Question : RESTRUCTURING OF SMALL SCALE INDUSTRY



(a): whether the Government has any plan to restructure small scale and village industry in the country;

(b): if so, the salient features thereof; and

(c): the budget allocated for the said purpose?

Answer given by the minister

MINISTER OF SMALL SCALE INDUSTRIES & AGRO AND RURAL INDUSTRIES (SHRI MAHABIR PRASAD)

(a)to(c): The promotion and development of small scale industries (SSIs) in the country is a continuous process. The Government has taken several measures to strengthen and enhance the competitiveness of the SSIs. These include measures consisting of assistance for technology upgradation; infrastructure assistance through cluster development approach; helping in timely availability of credit; and assistance to encourage adoption of modern management practices, use of electronic infrastructure and other information technology( IT ) applications, etc. In addition, the Reserve Bank of India has issued revised guidelines for rehabilitation of sick SSI units, which include, inter alia, change in the definition of sick SSI units, norms for deciding on their viability, concessional finance, etc. An amount of Rs. 366 crore has been allocated in the Budget, 2004-05 for the various Plan schemes for the promotion of small scale industries.