Small Scale Industries

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Small Scale Industries
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• Small Scale Industries are those Industries which
  having afixed capital up to Rs 5 Crore invested
  in plant and machinery

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Present position
Year Number (in lakh) Production in Crore Employment in Lakh Exports in Crore
2002-03 109.49 3,11,993 260.21 86013
2007-08 133.67 6,95,126 322 181426
Economic survey 2008-09
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Importance of small scale Industries

• Employment
• Equal Distribution of wealth
• Decentralization
• Less pressure of population on Agriculture
• Increase in Production
• Need Less capital

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• Artistic goods
• Individual taste
• Complementary to large Industries
• Industrial Peace
• Role in Exports
• Use of local resources

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Problems

• Shortage of raw Material
• Lack of power
• Problem of Finance
• Old methods of production
• Problem of Marketing
• Higher cost of production
• Lack of able entrepreneurship

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Suggestions

• Supply of raw material
• Marketing facilities
• Credit facilities
• Improvement in methods of production
• Training
• Government help
• Quality Control

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• Government Consortium
• Research
• Modernization