PM likely to announce new SSI policy shortly

By Our Special Correspondent

CHENNAI, AUG. 11. The Prime Minister, Mr. A. B. Vajpayee, is likely to make a major policy announcement regarding the small- scale industry (SSI) sector at an all-India conference of representatives of States and SSIs on August 30-31, Mr. Pankaj Jain, director in the Union Ministry of Small-Scale, Agro and Rural Industries, said here today.

Addressing a seminar on ``challenges and opportunities for small- scale industry'', organised by the Federation of Associations of Small Industries of India (FASII), Mr. Jain said the Government was keen to address the problems of small industries in respect of credit, marketing and technology upgradation.

The Government's perception was that ``over a period'', SSIs should become ``part of a large production chain'', for which their capabilities in respect of quality and delivery needed to be strengthened. The Government would have before it the recommendations of the Gupta committee relating to the SSI sector to take appropriate decisions on an SSI policy, Mr. Jain said.

Mr. I. Periasamy, Tamil Nadu Minister for Rural Industries and Registration, expressed the hope that the Small Industries Development Bank of India (SIDBI) would reduce its refinance rates, so-that State-level promotional institutions would lend money to SSIs at affordable rates.

Special award instituted for SSI units

By Our Special Correspondent

NEW DELHI, AUG. 11. The Technology Development Board (TDB) is to institute a special award of Rs. 2 lakhs to encourage small scale units to commercialise indigenous technologies. This was decided at a meeting of the board here on Wednesday.

Disclosing this, Mr. S. B. Krishnan, Secretary of the board, said the award would be in addition to the national award of Rs. 10 lakhs that has already been instituted for the industrial sector as a whole to promote commercialisation of indigenous technologies. The SSI units can compete for both Rs. 10 lakhs and Rs. 2 lakhs awards.

The additional award for SSI units has been instituted to give a special encouragement to them and to ensure that they do not get swamped and marginalised by the larger units, which have better financial and other resources at their disposal. The selection committee for the Rs. 10 lakhs award headed by Dr. A. P. J. Abdul Kalam, Principal Scientific Adviser to the Government, had also recommended that a separate, additional, award be instituted for SSI units.

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