OF BAGEPALLI TALUK 2006-2011 for Department of Industries & Commerce Government of Karnataka Prepared by Small Industries Service institute Ministry of Small Scale Industries Government of India Rajajinagar industrial Estate, Bangalore - 560 0! "#one $o% 0&0-'((5)50 * '((5)5&) * '((5)5&' * '((5)5&( +a, % '()506 -e.site% ///!sisi0arnata0a!org E-Mail % sisi.angalore1dataone!in SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan
Contents Chapter Particulars Page Nos. Map Taluk at a Glance 1 - 3 Summary, Conclusion & Recommendations 4 - 6 Part A 1 Preamble 7 - 9 2 Potential Investment Opportunities 10 - 38 3 Action Plan / Facilitation 39 - 41 4 Credit Plan 42 - 44 Part B 5 Statistical Profile 45 - 47 6 Salient features 48 - 50 7. Resource Profile 51 - 55 8. Infrastructure 56 - 61 9. Industrial Scenario 62 - 65 10. SWOT Analysis 66 - 73 11. Salient Features of Central and 74 - 78 State Government Schemes Annx. I Promotional Institutions and their role in 79 - 83 development of Micro & SMEs Annx. II Industrial Policy 2006-2011 84 - 102 SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan
SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan
PREFACE The role played by micro, small and medium enterprises is significant in over all growth of the economy. The enterprises acts as a nursery for the development of entrepreneurial talent and has been contributing significantly to the tate as well as district!s gross domestic products, besides, meeting the social ob"ectives. The prospective plan for the development of industrial activity for #agepalli Talu$, %olar district for the period &'''(&'') was prepared by *istrict +ndustries Centre, %olar. +n order to ta$e this programme forward mall +ndustries ervice +nstitute, ,ovt. of +ndia, -inistry of mall cale +ndustries, #angalore, has prepared the #agepalli Talu$ +ndustrial *evelopment Plan for the period &''.(&'//. This Plan will serve as the guideline for ta$ing up industrial development activity in the Talu$ and provide a road map re0uired for orderly development of industry and trade. -y special appreciation to *r. 1. riramappa, Assistant *irector2E+3Admn.3**45 for shouldering the responsibilities in successful preparation of the Prospective Plan Report of the Talu$ and for the creener SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan
efforts he had put in, collection, compilation and analysis, interpretation of data and preparation of report right from the planning stage till its completion as well as bringing out this valuable plan report, in spite his administration, establishment, finance and accounts responsibilities and also pre(occupation in planning and conducting training programmes and providing consultancy services. + also than$ mt. 6. Ra"ashree for the secretarial services and well e7ecution of the report. + would place in record my special than$s to the *eputy Commissioner and *istrict -agistrate and Chief E7ecutive officer %olar *istrict for their co(operation and valuable guidance in bringing out this plan report and + would also li$e to than$ the 8oint *irector, *istrict +ndustry Centre, 8oint *irector, *epartment of Agriculture, *eputy *irector, *epartment of 9orticulture, The -anager, :ead #an$ Canara #an$, The Assistant ,eneral -anager, %FC, *istrict 4fficer, %1+#, The -anaging *irector, %olar *airy, The President of +ndustrial Association and all other ,overnment *epartments and Promotional Agencies and also the individual entrepreneurs, ta$e 9olders, Resource persons, 6,4s, etc., for e7tending their valuable information and assistance helped us to complete the Plan Report successfully. + would also li$e to than$ all the Talu$ *evelopment 4fficers, Thasildars and Talu$ -agistrate, Talu$ E7tension 4fficers and enior 4fficers of the tate ,overnment *epartments for their co(operation in providing the detailed information of the Talu$ in the completion of the Plan Report successfully. SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan
+ am confident that this prospective Plan Report will prove to be useful for all entrepreneurs who are interested to set up the industries in the Talu$ during the plan period and also the Policy -a$ers, Administrators, Researchers, ,overnment *epartments and all Promotional Agencies involved in development of industries. *9+::46 *+RECT4R SISI, Govt of India Bagepalli Taluk Industrial Perspective Plan TALUK AT A GLANCE 1. Area : 90009 ectares !. "ain #ivers : $%itravat%& '. (o. of o)lies : * +. (o. of Gra, Panc%a&ats : !+ *. (o. of in%a)ited villages : !1! -. Average annual rainfall : -./ ,.,.. A. Human Resources (2001 Census) 1. Population : 1-9-/9 a0 1r)an : !0119 )0 #ural : 1+9*.0 c0 S$ : +'.'! d0 ST : !.-*. !. 2ensit& of Population : 1*- '. 3iterate Population : .+/0+ +. "ale 3iterates : +-*9* *. 4e,ale 3iterates : !/!09 -. Percentage of 3iterac& : *0*- B. Agricultural Resources (2001 Census) 1. I,portant 4ood $rops : #agi, "ai5e, Padd&, "illets, Tur, Avare !. I,portant $o,,ercial $rops : Groundnut, Sunflo6er SISI, Govt of India 1 Bagepalli Taluk Industrial Perspective Plan
C. Horticultural Resources (2001 Census) 1. 7egeta)les gro6n : 8nion, Potato, Beans, To,ato !. 4ruits gro6n : "ango, Banana, Gauva '. Plantation $rops : Ta,arind D. Livestock Resources (as per 2002 Census) 1. Total 3ive stock population: !10+/. !. Poultr& : 1.!+.+ '. 7eterinar& Institutions : ! +. 7eterinar& 2ispensaries : - E. Forest Resources (2001 Census) 1. Area under forests : 1/+*/ !. I,portant 4orest produce : Ta,arind, 9cal&ptus F. Mineral Resources 1. "inerals found in t%e district : #ock& ills, Black Gra: nite, Bldg. Stone, Sand G. Infrastructure for Industrial Development SISI, Govt. of India 2 Bagepalli Taluk Industrial Perspective Plan
1. #ail6a& 3ine : : !. #oads : Total ;!00':0+0 : 1'/* <". ;a0 Surface : !1/ <" ;)0 1nsurfaced : 11-. <" '. (o. of "otor 7e%icles;!00':0+0 : *!9/ +. Industrial 9states : 1 *. $o,,ercial Banks;!00*:0-0 : 9 -. 3ead Bank : $anara Bank H. Technical Institutions : (2003-04) 1. 9ngineering $ollege : : !. Pol&tec%nic : 1 '. Industrial Training Institute : 1 I. Post and Telegraph facilities (2003-04) 1. (o. of Post 8ffices : !. !. (o. of Telegrap% 8ffices : 1. '. (o. of Telep%one 9=c%anges : 1' +. (o. of Telep%ones in use : +0-9 1. Existing Industrial Structure(31.03.2006) 1. (o. of ,ediu, and large scale industries : : !. (o. of S,all Scale Industries : **- '. (o. of people e,plo&ed : ''.. Executive Summary, Conclusion and Recommendations SISI, Govt. of India 3 Bagepalli Taluk Industrial Perspective Plan
T%e 2epart,ent of Industries > $o,,erce, Govern,ent of <arnataka entrusted t%e Preparation of Prospective Plan for five &ear period !00-:!011 to identif& potential invest,ent opportunities for furt%er industrial develop,ent in t%e Taluk )asicall& to ac%ieve t%e t6in o)?ectives of e,plo&,ent generation and utili5ation of resources. T%e present Prospective Plan prepared is )ased on t%e resource endo6,ents, infrastructure facilities availa)le in t%e taluk for identif&ing t%e potential for industrial and econo,ic develop,ent of Bagepalli Taluk. Bagepalli Taluk is endo6ed 6it% ,ineral, %orticulture, agriculture, livestock, and sericulture resources. o6ever, t%e potential resources availa)le in t%e Taluk %ave not )een %arnessed effectivel&. T%e )asic pro)le, confronting t%e Taluk is t%e e=istence of e=tre,e povert& and )ack6ardness. T%e inade@uate infrastructure features, lack of entrepreneurs%ip a,ong t%e people of t%e taluk, inade@uate support fro, )anks, financial institutions and Govern,ent is t%e ,ain causes for industrial develop,ent of t%e taluk. 8pening up of suc% a )ack6ard econo,& is full& dependent upon Govern,entAs initiatives and interest. T%e Govern,ent can co,e for6ard to launc% a fe6 )ig pro?ects in t%e taluk so as to open t%e taluk econo,& to attract ne6 invest,ent. SISI, Govt. of India 4 Bagepalli Taluk Industrial Perspective Plan
Traditional industries like ,ilk produce, )ricks, rice ,illing, groundnut decorticating and oil e=traction, carpentr&, potter&, silk reeling, general engineering and auto,o)ile repair and servicing are do,inating t%e industrial ,ap of t%e taluk. T%e taluk %as t%e potential to launc% ,odern dair& pro?ects like ,ilk processing and ,ilk )ased products, fruit pulp vegeta)le processing, granite cutting and polis%ing, stone crus%ing, auto,o)ile co,ponents, poultr& and cattle feed, natural fi)re products 6%ic% %ave tre,endous scope in t%e taluk. To accelerate t%e industrial gro6t%, t%e gro6t% centers %ave to )e identified in t%e taluk in order to trickle do6n t%e fruits of t%e industrial gro6t%. Bit% t%e fast c%anging industrial scenario, t%e e=isting potentialities in t%e agriculture and non:far, sectors can )e e=ploited effectivel& 9ntrepreneurial co,petence and personalit& are t%e ke& factors t%at are necessar& to succeed in entrepreneurial ventures. <eeping in vie6 t%e c%allenging entrepreneurial opportunities at present and future, it is of para,ount i,portance to pro,ote ,anage,ent skills of t%e )udding entrepreneurs to succeed in t%eir 9ndeavour. It is necessar& to conduct intensive ,otivation ca,paign in eac% )lock to ,otivate t%e prospective entrepreneurs to e&e t%e opportunities follo6ed )& )usiness:cu, skill oriented 92Ps, and S2Ps to start self:e,plo&,ent ventures. SISI, Govt. of India 5 Bagepalli Taluk Industrial Perspective Plan
T%e e=isting industries ,a& also )e %elped )& conducting vendor develop,ent, )u&erAs sellers ,eeting, IS8 C9000 certification and e=port pro,otion progra,,es. T%ere are no industrial estates and industrial areas in t%e Taluk. T%is %a,pers industrial develop,ent in t%e Taluk. ence, t%ere is urgent need for construction of industrial s%eds and Industrial Area in t%e Taluk for pro,otion and develop,ent of "icro, S,all and "ediu, 9nterprises. DDDD SISI, Govt. of India 6 Bagepalli Taluk Industrial Perspective Plan
Chapter-1 Preamble <olar district %as eleven taluks. 4or ad,inistrative convenience district %as )een divided into t6o su) divisions, na,el& <ola and $%ick)allapur. <olar su) : division co,prises of <olar, Bangarpet, "alur, Srinivaspura > "ul)agal. $%ik)allapur Su) : division includes $%ik)%allapur, Go6ri)idanur, Bagepalli, Gudi)ande, Sidlagatta and $%inta,ani taluks. Bagepalli taluk is one a,ongst eleven taluks of $%ik)%allapur su) division of t%e <olar 2istrict. As per (an?undappa co,,ittee report, Bagepalli is one a,ong t%e '9 ,ost )ack6ard taluks in t%e State. <eeping t%e ,ost )ack6ardness in vie6, t%e 2epart,ent of Industries > $o,,erce %as entrusted S,all Industries Service Institute, "inistr& of Industr&, Govern,ent of India t%e preparation of Taluk Industrial Perspective Plan ;TIPP0 of Bagepalli Taluk for t%e period !00-:!011. 1.1 Objectives of the Study Primary Objectives To Identif& t%e potential invest,ent opportunities in ,anufacturing and service sectors and to suggest Action Plan for ,ateriali5ing t%e potential. Secondary Objectives
T%e strengt%s > opportunities and 6eaknesses > constraints )ased on #esource )ase:trend and gro6t% rate 9=isting industrial and ot%er infrastructure facilities and recent develop,ents 9=isting industrial )ase #ecent trends in industriali5ation 8t%er i,portant factors availa)le in t%e taluk. SISI, Govt. of India 7 Bagepalli Taluk Industrial Perspective Plan
1.2 Methodology T%e #eport is prepared )ased )ot% on pri,ar& data and secondar& data. T%e pri,ar& data 6as collected )& contacting and interacting 6it% resource persons, stake%olders in Govern,ent 2epart,ents E 8rganisations, Industr& Associations, Industrialists, (G8s etc., )ot% at Taluk > 2istrict levels. T%e secondar& data 6as collected fro, pu)lis%ed sources including internet. T%e collected data 6as anal&sed and utili5ed for t%e preparation of Taluk Industrial Perspective Plan. 1.3 Disclaimer 2ata availa)le fro, t%e relevant Govern,ent Pu)lications %ave )een adopted. 2ata o)tained fro, various Govern,ent 2epart,entsE organi5ations are anal&5ed to for, t%e )asis for t%e Taluk Industrial Perspective Plan. B%erever a particular data 6as not availa)le, appropriate trend pro?ections E esti,ates 6ere ,ade )ased on t%e gro6t%E develop,ent and adopted in t%e #eport. T%e #eport is for general guidance of entrepreneurs, t%e 2epart,ent of Industries > $o,,erce and ot%er develop,ental agencies. Invest,ent opportunities %ave )een suggested taking into consideration t%e via)ilit&, availa)ilit& of ra6 ,aterial, la)our )esides ot%er factors. o6ever, an& entrepreneur desirous of setting up an enterprise is advised to carr& out due diligence )efore co,,itting invest,ent. Additional infrastructure facilities to )e developed are suggested )ased on t%e identified invest,ent opportunities. o6ever, depart,ents and ot%er develop,ental agencies ,a& plan t%eir develop,ents E activities in tune 6it% t%e felt needs as per t%e actual and e,erging de,and. T%us, planning develop,ental activities s%ould )e preceded )& an indept% assess,ent of t%e needs of t%e Taluk. SISI, Govt. of India 8 Bagepalli Taluk Industrial Perspective Plan
1.4 The Structure of the Report. T%e #eport presented in t6o Parts. Part - A 1 Prea,)le. ! Potential Invest,ent 8pportunities ' Action E 4acilitation Plan + $redit Plan
Part - B * Statistical Profile - Salient 4eatures . #esource Profile / Infrastructure 9 Industrial Structure 10 SB8T Anal&sis 11 $entral > State Govern,ent Sc%e,es Ann=. I Address of t%e Pro,inent Govern,ent > Pro,otional Agencies Ann=. II (e6 Industrial Polic& !00-:!011 SISI, Govt. of India 9 Bagepalli Taluk Industrial Perspective Plan
Chapter-2 Potential Investment Opportunities FIndustrialise or Peris%G is t%e slogan of t%e da&. It %as a ,a?or role to pla& in t%e econo,ic develop,ent of t%e district E taluk. It is also an essential ingredient of rapid and self sustained develop,ent of rural areas. It is )elieved t%at t%e solution to t%e econo,ic ,elodies like povert&, une,plo&,ent, ,al nutrition, etc., lies in t%e rapid industriali5ation. As suc% industriali5ation assu,es para,ount i,portance, particularl&, in t%e rural econo,ies. Industrialisation is usuall& regarded s&non&,ous 6it% econo,ic develop,ent. 9cono,ic develop,ent i,plies an increase in diversion of la)or fro, agriculture to non:far, activities 6%ic% is a)undantl& depending on far, sector. Industrial develop,ent in ter,s also induce agricultural develop,ent. Industries supplies )asic ra6 ,aterials and tools 6%ic% are so i,portant for agriculture develop,ent. Agriculture ,eets t%e gro6ing needs for ra6 ,aterials in industries. T%erefore, a close colla)oration )et6een industr& and agriculture is needed for rapid econo,ic develop,ent of a region. It %elps industr& and agriculture take )enefit of t%eir ,utual e=istence. T%e co,pli,entar& of t%e t6o sectors ,ake t%e pace of econo,ic develop,ent rapid and cu,ulative. As suc% t%e progra,,e of industriali5ation ,ust give due consideration to t%e develop,ent of rural areas. 2.1 Anchor/Medium/Large/Thrust Industry. $onsidering t%e resources availa)le in t%e taluk, t%e plan suggested follo6ing large, ,ediu, and t%rust sectors t%at could )e setup in t%e ne=t five &ears. 10 9di)le oil refining !0 "ilk Processing '0 Sponge iron +0 4ruits > 7egeta)le Processing *0 Auto,o)ile parts ,anufacturing -0 #ead& "ade Gar,ents .0 Bio:Tec% park /0 Soft6are park 90 and tool $entre SISI, Govt. of India 10 Bagepalli Taluk Industrial Perspective Plan
2.2 Micro, Small & Medium scale Industries Potential invest,ent opportunities in Bagepalli taluk %ave )een suggested )ased on #esource )ase, 2e,and in t%e location > surrounding areas, 9ntrepreneur skillEpossi)le HfootlooseH invest,ent opportunities, Innovative pro?ects and e,erging service sector, Scope for Touris, )ased enterprises, 9=isting industrial )ase and present rate of gro6t%. <eeping t%e i,portance of industriali5ation and t%e said para,eters in vie6, t%e prospective plan as suggested &ear:6ise potential invest,ent opportunities, "icro, S,all and "ediu, Scale 9nterprises , 6%ic% could )e set up in t%e Taluk for five &ears Plan period . T%e identified industrial opportunities ,a& )e taken as indicative and not e=%austive. T%e entrepreneurs 6%o are interested in setting up industries in Taluk are advised to contact t%e Pro,otional 8rganisations E 2epart,ents E Institutions 6%ic% are given in t%e Anne=ure : I for furt%er details of t%e Pro?ects 6%ic% could )e set up in t%e ne=t five &ears. . T%e invest,ent opportunities 6%ic% are %aving i,,ense scope for esta)lis%ing "icro, S,all and "ediu, 9nterprises in t%e Taluk %ave )een identified )ased t%e follo6ing categor& Agro )ased and 4ood Products Ani,al Based "ec%anical > "etallurg& "ineral ;Glass > $era,ics0 $%e,icals 9lectrical > 9lectronics IT > IT9S Te=tiles > osier& Touris, Plastic, 6ood and 3eat%er products Printing > Stationer& S,all Scale Service Business 9nterprises T%e sector:6ise details of nu,)er of units proposed, likel& invest,ent and e,plo&,ent opportunities e=pected during !00-:11 are presented in anne=ure given )elo6.
SISI, Govt. of India 11 Bagepalli Taluk Industrial Perspective Plan
SISI, Govt. of India 12 Bagepalli Taluk Industrial Perspective Plan
$onsu,er 9lectronics and Teleco,,unication 9@uip,ent SISI, Govt. of India 40 Bagepalli Taluk Industrial Perspective Plan Chapter-3 Action / Facilitation Plan Pro,otion of s,all scale industries %as gained considera)le i,portance in recent &ears. T%e potential for pro,oting value added "icro, s,all, ,ediu, and large scale enterprises is &et to )e tapped in t%e Taluk. T%e Taluk is ideal place to pro,ote various s,all scale industries in ,ulti:di,ensional 6a&. T%e Taluk is endo6ed 6it% a)undant of natural and %u,an resources. T%e ric% dividends derived fro, t%ese resources %ave not )een invested in industries. T%us it offers i,,ense scope for 6ide range of tin&, s,all, ,ediu, and large scale enterprises to co,e up 6%ic% in turn ,a& add to t%e prospects of production of agricultural resources. <eeping t%e i,portant role pla&ed )& t%e ,icro, s,all, ,ediu, enterprises in respect of agro : )ased and food products, ,ineral )ased, ,ec%anical, electrical, electronics, IT, IT9S, $%e,ical )ased, te=tile E %osier& products and service activities suggested in $%apter II, t%e stud& %as proposed t%e follo6ing Action Plan for develop,ent of t%ese industries . 3.1 Industrial Awareness Programmes 1. Industrial Awareness / Motivation Programmes : 2uring t%e five &ear plan period t%e Prospective Plan is suggested to conduct 1* Industrial A6areness E "otivation Progra,,e. T%ree Progra,,es in eac% &ear 6it% active involve,ent of Banks, 4inance Institutions, State > $entral Govern,ent and ot%er Pro,otional Agencies to create A6areness a,ong t%e educated &out%s a)out t%e Sc%e,es availa)le for 2evelop,ent of Industrial Service Sectors and an i,portant role pla&ed )& t%e ,anufacturing and Service Sector to ac%ieve t%e t6in o)?ectives of e,plo&,ent generation and utili5ation of local resources. . T%e Govern,ent 2epart,ents like S,all Industries Service Institute, Govern,ent of India, Tec%nical $onsultanc& Services 8rgani5ation of <arnataka, <98(I$S, $928<, 7IT$, (G8s etc., are t%e ,ain Pro,inent 8rgani5ations for conducting t%e Progra,,es. T%e re@uire,ent of funds for conducting t%ese progra,,es is esti,ated to #s. 1.*0 3ak%s. SISI, Govt of India 41 Bagepalli Industrial Perspective Plan
2. Commercialized cum Skilled Oriented EDPs : - T%e Taluk lacks in entrepreneurs%ip a,ong t%e local people, %ence it is suggested t%at 4ive 9ntrepreneurs%ip 2evelop,ent Progra,,es ,a& )e conducted in t%e ,ain o)li ead Luarters of t%e Taluk to pro,ote entrepreneurs%ip a,ong t%e local people. 4or conducting t%e training progra,,es an a,ount of #s. '.!* 3ak%s is re@uired. 3. Skill Development Programmes : - To aug,ent t%e skill for local people of t%e Taluk, t%e plan suggested for conducting Seven Skill 2evelop,ent Progra,,es in t%e field of electrical, electronics, ,ec%anical, ,inerals and food processing. An a,ount of #s. +.** 3ak%s is re@uired for conducting t%e progra,,es. 4. Industrial Seminars : Industrial Se,inar ,a& )e %eld in i,portant o)li ead Luarters of t%e Taluk, 6%erein, scope for setting up ne6 industries and pro)le,s of e=isting industries 6ould )e discussed and offered solution to solve t%e, t%roug% various Sc%e,es launc%ed )& $entral and State Govern,ents 6it% active participation of Banks, 4inancial Institutions. An a,ount of #s. 1 3ak% is re@uired for conducting t%e Se,inars during t%e 4ive Mear Plan. 5. Industrial Exhibitions : In order to e=%i)it and sell t%e industrial products t%e five &ear Prospective Plan suggested five industrial e=%i)itions atleast one per &ear na,el&, in Taluk ead Luarters and pro,inent o)lis. #s. '..* 3ak%s is re@uired for organising t%ese 9=%i)itions. 6. Showrooms : 9=clusive S%o6roo,s ,a& also )e opened )& 2istrict Industries $entre, Govern,ent of <arnataka in t%e Taluk ead Luarters and also at various o)lis of t%e Taluks to sell t%e products ,anufactured )& t%e industries. SISI, Govt of India 42 Bagepalli Industrial Perspective Plan
7. Study Tours : T%e Stud& Tours of Industries and Prospective entrepreneurs to i,portant areas E to6ns in and outside t%e State ,a& )e organi5ed to provide t%e, 6it% an opportunit& to stud& t%e industries. 4or t%is, it is suggested to conduct t6o stud& tours per &ear. 8. Construction of Industrial Estates : At present, t%ere is no Industrial 9state in t%e Taluk. T%ere is a need to construct Industrial 9states in pro,inent places of t%e Taluk. #oads in t%e e=isting Industrial S%eds need to )e i,proved. T%ere are no facilities for artisans to 6ork and live in t%e Taluk. It is suggested t%at 6ork:cu,:living s%eds ,a& )e constructed for artisans in t%e Taluk and ot%er o)li ead Luarters. 9. Agro Complexes : T%e Taluk is ric% in agriculture, %orticulture resources. It is t%erefore, suggested t%at agro )ased industrial co,ple= ,a& )e set up in t%e Taluk ead Luarter. 10. Industrial Areas : T%ere is no Industrial area in t%e Taluk at present. T%is %as %a,pered t%e industrial develop,ent of t%e Taluk. T%ere is, t%erefore, need for esta)lis%ing one Industrial area in t%e Taluk. 11. Medium and Large Scale Enterprises : In order to create necessar& industrial cli,ate, a fe6 ,ediu, and large scale industrial enterprises ,a& )e esta)lis%ed in t%e Taluk. 12. R & D Institutions : T%e Taluk is in urgent re@uire,ent of #>2 Institutes for providing tec%nical kno6 %o6 to t%e prospective entrepreneurs for esta)lis%ing t%e industries )ased on t%e resources availa)le in t%e Taluk.
SISI, Govt of India 43 Bagepalli Industrial Perspective Plan
Chapter- 4 Credit Plan A strong Banking net6ork is i,perative for a speed& %arnessing of t%e talent potential in pri,ar& and secondar& sectors. T%e district is %aving a good net6ork of $o,,ercial Bank )ranc%es ;1!!0 and of Pragat%i Gra,in Bank ;-'0. In t%e long ter, co:operative structure t%ere are 11 Pri,ar& $o:operative Agricultural and #ural 2evelop,ent Banks ;P$A#2Bs0 and a district office of t%e <arnataka State $o:operative structure, <olar 2istrict $o:operative $entral Bank is functioning 6it% 1! )ranc%es. ! 1r)an $o:operative Banks are also functioning in t%e district. T%e <arnataka State 4inancial $oporation ;<S4$0 6it% its )ranc%es at <olar e=tends credit support ,ainl& to non:far, activities. $anara Bank, <olar, is t%e 3ead Bank for <olar 2istrict. As per t%e guidelines issued )& t%e #eserve Bank of India, t%e Bank prepares its credit plan for ever& &ear. +.1 T%e Pro?ected $redit Plan prepared )& 3ead Bank for t%e 2istrict for develop,ent of far, and non:far, sectors is : SECTOR No. of Accounts Amount (Rs. in Crores) Priorit& Sector 1+9-0+ *//.+- (on:Priorit& Sector 1119' -'.!- ::::::::::::: :::::::::::: Total Plan 160797 651.72 ::::::::::::: ::::::::::: +.! T%e Sector Bise Plan of t%e 2istrict prepared )& 3ead Bank is as follo6s: SECTOR No. of Accounts Amount (Rs. in Crores) Agriculture 11-.'9 '.'.0- Allied Activit& 1*!'! ++.-- (on:4ar, Sector !1.0 '0.+. 8t%er Priorit& Sector 1*+-' 1+0.!. ::::::::::::::: ::::::::::::: Total Priority 149604 588.46 ::::::::::::::: ::::::::::::: SISI, Govt of India 44 Bagepalli Industrial Perspective Plan
SISI, Govt of India 45 Bagepalli Industrial Perspective Plan
SISI, Govt of India 46 Bagepalli Industrial Perspective Plan
Chapter-5 Statistical Profile T%e present Prospective Plan depicts Statistical Profile in respect of t%e Area, Population, Agriculture, orticulture, Transport > $o,,unication and 2istrict inco,e. 5.1 Geographical Area Sl. No. Details Taluk District of Taluk to District 1 Area in Hectares (2004-05) a0 Total Geograp%ical Area 90,009 ..9,+-. 11.* )0 4orests 1/,+*/ .0,'!+ !-.! c0 (et So6n Area '11*1 '-1,99- 0./- d0 (et Irrigated Area '*-* .!1*' +.9+ e0 N area irrigated out of net area so6n 11.+ 19.9' 11.+ Source: <olar 2istrict at a Glance !00+:0* 5.2 Population Census 2001 Sl. No. Details Taluk District a0 Total Population 1-9-/9 !*'-0-9 )0 Population 2ensit& (os.ES@.k, 1*- !.0 c0 1r)an Population 1*N 1/N d0 Se= #atio ;4 : "0 9.!:1000 9.!:1000 e0 3iterac& #ate ;N0 *0.- -!./ "ale -!.! .'.! 4e,ale '/.- *!.! Source: <olar 2istrict at a Glance !00+:0* SISI, Govt of India 47 Bagepalli Industrial Perspective Plan
5.3 Agriculture Sl. No. Name of the Crop Area in Hectars Production in tonnes
5.4 Horticulture Sl. No. Details Area in Hectars Production in Tonnes a0 7egeta)le $rops **9 111.+ )0 4ruit $rops '9* !9-/ c0 Garden $rops ''/ .! d0 Spice $rops !0- +.! Source: orticultural $rops Statistics of <arnataka State at a Glance !00!:!00', Bangalore 5.5 INFRASTRUCTURE 1. Transport & Communication Sl. No. Details 2003-04 a0 #oad lengt% in <,s. 1'/* )0 #ail6a& lengt% in <,s : c0 Post offices !. d0 Telep%one 9=c%anges 1' SISI, Govt of India 48 Bagepalli Industrial Perspective Plan
e0 Telep%ones +0-9 Source: <olar 2istrict at a Glance !00':!00+ 5.6 Financial Institutions Sl. No. Particulars No. of Branches 1 $o,,ercial Banks 9 ! #ural Banks:##Bs ' ' 2$$ Banks 1 + Pri,ar& 3and 2evelop,ent Banks 1 Source: <olar 2istrict $redit Plan !00*:0- 5.7 Income of the District Sl. No. Sectors Rs. in Lakhs to total 1. Agriculture incld. Ani,al us)andr& /!+'1 '-.1/ !. 4orestr& and 3ogging +/.' !.1+ '. 4is%ing +!' 0.1/ +. "ining and Luarr&ing +9 0.0! *. "anufacturing 1.'!/ ..-1 -. $onstruction 1*0+. -.-0 . 9lectricit&, Gas and Bater Suppl& --./ !.9' / #ail6a&s 1''. 0.*9 9 Transport )& ot%er ,eans -!!' !..' 10 Storage +/ 0.0! 11 $o,,unication .91. '.+/ 1! Trade, otels and #estaurants !'*'' 10.'' 1' Banking and Insurance */00 !.** 1+ #eal 9states, 86ners%ip of 26ellings, Business and Services !01.! /./* 1* Pu)lic Ad,inistration 1!1-! *.'+ 1- 8t%er Services !'/!+ 10.** Total 227846 100.00 Source : State 2o,estic Product <arnataka: !00':0+ SISI, Govt of India 49 Bagepalli Industrial Perspective Plan
Chapter-6 Salient Features 6.1 Geographical Location Bagepalli Taluk is located in t%e nort%ern part of <olar 2istrict, )ounded )& And%ra Prades% State, Gudi)ande, $%ik)allapur, S%idlag%atta and $%inta,ani taluks. T%e taluk %ead@uarter is at a distance of 90k,s fro, district %ead @uarters and 9. k,s fro, Bangalore. T%e taluk geograp%ical lies )et6een .. o +'A 11AA and ./ o .A '0AA longitude and 1' o '.A '0AA and 1' o *.A !+AA latutide. 6.2 Soil T%e taluk found #ed 3oa, and $la& loa, soil. #ed loa, soil is suita)le for gro6ing vegeta)les onion, potato, raddis% etc. $la& loa, soil is suita)le for cultivation of padd&, Sugarcane, to)acco, c%illies etc. 6.3 Rivers T%ere no perennial rivers flo6 in t%e Taluk. o6ever, $%itravat%& river tri)utar& of (ort% Pinakani flo6s in t%e Taluk during t%e rain& seasons. 6.4 Climate and Rainfall T%e Taluk en?o&s ,oderate cli,ate t%roug% out t%e &ear. (or,al rainfall of t%e Taluk 6as -./ ,,, 6%ereas actual rainfall during !00+ 6as 11'*.1 ,,, 6%ic% is a)ove t%e nor,al rainfall. 2uring !00+, rain& da&s 6ere 9. da&s. T%e rainfall details are given in t%e Ta)le:-.1. Table-6.1: Rainfall Details Sl. No. Details Taluk District 1. #ain gauge Stations * *+ ! (or,al rainfall ;in ,,0 -./ /1.+ ' Actual rainfall ;in ,,0 11'*.1 1!/'+./ SISI, Govt of India 50 Bagepalli Industrial Perspective Plan
+ (or,al #ain& da&s +! +9/ * Actual #ain& da&s ** .1! Source: <olar 2istrict at a Glance !00+:0* 6.5 Administrative Divisions Bagepalli Taluk co,es under $%ik)allapur su):division. T%e taluk is furt%er divided into * %o))ilies na,el& Bagepalli, $%elur, Gulooru, Patapal&a and "itte,ani. All t%e Taluk level 2epart,ents are located in Bagepalli Taluk. T%e Taluk ad,inistration lies 6it% t%e Taluk Panc%a&at for t%e i,ple,entation of 2evelop,ental Sc%e,es and t%eir progress. T%e 9=ecutive officer Taluk Panc%a&at looks after t%e ad,inistration. e reports t%e progress of t%e i,ple,entation of t%e 2evelop,ental Sc%e,es to t%e $%ief 9=ecutive 8fficer, Oilla Panc%a&at, <olar. 6.6 Population T%e population of t%e Taluk is a)out 1.-9 lak%s, as per !001 census, contri)uting a)out .N to t%e 2istrict population. T%e Taluk literac& rate is *0.-N as against district literac& rate of -!./N. ig%er literac& rate of t%e Taluk ,eans t%ere is scope for training literate population in various skills re@uired )& t%e industries so t%at t%e& can )e productivel& e,plo&ed. T%e de,ograp%ic details are given in Ta)le:-.!. Table-6.2: Demographic Details as per 2001 Population Census Sl. No. Details Taluk District 1 Total Population 1-9-/9 !*'-0-9 ! "ale /-0*' 1!/-19' ' 4e,ale /'-'- 1!+9/.- + #ural 1+9*.0 1910*+- * 1r)an !0119 -!**!' - 2ensit& ;Per s@.k,0 1*- !.0 . Se= #atio 9.! 9.! / 3iterac& #ate *0.- -!./ "ale -!.! .'.! 4e,ale '/.- *!.! Source: <olar 2istrict at a Glance !00+:0* SISI, Govt of India 51 Bagepalli Industrial Perspective Plan
6.7 Area and Land Utilization Pattern T%e geograp%ical area of t%e Taluk covers 90009 %ectares .8ut of 6%ic% forest area is 1/+*/ %ectares. . T%e net area so6n in t%e Taluk constitute '11*1 %ectars of t%e total geograp%ical area of t%e Taluk. T%e details of land utili5ation pattern are given in Ta)le -.'. Table-6.3: Details of land utilization pattern ;%ectares0
Sl. No. Details Taluk District 1 Total Geograp%ical Area 90009 ..9+-. ! 4orest 1/+*/ .0'!+ ' 3and not availa)le for cultivation and 1+!./ 1'.10. + ot%er un:cultivated land 11*9. 1!+9*9 * (et Area So6n '11*1 '-199- - (et Area irrigated '*-* .!1+' . N of area irrigated out of net area so6n 11.++ !0.00 Source: <olar 2istrict at a Glance !00+:0* SISI, Govt of India 52 Bagepalli Industrial Perspective Plan
Chapter-7 Resource Profile T%e details of t%e resources availa)le in t%e Taluk, )ased on statistical data collected fro, t%e field visits and pu)lis%ed data are given )elo6: It is of para,ount i,portance to take stock of various resources availa)le in t%e Taluk )efore e,)arking identification of products, %aving scope of develop,ent in Bagepalli Taluk. It is a 6ell kno6n fact t%at an industrial develop,ent of area depends on a greater e=tent on its resource availa)ilit& and its proper e=ploitation and utili5ation. T%is $%apter is, t%erefore, devoted to a tread )are anal&sis of resource, )asket of Bagepalli Taluk. #esources of an area can )e )roadl& classified into t6o categories: ;10 "aterial #esources ;!0 u,an #esources
7.1 Agriculture Agriculture is t%e ,ain occupation of t%e people of t%e Taluk. T%e i,portant crops gro6n in t%e Taluk are Groundnut, #agi, #ice, Tur, "ai5e, Sunflo6er, Avere, alsundi, Sugar $ane, Sasuve, uruli. T%e details of t%e ,a?or agricultural food crop produced during !00':0+ is given )elo6: Sl. No. Name of the Crop Area in Hectars Production in tonnes
7.2 Horticulture T%e ,a?or fruit crop produced are ,ango, sapota, le,on, guava, etc. T%e vegeta)le crop produced is potato, to,ato, onion, etc T%e garden crops produced are Ta,arind, Beetle nuts. . Govern,ent of India %as announced various progra,,es in t%e State under (ational orticulture "ission ;("0 to increase t%e production of %orticulture crops. T%e orticulture 2epart,ent, <olar, s%ould utilise t%e funds availa)le under (" to )oost t%e production of %orticulture crops. T%e details of area and production of %orticultural crops are given in t%e Ta)le )elo6 : Sl. No. Details Area in Hectars Production in Tonnes a0 7egeta)le $rops **9 111.+ )0 4ruit $rops '9* !9-/ c0 Garden $rops ''/ .! d0 Spice $rops !0- +.! Source: orticultural $rops Statistics of <arnataka State at a Glance !00!:!00', Bangalore 7.3 Minerals T%e Taluk is endo6ed 6it% rock& %ills t%e rock stones is ,ore suita)le for t%e production of ?ell& and si5e stones and %ence, t%ere is i,,ense scope for setting up of Stone $rus%ing and ?ell& and stone si5e units in t%e Taluk. 7.4 Forest T%e 4orest area covers 1/+*/ %ectares in t%e Taluk. T%e forest depart,ent gro6s ta,arind trees, 9ucal&ptus > ot%er scru) verities of trees. T%e ta,arind is largel& gro6n in t%e Taluk. T%ere is a scope for setting up of ta,arind )ased industries suc% as ta,arind pulp, ta,arind starc% etc. SISI, Govt of India 54 Bagepalli Industrial Perspective Plan
7.5 Animal Husbandry T%e livestock populations in t%e Taluk are ,ainl& cattle, )uffaloes, S%eep, Goats. T%ere are t6o veterinar& %ospitals, si= veterinar& dispensaries and one pri,ar& veterinar& center. T%e livestock details and ani,al %us)andr& infrastructure details are given in Ta)le )elo6 : Sl. No. Details Taluk District 1 $o6 ++-'. +--/-+ ! Buffaloes 11.+! 1!'91/ ' Goats +9/-! !0'+.+ + S%eep *9+1' -!/-/' * Poultr& 1.!+.+ 1-!.+!- Source: 2istrict at a Glance, <olar !00+:0* T%e details of 7eterinar& ospitals are given )elo6 : Sl. (o. Details Taluk District 1 7eterinar& ospitals ! !1 ! 7eterinar& 2ispensaries - .- ' Pri,ar& 7eterinar& $entres 1 *+ + "o)ile 2ispensaries 1 11 * Artificial Inse,ination $entre 1 ' Source: <olar 2istrict at a Glance !00+:0* 7.6 Sericulture Sericulture activit& is ver& pro,inent in t%e taluk. T%e area under cultivation is 9/!.!/ %ectars and cocoons production **' tonnes during !00*: 0-. 7.7 Water Resources & Irrigation T%ere are no perennial rivers flo6ing in t%e Taluk. o6ever, $%itravat%& #iver flo6s across t%e Taluk during t%e rain& season. Bater is ,ainl& dra6n fro, Bore 6ells and also fro, river for industrial and do,estic purposes. SISI, Govt of India 55 Bagepalli Industrial Perspective Plan
Area under different source of irrigation in t%e Taluk during t%e period 199/:99 and !00':0+ is given in t%e Ta)le )elo6 : Source: <olar 2istrict at a Glance !00+:0* 7.8 Human Resources Industrial 2evelop,ent of an area does not depend onl& on ,aterial resources. In fact, ke& to successful develop,ent of industries in an area can )e attri)uted to t%e availa)ilit& of %u,an resources also. "an& deficiencies in ,aterial resources can )e overco,e if %u,an talents are availa)le in a)undant ,easure. Iapan is a classic e=a,ple of a countr&, 6%ic% %as developed industriall&, despite inade@uate ,aterial resources )ecause of t%e availa)ilit& of skilled and otivated 6orkers and ,anagers. ence different factors pertaining to %u,an resources suc% as population, literac&, occupational pattern of population, densit& of population, skill level, etc., are discussed in t%e follo6ing paragrap%s. 7.9 Population As per t%e !001 $ensus, t%e total population in t%e 2istrict is 1-9-/9 persons co,prising /-0*' "ale, /'-'- 4e,ale. 8f t%e total population, 1+9*.0 persons are sta&ing in rural areas, !0119 are sta&ing in 1r)an areas. Se= ratio in t%e Taluk is 9.! fe,ales per t%ousand ,ales. 7.10 Literacy 9ntrepreneurs%ip depends upon t%e level of literac& a,ong t%e people of an area. 3iterac& pro,otes entrepreneurs%ip and entrepreneurs%ip in turn %elps in pro,oting industrial develop,ent. As per !001 $ensus t%ere are .+/0+ literate persons in t%e Taluk, of 6%o,, +-*9* are "ales SISI, Govt of India Sl. No. Details 2003-04 1 Tanks 1/ ! Bells 1.* ' Bore 6ells ''.! + 8t%er Sources : Total 3565 56 Bagepalli Industrial Perspective Plan
and !/!09 are 4e,ales. Percentage of literate population in t%e Taluk is *0.-N. "ale literac& is -!.!N and 4e,ale '/.-N in t%e Taluk. 7.11 Educational Facilities T%e Taluk %as one 2egree college, one Pol&tec%nic, - Pre:1niversities and 1- ig% Sc%ools. T%e details of educational facilities and intake of students are given in Ta)le: Sl. No. Details No. of Institutions Intake of Students 1 2egree $ollege 1 /*0 ! Pol&tec%nic 1 '*0 ' Pre 1niversit& - 1-++ + ig% Sc%ool 1- *-90 Source: <olar 2istrict at a Glance !00+:0* T%e educated persons fro, t%e a)ove colleges E training institutions could )e utili5ed )& t%e industries in t%e Taluk. 7.12 Registration in Employment Exchange In t%e Taluk -'+! persons %ave registered in live register of e,plo&,ent e=c%ange, <olar, as on '0.0-.!00-. 8f t%e total -'+! persons registered 6it% e,plo&,ent e=c%ange, +9.* are "ale and 1'-. are 4e,ale. T%e details are given in Ta)le )elo6. Details Nos. as on 30.6.2006 1 "en +9.* ! Bo,en 1'-. Total 6342 Source : 9,plo&,ent 9=c%ange, <olar 9,plo&,ent opportunities in t%e Govern,ent E Pu)lic E Private sectors are d6indling fast. T%ese une,plo&ed persons could )e ,otivated to start self:e,plo&,ent activities )& conducting 9ntrepreneurs%ip A6arenessE 2evelop,ent Progra,,e, Skill 2evelop,ent Progra,,es t%roug% SISI, $928< and ot%er pro,inent training institutions. . SISI, Govt of India 57 Bagepalli Industrial Perspective Plan
Chapter-8 Infrastructure It is essential to %ave ade@uate availa)ilit& of infrastructure facilities suc% as land, factor&, acco,,odation, rail6a& lines, postal, teleco,,unication facilities, )anking institutions, etc., for industrial develop,ent. In <arnataka State t%e reason for rapid industrial develop,ent taking place in and around Bangalore cit& is ,ainl& due to t%e availa)ilit& of e=cellent infrastructure facilities. Si,ilarl& poor industrial develop,ent of Bagepalli Taluk could )e attri)uted to inade@uate infrastructural facilities. T%ere is t%erefore, urgent need for developing infrastructure facilities in t%e Taluk to %elp and pro,ote industrial develop,ent. T%is $%apter is, t%erefore, devoted to a detailed stud& of e=isting infrastructural facilities in t%e Taluk and scope for t%eir furt%er develop,ent. T%e infrastructure is t%e )ack)one for industrial develop,ent. I,proved infrastructure reflects t%e %ealt% of t%e Taluk. T%e details of infrastructure facilities in t%e Taluk is discussed )elo6 : : 8.1 Physical Infrastructure : A. Land : 3and is an i,portant factor of production. Availa)ilit& of suita)le land facilitates industrial develop,ent. T%ere is sufficient fallo6 land and land not suita)le for cultivation availa)le in t%e taluk, 6%ic% could )e utilisied for setting up industries 6it%out encroac%ing on cultiva)le land. T%e ta)le )elo6 depicts t%e taluk 6ise availa)ilit& of suc% land in t%e Taluk in !00':0+. Fallow Land (in hectares) Land not available for cultivation (in hectares) Other un-cultivable land (in hectares) 1+/9* 1+!./ 11*9. Source : <olar 2istrict at a glance !00+:0* SISI, Govt of India 58 Bagepalli Industrial Perspective Plan
B. Factory Accommodation Purc%ase in land and constructing s%eds is a ti,e consu,ing process. "oreover, invest,ent in land and s%eds increases t%e capital cost of an industrial unit and ,akes its econo,ic via)ilit& difficult )& adding to its over%ead cost. T%erefore, availa)ilit& of read& )uilt s%eds 6ill go a long 6a& in pro,oting t%e develop,ent of ,icro, s,all and ,ediu, s,all scale enterprises. At present, t%ere is no industrial estate in t%e Taluk. o6ever, t%ere are - s%eds constructed under 7ISBA progra,,e and 1 s%ed under (#9P E S$P E <2$. T%e e=isting s%eds constructed under t%e progra,,e are not ,aintained properl&, t%erefore, t%e Govern,ent s%ould take up suita)le ,easures to i,prove t%e e=isting s%eds. In order to provide read& )uilt s%eds to t%e ,icro, s,all and ,ediu, scale enterprises, <arnataka State S,all Industries 2evelop,ent $orporation s%ould take up drastic steps for construction of s%eds in t%is )ack6ard Taluk. C. Industrial Area At present t%ere is no industrial area in t%e Taluk. T%e <arnataka State Industrial Area 2evelop,ent Board %as proposed for ac@uiring land for develop,ent of industrial area under (an?undappa $o,,ittee #eport. T%e Govt. of <arnataka %as proposed to ac@uire '00 acres of land near (. for t%e develop,ent of industrial area. 8.2 Power 9lectric po6er is essential for t%e industries. In t%e Taluk, t%ere are four po6er receiving stations. T%e details of po6er grid in t%e Taluk are given in t%e Ta)le )elo6 Sub Station Nos. Installed Capacity in MVA Power recorded MW Bagepalli ! = 1!.* !* 1*.- So,anat%pura 1 = 1!.* 1/./ 10.0 T%i,,ana%alli 1 = -.' -.' '.1 $%akavelu ' = /.0 1-.1- *.0 Source : <olar 2istrict at a glance !00+:0* SISI, Govt of India 59 Bagepalli Industrial Perspective Plan
T%e Po6er consu,ption pattern of electricit& in t%e Taluk during !00':0+ is as follo6s : Sl. No. Category No. of Installations Consumption (in units) 01. 2o,estic !9/'! +'!0 0!. Industrial +.! 1.// 0'. $o,,ercial 1-!' +1+ Source : <olar 2istrict at a glance !00+:0* 8.3 Water Bater is essential for %u,an consu,ption and industrial develop,ent. T%e a,ount of rainfall received )& t%e Taluk is ver& less, %ence, t%ere is scarcit& of 6ater in t%is region. T%ere are onl& ** average rain& da&s in a &ear. 3ack of sufficient 6ater is t%e ,a?or %indrance to start industries in t%e district. T%erefore, t%e State Govern,ent %as to take ade@uate steps to provide 6ater fro, neig%)ouring districts of t%e State, 6%ere, t%e 6ater is availa)le, for pro,otion and develop,ent of industries in t%e Taluk. 8.4 Roads #oads pla& a ,a?or role in transportation of ,en and ,aterials fro, one place to anot%er, 6%ic% is essential for industrial activities. T%e roads e=isting in t%e Taluk can )e categorised as (ational ig%6a&s, State ig%6a&s, 2istrict "a?or roads, ot%er 2istrict #oads, 7illage #oad, 4orest #oads,T2B #oads and Panc%a&at #oads. T%e Taluk %as good road net6ork. (ational %ig%6a& of a)out / k,s ;(:.0 passes t%roug% t%e Taluk. SISI, Govt of India 60 Bagepalli Industrial Perspective Plan
T%e details of road lengt% is s%o6n in t%e Ta)le )elo6 : Sl. No. Type of Roads Length in Kms. 1 (ational ig%6a&s / ! State ig%6a&s 19 ' 2istrict "ain #oads 191 + 8t%er 2istrict #oads ' * 7illage #oads '1! - T2B #oads !.0 . 4orest #oads !. /. Panc%a&at #oads */* 9. Surface #oads !1/ 10. Bridges ! Source: <olar 2istrict at a Glance !00+:0* 8.5 Railways T%e Taluk is not connected 6it% an& rail6a& net6ork. 8.6 Seaports T%e nearest sea port is at "angalore and $%ennai. T%ese Ports provide a gate6a& for e=port and i,port trade t%roug%out t%e &ear. 8.7 Airports As suc% t%ere is no Airport in t%e Taluk. T%e nearest airport to t%e Taluk is Bangalore, "angalore, &dera)ad and $%ennai. 8.8 Telecommunication T%e co,,unication facilities in t%e Taluk t%roug% Telep%ones %ave ,ade an eas& access to Industrial 2evelop,ent. Good teleco,,unication net6ork is essential for @uick co,,unication. T%e details of post and teleco,,unication facilities are given in t%e follo6ing Ta)le : SISI, Govt of India 61 Bagepalli Industrial Perspective Plan
Sl. No. Posts & Telephones Nos. 1 Post offices !. ! Telep%one 9=c%anges 1' ' Telep%ones +0-9 +. Telegrap%s 1. Source: <olar 2istrict at a Glance !00+:0* In addition to a)ove posts > teleco,,unication facilities, t%ere are ot%er operators like BS(3, Airtel, #eliance, Tata Indico, etc., offering ,o)ileEland line services in t%e Taluk. In addition, t%ere are ot%er private operators providing professional courier and teleco,,unication services. ST2EIS2 > Internet facilit& e=ists in t%e Taluk. 8.9 Financial Institutions In t%e Taluk, as on '1'.!00* t%ere are 9 co,,ercial )ank, * rural )ank, 1 co:operative )ank and one Pri,ar& 3and 2evelop,ent )ank )ranc%. T%e details are given in Ta)le:..+ : Sl. No. Particulars No. of Branches (as on 31.03.2005) 1 $o,,ercial Banks 9 ! Gra,eena Banks ' ' 8t%er $o:operative Banks 1 + Pri,ar& 3and 2evelop,ent Banks 1 Source: <olar 2istrict $redit Plan:!00*:0- 8.10 Karnataka State Financial Corporations Ltd <arnataka State 4inancial $orporation, <olar, e=tends its service for develop,ent of tin&, s,all and ,ediu, scale enterprises in t%e Taluk )& providing loan. As on '1.0'.!00', t%e Institute %as sanctioned !9.*.9/ 3ak%s and %as dis)ursed !/'.10 3ak%s to -! units in t%e Taluk. SISI, Govt of India 62 Bagepalli Industrial Perspective Plan
8.11 Karnataka State Khadi & Village Industries Board (KSK&VIB) <%adi > 7illage Industries Board, <olar is providing loan for develop,ent of tin&, s,all and ,ediu, scale industries t%roug% Pattern sc%e,e, $B$ Sc%e,e, 99GB Sc%e,e. T%e details of loan dis)ursed )& t%e Board t%roug% t%ese sc%e,es is given )elo6. Loan disbursed by the Board as on 31.03.2003 Scheme No. of Units Loan Disbursed (in Lakhs) Grant / Margin Money Total Rs. in Lakhs Pattern '. 10.9! 0.1* 11.1. $B$ +- 1.+.!' -*./+ !+0.0. Source : <7IB, <olar A. REGB #ural industriali5ation %as )eco,e a slogan a,ong polic& ,akers for t%e uplift,ent of t%e rural areas and reducing disparities )et6een rural and ur)an people and %ence reducing ,igration fro, rural areas to ur)an. <%adi > 7illage Industries %as a ,a?or role to pla& in t%e rural industriali5ation process t%roug% #9GB. T%e Board proposed for e=tending financial facilities to . units under #ural 9,plo&,ent Generation Progra,,e Sc%e,es in t%e Taluk, during !00-:!!0. SISI, Govt of India 63 Bagepalli Industrial Perspective Plan
Chapter -9 Industrial Scenario A stud& of t%e present industrial structure of Bagepalli Taluk 6ill ena)le us to kno6 t%e e=tent to 6%ic% t%e Taluk %as developed industriall& and t%e t&pe of industries t%at %as co,e up in t%e taluk so far. 2etailed anal&sis of t%e e=isting industrial scenario 6ill %elp us to avoid suggesting ,ore of t%ose industries 6%ic% %ave alread& co,e up in t%e Taluk in ade@uate nu,)er. T%is 6ould avoid esta)lis%,ent of superfluous e=cessive industries, 6%ic% ,a& )e redundant resulting in sickness. Bagepalli Taluk %as not ,ade ,uc% %ead6a& in industrial develop,ent. It lags )e%ind ot%er industriali5ed districts of t%e State like Bangalore ;1r)an0 district, "&sore district, 2%ar6ar district, 2< district and Belgau, district. 9ven t%oug% t%e taluk is endo6ed 6it% ric% agricultural, ,ineral and %orticultural resources, t%eir potentialities %ave not )een properl& %arnessed for industrial purpose. T%is slo6 pace of industriali5ation is also due to inade@uate industrial infrastructural facilities. T%e ot%er ,a?or factors attri)uted for lack of industrial develop,ent in t%e Taluk is t%e a)sence of large and ,ediu, scale industries, 6%ic% are capa)le of pro,oting various ancillar& and tin& s,all scale enterprises in t%e Taluk. As on '1.0'.!00-, t%ere are **- tin& and s,all scale industries 6it% an invest,ent of #s. 1/+'.+. 3ak%s e,plo&ing ''.. persons in t%e Taluk. Mear:6ise gro6t% of "icro and S,all Scale 9nterprises esta)lis%ed in t%e Taluk during * &ears is given t%e Ta)le )elo6 : Year No. of Units Investment in Plant & Machinery ( Rs. in Lakhs ) Employment in persons !001:0! !- ++./+ 1!0 !00!:0' 1+ /-./! 19+ !00':0+ 11 +*.9. +9 !00+:0* 1- 1.9.-0 99 !00*:0- '- !+..'- !!1 Source : 2istrict Industries $entre, <olar SISI, Govt of India 64 Bagepalli Industrial Perspective Plan
T%e ,a?or industrial activities of t%e Taluk include flour ,ills, edi)le oil, silk, general engineering, gar,ents and tailoring, rice ,ills, )ricks and tiles, leat%er , and ot%ers. $ategor&:6ise industries developed in t%e Taluk is as follo6s : Sl. No. Activity 2001-02 2002-03 2003-04 2004-05 2005-06 1. 4lour "ill - : : ! * !. 9di)le 8il ! : ! 1 1 '. Silk ! * 1 : 1! +. #ice "ills ' ! : : 1 *. Bricks > Tiles ' : : : : -. 2.T.P. ! : : : : .. General 9ngineering ! : 1 1 1 /. Gar,ents > Tailoring 1 : 1 ' - 9. 4ood 1 : 1 1 1 10. Printing : 1 : : : 11. "etals : 1 1 : : 1!. Bood )ased 1 ! : 1 1 1'. 3eat%er products : : 1 : ! 1+. "ineral )ased : : : : 1 1*. "ineral Bater : : : : 1 1-. 8t%ers ' ' ' . * Source : 2istrict Industries $entre, <olar It can )e o)served fro, t%e Ta)le t%at t%e Bagepalli Taluk is t%e ,ost industriall& )ack6ard Taluk of t%e district, t%oug% t%e Taluk is endo6ed 6it% natural and %u,an resources. ence, t%ere is i,,ense scope for develop,ent of tin&, s,all, ,ediu, and large scale enterprises during t%e five &ear prospective plan. SISI, Govt of India 65 Bagepalli Industrial Perspective Plan
9.1 Clusters T%e ,a?or clusters e=isting in t%e Taluk are Agar)at%i, $andle ,aking and andloo,s. T%e details of t%e clusters e=isting in t%e Taluk are C Sl. No. Location Activity No. of clusters Agency involved 1. 9lla,pall& Agar)at%i *0 SGAs !. 8ogalanagepall& $andle ,aking '0 SGAs '. <onda,varapall& andloo,s *0 $o:operative Societ& Source : 2istrict Industries $entre, <olar 9.2 Textiles and Handlooms $otton, Silk and 6ool are t%e ,a?or %andloo,s and te=tiles e=isting in t%e Taluk. 2etails of t%e sa,e as on '1.0'.!00- is as follo6s : Activit& (o. of units Silk !. $otton 1- Total +' Source : 2ept. of andloo,s > Te=tiles, <olar SISI, Govt of India 66 Bagepalli Industrial Perspective Plan
9.3 Artisans At grass root level, artisans for, an i,portant seg,ent of t%e population 6%o are engaged in t%e traditional t&pe of industrial activit&. T%e& ,ostl& need t%e local de,and for various goods and services. "a?or categories of Artisans in t%e Taluk are found in Silk #eeling, Tailoring, 2%o)i, Potter&, $arpentr&, Ba,)oo, Bar)er, Agar)at%i, etc., as per 199+ $ensus . T%e details of Artisans found in t%e Taluk is given )elo6 : Sl. (o. Trade (o. of Artisans 1. Silk reeling '100 !. Tailoring -!+ '. 2%o)i '00 +. $%a,,arike !9* *. $arpentr& 1+* -. Agar)at%i 1/0 .. Ba,)oo 1*0 /. Blacks,it% 11* 9. Iell& $rus%ers 100 10. Bar)er 100 11. $oir -! 1!. $otton 6eaving '0 1'. #ope ,aking '0 1+. "asons !0 1*. S%eet "etal 10 1-. "otor re6inding !0 1.. General 9ngineering 1* 1/. Golds,it% 10 19. Auto,o)ile * !0. #adio > T.7. * Source : <7I, 2I$, OP, <olar SISI, Govt of India 67 Bagepalli Industrial Perspective Plan
Chapter-10 SWOT Analysis 2evelop,ent of industries 6ould facilitate t%e greater utili5ation of do,estic ra6 ,aterials and contri)ute significantl& to t%e e,plo&,ent gro6t%. T%e %u,an and ,aterial resources of t%e Taluk can )e ,anaged efficientl& to t%e develop,ent of industries in t%e Taluk. Industriali5ation assu,es para,ount significance. T%e sector is t%e corner stone of econo,ies of t%e Taluk. It is t%erefore, necessar& to focus attention on t%e develop,ent of industries in t%e Taluk, so as to ac%ieve /N industrial gro6t% and overall develop,ent of econo,& of t%e Bagepalli Taluk, since Bagepalli is ideal place to pro,ote industries in ,ulti:di,ensional 6a&. Anal&sis of industrial )ase of t%e Bagepalli Taluk is presented considering t%e natural resources, social, co,,ercial and p%&sical infrastructure facilities availa)le 6%ic% are as follo6s : 10.1 STRENGTHS : 1. Horticulture : Bagepalli Taluk is endo6ed 6it% a)undant of %orticulture crops. "a?or vegeta)les gro6n in t%e Taluk are To,ato, Potato, 8nion, Beans, Green $%illies, 3adies finger, #adis%, 2ru, stick, 3eaf& vegeta)les, etc. T%e ,a?or 4ruits gro6n in t%e Taluk are "ango, Banana, Guava, etc. T%e ,ain spices gro6n in t%e Taluk are Ta,arind, 2r& $%ill&, etc. 2. Agriculture : T%e ,ain agriculture crops gro6n in t%e Taluk are "ai5e, #agi, Tur and ot%er $ereals, 8il Seeds like Ground nut and Sunflo6er are e=tensivel& gro6n in t%e Taluk. 3. Mineral Resources : T%e Taluk %as ric% ,ineral resources suc% rock& %ills, granite deposits, )uilding stone deposits 6%ic% are availa)le in large @uantit& in t%e Taluk. SISI, Govt of India 68 Bagepalli Industrial Perspective Plan
4. Animal Husbandry : Ani,al us)andr& activities co,prising develop,ent of dair&, poultr&, s%eep, goat, pigger&, etc., pla& a vital role in t%e develop,ent of talukAs econo,&. 5.. Sericulture : Sericulture is a la)our intensive sector and provide direct and indirect e,plo&,ent to rural people. 6. Tourism Development : Bagepalli Taluk is ric% in rock& %ills and is pro,inent for its te,ples, 6%ic% attracts t%e tourist, 6it%in and outside t%e State ence t%ere is a i,,ense scope for develop,ent Touris, activities in t%e Taluk. 7. Agro Climatic Conditions : T%e Taluk is endo6ed 6it% e=cellent agro cli,ate conditions 6%ic% are conducive, particularl& for develop,ent of %orticulture, floriculture, sericulture, agriculture, plantation crops, aro,atic plants, ,edicinal plants, t%e sectors %aving i,,ense e=port potential. T%e soil condition for cultivation for t%ese crops is so e=cellent. 8. Infrastructure development efforts : T%e Govern,ent %as proposed to ac@uire a land of '00 acres near (:. near t%e Taluk ead Luarter for develop,ent of industrial area. "an& industries could set up in t%e proposed industrial area. 9. A well specified industrial policy : <arnataka Govern,ent %as co,e out 6it% a clear cut industrial polic& for five &ear period ;!00-:110 containing a package of incentives and concessions. T%e polic& includes e=peditionAs develop,ent of industrial infrastructure 6it% t%e active participation of private sector, identification of floriculture and )io:tec% industries. . SISI, Govt of India 69 Bagepalli Industrial Perspective Plan
10. Government Schemes : T%e Govern,ent of India and t%e State Govern,ent %as launc%ed ,an& financial sc%e,es for industrial develop,ent. T%e ,a?or sc%e,es for develop,ent of industries are $redit Guarantee 4und Trust, $redit 3inked $apital Su)sid& sc%e,es, P"#M, several plan sc%e,es for t%e develop,ent of 4ood Processing Industries, S6aro5gar $redit $ard Sc%e,e, etc. 11. Human Resources : "anufacturing activit& is a risk taking ?o), %u,an resource, particularl&, tec%nical and skill 6orkers constitute a ,a?or instru,ent of econo,ic develop,ent of Taluk. T%e Taluk %as ric% in tec%nocrats and skilled 6orkers for esta)lis%,ent of industrial pro?ects. 10.2 WEAKNESSES : 1. Entrepreneurship : Inade@uate entrepreneurs%ip a,ong t%e local people of t%e Taluk is t%e ,ain dra6 )ack for industrial gro6t%. 2. Large and Medium Scale Industries : (on e=istence of large and ,ediu, scale industries esta)lis%ed )& pu)lic and private partners%ip in t%e Taluk is t%e ,ain cause for develop,ent of tin&, s,all and ,ediu, scale enterprises in t%e for, of ancillaries. 3. Absence of Import and Export Facilities : T%e Govern,ent %as not provided i,port and e=port facilities for t%e entrepreneurs in t%e Taluk. SISI, Govt of India 70 Bagepalli Industrial Perspective Plan
4. Road Network : Poor @ualit& of road net6ork in t%e Taluk is t%e ,ain cause for develop,ent of industrial pro?ects. 5. Scarcity of Water : T%e Taluk is droug%t prone and no perennial river flo6s. T%e rainfall and ground 6ater is t%e ,ain source of 6ater. Since, good @ualit& of 6ater is a ,ust for agro )ased industries and large @uantit& of 6ater is re@uired for c%e,ical and ani,al )ased industries. 6. Transport and Communication Bottlenecks : T%e Taluk ead@uarter do not %ave direct rail6a& connection fro, t%e State $apital, Bangalore and also t%ere is no )road gauge line to ot%er Taluks of 2istrict e=cept "alur, Bangarpet and Go6ri)idanur. ence, t%e transport of ,en and ,aterial is not taking place at t%e e=pected level. Since, t%e transport of ,en and ,aterial is ver& difficult, entrepreneurs are reluctant to set up industrial pro?ects. 7. Legal Formalities : T%oug% t%ere is a de,and for land for setting up of industries at Bagepalli and also land is p%&sicall& availa)le, )ecause of legal for,alities, t%e industrialists are not interested in setting up of industries in t%e Taluk. 8. Power Shortage : T%e po6er s%ortage in t%e Taluk is t%e %ig%est. T%e erratic po6er suppl& %as severel& affected t%e industrial production. SISI, Govt of India 71 Bagepalli Industrial Perspective Plan
9. Absence of marketing tie-up arrangements : T%e arrange,ents for ,arketing industrial products t%roug% sale depots and e=%i)itions, $orporations of t%e State Govern,ent, etc., are not esta)lis%ed in t%e Taluk. 10. Poor R&D Facilities : T%e Taluk does not %ave %u,an resource develop,ent E researc% and develop,ent centres and tool design and ,aterial testing la)oratories. 11. Lack of Technology for Mineral Processing : 3ack of strong processing and ,ining tec%nolog& )ack:up, e=traction of roug% )locks and irregular s%apes of finis%ed ,ineral products spoil t%e ,arket and fetc%es lo6 prices. Besides, poor tec%nolog& and slo6 pace of tec%nolog& upgradation li,its ,arket opportunities )ot% internal and e=ternal. 12. Inadequate Incentives and Financial Support : "ost of t%e co,,ercial Banks e=isting in t%e Taluk insist for collateral securit& for e=tending t%e credit facilities 6%ic% is not possi)le for t%e entrepreneurs. Besides, t%ere is a)nor,al dela& in i,ple,enting govern,ent policies and progra,,ers and sanctioning t%e loans )& t%e Banks and 4inancial Institutions. ence t%e e=isting credit flo6 to industrial sector in t%e Taluk is ver& poor. (on:cooperative attitude fro, t%e Banks and 4inancial Institutions is t%e ,a?or cause for industrial )ack6ardness of t%e Taluk. Inade@uate Incentives and 4inancial Support fro, Govern,ent, Banks and 4inancial Institutions affected t%e industrial progress of t%e Taluk. T%e entrepreneurs are not getting sufficient 6orking capital funds fro, t%e Banks and 4inancial Institutions. SISI, Govt of India 72 Bagepalli Industrial Perspective Plan
13. Inadequate Training and Marketing Support : Inade@uate Infrastructure facilities like training and ,arketing support continue to plague and i,pede t%e progress of industrial sector in t%e Taluk. 10.3 OPPORTUNITIES : 1. Export Oriented Projects : T%e Taluk %as i,,ense scope for setting up of e=port oriented pro?ects in t%e field of "ineral, orticulture, Agriculture, 4loriculture, Sericulture, 2air& as a t%rust areas and e=port earners . 2. Water Supply through major rivers : T%ere is a proposal of 6ater suppl& t%roug% $%itravat%& river and t%e Govern,ent %as planned for suppl& of 6ater t%roug% ot%er ,a?or rivers of t%e State for industrial purpose. Besides, t%ere is good 6ater sources t%roug% Bore 6ells. If t%ese proposals are i,ple,ented a large nu,)er of ,ineral )ased, agro:)ased, ani,al %us)andr& and c%e,ical )ased industries could )e esta)lis%ed in t%e Taluk. 3. International Airport : International Airport is co,ing up near 2evana%alli, %ence, t%ere is good scope for e=port oriented units particularl&, floriculture and %orticulture activities, to co,e up in t%e ne=t five &ears. T%e upco,ing International Airport 6ill provide a direct link 6it% t%e International "arket. 4. Tourism Projects : T%ere is a scope for Touris, Pro?ects like #esorts, 4ast 4ood $enters, A,use,ent and Bater Park 6%ic% could )e set up in t%e ne=t five &ears in t%e Taluk ead @uarter and ot%er pro,inent se,i %o)lis. SISI, Govt of India 73 Bagepalli Industrial Perspective Plan
5. Extensive Use of Agricultural and Processed Foods : T%e e=tensive use of agricultural and Processed 4oods in Bestern countries pro,ises a tre,endous scope for setting up of agro )ased industries in t%e Taluk. 9,erging de,and for finis%ed SSI products 6ill give ne6 invest,ent opportunities in t%e Taluk. 6. Dairy based Projects : T%e Taluk %as an e=cellent scope for esta)lis%ing ,odern 2air& )ased Pro?ects like "ilk Processing and "ilk )ased products. 7. Opportunities for Key Sectors : T%ere is vast scope for setting up of 9lectronic units, "ec%anical co,ponents, Soft6are, ard6are and Bio:Tec%nolog& in t%e Taluk. 8. Floriculture activities : Borld consu,ption of cut flo6ers 6ill offer e=cellent opportunities for esta)lis%ing floriculture pro?ects in t%e Taluk. 9. Sericulture Projects : T%e activities in t%e Sericulture Sector include t%e cultivation of "ul)err& and 6eaving of silk 6or,s for production of cocoons. T%e cultivation of "ul)err& in t%e taluk is in e=tensive. T%ere are i,,ense opportunities for post : cocoon activities like reeling, t6isting, 6eaving, d&eing, printing, etc. 10. Post and Telecommunication Network : T%ere is good Post and Teleco,,unication (et6ork in t%e Taluk for @uick co,,unication fro, Taluk ead Luarters to ot%er places. SISI, Govt of India 74 Bagepalli Industrial Perspective Plan
11 . Modernisation : T%ere is i,,ense scope for ,oderni5ation E diversification of e=isting units in t%e Taluk. Besides, t%ere is also scope for encouraging t%e units in service sectors. 10.4 THREATS : 1. Competition: 9,erging co,petition fro, countries like $%ina poise t%e pro)le, to Sericulture industries in t%e Taluk and also t%ere is acute co,petition fro, )randed products. 2. Globalization: 2ue to Glo)alisation and agree,ent 6it% BT8 t%e foreign goods are i,ported 6it%out an& restrictions. T%e industries particularl& tin& and s,all scale enterprises are una)le to co,pete 6it% foreign industries 6it% regard to cost of production and @ualit&. 3. Multi National Companies As t%e production of "ulti (ational $o,panies is at large scale so t%e over%ead cost is ,ini,i5ed and t%e& are a)le to sell at lo6est cost. But t%e do,estic industries 6%ic% are co,ing up in t%e ne=t five &ears 6ill face t%ese kind of t%reats fro, "($s . 4. Market Fluctuations : ig% e=port ,arket fluctuations and unorgani5ed ,arket of oil industr& is anot%er t%reat in t%e Taluk. 5. Market Intelligence : A)sence of ,arket intelligence, especiall& on c%anging preferences of t%e consu,ers, is t%e ,ain t%reat for industrial develop,ent in t%e Taluk. -. Infrastructure 2eficienc&, (ational $li,atic conditions and t%e Policies of State and $entral Govern,ent are ot%er factors 6%ic% co,e in t%e 6a& of t%reats for industrial develop,ent or industrial gro6t% in t%e Taluk. SISI, Govt of India 75 Bagepalli Industrial Perspective Plan
Chapter-11 Salient Features of the Central & State Government Schemes T%e develop,ent of s,all scale industries %as )een t%e ,ost significant feature of industrial develop,ent in India, since Independence. S,all and ,ediu, scale enterprises constitutes an i,portant seg,ent of industrial sector of our national econo,&. T%is sector %as sti,ulated econo,ic activit& to a far reac%ing ,agnitude. Because of its s%ort gestation period, suita)ilit& for )eing set up in rural and se,i ur)an areas 6%ere infrastructure is not 6ell developed, lo6er capital output ratio > %ig%er e,plo&,ent potential for capital e,plo&ed, S,all and "ediu, Scale Sector is considered as an i,portant tool in pro,oting econo,ic develop,ent and generating e,plo&,ent opportunities. T%is sector toda& accounts for +0N of total industrial output '/N of e=ports and /0N of industrial e,plo&,ent. Its contri)ution to e,plo&,ent is ne=t onl& to t%at of agriculture. T%e S,all Scale Sector occupies an i,portant position in an& developing econo,& t%e 6orld over. 4ast c%anging glo)al econo,ic scenario %as t%ro6n up ,an& opportunities and c%allenges to t%e S,all Scale Industries in India. B%ile, on t%e one %and, ,an& opportunities %ave opened up for t%e s,all scale sector to en%ance productivit& and look for ne6 ,arkets in ot%er countries, it %as also put an o)ligation on t%e, to upgrade t%eir co,petence in ter,s of tec%nolog&, ,anage,ent > financial strengt% to successfull& ,eet t%e glo)al co,petition. <eeping t%e i,portance of t%is sector in vie6, t%e Govern,ent of India and State Govern,ents %ave launc%ed ,an& sc%e,es 6%ic% are )eing i,ple,ented in t%e Taluk. T%e salient features of so,e of t%e i,portant sc%e,es are %ig%lig%ted. SISI, Govt of India 76 Bagepalli Industrial Perspective Plan
11.1 Credit Guarantee Fund Trust T%is Trust is operated t%roug% SI2BI. T%e Trust e=tends guarantee to t%e credit facilities e=tended )& t%e eligi)le lending institutions upto a ,a=i,u, of #s. !* lak%s. T%is facilit& is e=tended in respect of a single )orro6er to raise loan 6it%out an& collateral securit& andEor t%ird part& guarantee. 11.2 Ministry of Food Processing Industries (MFPI) Schemes "inistr& of 4ood Processing Industries ;"4PI0, Govern,ent of India, (e6 2el%i, is operating several Plan Sc%e,es for t%e develop,ent of different seg,ents of food processing industr&. "4PI provides grant:in: aid assistance P !*N of plant > ,ac%iner& and tec%nical civil 6orks cost su)?ect to a ,a=i,u, of #s. *0.00 lak%s to eligi)le units for setting up E e=pansionE ,odernisation of food processing industries. T9$S8< is t%e State (odal Agenc& ;S(A0 for i,ple,enting Plan Sc%e,es of "4PI in <arnataka. 11.3 Credit Linked Capital Subsidy Scheme (CLCSC) for technology Upgradation for Small Scale Industries Govern,ent of India %as introduced t%e $3$S$ for tec%nolog& upgradation of SSI units. T%e sc%e,e ai,s to facilitate tec%nolog& upgradation in t%e specified products E su):sectors )& providing 1!N capital su)sid& for induction of proven tec%nologies approved under t%e sc%e,e. 11.4 Prime Minister Rozgar Yojana (PMRY) 1nder t%is sc%e,e, financial assistance is e=tended to educated une,plo&ed &out%s to set up self:e,plo&,ent ventures. T%e financial assistance is e=tended for setting up of ,icro enterprises relating to service, )usiness and ,anufacturing. 1nder t%is sc%e,e, t%e pro?ect cost is li,ited to a ,a=i,u, of #s. 1.00 lak% in case of )usiness activit&, ,a=i,u, of #s. !.00 lak%s in case of ,anufacturing E service activities and ,a=i,u, of #s. 10.00 lak%s for partners%ip fir,s. 4or individual pro?ects, t%e su)sid& is li,ited to 1*N of pro?ect cost 6it% a ,a=i,u, ceiling of #s. .,*00. In case of partners%ip, t%e su)sid& is su)?ect to individual ad,issi)ilit& and ceiling ;,a=i,u, of 1*N of pro?ect cost and su)sid& for individual partners is li,ited to #s. .,*000. SISI, Govt of India 77 Bagepalli Industrial Perspective Plan
11.5 Margin Money Scheme <7IB E <7I$ provides ,argin ,one& assistance for setting up village industries t%roug% co,,ercial )anksE##BEprivate sector )anks. T%e ,argin ,one& is given P !*N of t%e pro?ect cost ;)ack end su)sid&0 for t%e pro?ects 6it% invest,ent level upto #s. 10.00 lak%s. In respect of )eneficiaries fro, 6eaker sections ;S$EST, P, 8B$, 6o,en, e=: service,en and ,inorit&0 t%e ,argin ,one& is given P '0N of t%e pro?ect cost ;)ack end su)sid&0. 11.6 Urban Self Employment Programme (USEP) for individuals T%e sc%e,e is for individual )eneficiaries for 6%ic% inco,e criteria per fa,il& is #s. !',1'+ 6it% education @ualification )elo6 IQ Std. T%e su)sid& 6ill )e 1*N of t%e pro?ect cost su)?ect to a ,a=i,u, of #s. .,*00. 11.7 National Horticulture Mission (NHM) (ational orticulture "ission ;("0 is )eing i,ple,ented in all t%e 2istricts of <arnataka State to pro,ote %olistic gro6t% of t%e %orticulture sector covering fruits, vegeta)les, root and ru))er crops, ,us%roo,, spices, flo6ers, aro,atic plants, cas%e6 and cocoa. T%e ,ain o)?ectives of t%e "ission are : : To provide %olistic gro6t% of t%e %orticulture sector t%roug% an area )ased regionall& differentiated strategies 6%ic% include researc%, tec%nolog& pro,otion, e=tension, post:%arvest ,anage,ent, processing and ,arketing, in consonance 6it% co,parative advantage of eac% State E region and its diverse agro: cli,atic feature. : To en%ance %orticulture production, i,prove nutritional securit& and inco,e support to far, %ouse%olds. : To esta)lis% convergence and s&nerg& a,ong ,ultiple on:going and planned progra,,es for %orticulture develop,ent. : To pro,ote, develop and disse,inate tec%nologies, t%roug% a sea,less )lend of traditional 6isdo, and ,odern scientific kno6ledge. : To create opportunities for e,plo&,ent generation for skilled and unskilled persons, especiall& une,plo&ed &out%. SISI, Govt of India 78 Bagepalli Industrial Perspective Plan
11.8 Swarozgar Credit Card (SCC) Scheme T%is sc%e,e 6as announced on 1*./.!00'. 1nder t%is sc%e,e, 6orking capital assistance is e=tended to s,all artisans, %andloo, 6eavers, service sector, fis%er,an, self:e,plo&ed persons, ot%er ,icro entrepreneurs etc., t%roug% t%e )anks in a fle=i)le and %assle free ,anner. 11.9 Swarna 1ayanthi Gram Swarozgar Yojana (SGSY) T%e o)?ective of SGSM sc%e,e is to assist poor for eradicating t%e povert& and to )ring ever& assisted fa,il& a)ove t%e povert& line in rural areas. T%e sc%e,e covers all aspects of self:e,plo&,ent suc% as organisation of poor into self:%elp groups, training, credit, tec%nolog&, infrastructure and ,arketing. Preference is given for self:%elp groups ;SGs0. 4or individuals, '0N of t%e pro?ect cost 6it% a ceiling of #s. .,*00E: 6ill )e given as su)sid&. 4or S$EST, *0N of t%e pro?ect cost 6it% a ceiling of #s. 10,000 is given as su)sid&. 4or groups, *0N of t%e pro?ect cost su)?ect to ceiling of #s. 1.!* lak%s is given as su)sid&. 11.10 Swarna 1ayanthi Shahari Rozgar Yojana (S1SRY) T%e SIS#M progra,,e is i,ple,ented in all to6ns falling under t%e 1r)an local )odies of an& categor& irrespective of t%e population. 11.11 Development of Women and Children in Urban Areas (DWCUA) for SHGs T%is is a su):sc%e,e of SIS#M )eing i,ple,ented to assist poor 6o,en fro, ur)an areas to ena)le t%e, to set up self:e,plo&,ent ventures. T%e 2B$1A group consists of . to 10 6o,en ,e,)ers fro, t%e BP3 fa,ilies 6it% annual inco,e level of #s. !',1'+E:. All activities to )e financed s%ould )e on group )asis i.e. pro?ect for t%e group as a 6%ole. T%e sc%e,e involves *0N su)sid& on t%e pro?ect cost su)?ect to a ceiling of #s. 1.!* lak%s and t%e )alance in t%e for, of )ank loan and ,argin ,one& P *N. to )e contri)uted )& all ,e,)ers of t%e group. SISI, Govt of India 79 Bagepalli Industrial Perspective Plan
11.12 Scheme of Karnataka Minorities Development Corporation(KMDC) 1nder t%e S6a6ala,)ana Sc%e,e, eligi)le persons are financiall& assisted for i,proving )usiness, starting s,all scale industries, services, agriculture, etc., t%roug% t%e Banks and <S4$. To )eco,e eligi)le for assistance under t%e Sc%e,e, t%e applicant, age li,it of 1/:-0 &ears, ,ust )e a per,anent resident of <arnataka )& )irt% or do,icile and )elonging to t%e religious ,inorit& group. T%e total annual inco,e of t%e applicantAs fa,il& s%ould not e=ceed #s. !!000. T%e applicant needs to %ave necessar& skills and e=perience to start t%e )usiness E take up t%e activit& on %is o6n. T%e $orporation 6ill identif& t%e appliclants and for6ard t%e applicantions to t%e )ank concerned for verification of via)ilit& and feasi)ilit& of t%e pro?ect. T%e 2istrict $o,,ittee 6ill approve t%e sanctioned proposals and reco,,end to t%e corporation for reaolise of ,argin ,one& loan and su)sid& co,ponent. It provides ,argin ,one& loan at .N per annu,. T%e 4inancial institutions 6ill release t%e total loan including ,argin ,one& and su)sid& to t%e )eneficiaries. SISI, Govt of India 80 Bagepalli Industrial Perspective Plan
ANNEXURE-I PROMOTIONAL INSTITUTIONS IN THE DISTRICT / TALUK AND THEIR ROLE IN THE DEVELOPMENT OF MICRO, SMALL AND MEDIUM ENTERPRISES 1. S,all Industries Service Institute, Govt. of India, "in. of Industr&, #a?a?inagar Indl.9state, Bangalore.*-0 0++ P%. 0/0 !''*1*/1:!:' 2irector : 0/0 !''*1*+0 4a= : 0/0 !'1++*0- 9:,ail : sisibngvsnl.com Be)site : www.sisikarntaka.org www.sisisubcontract.org 8vide: Provides co,pre%ensive range of facilities and services and assists entrepreneurs in setting up ne6 units, selection of products, preparing pro?ect reports for t%e selected products. - Infor,ation on selection of ,ac%iner&, ra6 ,aterials and personnel. - Identif&ing and solving tec%nical and ,anagerial pro)le,s. - #egistration of s,all scale units 6it% (SI$ to suppl& t%eir products to Govern,ent under Govt. Stores Purc%ase Progra,,e. - $onducting training courses in various tec%nical trades, 92Ps, "2Ps, S2Ps, etc. - Provides co,,on facilit& services and training in 6orks%op, c%e,ical, glass and cera,ic la)oratories, %osier& E gar,ents. - "odern tec%nolog& pertaining to details of ,ac%ineries, ra6 ,aterials, ,arketing etc., t%roug% Tec%nolog& #esource $entre - Providing escort services, speciali5ed consultanc& for %o,ogenous groups over a period of ti,e t%roug% cluster develop,ents. - Assisting t%e entrepreneurs in participating in International Trade SISI, Govt of India 81 Bagepalli Industrial Perspective Plan
! (ational S,all Industries $orpn. Govt. of India 1ndertaking, *>-, Iron > Steel $o:operative Societ& Bldg.,#a?a?inagar Industrial To6n, Bangalore C *-0 0++ P%. : 0/0 !''0..90 : 9 4a= : 0/0 !!'0-/1+ '. S,all Industries 2evelop,ent Bank of India, <%ani?a B%avan, 9ast Bing, #ace course #oad, Bangalore C *-0 001 P% : 0/0 !!!0.1.9 E !!!0.!!* !!!0.!!. +. Tec%nical $onsultanc& Service 8rganisation of <arnataka Basava B%avan, Basaves6ara $ircle, #ace $ourse #oad, Bangalore : *-0 001 P : 0/0 !!!--1+! 4a= : 0/0 !!!--1'/ *. $o,,issioner for Industrial 2evelop,ent > 2irector of Industries > $o,,erce, (o. +9, <%ani?a B%avan, #ace $ourse #oad, Bangalore C *-0 001 P%. 0/0 !!'/-.9- E !!'/9901 : 0/ -. <arnataka 1d&og "itra ++, <%ani?a B%avan, Sout% Bing, #ace $ourse #oad, Bangalore C *-0 0*! P% : 0/0 !!!/!'9! E !!!/*-*9 E !!!/--'! 4airs.
- Suppl& of indigenous and i,ported ,ac%ineries on %ire purc%ase )asis and ,arketing assistance, suppl& of selected ra6 ,aterials and )ill discounting facilities. - Provides financial assistance for pro,otion and develop,ent of s,all scale industries t%roug% pri,ar& lending institutions like State 4inancial $orporations, State Industrial 2evelop,ent $orporations and Banks 6%ic% %ave a 6ide net 6ork of )ranc%es. - Provides assistance in product selection. - Preparation of pro?ect reports etc.
- I,ple,entation of Govt. policies 6it% regard to SSI, large and ,ediu, scale industries, industrial cooperative and act as a liaison agenc& )et6een Govt. of India, Govt. of <arnataka and 2I$s in t%e State. - Issuing of license to large scale industries 6it% invest,ent a)ove #s.'0 crore to 100 crores and act as a nodal agenc& for all t&pes of clearances and provides escort services. SISI, Govt of India 82 Bagepalli Industrial Perspective Plan
4a= : 0/0 !!!--0-'
.. <arnataka Industrial Area 2evelop,ent Board, #.P B%avan, II 4loor, #.P B%avan, ! nd 4loor, (rupat%unga #oad, Bangalore :.*-0 00! P : 0/0 !!!1*'/' E !!!110-- 4a= : 0/0 !!!1..0! / <arnataka andloo, 2evelop,ent $orporation. 3td. (o. 1, Pri&adars%ini $o,ple=, Tank #oad, 1lsoor, Bangalore C *-0 0+! P%. : 0/0 !**.*+!1 E !**.*!00 4a= : 0/0 !**.*+!1 9. <arnataka State andicrafts 2evelop,ent $orporation. $auver& B%avan, ".G #oad, Bangalaore : *-0001 P% : 0/0 !**/!.9' E !**/!-*- 10 <arnataka $leaner Production $entre, (o. ', "iller Tank #oad, 8ff : $unning%a, #d., Bangalore:*!. P% : 0/0 !!!0010! 11. T%e 2rug $ontroller, Palace #oad, Bangalore : *-0 001. P: 0/0 !!!-!/+- E!!!-+.-0 4a= : 0/0 !!!/-+9! 1!. T%e 2eput& $o,,issioner > 2istrict "agistrate, <olar C *-' 101 P : 9*/1*!:!!!1''E !!!001 - Ac@uires land, develops industrial areas, plots and allots to ,icro, s,all and ,ediu, enterprises. - Providing assistance to %andloo, 6eavers )& 6a& of 6age e,plo&,ent, procure,ent of finis%ed goods, ,arketing, construction of living:cu, 6ork s%eds to t%e 6eavers. - Providing assistance to artisans engaged in %andicrafts products )& 6a& of 6age e,plo&,ent, procure,ent of finis%ed products and ,arketing. - Provides tec%nolog& for environ,ental friendl& industries - 3icence for drug and p%ar,aceutical industries. - $%air,an for 2istrict 3evel Single Bindo6 Agenc& to clear all t%e pro)le,s and provide )enefits to entrepreneurs starting fro, conversion of land fro, agriculture to industrial SISI, Govt of India 83 Bagepalli Industrial Perspective Plan
1*. <arnataka State 4inancial $orpn. $#S $o,ples, (ear <S#T$ Bus Stand, ".2.#oad, <olar C *-'101 P : 0/1*! !!!*'. E !!+.*. 1- <arnataka State Pollution $ontrol Board, <olar 1. $anara Bank : 3ead Bank (e6 9=tension <olar : *-'101 P: 0/1*!:!!!/09 1/ (ational Bank for Agriculture > #ural 2evelop,ent ;(ABA#20, <olar:*-'101 19 <arnataka State <%adi > 7illage Industries Board, <olar C *-' 101 P : 9*/1*! : !!!''9
- A Single Bindo6 interacting agenc& 6it% t%e entrepreneur at t%e district level. T%e& are i,ple,enting agenc& of $entral and State Govern,entsA sc%e,es and progra,,es. - #egistration of industr& . - P"#M for e,plo&,ent generation is i,ple,ented )& 2I$ETI$s - $onstruction, ,aintenance and "anage,ent of Industrial 9states. - Procure,ent and suppl& of certain ra6 ,aterial to S"9s. - Provides financial assistance for setting up industries. : (8$ under pollution control, if applica)le - 3ead Bank. 9=tends financial assistance for starting industries and coordinates t%e activities of all financial institutions. - 9=tends financial assistance for develop,ent of (on:far, sector in rural areas. - Provides financial assistance to <%adi, 7illage and $ottage industries in t%e district. Also arranges training progra,,es,
SISI, Govt of India 84 Bagepalli Industrial Perspective Plan
!0 T%e Senior Geologists 2epart,ent of "ines > Geolog& P.$. 9=tension, <olar P : 0/1*! !!!1+.
!1. T%e 2eput& 2irector 2epart,ent of Ani,al us)andr& 2.$. $o,pound, <olar C *-' 101 P : 0/1*! !!''9. !!. T%e 2eput& 2irector Sericulture, <olar C *-' 101 P : !'. T%e Ioint 2irector 2epart,ent of Agriculture 2.$. $o,pound, <olar C *-' 101 P: 0/1*! !!!!+- !+ T%e 2eput& $onservator of 4orest 2.$. $o,pound, <olar C *-' 101 P: 0/1*! !!!1.- !*. T%e 2eput& 2irector 2epart,ent of orticulture 2.$. $o,pound, <olar C *-' 101 P: 0/1*! !!-9+1 !- T%e T%asildar > Taluk "agistrate, Bagepalli !+. T%e Assistant 2irector 2epart,ent of Ani,al us)andr& Bagepalli !!. T%e Assistant 2irector Sericulture, Bagepalli
!' T%e Assistant 2irector 2epart,ent of orticulture - Provides details of ,inerals suc% as rocks, granite deposits availa)le and Issues @uarr& lease licence - Provides details of cattle, )uffaloes, s%eep, goats and ot%er ani,als availa)le - Provides details of cocoons and ot%er sericulture activities gro6n. - Provides t%e details of agricultural crops gro6n in t%e district for Industrial purpose. - Provides t%e details of forest produce gro6n in t%e district. - Provides details of fruits, vegeta)les, flo6ers gro6n in t%e district. - 4or6ards applications for conversion of land for industrial purpose in t%e Taluk. - Provides details of cattle, )uffaloes, s%eep, goat and ot%er ani,als gro6n in t%e Taluk - Provides t%e details of sericulture crops, cocoon production in t%e Taluk. - Provides details of fruits, vegeta)les, flo6ers gro6n in t%e Taluk SISI, Govt of India 85 Bagepalli Industrial Perspective Plan
Bagepalli ANNEXURE - II New Industrial Policy 2006-2011 T%e (e6 Industrial Polic& and t%e incentives package s%all )e dee,ed to %ave co,e into effect fro, 1.+.!00- and 6ill %ave a span of five &ears t%ere fro, i.e. upto '1.0'.!011. 1. Introduction: 1.1 <arnataka is one of t%e top * industriali5ed States in t%e countr&. It %as a %istor& of pioneering industrial develop,ent initiatives since t%e ti,e of t%e Princel& State of "&sore and su)se@uentl& in t%e post independence era. T%e state 6as t%e first in t%e countr& to %ave )roug%t out a state industrial polic& during 19/', follo6ed )& successive State Industrial Policies in 19//, 1990, 199- and in !001. 1.! 2uring t%e ?ust concluded !001:!00- Industrial Polic& period, invest,ent approvals of ,ega pro?ects R6it% invest,ents of over #s.*0 cores eac%S )& t%e State ig% 3evel $learance $o,,ittee RS3$$S and large > ,ediu, pro?ects )& t%e State 3evel Single Bindo6 Agenc& RS3SBAS %ave s%o6n sustained increaseEgro6t%. T%e nu,)er of pro?ects approved )& t%e S3$$ is 1+/ 6it% an invest,ent of #s. 1,1*,//! crores and e,plo&,ent potential of 11,0',/!+ persons. Si,ilarl&, t%e nu,)er of pro?ects approved )& S3SB$$ is /-1 6it% an anticipated invest,ent of #s. 19,0+'..' $rores and e,plo&,ent potential *,90,/-9 persons. 2uring t%e sa,e polic& period -*,!'1 SSI units registered 6it% #s. !,0.9.-! cores of invest,ent and provide e,plo&,ent to !,9*,+/. persons. 1.' T%e State G2P gro6t% rate during !00*:0- is /..N 6it% industrial sector accounting for 1/N. aving regard to t%is it is felt t%at t%e ne6 polic& s%ould %ave a ,ission to ac%ieve GS2P gro6t% of over 9N. 1.+ T%e industrial recession, 6%ic% 6as prevalent upto !00!:0' %as no6 given 6a& to increased invest,ent > gro6t%, as is evident in t%e &ear C 6ise invest,ent approvals )& S3$$ > S3SB$$. SISI, Govt of India 86 Bagepalli Industrial Perspective Plan
1.* o6ever, t%is increased flo6 of invest,ent need to )e supported 6it% ;i0 8n de,and infrastructure availa)ilit&, ;ii0 u,an resources for diverse sectors, ;iii0 Support to Tec%nolog& 1pgradation, Lualit& I,prove,ent and ;iv0 Single Bindo6 support and facilitation ,ec%anis,, so t%at t%e pro?ects are i,ple,ented e=peditiousl& and go into operation. 1.- Toda&, t%ere is intense co,petition )et6een States for attracting invest,ents. Investors naturall& c%oose t%e state t%at offers )est co,)ination of ;i0 Industrial > Social infrastructure, ;ii0 u,an #esources, ;iii0 Tec%nolog& savv& 6ork force and ;iv0T%e Sate t%at offers F9ase of doing BusinessG. 1.. T%e fiscal E ta=ation regi,e and incentives > $oncession offered )& t%e States and Govern,ent of India also %ave i,portant )earing on t%e locational decision of Pro?ects. 1./ is 9=cellenc&, t%e President of India 2r. A.P.I. A)dul <ala,, in %is address to t%e ,e,)ers of t%e <arnataka 3egislature on !0.11.!00* on t%e occasion of FSuvarna <arnataka $ele)rationsG %ad advocated 11 "issions for <arnatakaAs prosperit&. 8f t%ese, "ission on Te=tiles, Bio:fuel, Agro processing and 9ntrepreneurs%ip are related to industries sector and addressed in t%is polic&. 1.9 Govern,ent accords %ig%est priorit& to t%e o)?ectives of dispersal of industrial invest,ents in various )ack6ard regionEdistricts of t%e State so t%at t%e fruits of econo,ic develop,ent and e,plo&,ent opportunities are s%ared )& all seg,ents of societ& and in all parts of State in as e@uita)le ,anner as possi)le. 1.10 T%e ne6 Industrial polic& !00-:!011 atte,pts to address t%e a)ove aspects in a )alanced ,anner. 2. Vision: !.1 Polic& to %elp facilitate t%e state ac%ieves a GS2P gro6t% of over 9N, 6%ic% in turn call for an industrial sector gro6t% of over 1!N. !.! To focus on strengt%ening of t%e ,anufacturing industr& in t%e State and to increase itAs percentage s%are of t%e GS2P fro, t%e present average of 1-..0N to over !0N )& t%e end of t%e polic& period. SISI, Govt of India 87 Bagepalli Industrial Perspective Plan
!.' To ac%ieve an increased s%are of <arnatakaAs e=port in t%e (ational e=ports fro, t%e present 1*N to !0N )& t%e end of t%e polic& period. !.+ To create additional e,plo&,ent generation to at least 10.00 lak% persons in t%e ,anufacturing and service sectors during t%e polic& period. !.* Pro,ote diversified industrial )ase 6it% strengt% in )ot% old econo,& > ne6 econo,& fields. !.- 4acilitate reduction of regional i,)alance in t%e ,atter of econo,ic opportunities, e,plo&,ent and gro6t%. !.. 9ndeavor to pro,ote sustained industrial gro6t% )& facilitating accelerated flo6 of invest,ents. !./ In s%ort, to pro,ote sustained, gro6t% oriented industriali5ation 6it% e,plo&,ent > revenue generation, for overall socio:econo,ic develop,ent of t%e State. 3. STRATEGY: <eeping t%e a)ove o)?ectives in ,ind t%e Strateg& for furt%er industriali5ation of t%e State during t%e ne=t * &ears 6ould )e: '.1 to classif& various taluk of t%e State into ' 5ones for t%e purpose of focused attention:: ;i0 Zone-1:- .9 Taluks : ,ost E ,ore )ack6ard Taluks as categori5ed )& 2r. 2.". (a?n?undappa $o,,ittee #eport. ;ii) Zone -2 :: /* Taluks C RTaluks not covered in 5one 1 > 'S. ;iii0 Zone -3:- 1! Taluks C of Bangalore 1r)an > #ural 2istricts Re=tending Taluks of <anakapura > "agadiS "angalore and "&sore Taluks. 2etails of Taluks indicated in Annexure -B '.! To develop industrial infrastructure facilities a%ead of t%e re@uire,ents, in various ke& location of t%e State t%roug% t%e SISI, Govt of India 88 Bagepalli Industrial Perspective Plan
<IA2BE<SSI2$. Annuall& a ,ini,u, of *,000 acres of @ualit& industrial infrastructure 6ould )e created during t%e polic& period. Suc% Industrial Areas 6ill )e de'veloped in an integrated ,anner reserving up to !*N of t%e area for %ousing and ot%er social infrastructure. T%e e@uit& )ase of <IA2B 6ould )e strengt%ened t%roug% greater support. '.' <eeping in vie6 t%e fact t%at 6ater is a crucial support re@uire,ent for industriali5ation. Govern,ent 6ould facilitate i,ple,entation of ,ega industrial 6ater suppl& sc%e,es for potential locations t%roug% Special Purpose 7e%icles RSP7sS. '.+ A co,pre%ensive Po6er Polic& 6ould )e for,ulated )& t%e 2epart,ent of 9nerg&. T%is polic& 6ould encourage po6er generation fro, IPPs and also t%roug% captive po6er generation. '.* To ,eet t%e rising energ& re@uire,ents of t%e State on account of rapid industriali5ation, Govern,ent 6ould facilitate preparation of a FGas 2istri)ution "aster PlanG to ena)le pu)licEprivate sector pla&ers to )ring in gas fro, diverse sources for distri)ution. '.- Apart fro, standard infrastructure in t%e for, of industrial areas and industrial estates, speciali5ed industrial infrastructure for specific sectors and Special 9cono,ic Oones R"ulti:Product, Product specific, Sector Specific and 4ree Trade OonesS 6ould )e encouraged to )e esta)lis%ed t%roug% )ot% <IA2B as 6ell as private sector pro,oters. T%e esta)lis%,ent of ,ulti:product specific S9Os 6ill )e encouraged in all districts of t%e state e=cept Bangalore 1r)an 2istrict. o6ever, esta)lis%,ent of S9Os even in Bangalore 1r)an 2istrict 6ill also )e encouraged if t%e proponent of S9O co,es for6ard to do so in %isE%er o6n land or t%roug% a ?oint develop,ent agree,ent 6it% t%e land o6ners. '.. T%e 8(G$ in association 6it% Govt. of <arnataka is alread& i,ple,enting a large "ulti: product S9O t%at 6ould predo,inantl& %ouse petroleu, refining and petro:c%e,ical pro?ects. Govt. 6ould take up 6it% Govt. of India for enlarge,ent of t%e si5e and scope of "angalore S9O 3td. into Petroleu,, $%e,icals > Petro:c%e,icals Invest,ent #egion ;P$PI#0. './ Industrial corridor E $luster develop,ent 6ould )e encouraged in potential locations. SISI, Govt of India 89 Bagepalli Industrial Perspective Plan
'.9 State 6ould encourage alternate partners%ip > financing options for infrastructure develop,ent. '.10 4ocused attention on su):sectors Eareas 6%ere t%e State %as core co,petenc& i.e., Aerospace, 9ngineering, Auto,o)ile, "ac%ine:tools, Steel, $e,ent, P%ar,aceuticals, 4ood Processing, Apparel > Te=tiles, 9lectronics, Infor,ation Tec%nolog&, Bio Tec%nolog& etc.. '.11 In vie6 of t%e fact t%at t%e silk reeling sector in %ig%l& e,plo&,ent oriented, a separate package 6ill )e for,ulated in consultation 6it% t%e Sericulture 2epart,ent. '.1! I,petus for develop,ent of rene6a)le > non:conventional energ& sources t%roug% "ission approac%. '.1' u,an #esources 2evelop,ent : Govern,ent 6ould pro,ote E %elp facilitate esta)lis%,ent of speciali5ed skill develop,ent institutions at ke& locations suita)le for t%e ,anufacturing industries and e,erging vocations in t%e service sector. A sc%e,e of State support t%roug% pu)lic, private partners%ip 6ould )e evolved > i,ple,ented. T%e Govern,ent assistance 6ill )e in t%e for, of providing land and financial assistance for creation of )asic infrastructure facilities as follo6s: ;i0 Grant of up to * acres of Govern,ent land 6ill )e considered along 6it% capital contri)ution of *0N of t%e pro?ect cost su)?ect to a ceiling of #s. ! crores per Training esta)lis%,ent for sector specific training. ;ii0 #ecurring cost for running t%e training institution an a,ount of #s. .*0E: p., E per trainee 6ill )e provided su)?ect to a ceiling of of #s. 1* lak%s per &ear for a period of ' Mears ;iii0 Govern,ent 6ill launc% a ne6 sc%e,e to provide #s..*0E: p.,. stipend for on:t%e:?o) training of une,plo&ed educated &out% for training in different vocations t%roug% industrial E service esta)lis%,ents. T%e Training Institutions 6ould also consider providing ,atc%ing contri)ution to6ards Stipend to t%e trainees and ot%er re@uired facilities during t%e training period. T%e ,odalities of t%e sc%e,e 6ill )e 6orked out )& t%e Govern,ent separatel&. SISI, Govt of India 90 Bagepalli Industrial Perspective Plan
'.1+ Pro,ote Agro 4ood Processing industries in t%e potential location to %elp far,ers reali5e )etter value E price for t%eir produce, t%roug% increased locali5ed processing of agriculture output. As an incentive for setting up of ne6 agriculture produce processing industries, AP"$ cess in respect of suc% procure,ent )& t%e processing industries directl& fro, t%e far,ers 6ill )e e=e,pted. (ecessar& a,end,ents to t%e e=isting la6 6ill )e )roug%t a)out )& t%e $o:operation 2epart,ent in t%is regard '.1* In t%e conte=t of glo)ali5ed econo,&, survival > gro6t% of SSI Sector depend upon its a)ilit& to ,oderni5e, i,prove @ualit& > cut costs. <arnataka $ouncil for Tec%nolog& up gradation R<$T1S 6ould )e strengt%ened to take up pro,otional progra,,es in t%is regard. '.1- Progra,,es for pro,otion of local entrepreneurs%ip 6ould )e strengt%ened t%roug% appropriate restructuring of institutional ,ec%anis, to i,part entrepreneurs%ip training to ',00,000 persons during t%e polic& period. '.1. Special incentives for entrepreneurs setting up units in )ack6ard areas. Additional incentives for units pro,oted )& entrepreneurs fro, t%e categor& of S$EST, "inorit&, Bo,en, P%&sicall& c%allenged > 9=: Service,en. '.1/ Govern,ent 6ould 6ork in close co:ordination 6it% Industr& Associations E $%a,)ers of $o,,erceE Trade )odies to %ave continuous feed )ack on t%e state of industries and t%e support ,easures needed. '.19 I,prove,ent of invest,ent cli,ate and )usiness environ,ent t%roug% decentrali5ed governance ,easure and efficient facilitation. '.!0 Govern,ent 6ould take up co,pre%ensive rationali5ation > si,plification of provisions of various la)our la6s to ena)le fle=i)ilit& > increased productivit& in t%e industr&. '.!1 Govern,ent 6ould co,e up 6it% a separate revival package for sick SSI units and 2I4# cases, after consultation 6it% all t%e stake %olders vi5T Industr& Associations, 4inancial Institutions E Banks, Service Providers, la)our representatives. A clear cut 9=it polic& 6ould )e atte,pted. SISI, Govt of India 91 Bagepalli Industrial Perspective Plan
'.!! 3ocal A,end,ents to T%e S9O Act !00* > #ules !00- R$entral ActS 6ould )e effected providing for state level facilitation > incentives, la)our la6 rationali5ed etc. '.!' T%e B"#2A %as taken up * (e6 To6ns%ips around Bangalore. As per B"#2A "aster Plan econo,ic activities 6ould )e encouraged 6it%in t%ese to6ns%ips )& creating industrial infrastructure. '.!+ T%e 2istrict Industries $entre ;2I$0 Bould )e designated as (odal Agenc& at t%e district level for i,ple,entation of Self 9,plo&,ent Progra,,ers and Self: elps Groups. '.!* Glo)al infor,ation $enters 6ould )e set up at all 2I$s at district %ead @uarters for t%e )enefit of entrepreneurs. '.!- Industr& relevant skills 6ould )e identified and training progra,,e 6ould )e provided to one lak% educated une,plo&,ent &out% for taking self e,plo&,ent ventures and 6age:e,plo&,ent. '.'. T%e govern,ent s%all encourage setting up of various institutions and centres of e=cellence in t%e field of auto,o)ile E ,ac%ine toolsEfood processing E )uilding ,aterials and ot%er fields and also encourage setting up of Tec%nolog& Business Incu)ators in t%ese areas. T%e Govern,ent assistance 6ill )e in t%e for, of providing financial assistance for creation of )asic infrastructure facilities, su)?ect to a ceiling of #s.*0.00 lak%s per incu)ator E centre. '.!/ 9=isting areas of concentration of industries 6ould )e converted in to FIndustrial To6ns%ipG for efficient ,aintenance of civic a,enities and services etc. '.!9 I,ple,entation of <aigarika 7ikas Sc%e,e 6ill )e speeded up for develop,ent of .9 ,ost and ,ore )ack6ard Taluks as identified )& 2r. 2.". (an?unddappa $o,,ittee #eport on redressal of regional i,)alances. G.8.(o. $I 1*+ $S$ !00* dated /:1!:!00* alread& issued for i,ple,entation of t%e sc%e,e 6ill )e integrated 6it% t%is ne6 polic&. It envisages creation of ne6 econo,ic opportunit& )& utili5ing local resources, skill and de,and, )& providing read& to use infrastructure, %u,an resource develop,ent etc. SISI, Govt of India 92 Bagepalli Industrial Perspective Plan
'.'0 <%adi institutions assisted )& <7I$ E <7IB 6ould )e provided i,proved c%arakas for increasing productivit&, 6%ic% in turn, 6ill %elp increased 6age earning )& artisans. '.'1 In order to encourage, sustain and safe guard t%e interest of SSI units of <arnataka, Govern,ent is co,,itted to e=tend t%e facilit& of price preference of 1*N for t%e purc%ases and purc%ase preference ,ade fro, SSIs units of t%e state. T%is incentive as provided in t%e !001:0- polic& 6ould )e e=tended in t%is polic& for ne=t five &ears. '.'! In order to ac%ieve envisaged e=port gro6t% rate of !0N during t%e polic& period 7isvesvar&a Industrial Trade $enter ;7IT$0 6ill )e strengt%ened in t%is regard. '.'' Incentives and concessions for various categories of industries and locations are indicated in Annexure-C. (egative list of units in:eligi)le for incentives > concessions is indicated in Annexure-D. 4 ACTION PLAN : +.1 <IA2B 6ould focus on develop,ent of large industrial areas of *00 or ,ore acres eac% in potential locations. +.! <IA2B 6ould endeavour to co,plete i,ple,entation of S9O pro?ects taken up at assan, "angalore > S%i,oga. +.'. 8ne ti,e 1pgradation of Infrastructure in e=isting industrial areas E estates developed )& <IA2B E <SSI2$ respectivel& 6ould )e carried out. 4inancial assistance 6ould )e provided to <IA2B E <SSI2$ to carr& out t%e 6ork su)?ect to t%e condition t%at t%e 3ocal Aut%orities > Industrial Associations co,e for6ard to take up future ,aintenance. An infrastructure 1pgradation 4und of #s. *00 crores 6ould )e created for t%is purpose. +.+ T%e Apparel Park taken up )& <IA2B at 2odda)allapur and integrated Te=tile park at Anekal, Bellar&, 2avanagere, "&sore, <arnakapura 6ould )e co,pleted and co,,issioned earl&. +.* - 4ood Parks taken up at "alur, Bagalkot, "addur, iri&ur, Ie6argi and Belga, 6ould )e co,pleted )& end of !00.. SISI, Govt of India 93 Bagepalli Industrial Perspective Plan
+.- Govern,ent 6ould adopt t%e F"ega 4ood ParkG concept )eing for,ulated )& "inistr& of 4ood Processing, Govt. of India, for I,ple,entation in select 2istricts )& providing infrastructure, for6ard and )ack6ard linkages. +.. Accelerated develop,ent of food processing industries 6ould )e encouraged. <arnataka %as 11 Agro $li,atic Oones ideall& suited for cultivation of a variet& of cereals, oil seeds, fruits > vegeta)les, spices, flo6ers etc. T%ese agro resources 6ould )e %arnessed to t%e fullest e=tent to create value c%ain for far,ers, processors > consu,ers. +./ Agriculture produce processing industries 6ill )e per,itted to procure agriculture produce like cereals, oil seeds, fruits > vegeta)les directl& fro, far,ers 6it%out going t%oug% t%e AP"$. AP"$ cess in respect of suc% procure,ent )& processing industries 6ould )e e=e,pted. +.9 !* S,all Industrial areas for develop,ent of $luster in potential Taluks t%roug%out t%e State 6ould )e taken up for t%e )enefit of Tin& E SSI 1nits )& <SSI2$ and co,pleted )& !00.:0/ +.10 Private Sector entrepreneurs 6ould )e encouraged to set up a ,ulti: product specific, sector specific and free trade 5ones in various potential locations and need )ased infrastructure support 6ould )e e=tended fro, <IA2B. +.11 Industrial $orridor E $luster develop,ent 6ould )e taken up in potential locations vi5: ;i0 Bangalore:"&sore ;ii0 "&sore:(an?angud, ;ii0 u)li:Belgau,, ;iv0 ospet:Bellar& ;v0 "angaloreC1dupi, ;vi0 B%adravat%i: S%i,oga ;vii0 (ela,angala:<unigal ;viii0 2avanagere: ari%ar ;=i0 <olar:<G4 etc. +.1! u,an #esource 2evelop,ent C A ig% level co,,ittee c%aired )& Principal Secretar& to Govt., $o,,erce > Industries 2epart,ent and 6it% #epresentatives of ig%er 9ducation, IT > BT , Agriculture > orticulture and 7ice:$%ancellor of 1niversities of 7T1E Agriculture 1niversities and ot%ers 6ould )e constituted to 6ork out detailed plans for u,an #esource 2evelop,ent E Skill sets re@uired for various seg,ents of industries. An a,ount of #s. !* $rores 6ould )e ear,arked for t%is purpose. SISI, Govt of India 94 Bagepalli Industrial Perspective Plan
+.1' "an Po6er Training Institutions for e,erging vocations like retailing, Apparels > Te=tiles, construction, repair and service of eart%s ,oving e@uip,ent etc. 6ould )e set up 6it% private sector participation in PPP ,ode. +.1+ A State 3evel Industrial 2evelop,ent $ouncil 6it% onA)le $" as $%air,an "inister for 3arge > "ediu, Industries as 7ice:$%air,an and consisting of captains of Industries, $%iefs of $%a,)er of $o,,erce > Industries E Trade )odies 6ould )e constituted to aid and advise t%e Govern,ent on polic& issues pertaining to industrial develop,ent > Invest,ent pro,otion in t%e State. +.1* Besides p%&sical infrastructure, 4iscal E 4inancial Incentives, t%e ke& aspect ena)ling ti,el& i,ple,entation > co,,issioning of pro?ects is Fde:regulation > eas& of doing )usinessG. T%e <arnataka Industries ;4acilitation0 Act !00! and #ules !00' i,ple,ented ,ore effectivel& for efficient deliver& of services to t%e entrepreneurs. +.1- <arnataka 1d&og "itra 6ould )e strengt%ened and assigned a do,inant role in t%e task of Invest,ent Pro,otion and Investors support to facilitate speed& i,ple,entation of pro?ects. T%e Single Bindo6 "ec%anis, 6ould furt%er )e rationali5ed and strengt%ened to t%is effect. +.1. 1nder <aigarika 7ikasa sc%e,e, GTT$ 6ould set up additional su):centers in tool and die ,aking and i,ple,entation of Sector specific sc%e,e of various Boards and $orporations, $onducting 92PAs #esource ,apping of Taluks, upgradation E $reation of Industrial Infrastructure 6ill )e taken up )& integrating various sc%e,es of ot%er 2epart,ents. 4inancial assistance 6ould )e provided for sector specific sc%e,e i,ple,ented )& Boards E $orporations. +.1/ 9=isting - spindle c%arakas 6ill )e replaced )& / spindle i,proved c%arakas at su)sidi5ed rates t%roug% <%adi institutions assisted )& <7I$ E <7IB in p%ased ,anner to increase productivit& and 6age earnings of artisans. SISI, Govt of India 95 Bagepalli Industrial Perspective Plan
5. TERMS & CONTITIONS: *.1 T%e incentives and concessions under t%is polic& 6ill co,e into force 6it% retrospective effect fro, 1 st April !00-. o6ever Industrial units 6%ic% %ave alread& )eing granted a package of incentives and concessions as per t%e previous policies 6ill continue to en?o& t%e )enefits alread& granted till t%e e=pir& of t%e earlier Sanction 8rders. All ne6 invest,ents ,ade after 1 st April !00- 6ill )e covered )& t%is polic& 6ill continue to en?o& t%e )enefits alread& granted till t%e e=pir& of t%e earlier Sanction orders. All ne6 invest,ents ,ade after 1 st April !00- 6ill )e covered )& t%is polic&. *.! Industrial units are eligi)le for Incentives > $oncessions on ne6 invest,ent ,ade on fi=ed assets onl&. Invest,ent in taken over industrial concerns or assets 6ould not @ualif& for incentives. o6ever for additional invest,ent ,ade )& t%e ne6 entrepreneur during t%is polic& period in creation of ne6 assets under ne6 unit E e=pansion progra,,e 6ould @ualif& for assistance. *.' Incentives and concessions for invest,ent in t%e Infor,ation Tec%nolog& E Bio Tec%nolog& Sectors 6ill %o6ever continue to )e governed )& t%e IT polic& as per Govern,ent 8rder F"AITG and t%e Bio Tec%nolog& Polic&. *.+ Incentives and $oncession as per t%is polic& 6ill not )e availa)le for t%e industries specified in Annesure:'. 5.5 Definitions: AS Tin& Industr&: Tin& scale industries is one in 6%ic% t%e invest,ent in plant and ,ac%iner& is less t%at #s. !* lak%s irrespective of t%e location of t%e unit. BS S,all Scale Industr&: An industrial undertaking is 6%ic% t%e invest,ent in plant and ,ac%iner& 6%et%er %eld on o6ners%ip ter,s or on lease or )& %ire purc%ase does not e=ceed #s. 100 lak%s $S "ediu, > 3arge Scale Industries: An Industrial units 6%ic% is not classified as tin&E s,all Scale EAncillar& Industr& s%all )e classified as "ediu,E3arge Scale Industr&. SISI, Govt of India 96 Bagepalli Industrial Perspective Plan
2S 100N 9=port 8riented 1nits R9=port 8riented 1nitsS: A 100N 9=port 8riented 1nits is one 6%ic% undertakes to e=port its entire production of goods su)?ect to rela=ation as per,itted )& Govt. of India fro, ti,e to ti,e and as defined )& it. Suc% units ,a& )e set up eit%er under t%e 9=port 8riented 1nits or under 9PIP R9=port Pro,otion Industrial ParkS Sc%e,e or under t%e 9TP R9lectronic ard6are Tec%nolog& ParkS sc%e,e or Soft6are Tec%nolog& Park Sc%e,e or Special 9cono,ic Oone. 9S "ega Pro?ect: S%all ,ean pro?ects 6it% an invest,ent of #s. 100 $rore and a)ove in fi=ed assets. 4S 4i=ed Assets: 4i=ed assets s%all ,ean t%e total invest,ent ,ade on land, )uilding and plants and ,ac%iner& and suc% ot%er productive assets like tools, ?igs and fi=tures, dies, utilities like )oilers, co,pressors, diesel generating sets, cranes, ,aterial %andling e@uip,ent and suc% ot%er e@uip,ent directl& related to production purposes. 5.6 SANCTION OF INCENTIVES AND CONCESSION IS SUB1ECT TO THE FOLLOWING TERMS ANS CONSITIONS: AS All ne6 industrial invest,ents s%all create ,a=i,u, possi)le additional e,plo&,ent opportunities and provide a ,ini,u, /0N of e,plo&,ent to t%e local people on an overall )asis R100N e,plo&,ent to local people in case of Group $ > 2 categories 6ill )e insistedS and t%is 6ill )e ,onitored during dis)urse,ent of incentives and concessions. T%e a)ove re@uire,ents regarding e,plo&,ent to local people 6ill )e ,onitored )& t%e 2I$ for a period of * &ears. 4ailure of t%e industries to provide e,plo&,ent to local people as stipulated a)ove 6ill )e reported to t%e concerned 23SBA E S3SB$$ E S3$$, 6%ic% 6ill reco,,end for recover& of invest,ent su)sid& sanctioned to t%e unit, for 6%ic% purpose a suita)le undertaking 6ill %ave to )e furnis%ed )& t%e unit concerned )efore dis)ursal of su)sid&. BS T%e @uantu, of invest,ent su)sid& s%all )e co,puted on t%e value of fi=ed assets as specified in Su) Para:RfS of Para *.* and as approved )& t%e financial institutions, co,,ercial )anks. SISI, Govt of India 97 Bagepalli Industrial Perspective Plan
$S T%e definition of tin&, s,all or ,ediu, and large scale industries as indicated a)ove s%all auto,aticall& stand revised as and 6%en Govern,ent of India ,akes an& c%anges in suc% definition and )enefit under t%is package s%all )e availa)le to t%e Tin&, S,all, "ediu, > 3arge Scale units as per t%e ne6 definition fro, t%e respective dates. 2S T%e validit& of incentives and concessions as per t%is order s%all )e for a period of five &ears fro, 1 st April !00- R i.e. up to '1 st "arc% !011S. 9S B%erever industrial units avail su)sid& under an& ot%er sc%e,es of Govern,ent of <arnataka E Govt. of India onl& differential a,ount of Su)sid&, if an&, 6ould )e provided under t%is polic&. 4S $o,,erce > Industries 2ept 6ould ad,inister t%e package of incentives > concessions under t%is Industrial Polic&. Separate guidelines for ad,inistration of t%ese incentives and concession 6ill )e issued for t%e guidance of t%e concerned agencies and officers. Interpretation of t%is Govern,ent 8rder and t%e decision t%ereon of t%e $o,,erce > Industries 2epart,ent, Govern,ent of <arnataka s%all )e final. SISI, Govt of India 98 Bagepalli Industrial Perspective Plan
Classification of Talukas into Zones for the purpose of administering graded scale of incentives & concessions. Sl. No District Total No. of tqs
Zone-1 Zone -2 Zone-3 Most Backward Taluk More Backward Taluk Backward Taluk Industrially Developed Taluk 1 <olar 11 Bagepalli "ul)agal Gudi)ande Go6rididanur <olar $%ikka)allapur Siddalag%atta "alur Bangarpet $%inta,ani Srinivasapura (I3 SISI, Govt of India 99 Bagepalli Industrial Perspective Plan
ANNEXURE -C Incentives & Concessions for Mega, Large & Medium and Small Scale Industries Sl. No. Type of Incentives Mega Industries Large & Medium Industries Small Scale Industries 1 $apital Invest,ent Su)sid& (il (il Zone-1: !*N of t%e value of fi=ed assets, su)?ect to a ,a=i,u, of #s.1* lak%s per unit Zone-2: !0N of t%e value of fi=ed assets, su)?ect to a ,a=i,u, of #s.10 lak%s per unit. Zone 1&2: Addl. Su)sid& of *N of t%e value of fi=ed assets, su)?ected to a ceiling of #s.1 lak% for S$ESTEPE"inorit& > Q: Service,an entrepreneurs. In case of 6o,en entrepreneurs, t%e ceiling for additional su)sid& 6ould )e #s. * lak%s. Note: This incentive is available only to units financed by KSFC/ KSIIDC/ Banks/ Other financial institutions. Zone 3 (il ! Exemption of Electricity Duty On Captive Power generation $urrentl& availa)le under 9nerg& 2ept. polic& $ontinued upto !011. SISI, Govt of India 100 Bagepalli Industrial Perspective Plan
' Exemption of Stamp Duty & Reduction of Registration Charges Zone-1:4ull 9=e,ption Zone-2:.*N e=e,ption Zone-3:(il Stamp duty: In respect of 3oan > credit deeds e=ecuted for availing ter, loans fro, 4lsEBanks and for e=ecution of 3ease, 3ease cu, Sale > a)solute Sale 2eeds )& <IA2BE<SSI2$ in respect of Industrial land Eplots allotted. Reduction of Registration charges: $oncessional registration c%arges at #e. 1 per #s.1,000E:. + Baiver of $onversio n fine:: ;on lands converted for industrial use0 Oone:1: full e=e,ption su)?ect to a ,a=i,u, of *0 acres per unit. Oone :!: .*N e=e,ption su)?ect to a ,a=i,u, of !* acres per unit Oone:': (il Oone:1: 4ull e=e,ption su)?ect to a ,a=i,u, of !* acres per unit. Oone:!: .*N e=e,ption su)?ect to a ,a=i,u, of !* acres per unit Oone:' (il Oone:1: 4ull e=e,ption su)?ect to a ,a=i,u, of 10 acres per unit. Oone:!: .*N e=e,ptions su)?ect to a ,a=i,u, of 10 acres per unit. Oone:': (il * Ac@uisition > allot,ent of land t%oug% <IA2B In respect of lands ac@uired for develop,ent of industrial areaEestates or single unit co,ple= <IA2B ac@uisition c%arges to )e levied is !/ N in respect if areas in Zone:3 4or t%e areas in 1&2 ac@uisition c%arges 6ould )e 10N - Su)sid& for setting up of 9ffluent treat,ents plants R9TPsS 8ne ti,e capital su)sid& up to *0N of t%e cost of 9TP, su)?ect to a ceiling of #s. 100 lak%s per unit for all categories of industries for Oones SISI, Govt of India 101 Bagepalli Industrial Perspective Plan
. Entry Tax & Special Entry Tax Concessions Zone 1 & 2: ;i0 9T> Special 9T 9=e,ption on FPlants >"ac%iner& and $apital GoodsG for an initial period of ' &ears fro, t%e date of co,,ence,ent of pro?ect i,ple,entation. 4or t%is purpose, t%e ter, FPlant > "ac%iner& and $apital GoodsG also included plant > "ac%iner& and capital goods i.e. e@uip,ent etc 6%ic% is put up in t%e po6er pro?ect units foe captive generation of 9lectricit&. ;ii0 8n ra6 ,aterials, inputs, co,ponent parts > consu,a)les ;e=cluding petroleu, products0 R6%erever applica)leS for a period of * &ears fro, t%e date of co,,ence,ent of co,,ercial production. Zone-3: (il / Human Resources Development ;i0 Grant of up to * acres of Govern,ent land 6ill )e considered along 6it% capital contri)ution of *0N of t%e pro?ect cost su)?ect to a ceiling of #s.! $orers per Training 9sta)lis%,ent for sector specific training. ;ii0 #ecurring cost for running t%e training institution an a,ount of #s..*0E:p.,.E per trainee 6ill )e provided su)?ect t a ceiling of #s.1* lak%s per &ear for period of ' &ears. ;iii0 Govern,ent 6ill launc% a ne6 sc%e,e to provide #s. .*0E: p.,. stipend 6it% suita)le ,atc%ing contri)ution )& training institutions for on:t%e:?o) training of une,plo&ed educated &out% for training in different vocations t%roug% industrialE service esta)lis%,ent SISI, Govt of India 102 Bagepalli Industrial Perspective Plan
9 Technology Upgradation (il (il Oone1>!: ;i0 9=isting sc%e,e of +N interest su)sid& for T1 loan availed fro, <S4$E<SII2$ s%all )e e=tended to cover T1 loans availed fro, sc%eduled $o,,ercial Banks, B%ic% are not covered under $3$S sc%e,e of Govt. of India. Oone 1,! >': ;ii0 9=isting incentive sc%e,e for SSI units going in for BIS product certification or IS8 series certification is continued 6it% en%anced financial allocation. ;iii0 9ncourage,ent to Patents #egistration: Su)sid& at *0N of t%e cost of patents registration, su)?ect to a ceiling of #s. ! lak%s per unit. 4unding 6ill )e provided for certain co,,erciall& via)le researc% pro?ects in colla)oration 6it% IITs, universities and ot%er reputed institutions. An a,ount of #s.!* crores is ear,arked for t%is purpose during t%e polic& period 10 Industrial Infrastructure Development/ Common Infrastructure/ facilities in Notified Industrial Clusters A separate Infrastructure 1pgradation 4und #s.*00 crores 6ould )e created for upgradation of infrastructure facilities in e=isting industrial areas E estates and also for ,aintenance. T%is fund ,a& also )e utili5ed for ne6 industrial areas. Separate guidelines 6ould )e issued for utili5ing t%is fund. 11 Agriculture Produce Processing Industries- Exemption of APMC Cess AP"$ $ess in respect of direct procure,ent of agriculture produce for processing fro, far,ers )& processing industries is e=e,pted. SISI, Govt of India 103 Bagepalli Industrial Perspective Plan
ANNEXURE - D List of Industrial activities / Units in-eligible for Incentives & Concessions Sl. No. Activity 1. Bre6eries > 2istilleries of all t&pes !. 1nits utili5ing ,olasses E rectified spirit E denatures spiri as ,ain ra6 ,aterial for ,anufacture of pota)le alco%ol '. <%andasari 1nits +. P%oto Studios > $olour Processing 1nits *. P%oto $op&ing > Qero= "ac%ine -. 4ertili5er "i=ing .. #e:packing of 2rugs E "edicines E $%e,icals, 6it%out an& processing or value addition. /. All t&pe of Sa6 "ills 9. Beedies E $igarettes E $igars E Gutka > To)acco )ased products 10. A5oic E #eactive 2&es 11. 4ire $rackers 1!. Industries ,anufacturing and of utili5ing 85one depleting su)stances 1'. Po6er 3aundries 1+. Brick ,aking units 9=cluding $e,ent allo6 Blocks, 6ire cut > fl& as% Bricks 1*. Poultr& 1-. Popcorn > ice cand& ,aking units 1.. $offee #oasting and Grinding 1/. $lock and Batc% #epair S%ops 19. $assette recording ;Audio > 7ideo0 !0. $&anide SISI, Govt of India 104