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TESCOK • Technical Consultancy Services Organisation of Karnataka (TECSOK), is a multidisciplinary technical, industrial and management consultancy organization set up. It was established in the year 1976 by the Government of Karnataka

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TESCOK

• Technical Consultancy Services Organisation of Karnataka (TECSOK), is a multidisciplinary technical, industrial and management consultancy organization set up. It was established in the year 1976 by the Government of Karnataka

primary objective

• The primary objective of founding TECSOK was to provide reliable consultancy support for entrepreneurs to start up self employment ventures in Karnataka

package of services• feasibility studies,• market research,• valuation of assets, • environment impact studies, • energy management and audit,• management studies like corporate plan, reorganization and

restructuring of enterprises, • man power planning, • budgetary control systems, mergers and acquisitions,• investment opportunities, • technology transfers, • diagnostic studies and also designing and organizing training

programmes in all related areas.

KIADB

Karnataka Industrial Areas Development Board (KIADB) is a wholly owned infrastructure agency of Government of Karnataka, set up under Karnataka Industrial Areas Development Act of 1966.

Aims and Objectives :• Promote rapid and orderly development of industries in the state. • Assist in implementation of policies of government within the

purview of KIAD Act. • Facilitate for establishing infrastructure projects. • Function on corporate lines, with “No Profit – No Loss” policy. Functions : • Acquire land and form industrial areas. • Provide all infrastructure to such industrial areas. • Acquire land for Single Unit Complexes. • Acquire land for Government agencies for their schemes and

infrastructure projects.

• KIADB has also acquired lands to cater the specific needs of individual industrial units (Single Unit Complexes).

• The vision of KIADB and world class infrastructure has made investors all over the world take notice of Karnataka as the premier destination for their startups and ventures.

• Till date, KIADB has formed 95 industrial areas spread all over the State, and acquired land for nearly 290 Single Unit Complexes ensuring balanced industrial development in all regions with well thought of infrastructures and unique features.

Infrastructures in Industrial Area • Few prominent industrial areas:• Peenya, Electronic City, Export Promotion

Industrial Park (EPIP) in Bangalore. • Hebbal in Mysore. • Baikampady in Mangalore. • Tarihal in Dharwar. • Kakati in Belgaum. • Auto Complex in Shimoga.

Functional units of KIADB

• Acquisition Wing• Engineering Wing• Allotment Wing• Accounts Wing• Administration Wing

KSSIDCLKarnataka State Small Industries Development Corporation Limited

• The programme of establishment of industrial estates, which has been carried out by the State Government involved in construction of industrial sheds of various dimensions and providing them with essential amenities such as roads, water supply, sewerage line and electricity.

• The maintenance and upkeep of the sheds also became a part of the responsibility of the Corporation. Besides constructing and letting out the industrial sheds, developed plots were also offered to the entrepreneurs to put up their own factory sheds.

• ENTERPRENEURAL DEVELOPMENT PROGRAMME.The Company is extending necessary assistance for

organizing Entrepreneurial Development Programmes in various parts of the State in association with TECKSOK and other commercial banks with a view to identify the talents and to improve the quality of Entrepreneurial skill amongst the educated youth.

Karnataka state finance corporation (KSFC)

KSFC is one of the fast track Term Lending Financial Institutions in the country, with assistance to more than 1,59,225 units amounting to nearly 8,537 crore rupees over the last 49 years in the State of Karnataka. It is one of the robust and professionally managed State Financial Corporations.

• General Scheme-For establishment of new Tiny/SSI/MSI/ Service units and for expansion/modernization/ diversification of existing units

• Assistance To Construction / Infrastructure Related Activities• Assistance To Hotels/ Restaurants • Assistance To Tourism Related Activities • Assistance To Doctors/Nursing Homes/Hospitals/ Electro

Medical Equipments• Assistance To Entertainment Industry• Rehabilitation For Sick Industrial Units• A.M.A.R.A (Assistance For Marketing Related Activities• Assistance For Acquiring Private Vehicles• Acquisition Of ISO 9000 Series Certification• Training Institution

KARNATAKA SMALL INDUSTRIES MARKETING CORPORATION LIMITED(KSIMC)

it is a Public Company incorporated on 12 September 1984. It is classified as State Government Company and is registered at Registrar of Companies, Bangalore.

Activities

• accounting, book-keeping and auditing activities;

• tax consultancy; • market research and public opinion polling;• business and management consultancy

District Industrial Centre

District Industrial Centre

The focal point of development for small scale and cottage industries, is taken away from the big cities and state capitals to the district headquarters.

In each district, one agency was created to deal with all requirements of small and village industries. This is called "District Industries Centre".

Objective

• To develop entrepreneur skills of people.• To motivate for self employment.• To providing all the necessary facility in one roof.• To reduce regional imbalance of development.• To Cheek in migration

Progress of DIC

Till March 31st 1998, 422 district industries centers (DICs) have been set up covering 431districts of country leaving out the metropolitan cities and some new districts.

S. No Particular No. of Units/ Beneficiary

1. New units establisheda. artisansb. b. small scale

industries

3,16,1691,06,0211

2. Credit provided by financial institution (RS. In cr.)

89,080

3. Additional employment generated

13, 33,024

Source: (Khanka, 2001:164)

Monitoring of DICs

• District Industrial Executive Committee (DIEC)

• Single Window Industrial Follow up Team (SWIFT)

Functions of DICs

• Registration • Infrastructure Assistance • Incentive Scheme • Seminars • Others Activities • Self Employment scheme • Co-operative Package Scheme

National Small Industries Corporation(NSIC)

• National Small Industries Corporation Limited (NSIC) is a PSU established by the Government of India in 1955[1][2] It falls under Ministry of Micro, Small & Medium Enterprises of India.

Objectives

• promote small and budding entrepreneurs • to provide machinery on hire purchase basis

and assisting and marketing in exports.• Further, SSI's registered with NSIC were

exempted from paying Earnest money and provided facility of free participation in government tendered purchases.

• Also for training persons at the training centers and modernizing units

• NSIC also helps in organizing supply of raw materials at concessional rates to SSIs

• Further, it also provides assistance to small scale industries by taking orders from Government of India owned enterprises and procures these machineries from SSI units registered with them4]

Micro, Small and Medium Enterprises in India

An overview

In the Indian context, micro, small and medium enterprises are defined as..

• It is based on the investment investment in plant and machinery (for manufacturing enterprise) and on equipments for enterprises providing or rendering services.

Criteria in India-

• Micro enterprise-investment does not exceed 25 lakh rupees.

• Medium enterprise- more than five crores but not upto ten crores.

• Small enterprise- more than 25 lakhs rupees but doe not exceed 5 crores.

In case of services-

• a micro enterprise- not upto 10 lakh rupees.• a small enterprise- more than 10 lakh but not

upto 2 crore rupees.• a medium enterprise- more than 2 crores but

not upto 5 crores.

PERFORMANCE AND CONTRIBUTION OF MSMEs.

13 Million MSMEs> 8000 products

MSMEs

31 Million Employment

40% Exports45% industrial

production

Micro, Small and Medium Enterprises Development Act, 2006

salient features.

1. Industry replaced by enterprise which include service enterprises also.

2. Ambit of sector enlarged to cover medium enterprises.

3. Constitution of MSME Board.4. Simplification of registration procedure.5. Progressive credit support.6. Penalty for delayed payments.

7. Provision for exit policy.

Institutional Support Structure for MSMEs in India

At Federal Level

1. Ministry of MSMEs

2. Small Industries Development Organisation (SIDO)

3. National Small Industries Corporation(NSIC)

4. Khadi & Village Industries Commission(KVIC)

5. Coir Board

6. Entrepreneurship Development Institutions (EDIs)

MSMEs

At State Level

1. Directorate of Industries

2. District Industries Centres

3. State Finance Corporation

4. State Industrial Development Corporation

5. Technical Consultancy Organisations

6. Entrepreneurship Development Institutions

Others

1. Industry Associations

2. NGOs

3. Banks/Financial Institutions

MAJOR SCHEMES FOR

MSME’s SUPPORT

Credit Support

1. Public sector banks advised to double the flow of credit to MSMEs within 5 years (20% annual growth)

2. A minimum of 40% of bank credit earmarked for priority sector lending which includes loans to MSEs

3. Specialised SME Bank branches in industrial clusters for smooth flow of credit to MSMEs

4. One Time Settlement (OTS) scheme for settling NPAs of MSMEs

Technological Support

• Credit Linked Capital Subsidy Scheme for Technology Upgradation – Scheme meant to improve quality of products

by technology upgradation.– Investment upto INR 10 million (US$ .250,000)

eligible for support with subsidy upto 15% on investment.

Contd.

• Testing Centres for Quality Certification• Tool Rooms and Training Centres for skill

upgradation• Incentive scheme for obtaining ISO

Certification by MSEs

Marketing Assistance and Export Promotion

1. Support for participation in trade fairs and exhibitions – national as well as international.

2. Training programmes on packaging for exports.3. Purchase preference in Government procurement.4. Market Development Assistance Scheme for

publicity, market studies and adoption of modern market practices

Cluster Development Programme

• Cluster formation has been considered important for MSME development. A cluster may be defined as a local agglomeration of enterprises (mainly SMEs, but often also ncluding some large enterprises), which are producing and selling a range of relatedand complementary products and services

International Cooperation Programme

• Provides exposure to MSMEs to the latest technologies, manufacturing practices prevalent in their fields in different countries.

• Encourages their participation in international exhibitions for exports.

SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA (SIDBI)

Subsidiary of IDBI, setup as an act of parliament.Provides assistance for:

Setting up of new SSI units, small hotels, hospitals and so on.

Technological upgradation and modernization, expansion and diversification.

Quality upgradation.

• Development of markets.• Development of infrastructure.• Discounting of bills of manufacturer-seller in

selling either equipments or components.

Objectives of SIDBI

• 1. To initiate steps for technological up-gradation and modernisation of existing units.

• 2. To expand the channels for marketing the products of SSI sector in domestic and international markets.

• 3. To promote employment oriented industries especially in semi-urban areas to create more employment opportunities and thereby checking migration of people to urban areas.

functions of SIDBI

• It refinances loans and advances provided by the existing lending institutions to the small-scale units.

• It extends seed capital/soft loan assistance under National Equity Fund, Mahila Udyam Nidhi and Mahila Vikas Nidhi and seed capital schemes.

• It grants direct assistance and refinance loans extended by primary lending institutions for financing exports of products manufactured by small-scale units.

• It extends financial support to State Small Industries Corporations for providing scarce raw materials to and marketing the products of the small-scale units.

• It provides financial support to National Small Industries Corporation for providing; leasing, hire pur chase and

marketing help to the small-scale units.