ABSTRACT

Small Industries - Part II Scheme 2004-05 - EDP for potential Investors for establishing Small Scale Industries by providing Training - Sanction of Rs.12.50 lakhs - Orders issued.


SMALL INDUSTRIES (DEV.1) DEPARTMENT

G.O. (Ms) No. 44
DATED: 2.8.2004

READ:

From the Industries Commissioner and Director of Industries and Commerce Lr.No.54646/PDB1/03, dated 20.11.2003.

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ORDER:

The Industries Commissioner and Director of Industries and Commerce in his letter read above has sent proposals for Training potential investors in Small Scale Industries at a cost of Rs.12.50 lakhs under Part II Scheme 2004-05. The Industries Commissioner and Director of Industries and Commerce has stated that in the recent times, a lot of Investors are investing their money in the establishment of Engineering Colleges, Business, Trading, Share Market, Hotel, Transport, etc., as these activities are known to them. If these Potential Investors are motivated to establish Small Scale Industries by disseminating the project, incentives and subsidies offered etc., they may come forward to setup SSI units. The Industries Commissioner and Director of Industries and Commerce has also stated that the Banks are well aware of such Potential Investors in almost all the Blocks of the State and these investors may lack of entrepreneurship skill. They have to be identified and motivated to start SSI and 500 Investors can be identified and trained during 2004-05. The training programme will cover the topics such as preparation of Project Formulation, Finance, Market Management, Raw Material, Equipment, Labour, Production Management, Law relating to SSI, the incentives and subsidies offered by State/Central Government, including the assistance rendered by SIDBI, NABARD, NSIC, Assistance rendered by District Industries Centres right from the selection of product till marketing the product nationally/ internationally, etc. Besides the above, field visit have to be arranged for the beneficiaries in the line of activity chosen by them and assistance have to be provided to prepare the bankable projects with the assistance of Bankers, so that the project prepared by the beneficiaries would be accepted by the Banks. Entrepreneurship Training Programme will be conducted by National Institute of Small Industry Extension Training (NISIET) Hyderabad, CFTRI, Mysore, Agricultural University, Coimbatore etc. The training programme may cost around Rs.10,000/- per participant, out of which Government may contribute 25% of the training cost subject to a maximum of Rs.2,500/-. Similarly the banks will contribute 25% of the training cost subject to a maximum of Rs.2,500/- and the balances amount will be borne by the entrepreneur.

2. The Government have carefully examined the above proposal and accepted the same under Part II Scheme for 2004-05. Sanction is therefore accorded for incurring an expenditure not exceeding Rs.12.50 lakhs (Rupees Twelve lakhs and fifty thousand only) for providing training to 500 potential investors for establishing Small Scale Industries in this State.

3. The expenditure sanctioned in para 2 above shall be debited to "2851-00-Village and Small Industries-102 Small Scale Industries-Schemes in the Tenth Five Year Plan-II State Plan-LF State Industries Centre. 72 Training. (DP Code 2851 00 102 LF 7209).

4. The Industries Commissioner and Director of Industries and Commerce is authorised to draw and disburse the amount sanctioned in para 2 above.

5. This orders issues with the concurrence of the Finance vide its U.O.No.27771/Ind/2004-1, dated 23.4.2004.

(BY ORDER OF THE GOVERNOR)

D. RAJENDRAN,
SECRETARY TO GOVERNMENT.

To

The Industries Commissioner and

Director of Industries and Commerce, Chennai -5.

The Pay and Accounts Officer (E), Chennai -5.

The Accountant General, Chennai 6/18/35.

The Accountant General, Chennai 6/18/35 (By name).

Copy to:

The Senior Personal Assistant to Minister (Agriculture and Rural Industries), Chennai -9.

The Finance (BG) / Ind / Department, Chennai -9.

The Small Industries (OP) Department, Chennai -9.

The Small Industries (SIB) Department, Chennai -9 (5 copies)

SF/SC

//FORWARDED BY ORDER//

SECTION OFFICER