RURAL INDUSTIALISATION BY ADOTING SMALL SCALE INDUSTRIES

Author name
Asst. Prof. Chetana H. Thakare Ranibai Agnihotri Institute of Computer and Information Technology, College, Wardha. E-mail id- chetanathakare11@gmail.com Mo.no. 9028644657
Address: Chetana H. Thakare C/O.Satish R.Vatkar, Ramnager, Near data Mandir Ward no. 31 Near lilusing Thakur hause, Wardha Wardha- 442001

Introduction In India most of the people are living in village and their livelihood is depending only on agricultural activities. There is no another source of income for rural people so that they have to migrated from rural to urban areas for generating income or for employment. All this is happened before some years, but now situation is changing. There is happening rural urbanisation due SSI. Because of small scale industries people got the alternatives option for income source. The people who are not well educated not only they get employment but also they start their own business. All these things can prevent the migration of rural people to cities, and use proper utilisation of local resources. What is a rural industry? Rural industry includes different kinds of village and small scale industries. The cottage industries are an important component of the rural industry. The term rural industy is meant an industry appropriate for the rural areas as demarcated by the census record. Rural industry serves the requirement of rural people as well as other market. By and large, the financial needs of rural industry are small. More importantly, they function in the absence of infrastructural facilities and are environmentally friendly. Rural industrialisation It means that growth in business activities and generating the employment and development for rural people. Rural artisans playing vital role in small scale industries Rural artisans are creative workers living in rural areas, playing key role in the growth of the rural economy. An artisan is a doer, skilled craftsman of either gender. He may be mechanic, minder, or simply a craftsman. An artisan has been defined as an art master, designer or draftsman. He may be an artificer, tradesman, technician, skilled, semi-skilled worker. Artisans create not only jobs for himself but also for other. They possess creativity so they can convert it into medium of income source. And sometimes they gives employment at least ten people. In this way they plays most important role to establishing small level businesses and create employment for skilled, semi-skilled and even those people who are not educated. For establishing a SSI there is no compulsion education or lots of money, u can starts your own business with your capabilities.

Meaning and Concept of Small Scale Industry: In most of the developing countries like India, Small Scale Industries (SSI) constitutes an important and crucial segment of the industrial sector. They play an important role in employment creation, resource utilisation and income generation and helping to promote changes in a gradual and phased manner. They have been given an important place in the framework of Indian planning since beginning both for economic and ideological reasons. .An effective development policy has to attempt to increase the use of labour, relative to capital to the extent that it is economically efficient. Small scale enterprises are generally more labour intensive than larger organisations. As a matter of fact, small scale sector has now emerged as a dynamic and vibrant sector for the Indian economy in recent years. It has attracted so much attention not only from industrial planners and economists but also from sociologists, administrators and politicians. Definition of Small Scale Industry: Defining small-scale industry is a difficult task because the definition of small-scale industry varies from country to country and from one time to the another in the same country depending upon the pattern and stage of development, government policy and administrative set up of the particular country.. In the Indian context, the parameter are as follows. The Small Scale Industries Board in 1955 defined, "Small-scale industry as a unit employing less than 50 employees if using power and less than 100 employees if not using power and with a capital asset not exceeding Rs. 5 lakhs".'The initial capital investment of Rs. 5 lakhs has been changed to Rs. 10 lakhs for same industries and Rs. 15 lakhs for ancillaries in 1975. Again this fixed capital investment limit was raised to Rs. 15 lakhs for small units and Rs. 20 lakhs for ancillary units in 1980. The Government of India in 1985, has further increased the investment limit to Rs. 35 lakhs for small-scale units and 45 lakhs for ancillary units. Again the new Industrial Policy in 1991 raised the investment ceilings in plant an machinery to Rs. 60 lakhs for small-scale units and Rs. 75 lakhs for ancillary units. As per the Abid Hussain Committee's recommendations on small-scale industry, the Government of India has, in March 1997 further raised investment ceilings to Rs. 3 crores for small-scale and ancillary industries and to Rs. 50 lakhs for tiny industry.The new Policy Initiatives in 1999-2000 defined small-scale industry as a unit engage in manufacturing,

repairing, processing and preservation of goods having investment in plant and machinery at an original cost not exceeding Rs. 100 lakhs. For small-scale industries, the Planning Commission of India uses terms 'village an smallscale industries'. Following small scale industries found in rural areas Agriculture: Farming in fruits, vegetables oil seeds, flowers, mushroom, and silk, bee keeping etc. Livestock: dairy farm goat farm, poultry farm, vermin composting using animal waste. Manufacturing: spices, chilli powder and oil production. Home based: bottling of pickles, chutneys, pappad, flour mill, daal mill and tailoring Other product: based on crafts such as some showpiece, cloths like khadi Benefits of rural industrialisation Rural industrialisation improves economic condition of rural people. SSI is labour- intensive in terms of providing additional employment to men and women. Rural industrialisation reducing growth in large cities, growth of slums, social tensions and exploitation. Rural industrialisation can minimise the environmental pollution due to rapid industrialisation and more population due to urbanisation. Rural industrialisation has the capacity to correct regional imbalance. Rural industrialisation raises the standard of living and status of these people. Rural industrialisation increases the demand for raw material it results in growth of agriculture. It increases the consumption of goods due to most of the people not migrated to city for employment. Importance of rural industries Rural industrialisation is important is not only as a means of generating employment opportunities in the rural areas with low capital cost and raising the retail income of the

people, but because it contributes to the development of the agricultural and urban industries without industrialisation, it would be more difficult to solve the problem of agricultural unemployment and widespread under-employment. Rural industrialisation promotes rural industry. The development of rural industries increases the level of income in rural areas, and tends to break down the old self sufficiency of the family rural industrialisation not only the way of containing the rural workers and stopping them from migrating to urban areas by providing employment but as a dynamic element in the process of raising productivity and income levels of the workers in the rural areas. The main characteristics of these industries are to develop local initiatives, cooperation and spirit of self-reliance in the economy and at the same time, help in the utilisation of the available manpower for processing locally available raw materials by adopting simple techniques. We can consider following example Khadi small scale industries or village industries Under the guidance of Mahatma Gandhi, provisional activities of khadi were started in 1992, when they were symbolic of the fight for freedom. The development village and khadi industries provide opportunities for work, albeit part-time work, in certain cases, and thereby help to mitigate the severity of rural unemployment and under employment. With this end in view, the khadi and village industries commission (KVIC) was established in April 1957, under the khadi and village industries commission act, 1956. Conclusion My research finding is that, rural industrialisation plays very important role in India. Because India is a developing country and we all are trying to convert it into developed country. But in India, even today majority of people lived in village and they not so well educated. If we have to develop our nation, so first every village come under the process of industrialisation as per there local resources. Sometimes it is difficult to invest money on large scale businesses at that time small scale industries is better option to start own enterprise. When rural people get employment automatically they go into the stage of development like increase in rural economy, standard of living and awareness about education. At last all rural development is done automatically nation will be developed.

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