Opportunity opens for Engineering and fabrication industries
Tamil Nadu’s initiatives for creation of a land bank, formation of a State-level Single Window Clearance Committee for facilitating approvals to new industrial units, and enhancement of capital subsidy component for purchase of plant and machinery from 15 to 25 per cent are among the recent measures envisioned to accord a fillip to the SME (Small and Medium Enterprises (SME) sector, K. Dhanavel, Secretary, Micro Small and Medium Enterprises, told a gathering of industrialists here Friday.
Out of the planned 2,000 acre for the land bank, 1,100 acres of Government poromboke land have already been identified.
In Erode district, 45 acres have been identified at Nanjai Uthukuli village.
Provision of 20 per cent space for small scale industries (SSI) units in industrial estates of State Industries Promotion Corporation of Tamil Nadu, the scope created for joint venture between SIDCO and promoters of private industrial estates, and implementation of New Entrepreneurs-cum-Enterprise Development Scheme are other important developments made possible by the Chief Minister for according a fillip to the SSI sector that delivers an extent of output accounting for 10 per cent of Gross State Domestic Product, Mr. Dhanavel said during the inaugural of Ero Intec 2013 exhibition organised by the Erode District Small Industries’ Association.
The inaugural session was addressed by State Ministers P. Mohan (Rural Industries), P. Thangamani (Industries), and N.T. Venkatachalam (Revenue), and the Director – Planning and Marketing, National Small Industries’ Corporation, P. Udayakumar.
Mr. Udayakumar called upon the SSI sector to derive utility from the Central Government’s directive to government establishments and public sector units to procure 20 per cent of their requirements from the SSI units.
Engineering, mechanical and fabrication industries could tap the opportunity for supplying components to the Defence sector to the tune of 30 per cent of its requirements, and products to a similar extent to Foreign Direct Investors in retail sector.
The share of manufacturing sector to GDP was only 8 per cent, compared to 30 in China. MSME sector’s share in exports has to increase from 45 percent to 70 per cent to match the balance of trade position, Mr. Udayakumar said.
The NSIC has been providing financial support to about 200 associations such as EEDISSIA to conduct exhibitions, which, he felt, would serve as a platform for scaling up productivity from MSME sector.
The focus on industrial development was aligned to Chief Minister’s Vision 2023, Mr. Venkatachalam said, and assured to provide sufficient land to the EEDISSIA to establish a permanent trade centre.
District Collector V.K. Shanmugam, Deputy Mayor K.C. Palanichamy, Hon. General Secretary of Tamil Nadu Small and Tiny Industries’ Association C.K. Mohan, and EEDISSIA president K.P. Ravichandar took part