, FCBSIC, GMDC and
GSIC corporations established by the State Government.
The main objective of this organization is to provide satisfactory, timely and economical
advice and financing to the small and medium scale industries and thus contribute in
the economic growth of the State as a whole.
Service we Offer:
37.
Government of Gujarat, Industries & Mines Department has Notified New
Industrial Policy 2015 with the objectives to assist and enhance the
competiveness, development and overall growth of MSMEs in Gujarat.
VISION
MISSION
To create employment opportunities for both skilled and unskilled workforce
To become a Global hub for manufacturing
To promote Ease of Doing Business to create business friendly environment
To provide pro- active support to micro, small and medium enterprises
To promote the spirit of innovation and incentivize entrepreneurship among
youth by providing specific sector skills and seed capital
Ensure effective implementation of the policies
Micro, Small and Medium Enterprises (MSME) Facilitation Desk – A Novel initiative of
Government of Gujarat
To cater to the need of the hour, Honourable CM, Anandiben Patel in her vision of
progress launched the “MSME Facilitation Desk” on 5th February, 2015 to assist the
process of setting up a business unit till its commissioning.
The challenges faced by MSMEs are scaling up day by day. Realizing this, the Central
and State governments have provided several incentives for the MSME industries over
the years.
All the services offered at the desks are free of cost for anyone willing to set up or
expand their business. Services include creating awareness and helping and extending
them hand holding support in the state of Gujarat.
Objective of MSME Facilitation Desk The core objective of the desk is to facilitate
the prospective investor/ entrepreneur in the process of setting up or expanding his/
her business.
Surat Desk
Monitoring of DICs
DIEC is constituted for solving industry related problems and promoting industrial
growth. District Collector is the Chairman of this Committee and General Manager of
DIC is the Member Secretary. The other members of the DIEC are President of District
Panchayat, DDO, MP, MLAs, Prominent persons active in Industries in the district and
members of all district level industries associations.
Entrepreneurs face many difficulties when they start new industries. They have to deal
with many government agencies and get many clearances. SWIFT helps them in guiding
solving their problems at a single spot. This committee is working under the District
Collector, General Manager of DIC is the Member Secretary and District Development
Officer is Vice President of SWIFT. All industries related officers in the district are
members of this committee.
41.
Functions of DICs
Registration
o EM Part-I acknowledgement
o EM Part-II acknowledgement
o C.S.P.O.
o Lubricating, Oil, Grease License
Recommendation:
Incentive Scheme:
Seminars:
1. Package Scheme
2. Handloom Development Scheme
3. Training & Production centre
4. Woolen Carpet Centre
5. Weaving Scheme
6. Recovery of Loan & Share contribution of Co-operative Societies
7. Liquidation of Industrial Society
8. Preparation of Project Profiles
9. Audit of Industrial Society
10. Gramodyog Vikas Kendra
11. Hastakala Mela
42.
At present 25 District Industries Centre (DIC) are functioning in Gujarat State. The
main objective of establishing DIC is to provide all assistance under one umbrella to
the entrepreneurs engaged in dispersed area and diversified industries and to those
proposing to establish a fresh small and cottage industries. The perspective
entrepreneurs get all type of assistance like credit, raw materials, power, land and
building from DIC. Even for follow up of larger projects having investment up to Rs.
100 Crore, where the corporate office is in Gujarat, DIC extends its assistance for
speedy implementation of the projects.
The working of all DIC is motivated by the Monitoring Cell established in the office of
the Industries Commissioner. The progress achieved by each DIC is monitored every
month by the Industries Commissioner in the meeting of all General Managers of the
District Industries Centers.
At the district level, there is District Industries Executive Committee with Member of
Parliament (MP) or Collector s the Chairman. This Committee meets periodically to
discuss and solve the problems of Industrialists with the help of DIC.
In order to achieve better Co-ordination between different agencies and to solve the
problems of entrepreneurs, a “Single window Industries Follow up Team (SWIFT)” has
been constituted in all the districts under the Chairmanship of Collector of the district.
Moreover, the arrangement has been made for the applicant to have proper guidance
and authentic information of various schemes implemented by District Industries
Centers (DICs) with establishing the „Citizen Charter Centre” in all DICs.
The Micro, small and medium enterprises as classified above are required to file
Entrepreneurs Memorandum (EM) Part-I to District Industries Centre for starting an
industrial project. On completion of the project, the entrepreneur is required to file
Entrepreneurs Memorandum (EM) Part-II with DIC.
The District Industries Center conducts various Training Programs for the beneficiaries.
Apart from assisting in implementation of Vajpeyi Bankable Scheme, Jyoti Gramodyog
Yojana, Prime Minister‟s Employment Generation Programme (PMEGP) etc., DIC also
look after KVIB Schemes implemented in the district.
The DIC and KVIB are involved in extending assistance to rural/artisans and
entrepreneurs. Marketing of the manufactured goods is taken care of by the artisans
themselves and is therefore a major problem for individual artisans.
(7) Gujarat State Finance Corporation (GSFC):
43.
(8) Quality State Export Corporation:
In the year 1966 Gujarat Government had established Gujarat State Export
Corporation, which monitors the quality of the goods to be exported to the other
foreign countries. Besides, it provides valuable guidance and issues instructions about
the import-export services to the entrepreneurs functioning in the export-import sector.
Incorporated by the State Government of Gujarat, Gujarat State Export Corporation
(GSEC) is also authorized Export House declared by the Government of India.
Particulars of Industrial Associations and Chamber of Commerce are as given
below:
Sr. Association/Chamber of Commerce Telephone No.
No.
1 The Southern Gujarat Chambers of Commerce & 0261-2479431 to
Industries, Nr. Makai Bridge, Samruddhi, Nanpura, Surat. 2479435, Fax
2472340
2 The Surat Weavers Co-op. Producers Society Ltd., 0261-2324353
Doriyawad, Salabatpura, Surat. 0261-2424693
Shri Amrutlal Gobawala: 9374726737
3 Bardoli Chamber of Commerce 02622-255262
1-2, Mudit Palace, 2nd Floor, Bardoli.
Shri Pradip Agrawal: 9526228896
4 The Gems & Jewellry Export Promotion Council 0261-2435008
626, Belgium Tower, O\p Lenear Bus Stand, Surat.
Shri Chandrakar Sanghvi: 9998053344
5 Khatodara Industries Association 0261-2333329
Anavil Seri, Sagrampura, Surat. 0261-23333649
Shri Dinesh Tanawala: 9377737600
6 South Gujarat Texurisers Association 0261-2635606
204, Jay Sagar Complex, B\h Sub Jail, Khatodara, Surat.
Shri Gopalbhai Sultaniya
7 The Udhana Group Weavers Producers Co.op Socy. Ltd. 0261-2279405
Udhna Sangh Complex, Shop No: 10, Udyog Nagar, Udhna, 0261- 2278641
Surat.
Shri Niranjan M. Patel: 8824134680
8 The Southern Art Silk Cloth Mfg. Association 0261-2426369
5th Floor, Resham Bhavan, Lal Darwaja, Surat. 0261-2421759
Shri Arunchandra N. Zariwala: 9824144209
9 Hajira Area Industrial Association 0261-2805315
C\o Larsen & Tubro Ltd., At & Po: Bhatha, Surat. 0261-30315029
Shri Hemant Desai
10 Kim Pipodara Weavers Association 0261-2311251
2nd Floor, Jash market, Ring Raod, Surat.
Shri Bharat Gajera: 9825140255
11 Pandesara Industries Association 0261-2899205
Plot No: 195, O\p Wintex Mill, GIDC Pandesara, Surat.
Shri Kamalvijay Tulsiyan: 9825804691
44.
45.
CHAPTER: 6
Source: Indian Real Estate Growth and New Destinations, FICCI-Ernst & Young Report,
2007.
Normally MSMES in the district needs Government‟s assistance in the point of view of
dimensional and motivational strategy. Lack of ample resurrection measures supported
in the various policies and procedures of the state government, non availability of
adequate financial support, lack of market intelligent, lack of globlisation approach,
inadequate technological transformation support by the state government etc. All these
factors may slow down the industrial growth in the district.
Therefore, ample care and support are necessary to bring about a change in the
perception and practices and make then SMSEs successive and improvising the
competitiveness for the longer survival through technological transformation ensuring
quality and productivity improvisation.
46.
2. MAJOR INDUSTRIES:
There are nearly 605 medium and large scale industries operating in Surat district.
Most of the medium and large scale industries are concentrated in Choryasi taluka
(Western Surat) with 230 units followed by Mangrol (Northern Surat) and Mandvi
taluka with 131 and 116 units respectively.
Some of the major medium and large scale units are as mentioned below:
47.
3. SMALL SCALE INDUSTRIES:
There are over 41,300 small scale industries functioning in Surat district. Some of the
main industries under small scale industries are textiles, chemicals, dying & printing,
diamond processing, jhari (silver) making and engineering and related activities
(manufacturing machineries and equipments). Approximately, 24,000 small scale units
(SSI) are related to textile industry in the district, followed by repairing & service
industry with more than 11,000 units. Most of the small scale industries are located in
Choryasi, Mangrol, Olpad and Mandvi taluka of Surat district.
56.
TALUKAWISE NO. OF MSM ENTERPRISE ACKNOWLEDGE REGISTERED
(FROM 01/04/2014 TO 31/03/2015)
57.
TALUKAWISE NO. OF MSM ENTERPRISE ACKNOWLEDGE REGISTERED
(FROM 02/10/2006 TO 31/03/2007)
58.
TALUKAWISE NO. OF MSM ENTERPRISE ACKNOWLEDGE REGISTERED
(FROM 01/04/2008 TO 31/03/2009)
59.
TALUKAWISE NO. OF MSM ENTERPRISE ACKNOWLEDGE REGISTERED
(FROM 01/04/2010 TO 31/03/2011)
Industrial units having investment exceeding Rs. 10 Crore in Plant & Machinery are
classified as Large Industrial Units. An entrepreneur or a company desirous to set up
such large Project, needs an approval in the form of Industrial License from
Government of India (GoI) under the Provisions of Industries (Development &
Regulations) Act, 1951. In July, 1991, Government of India has liberlised the
Licensing Procedure and exempted almost all the industries from the purview of
Industrial Licensing, except a few industries which are of strategic importance. As per
the present Licensing Procedure, only two industries are reserved for Public Sector
and four industries, which are of strategic importance; needs an Industrial License.
The rest of the industries are required to filr an Industrial Entrepreneur‟s
Memorandum (IEM) with Secretariat, M\o Commerce & Industries, Government of
India, for Industrial Approval on observing certain requirements with respect to
location and environment. In the case of setting up of an Export oriented Unit (EOU)
or setting up a Project in Special Economic Zone (SEZ), a Letter of Permission (LoP) is
required to be obtained from the Development Commissioner of the concerned SEZ.
Thus, the Procedure for setting up a large industrial unit would either filing of IEM,
obtaining Letter of Intent (LoI)/Industrial License or obtaining Letter of Permission
(LoP) in case of 100 % EOU or SEZ unit.
3 Kamrej 3 41 872
6 Bardoli 2 60 2099
BACKGROUND NOTE
Introduction
Micro, Small & Medium Enterprises (MSME) sector has emerged as a highly vibrant
and dynamic sector of the Indian economy over the last five decades. MSMEs not
only play crucial role in providing large employment opportunities at comparatively
lower capital cost than large industries but also help industrialization of rural &
backwards areas, thereby reducing regional imbalances, assuming more equitable
distribution of National income and wealth. MSMEs are complementary to large
industries, ancillary units and this sector contributes enormously to the socio
economic development of the country.
The Micro, Small & Medium Enterprises Development (MSMED) Act was notified in
2006 to address Policy issues affecting MSMEs as well as the coverage and
investment ceiling of the sector. The Act seeks to facilitate the development of these
enterprises and enhance their competiveness which comprises of both manufacturing
and service entities. It defines Medium enterprises for the first time and seeks to
integrate the three tiers of these enterprise, namely Micro, Small & Medium
Enterprises
UDYOG AADHAAR
The proposed one page registration form would constitute self-declaration format
under which MSME will self-certify its existence, bank account details,
promoter/owner‟s Aadhaar details and other minimum basic information required.
Based on the same, the MSME can then be issued online, at a minimum, a unique
identifier or Udyog Aadhaar, a Permanent Account Number (PAN) and Tax
Assessment Number (TIN) and Employees Provident Fund Organisation (EPFO)
registration and Employees State Insurance Corporation (ESIC) registration, if
applicable. The same should be issued online on a time bound basis. For certain
aspects like labour, where self-declaration may not be the best approach for all firms,
it can be permitted on the number of employee in the firm.
Among other things the committee looked into the registration process and
advocated to universalization of registration so that MSME sector as a whole can be
planned for growth interventions with real tme data and need based facilitation.
Action Plan:
The Ministry was represented in the Committee and is in broad agreement of the
spirit of recommendation to encourage entrepreneurs to register and take advantage
of various fiscal and non-fiscal incentives offered by Central and State Government.
Ease of doing business and promotion formalization of MSME sector can be achieved
if the current process of filing EM I and EM II are significantly revised and are
technology enabled.
The current EM I format on the proposed units consist of 5 pages and 18 types of
information and over 6 attachments. The prescribed acknowledgement to be issued
by DIC is further 4 page form which is valid for 2 years. The current EM II format
after start of production consist of 6 pages with 21 types of information and over 6
attachments. The prescribed acknowledgement to be issued by DIC qafter filing the
codes and allotting EM number is further 1 page format which is to be issued in five
days after receipt by post or same day if delivered personally or online.
UDYOG AADHAAR:
Udyog Aadhaar registration will enable the unit/enterprise to seek information and
apply online about various services being offered by various Ministries and
Departments.
Industry Association and other Business Member Organisations (BMO) can take a
lead role and help the existing enterprises to register and join the formal economy.
NSIC, KVIC, Coir Board and other State level agencies dealing with MSMEs can assist
entrepreneurs in registering and linking scheme benefits.
Rating agencies empaneled for Performance and Credit Rating Schemes and NMCP
etc. can also promote and encourage enterprises to get Udyog Aadhaar registration.
Banks and NBFC can also promote and encourage enterprises to get Udyog Aadhaar
registration
66.
Universalisation of Registration:
NIC has been asked to suitably modify the National policy for filing of Udyog Aadhaar
registration and even enable online schemes of State and Center o be accessed with
this unique number and integrate with eBiz system.
REVIEW:
Honourable Minister MSME has a detailed discussion on this and other issues on June
2015 and desired that we may take quick steps in adopting Udyog Aadhaar initiatives
proposed by Kamath Committee and take all the necessary measures to enable about
10 million units to be bought to the formal economy.
Total 37,236 enterprises have been filed and registered as MSMEs as on 27.05.2016
in all the taluka of Surat district.
67.
68.
69.
HANDICRAFTS:
HANDLOOMS:
People of Gujarat State earn their livelihood form handlooms artisans after
agriculture. Handloom is most preferable artisans at the rural sector from the
historical period. Scheduled caste and scheduled tribe people is also mostly engaged
in this artisan. Government has enhanced fragile finance policy through Cooperative
Societies for lending financial assistance to such artisans at the rural sector. Share
holding, loan against share capital, management assistance, rebate in sale, interest
subsidy, advertisement for sale etc. are the factors included in the policy benefits to
be extended to such Co-operative Societies.
(2) Global recession of 2008 had slowed down the overall growth of the MSMEs. Due
to failure of banking and insurance company globally, the global credit squeeze
had reasonably affected the export textile and jewellery goods, which created
temporary shutdown of production in the sector.
(3) Lack of skilled human resources has also affected the sector at noticeable level.
Technology intervention is still very low in the sector. Artisans and weavers still
have been remained unaware of latest designs and current market trends. They
continued to manufacture products with old designs which fail to generate
consistent demand in the consumer markets. There is still huge gap among the
household unit owners/weavers/artisans and the designers/engineers. There is
immense need to encourage engineers and fashion designers to work out with
these small units‟ owners, weavers, designers which would be mutually
beneficial and help revive the sector and make it globally more competitive.
Information dissemination about availability of recent technologies, literature on
modern machinery, contact details of suppliers of raw materials, buyers etc. are
very essential factors for the MSMEs,
(4) Another major problem related to payment durations normally faced by the
MSME entrepreneurs. Mostly they are causing delay in payments and bad debts,
which causes trouble in the working capital ratio. Low credit period provided by
the suppliers and on other side late payment made by the customers also
creates imbalance in the working capital.
(5) One of the major concerns is low credit availability to the MSMEs. Though, credit
to MSMEs fall under the category of priority sector lending, but with the
expansion of the priority sector lending to accommodate fast growing areas
such as home loans, education loans; the percentage share of credit to MSMEs
have been fallen down. There is strong need to increase the target of
commercial bank lending to MSMEs from 20 % year on year growth to 30%
which will enhance the credit facilities to MSMEs.
71.
CHAPTER: 7
Looking at the above factors, there is ample scope for the further development of
various industries in the district into two categories as mentioned below:
Service Enterprises:
The potential areas for Service Industry can be further classified into various groups
such as:
C) Other Services:
General Information:
Micro, Small & Medium enterprises are classified in terms of investment in Plant &
Machinery under MSMED Act 2006. Further, the MSME sector is mainly divided into
two major segments namely: Manufacturing and Service Sector.
Terminology of MSME Manufacturing Enterprises as per investment in Plant &
Machinery is as under:
Micro Enterprise: Investment up to Rs. 25 Lacs.
Small Enterprise: Investment more than Rs. 25 Lacs & up to Rs. 5 Crores.
Medium Enterprise: Investment more than Rs. 5 Crores & up to Rs. 10 Crores.
Terminology of MSME Service Enterprises as per investment in Plant & Machinery is
as under:
Micro Enterprise: Investment up to Rs. 10 Lacs.
Small Enterprise: Investment more than Rs. 10 Lacs & up to Rs. 2 Crores.
Medium Enterprise: Investment more than Rs. 2 Crores & up to Rs. 5 Crores.
(1) Selection of proper Project:
Idea emerging out from the bottom of the heart coupled with risk taking ability, self
inspiration, liking and adventurous nature can tremendously help to become an
entrepreneur.
Idea with concrete determination involves viability of business, knowledge of
clientele need, market research, prosperity of growth and long term sustainability to
run the industry for log period helps a lot to conceptualize the project and gives
successful implementation.
75.
Further to complete the process, one needs to have basic knowledge about vivid
aspects such as
Product: Nature, Characteristic, size and usefulness of the ultimate consumers.
Process: Use of Technology involved for the production of the Item.
Location: Location with complete infrastructure facilities is most important part as
it gives the viability, logistics for input and marketing of finished
products at economy rate which ultimately may result into higher
production, minimization of waste, decrease in ex-factory value, increase
in productivity and profit.
Finalisation of Product:
Product Line: width, depth and characteristics
Packaging: Dazzling and user friendly
Branding: Eye cache and booster advertisement
Warranties: Extending Warranties to the consumers to win their satisfaction and
feasibility of consistent consumption of the product offered to them.
After Sale Service: Proper cell for extending after sales service to the ultimate
consumers to win their trust.
(2) Selection of appropriate Technology & Machinery
Need arise under this Head is as follow:
Search for suitable Project Profiles
Search for proper Product Code
Search of Industry Clusters
Search for getting information of existing Manufacturers
(A) Selection of Process:
As the product is finalized, the choice for selecting proper technology arises.
Sometimes for complex nature of product, process of know how becomes
necessary to import it. So, one should make agreements of technology transfer
as a safe guarding means of interest. One can also contact CSIR (Centre for
Scientific & Industrial Research)and DRL (Defense Research Labs) for bringing
into the indigenous technology, which can give intrinsic benefits of economy and
proper choice of technology.
Aspects to be considered are:
Whether process involves highly skilled labour or complex machinery is
required?
Whether large quantity of water and power is required or not?
Whether the Patent of Product is required or not using the selected process
technology?
Requirement of any Certificate of Pollution control or maintaining the
environmental regulations.
Whether the Machinery and Equipments are capable for inculcating consistent
production in Indian environment?
76.
One of the Major constraints in the Indian MSMEs is usage of outdated
technology and Management Methods which results in inefficiency, low
productivity and decrease in profitability of an enterprise. Lack of finance at
low or affordable interest rate is also one of the major causes for not adopting
modern Machinery, Equipments and Technology of production.
Agreement with NSIC for Hire Purchase of Machinery:
If an entrepreneur is not capable of purchasing Machinery from own capital, he may
contact NSIC for hire purchase of machinery. One should apply to NSIC, Head Office
through the DIC of the respective district.
Acceptance Committee comprising of the Representatives of Chief Controller of
Imports, Development Commissioner-MSME and other concerned departments
verifies all the applications for hire purchase of indigenous or imported machinery.
As soon as these formalities are completed by the hirer, instructions are sent to the
suppliers to dispatch the consignment and sent the R\Rs or C\R as the case may; to
the Regional Office.
After ensuring all dues have been paid by the hirer, releases the R\R of C\R to for
receiving delivery of the machinery.
In case of imported machines, the procedure is slightly different in as much as the
shipping documents are sent to the clearing agents for clearing the consignment
from the Customs and dispatching it to the hirer. Value of machines that can be
supplied depends upon the rules & regulations.
Earnest Money
The proportion of earnest money normally remains between 5% or 10% of the value
of machinery. But for imported or indigenous Machinery/Equipments equipment may
be different from the normal rate. In the case of furnaces and a few other items of
equipment, the rate of earnest money is also different. This interest is calculated on
the value of machines outstanding after deducting payment of earnest money.
Administrative Charge
As per rates determines by the stake holder upon the sales value of machinery and
its recovery by the NSIC may spread over the total installment period.
Period of Repayment
The period of repayment of loan after deducting the earnest money depends upon
the rate of interest and normal period preferably determined by the
stakeholders/bankers.
Gestation Period
In case of certain type of machines which become operative immediately on
installation in the service sector industries and job order establishment, a gestation
period of only 6 months shall be allowed both to the new and existing units.
In case the payment of installment is not made within one month of the specified
due date, interest over and above the normal rate is charged on the defaulted
amount from the date of default to the date of actual payment is charged by the
bankers according to the terms & conditions. Now the Place and Right Partner has to
be selected and Project Report has to be prepared.
77.
(3) Feasible Planning for getting finance
No MSME Enterprise can run without financial support.
The requirements can be classifies as given below:
Long & Medium Term Financial requirements
Short Term or Working Capital Requirements
Risk Coverage Capital
Seed Capital\Margin Money Requirements
Bridging of Loan
Financial Institutions are working in each district of the State as mentioned below:
Nationalised and Private Commercial Banks, Regional Rural Banks or Co-operative
Banks are operating to support the existing MSMEs. Some of the institutions are as
follows:
Small Industries Development Bank of India (SIDBI) (For refinance and direct
lending)
Gujarat State Finance Corporation (GSFC)
SIDBI, GSFC and other State Industrial Development Corporations extend financial
support for Long and Medium term loan, for the purposes such as Purchase of Land,
Construction of building or shed, and purchase of machinery and equipments.
The Short Term Loans are extended by the Commercial banks for Working capital
requirements, finance required for the purchase of raw material, payment of wages
and to meet the operating expenses. The commercial banks also sanction composite
loan comprising of working capital and term loan up to a loan limit of Rs.1 crore.
Requirement to be fulfilled for getting the loan from the Commercial Banks or
Financial Institutions are as under:
Properly filled up application
Proper documentation
Attach copy of 3consecutive three years‟ Profit and P & L A\c
Income Tax Assessment Certificates of Partners/Directors
Proof of Possession of Land/Building
Architect‟s estimate for construction cost
Partnership deed/Memorandum and Articles of Associations of Company
Project Report
Budgetary Quotations of Plant and Machinery
After assessment of application, bank issued a letter of sanction or rejection to the
applicant. Then, applicant has to submit a letter of accepting the sanction by
accepting the terms & conditions laid down by the Bank or Financial Institution.
CONSTRCUTION OF BUILDING:
Selection of negotiable plot of land is the significant task for the entrepreneur, it
follows by proper construction of factory building, proper designing of factory lay out,
interior and setting up of Plant & machinery.
MACHINERY
Choosing and ordering of right machinery is also of paramount importance. In many
cases technology or process provides us with specifications. In case where
specifications are not provided, then an extensive techno-economic survey of
machinery and equipment available must be carried out. International trade fairs
and engineering fairs are good places to look at available options. The entrepreneur
must also consult experts, dealers / suppliers as well as users, prior to making a
selection of equipment and machinery. The advice of DIC, MSMEI and NSIC can also
be sought.
MATERIALS
Materials procurement and planning are critical to success, of a start-up with a
MSME unit. Inventory management can lead to manageable cash flow situations;
otherwise if too much is ordered too soon considerable amount of working capital
gets locked up. On the other hand, non-availability may result in production hold-
ups, and idle machine and manpower. For essential imported raw material whose
lead-time is large proper planning is all the more essential.
79.
(8) Filling of Udyog Aadhaar Memorandum online:
In place of Enterprise Memorandum Part II under Section 8 of the Micro, Small and
Medium Enterprises Development (MSMED) Act, 2006 provides for filing of
memorandum by a Micro, Small or Medium Enterprise. Government of India, M/o
MSME enacted new simplified procedure of registration thorough Udyog Aadhaar
Memorandum –ease of doing business a single page procedure for filing Udyog
Aadhaar Memorandum linked with Unique Identification Number.
Procedure for Filing Udyog Aadhaar Memorandam
Features of the present procedures are as follows:
Form of the Udyog Aadhaar Memorandum can be online through
www.udyogaadhaar.gov.in directly from the website www.dcmsme.gov.in
APPROVALS
Each Micro, Small or Medium unit has to comply with various regulations in force.
These include regulatory, taxation, environmental and certain product specific
clearances. This section looks into the methodology of obtaining these approvals and
clearances.
But if a small-scale unit employs less than 50/100 workers with/without power then
it would not require a license from the Govt. of India even for the 6 product groups
covered in licensing under Schedule II of the notification.
Subject to this, an entrepreneur can set up a Micro, Small or Medium unit anywhere
in the country without any restriction. The units are, of course, subject to the
location/land use and zoning restrictions in force under the local laws. (Please see
link: dcmsme.gov.in for more information)
80.
CLEARANCES
An entrepreneur has to obtain several clearances or permissions depending upon the
nature of his unit and products manufactured.
The method of granting consent under water and air pollution to Micro and Small
units has been simplified. Except for 17 critically polluting sectors given below, in
all other cases SSI units will merely have to file an application and obtain an
acknowledgement which will serve the purpose of consent:-
Fertiliser (Nitrogen\Phosphate
Sugar
Cement
Fermentation & distillery
Aluminum
Petrochemicals
Thermal Power
Oil Refinery
Sulphuric Acid
Tanneries
Copper smelter
Zinc smelter
Iron & Steel
Pulp & Paper
Dyes & Dyes Intermediates
Pesticides manufacturing & Formulation
Basic Drugs & Pharmaceuticals
81.
PRODUCT SPECIFIC CLEARNCES:
- QUALITY CERTIFICATION
ISO 9000 Certification:
It has been decided to push the quality up-gradation programme in the SSI Sector in
a big way.
A scheme has been launched to give financial incentive to those SSI units who acquire
ISO-9000 certification, by reimbursing 75% of their costs of obtaining certification,
subject to a maximum of Rs. 0.75 lacs per unit.
A new scheme has been launched to assist SSI units in obtaining ISO-9000 or an
equivalent international quality standard. Subject to an upper ceiling of Rs. 075 lacs,
each unit is given financial assistance equal to 75% of the costs incurred in acquiring
the quality standard.
The SSI units are also encouraged to participate in quality awareness and learning
programmes organised specially for their benefit.
82.
Ancillary Industries:
There are over 41,300 small scale industries functioning in Surat district. Some of the
main industries under small scale industries are textiles, chemicals, dying & printing,
diamond processing, jhari (silver) making and engineering and related activities
(manufacturing machineries and equipments). Nearly, 24,000 small scale units (SSI)
are related to textile industry in the district, followed by repairing & service industry
with more than 11,000 units. Most of the small scale industries are located in
Choryasi, Mangrol, Olpad and Mandvi taluka of Surat district. There are also about
45,000 power looms operating in the district. Hence, looking at the demand and need
for the small and big spare parts, machineries, stores, etc of these sector; there is
huge scope for the development of ancillary industries in the district.
13114 Preparation and spinning of man-made fiber including blended* man-made fiber
13121 Weaving, manufacture of cotton and cotton mixture fabrics.
13124 Weaving, manufacturing of man-made fiber and man-made mixture fabrics.
13131 Finishing of cotton and blended cotton textiles.
13134 Finishing of man-made and blended man-made textiles.
13136 Activity related to screen printing
13921 Manufacture of curtains, bed covers and furnishings
13924 Manufacture of bedding, quilts pillows, sleeping bags etc.
13925 Manufacture of tarpaulin
13941 Manufacture of thread, including thread ball making
13943 Manufacture of cordage or rope made of coir
13946 Manufacture of tapes, newar and wicks
13991 Embroidery work and making of laces and fringes
13992 Zari work and other ornamental trimmings
13995 Manufacture of made-up canvas goods such tents, sails etc.
14101 Manufacture of all types of textile garments and clothing accessories
14103 Manufacture of hats, caps and other clothing accessories such as gloves, belts, ties,
cravats, hairnets etc.
14105 Custom tailoring
15112 Tanning and finishing of sole leather
15116 Embroidering and embossing of leather articles
15121 Manufacture of travel goods like suitcase, bags, holdalls etc.
15122 Manufacture of purse, ladies‟ handbags, and artistic leather presented articles and
novelties
15123 Manufacture of saddlery and harness
15201Manufacture of leather footwear such as shoes, sandals, chappals, leathercum-
rubber/plastic cloth sandals and chappals
15202 Manufacture of footwear made primarily of vulcanized or moulded rubber and plastic.
16101 Sawing and planning of wood
16211 Manufacture of ply wood and veneer sheets
16213 Manufacture of flush doors and other boards or panels
16221 Manufacture of structural wooden goods
16231 Manufacture of wooden boxes, barrels, vats, tubs, packing cases etc.
16233 Manufacture of market basketry, grain storage bins and similar products made of
bamboo or reed
16293 Manufacture of wooden agricultural implements
16294 Manufacture of various articles made of bamboo, cane and grass
17014 Manufacture of packing paper
17022 Manufacture of corrugated paper board containers
17023 Manufacture of card board boxes
17092 Manufacture of paper cups, saucers, plates, hoops, cones and other similar products
17095 Manufacture of file cover/file boards, and similar articles.
17097 Manufacture of carbon paper & stationary items
18115 Printing directly onto textiles, flexographic plastic, glass, metal, wood and ceramics
18121 Book and other similar sheet binding on account of others
18122 Engraving and block making etc.
19202 Manufacture of paraffin wax
19203 Bottling of LPG/CNG
20112 Manufacture of inorganic acids except nitric acid
20114 Manufacture of dyes and pigments from any source in basic form or as concentrate
20118 Manufacture of synthetic aromatic products
20121 Manufacture of urea and other organic fertilizers
84.
20132 Manufacture of synthetic rubber in primary forms
20211 Manufacture of insecticides, rodenticides, fungicides, herbicides
20212 Manufacture of disinfectants (for agricultural and other use)
20221 Manufacture of paints and varnishes, enamels or lacquers
20223 Manufacture of printing ink
0231 Manufacture of soap all forms
20233 Manufacture of detergent and similar washing agents excluding soap
20235 Manufacture of preparations for oral or dental hygiene
20236 Manufacture of hair oil, shampoo, hair dye etc.
20237 Manufacture of cosmetics and toiletries
20238 Manufacture of “agarbatti” and other preparations which operate by burning
20291 Manufacture of matches
21002 Manufacture of allopathic pharmaceutical preparations
21003 Manufacture of `ayurvedic‟ or `unani‟ pharmaceutical preparation
21004 Manufacture of homoeopathic or bio-chemic pharmaceutical preparations
21005 Manufacture of veterinary preparations
21006 Manufacture of medical impregnated wadding, gauze, bandages, dressings, surgical gut
string etc.
22113 Retreading of tyres, replacing or rebuilding of tread on used pneumatic tyres
22191 Manufacture of rubber plates, sheets, strips, rods, tubes, pipes, hoses and profile -
shapes etc.
22192 Manufacture of rubber conveyor or transmission belts or belting
22202 Manufacture of tableware, kitchenware and other household articles
22203 Manufacture of plastic articles for the packing of goods
22204 Manufacture of bathing tubs, wash-basins, lavatory pans and covers, flushing cisterns
and similar sanitary-ware of plastics
22205 Manufacture of travel goods of plastics (suitcase, vanity bags, hold-alls etc.)
22206 Manufacture of spectacle frames of plastic
22208 Manufacture of polymer/ synthetic / PVC water storage tanks
23102 Manufacture of glass fibre
23103 Manufacture of hollow glassware (bottles, jars etc.) for the conveyance or packing of
goods
23104 Manufacture of laboratory or pharmaceutical glassware
23105 Manufacture of table or kitchen glassware
23912 Manufacture of refractory bricks, blocks tiles and similar refractory ceramic
constructional goods
23922 Manufacture of non-refractory ceramic sanitary wares: sinks, baths, water-closet pans,
flushing cistern etc.
23923 Manufacture of non-refractory ceramic pipes, conduits, guttering and pipe fittings
23931 Manufacture of articles of porcelain or china, earthenware, imitation porcelain or
common pottery, including earthen statues
23932 Manufacture of ceramic tableware and other domestic or toilet articles
23934 Manufacture of electrical insulators and insulating fittings of ceramics
23941 Manufacture of clinkers and cement
23942 Manufacture of port land cement, aluminous cement, slag cement and similar hydraulic
cement
23953 Manufacture of asbestos sheets
23954 Manufacture of R.C.C. bricks and blocks
23955 Manufacture of hume pipes and other pre-fabricated structural components of cement
and/or concrete for building or civil engineering
23960 Cutting, shaping and finishing of stone
85.
24102 Manufacture of direct reduction of iron (sponge iron) and other spongy ferrous products
24103 Manufacture of steel in ingots or other primary forms, and other semi finished products
of steel
24104 Manufacture of Ferro-alloys
24105 Manufacture of hot-rolled and cold-rolled products of steel
24108 Manufacture of wire of steel by cold drawing or stretching
24311 Manufacture of tubes, pipes and hollow profiles and of tube or pipe fittings of cast-
iron/cast-steel
24320 Casting of non-ferrous metals
25111 Manufacture of doors, windows and their frames, shutters and rolling shutters, gates
and similar articles used on buildings
25121 Manufacture of metal containers for compressed or liquefied gas
25122 Manufacture of metal reservoirs, tanks and similar containers25123 Manufacture of
central heating boilers and radiators and parts and accessories thereof
25910 Forging, pressing, stamping and roll-forming of metal; powder metallurgy
25931 Manufacture of cutlery such as knives, forks, spoons, cleavers, choppers, razors, razor
blades, scissors, hair clippers etc.
25932 Manufacture of hand tools (non-power-driven) for agricultural/horticulture/forestry
25933 Manufacture of hand tools such as pliers, screwdrivers, press tools, blacksmiths‟ tools,
drills, punches, milling cutters etc.
25934 Manufacture of padlocks, locks, keys, hinges and the like, hardware for buildings,
furniture, vehicles etc.
25991 Manufacture of metal fasteners
25995 Manufacture of metal sanitary-ware such as baths, sinks, washbasins and similar
articles
25996 Manufacture of reinforced safes, vaults, strong room doors, gates and metal goods for
office use (other than office furniture) and other purposes
26101 Manufacture of electronic capacitors, resistors, chokes, coils, transformers (electronic)
and similar components
26201 Manufacture of desktop computers, laptop computers, hand-held computers (e.g. PDA),
mainframe computers and computer servers
26405 Manufacture of stereo equipment, speaker systems, amplifiers for musical instruments
and public address systems, microphones, karaoke machines, headphones (e.g. radio,
stereo, computer)
26516 Manufacture of laboratory analytical instruments and miscellaneous laboratory
apparatus for measuring and testing such as scales, balances, incubators etc.
26517 Manufacture of industrial process control equipment
26521 Manufacture of watches and clocks, including instrument panel clocks (except time-
recording equipment)
27103 Manufacture of electric motors (except internal combustion engine starting motors)
27104 Manufacture of electricity distribution and control apparatus
27310 Manufacture of fibre optic cables for data transmission or live transmission of images
27331 Manufacture of switch, switch box, lamp
27400 Manufacture of electric lighting equipment
27501 Manufacture of domestic electric appliances such as refrigerators, washing machines,
vacuum cleaners, mixers, grinders etc.
27502 Manufacture of domestic electro-thermal appliances such as electric water heaters,
space heaters, irons, ovens, toasters, microwave ovens etc
86.
CHAPTER 8
CONCLUSION
District Industrial Potentiality Survey Report of Surat district consist of Eight Chapters
along with Annexure. Very sincere endeavors are made to disseminate significant
information on population, available resources and infrastructure facilities available in
the district.
There has been specific focus given upon the present industrial structure of the district
in respect of Small, Medium and Large Scale industries.
The Report also indicates the industrial potentialities in the district based on available
natural resources and based on demand as well in the SMEs and ancillary industries in
the district. I firmly believe it will be helpful to the existing entrepreneurs as well as
the fresh entrepreneurs of the district.
++++++++++++++