Answer:
District Industries Centres (DICs) were initiated on May 8, 1978, aiming to establish an integrated administrative framework at the district level to foster small-scale industries in rural areas. DICs serve as a singular point of contact for entrepreneurs within the district, offering comprehensive services and support under one roof. They act as the executing arm of both the Central and State Governments for various schemes and programs, including the registration of small industries and the implementation of initiatives like SEEUY/PMRY for employment generation.
The organizational structure of DICs comprises a General Manager, four functional Managers, and three Project Managers, tasked with providing technical assistance tailored to the district's requirements. Management of DICs is overseen by the respective State Governments, with the scheme transitioning to state control from the fiscal year 1993-94, wherein central funds are no longer allocated for DIC operations.
DICs primarily undertake promotional and developmental roles, encompassing functions such as:
1. Serving as technical arms of DRDA in administering IRD and TRYSEM programs.
2. Assisting entrepreneurs in marketing their products and exploring opportunities for ancillary industries and export promotion.
3. Formulating action plans for effective scheme implementation.
4. Engaging in product development activities suitable for small industries.
5. Evaluating the viability of proposals submitted by entrepreneurs.
6. Providing guidance on machinery and equipment selection, sourcing, and import procedures if necessary, as well as assessing raw material requirements.
7. Conducting industrial potential surveys to gauge resource availability, infrastructure, market demand, etc., and offering investment advice based on techno-economic evaluations and identified product lines.
(8) Conducting artisan training programs:
As of March 31, 1988, 422 District Industries Centres (DICs) have been established, encompassing 431 districts across the country, excluding metropolitan cities and certain newly formed districts. Below is a table detailing the progress achieved by DICs nationwide.
Table: Progress of DICs: A Glance
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1986-87 |
1.
Establishment of News Units:
(a) Artisan sectors
(b) Small-scale Industries
2.
Credit Disbursed by Financial Institutions (In Crores of Rupees)
3.
Increment in Employment Opportunities |
3,16,169
1,06,211
89,080
13,33,024 |
Functions of DICs:
1. Financing:
DICs receive joint funding from the respective state and central governments. This substantial financial support enables DICs to allocate funds for constructing office buildings, procuring furniture, fixtures, equipment, vehicles, and meeting other recurring expenses.
2. Staffing Structure:
Initially, DICs operated with a General Manager overseeing seven functional managers, each specializing in key areas crucial for supporting small industries:
(i) Functional Managers: Manager (Economic Investigation) Manager (Machinery) Manager (Credit) Manager (Raw Materials) Manager (Village Industry) Manager (Training) Manager (Marketing)
However, in 1980, staffing adjustments were made to enhance effectiveness based on feedback from previous years. The revised staffing pattern now includes:
(ii) Functional Managers: Manager (Economic Investigation) Manager (Credit) Manager (Village Industry) Manager (Raw Materials or Marketing or Research and Training, depending on district-specific requirements).
(iii) Project Managers:
Three Project Managers, specialized in various fields, are appointed by the state government in consultation with the District Commissioner, Small Scale Industries (SSI). Their primary role is to facilitate the modernization and technological advancement of the small-scale sector.
Functions of DICs:
(3) Functions of DICs:
(a) Entrepreneur Identification:
DICs foster new entrepreneurs by conducting entrepreneurial motivation programs district-wide, especially under the SEEUY scheme. They collaborate with Small Industries Service Institutes (SISIs) and Technical Consultancy Organizations (TCOs) to organize Entrepreneurship Development Programs (EDPs).
(b) Provisional Registration:
Entrepreneurs can obtain provisional registration from DICs, enabling them to initiate all necessary steps to establish their enterprise. Provisional registration allows entrepreneurs to seek assistance from term lending institutions. Initially valid for two years, provisional registration can be renewed annually, but only twice.
(c) Permanent Registration:
Upon completing all required formalities such as site selection, securing power connections, and installing machinery, entrepreneurs can apply to DICs for permanent registration. Permanent registration is necessary for entrepreneurs to apply for raw materials at concessional rates.
(d) Acquisition of Fixed Assets:
DICs facilitate loan applications for prospective entrepreneurs to acquire fixed assets from relevant institutions like the National Small Industries Corporation (NSIC), SISIs, etc. They also assist in securing working capital from commercial banks to support day-to-day operations.
(e) Self-Employment Assistance for Educated Unemployed Youth:
DICs have initiated a scheme to support educated unemployed youth by providing self-employment opportunities. Eligible individuals, aged 18 to 35 years with a minimum qualification of matriculation or middle school education with ITI certification in engineering or technical trades, receive assistance. Technocrats and women are given preference under this scheme.
(f) Telephone Facility:
Entrepreneurs can prioritize obtaining telephone facilities after securing permanent registration.
(g) Support for Village Artisans and Handicrafts:
DICs facilitate financial assistance through lead banks of nationalized banks in respective areas for village artisans and handicrafts.
(h) Incentives and Subsidies:
DICs in Madhya Pradesh and Chhattisgarh, as well as other DICs nationwide, offer various incentives and facilities to entrepreneurs. These include subsidies on testing equipment, state awards, testing facilities, and grants of price/purchase preference.
(i) Interest-Free Sales Tax Loan (IFST):
Small Scale Industry (SSI) units established in rural areas can avail an IFST loan of up to 8% of total fixed assets from SIDCO. However, DIC issues the sanction order for this loan. DIC also recommends SSI units to the National Small Industries Corporation Limited (NSIC) for registration under the Government Purchase Programme.
(j) Import and Export Assistance:
DICs recommend the issuance of export and import licenses to relevant import and export authorities.
(k) Participation in Fairs and Exhibitions:
DICs encourage SSI units to participate in various fairs and exhibitions organized by the Government of India to promote industrial products. Free space is provided by DICs for SSIs to display their products.
(l) Multipurpose Industrial Community Center:
Special facilities are provided to industrialists for holding meetings, seminars, and conferences at multipurpose industrial community centers. Library provisions are extended to SSI units, and industrialists can also access indoor and outdoor recreational facilities.
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