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    ANNUAL REPORT2011-12MSME-DI,

    Jammu & Kashmir

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    CHAPTER - I

    1.1 GEOGRAPHICAL BRIEF OF THE STATE

    Jammu & Kashmir State is one of the oldest States of Indian Union. The total area of J&K

    State is 2,22,236 Sq.Kms which includes 37,555 Sq.Kms under illegal occupation of China inLeh and 78,115 Sq.Kms under occupation of Pakistan and 5,180 Sq.Kms illegally handedover by Pakistan to China. The state is surrounded by No. of foreign countries i.e. Pakistanin the West, Afghanistan in the Northwest and China in the Northeast. It is located between320 To 720 Longitudes and 720 to 800 Latitude. Geographically the State of J&K has beendivided into three regions viz: Jammu, Kashmir & Ladakh. Ladakh is situated in the extremeNortheast surrounded by Naga Parbhat and Korkaram Range (K 2), it also touches theGodwin Austin Peak, the worlds second highest peak. The Jammu region falls in peer

    panchal range which is situated 2000 mtrs. above the sea level. Kashmir region lies totallywithin the Himalayas surrounded by high hills of peer panchal range (K2) and Karakorumrange. It is interesting to note that the culture, climate and convention vary from region toregion. The J&K State has got its importance in many respects. The State is endowed with

    rich agricultural and mineral resources. The famous Basmati Rice is grown in a large area ofthe State. It has a very sound horticultural background. The important fruit crops grown inthe state are apples, Cherries, pomegranate, peaches walnut etc, which is being exported toall over the world, thereby earning a good amount of foreign exchange. Besides scenicbeauty, J&K is also known as a famous pilgrimage center i.e Shri Mata

    Vaishno Devi in Jammu province, Amarnath in Srinagar province and old BuddhistMonasteries/Gompas in Leh. It is worth mentioning that the State of J&K is one of the besttourist centers of India and is known as Paradise on Earth. It attracts a large number of

    tourists round the year. The State with its summer and Winter Capitals at Srinagar and

    Jammu respectively consists of 22 districts (10 in Kashmir Valley, 10 in Jammu Division and02 in Ladakh region). Out of the 22 districts of the State, Leh district stands first in area

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    wise with a total of 82,665 Sq.Kms followed by Kargil, Doda, Baramulla and Udhampur. Ithas four geographical zones of (i) Sub-mountain and semi-mountain plain know as kandi ordry belt, (ii) the Shivalik ranges, (iii) the high mountain zone constitution the Kashmirvalley, Pir Panchal range and its off-shoots including Doda, Poonch and Rajouri districts andpart of Kathua and Udhampur districts and (iv) the middle run of the Indus river comprising

    Leh and Kargil. The important rivers of the State are the river Indus, Jehlum, Chenab, Tawi,Ravi, Sheok and Zanasskar. Besides these major rivers, there are a few small rivers andstreams running through the state. These rivers facilitate irrigation to large part of the State

    1.2 HISTORICAL BACKGROUND OF THE STATE

    The state of Jammu and Kashmir which had earlier been under Hindu rulers and MuslimSultans became part of the Mughal Empire under Akbar. After a period of Afghan rule from1756, it was annexed to the Sikh kingdom of Punjab in 1819. In 1846 Ranjit Singh handedover the territory of Jammu to Maharaja Gulab Singh. After the decisive battle of Sabroon in1846, Kashmir also was handed over to Maharaja Gulab Singh under the Treaty of Amritsar.British supremacy was recognized until the Indian Independence Act 1947.

    When all the states decided on accession to India or Pakistan, Kashmir asked for standstillagreements with both. In the meantime the state became the subject of an armed attackfrom Pakistan and Maharaja acceded to India on 26th October, 1947 by signing theinstruments of accession. India approached the then UN in January 1949. Another round ofwar between the two countries in 1965 was followed by the Tashkent Declaration inJanuary 1966. Following the liberation movement in the former eastern wing of Pakistan,Pakistan attacked India in December, 1971. It was followed by the Shimla Agreement in July,1972. A new line of control was delineated bilaterally to replace the ceasefire line betweenthe two countries in Jammu and Kashmir. Kashmir has been in the centre of contentionbetween India and Pakistan ever since. Separatist movements have torn the peaceful fabricof the state for over a decade.Jammu and Kashmir's economy is predominantly dependent

    on agriculture and allied activities.[

    The Kashmir valley is also known for its sericulture andcold-water fisheries. Wood from Kashmir is used to make high-quality cricket bats,popularly known as Kashmir Willow. Kashmiri saffron is also very famous and brings thestate a handsome amount of foreign exchange. Agricultural exports from Jammu andKashmir include apples, barley, cherries, corn, millet, oranges, rice, peaches, pears, saffron,sorghum, vegetables, and wheat, while manufactured exports include handicrafts, rugs, andshawls.

    1.3 ECONOMIC PRESPECTIVE

    Horticulture plays a vital role in the economic development of the state. With an annualturnover of over Rs. 300 crore, apart from foreign exchange of over Rs. 80 crore, this sector

    is the biggest source of income in the states economy. The region of Kashmir is known forits horticulture industryand is the wealthiest region in the state. Horticultural produce fromthe state includes apples, apricots, cherries, pears, plums, almonds and walnut. The Dodadistrict has deposits of high-grade sapphire Though small, the manufacturing and servicessector is growing rapidly, especially in the Jammu division. However, industrialdevelopment in the state faces several major constraints including extrememountainous landscape and power shortage.

    The Government of India has been keen to economically integrate Jammu and Kashmir withthe rest of India. The state is one of the largest recipients of grants from New Delhi,totaling $ 812 million per year. It also has a mere 4% incidence of poverty, one of the

    lowest in the country. In an attempt to improve the infrastructure in the state, the Indiangovernment has commenced work on the ambitious Kashmir Railway project which is being

    http://www.mapsofindia.com/jammu-kashmir/history/mughal-empire.htmlhttp://en.wikipedia.org/wiki/Jammu_and_Kashmir#cite_note-SDR3A-62#cite_note-SDR3A-62http://en.wikipedia.org/wiki/Jammu_and_Kashmir#cite_note-SDR3A-62#cite_note-SDR3A-62http://en.wikipedia.org/wiki/Jammu_and_Kashmir#cite_note-SDR3A-62#cite_note-SDR3A-62http://en.wikipedia.org/wiki/Sericulturehttp://en.wikipedia.org/wiki/Saffronhttp://en.wikipedia.org/wiki/Dodahttp://en.wikipedia.org/wiki/Sapphirehttp://en.wikipedia.org/wiki/Government_of_Indiahttp://en.wikipedia.org/wiki/Kashmir_Railwayhttp://en.wikipedia.org/wiki/Kashmir_Railwayhttp://en.wikipedia.org/wiki/Government_of_Indiahttp://en.wikipedia.org/wiki/Sapphirehttp://en.wikipedia.org/wiki/Dodahttp://en.wikipedia.org/wiki/Saffronhttp://en.wikipedia.org/wiki/Sericulturehttp://en.wikipedia.org/wiki/Jammu_and_Kashmir#cite_note-SDR3A-62#cite_note-SDR3A-62http://www.mapsofindia.com/jammu-kashmir/history/mughal-empire.html
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    constructed by Konkan Railway Corporation and IRCON at a cost of more than US$2.5 billionThe Vaishno Devi yatra alone contributes Rs. 475 crore to the local economy annually

    1.4.1 KEY INDICATORS OF THE STATE

    Area in Sq. Kms. 222236*

    Agriculture Land 2416 (000ha)

    Forest Land 658 (000ha)

    Land use to non-Agri. uses 293 (000ha)

    Barren & un-cultivated land 298 (000ha)

    Total food grain (2007-08) 15707 (000 qtls)

    No. of Districts 22

    No. of Tehsils 82

    No. of C.D. Blocks 142

    No. of Panchayats (provisional) 4136

    No. of Villages 6652No. of Urban Areas 68

    No. of Urban Agglomeration 7

    Population -2001 (Census) Total Male Female

    Total 10143700 5360926 4782774

    Rural 7627062 3977652 3649410

    Urban 2516638 1383274 1133364

    Region-wise Population

    Jammu 4430191

    Kashmir 5476970

    Ladakh 236539

    Population by Religion

    Religion Total Percentage

    Hindus 3005349 29.62%

    Sikhs 207154 2.04%

    Muslims 6793240 66.98%

    Christians 20299 0.20%

    Buddhists 113787 1.12%

    Jains 2518 0.02%

    Others 1353 0.01%

    Literates Absolute

    Total Male Female

    Total 4807286 3060628 1746658

    Rural 3192078 2069618 1122460

    Urban 1615208 991010 624198Sex ratio(Female per 1000 Male)

    Total 892

    Rural 917

    Urban 819

    1.4.2.ADMINISTRATIVE SET UP

    http://en.wikipedia.org/wiki/Konkan_Railway_Corporationhttp://en.wikipedia.org/wiki/IRCONhttp://en.wikipedia.org/wiki/IRCONhttp://en.wikipedia.org/wiki/Konkan_Railway_Corporation
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    The state has administrative set up of 22 districts, 82 Tehsils , 142 Blocks. There areas many as 6652 villages and 68 urban areas besides 7 urban agglomerations.

    Districts No. of

    Tehsils

    No. of

    Blocks

    Srinagar 02 01

    Ganderbal 03 04Budgam 06 08Anantnag 06 07

    Kulgam 03 05

    Pulwama 04 05Shopian 02 02Baramulla 07 12

    Bandipora 03 05Kupwara 03 11

    Kargil 02 09

    Leh 01 09

    Jammu 05 08Samba 01 04Kathua 04 08Poonch 05 06

    Rajouri 07 08

    Udhampur 04 07

    Reasi 02 04Doda 04 08Kishtwar 04 08Ramban 02 04

    1.4.3 GROSS STATE DOMESTIC PRODUCTION IN 2009-2010

    i) Current Prices 47709.31 (Rs. in Crores)ii) Constant Price (2004-2005) 37886.92 (Rs. in Crores)

    1.4.4 SECTORAL CONTRIBUTION OF STATE GDP 2009-2010.

    i) Primary Sector 22.63%ii) Secondary Sector 29.55%iii) Tertiary Sector47.82%

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    Sectoral Wise Contribution

    Towards GDP

    30%

    47%

    23%

    Secondary Teritiary Primary

    1.4.5 LAND UTILISATION: (2008-2009)

    Classification of area (Area in Hectares)

    i) Total cropped area 2416 (thousand)ii) Net Sown area 742 (thousand)iii) Area under forests 658 (thousand)iv) Total area 1133.94 (thousand)

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    1.4.6 HORTICULTURE: (2009-2010)

    i) Area under Horticulture 3,00,700 (Hect.)ii) Production of fruits (2009-2010) 17.13 ( Lakh M.T.)

    iii) Main fruits in the State: Apple, Mango, Walnut, Almond,Pear, Cherry, apricot, Peach, Plum

    1.4.7 FORESTS:

    Area under forest (2008-2009)i.) Reserved Forest 20,230 (Sq.Km)

    ii) Protected Forest 15,410 (Sq.Km)iii)Unclassified 4,820 (Sq.Km)

    1.4.8 LIVE STOCK:

    i) Live stock population (2007-08) 1, 47,908.

    1.4.9 FISHERIES:

    i) Fishermen licensed (2008-09 13,206 Nos.(ii) Annual fish catch (Qty.) 1, 92,325(Qtls.).

    1.4.10ELECTRICITY (2009-2010)

    i) Total Potential 20,000 (MW)ii) Generated 3379.489 MW

    1.4.11EDUCATION (Up to March 2009) Govt. Sector onlyi) Universities in Jammu & Kashmir 7 Nos.ii) No of Middle School 6,621iii) No. of High/Higher Sec. Schools 2,369iii) Degree Colleges 72

    1.4.12TECHNICAL INSTITUTIONS (as on 31.3.2009)

    a) NIT 01(Srinagar)b) Engg. College. 05c) Polytechnics 12d) I.T.Is 37

    1.4.13BANKING INSTITUTIONS (As on Sept. 2008)

    i) Convener Bank J&K Bank

    ii) No. of Branches 956

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    1.5 IMPORTANT RESOURCES OF JAMMU & KASHMIR

    1.5.1 AGRICULTURE

    Agriculture is the dominant aspect of the economy of Jammu & Kashmir. Oneof the prominent occupations for the people of Jammu & Kashmir isAgriculture. 80% of the total populace of the state is dependent on agricultureas the source of revenue. Rice, Maize and Wheat is the major crops of thelocale. Jammu and Kashmir is known for its mono-cropped and rain-fedeconomy with 40% area in the Jammu division and 60% in Kashmir.

    1.5.2 HORTICULTURE

    The climate of Kashmir is favorable for the production of fruits. Production of

    fruits like apples, pears, cherries, plums, mulberry peaches, apricots, walnutsand almonds is common in the territory. About 20% of the total cultivatedarea is under horticulture crop. About 4.5 Lakh families are engaged directlyor indirectly with horticulture activities. In physical terms the area under fruitcultivation is about 3.07 lakh hectares during the year 2008-09. Production offruits was 16.91 lakh metric tones comprising of 15.30 lakh Metric Tones offresh fruits and 1.61 lakh metric tones of dry fruit. Export of fruit outside statefor the year 2008-09 as per Directorate of Horticulture (J&K) was 11.16 lakhmetric tones.

    1.5.3 FORESTS

    The effective geographical area of Jammu & Kashmir state is 101387 Sq. kms

    out of which 20230 Sq.kms is the forest area. Forest area is largely distributed

    in Kashmir valley and Jammu region where the forest cover constitutes 50.97%

    and 45.89% respectively of the geographical area. In Ladakh region whole

    forest cover accounts for less than 1% i.e is only 0.06%

    1.5.4 HYDRO POWER

    Power holds a key to any developmental effort. It is an essential component for

    sustained economic growth and commensurate growth in power supply isrequired to ensure that economy keeps growing. The gradual increase in the

    demand of power means the economy is growing and is leading to

    modernization, Industrialization and improvement in basic amenities

    culminating into quality of life. Jammu & Kashmir has immense potential for

    development of hydraulic power. The estimated hydro power of the state is

    20,000 Mws of which 16480 Mws have been identified. Out of the identified

    potential only 1478.70 Mws or 9% have been exploited till the end of the

    10th five year plan. Some important Hydro Power Projects of Jammu &

    Kashmir are given below:

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    Name of Power House Configuration Installed Capacity in MW

    STATE SECTOR

    Jhelum River Basin

    Lower Jhelum 3 x 35 105

    Upper Sindh I 2 x 11.3 22.6

    Ganderbal 2 x 3 x 2 x 4.5 15

    Upper Sindh II 3 x 35 105

    Pahalgam 2 x 1.5 3

    Karnah 2 x 1 2

    Chenab Basin

    Chenani-i 5x4.66 23.30

    Chenani-ii 2x1 2

    Chenani-iii 3x2.5 7.50

    Bhaderwah 2x0.5 1

    Baglihar 3x150 450 (2 units commissioned)

    Ravi Basin

    Sewa-III 3x3 9

    Indus Basin

    Iqbal 3x1.25 3.75

    Hunder 2x0.20 0.40

    Sumoor 2x0.05 0.10

    Igo-Mercellong 2x1.50 3

    Haftal 2x0.50 1

    Marpachoo 3x0.25 0.75

    Barzo 2x0.15 0.30

    Stakna (with J&KPDD) 2x2 4

    Central Sector

    Salal HEP 6x115 690

    Uri-I 4x120 480

    Dul-Hasti 3x130 390

    Total 1560

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    1.5.5 TOURISM

    Tourism plays a key role in the economic development of the State. The

    number of tourists visiting Kashmir valley has shown a persistent increase

    upto nineteen eighties. The flow of tourists decreased because of turmoil,

    particularly in 1990s. The Jammu and Kashmir state has tremendous potential

    for developing tourism. The slopes available at Sonamarg, Pahalgam and

    Gulmarg provide scope for development of winter tourism. Bestowed with

    rich scenic beauty, the snow capped forests in winter draw a great chunk of

    Tourists from all over the world to Gulmarg the high altitude resort of Kashmir

    valley.. The state govt. too is devoting full attention for developing sufficient

    infrastructure to boost the tourist trade in the state. Tourism has a multiplier

    effect on income, employment generation and gives tremendous fillip to the

    economy. The revival of tourist trade can be assessed by the increasing

    number of tourists, both Indian and non-Indian to the state. The state has

    three distinct niches, while leisure tourism is available in Kashmir valley,

    Pilgrim tourism in Jammu and Ladakh has the potential to offer adventure

    tourism

    1.6 INDUSTRIAL PROFILE OF JAMMU & KASHMIR STATE

    J&K has not been able to attract investments in this sector and remained anindustrially backward state due to its unique economic disadvantages arising out ofremoteness and poor connectivity, hilly and often inhospitable terrain, weakresource base, poor infrastructure, sparse population density, shallow markets andmost importantly the political uncertainty. Moreover the natural factors are moreconducive for handicrafts, village and Small Scale Industries and less to large andheavy industries. Nevertheless, despite all odds and limitations the Jammu&Kashmir State is on the path of industrialization in a modest way. Many small andmedium-scale industries have come up basically in the traditional sectors along withsome new areas like food processing, agro-based units and metallic and non metallicproducts. Besides, due to saturation of employment opportunities in thegovernment/traditional non-governmental sectors like Agriculture, Industrial sectorhas been declared as the main vehicle for accelerating economic tempo besidesproviding employment to the educated unemployed youth in the StateIndustrial development always remains a thrust area in the Government agenda.Governments endeavor is to provide efficient and cost effective infrastructure,

    skilled human resources, stable environment and good governance which are thepre-requisites for creating a proper investment environment for sustainableindustrial growth. Dispersal of industries to the 266 underdeveloped areas in thestate through creation of necessary infrastructure and providing financial /fiscal

    incentives is focused. In the perspective of industrial growth, Industries andCommerce Department has been established with a well knit system for carrying its

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    activities effectively. The Industries and Commerce Department is concentrating toattract investment in the State for developing world class infrastructure to achieveobjectives like:

    1. To explore available resources in the State.2. To create conducive industrial employment.3. To promote labor intensive industries to lessen the pressure on

    unemployment market in the State.4. To improve industrial performance by providing necessary inputs so as to

    reduce the dependence of the State on imports.The department is focusing on key sectors like food processing, pharmaceuticals,biotechnology, textiles, sports goods, information technology etc. to accelerateindustrial growth in the State. Industrially, J&K State is lagging behind and occupiesthe place on the lowest side when compared to other states of the union India. Theindustrial sector of the State is confined to small scale & medium industries. The

    large-scale & heavy industries do not exist in the State. This sluggish industrialgrowth is mainly attributing to lack of sufficient infrastructure and considering theextreme geographical location of the State. The cost of raw material & transportation

    adds to manufacturing cost, thereby making the J&K products uncompetitive. Thenumber of small scale industrial units as on 31.03.2008 registered withthe State Directorate of Industries & Commerce has reached to forty seventhousands providing employment opportunities to 2.32 lakh people. Theavailability of land is a major constraint in developing new industrialestate.

    State Package

    Fiscal Incentives

    100 percent subsidy on purchase of new Diesel Generating sets.

    100 percent subsidy on project report and quality testing equipment.

    75 percent subsidy on Research and development. 3 percent interest subsidy on working capital.

    5 percent rebate on interest on term loan for technocrats. Special incentive for brand promotion and modernisation267

    Land and Power at concessional rates.

    30 percent capital investment subsidy on land, building and plant andMachinery.

    Tax Incentives

    Toll tax exemption on import of raw material and export of finishedproducts.

    CST exemption

    VAT remission

    Stamp duty exemption

    Central Package

    Fiscal Incentives

    15 percent subsidy on capital investment on plant and machinery.

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    3 percent interest subsidy on working capital.

    100 percent insurance cover to Industrial units.

    90 percent Transport subsidy

    Tax Incentives

    100 percent excise refund

    Total income tax exemption

    INDUSTRAIL INFRASTRUCTURE

    Infrastructure development serves as an engine for industrial development and callsfor continuous attention of the Government. Planning and development of IndustrialEstates / Infrastructure in the perspective of industrial growth is the major functionof the Directorate of Industries and Commerce. The department of Industries and

    Commerce has 51 existing Industrial estates in the State under the control ofDirectorate of Industries and Commerce and SIDCO/SICOP. These Industrial Estatesare spread over an area of 27718 Kanals of land . In addition to above industrialestates 17 new Industrial Estates/expansion of the existing ones, spread over anarea of 11187 kanals of land are being developed which are at various stages ofdevelopment/implementation.

    IINDUSTRAIL GROWTH CENTERS

    State of J&K has got two growth centers one each located in Jammu province atDistrict Samba and in Kashmir province located adt Lassipora District Pulwama.

    Industrial Food Park

    Industrial food park has been established at Khunmooh District Srinagar andDoabegah District Sopore with the assistance of Ministry of food processing InKhunmooh the land provided to 44 Industrial units. 15 industrial units are inproduction, The food park at Doabegah is to come up with project outlay of Rs 950Lacs

    UPCOMMING INDUSTRIAL INFRASTRUCTURE

    a. Industrial Estate Ompora, Budgam:

    Steps are being taken for development of 1000 kanals of land at Ompora asan industrial estate.

    b. Industrial Estate, Ghatti, Kathua:

    About 3500 Kanals of land have been transferred to J&K SIDCO forestablishing an industrial estate at Ghatti in Kathua district. The necessarydevelopmental plans have been chalked out and the works on the project are

    being started immediately. There is a pending demand for allotment of 1019

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    kanals of land from 17 industrial houses which have already been cleared bythe Apex Projects Clearance Committee of the state.

    c. Industrial Estates, Khunmoh, Phase -III:

    About 1000 kanals of land have already been handed over to SIDCO lastyear, however, the development work of said industrial estate could not be taken upfor execution as the payment of some of the land owners had not been made by theRevenue Authorities as the result of which the owners of the land did not allow anyworks to be executed on the project. The said issues have now been settled and thecorporation is in the process of framing of developmentalplan for the project.

    D SILK TECH PARK ZAKURA

    E IID CENTER GOVINDSAR DISTRICT KATHUA

    F TEXTILE CITY AT KATHUA

    There is proposal to set up TEXTILE CITYat Kathua. This city will be first of its kindin the country. In the proposed Textile City, 239 proposed units would be engaged incotton, silk and wool with a thrust on export. The proposed textile city spread over

    an area of 6.000 Kanals with an investment of 197 Crores and it is expected togenerate employment to 55,000 persons. The State Government is planning toproduce high-tech milk processing and marketing in collaboration with the GujratCooperative Milk Marketing Federation. The consumer now will get good quality ofmilk through an organized cooperative network along the lines of Amul in Anand(Gujrat) after the completion of this project. The project envisages increasingprocessing capacity of two milk processing units of Chashma Shai in Srinagar &Satwari in Jammu from existing 20000 ltrs to one lakh ltrs per day.

    1.7 INSTITUTIONAL SUPPORT AND INFRASTRUCTURE AVAILABLE

    1.7.1 MICRO, SMALL & MEDIUM ENTERPRISES DEVELOPMENT INSTITUTE

    Micro Small & Medium Enterprises Development Institute (MSME-DI)J&K Jammuformally known as Small Industries Service Institute {SISI} Jammu is the field officeof SIDO in J&K State. It has a Br. SISI (Workshop) at Industrial Estate, Digiana,Jammu. These Institutes provides a number of services to the small scale industry inthe state. The main functions of the Institutions are to extend Techno-economic-managerial constancy to the existing and prospective entrepreneurs. They also

    extend various types of training programmes to develop entrepreneurship and Skill

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    development. Necessary back-up supports for all industrial development activitiesare also extended to all DICs in the State.

    The main functions of the MSME DI , Jammu are as under:

    Technical constancy. Preparation of project profiles.

    Conducting of Techno-economic studies.

    Preparation of State Industrial Profile and District Potentiality SurveyReports.

    Organizing seminars/Exhibitions to update

    Conduction Entrepreneurial Development Programmes/MotivationalCampaigns. .

    Export promotion.

    Sub-Contract Exchange (SCX).

    MSME DI Srinagar , Camp Jammu has a workshop at I/E Santnagar, Barzulla,Srinagar & Branch MSME DI Jammu has a workshop at Industrial Estate,Digiana, Jammu. Both the workshops undertake the job work in the field ofTurning, Machining, Lathe works etc. It also provides 6 months Training inthe trades of Fitter, Machinists Trades, etc.

    INDUSTRIAL ESTATES IN THE STATE OF JAMMU & KASHMIR

    UNDER THE CONTROL OF SMALL INDUSTRIAL DEVELOPMENT CORPORATION

    (SICOP)

    S.No Name ofDistrict Name of IndustrialEstate Area No. of Sheds No. of Units

    Kanals Govt.sheds

    Pvt.Sheds

    Functi-onal

    Non Fun-Ctional

    1 2 3 4 5 6 7 8

    A. Kashmir Division

    1 Srinagar Indl./Estate Zakura 128 0 0 7 46

    - do - Zainkote 525 0 0 37 84

    2 Anantnag - do - SportsGoodsComplexBijbehara

    206 0 0 0 0

    Total A 859 0 0 44 130

    B. Jammu Division1 Jammu Indl./Estate Gangyal 988 0 0 184 66

    - do - Birpur 306 0 0 64 12

    2 Udhampur - do - BattalBallian

    1051 0 0 3 0

    3 Kathua - do - Kathua II 417 0 0 29 81

    Total B 2962 0 0 280 81

    Total Jammu & Kashmir (A + B) 3621 0 0 324 211

    INDUSTRIAL ESTATES IN THE STATE OF JAMMU & KASHMIR

    UNDER THE CONTROL OF STATE INDUSTRIAL DEVELOPMENT CORPORATION

    (SIDCO)S.No Name of

    DistrictName of Industrial Estate Area No. of Sheds No. of Units

    Kanals Govt. Pvt. Functi- Non Fun-

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    sheds Sheds onal Ctional1 2 3 4 5 6 7 8

    A. Kashmir Division

    1 Srinagar Indl./Estate Khanmoh 1104 0 0 6 39

    - do - Shalteng 105 0 0 19 72 Budgam - do - Rangreth 1152.19 0 0 16 30

    EPIP Ompora 1000 0 0 0 03 Pulwama - do - Lethpora 168 0 0 0 3

    - do - Lassipora 6300 0 0 2 24 Baramulla - do - Doabgah 152 0 0 0 0

    Total A 9981 0 0 43 81

    B. Jammu Division

    1 Jammu Indl./Estate BariBrahmana

    5240 0 0 174 22

    I.G.C Samba 1882 0 0 0 0

    EPIP Kartholi 1000 0 0 0 0

    2 Kathua I.C Kathua 209 0 0 0 0

    Total B 8331 0 0 174 22

    Total Jammu & Kashmir (A + B) 18312.19 0 0 217 103INDUSTRIAL ESTATES AT VARIOUS LOCATIONS IN JAMMU & KASHMIR

    UNDER THE CONTROL OF DIRECTORATE OF INDUSTRIES AND COMMERCE, J & K GOVT.

    S.No Name ofDistrict

    Name of Industrial Estate Area No. of Sheds No. of Units

    Kanals Govt.sheds

    Pvt.Sheds

    Functi-onal

    Non Fun-Ctional

    1 2 3 4 5 6 7 8

    A. Kashmir Division

    1 Srinagar Indl./Estate B.A.M.K 144 10 90 79 27

    - do - Ganderbal 21 6 21 7 21

    - do - Duderhma 85.6 0 0 0 0

    2 Budgam - do - Barzulla 102 54 0 40 143 Anantnag - do - Anantnag 51.8 26 17 26 13

    - do - Kulgam 19.8 8 0 0 8- do - Anchidora 86.7 0 28 14 14

    - do - Bijbehara 27 8 8 4 44 Pulwama - do - Pulwama 24 8 0 1 3

    - do - Shopian 62.18 19 0 1 5

    - do - Chathpora 96 0 0 0 0

    5 Baramulla - do - Baramulla 58 9 15 14 9- do - Sopore 82 10 11 6 15

    - do - Sumbal 45 12 3 3 8

    - do - Bandipora 16.2 5 0 0 5

    6 Kupwara - do - Kupwara(Branwari) 15.1 0 3 1 2

    - do - Kupwara(Handwara)

    105.12 0 0 0 0

    7 Leh - do - Leh 237 0 0 21 36

    8 Kargil - do - Chencik 116 0 14 7 7

    Total A 1394.2 175 210 224 191

    B. Jammu Division

    1 Jammu Indl./Estate Digaina 137 78 38 56 33

    - do - Jammu Cantt 96 3 31 32 3

    - do - Akhnoor 29.15 8 7 10 5

    - do - Samba 20 12 4 4 02 Udhampur - do - Udhampur 49.4 9 10 11 8

    - do - Reasi 25 0 0 0 0

    3 Kathua - do - Kathua I 376.8 14 77 60 17

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    - do - Hiranagar 20.6 12 2 4 3- do - Bilawar 53.18 0 0 0 0

    4 Doda - do - Sangrambata 42.15 0 0 0 0

    5 Rajouri - do - Kheora 51.17 22 21 9 0

    6 Poonch - do - Poonch 26.7 0 19 13 6- do - Ext. Area

    Poonch

    9.17 0 3 2 1

    Total B 938.7 158 212 201 76

    Total Jammu & Kashmir (A + B) 2332.9 333 422 425 267

    1.7.2 NATIONAL SMALL INDUSTRIES CORPORATION (NSIC)

    The National Small Industries Corporation (NSIC) was established in 1955 withprimary function of helping the small scale entrepreneurs by providingmachinery both Indigenous and Imported on hire purchase basis. It also providedinstitutional marketing assistance by enlisting small-scale units for participation

    in Govt. Stores purchase programme. NSIC has introduced some years back asingle point registration scheme with a view to avoid multiplicity of registrationof small-scale units with various Govt. Agencies. The MSME DI is maintainingclose liaison with NSIC for promotion of Small-Scale industries in the state.

    1.7.3. SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA (SIDBI)

    Small Industries Development Bank of India (SIDBI) is an apex Bank forSmall-Scale Industries Extends assistance to SSI Units through various schemes.The main activities of SIDBI are:

    Refinancing of loans and advances extended by the Primary lendinginstitutions to industrial concerns in the small scale sector

    Extension of seed capital/soft loan assistance under National Equity Fund,Mahila Udyam Nidhi and seed capital scheme through specified lendingagencies.

    Granting direct assistance as well as refinancing of loans extended byprimary lending institutions for financing export of products manufacturedby industrial concerns in the small-scale sector.

    Extending financial support to National Small Industries Corporation forproviding leasing Hire purchase and marketing support to SSI units.

    .1.7.4. KHADI AND VILLAGE INDUSTRIES COMMISSION (KVIC)

    KVIC is a central Govt. Organization and is working for the developmentof Khadi and Village industries in the country. It prepares all the policies andprocedures to be adopted for the development of Khadi and Village Industries. It

    provides grants to banks, which in turns are financing to Khadi units. Under KVICloans are to be provided both for institutional and individuals. In J&K, the main

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    objective of KVIC is to generate rural employment by way of encouraging Khadi& Village Industries. In J&K State there are two KVIC offices working one atSrinagar and other at Jammu. To boost up self-employment opportunities inrural area of the state a new programme is being implemented known asNational Programme on rural Industrialization in which office of the

    Development Commissioner will also participate. KVIC has identified certaincluster group of industries as a first step for implementing for this programme.

    1.7.5. NABARD

    The National Bank for Agricultural and Rural Development is also playingan important role for the development of Small Scale Industries by way of directand indirect financing especially for agro-base industries. It has a number ofschemes for financing rural industries.

    1.7.6. DIRECTORATE OF INDUSTRIES

    Directorate of Industries, which is located at Jawaher Udyog Bhavan , RailHead Complex , Jammu & opposite Partap Park, Srinagar is the Head office of allthe DICs and is responsible for industrial development of the State. It ismaintaining all the industrial activities through different state Govt. offices,corporations. Directorate of Industries is implementing all the policies of theState Government for industrial development through District IndustriesCenters. There are two Directorate offices one at Jammu and the other atKashmir responsible for development of industries in Jammu & Kashmir regionsrespectively.

    1.7.7. DISTRICT INCUSTIES CENTER

    There are 22 district in the state and the entire district is covered underthe plan of District Industries Center. In DIC, General Manager is the Head of theOffice and is assisted by Assistant General Manager and Project Manager for dayto day office matters for the development of industries in the district. The mainactivities of DICs are registration of units, sanction of subsidy, implementation ofPMEGP scheme etc. A list of address of all the DICs are Annexed at the end of theREPORT.

    1.7.8. J&K STATE FINANCIAL CORPORATION

    J&K State Financial Corporation was established with an objective ofindustries especially for acquiring fixed assets The nature of scheme underwhich financial assistance is provided by S.F.C. as follows:

    Composite Loan: Composite loans given for establishing cottage/tiny units. Itdoes not require any guarantee for financial assistance by S.F.C.

    Long Term Loan: Long Term Loans are to be provided for purchase of land,building and machinery both large and small scale industries could avail thisfacility for acquiring fixed assets in the from of term loan.

    Scheme for Rehabilitation of Sick Industrial Units: Any sick unit viable forrevival with in a reasonable period of time is eligible for assistance under this

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    scheme. Besides the above, scheme, there are separate schemes for womenentrepreneurs, physically handicapped and for ex-servicemen.

    Modernization Scheme: Under the Modernization scheme, industrial unitswhich are in existence for more than 5 years are eligible for assistance,provided that proposals for the assistance should establish the need for

    Modernization.

    1.7.9. J&K CONSULTANCY ORGANIZATION

    J&K ITCO was established as a joint venture of IDBI, IFCI, ICICI, forproviding technical constancy for starting industries in large medium and small-scale sectors. The assistance rendered by J&K ITCO is as Follows:

    Services in promotion of new industries and diversification/Modernization ofexisting industries.

    Identification of feasible and profitable schemes in the small medium andlarge sector

    Conducting of Techno-economic feasibility studies.

    Conducting special studies in respect of certain specified group of industrieslike cluster studies.

    Conducting entrepreneurial development programmes.

    Preparation of reports for revival of sick units.

    1.7.10 KHADI & VILLAGE INDUSTRIES BOARD (KVIB)

    The Khadi & Village Industries Board is a statutory body mainly intended forplanning, organizing and implementation of programmes for the development ofKhadi and village industries. KVIB has its offices in all the district of J&K State. TheBoard provides financial assistance to the artisans, co-operative societies andinstitutions in the rural areas for starting Khadi & Village industries. The rate ofinterest charged by KVIB for village industries is very nominal and there is nointerest on loans for Khadi. KVIB finances only to those units, which are to set upin rural areas of the state only. The activities eligible for assistance by the Boardare village leather industry, village oil industry, black smithy and carpentry, bee

    keeping, fiber industry, willow wicker, soap, fruit preservation, cottage match,gur, khand and lime, etc. The office of the KVIB is located at Amphala, Jammu

    1.7.11 SMALL INDUSTRIES CORPORATION (SICOP)

    J&K Small Scale Industries Development Corporation Ltd. Was establishedin 1975 with the main objective of aiding, assisting and promoting SSI sector inthe state of J&K. The main activities of SICOP for the development of industries inJ&K area:

    To aid, council assists, finance, protect and promote the interests of small-scale industries in the state.

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    To undertake procurement and distribution of various raw materialswhether imported or indigenous for supply to the SSI units.

    To set up and manage raw material depots.

    To work as stockiest in the state for Iron and steel materials, chemicals, etcand to supply for the industrial units.

    To undertake and provide marketing facilities to small-scale industries in thestate.

    To acquire land for development of industrial states with a view to providingbasic infrastructural facilities.

    And to maintain quality control testing centers for ensuring standard qualityof industrial products.

    Raw material supply:

    At present SICOP is engaged in procurement and distribution of the

    following raw materials to the SSI Units of the state. Iron and steel material from SAIL.

    Plastic granules of different grades from IPCC.

    Paraffin wax from IOC.

    Structural steel.

    Raw rubber and Chemicals.

    Steam coal from coal India Ltd.

    Wire rod from steel Authority of India.

    Cement.Another important activity of the corporation is development of industrial

    estates. The details of the Industrial Estate developed and maintained by SICOPare given in Annexures

    The Corporation has set up two testing centers in each Industrial estate,Gangyal Jammu and other at Industrial Estate, Zinakote, Kashmir. These Centersare well equipped with required machinery. Besides these centers, thecorporation is planning to set up mini testing centers at major districts of theState.

    The MSE Units, which are interested to avail the marketing facility ofSICOP, are to be registered first with SICOP. The corporation made efforts toprocure supply order on behalf of SSI Units from industry departments and other

    agencies within and outside the State.

    The important products marketed through SICOP are given below:

    - Wire products.- Structural steel items- AAC/ACSR conductors/Distributions Transforms.- Steel & Wooden furniture.- Fabrication items,- Insecticides and pesticides.- Angle Iron Poles, etc,- Water fittings.- PVC cable, storage tanks, located abrasives

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    - Electrical appliances.

    SICOP also provides financial assistance under marketing assistancescheme for the procurement of raw material for the execution of the supplyorders to be executed through SICOP. Under this scheme, financial assistance to

    the tune of 75% of the value of the supply order is released to the supplier of rawmaterial at the request of SSI unit after fulfilling some formalities.

    1.7.12 STATE INDUSTRIAL DEVELOPMENT CORPORATIONS (SIDCO)

    SIDCO was established in 1976 for the development of industries in theState. It is one of the main sources of providing term finances to the industries inJ&K. The main activities can be broadly classified as follows:

    1. To acquire land and establish industrial development areas and industrialestate.

    2. To provide and maintain infrastructural facilities in the Estates like power,roads, sheds, water supply, and communication facilities.

    3. To identify and develop potential growth centers in the state.4. To provide term loan assistance through different schemes.5. To develop industrial parks.

    The Bari Brahamana Industrial Estate was developed by SIDCO in an area of5240 Kanals. This is the well-developed Indl. Estate and almost all the importantindustries are located in this Indl. Estate. Besides, the development of BariBrahmana, Indl. Estate, SIDCO has also established Export promotion industries

    parks (EPIP) in all-important commercial centers of the state. The industrialEstates developed by SIDCO in J&K State is discussed in Chapter VII.

    J&K SIDCO is the nodal agency for developing food-processing industries in J&Kstate {AGRICULTURE PROCESSED FOOD PRODUCTS EXPORT DEVELOPMENTAUTHOUEITY (APEDA)}. It is implementing various schemes for thedevelopment of the food processing in the state by providing financial assistance.

    INCENTIVES TO INDUSTRIES IN JAMMU & KASHMIR

    The Government has notified a comprehensive package of incentives for the State of

    Jammu & Kashmir as part of a New Industrial policy for the State. The notificationdated 14th June 2002 issued by the Department of Industrial policy & promotion,Ministry of Commerce and industry, states that Keeping in view the fact the State of

    Jammu & Kashmir lags behind in industrial development, a need has been felt forstructured interventionist strategies to accelerate industrial development of theState and boost investors confidence. The new initiatives would provide the

    required incentives as well as an enabling environment for industrial development,improve availability of capital and increase market access to provide a fillip to theprivate investment in the State.

    The package provides major fiscal incentives to new industrial units and substantial

    expansion of existing units whereby new industrial units under expansion set up ingrowth Centre, industrial infrastructure development centers and other locations

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    like industrial estates, parks, Export processing Zones (EPZs), commercial estates,etc, are entitled to 100% excise duty exemption for a period of 10 years from thedate of commencement of commercial production. All new industries in the notifiedlocation would be eligible for capital investment subsidy @ 15% of their investmentin plant & machinery, subject to a ceiling of Rs. 30 lakh. The existing units will be

    entitled to this subsidy on substantial expansion, as defined. An interest subsidy of3% on the working capital loan would be provided to all new industrial units innotified locations for a period of 10 years after commencement of commercialproduction. This benefit would also be extended to existing units in notifiedlocations on expansion, as defined, as well as to notified thrust industries.

    The insurance premium to the extent of hundred per cent on capital investment for aperiod of 10 years would be extended by the Central Government to all new unitsand to existing units on substantial expansion. Further, the present income taxexemption would continue as per the existing dispensation applicable to Jammu &Kashmir. The State Government may consider extending sales tax exemption to theunits, which avail of concessions under this policy.

    The financing pattern for development of integrated industrial infrastructurewill change from 2:3 between Government of India (Gol) and Small IndustriesDevelopment Bank of India (SIDBI) to 4:1 and the Gol funds would be in the natureof a grant, so as to provide the required infrastructural support.

    Other incentives include assistance for Design-cum-resource Centre for footwear &leather Industry, leather goods and shoes as well as items of fur which are beingmanufactured in the Small Scale Industry/Tiny sector traditionally in Srinagar and

    Jammu. The central Government would make an initial contribution of Rs.1 crore asgrant for setting up a Design/Resource Centre and National leather DevelopmentProgramme (NLDP) which would provide assistance for machinery, training andsalaries of professional. Under the National Development Programme (NLDP) ,exclusive assistance would be provided to market finished leather products of theartisans of the State in the form of buyers sellers meet and exhibitions.

    The Ministry of Textiles will extend their package of assistance as applicable to theNorth- Eastern Region, to the State of Jammu & Kashmir on the same terms andconditions. According to the notification, Jammu & Kashmir Development FinanceCorporation (JKDFC) will be set up by the Central Government with a one timeprovisions of Rs. 50 crores on the lines of North East Development FinancialCorporation. This corporation will provide term loan, working capital and otherinfrastructural support in the State of Jammu & Kashmir on the lines of NEDFI in theNorth East.. JKDFC would be designated as the Nodal Agency for routing thesubsidies/ incentives under various schemes notified under this policy.

    The above concessions / subsidies will be available to all new units / existing industrialunits on their substantial expansion, in the notified industrial areas b the CentralGovernment and thrust industries irrespective of location.

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    THRUST AREAS

    S.No.

    Activity

    1 Food Processing and Agro-Based Industries ( excluding conventionalgrinding / extraction units ) such as :Sauces Ketchup, etc.Fruits Juices & Fruit pulp

    Jams Jellies, Vegetable Juices, Puree, Pickles etc.Fruit Waxing Packaging Grading

    2 Leather Processing and Leather Goods

    3 Tissue Culture

    4 Silk Reeling Yarn & Yarn Spun from Silk Waste Woven Fabric of Silk orSilk waste

    5 Wool and Woven Fabric of Wool

    6 Woven Fabrics of Cotton

    7 Floriculture

    8 Medicinal Herbs- Processing9 Green House only Ladakh

    10 Computer Hardware / Electronics ( Integrated Circuits and MicroAssemblies)

    11 Sports Goods & Articles and Equipment for General Physical Exercise

    12 Auto Ancillaries

    13 Eco Tourism Hotels, Houseboats, Resorts, Adventure and LeisureSports, Amusement Parks, Cable Car. Guest House only Ladakh

    14 Handicrafts

    15 Precision Engineering16 Exploration of Minerals

    According to the Notification, the ineligible industries under the policy are:Cigarettes / Cigars of Tobacco, Manufacture Tobacco and Substitutes, distillation /Brewing of Alcoholic Drinks and manufacture of branded Soft Drinks and itsConcentrates i.e. these industries are excluded for the purpose of concessions underthis policy.

    1.8 PACKAGE OF INCENTIVES:-

    1.8.1 CAPITAL INVESTMENT

    Capital Investment shall mean and include investment on land/premium on

    leased land, cost of all civil engineering works including buildings and sheds, costof plant and machinery, cost of installation of plant and machinery, control

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    panels, quality control equipment, cost of consultancy during the execution ofproject and cost of technical know-how.

    1.8.2 EFFECTIVE STEPS

    Effective stepsmeans one or more of the following steps

    That 10% or more of the capital issued for the industrial unit has beenpaid up.

    That any part of the factory building required for manufacturing activityhas been constructed.

    That a firm order has been placed for any plant and machinery requiredfor the industrial unit.

    1.8.3 EXISTING STEPS

    Existing unit means an industrial unit, which had gone into trial/commercialproduction prior to 01-02-2004

    1.8.4. FIXED CAPITAL INVESTMENT

    Fixed capital investment means investment in land, building, plant andmachinery.

    1.8.5. GOVERNMENT

    Governmentmeans Government of Jammu & Kashmir.

    1.8.6. INDUSTRIAL BACKWARD BLOCKS

    Industrial Backward Blocks means the blocks with boundaries to be notified by the

    State Government

    1.8.7. NEW INDUSTRIAL UNITS

    New industrial unit means an industrial unit which has started/gone intotrial/commercial production after 31-01-2004 and is formally registered.

    1.8.9 PRESTIGIOUS UNIT

    Prestigious unit means an unit having capital investment of Rs.25 Crores orabove and declared as Prestigious unit by the State Level Committee I

    constituted for sanctioning Capital Investment Subsidy.

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    1.8.10 SUBSTANTIAL EXPANSION

    Substantial Expansion means an existing unit which increases its installedcapacity, with prior approval of competent authority, in terms of the relevantGovernment of India notification.

    1.8.11 ELIGIBILITY

    All existing and new industrial units unless otherwise explicitly providedin this package and subject to fulfillment of such requirements as may bespecified by the Government from time to time shall be eligible for theincentives.

    Provided that wherever an identical scheme of Government of India

    exists, the unit would draw the incentives from Government of Indiascheme first, if eligible. The balance amount of the incentives, if any,under the State Government scheme would be sanctioned if otherwiseeligible under the state scheme.

    The incentives under this policy are provided under the discretionarypowers of the State Government. The Sate Government may decide toamend, alter, delete or revise any or all of the incentives notified underthis policy and no claim on account of such a decision will be entertained.

    The Industrial Policy shall cover all the new industrial units that may be

    established in the State. In respect of units where the promoter may havetaken effective steps for implementation of the project as on 01-02-2004and as such may claim to avail incentives under the old package whichwas in force immediately before announcement of this policy, he will begiven option to do so. However, such option shall have to be explicitlycommunicated to the Director, I&C within 3 months of announcement ofthis policy. This option shall, however, be not applicable to tax relatedincentives, for which the new policy will apply.

    1.8.12 LAND ALLOTMENT

    The government shall allot land on long lease of 90 years in the industrial estatesand developed areas on first come first serve basis. In case of large arearequirements, land may be acquired in specific locations selected by theentrepreneur, and allotted on lease.

    The allotment of land/industrial plots/sheds and flats shall be on lease basis fora period of 90 years.

    The rent charged for the period of lease shall be invested in maintenance offacilities in the industrial estate. In case of lands outside the industrial estates,where no maintenance is required to be done by any Government Agency, only anominal lease rent shall be chargeable if the entire expenditure on the cost ofland and its development has been incurred by the promoter

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    Premium rates shall be notified by the Government from time to time and shallnot change after the land has been allotted to the promoter and a lease deedsigned by him after paying the amount of premium. The current rates ofpremium are as follows:

    S.No. Name of the Districts Rate of Premium

    1 Jammu, Udhampur , Samba, Kathua,Srinagar, Budgam , Anantnag,Pulwama

    a) Rs. 2 Lakh per Kanal for plotnot exceeding 4 Kanal

    b) Rs. 3 lakhs per Kanal for aplot exceeding 4 Kanals .

    2 Poonch, Rajouri, Doda, Kishatwar ,Reasi, Ramban, Ganderwal,Baramulla, Kulgam, Kupwara,Bandipora, Shopian , Leh & Kargil

    a) Rs. 1 Lakh per Kanal forplot not exceeding 4 Kanals

    Rs. 1.5 Lakh per Kanal for plotexceeding 4 Kanals.

    A rent of Rs 3000/- per Kanal will be charged for existing as wellfuture alottees.

    For this purpose the industrial estates/growth centres/export promotion parks etc.have been classified as follows :A CLASS

    Bari Brahmana, Kartholi, Gnagyal, Birpur, Digiana, Zainakote, Barzulla, and Baghe-Ali-Mardhan Khan.B CLASS

    Rangreth, Khunmoh, Zakura and Kathua.C CLASS

    All other Estates which are not included in A&B class above.d) Land allotment on lease shall be transferable subject to some stipulations and alsosubject to the condition that the transferee shall not use the land for any purpose other thansetting up or running another industrial unit in the area with due statutory clearances.

    1.8.13 CAPITAL INVESTMENT SUBSIDY (CIS) & FINANCIAL SUPPORT ON

    INVESTMENT

    1. Government of India has announced a new scheme of capital investment subsidyfor the State of Jammu & Kashmir. The existing Capital Investment Subsidy (CIS) ofthe State government shall stand replaced by the Government of India scheme for

    CIS.

    2. In the Industrially Backward Blocks, which will be notified separately, theexisting state government scheme would continue. However, in such Blocks theindustrial units will first draw CIS of the Government of India scheme, if applicable.Balance amount, if any, as per State Government scheme would be sanctioned bythe competent authority, if other-wise eligible under the state scheme.

    3. In such locations (which do not fall within backward blocks) where the CIS schemeof GOI does not apply, the State Government will extend the benefits as per thenorms of Central Scheme.

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    1.8.14 CIS APPLICABLE TO THE NOTIFIED BACKWARD BLOCKS OF THE STATE

    a) CIS shall be available if the item of manufacture does not figure on thenegative list.

    b) CIS shall be available to the new SSI, Medium and Large units, @ 30% of thecapital investment subject to upper limit of Rs.30 lakhs

    c) In case of prestigious unit, the upper limit of CIS shall be Rs. 60 lakhs.

    d) In case of the thrust areas, the upper limit of the CIS shall be Rs.45 lakhs andRs. 75 lakhs in case the unit also falls in the prestigious category.

    In areas where CIS under the central scheme is available the Government doesnot want to place the thrust area units, prestigious units and prestigious units inthrust areas in a disadvantageous position. In such areas if the eligible amount ofCIS under the central scheme exceeds Rs.30 lakhs for an industrial unit, which ismaximum limit under that scheme, the State Government shall provide theamount exceeding Rs.30 lakhs subject to a ceiling of Rs.15 lakhs, Rs.30 lakhs andRs.45 lakhs, in case of thrust area units, prestigious units and prestigious units inthrust areas, respectively.

    In the entire state, 75% subsidy shall be allowed on cost of construction of a

    captive tube-well or building a captive water lifting plant incurred by aprestigious unit in any of the thrust areas. The maximum amount of subsidy shallbe Rs.22.50 lakhs. This shall be in addition to the financial limits for CISprescribed above.

    1.8.15 MODERNISATION OF EXISTING UNITS

    With a view to encourage expansion of existing small scale industrial units, toenable it to achieve higher productivity, energy efficiency and betterenvironment protection, and thus improve its sustainability in the competitiveenvironment, capital investment subsidy of the state government will be

    applicable to such units all over the state subject to a limit of Rs.30 lakhs. Unitsavailing incentives under the definition of substantial expansion shall not be

    entitled to this. Application for expansion must be submitted to the Director,Industries and Commerce, in the prescribed form, obtainable from his office andonly after the scheme is approved by a committee consisting of PrincipalSecretary (Finance), Principal Secretary (Planning) and Principal Secretary(Industries and Commerce), the applicant shall commence work thereon.Approval and disbursement of the incentives will be done on the same pattern asthe CIS of the state government.

    1.8.16 BRAND PROMOTION

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    In order to help such manufacturers of consumer products who are in a highlycompetitive market, the government will provide assistance to them inpromoting brands within and outside the state. The assistance will be in theshape of subsidy at the rate of 50% of expenses incurred in the first year subjectto a limit of Rs.20 Lakhs, 30% of expenses incurred in the second year, subject to

    a limit of Rs. 15lakhs and 10% of expenses incurred in the third year subject to alimit of Rs.10 lakhs. Application is prescribed form obtainable from the office ofthe Director Industries and Commerce must be submitted prior to undertakingthe activity. Such applications shall be produced before a committee consistingof the Principal Secretary (Finance), Principal Secretary (Planning) and PrincipalSecretary (Industries and Commerce), and only after the scheme is approved,the applicant may begin its implementation, if the incentive is to be availed. Asystem of monitoring shall be instituted and if the applicant deviates from theapproved scheme, without prior approval, the incentive will be denied to himand the moneys already paid to him may be recalled at the discretion of theapproving authority.

    1.8.17 POWER TARIFF/DG SETS

    Department shall revise and announce the tariff from time to time. Keeping inview the policy of he government to encourage the development of industry inthe State and till such time as assured power supply is made available toindustrial units 100% subsidy shall be allowed on new DG sets form 10KW to1000 KW capacity purchased from reputed/standard companies subject to themaximum limit of Rs. 25 Lakhs. The subsidy shall be available to he unit after ithas been verified that the DG set has been actually installed.

    The amount of subsidy on purchase of DG set shall be paid only through a bank(or the concerned financing agency, if any) even if the promoter may not havetaken any loan for purchase of the DG set.

    50% of the amount of subsidy on DG set shall be paid on verification ofinstallation and the remaining 50% shall be paid after expiry of one year ofinstallation.

    The DG set shall not be shifted from the State for a period of ten years countedfrom the date of installation or to any other unit except with the approval of the

    Director I&C. If the unit makes any such request to shift the DG set to outside theState, the same shall be considered only in case the unit deposits the entireamount of the subsidy availed of together with interest thereon at the prevailingrate of interest on term loans.

    The amount of subsidy claimed as part of Government of Indias CIS scheme for

    this item shall be deducted from the amount to be calculated under the stategovernment scheme.

    Government shall allow setting up of Captive Power Generating units and alsomini/micro power generating unit anywhere in the state, subject to obtaining

    usual clearances required including from the State Pollution Control Board.There shall be no electricity duty/state excise on generation of electrical energy

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    through such Power Generating Stations for a period of 25 years. The stationmay be set up by an individual promoter or a group of promoters and the energythus generated may be shared by them or sold to other consumer(s). In case theenergy thus generated is given to the State Government at the point ofproduction, the promoter shall be eligible to draw an equivalent amount of

    energy for his own bona fide industrial purpose, from the PDD anywhere else inthe State. If his requirement is less than what is generated by him, the excesspower can be sold to the state as per the policy of Power DevelopmentDepartment.

    1.8.19 PRICE /PURCHASE PREFERENCE

    Upto 15% Price Preference shall be available on the landed cost of the product tothe local MSMEs, in all government purchases. The price preference shall alsoapply in case of any goods purchased by the public sector undertakings/boardspurchased for their own non-commercial use.

    Explanation :

    (i) A local MSE unit will be entitled to up to 15% price preference I lowesttendered rates by an out side unit, which means that if the rates quoted by alocal SSI unit is within the difference of 15% between the rates as quoted bylocal units and lowest outside tender, the orders shall be placed with localunit. In other words a unit holder shall be entitled to payment as per hisquoted rate provided the same is within the maximum limit of 15% of thelowest quoted rate by an outside unit holder.

    (ii) The price preference shall not cover items purchased by the public sectorundertakings and boards who may use such goods as raw material,consumables, or packaging materials, which are, in turn meant to be sold oncommercial basis either to the government departments or to the privateconsumers or to the private consumers or in the open market. The Governmentto the local SSI unit departments/public sector under takings Board etc. shallgive preference to the local SSI unit over an outside state unit for purchase ofitems if otherwise of equivalent quality and if it has enough registered capacity.

    iii) Nothing contained in a proceeding para shall, mean to restrain thegovernment from purchasing or allowing any of its departments/boardscorporations to purchase any consumption commercial goods from anothermanufacturing organizations of the Government such as JKI, JKML, SIDCO, AgroIndustries Corporation, J&K Handloom Development Corporation, KVIB etc.whether without or after inviting tenders.

    iv) In all other cases, where the price preference applies, the following procedureshall be followed, in suppression of any other government departmentalinstructions, if issued to the contrary, to encourage the sustainability andgrowth of SSIs in the State :-

    a) Every purchase committee of the Government departments shall include a

    member from the Directorate of the I&C, not below the rank of a General

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    Manager. Any Committee constituted without any such representative of DICshall be void ab initio.

    b) If the goods offered by a registered SSI unit carry quality mark for example ofBIS, FPO etc. or if the goods otherwise are of standard quality, duly verified andcertified by the user department, and if the rate quoted by the SSI unit is within

    15% of the lowest rate quoted by any other tender not being another localregistered SSI unit, then the Purchase Committee shall decide to place order onsuch local registered SSI units without further negotiating the price. If the localSSI unit has the requisite registered capacity to meet the tendered requirement.

    c) If the rate quoted by the local registered SSI unit(s) is not within 15% of theCommittee may negotiated rate with the local registered unit (s) and placeorders on such negotiated rate.

    d) No tender from a local registered SSI unit shall be rejected in contravention ofthe aforementioned instruction. In case the purchase committee faces anydifficulty in carrying out these instructions, in will refer the matter to the I&CDepartment in the secretariat and the decision of the Department in the mattershall be final and binding on the purchase committee/the department.

    e) If a local registered SSI unit is on rate contract with the DGS&D, DG QA, NSIC etc.for a particular item needed by a Government department, it may purchase theitem from such SSI unit without inviting tenders.

    f) It would be lawful for any local registered SSI unit to quote through SICOP or toseek supply order through SICOP or to request/authorize SICOP to represent itscase before the purchasing department. In all cases, SICOP shall be treated at parwith the SSI unit or units whose case it may be representing for all mattersconnected with the finalization of the contract, delivery of supplies and the price

    preference.g) No purchasing department shall force or cause any local registered SSI unit to

    get more quality tests conducted at its own cost if such limit is registered withthe BIS, DG S&D, DG QA etc. for ISI/ISO 9000/FPO mark.

    h) No purchasing department shall tender for purchase of any item withbranded/patented name of any manufacturer or supplier if such items ofacceptable specifications are available from the local industry.

    i) If the department supplies raw material to a local registered SSI unit, directlyor through SICOP, such as steel billets, wire rods for conversion into the endproduct required, such as structural steel, crate wire etc. the conversion ratemay be worked out by the concerned administrative department (such asPWD) and a rate contract sanctioned.

    j) For any item where the market price for the goods manufactured by mills arecontrolled by statutory orders, which are not applicable to the SSI units, theprice preference may be negotiated on the basis of such statutory rates.

    1.8.20 EARNEST MONEY SECURITY DEPOSIT

    a) SSI unit shall be required to pay only 50% of the amount of earnest moneyprescribed by the tendering authority or Rs.5000 whichever is lower.

    b) Tender documents shall also be supplied to the SSI units @ 50% of the price ofthe documents or Rs.100 whichever be lower.

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    c) SICOP shall be treated at par with the SSI units for the purpose of theaforementioned provisions

    1.8.21 STAMP DUTY

    Mortgage deeds in favour of the financing institutions required to be signed by the promoter, shall be exempted from payment of stamp duty. The stategovernment has already enabled equitable mortgage in the state.

    1.8.22 EXEMPTION OF COURT FEE

    Exemption from court fee for registration of documents relating to lease of landwill be granted to registered industrial units.

    1.8.23 TOLL TAXES

    i) There will be no additional toll tax on the raw materials, fuel andconsumables, procured from outside the state by the existing or new SSI units fill31-01-2015 except for items brought on the negative list from time to time.

    ii) There will be no additional toll tax on finished goods manufactured by theexisting or new SSI, Medium and Large units and sent outside the state upto 31-03-2015 except for items brought on the negative list from time to time.

    iii) There will be no additional toll tax on the Raw materials, fuels, consumables

    brought from the existing new medium and large units upto 31-03-2015 exceptin case of items brought on the Negative list from time to time.

    iv) There will be no additional toll tax on components, machinery, plant andother equipments procured from outside the state for building the factory, for aperiod of five years from the date of registration of the unit in SSI, Medium orlarge sector.

    v) There will be no additional toll tax on 100% export oriented units on thegoods exported under proper export documents from the state to any foreigncountry.

    vi) There will be no additional toll tax on empty containers brought into the statewhich are used for stuffing products of industry for export out of the state.

    1.8.24 GENERAL SALES TAX

    The State Government is proposing to implement Value Added Tax (VAT). Theexisting GST exemption will continue for existing and new units till VAT isimplemented in the state or up to 31-3-2015, whichever is earlier, except foritems brought on the negative list from time to time. However, GST exemptionon the raw material procured locally will be available only to the Small Scale

    Industrial Units.

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    1.8.25 CENTRAL SALES TAX

    The existing and new SSI, Medium & Large industrial units shall be exempt fromcharging and payment of CST on sale of their finished goods outside the stateupto 31-3-2015 except for the items on the negative list.

    1.8.26 SPECIAL PROVISION FOR PRESTIGIOUS UNITS

    Prestigious units shall avail of full exemption from payment of GST (Till VAT isimplemented)/CST and additional toll tax until 31-3-2015 or until such amountof exemption reaches the levels of 150% of capital investment in the projectwhichever occurs earlier. It may be clarified that negative lists issued for varioustax related incentives for medium and large industries shall also be applicablemutatis mutandis to prestigious units.

    1.8.27 INTEREST SUBSIDY

    i) The Government of India has announced a new scheme for Interest subsidy inthe state of Jammu & Kashmir. The existing incentive of Interest subsidy of theState Government will be replaced by the Government of India scheme, exceptfor existing and any other new units which are not otherwise eligible for claim orinterest subsidy under the Government of India scheme.

    ii) 3% subsidy shall be payable on the working capital facilities available fromthe commercial banks to all existing units for the remaining period of theireligibility, subject to the conditions prescribed, under the Government Order No.202-Ind of 1998 dated 27-5-1998.

    iii) This incentive will be extended to any new unit not covered by the CentralGovernment Package by the state Government, on the same terms as containedin the Central Package.

    iv) No interest subsidy shall be available on penal interest or on defaultpayments.

    1.8.29 TESTING EQUIPMENT

    100% Capital subsidy shall be provided by the Government on installation of

    Testing Equipment, subject to a maximum amount of Rs.25 Lakhs and alsorestricted to 25% of the total capital investment if the cost of testing equipmentexceed 25% of the total investment provided that the same is installed with in31-3-2015.

    ii) The incentive shall be disbursed only after the unit availing this incentiveobtains a national/ international quality mark.

    iii) To the extent incentive for such equipment is availed under the CIS scheme ofGovernment of India, deductions will be made from the amount due under thestate scheme

    1.8.30AIR FREIGHT SUBSIDY

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    Air Freight subsidy shall be available on finished goods and raw materials for anydestination (a) 50% subject to a maximum of Rs.5 Lakhs per year per unit

    1.8.31 30% SUBSIDY ON POLLUTION CONTROL EQUIPMENT

    30% subsidy shall be extended for purchase of pollution control equipmentsubject to ceiling of Rs.20.00 lac per unit and this will be in addition to theentitlement of CIS unde G.O.I scheme if it exceeds Rs.30.00 lacs limit of CISnotified by G.O.I. If subsidy on such equipment is availed under CIS notificationof GOI, to that extent,

    1.8.32 INTEREST SUBSIDY FOR TECHNOCRATS

    5% interest subsidy on term loan shall be available for EngineeringGraduate/MBAs/postgraduates on term loan availed from financing institutions.

    1.8.33 RESEARCH & DEVELOPMENT (R&D)

    i) 50% subsidy shall be available on expenditure incurred on R&D through anyreputed organisation, in the public or private sector, duly approved by thegovernment, for any project undertaken on sponsorship of any existing or newunit subject to a maximum of Rs.5 Lakhs for each such project duly approved bythe Government.

    ii) 25% subsidy shall be available on R&D expenditure of any unit on non-recurring items of expenditure subject to prior approval by the Governmentupto a maximum limit of Rs. 5 Lakhs.

    1.8.34 HUMAN RESOURCE DEVELOPMENT

    i) 50% of the cost of training shall be borne by the Government subject to Rs.5000 per trainee and subject to Rs. 1 lakh per annum for any unit for a period offive years. In case of women trainees the corresponding figures shall be 75%,Rs.7,500 and Rs.1.50 lakhs respectively.

    ii) For programmes of skill development leading to employment of trainees, 50%of the cost of training shall be borne by the Government on approvedprogrammes subject to maximum of Rs. 5 lakhs per unit. In case of womentrainees, the corresponding figures would be 75% and 7.5 lakhs.

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    MAJOR CLUSTERS

    Office is giving main thrust on Clusters in the state of Jammu & Kashmir.Following progress has been made under Cluster Development :

    S.No Name & Typeof Cluster

    Place of Cluster Progress/Remarks

    1 PashminaShawl

    Basholi /Kathua

    Officers of this Institute visited Basholi,Kathua and other places for interactionwith the cluster actors in connection withthe preparation of DSR. The DSR was

    prepared by this Institute with theassistance of other concerned agencies

    2 Cricket BatCluster,Jammu

    Jammu Interaction & Motivational meetings wereheld with the bat manufacturers of Jammufor initiating cluster developmentprogramme for their members. Finally thecluster had become ready to avail it. Aproposal for the principle approval of thecluster is under submission

    3 Carpet Cluster Srinagar Artisans/Entrepreneurs have been

    motivated for availing the clusterdevelopment information for thedevelopment of their members. Action isin progress

    4 Cricket BatCluster

    Sather Sangam,Anantnag

    Wood Seasoning plant is not yetcommissioned. SPV is yet to be formed. Afunction manager of DIC, anantnag is theCDE of the cluster

    5 Wooden &JoineryFurniture

    Srinagar Land has been acquired at Om Pora nearSrinagar. SPV has been formed. CFCproposal is under finalization

    6 KVIB is in process for taking up five clusters in the state. The officers of KVIBhad meetings and were assisted by the Director, MSME-DevelopmentInstitute, Jammu (J&K)

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    MAJOR INDUSTRY ASSOCIATIONS

    Sr.

    No.

    Name of SSI Association Name of the office

    bearer

    Tel. No.

    1. Chamber of Commerce andIndustries, Residency Road,Srinagar (Kmr)

    Sh. Nazir Ahmed Dar,President

    0194-2452517,2455416,2482176Mob.94190 05378

    2. Federation Chamber ofCommerce & Industry, SanatNagar Industrial Estate,Barzulla, Srinagar

    Sh. Shakeel Kalender,President

    0194-2430775Mob.94190 18491

    3. Industrial Association, SIDCOComplex, Bari Brahmana,Jammu

    Sh. Davinder Mahajan,President

    Mob.94191 90440

    4. Industrial Association,Gangyal, Jammu

    Sh. T.S.Reen, President 0191-24837781,2482249Mob.94191 01503

    5. Industrial Association, BirPur, Bari Brahmana, Jammu

    Sh. Ajay Gupta, President 01923-220117Mob.94191 01503

    6. Chamber of Commerce &Industry, Panama Chowk,Jammu

    Sh. Y.S.Sharma, President 0191-2473333,2472255Mob.94191 98282

    7. Chamber of Industries &Commerce Kashmir,Bishamber Nagar, Srinagar

    Sh. Muzafer Khan,President

    0194-2475336Mob.99065 14000

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    CHAPTER 2

    INSTITUTES ACTIVITIES

    During the year the Institute carried out following activities

    Activity2011-12

    Target Achievement

    IMCs 28 28

    EDPs 05 05

    ESDPs 27 27

    MDPs 05 05

    BSDPs 01 01SDP - 02

    Sensitization programme on BarCoding

    02 02

    VDP 05 01MSE-CDP -Packaging for Export 01 01

    Workshop on IPR 01 01

    Awareness Prog. To acquireproduct certification license fromNational/International Bodies

    01 01

    Seminar on QMS/QTT 01 01

    TOTAL 77 75

    2.1 INDUSTRIAL MOTIVATIONAL CAMPAIGNs

    The Institute organized 28 IMCs during the year in in association with different Industrialassociations and at some remote areas of almost all the Districts of the State. Month-wise

    details are given in the table below.

    MONTH WISE DETAILS OF CONDUCTED IMCs

    Prog

    ramme

    MONTH

    Total

    April,1

    1

    May

    ,11

    June

    ,11

    July

    ,11

    Aug

    ,11

    Sept,11

    Oct,

    11

    Nov

    ,11

    Dec

    ,11

    Jan,

    12

    Feb

    ,12

    Mar

    ,12

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    IMCs - - 06 02 01 04 0 07 01 07 - - 28

    CATEGORY-WISE PARTICIPANTS DETAIL

    Progra

    mme

    PARTICIPANTS

    SC ST Women PH Minority OBC Others Total

    IMCs 213 92 879 01 300 59 1435 2100

    COMPARISON OF CONDUCTED IMCs DURING 2010-11 & 2011-12

    PARAMETER 2010-11 2011-12 % age Improvement

    Nos. of Programmes 30 28 (-) 7%

    Nos. of Persons Participated 5468 2100 (-) 160%Sanctioned Amount 2,40,000/- 2,24,000/- (-)7%

    Expenditure Incurred in Rs. 2,40,000/- 2,23,551/- (-) 7.3 %

    % of funds utilized 100% 99.79% (-)0.21 %

    AverageParticipant/Programme

    182 75 (-)142.66 %

    % of SC/ST participants 20.70% 14.52% (-) 6.18 %

    % of Women participants 44% 41.85% (-) 2.15%

    PHOTO GALLERY & PRESS CLIPPINGS (IMCs)

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    2.2 ENTREPRENEURSHIPDEVELOPMENTPROGRAMME

    05 EDPs were organized by the Institute during the Action Plan yearIncluding 1 stipendiary programmes. The statistical detail is as under.

    MONTH WISE DETAILS OF CONDUCTED EDPs

    Programme

    MONTH

    Total

    April,1

    1

    May,1

    1

    June,1

    1

    July,1

    1

    Aug,1

    1

    Sept,11

    Oct,11

    Nov,

    11

    Dec,1

    1

    Jan,

    12

    Feb,

    12

    Mar,

    12

    EDPs - - - - 01 02 01 - - 01 - - 05

    CATEGORY-WISE PARTICIPANTS DETAIL

    Programme PARTICIPANTS

    SC ST Women PH Minority OBC Others Total

    EDPs 25 25 79 02 - 05 84 141

    COMPARISON OF CONDUCTED EDPs DURING 2010-11 & 2011-12

    PARAMETER 2010-11 2011-12 % ageimprovement

    Nos. of Programmes 06 05 -16.66%

    Nos. of Persons Participated 144 141 -2.12%

    Sanctioned Amount 1,32,500/- 1,06,250/- -24.70%

    Expenditure Incurred in Rs. 1,22,441/- 1,04,000/- -17.73%

    % of funds utilized 92.40% 97.88% 5.48%

    Average Participant/Programme 24 28.2 4.2%

    % of SC/ST participants 24.30% 35.46% 11.16%

    % of Women participants 50.69% 56.02% 5.33%

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    2.3 ENTREPRENEURIAL SKILLED DEVELOPMENT PROGRAMMES

    The Institute organized 27 Numbers of Entrepreneurship Skilled DevelopmentProgramme on various topics such as Software Development, Plumbing & sanitaryfittings, Welding Practices, Assembling Repair & maintenance of AC, Computer

    Hardware & Networking, CAD, Tour & Travel Management, web Designing, DTP,Screen & Offset Printing, Repair & Maintenance of Motor Vehicles, cutting &Tailoring, soft Toys Manufacturing, Beauty Culture, Financial Accounting, Sozniembroidery, Mobile Repairing, Dress Making & Biotechnology etc

    MONTHWISEDETAILOFCONDUCTEDESDPS

    Program

    me

    MONTHS

    Total

    April,1

    1

    May,1

    1

    June,1

    1

    July,

    11

    Aug,

    11

    Sept,11

    Oct,11

    Nov,1

    1

    Dec,1

    1

    Jan,

    12

    Feb,

    12

    Mar,

    12

    ESDPs - - 03 03 - 04 01 04 09 02 01 - 27

    DETAILSOFPARTICIPANTSOFESDPPROGRAMMES

    Programme PARTICIPANTSSC ST Women PH Minority OBC Others Total

    ESDPs 145 278 280 04 12 03 232 674

    COMPARISON OF CONDUCTED ESDPs DURING 2010-11 & 2011-12

    PARAMETER 2010-11 2011-12 % age

    improvement

    Nos. of Programmes 25 27 7.40%

    Nos. of Persons Participated 574 674 14.83%Sanctioned Amount 14,29,500/

    -17,32,000/- 17.46%

    Expenditure Incurred in Rs. 11,72,045/-

    14,28,824/- 17.97%

    % of funds utilized 81.98% 82.49% 0.51%AverageParticipant/Programme

    23 25 8.0%

    % of SC/ST participants 41.46% 62.75%

    % of Women participants 35.19% 41.54%

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    PHOTO GALLERY &PRESS CLIPPINGS (ESDPs)

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    2.4 MANAGEMENT DEVELOPMENT PROGRAMMES

    The Institute organized 05 Nos. of Management Development Programme

    (MDP) on

    DETAILSOFPARTICIPANTSOFMDPPROGRAMMES

    Programme PARTICIPANTS

    SC ST Women PH Minority OBC Others Total

    ESDPs - - 19 - - - 124 124

    MONTH WISE DETAIL OF CONDUCTED MDPs

    Programme

    MONTHS

    Total

    April,1

    1

    May,1

    1

    June,1

    1

    July,

    11

    Aug,

    11

    Sept,11

    Oct,11

    Nov,1

    1

    Dec,1

    1

    Jan,

    12

    Feb,

    12

    Mar,

    12

    MDPs - - - - - 01 - - - 01 03 - 05

    COMAPRISON OF CONDUCTED MDPs DURING 2009-10 & 2010-11

    PARAMETER 2010-11 2011-12 % age

    improvement

    Nos. of Programmes 06 05 - 20%

    Nos. of Persons Participated 139 124 -12.09%

    Sanctioned Amount 1,20,000/- 1,00,000/- - 20%

    Expenditure Incurred in Rs. 1,20,000/- 1,00,000/- - 20%

    % of funds utilized 100% 100%AverageParticipant/Programme

    23 25 8%

    % of SC/ST Participants% of women Participants 15.32%

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    PHOTO GALLERY &PRESS CLIPPINGS (MDPs)

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    2.5 BUSINESS DEVELOPMENT PROGRAMME

    The Institute in association with Shri Mata Vaishno Devi University, Katraorganized Business Development Programme from 15-09-2011 to 11-11-2011. A group of 34 students of SMVDU attended this programme and

    successfully completed the same. The purpose of the programme was toprovide different types of technical and management related information tothe participants and to motivate them to adopt self employment as theircareer by setting up Micro and small enterprises.

    - - - - - - - - - -

    MONTH WISE DETAIL OF CONDUCTED BSDP

    Programme MONTH

    Total

    April,1

    1

    May,1

    1

    June,1

    1

    July,

    11

    Aug,

    11

    Sept,11

    Oct,11

    Nov,

    11

    Dec,1

    1

    Jan,

    12

    Feb,

    12

    Mar,

    12

    BSDP - - - - - - - 01 - - - - 01

    CATEGORY WISE PARTICIPANTS DETAIL

    Programme PARTICIPANTS

    SC ST Women PH Minority OBC Others Total

    BSDP - - 06 - - - 34 34

    COMAPRISON OF CONDUCTED BSDPs DURING 2010-11 & 2011-12

    PARAMETER 2010-11 2011-12 % age

    improvement

    Nos. of Programmes 01 01 -

    Nos. of Persons Participated 30 34 11.11%

    Sanctioned Amount 1,00,000/- 1,00,000/- -

    Expenditure Incurred in Rs. 51,604/- 66,654/- 22.57%

    % of funds utilized 51.60% 66.65% 15.05%

    AverageParticipant/Programme

    30 34 11.76%

    % of SC/ST Participants - - -

    % of Women Participants 17.64%

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    2.6 INTELLECTUAL PROPERTY RIGHT (IPR)

    This Institute in association with Confedration of Indian Industry (CII), Jammu

    J&K organized One Day Sensitization Programme on Intellectual PropertyRight on 13th February, 2012 at JKEDI, Jammu

    COMAPRISON OF CONDUCTED IPRs DURING 2010-11 & 2011-12

    PARAMETER 2010-11 2011-12

    Nos. of Programmes 01 01

    Nos. of Persons Participated 80 80

    Sanctioned Amount 1,00,000/- 1,00,000/-

    Expenditure Incurred in Rs. 35,064/- 45,000/-

    % of funds utilized 35.06% 45%

    % improvement of achievement 100% 100%

    Average Participant/Programme 80 80

    % increase in beneficiaries

    PHOTO GALLERY (IPR)

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    2.7 SKILL DEVELOPMENT PROGRAMME (SDP)

    The Institute has Common Facility Workshop at Srinagar as well as at Jammu.During current financial year i.e 2011-12 02 No. of SDP was conducted w.e.f01-04-2011 to 30-09-2011 and 01-10-2011 to 31-03-2012 where in 10

    students were trained in Fitter and Machinist trade.

    MONTH WISE DETAIL OF CONDUCTED PROGRAMME

    Programme MONTH

    Total

    April11

    May,1

    1

    June,1

    1

    July,

    11

    Aug,1

    1

    Sept,11

    Oct,11

    Nov,

    11

    Dec,1

    1

    Jan,

    12

    Feb,

    12

    Mar,

    12

    SDP01 - - - - - 01 - - - - - 02

    2.8 SENSETIZATION PROGRAMME ON BAR CODING

    The Institute organized Two No. of 1 day Sensitization Programme on BarCoding at Industrial Estate, Rangreth, Distt. Budgam (Kashmir) and at CricketBat Manufacturing Association, Sethur Sangam, Brijbehara, Distt. Anantnag(Kashmir) during the month of July, 2011. The objective of the programme wasto aware the Entrepreneurs about the use of Bar Coding and also to motivatethem to avail the benefit under MSME Bar Code reimbursement Scheme.

    COMAPRISON OF CONDUCTED SENSETIZATION PROGRAMME ON BAR CODINGDURING 2010-11 & 2011-12

    Parameter 2010-11 2011-12 %age of

    improvement

    No. of Programmes 02 02 -

    Nos. of Persons Participated 50 50 -

    Sanctioned Amount 60,000/- 60,000/- -Expenditure Incurred in Rs. 30,000/- 20,000/- -

    % of funds utilized 50% 33.33% -

    Revenue 5000/- 5,000/- -

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    2.9AWARENESS PROGRAMME TO ACQUIRE PRODUCT CERTIFICATIONLICENSE FROM NATIONAL/INTERNATIONAL BODIES

    The Institute organized One day Awareness Programme to acquire productcertification License from National / International bodies at Hotel Centure,srinagar on 28-07-2011.The objective of the programme was to motivate theEntrepreneurs to acquire product certification from National/Internationalbodies for quality upgradation of their products and to avail benefits ofreimbursement under MSME reimbursement Scheme.

    COMPARISION OF AWARENESS PROGRAMME ON PRODUCT

    CERTIFICATION LICENSE FROM NATIONAL/INTERNATIONAL BODIES

    DURING 2010-11 & 2011-12

    Parameter 2010-11 2011-12 %age of

    improvementNo. of Programmes 01 -

    Nos. of Persons Participated 38 -

    Sanctioned Amount 32,500/- -

    Expenditure Incurred in Rs. 11,000/- -

    % of funds utilized 33.84% -

    Revenue -

    2.10 AWARENESS PROGRAMME ON PACKAGING FOR EXPORT

    This Institute organized one day awareness programme on Packaging forExport at MSME-Development Institute, Jammu on 31stJanuary, 2012

    COMPARISION OF AWARENESS PROGRAMME ON PRODUCT

    CERTIFICATION LICENSE FROM NATIONAL/INTERNATIONAL BODIES

    DURING 2010-11 & 2011-12

    Parameter 2010-11 2011-12 %age of

    improvement

    No. of Programmes 01 01 -Nos. of Persons Participated 25 30 16.66%

    Sanctioned Amount 38,000/- 38,000/- -

    Expenditure Incurred in Rs. 38,000/- 38,000/- -

    % of funds utilized 100% 100% -

    Revenue 2,300/- 3,000/- 23.33%

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    2.11 VENDOR DEVELOPMENT PROGRAMME

    This Institute organized one day National Level Vendor DevelopmentProgramme at Kashmir Haat, Srinagar on 20 th October, 2011, The reason fororganizing this programme was to make Buyers from different organizations

    to interact with the local MSME unit holders who manufacture differentproducts. The buyers expressed their requirement to the unit holders.

    COMPARISION OF VENDOR DEVELOPMENT PROGRAMME DURING 2010-

    11 & 2011-12

    Parameter 2010-11 2011-12 %age of

    improvementNo. of Programmes No VDP was

    allocatedduring 2011-

    12

    01 -

    Nos. of Persons Participated 150 -

    Sanctioned Amount 50,000/- -

    Expenditure Incurred in Rs. 42,389/- -% of funds utilized 84.77% -

    Revenue 10,000/- -

    2.9 REIMBURSEMENT UNDER ISO-9000/QMS SCHEME

    The Institute reimbursed the expenditure incurred by 06 units to acquire ISO9000 / ISO 14000 Certifications. The details are as given below. The Year-Wise details of units who were reimbursed under the scheme is appended asAppendix-III

    2010-11 2011-12

    Brought Forwarded