UP meets one-fourth of its small industries' target for FY12

Sets up 8,537 small industry units during April-June 2011

Amid sagging pro-industry image of Uttar Pradesh, the state has achieved over 25 per cent of its target of setting up small industries during 2011-12.

8,537 small industry units have been set up so far in the current financial year against the target of 33,000, contributing to almost 26 per cent. Besides, the sector witnessed a total investment of Rs 756 crore vis-à-vis target of Rs 2,500 crore, putting the actual funds flow at over 30 per cent.

The new industrial activity has generated employment for 45,528 people against the target of 1,30,000.

UP has a mammoth Micro, Small and Medium Enterprises (MSME) base, which contributes handsomely to its industrial growth and plays a vital role towards an egalitarian economy. The state accounts for 12 per cent of the total MSME base in India.

UP is home to about 3.1 million MSMEs in the manufacturing and services sectors. An overwhelming percentage of units are owned by oppressed sections of society. MSMEs contribute 60 per cent to UP’s industrial output and provides employment to 5 million people. Besides, the sector accounts for 8 per cent of the State Gross Domestic Product .

As per the last All-India Census of the sector conducted by Union MSME ministry, over 62 per cent of MSMEs in UP were being run by entrepreneurs belonging to Scheduled Caste , Scheduled Tribe and Other Backward Classes categories.

Meanwhile, State Small Industries Minister Chandradev Ram Yadav has directed officials to ensure the functioning of district industries centre (DIC) in every district, so that entrepreneurs do not face any hurdle.

Recently, Yadav had asked for opening communication channels with entrepreneurs and apprising them of the schemes run by the government to boost production and exports from the sector.

The officials had been told to hold camps for issuing identity cards to handicraft artisans in order to enable easy bank loans to them. Pending cases of subsidy are being taken up on priority basis by the DICs. Major MSME pockets in UP, include Varanasi, Allahabad, Moradabad, Saharanpur, Lucknow, Kanpur, Agra, Ferozabad, Meerut, Bhadohi, Ghaziabad, Noida, Bareilly, Gorakhpur, Khurja, Aligarh and Mathura.

These are product specific hubs viz. Varanasi is famous for ‘banarasi sari’, Agra and Kanpur for leather, Bhadohi for carpets, Moradabad for brassware, Lucknow for ‘chikan’ and Aligarh for its locks.