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Unit 13: Institutions Supporting Small Business Enterprises
(c) Preparing feasibility studies, conducting market surveys and motivating private Notes
entrepreneurs to set up their industrial ventures in the state.
(d) Collaborating with private entrepreneurs to set up industrial ventures in joint and assisted
sector.
(e) Implementing scheme of ‘Industrial Development Bank of India’ of seed capital in the
state.
13.2.2 State Directorate of Industries (SDIs)
Under the constitution of India promotion and development of small scale industries is a State
subject. Therefore, the primary responsibility for implementation of policies and programmes
of assistance rests with the Directorate of Industries in each State. It acts under the overall
guidance of SIDO and concerned Central institutions. It performs both regulatory and
developmental functions. It functions through a network of District Industries offices, industries
offices and extension offices at district sub-division and block level respectively.
The main functions of Directorate of Industries are as follows:
(a) Registration of small scale units
(b) Providing financial assistance
(c) Distributing scare and indigenous raw materials to industrial units
(d) Granting essentiality certificates for import of raw material
(e) Establishing industrial estates and industrial cooperatives
(f) Developing industrial infrastructure
(g) Undertaking industrial surveys and collecting information
(h) Arranging concessions and incentives for industries
(i) Overall administration of village and small scale industries
(j) Maintaining liaison with other agencies for industrial development
13.2.3 District Industries Centres (DICs)
The District Industries Centers programme was launched in 1978 for effective promotion of
cottage and small scale industries widely dispersed in rural areas and small towns. These centers
are the focal points providing all the services and support required by small scale and village
entrepreneurs under one roof. These serves as an integrated administrative framework at the
district level for industrial development.
The main functions of DICs are as follows:
1. It conducts surveys to know industrial potential of a district keeping in view the availability
of raw material, human skills, infrastructure, demand, etc.
2. It prepares an action plan for industrial development.
3. It appraises the various investment proposals received from entrepreneurs.
4. It guides and assists entrepreneurs in buying appropriate machinery and equipment and
raw material.
5. It suggests appropriate marketing strategies to entrepreneurs.
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