• The small scale industry sector accounts for around 95% of the industrial units, 40% of the manufacturing sector output, 36% of exports and provides direct employment to 18 mn persons in around 3.2 mn registered SSI units in India .



• The small-scale industries sector comprises of modern and traditional industries. The modern segment comprises of industries under SIDCO and powerlooms, while the KVIC, handlooms, handicrafts, coir, sericulture and silk boards manage the traditional industries. Further classification divides the industries into organised and unorganized sectors based on the criteria of employment in combination with the use/ non-use of electric power.



• Credit dispensation to the small-scale industries sector is controlled by SIDBI, Commercial Banks, Regional Rural Banks, Co-operative Banks, State Financial Corporations, State Industrial Development Corporations and State Small Industries Development Corporations. Other agencies include NABARD, KVIC, NSIC and NEDFI.



• At the end of March 1999, loans outstanding to SSI's by public sector banks amounted to Rs 476.74 bn constituting a share of 17.3% of their net bank credit. The outstanding credit deployment to the SSI sector by private sector banks was at Rs. 64.51 bn at end March 1999, forming a share of 18.9% of their net credit. Outstanding advances to SSI's from foreign banks aggregated Rs 24.50 bn as on the last Friday of March 1999, accounting for 11% of their net bank credit.



• The SIDBI report on Small Scale Industries Sector 1999 attempted to project the performance of the sector for the year 1999-00. It was observed that as against the projected growth in the range of 7.5-8.5% in output of SSI sector, the estimated growth was likely to be around 8.1%. In absolute terms the production of SSI sector at current prices can be in the vicinity of Rs 6,625 bn to Rs 6,685 bn.



• The expected growth in SSI exports during the year was likely to be around 13 % as against a projected band of 8.3-8.8 per cent. In absolute terms, exports from the SSI sector may be in the range of US $ 14.22 bn to US $ 143.35 bn.



• The estimated level of employment for 2000-01 is 3-4 % as against 2.6% in 1998-99. In absolute terms, the projected employment may reach a level of 18.38mn to 18.56 mn workforce by the end of Mar 2001.



• The SSI sector is set to record a moderate growth of around 3 to 4% in terms of the number of SSI units during 2000-01. An analysis of the time series data suggests that in absolute terms the number of units by end Mar 2001 may reach at a level between 3.33mn and 3.36 mn.

Andhra Pradesh
No. of Registered SSI Units ('000)	132.79
Employment ('000)	837.21
Fixed Investment (Rs mn)	16,935
Production (Rs mn)	N.A
Predominent Industries	Food Products, Metal Products, Non-Metallic Products, Repairing Service except capital goods Wood, Furniture, etc.,
Major Exports	Agro-base Products and Animal and Marine Products, Engineering Items, Leather Products, Drugs and Pharmaceuticals.
Major Issues	Delayed payment of receivables, Delay in disbursement of subsidies, Need for rehabilitation of sick SSI units,Complexity of rules and regulations, Lack of availability of working capital.

Arunachal Pradesh
No. of Registered SSI Units ('000)	4.60
Employment ('000)	20.66
Fixed Investment (Rs mn)	7,406
Production (Rs mn)	7,786
Predominent Industries	Wood, Furniture, Cane Industry, Saw millis, Weaving, Venner/Plywood, Mills, etc.
Major Exports	Citronell Oil, Furniture, Handloom Garments, Sawn Timber, Plywood.
Major Issues	Geographical bottlenecks, Lack of Infrastructural facilities, Lack of Industrial raw material, Need for Technology Transfer, Delayed payments.

Assam
No. of Registered SSI Units ('000)	29.83
Employment ('000)	146.22
Fixed Investment (Rs mn)	14,821
Production (Rs mn)	5,965
Predominent Industries	Metal Products, Repairing Service except Capital Goods, Wood Furniture, Food Products, Non-Metallic Products.
Major Exports	N.A.
Major Issues	Need for Timely availability of subsidies, Lack of ancillarisation, Inadequacy of term-loan & working capital, Complex rules and laws, Lack of Infra-Structural facilities.

Bihar
No. of Registered SSI Units ('000)	291.17
Employment ('000)	473.63
Fixed Investment (Rs mn)	8,105
Production (Rs mn)	18,236(1995-1996)
Predominent Industries	Textile Products, Food Products, Handloom Products, Agro-based Products, Shellac.
Major Exports	N.A.
Major Issues	Lack of Infrastructural facilities, Lack of Insurance cover for entrepreneurs, High cost of small loans, Need for Rehabilitation of sick SSI units, Need for strengthening of information dissemation system.

Delhi
No. of Registered SSI Units ('000)	130.22
Employment ('000)	1,171.96
Fixed Investment (Rs mn)	26,040
Production (Rs mn)	65,100
Predominent Industries	Textile Products, Repair Services, Machinery, Machine Tool, Machine Parts, Metal Products, Paper & Paper Products.
Major Exports	Readymade Garments, Gold Jewellery, Handicraft Items, Phrmaceuticals, Electronic Goods, Engineering goods./td>
Major Issues	Relaxation in stringent Environmental Norms, Need for Technology Development and Modernisation of existing units, Lack of working capital, Delayed payment of recievable.

Goa
No. of Registered SSI Units ('000)	5.76
Employment ('000)	39.43
Fixed Investment (Rs mn)	2,191
Production (Rs mn)	N.A.
Predominent Industries	Basic Metal and Alloy, Alcohol & Beverages, Paper & Paper products, Food products, Metal Products.
Major Exports	N.A.
Major Issues	Lack of Infrastructural facilities, Rehabilitation of sick SSI units, Inadequacy of working Capital, Lack of R&D facilities, Delayed payment of recievables.

Gujarat
No. of Registered SSI Units ('000)	156.73
Employment ('000)	862.93
Fixed Investment (Rs mn)	55,119
Production (Rs mn)	N.A
Predominent Industries	N.A
Major Exports	N.A
Major Issues	Need for Modernisation and Technology, Upgradation, Delay in availability of credit, Delayed payment of receivables, Need for strengthening Infrastructural facilities, Need for strengthening of information dissemation system.

Haryana
No. of Registered SSI Units ('000)	89.50
Employment ('000)	504.14
Fixed Investment (Rs mn)	15,182
Production (Rs mn)	37,565
Predominent Industries	Repairing Service for Capital goods, Metal Products, Leather and Fur Products, Food Products, Food products, Wood & Furniture etc.
Major Exports	Rice, Sugar and Milk Products, Cotton Yarn & Cotton Fabrics, Readymade Garments, Tractor & Parts, Electronic Goods.
Major Issues	Need for Modernisation and Technology Upgradation, Need for availability of timely and cost effective resources, Delayed payment of receivables, Need for R&D and Quality certification, Need for strengthening the system of information dissemation.

Himachal Pradesh
No. of Registered SSI Units ('000)	27.25
Employment ('000)	114.49
Fixed Investment (Rs mn)	5.643
Production (Rs mn)	N.A
Predominent Industries	Food Products, Wood, Furniture etc, Textile Products, Metal Products, Repairing Service except Capital Goods.
Major Exports	N.A
Major Issues	Simplification of labour laws and other SSI related rules and regulations, Lack of Infrastructural Facilities, Delayed payment of receivables, Need for Enhancement in the ceiling of loan limit for hotel industry Need for strengthening of information dissemation system.

Jammu & Kashmir
No. of Registered SSI Units ('000)	26.10
Employment ('000)	113.22
Fixed Investment (Rs mn)	N.A
Production (Rs mn)	12,878(1997-98)
Predominent Industries	Textile Products, repairing Service except Capital Goods, Wood Furniture etc, Food Products, leather and Fur products.
Major Exports	Walnut-Kernels, Silk & Cotton Yarns, Cricket bats, Knitwear, Shawls(knitted)
Major Issues	Need for Marketing infrastructure, Rationalisation of tax structure, Delayed payment of receivables, Provision of collaterals, Need for Training and information dissemation to SSI entrepreneurs.

Karnataka
No. of Registered SSI Units ('000)	208.58
Employment ('000)	1017.20
Fixed Investment (Rs mn)	38,512
Production (Rs mn)	N.A
Predominent Industries	Textile Products, repairing Service except Capital Goods, Wood Furniture etc, Food Products, leather and Fur products.
Major Exports	Walnut-Kernels, Silk & Cotton Yarns, Cricket bats, Knitwear, Shawls(knitted)
Major Issues	Need for Marketing infrastructure, Rationalisation of tax structure, Delayed payment of receivables, Provision of collaterals, Need for Training and information dissemation to SSI entrepreneurs.

Kerala
No. of Registered SSI Units ('000)	177.38
Employment ('000)	819.28
Fixed Investment (Rs mn)	26,303
Production (Rs mn)	80,144
Predominent Industries	Food Products, Textile and Coir Products, Wood, Furniture, Paper & Printing, Metal and Non-Metallic Products
Major Exports	N.A.
Major Issues	Stringent labour laws, non-availability of subsidies, Lack of R & D and quality certification facilities, lack of infrastructural facilities, Lower degree of ancillarisation

Madhya Pradesh
No. of Registered SSI Units ('000)	286.43
Employment ('000)	675.87
Fixed Investment (Rs mn)	13,509
Production (Rs mn)	N.A
Predominent Industries	N.A
Major Exports	N.A
Major Issues	Need for simplification of laws, Need for rehabilitation of sick SSI Units, Need for timely availability of credit, Creation of more infrastructural facilities, Provision of collateral, Need for more electricity power generation, Rationalisation of conversion charges for land use according to activities.

Maharashtra
No. of Registered SSI Units ('000)	243.94
Employment ('000)	1,562.60
Fixed Investment (Rs mn)	226,016
Production (Rs mn)	N.A
Predominent Industries	Textile and Textile Products, Chemical and Chemical Products, Leather and Leather Products, Auto Components, Gems and jewellery
Major Exports	N.A
Major Issues	Need for Modernisation and Technology Upgradation, Delayed payment of receivables, Rationalisation of tax structure, Ease in Provision of collaterals, Lack of Infrastructural facilities, Simplification of systems and procedures, Easy availability of working capital funds.

Manipur
No. of Registered SSI Units ('000)	6.09
Employment ('000)	30.28
Fixed Investment (Rs mn)	375
Production (Rs mn)	N.A
Predominent Industries	Wood, Furniture, Textile Products, Repairing Services except Capital goods, Food products, Metal Products.
Major Exports	N.A.
Major Issues	Lack of entrepreneurship, Need for Infrastructure Building, Need for timely and adequate availability of credit, Marketing of SSI products, Need for creation of more infrastructural facilities.

Meghalaya
No. of Registered SSI Units ('000)	3.27
Employment ('000)	18.59
Fixed Investment (Rs mn)	247
Production (Rs mn)	N.A
Predominent Industries	Food products, Wood, Furniture, Metal Products, Paper & Printing, Transport Facilities.
Major Exports	N.A.
Major Issues	Lack of entrepreneurial traits, Need for Infrastructural facilities, Inadequacy of credit, Need for Marketing facilities.

Mizoram
No. of Registered SSI Units ('000)	3.90
Employment ('000)	23.46
Fixed Investment (Rs mn)	580
Production (Rs mn)	1,280
Predominent Industries	Wood, Furniture, Textile Products, Cotton Textiles, Metal Products.
Major Exports	N.A
Major Issues	N.A

Nagaland
No. of Registered SSI Units ('000)	0.78
Employment ('000)	3.90
Fixed Investment (Rs mn)	N.A.
Production (Rs mn)	N.A
Predominent Industries	N.A.
Major Exports	N.A.
Major Issues	N.A.

Orissa
No. of Registered SSI Units ('000)	32.44
Employment ('000)	214.07
Fixed Investment (Rs mn)	8,702
Production (Rs mn)	N.A
Predominent Industries	N.A
Major Exports	N.A
Major Issues	Need for Infrastructural facilities, Need for working capital, Need for marketing infrastructure /td>

Punjab
No. of Registered SSI Units ('000)	197.34
Employment ('000)	854
Fixed Investment (Rs mn)	34,050
Production (Rs mn)	150,000
Predominent Industries	Metal Products, Leather and Products, Textile and Hosiery, Non-electrical Mechine Tools & Parts, Food Products
Major Exports	N.A.
Major Issues	Need for Infrastructural facilities, Need for working capital, Need for marketing infrastructure

Rajasthan
No. of Registered SSI Units ('000)	94.26
Employment ('000)	402.87
Fixed Investment (Rs mn)	24,390
Production (Rs mn)	N.A
Predominent Industries	MFood Products, Non-Metallic Products, Metal Products, Wood, Furniture, Repairing Services except Capital goods
Major Exports	Yarn, Fabrics and Made-ups, Guar Gum, Precious and Semi-Precious Stones, Readymade Garments, Tyres and Tubes, Transmission Line Towers
Major Issues	Lack of adequate credit, Lack of infrastructural facilities, Need for Modernisation & Technology, Upgradation, Marketing support from Government, Collateral Security Requirement

Sikkim
No. of Registered SSI Units ('000)	0.3
Employment ('000)	2.9
Fixed Investment (Rs mn)	161
Production (Rs mn)	361
Predominent Industries	N.A.
Major Exports	N.A.
Major Issues	N.A.

Tamil Nadu
No. of Registered SSI Units ('000)	324.63
Employment ('000)	2,921.64
Fixed Investment (Rs mn)	77,910
Production (Rs mn)	198,022
Predominent Industries	Textile Products, Food products, Non-electrical machinery, Tools & Parts, Cotton Textile, Paper and Printing.
Major Exports	Textile & Readymade Garments, Leather & Leather Products, Mining Materials
Major Issues	Need for Modernisation and Technology Upgradation, Strengthening the system of information dissemation, Need for availability of Working Capital, Need for Infrastructure Building

Tripura
No. of Registered SSI Units ('000)	2.01
Employment ('000)	9.11
Fixed Investment (Rs mn)	145
Production (Rs mn)	N.A
Predominent Industries	Food Products, Wood Products, Rubber and Plastic Products, Repair Services, Metal Products
Major Exports	N.A.
Major Issues	N.A.

Uttar Pradesh
No. of Registered SSI Units ('000)	357.96
Employment ('000)	1,469.18
Fixed Investment (Rs mn)	34,880
Production (Rs mn)	103,095
Predominent Industries	Food Products, Textile Products, Metal Products, Repairing Services, Leather and Fur Products
Major Exports	Handmade Woolen Carpets, Durries, Silk Sarees, Art Brass Metal Ware and Brass Products, Leather Garments, Shoes and Saddlery, Cotton Textile & Readymade Garments, Agro Products & Processed Food
Major Issues	Lack of infrastructural facilities including power supply, Rationalisation of exsting rules and tax structure, Lack of adequate working capital, Need for Technology Upgradation and Modernisation, Need for Marketing Facilities

West Bengal
No. of Registered SSI Units ('000)	167.13
Employment ('000)	614.64
Fixed Investment (Rs mn)	N.A.
Production (Rs mn)	N.A
Predominent Industries	Food Products, Non-Electrical Machinery, Tools & Parts, Metal Products Electrical Machinery, Chemicals
Major Exports	N.A.
Major Issues	Complex rules and labour laws, Rehabilitation of sick SSI units, Infrastructure Building, Need for technology Upgradation & Modernisation, Need for Timely and adequate availability of working capital funds

A & N Islands
No. of Registered SSI Units ('000)	1.05
Employment ('000)	4.51
Fixed Investment (Rs mn)	79
Production (Rs mn)	460
Predominent Industries	Wood Furniture, Food Products, Plywood
Major Exports	N.A.
Major Issues	N.A.

Chandigarh
No. of Registered SSI Units ('000)	2.96
Employment ('000)	28.30
Fixed Investment (Rs mn)	8,247
Production (Rs mn)	7,900
Predominent Industries	Metal Products, Non-electrical Machinery, Tools & Parts, Wood, Furniture, Rubber, Petroleum
Major Exports	Semi-Conductor Devices, Software & Electronic Connectors, Needles for Hosiery and knitting, Boring Machines, Hardware Material, Fabricated Steel Structures, Chlorpropqamide.
Major Issues	Rationalisation of tax structure, need for suitable marketing infrastructure, Delayed payment receivables, Need for timely availability of credit, Stregthening of State level Institutions/Extension agencies

Dadra & Nagar Haveli
No. of Registered SSI Units ('000)	0.87
Employment ('000)	11.65
Fixed Investment (Rs mn)	1,530
Production (Rs mn)	21,000
Predominent Industries	Plastic Products, Paper and Printing, Textile Products, Chemicals
Major Exports	Quartz clocks, Mixture grinder, PVC pipes, Crates, Polyvinyl Formal Resin
Major Issues	N.A.

Lakswadeep
No. of Registered SSI Units ('000)	0.12
Employment ('000)	0.52
Fixed Investment (Rs mn)	9
Production (Rs mn)	69
Predominent Industries	N.A.
Major Exports	N.A.
Major Issues	N.A.

Pondichery
No. of Registered SSI Units ('000)	4.28
Employment ('000)	34.74
Fixed Investment (Rs mn)	2,257
Production (Rs mn)	22,791
Predominent Industries	Chemicals, Rubber, Petroleum, Metal Products, Paper and Printing, Non electrical machinery tools
Major Exports	Shoe and shoe Uppers, Leather Garments, Injection Moulded & Plastic Articles, Amino Acid, Ibuprofen & Cholrates, Textile & Readymade Garment, Granite & Diamonds
Major Issues	N.A.