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Ministry of Micro, Small and Medium Enterprises

Government ministry of India

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The statistics provided by the annual reports of the Ministry of Small and Medium Enterprises (MSME) shows a rise in the plan amount spent on the khadi sector from ₹1942.7 million to ₹14540 million, and non-plan amounts from ₹437 million to ₹2291 million, in the period from 1994–95 to 2014–15. The interest subsidies to khadi institutions increased from ₹96.3 million to ₹314.5 million in this period.

History

The Ministry of Small Scale Industries and Agro and Rural Industries was created in October 1999. In September 2001, the ministry was split into the Ministry of Small Scale Industries and the Ministry of Agro and Rural Industries. The President of India amended the Government of India (Allocation of Business) Rules, 1961, under the notification dated 9 May 2007. Pursuant to this amendment, they were merged into a single ministry.

The ministry was tasked with the promotion of micro and small enterprises. The Small Industries Development Organisation was under the control of the ministry, as was the National Small Industries Corporation Limited public sector undertaking).

The Small Industries Development Organisation was established in 1954. It has over 60 offices and 21 autonomous bodies under its management. These autonomous bodies include Tool Rooms, Training Institutions and Project-cum-Process Development Centres.

Services provided include:

  • Facilities for testing, toolmenting, training for entrepreneurship development
  • Preparation of project and product profiles
  • Technical and managerial consultancy
  • Assistance for exports
  • Pollution and energy audits

It also provides economic information services and advises Government in policy formulation for the promotion and development of SSIs. The field offices also work as effective links between the Central and State Governments.

Ministry of Agro and Rural Industries

The now-defunct Ministry of Agro and Rural Industries had the objectives of facilitating coordinated and focused policy formulation and effective implementation of programmes, projects, schemes, etc., for improving supply chain management, enhancing skills, upgrading technology, expanding markets and capacity building of entrepreneurs/artisans and their groups/collectives.

The Ministry deals with the khadi, village and coir industries through the Khadi and Village Industries Commission (KVIC) and the Coir Board. It coordinates implementation of two countrywide employment generation programmes, namely, the Rural Employment Generation Programme (REGP) and the Prime Minister's Rozgar Yojana (PMRY) with the cooperation of State Governments, the Reserve Bank of India (RBI) and other banks. The KVIC, established by an Act of Parliament, is a statutory organisation engaged in promotion and development of khadi and village industries for providing employment opportunities in the rural areas, thereby strengthening the rural economy. The coir industry is a labour-intensive and export-oriented industry. It uses a by-product of coconut, namely, coir husk. The Coir Board, a statutory body established under the Coir Industry Act 1953, looks after the promotion, growth and development of the coir industry, including export promotion and expansion of the domestic market.

It was headed by the Minister of Agro & Rural Industries and was based at Kartavya Bhavan-3, Kartavya Path, New Delhi. Shri Mahabir Prasad was the last incumbent.

  • MSME-Technology Centre Baddi Solan
  • Central Tool Room, Ludhiana
  • Central Tool Room Extension Centre, Nilokheri earlier functional as Integrated Training Centre, Nilokheri
  • Indo Danish Tool Room, Jamshedpur
  • National Small Industries Corporation
  • Coir Board

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