SCOPE OF SSI

SCOPE OF SSI : 

SCOPE OF SSI

Scope of SSI means….. : 

Scope of SSI means….. The range of activities and the type of products that come under the SSI sector.

THE IMPORTANT ACTIVITIES THAT SSI’s are involved in are… : 

THE IMPORTANT ACTIVITIES THAT SSI’s are involved in are… 1.Manufacturing activities 2.Public utilities 3.Financial Activities 4.Wholesale Business 5.Construction Activities 6.Service Activities 7.Retailing Activities

PRODUCTION EXCLUSIVELY FOR SSI : 

PRODUCTION EXCLUSIVELY FOR SSI The Indian Government has made a list of 114 items which are reserved for exclusive production in small sector. No Large Scale Industry can produce the items reserved in favour of SSI’s. The main objective of this reservation policy is to insulate the small sector from unequal competition from the large scale industries.

Some of the items reserved in the list of 114 are…. : 

Some of the items reserved in the list of 114 are…. Leather Products Rubber products Natural essential oils Boat making Stationery Item Sports Goods Pickles and Chutneys Khadi Products Electrical Goods Wooden Furniture

Role of ssi in economic development : 

Role of ssi in economic development

employment : 

employment Since SSI’s are more labour intensive and less sophisticated technologically, they provide employment on a large scale. Since India has a large number of semi skilled and unskilled labour, such industries would be an ideal place for their employment. SSI’s account for 75% of total employment in the Industrial sector.

Feeding lsi’s : 

Feeding lsi’s SMALL SCALE INDUSTRIES COMPLEMENT THE LARGE INDUSTRIES BY PROVIDING THEM PARTS, COMPONENTS, SUB ASSEMBLIES, ACCESSORIES, SERVICES ETC..

PROMOTION OF EXPORTS : 

PROMOTION OF EXPORTS SSI’s help improve India’s balane of payments in two ways: First, they do not require importing of sophisticated equipment thus saving foreign exchange Second,they export their goods and earn foreign exchange. SSI’s account for 25% of India’s total exports.

Promoting regional development : 

Promoting regional development Since SSI’s can be set up in Rural and Semi urban areas of the country, they help promoting a balanced regional development.

INSPIRING NEW ENTREPRENEURS : 

INSPIRING NEW ENTREPRENEURS Existing and successful small scale industries inspire many more entrepreneurs to start on their own which improves competition which in turn helps the cause of Indian economy.