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| Govt launches design scheme for MSME units |
| Press Trust of India / New Delhi Feb 17, 2010, 19:46 IST |
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The government today announced a Rs 73-crore scheme for micro, small and medium enterprises (MSMEs) to provide them design expertise and make their products more competitive.
Under the design scheme, the designers would conduct workshops at cluster level across the country and prepare a report which would talk about designs deficiencies and requirement of new designs.
The scheme is a part of the National Manufacturing Competitiveness Programme during the 11th Five-Year Plan.
The National Institute of Design (NID) will act as a nodal agency, where it would undertake on behalf of the MSME Ministry the necessary planning, coordination and follow-up on the scheme.
The programme named "Design Clinic Scheme for Design Expertise" is a combination of design awareness programmes and project based assistance, which would cover about 200 MSME clusters during the 11th Five-Year Plan.
The sector faces competition due to cheap imports and large domestic firms. It is important that they become more competitive through design innovations so that they can compete globally, MSME Secretary Dinesh Rai said after inaugurating the scheme here.
Of the total scheme budget of Rs 73.58 crore, Rs 49.08 crore will be funded by the government and the balance amount will be contributed by the beneficiary MSME.
Rai said, "The money will be given to a panel which will further sanction the money in instalments for the projects."
The model brings exposure to the doorstep of industry clusters for designs improvement, analysis, consultancy and offering solutions on real time design problems. This would help the units in continuous improvement and value addition for the products.
NID Director Pradyumna Vyas said, "With the help of this scheme we can compete with Chinese firms which offer inferior quality products at less prices. With design innovations, MSMEs would be able to offer quality products at reasonable prices."
Vyas said a new mark for quality called I mark would soon be introduced for all products, which would be a guarantee of quality, similar to ISI mark.
The MSME sector employs 42 million people and accounts for 45 per cent of the country's industrial production and 40 per cent of exports.
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