Administrative Setup For The Small Scale and Rural Industries

Small scale industries are the type of industries that produce goods and services on a small scale. These industries play an important role in the economic development of a country. The owner invests once in machinery, industries, and plants, or takes a lease or hire purchase.

These industries do not invest more than one crore due to the economic challenges in India. Few examples of small-scale industries are paper, toothpick, pen, bakeries, candles, local chocolate, etc. industries and are mostly settled in an urban area as a separate unit.

The agro and rural industries, also known as cottage and rural industries are not defined by their capital investment, and are located in rural areas. They play a crucial role in generating and providing employment to rural people, particularly for local artesian and  of the area.

The rural industry also contributes to the rural community by providing employment and restricting rural people to migrate to the urban area for work. Rural industries are related to agriculture and contribute subordinate employment in rural areas.

Concept ●     The Indian government constituted the ministry of Small Scale Industries (SSI’s), Agro and Rural Industries (ARI’s) as the nodal ministry.

●     Small scale industries are built for the coordination of central assistance and setting up the policy.

●     It designs policies, programs, and schemes for the development and improvement of small industries.

●     The small business was divided into two different ministries in 2001, September.

1.    Ministry of Small Scale Industries

2.    Ministry of Agro and Rural Industries

●     It also started the Prime Minister’s Rojgar Yojana.

●     Various policies, programs and schemes are performed by the department through the Khadi and Village Industries Commission (KVIC), Coir Board, Silk Board, Handicrafts Board, etc.

●     State governments also perform various developmental and promotional schemes and projects.

●     For the development of small scale industries that are administered through the State Directorate of Industries.

●     The central/state level schemes are implemented by the District Industries Centers (DICs) which comes under the State Directorate of Industries.

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