ECO1001 Micro Economics National Science and Technology West End University College

West End University College

ECO1001 Micro Economics National Science and Technology West End University College

CENTRAL LEVEL INSTITUTIONS SUPPORTING ENTREPRENEURS
SMALL SCALE INDUSTRIES BOARD (SSIB)
The government of India constituted a board, namely, Small Scale Industries Board(SSIB) in
1954 to advice on development of small scale industries in the country. The SSIB is also
known as central small industries board. The range of development working small scale
industries involves several departments / ministries and several organs of the central/state
governments. Hence, to facilitate co-ordination and inter-institutional linkages, the small
scale industries board has been constituted. It is an apex advisory body constituted to render
advice to the government on all issues pertaining to the development of small-scale
industries. The industries minister of the government of India is the chairman of the
SSIB.The SSIB comprises of 50 members including state industry minister, some members of
parliament, and secretaries of various departments of government of India, financial
institutions, public sector undertakings, industry associations and eminent experts in the field.
NATIONAL SMALL INDUSTRIES CORPORATION (NSIC)
The National Small Industries Corporation (NSIC), an enterprise under the union ministry of
industries was set up in 1955 in New Delhi to promote aid and facilitate the growth of small
scale industries in the country. NSIC offers a package of assistance for the benefit of small–
scale enterprises.
1. Single point registration: Registration under this scheme for participating in government
and public sector undertaking tenders.
2. Information service: NSIC continuously gets updated with the latest specific information
on business leads, technology and policy issues.
3. Raw material assistance: NSIC fulfils raw material requirements of small-scale industries
and provides raw material on convenient and flexible terms.
4. Meeting credit needs of SSI: NSIC facilitate sanctions of term loan and working capital
credit limit of small enterprise from banks.
5. Performance and credit rating: NSIC gives credit rating by international agencies
subsidized for small enterprises up to 75% to get better credit terms from banksand export
orders from foreign buyers.
Learning Objectives:
 To introduce the functions and activities of various Central and State Government
agencies supporting small-scale industries.
 Discuss the functions of DIC.
 Present the activities and focused consultancy areas of TECSOK.
 Discuss the functions of KIADB.
 Present the activities and loan schemes of KSFC.
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 Marketing assistance programme: NSIC participates in government tenders on behalf
of small enterprises to procure orders for them
SMALL INDUSTRIES DEVELOPMENT ORGANIZATION (SIDO)
SIDO is created for development of various small scale units in different areas. SIDO is a
subordinate office of department of SSI and ARI. It is a nodal agency for identifying the
needs of SSI units coordinating and monitoring the policies and programmes for promotion
of the small industries. It undertakes various programmes of training, consultancy, evaluation
for needs of SSI and development of industrial estates. All these functions are taken care with
27 offices, 31 SISI (Small Industries Service Institute) 31 extension centres of SISI and
7 centres related to production and process development.
The activities of SIDO are divided into three categories as follows:
 Coordination activities of SIDO:
 To coordinate various programmes and policies of various state governments
pertaining to small industries.
 To maintain relation with central industry ministry, planning commission, state level
industries ministry and financial institutions.
 Implement and coordinate in the development of industrial estates.
 Industrial development activities of SIDO:
 Develop import substitutions for components and products based on the data available
for various volumes-wise and value-wise imports.
 To give essential support and guidance for the development of ancillary units.
 To provide guidance to SSI units in terms of costing market competition and to
encourage them to participate in the government stores and purchase tenders.
 To recommend the central government for reserving certain items to
 produce at SSI level only.
 Management activities of SIDO:
 To provide training, development and consultancy services to SSI to develop their
competitive strength.
 To provide marketing assistance to various SSI units. To assist SSI units in selection
of plant and machinery, location, layout design and appropriate process.
 To help them get updated in various information related to the small-scale industries
activities.
Khadi and Village Industries Commission (KVIC)
 Statutory body created by an act of Parliament
 It is charged with planning, promotion, organization and implementation of the
program for the development of Khadi and other village industries in the rural areas in
coordination with other agencies engaged in rural development
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 KVIC’s functions also comprise building up a reserve of raw materials and
implements for supply to producers, creation of common service facilities for
processing of raw materials and provision of marketing of KVIC products
 KVIC is entrusted with the task of providing financial assistance to institutions or
persons engaged in the development and operation of Khadi and village industries and
guide them through supply of designs, prototypes and other technical information
National Small Industries Corporation Ltd. (NSIC)
 Established in 1955 by GOI with the main objectives to promote, aid and foster the
growth of SSIs in the country
 Over four decades of transition and growth in the SSI sector, NSIC has provided
strength through a progressive attitude of modernization, up gradation of technology,
quality consciousness, strengthening linkages with large and medium-scale enterprise
and boosting exports of products from small enterprises
• Main services provided by NSIC are:
 Machinery and Equipment (Hire Purchase / Lease scheme)
 Financial Assistance Scheme
 Assistance for Procurement of Raw Material
 Government Store Purchase Program
 Technology Transfer Centre (TTC)
 Marketing Assistance
National Science and Technology Entrepreneurship Development Board (NSTEDB)
• Established in 1982 by GOI, is an institutional mechanism to help promote
knowledge-driven and technology-intensive enterprises
• Major objectives are: –
 promote and develop high-end entrepreneurship for S&T manpower as well as selfemployment by utilizing S&T infrastructure and by using S&T methods
facilitate and conduct various informational services relating to promotion of
entrepreneurship –
 network agencies of support system, academic institutions and R&D organizations to
foster self-employment using S&T with special focus on backward areas
– act as a policy advisory body with regard to entrepreneurship
National Productivity Council (NPC)
 Autonomous institution functioning under the overall supervision of the Ministry ofIndustry, GOI

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