Question : CLOSURE OF SMALL SCALE INDUSTRIES



(a) whether the Government is contemplating to close the small scale industries engaged in production of Single Super Phosphate (SSP);

(b) if so, the reasons therefor;

(c) if not, the reasons for imposing the condition of producing a minimum of 40,000 tonnes of SSP on small scale industries;

(d) whether the industries which will produce more than 40,000 tonnes of SSP will only be able to operate in the country; and

(e) if so, the reason therefor alongwith the steps being taken by the Government to safeguard the interests of small scale industries?

Answer given by the minister


MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (SHRI SRIKANT KUMAR JENA)

(a) : No, Madam.

(b) : Does not arise

(c) to (e) : Department of Fertilizers introduced revised policy for ad-hoc concession for Single Super Phosphate (SSP) w.e.f. 1.10.2009 to 30.4.2010 and Nutrient Based Subsidy Policy for Single Super Phosphate (SSP) w.e.f. 1.5.2010, which, inter-alia, provide that only those SSP units shall be eligible to claim subsidy from Department of Fertilizers, which are able to produce 50% of their annual installed capacity or 40000 MTs per annum. This condition is applicable over all the SSP manufacturing units irrespective of their size. SSP, as such, is a source of phosphate and sulphur and a viable substitute of DAP in the country. At present only 35% of the annual installed capacity of SSP in the Country is being utilized out of total 80 lakh MTs. In order to encourage production of SSP in the Country, the manufacturers have been asked to produce 50% of the annual installed capacity or 40,000 MTs per annum.