SECTOR : COTTAGE INDUSTRIES

The District Industries and Commerce Centre has taken effective role in setting up of cottage and small scale industries in the BTC areas, based on locally available raw materials and market, as well as generation of adequate employment opportunities through self employment in the sector. The BTC area possess vast natural resources such as horticultural resources- fruits and vegetables, medical plants, agricultural products—oil seeds, ginger chillies forest products- tree, bamboo, herbs, orchids, sand gravels etc. the following steps for developing cottage and small scale industries in BTAD areas are being taken :

DEVELOPMENT OF INFRASTRUCTURE

Adequate infrastructures facilities are considered to be the pre-requisite for industrial development. Lack of infrastructure in NE region is one of the main reasons for the poor growth of industries. Therefore, BTC proposes to give top most priority for development of infrastructure facilities by setting up of Industrial Infrastructure Development Centre (IIDC), Growth Centre, Mini Industrial Estate and Commercial Centre in rural areas providing facilities in an integrated manner including road, power, water, telecommunication and security to promote growth of industries as well as to attract the private investors from outside.

CENTRAL AND STATE SCHEMES

The Schemes launched by the Government of India under NE Industrial Policy are implemented in the BTAD areas. The Central Government schemes are, Integrated Infrastructure Development (IID), Growth Centre, Transport Subsidy, 15% Central Capital Investment Subsidy, Interest subsidy on working capital loan, Central Comprehensive Insurance Scheme etc. the various schemes of NEDFI and NEC and other agencies for small scale and cottage industries sector will be implemented. PMRY scheme, which create and provide sustainable self-employment opportunities to educated unemployed youth through micro enterprises, will be implemented ensuring 100% achievement. The incentives and concessions provided by the Government of Assam under Industrial Policy 2003 are provided to the SSI sector in the BTAD areas.

BRIEF NOTE ON SCHEMES

1. Training Programme: The scheme aims to motivate and guide the unemployed youth for taking entrepreneurship as a career, so that they can run and manage their enterprises successfully. Under the programme, Entrepreneurship Development programme (EDP), Industrial awareness campaign, seminar and workshop, on-the-job training under the existing industrial units inside and outside the state, study tour to visit the successful industrial units will be organized.

2. Margin Money assistance on Bank/FI’s Finance: The objective of the scheme is to provide financial assistance by way of margin money loan to the entrepreneurs to enable them to obtain credit facilities from Banks/Financial Institutions to set up small scale and cottage unit. The margin money will be provided to the extend of 30% of project cost accepted by the Banks/Financial Institutions subject to maximum of Rs. 7.5 lakh in the margin.

3. Financial assistance for setting up of Small Scale/Cottage units: Financial assistance up to the limit of Rs. 2 lakh each as loan will be provided for setting up/development of small scale and cottage industries in the BTAD areas.

4. Incentives/Subsidy to SSI units: The new Industrial Policy of Assam, 2003 has provided a package of incentives for promotion and development of small scale, tiny cottage industries in the state. The incentives offered are- (1). 30 % subsidy on total fixed investment on plant and machinery, (2). Interest subsidy on working capital, (3). Power subsidy on consumption unit, (4). Captive power generation subsidy, (5). Subsidy on feasibility study cost, (6). Subsidy on quality control certificate, (7). Subsidy on drawl of power line, (8). Marketing assistance etc.

5. Exhibition/Fair and Publicity: The scheme aim to at acquaint the public about the plan and programme, activities of the industries dept. as well as other development departments. For this purpose, industrial exhibition would be organized, where exchange of ideas, design, artisans meet, buyer-seller meet take place and to help the enterprises to market their products.

6. Industrial Estate/Commercial Estate: Industrial growth depends on the availability of right type of infrastructure facilities in the area like developed land/plot, built up shed, road, power, water supply, etc. Industrial estate/Growth Centre will be develop in the suitable plot of land in the BTC area and built up sheds/open space will be allotted to the prospective entrepreneurs/unemployed youth for setting up of small scale and service industries. Sheds of Commercial Centre would be allotted to the prospective entrepreneurs/unemployed youth for setting up of their self-employment ventures in business, industries and services.

7. Special Incentives to women entrepreneurs: Special emphasis would be given for development of women entrepreneurship conducting EDP and imparting training on some suitable trade for women. Special incentives at 40% Margin Money assistance to the women entrepreneurs on credit advanced by the Banks/Financial Institution and 50% Capital Investment Subsidy to the women owned SSI and Cottage units would be provided.

The plan fund implementation under Cottage Industries Sector during 2004-05 is as follows: