The District Industries Centre, Perambalur District at Ariyalur is functioning from 05.08.1996 on trifurcation from Trichy District. The Motto of the District Industries Centre is to render all assistance’s under one roof to the potential entrepreneurs fojr starting their own Small Scale Industrial Unit. In order to motivate the interested entrepreneurs for starting their bring the Technical projects & explain the Government concessions available, Motivation campaigns are being conducted at Block levels.

Activities of the District Industries Centre are as noted below:

1. Registration of Small Scale Industrial Units (Both Provisoanal/Permanent).
2. Registration of Handloom Industries/Cottage Industries.
3. Implementation of PMRY scheme.
4. Granting of subsidies to eligible Registered Small Scale Industrial Units.
5. Recommend for District level as well as state level and quality awards to Registered Small Scale Industrial Units.

District Industries Centre issues Small Scale Industries Provisional certificate to the enthusiastic entrepreneurs according to their Technical Projects, which is valid for a period of 5 years from the date of issue and Permanent Small Scale Registration certificate who started their industry / unit. District Industries Centre also identifies and issues Cottage Industries and Handicrafts Industries Registration Certificates.

As per orders contained in the G.O.No.41 Small Industries Department dated 18.3.96, Industrially Backward & Most Backward areas have been segregated in all Districts. As far as Perambalur District concerned 1) Alathur 2) Veppanthattai and 3) Veppur are declared as Most Backward blocks and no Backward blocks are available.

All newly registered Small Scale Industrial units (except conversional and resource based Industrial units (viz) Rice Mill, Cement, Sugar, Oil Extraction industries) set up, including substantial expansion / diversification f existing units in specified areas are eligible for 15% or 20%. State capital subsidy for respect of Backward / Most Backward blocks as the fixed capital investment subject to a ceiling Rs.15lakhs / Rs.20Lakhs respectively as per Government order issued vide G.O.No 37 Small Industries Department dated: 20.7.2000.

Special Capital Subsidy

Special capital subsidy of 20% on the total investment is being sanctioned by the Government to the Registered Small Scale Industrial units engaged in the specified line of 10 activities(viz) Manufacturing of Electronic instruments, Drugs & Pharmaceutical units, Leather units, Automobile spare parts manufacturing, Food processing even if these type of Industries are started in any place of the District.

Similarly, the registered Small Scale Industrial units to be started in other areas except the urban areas announced by the Government which consume Low tension power supply are eligible for availing LTPT subsidy at 40%, 30% and 20% for the first year / second year / third year from the date of commencement of commercial production or date of availing power connection to their unit whichever is later. All High Tension/Low tension power consuming SSI Industrial units which have installed Generator for their captive usage are eligible for 15% Generator subsidy as the cost of the new Generator set purchased, subject to maximum of Rs. 5lakhs.

District Industries Centre implements PMRY, a Nationwide scheme with the support of Bank officials. Under this scheme educated unemployed youths may avail financial assistance from Nationalised and Commercial Banks to start their Industry / service/Business to a maximum limit of Rs.2lakhs for Industry sector & Service sector and Rs.1 lakh for Business sectors. To avail financial assistant under this scheme, the candidate must possesses the following Qualifications:

The candidate must be a residency of the same District for continuously three years. The selected candidates are eligible to avail subsidy to a maximum of 15% or 75000/- whichever is less.

WOMEN ENTREPRENUERS DEVELOPMENT PROGRAMME

In Tamilnadu target has been fixed to impart training to 5 lakh women during the years 2001-2006 under this scheme. Based on this, target to impart training to 25,000 women candidates under this scheme per year is fixed. The selected candidates has to undergo training organized by this Department and they are eligible for stipend during training period and their applications for financial assistance to set up their own industry are being recommended to banks.2

SINGLE WINDOW COMMITTEE

To identify the problems faced by Small Scale Industrial units in starting their industry and solve them by conduction Single Window Committee meeting under the Chairmanship of the District Collector.

GOVERNMENT AWARDS

In order to encourage the Small Scale Industrialists, applications for State, District and Quality Awards are being processed every year and recommends to the Government by the District Industries Centre.

INDUSTRIAL ESTATES

For the benefit of the Industrialists of the District, effective steps have been taken for formation of an Industrial Estate at Elambalur near Perambalur with the assistance of TANSIDCO.

REHABILITATION OF SICK SMALL SCALE INDUSTRIAL UNITS

To identify Sick Small Scale Industries among the registered Small Scale Industrial units and for Rehabilitation of the same effective and beneficial assistances are being extended by the District Industries Centre in consultation with the Financial Institutions for refinance or reschedule of interest and workout of Penal Interest as the case may be by conveying meeting of the committee constituted for Rehabilitation of registered Small Scale Industrial units.

DISTRICT INDUSTRIES CENTRE PERAMBALUR AT ARIYALUR

DIFFICULTIES EXPERIENCED BY DIC

I. PMRY

i) TRAINING

An important and nation wide scheme (viz) PMRY is being implemented by the District Industries Centre, with the active support of Bank officials.

Applications received in this office are scrutinized and candidates are selected by Task Force Committee. Applications of selected candidates are sent to Banks for issue to sanction tickets for having sanctioned of loan amount. On receipt of sanction orders from Banks PMRY Training is imparted to the candidates through approved Training institutions. For imparting said PMRY Training M/s. Trecstep, Trichy and Thanthai Hans Roever College, have been approved by the Industries Commissioner and Director of Industries and Commerce, Chennai-5. But one approved Training Institution M/s Trecstep have expressed their inability to continue to conduct the training programmes entrusted to them due to certain administrative reasons. The another institution M/s Thanthai Hans Rover College which is located at Elambalur Village 3 kms away from Perambalur. Further interest shown by Roever College is not keen and their arrangements for Training classes are nowadays not upto the entire satisfaction, as they are not willing to conduct training at Ariyalur and hesitate to take up training programme. Moreover this is an Educational Institute involved in academic courses only. In view of the above one approved and interested Training Institute to take up training programmes entrusted to them is very essential for Perambalur District for providing effective training to the PMRY beneficiaries.

ii) SANCTION ORDERS

Bank Officials are not issuing sanction orders to PMRY beneficiaries on prorate basis. They are issuing sanction orders in bulk only at the end of the financial year. Due to which it is find very difficult by this Department to organize training programme to PMRY beneficiaries and so also disbursement of sanctioned loan amount is affected, Reserve Bank of India and our Department insists for achieving 100% target in sanction before 31^st December. If sponsored applications are sent by banks to DIC Office before the end of II Quarter of the respective Financial year, selection of candidates by Bank to DIC Office before the end of II Quarter of the respective Financial year, selection of candidates by Task Force Committee may be restricted to the extend possible, which will also pave way for achieving proportionate Target.

iii) Application received from candidates securing financial assistance to setup own venture under PMRY scheme are scrutinized by District Industries Centre and selection of candidates is done by Task Force Committee constituted by Government which also consists one Bank Official of the Banks of the respective jurisdiction as a member.

Selected applications dispatched to Banks as per norms are returned immediately the District Industries Centre, office stating the flimsy reasons "does not come under the service area", scheme is not viable. It is very painful t mention that the application of the applications of the candidates selected by the Task Force committee consisting of Bank Officials, which creates way for unnecessary correspondence. If such unhealthy practice is curtailed more number of sanction tickets would be received from Banks.

II KVIC

Separate office for KVIC exclusively for Perambalur District is necessary for coordination, distribution of applications, wide publicity and for the benefit of the public. At present only one office is functioning at Trichy both for Perambalur and Trichy Districts.

III CAPITAL SUBSIDY

Applications received from SSI Unit holders are processed by the general Manager. District Industries Centre and eligibility of Capital Subsidy amount is arrived. Based on the eligibility worked out, requirements of funds are furnished to the Industries Commissioner and Director of Industries and Commerce, Chennai-5. But funds are not being allotted by the Government for the requirements of this office. Because of receipt of insufficient funds, subsidy could not be disbursed to all the units of whom applications are processed and kept ready and the units have to wait for further allotment. Thus subsidy benefits could not be availed by the SSI unit, before which the unit becomes sick. The Registered SSI unit has to send their application for subsidy within a period of 12 months from the date of commencement of commercial production and if subsidy is sanctioned and released to them at least within one year period from the date of their applications it would be more helpful and beneficial to them, as this District id industrially backward one.

IV LTPT SUBSIDY

Registered SSI units which consume Low Tension Power Supply are eligible for availing LTPT subsidy at 40%, 30% and 20% for the first year/second year/and third year respectively from their date of commencement of commercial production. Very long pending cases are not getting their power subsidy, as funds are not allotted by the Government as per our requirements.

V INDUSTRIAL ESTATE

For the benefit of the Industrialists with the assistance of the SIDCO effective steps have been taken for the formation of Industrial Estate at Elambalur near Perambalur. Proposals submitted to Government through Revenue Department is under active consideration of the Government.