Micro, Small & Medium Enterprises |
Government of India under the Ministry of Micro, Small and Medium Enterprises have in October 2006 enacted Micro, Small and Medium Enterprises Development Act 2006. Under the Act, Micro, Small and Medium Enterprises are classified as under:
| Enterprises |
Investment in Plant & Machinery (Manufacturing) |
Investment in Equipment (service) |
| Micro |
Up to Rs. 25 lakhs |
Up to Rs. 10 lakhs |
| Small |
Above Rs. 25 lakhs up to Rs. 5 crore |
Above Rs. 10 lakhs up to Rs. 2 crore |
| Medium |
Above Rs. 5 crore up to Rs. 10 crore |
Above Rs. 2 crore up to Rs. 5 crore |
|
The small and medium enterprises as classified above, are required to file Entrepreneurs Memorandum (EM) Part-I to District Industries Centre for starting an industrial project. On completion of the project, the entrepreneur concerned is required to file Entrepreneurs Memorandum (EM) Part-II.
Earlier there was a system of granting registration to small scale industrial units by the District Industries Centre. These units are now required to file EM Part-II as Micro, Small or Medium Enterprises as classified above.
Over a period of time, Gujarat has registered a sizeable growth of SME sector. There were only 2169 small industries in 1961 at the time formation of the state. The number of SSIs increased continuously and has reached to over to 3,12,000 by September 2006. This may be observed from the following table:
|
| Year |
No. of SSI Units |
| 1960 |
2,169 |
| 1970 |
15,849 |
| 1980 |
43,742 |
| 1990 |
1,15,384 |
| 2000 |
2,51,088 |
| 2005 |
3,06,646 |
2006
(up to September) |
3,12,782 |
|
District Industries Centres in all the districts of the state and the institutions such as Gujarat Industrial Development Corporation (GIDC) and Gujarat State Financial Corporation (GSFC) have been instrumental in accelerating the pace of development of SSIs.
On the other hand, Small scale industries have also played an important role in dispersal of industries. Ahmedabad district leads the state with the highest number of SSI units followed by Surat, Rajkot and other districts. Following table presents the percentage share of number of SSI units in major districts. |
| |
| Districts |
No. of SSI Units (% Share) |
| Ahmedabad |
21.02 |
| Surat |
15.15 |
| Rajkot |
10.38 |
| Vadodara |
5.91 |
| Valsad |
5.10 |
| Mehsana |
4.67 |
| Bharuch |
4.58 |
| Kheda |
4.32 |
| Jamnagar |
4.23 |
| Bhavnagar |
3.78 |
| Other Districts |
20.86 |
| Gujarat |
100.00 |
|
Development of small scale sector is spread across different industrial sectors. However, the trend when compared with large industries presents a different picture. Textile including hosiery and garments accounts for the largest number of SSI units, followed by other sectors. This can be observed from the following table.
SSI Registrations in Gujarat – Group-wise [As on 30/9/06]
| S.No. |
Industry Group |
No. of SSI Units |
% Share |
| 1 |
Textiles |
66914 |
21.39 |
| 2 |
Machinery and parts except electrical |
23792 |
7.61 |
| 3 |
Metal products |
23421 |
7.49 |
| 4 |
Food Products |
16467 |
5.26 |
| 5 |
Chemical & chemical products |
15553 |
4.97 |
| 6 |
Wood products |
13498 |
4.32 |
| 7 |
Rubber & plastic products |
11780 |
3.77 |
| 8 |
Non-metallic mineral products |
11345 |
3.63 |
| 9 |
Basic metal industries |
8795 |
2.81 |
| 10 |
Paper products & printing |
8244 |
2.64 |
| 11 |
Electrical machinery and apparatus |
6451 |
2.06 |
| 12 |
Transport equipments and parts |
2944 |
0.94 |
| 13 |
Leather products |
2476 |
0.79 |
| 14 |
Beverages, tobacco & tobacco products |
1455 |
0.47 |
| 15 |
Others |
99647 |
31.86 |
| |
Total |
312782 |
100.00 |
Following the enactment of the MSME Development Act from 2nd October, 2006, registrations of all the MSMEs came within the purview of the Industries Commissionerate. Following table presents the details of the group-wise registrations of MSMEs in Gujarat from 2-10-2006 to 31-3-2009.
MSME Registrations in Gujarat
| Sr. No. |
Group |
Registrations
from 2-10-2006 to 31-3-2009 |
| |
|
Micro |
Small |
Medium |
Total |
| 1. |
Animal, vegetable, horticulture, forestry products, beverages, tobacco and pan masala and non-editable water/spirit and alcohol mainly used in industry. |
11557 |
3155 |
82 |
14794 |
| 2. |
Base metal products thereof and machinery equipment and parts thereof excluding transport equipment |
736 |
88 |
3 |
827 |
| 3. |
Chemical and allied products |
1812 |
463 |
18 |
2293 |
| 4. |
Ores, minerals, mineral fuels, lubricants, gas and electricity |
10428 |
3257 |
168 |
13853 |
| 5. |
Other manufactured articles and services not elsewhere classified |
369 |
91 |
7 |
467 |
| 6. |
Railways, airways, ships, road surface transport and related equipments and parts thereof |
57 |
18 |
- |
75 |
| 7. |
Rubber, plastic, leather and products thereof |
78 |
61 |
6 |
145 |
| 8. |
Textiles and textile articles |
65 |
40 |
3 |
108 |
| 9. |
Wood, cork, thermocol, paper and articles thereof |
501 |
91 |
- |
592 |
| |
Total |
25603 |
7264 |
287 |
33154 |
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