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SIKKIM - STATE ANNUAL PLAN 2001-2002

INDUSTRIES

DEMAND NO. 17

Sikkim is a small State with population of half a million as per 1991 census. The nearest airport is Bagdogra in North Bengal (120 km) and the nearest railway head is New Jalpaiguri (110 km).

Sikkim is a comparatively peaceful sate having skilled manpower, a wide network of road communication, banking facilities and no Labour problem.

The whole state has been declared to an industrially backward state and the Government has identified certain areas for the establishment of Growth Centers mainly in South and West districts. Further the Government has approved the proposal for declaring the following areas as Industrial Belt Areas viz. Melli-Legship, Rangpo – Ranipool; Ranipool Saramsa corridors. Setting up of Public Sector undertakings in four District headquarters and Small Scale Industrial units at the Gram Panchayat levels are also proposed so that avenues are created for the unemployed youths.

The following are the Thrust Areas identified by the Government.

  • Agro-based industries – Floriculture.
  • Animal Husbandry and Dairy Products.
  • Minor Forest Based Products.
  • Handloom, Handicrafts and Village Industries.
  • Tourism.
  • Precision oriented, High Value, Low Volume Products.
  • Electronic and Software.
  • Hydel Power, and
  • Tea
  • Information technology – development of electronic parts etc.

Single Window Clearance are issued for the investors within a very short period and therefore it is considered as one of the best place for investment. Government encourages only the projects, which are high value, low volume eco-friendly and not detrimental to its cultural heritage.

The Annual Plan outlay for 2001-2002 are given below:—

A. Village & Small Scale Industries

1. Direction and Administration
Annual Plan 2001-2002
Revenue : 2851-001
Rs 12.00 lakhs

The Department of Industries will be promoting Small Scale Units & Tiny Units by way of organising Seminars. Exhibitions and conducting tours within/outside the State. Besides, strengthening of the existing facilities connected with the promotional activities is also proposed.

As such, a slight increase in the over all projections under direction and administration has been made and an outlay of Rs 12.00 lakhs is provided for the current financial year 2001-2002.

2. Incentives to Industries
Annual Plan 2001-2002
Revenue: 2851-102-70-700060
Rs 3.00 lakh

More than 60 SSI units have already applied for State subsidy mainly for power supply and their claims are still lying pending for settlement. Hence, a provision of Rs 3.00 lakhs has been provided for the year 2001-2002.

3. Entrepreneurship Development Programme

Annual Plan 2001-2002

Revenue 2851-200-51-510062

Rs 4.00 lakh

Due to lack of required Entrepreneurial skill, Industrial shyness, coupled with general tendency to go in for white colour jobs by the Educated Unemployed are the most deterrent factors for the promotion of Industries in the State. Recognising this the Department through the District Industries Centre (DIC) offices at Jorethang and Gangtok are conducting the Entrepreneurship Development Programmes (EDP) and Entrepreneurship Development and Motivation Programmes (EDMP) at various places to imbibe Entrepreneurial zest amongst the local people as also to provide a first hand knowledge for setting up an Industry Further to augment the drive, the local entrepreneurs are also selected from time to time undergo training in specialised industrial extension training centers and package tours to visit Industrial centers outside Sikkim are conducted.

With this objectives in view, a provision of Rs 4.00 lakhs is being provided during the CFY 2001-2002.

4. Training to Rural Artisans Scheme (TRA)
Annual Plan 2001-2002
Revenue 2851-200-51-510063
Rs 4.00 lakhs

The main aim for imparting the training programmes under the Training to Rural Artisan Schemes is to equip the Unemployed Rural Youths with a ready and first hand knowledge in any of the vocational trades and to place them in a position to take up their own Self Employment Venutres for self sustenance. To sum up, the basic strategy of the Scheme is to promote rural artisans and open avenues for better Rural Self Employment’s by way of imparting mobile training programmes in traditional crafts, Lepcha handloom, Carpet, Pangden weavings, Traditional wood crafts, food & vegetable processing, trailoring etc.

Hence, an outlay of Rs 4.00 lakhs is provided for undertaking the TRA scheme in all the four districts of the State.

5. Information and Publicity
Annual Plan 2001-2002
Revenue: 2851-102-70-700063
Rs 3.00 lakhs

The Information Section attached in the Department of Industries is meant for advertising the products and purchase of industrially related items, publication of journals etc for the promotion of SSI/PSUs in Sikkim.

A provision of Rs 2.00 lakhs is being provided during the CFY 2001-2002 and Rs 28.00 lakhs for participation in Suraj Kund Mela.

6. District Industries Centre

Annual Plan 2001-2002
Revenue: 2851-51

Rs 59.50 lakhs

The State has four districts i.e. East, West, North and South. Considering the size of the State and its population only two District Industries Centres have been set up, one at Gangtok to cover East and North districts and the other one at Jorethang to cover South and West Districts. These were earlier funded under Centrally sponsored schemes but now they are looked after by the State Government. As such, the spurt of pay and allowances to the state exchequer, to motivate Rural Entrepreneurship through intensive implementation of pack age of schemes, the outlay for the year 2001-2002 is Rs 59.50 lakhs.

7. Khadi and Village Industries Board

Annual Plan 2001-2002
Revenue: 2851-105-000050
Rs 63.50 lakhs

The Sikkim Khadi and Village industries Boards has been implementing various schemes for which grants-in-aid and loans from Khadi and Village Industries Commission have been received annually. The above outlay is proposed for meeting the establishment charges and for restructuring of the board and payment of arrear of revised pay and C.P.F. share of the board since 1979. Hence, a provision of Rs 63.50 lakhs is provided for the year 2001-2002.

8. Directorate of Handicrafts and Handlooms

Annual Plan 2001-2002
 
Rs 155.00 lakhs

The erstwhile Government Institute of Cottage Industries which has been functioning for the last four decades in Sikkim with the basic objective of imparting employment oriented training duly preserving and promoting the age old arts and crafts of Sikkim was converted into a Directorate of Handicrafts and Handlooms with a view to seeing that concerted measures are taken to expand its activities in this area. The Organisation acts as an agency for providing a package of services including training of manpower and marketing of products, which reflect the rich and varied cultural traditions of the State.

The Directorate operates as a training-cum-production centre. The Institute provide services of not only training but also assist in post training requirement by providing raw materials, equipment, tools, looms etc. as well as arranging marketing of their products. From 1991 onwards more than 2342 trainees have been imparted training in various crafts and new centres have been established even in the most remote areas such as Lachen, Lachung, Lingdong, Siyam (Namok), Kabi, Chungthang, Dentam, Pelling, Soreng, Chakung, Okhray, Mangalbarey, Namchi, Kewzing, Yangang, Phodong (Namthang), Rhenock, Rongli and Rinchenpong.

During the Eighth Plan Period, it was proposed to modernise the technology adopted both in regard to carpet weaving and woodcarving. The proposal of modernisation of looms, methods of dying. Improvement in designs, scissoring and introduction of modern machines for wood carving in order to improve quality and productivity could not be implemented because of lack of infrastructural facilities and also fund constraints. These aspects will be given specific attention during the Ninth Plan.

As of now, there is no organised marketing mechanism to sell the products manufactured not only by FLO Units and production centres of DHH but also all those manufactured by private entrepreneurs. The Directorate has recently booked a showroom in New Delhi where these products will be displayed for sale. Such showrooms/sales outlets will also be established in Calcutta. Mumbai and Banglore. Hence, a provision of Rs 155.00 lakhs has been provided for the year 2001-2002.

B. INDUSTRIES OTHER THAN V.S.S.S.I.

9. Public Sector Units
Annual Plan 2001-2002
Capital: 4860-60-40
Rs 345.00 lakhs

A provision of Rs 345.00 lakhs has been provided for the Public Sectors Undertakings like SITCO, Sikkim Jewels Limited, Fruit Preservation factory. Sikkim Precision Industries Limited. The Government has already approved for setting up an Ophihalmic Lens Unit as Namchi South Sikkim at a project cost of Rs 350.00 lakhs. Land has already been acquired and during the current financial year 2001-2002, Rs 200 lakhs will be required to be released as an equity for the project. Rs 50.00 lakhs has been also been proposed to be released to M/s Sikkim Jewels Limited as an additional equity, Rupees 50.00 lakhs to Sikkim Flour Mill and Rupees 30.00 lakhs to G.F.P.F. SITCO is also going for setting up a joint venture project in technical collaboration with BPL and it is proposed to provide Rs 15.00 lakhs as an additional equity to meet the project cost and also for their existing project.

A provision of Rs 345.00 lakhs has been provided for the Annual Plan 2001-2002.

10. Industrial Survey and Reports and Investment Promotion

Annual Plan 2001-2002
 
Rs 5.00 lakhs

Feasibility study and project reports on various sectors will have to be initiated during this plan period. One of the major objectives of the New Industrial Policy of Sikkim is to attract possible investors both from within and outside the State. Therefore, to attact investment, serious promotional efforts will be made by the Industries Department in the form of organising entrepreneurs meets both within and outside Sikkim, well designed brochures, escorts services for investors, trade fairs and melas advertisement and publicity, etc. A sum of Rs 5.00 lakhs is provided for this purpose.

11. Sikkim Industrial Development & Investment Corporation
Annual Plan 2001-2002
Capital: 4885-01-50
Rs 50.00 lakhs

SIDICO was established in 1977 with the twin function of Industrial Development and Financial Corporation. The Government has paid highest priority for setting up Small Scale provided as an additional equity to the Corporation. The Corporation Units, Rs 50.00 lakhs provided as an additional equity to the Corporation. Te Corporation has to play a very important role in promotion of the Industrial Units in the State. An outlay of Rs 50.00 lakhs is provided as equity participation in the year 2001-2002.

ABSTRACT

 

B.E
Rs in Lakhs

Village & Small Scale Industries (VSSI)

 

2851-001-40-400001 Salaries

01.00

2851-001-40-400011 Travel Expenses

01.00

2851-001-40-400013 Office Expenses

10.00

2851-102-70-700060 Incentives of New Industries

03.00

2851-102-70-700063 Information & Publicity centre

30.00

2851-105-000050 Grants-in-aid to SKVIB

63.50

2851-200-51- District Industries Centre

59.50

2851-200-51-510062 Entrepreneur Dev. Programme

04.00

2851-200-510063 Training to Rural Artisans

04.00

Directorate of Handloom & Handicrafts

155.00

Total VSSI

331.00

Other than village & small Scale Industries

 

2852-08-600-550050-other charges

05.00

4860-600-000040- Investment in PSU

345.00

4885-190-000050-Investment in SIDICO

50.00

Total other than VSSI

400.00

1. VSSI

331.00

2. Other Than VSSI

400.00

Total

731.00

 

 

 

 

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