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The Office of Development Commissioner (Small Scale Industries) also known as Small Industries Development Organization (SIDO) functions

as the nodal Development Agency for small industries. SIDO functions under the Ministry of SSI (Ministry of Small Scale Industries). The organization was set up with a mission of Imparting greater vitality and growth impetus to the small, tiny and village enterprises in terms of output, employment and exports and instilling a competitive culture based on heightened technology awareness. SIDO has over 60 offices and 21 autonomous bodies under its management. These autonomous bodies include Tool Rooms, Training Institutions and Project-cumProcess Development Centres. SIDO provides a wide spectrum of services to the small industries sector. These include facilities for testing, toolmenting, training for entrepreneurship development, preparation of project and product profiles, technical and managerial consultancy, assistance for exports, pollution and energy audits etc. SIDO provides economic information services and advises Government in policy formulation for the promotion and development of SSIs. The field offices also work as effective links between the Central and the State Governments. The main services rendered by DC SSI office are: 1. Advising the Government in policy formulation for the promotion and development of small-scale industries. 2. Providing techno-economic and managerial consultancy, common facilities and extension services to small-scale units. 3. Providing facilities for technology upgradation, modernisation, quality improvement and infrastructure. 4. Providing economic information services. 5. Maintaining a close liaison with the Central Ministries, Planning Commission, State Governments, Financial Institutions and other Organisations concerned with development of Small Scale Industries. 6. Evolving and coordinating Policies and Programmes for development of Small Scale Industries as ancillaries to large and medium scale industries. 7. Promote technology and create entrepreneurship in the Small Scale Sector by providing a comprehensive range of extension services through a network of

Monitor and supervise the PMRY (Prime Minister’s Rozgar Yojna) scheme to create and provide sustainable self-employment opportunities to educated unemployed youth through micro enterprises. 9. . Mumbai and Chennai and our Field Testing Centres.000 in fixed assets. 12. September 2000. 13. Information and Facilitation Counters for guidance and help have been set up in our field offices as well as headquarters for speedy and easy access of information for the citizens of the concerned State Definition and Eligible Industries: An industrial undertaking in which the investment in fixed assets in plant and machinery whether held on ownership terms on lease or on hire purchase does not exceed Rs 10 million. Provide common facility services to Small Scale Units and impart training in technical skill development to workers of small-scale industrial units on the use of modern technology/machines through common facility workshops attached to our SISIs. 11. SISIs also render marketing assistance to small-scale units through the Single Point Registration Scheme of the National Small Industries Corporation. This limit has been raised to Rs. Calcutta.Small Industries Service Institutes (SISIs) and Branch Small Industries Service Institute. 8. excluding land and building. Testing facility through our Regional Testing Centres at New Delhi. Providing marketing support to small-scale units by promoting interaction between small and large units and ancillarisation through sub-contract exchanges attached to our SISIs. 10. are called Small Scale Service/ Business Enterprises (SSSBEs).1 million w.f.e. Small Scale Service & Business (Industry related) Enterprises (SSSBEs) SSSBEs industry related service/ business enterprises with investment upto Rs 500.

Motors. testing or electronic/electrical equipment/instruments i. Documentary Films on themes like Family Planning. repair. Tailoring 19. Servicing of agriculture farm equipment e. Laundry and Dry Cleaning 17. 28. Coloured or Black and White Studios equipped with processing laboratory. energy conservation and commercial advertising 14. Blue printing and enlargement of drawing/designs facilities 23. Advertising Agencies 2. measuring/control instruments servicing of all types of vehicles and machinery of any description including televisions. Radios. 26. . 9. finished products 15. Auto Repair. tape recorders. EDP Institutes established by Voluntary Associations/Non-Government Organisations 27. Tractor. Desk Top publishing 11. 16. services and garages 13. Industrial photography 8. 2002 1. Typing Centres 6. ISD/STD Booths 24. X-Ray Clinic 18. Marketing Consultancy 3. Photocopying Centres 7. "Servicing Industry" Undertakings engaged in maintenance. etc. Internet Browsing/Setting up of Cyber Cafes 12.ILLUSTRATIVE LIST OF SMALL SCALE SERVICE AND BUSINESS (INDUSTRY RELATED) ENTERPRISES (SSSBEs) AS ON 1st January.g. Teleprinter/Fax Services 25. Pump. 10. VCRs. Laboratories engaged in testing of raw materials. Weigh Bridge 21. Equipment Rental & Leasing 5. Industrial Consultancy 4. Social forestry. Boring Machines 20.e. Transformers. Watches. Ropeways in hilly areas. Industrial Testing Labs. Sub-contracting Exchanges (SCXs) established by Industry Associations. Photographic Lab 22. Rig. Industrial R&D Labs.

Hotels. Beauty Parlours and Creches ILLUSTRATIVE LIST OF ACTIVITIES WHICH ARE NOT RECOGNISED AS SMALL SCALE INDUSTRY/BUSINESS (INDUSTRY RELATED) ENTERPRISES (SSSBEs) 1. 4. . 6. 7. Educational Services. Sale Outlets for industrial components. 2. Advisor (VSI) Planning Commission with Additional Secretary & DC (SSI) as Member Secretary. Legal Services. 9. however. Large/Medium units can. General Merchandized Stores. Storage (except cold storage which is recognised as SSI). Installation and operation of Cable TV Network: 30. Transportation. manufacture such reserved items provided they undertake to export 50% or more of their production. 3. Retail/Wholesale Trade Establishments. Social Services. Other Members of the Committee are Secretary (Commerce).29. 8.one of these is reservation of products for manufacture in the small-scale sector in areas where there is techno-economic justification for such an approach. which is presently headed by the Secretary (SSI) as Chairman. Health Services including pathological laboratories. 5. Operating EPABX under franchises 31. Policy of Reservation The present policy of encouraging growth of small-scale industries is based on exclusive several promotional measures . The issue of reservation/dereservation of product is examined on a continual basis by an Advisory Committee on Reservation constituted under the I(D&R) Act 1951. 10. Secretary (IP&P).

Indl.ITEMS RESERVED FOR EXCLUSIVE MANUFACTURE IN SMALL SCALE SECTOR 1 2 3 4 5 6 7 8 9 91 92 FOOD AND ALLIED INDUSTRIES Pickles & Chutneys Bread Pasrty Hard boiled sugar candy Rapeseed Oil (except solvent extracted) Mustard Oil (except solvent extracted) Sesame Oil (except solvent extracted) Ground nut Oil (except solvent extracted) Ground and processed spices other than spice oil and Oleo resin spices CHEMICALS AND CHEMICAL PROUCTS Water soluble wood preservatives based on copper chrome arsenic boric compounds DYESTUFF BASIC DYES 1.cobalt.zinc.calcium etc Chlorinated Paraffin wax(upto 60% Chlorine content) Paracetamol Lanolin anhydrous Turpentine by steam/hydro distillation process PVC compounds Alkyd resins (Except for the captive consumption) 98 99 100 101 102 103 104 105 106 107 108 109 110 111 . Basic yellow 2. Grade Diethyl phthalate Dicocytyl phthalate Niacinamide Paint driers. Basic violet 5. Basic green 3.manganese. DRUGS AND DRUG INTERMEDIATES Pyrazolones Pottassium citrate. Basic violet 8.Napthhenates octoates linoleates etc of lead. Basic blue (Methylene Blue) Cashew shell oil Natural essential oils by steam/hydro distillation process ORGANIC CHEMICALS. Basic green 4.Basic violet 6. Basic blue 7.

which are exclusively allocated for SSI Sector) Units would normally get registered to avail some benefits. Benefits of Registering The registration scheme has no statutory basis. incentives or support given either by the Central or State Govt. there may be some modifications done by States. States/UTs have their own package of facilities and incentives for small scale. Though in many cases they may define it differently. 10 million) should seek registration with the Director of Industries of the concerned State Government. However. Statutory support such as reservation and the Interest on Delayed Payments Act. Both the Centre and the State. differential rates of interest etc. Excise Law and the Direct Taxes Law have incorporated the word SSI in their exemption notifications. capital investment subsidies and other support. undertaking with investment in plant and machinery of less than Rs. It must be noted that small industries is basically a state subject. The main purpose of Registration is to maintain statistics and maintain a roll of such units for the purposes of providing incentives and support services. However. They relate to development of industrial estates. (Except for sectors. The regime of incentives offered by the Centre generally contains the following: Credit prescription (Priority sector lending). power tariff subsidies. Excise Exemption Scheme Exemption under Direct Tax Laws. - . tax subsidies.e. generally the registration certificate issued by the registering authority is seen as proof of being SSI). It is possible that some states may have a 'SIDO registration scheme' and a 'State registration scheme'. States use the same registration scheme for implementing their own policies. It is to be noted that the Banking Laws.SSI Registration Small Scale and ancillary units (i. States have generally adopted the uniform registration procedures as per the guidelines.

Objectives of the Registration Scheme They are summarized as follows: • • • • To enumerate and maintain a roll of small industries to which the package of incentives and support are targeted.whether under law or otherwise. To create nodal centres at the Centre. Permanent Registration Certificate Enables the unit to get the following incentives/concessions: • Income-Tax exemption and Sales Tax exemption as per State Govt. target their incentives and support packages generally to units registered with them. Obtain various necessary NOCs and clearances from regulatory bodies such as Pollution Control Board. Policy. . First a provisional registration certificate is given. To provide a certificate enabling the units to avail statutory benefits mainly in terms of protection. • • Obtain facilities for accommodation. a permanent registration certificate is given. • PRC is normally valid for 5 years and permanent registration is given in perpetuity. And after commencement of production. Labour Regulations etc. State and District levels to promote SSI. Provisional Registration Certificate (PRC) • This is given for the pre-operative period and enables the units to obtain the term loans and working capital from financial institutions/banks under priority sector lending. Two types of registration is done in all States. Features of the scheme are as follows: • • • DIC is the primary registering centre Registration is voluntary and not compulsory. other approvals etc. land. To serve the purpose of collection of statistics.

Value of plant and machinery is within prescribed limits. Unit is not owned. Price and purchase preference for goods produced. drug license under drug control order. e. Procedure for Registration • A unit can apply for PRC for any item that does not require industrial license. Once the unit commences production. at the time of evaluation. NOC from Pollution Control Board. Permanent registration of tiny units should be renewed after 5 years.• • • • Incentives and concessions in power tariff etc.g. If the entrepreneur is unable to set up the unit in this period. No field enquiry is done and PRC is issued. it has to apply for permanent registration on the prescribed form. controlled or subsidiary of any other industrial undertaking as per notification. • • • Unit does not violate any locational restrictions in force. he can apply afresh at the end of five years period. Availability of raw material depending on existing policy. if required etc. • • • Unit applies for PRC in prescribed application form. The following form basis of evaluation: • The unit has obtained all necessary clearances whether statutory or administrative. . De-Registration A Small Scale Unit can violate the regulations in the following ways which will make it liable for de-registration: • It crosses the investment limits. Units employing less than 50/100 workers with/without power can apply for registration even for those items included in Schedule-II. PRC is valid for five years. which means items listed in Schedule-III and items not listed in Schedule-I or Schedule-II of the licencing Exemption Notification.

including tiny. Purchase and Price Preference Policy .For individual SISIs/Ancillary/tiny/SSSBE units 5. Credit Guarantee Scheme .Collateral free loans upto a limit of Rs.09. It does not satisfy the condition of being owned.75000/. on institutional finance availed of by them for induction of well established and improved technologies in the specified sub-sectors / products approved under the scheme. Incentive Schemes SIDO operates a number of schemes for the SSI sector. At a glance these are: 1. Other facilities include tender documents free of cost. Small Industry Cluster Development Programme For promoting technology upgradation in clusters for a group of SSI units of one industry. khadi.Incentive Scheme of Reimbursement of expenses for acquiring Quality Management System (QMS) ISO 9000 certification/environment management (EMS) ISO 14001 certification to the extent of 75% or Rs.whichever is lower. 100 lakh 3. 358 items are reserved for exclusive purchase from SSI by Central Government. . controlled or being a subsidiary of any other industrial undertaking.• • It starts manufacturing any new item or items that require an industrial license or other kind of statutory license. Credit Linked Capital Subsidy Scheme for Technology Upgradation .for individual SSIs 6. exemption from earnest money and security . village and coir industrial units.2005) to SSI units. Participation in International Fairs . ISO 9000/ISO 14001 Certification Reimbursement Scheme . 2005 (12 per cent prior to 29.This is administered through the Single Point Registration Scheme of NSIC. The revised ceiling on loan amount for availing the benefit under this scheme is Rs. 4. Under this. 2.Full subsidy on space rent and shipment of exhibits of SSI units .This revised scheme aims at facilitating technology upgradation by providing 15 per cent upfront capital subsidy with effect from the 29th September.25 lakhs for individual SSIs.

for industry associations. whichever is less for setting up Testing Centres . 1 lakh) .25 lakhs. not exceeding Rs.2. 1. For upgradation of existing Tool Rooms. assistance upto 50% or Rs. 1 lakh for business and Rs. subsidy and margin money upto 20% of project with balance as loan.2. Sub-Contracting Exchanges .One time grant for procurement of hardware and thereafter matching grant on tapering basis at 50%.25 lakhs respectively during the initial three years. 8.00 lakhs for other activities.7. 13.deposit and 15% price preference in Central Government purchases .for State Governments/industry associations/ NGOs. 50 lakhs whichever is less .Assistance upto 40% or Rs.75 lakhs and Rs. assistance is 80% or Rs.for State Governments.for industry associations. 0.for entrepreneurs. whichever is less for setting up new Mini Tool Rooms. The scheme also provide for funding for producing publicity material (upto 25% of costs) Sector specific studies (upto Rs.for State Governments.00 crores .00 crores. 11. Assistance to Entrepreneurship Development Institutes . subject to a ceiling of Rs. SSIs . Scheme of Micro Finance Programme 14.For strengthening training infrastructure in EDIs. Rs. 9. Integrated Infrastructure Development (IID Scheme) . 30% and 10% of running expenses.50 lakhs.for individual SSIs 7. Subsidy for NE twice that of rest of India .00 crores. For NE.for individual SSIs & Associations. whichever is less for setting up industrial estates for SSI units. 10. 0. 12. Prime Minister's Rozgar Yojana-PMRY (Scheme of Ministry of ARI) Project limit upto Rs.Assistance upto a 50% or Rs. Mini Tool Rooms .The scheme offers funding upto 90% in respect of to and fro airfare for participation by SSI Entrepreneurs in overseas fairs/trade delegations.5 crores .57 lakhs per exchange . SSI MDA .Assistance upto 90% or Rs. 2 lakhs) and for contesting antidumping cases (50% upto Rs.9. Testing Centres .4. 1. assistance is 75% or Rs.

25000/-for Quality product in each of the product groups (selected every year). 25000/. Second & Third) comprising of a certificate & Trophy. A Cash Prize of Rs. Second & third prize winners respectively. The given awards are on the basis of recommendation of State Level Selection Committee and the final selection by the National Level Awards Committee. a list of State & UT to be considered Backward and Industrially Backward Districts is given on www.Awards and Incentives: National Awards for Quality Products in Small Scale Sector These awards are given away to small scale entrepreneurs for encouraging and motivating them to set up small scale units to and to recognize their efforts to modernize their industries with a view to upgrading the quality of their produce. increasing their share both in the domestic/ export markets. Backward Area A Study Group identified Backward Districts based on districts as they stood in the Census Report of 1991. the central Governments announced in June 1988 the scheme for establishment 70 Growth Centres throughout the country.20000/.is also given for First. a certificate and cash prize of Rs. The award consists of a trophy. Schemes for Priority Sector Growth Center Schemes In order to promote industrialisation of backward areas.& 15000/.laghu-udyog. National Award for Research and Development Effort in Small Scale Sector The awards are given for the every calendar year. National Awards for Outstanding SSI Entrepreneurs These awards are given for every calendar year in each of select product group on the basis of recommendation by the State/UT Level Selection committee and the final selection by the National level Selection committee. enhancing the productivity. innovating new technology/design and bringing in technological improvements. The Scheme envisages three awards (First. Each growth centre would be bestowed with the best of infrastructural facilities to facilitate and promote industrial growth.com .

23066726.com . 1971 Fiscal Incentives to new industrial units and their substantial expansion Relaxation of PMRY norms Development of village and small industries sector Other incentives Central Capital Investment Subsidy Scheme Central Interest Subsidy Scheme. Small Industry Service Institutes also conducts different kinds of short duration training programmes. 7th Floor.laghu-udyog. Also a "Trade Related Entrepreneurship Assistance and Development (TREAD) Scheme for Women" has been announced. Vendor Development Programmes and exhibitions. awareness generation and motivational campaigns and organize Buyer Seller Meets. Nirman Bhavan. 23022202 Fax: 91-11-23068315. 23022211. Contact Address: Development Commissioner (Small Scale Industries). 1997 Central Comprehensive Insurance Scheme. 23061068 Email: dcssihq@sidomail. 1997 Promotional Schemes for Women A special women cell has been opened to provide coordination and assistance by SIDO.net URL: www. A-Wing. 23022209. New Delhi 110011 Phone: 91-11-23022220.North Eastern Schemes Some SSI Schemes to promote the NE states and Hill regions are given under: • • • • • • • • • IID Schemes Transport Subsidy Scheme. An out standing women entrepreneur award has been constituted to recognize the achievements by women entrepreneurs. Several EDP programmes are conducted to introduce process/product EDPs. 23022221. Schemes for Weaker Section and SC/ST have also been announced.