Project A: Cluster Development Activity

Across industrialised and developing countries, there are growing indications that micro, small and
medium enterprises (MSMEs) can boost their competitiveness through networking and this process is
easier and more sustainable if the firms are situated and work very closely with one another in Clusters.
A Cluster, is therefore, best defined as a sectoral and geographical concentration of enterprises and their
various service providers, producing goods or services, in particular micro, small and medium
enterprises, facing similar threats and opportunities.

Amidst severe competition posed by globalisation today, it is being largely felt that developing clusters of
firms engaged in similar activities would be the most viable approach to develop the small and
traditional industrial sector. It is in this context that IIE has taken up the Cluster Development Approach
to develop small enterprises in North Eastern Region of India to meet the challenging opportunities and
threats in a globalised economy.

1. REGIONAL RESOURCE CENTRE

2. TECHNICAL AGENCY FOR SFURTI

3. CLUSTER IMPLEMENTATION

Cane & Bamboo Cluster, Dimapur

Imphal East Handloom Cluster.

PROJECT: REGIONAL RESOURCE CENTRE

Given the status of the micro and small enterprise sector in North East India, the future growth and
sustainability of this sector in the region calls for a proper utilisation of the available resources for its
growth. Moreover, with globalisation as a challenge, growth of clusters can not only lower the cost of
production and make the firms produce at a competitive end but can also give a thrust on accessing a
wider market with state of art technology resulting in better quality products.

Micro, small and medium enterprise clusters are being developed to enhance production base and
improve competitiveness, identify new markets, trigger growth, attain economies of scale, create new
employment opportunities, and address regional economic imbalances. In this direction, DC-MSME,
Government of India has mandated IIE to set up a Regional Resource Centre (RRC) on cluster
development in the institutes premises to propagate cluster development approach in North East India
spatially more earnestly. The RRC has its Nodal Office in the premises of IIE, Guwahati with state centres
in rest of the seven states across the North Eastern region with a holistic approach toward capacity

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building, providing handholding support and devising policy interventions in sustainable cluster
development.

The RRC acts as a Resource Centre on cluster development in the North Eastern region to eventually
galvanize economic growth in the micro, small and medium enterprises. The Centre provides platforms to
different cluster actors to come together at regular intervals, to share their experiences and to take stock
of their development interventions. Such interactions, it is deemed would help create a repository of
knowledge of best practices and help to develop a comprehensive Vision and Blue Print for development
of clusters in the region.

The Regional Resource Centre on Cluster Development has been playing a pioneering role as a Think
Tank for micro, small and medium enterprises by offering valuable technical assistance to cluster units in
the North Eastern Region. Apart from benchmarking best practices in this field, the Centre also
endeavours to create new knowledge in the field of cluster development. It sensitizes policy makers and
planners to evolve an enabling environment and policy framework under which clusters of globally
competitive MSMEs can thrive.

Thus far, a database has been developed under RRC pertaining to various aspects of the eight states like
general information, geography, demography and economy, sector wise industrial scenario, financial
infrastructure, industrial policy etc. The database can help in formulating and implementing various
cluster development initiatives for each of the eight states of NE India.

STATE RRC CENTRES

ASSAM
Place: Basistha Chariali, Lalmati, Guwahati

District: Kamrup

State: Assam

PIN : 781029

Telephone : +91-361-2300840, 2302646

Email: iieindia1@bsnl.in

Activities
1.Initially three diagnostic studies were conducted in the state of Assam and the same after due approval
from the Ministry of MSME, GoI were implemented. They include:

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i.Dhamdhama Handloom Cluster, Nalbari

ii.Bagulamari Jute Craft Cluster, Dhubri

iii.Pyraranga Eri Cluster, Boko, Kamrup

2.Four other clusters viz., Japi Cluster, Nalbari, Asharikandi Teracota Cluster, Dhubri, Sipajhar Handloom
Cluster, Darrang, Rontholi Jewellery Cluster, Nagaon have been implemented after conducting the
diagnostic studies.
NAGALAND
Name of the co-ordinator : Shri Ratul Kumar Das

Place: H No: 131, Duncan Basti

District: Dimapur

State: Nagaland

PIN : 797112

Telephone : 03862231736

Email : ratulkumar84@gmail.com

Activities
1.The diagnostic study for the following cluster has been conducted in Nagaland:

i.Jalukie Handloom Cluster

2. The following cluster proposals have been sent to the Ministry of MSME, GoI for necessary approval for
conducting diagnostic studies:

i. Wokha Passion Fruit Clusters

ii. Zunheboto Passion Fruit Cluster

The other areas identified in Nagaland for cluster development are bee keeping, food processing
specially in pineapples and passion fruits, medicinal plants, tea etc.

TRIPURA
Activities
1. The diagnostic study for the following cluster has been carried out in Tripura:

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i. Hapania Jute Cluster

2. The following cluster proposal has been sent to Ministry for necessary approval for conducting the
diagnostic study

i. Rani Bazaar Rice Mill Cluster.

3. The other areas/sectors identified for developing clusters in Tripura are - cane and bamboo, handicraft,
handloom, brick kiln etc.

MIZORAM
Name of the co-ordinator : Lalduwahami Lusai

Place : A-16, Upper Republic

District: Aizawl

State: Mizoram

PIN : 796001

Telephone : 03892301929/09436403358

Email:ateii08@gmail.com
Activities
1. Three diagnostic studies have been conducted in the state of Mizoram till now and the same have
been implemented. They include

i. Baktwang Wood Carpentry Cluster

ii. Bhairabi Bamboo Cluster

iii. Seling Bamboo Cluster

2. The other cluster proposals received from the state are Food Processing - Durtlang, Hnahlan, Garment/
Furniture Lunglei etc.

ARUNACHAL PRADESH
Activities
1. The following two diagnostic studies were carried out and the clusters implemented in the state of
Arunachal Pradesh:

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Dirang Food Processing Cluster

Tawang Carpet Making Cluster

2. The other proposals that have come up in the state include the following:

Handloom and Handicraft Cluster, Lower Subansiri District, Ziro

Cane & Bamboo Cluster, Upper Subansiri District, Daporijo

Khonsa Wood Carving Cluster, Tirap

Bamboo Based Industry Changlang, Tezu, Namsai

MEGHALAYA
Name of the co-ordinator: Mr. Hemanta Rabha

Place : Nongpoh

District : Ri-Bhoi

State : Meghalaya

PIN : 793102

Telephone : 03638232348/ 09436305833

Email :r_hemant2001@yahoo.co.in
Activities
1. The diagnostic study for the following cluster was carried out in Meghalaya and the same has been
implemented.

i. Umden Eri Cluster

The other proposals that have come up in the state include Food Processing (Pineapple) Nongkhrah,
Pottery Chaipani, Black Smithy - East Khasi Hills

2. The areas identified in Meghalaya for cluster development are pottery and food processing sectors,
especially pineapples in West and East Garo Hills and West Khasi Hills, pickles in Ri-Bhoi, honey and
honey products in West Khasi Hills, and cane and bamboo products in East Khasi Hills. Handicraft
products of Mawsynram area also on the queue

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MANIPUR
Name of the co-ordinator : Kokhen Chingtham

Place :R.K Dhiren Building, Nambam Chuthek, Nongmeibung

District : Imphal

State : Manipur

PIN : 795001

Telephone : 0352440881/09863059609

Email :kokcom3@yahoo.co.in
Activities
1. The Imphal East Handloom Cluster has been successfully implemented.

2.Two diagnostic studies were conducted in the state of Manipur for the following clusters and the same
have been implemented:

i. Khangabok Kauna Cluster

ii. Greater Imphal Jwellery Cluster

3. The other proposals that have come up include the Andro Pottery Ukhrul, Turn Stone Bishenpur,
Bamboo craft Patsoi, Bamboo shoot- Bishenpur:

SIKKIM
1. The diagnostic study of the following cluster for the state has been completed and the clusters has
been implemented:

i. Okhrey Carpet Making Cluster

2. The following are the other cluster proposals received till now:

i. Handmade paper with bamboo - Assam Linzey

ii. Broom Binding - Malbasey, West Sikkim

iii. Food Processing (Ginger and turmeric powder) - Rakdong Tintek

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The other potential sectors in the state that have been identified to be taken up as clusters are ginger &
turmeric processing, broom making, handicrafts and handmade paper

PROJECT: TECHNICAL AGENCY FOR SFURTI

In 2006, IIE was assigned the role of a technical agency in assisting the development of a large number
of clusters in the eastern and north eastern region of the country under the scheme called the Scheme of
Fund for Regeneration of Traditional Industries (SFURTI) sponsored by the Ministry of Micro, Small and
Medium Enterprises, Government of India.

The Khadi and Village Industries Commission (KVIC) is the Nodal Agency for the programme. The
programme is being implemented by different NGOs.

As a technical agency, IIE has been imparting training to the officials of the Nodal Agencies, Technical
Agencies and CDAs on cluster development methodologies. It has also been providing guidance and
handholding support in conducting diagnostic studies and preparation of five-year action plans. Through
diagnostic studies, the various major cluster specific problems/weaknesses are identified.

NID Need Assessment Survey (NAS)

SL.

Name of the cluster

Designer

Pyranga Eri cluster

Dibakar Choudhury

Sipajhar Handloom Cluster

Shiekh M. Nilufai

3.

Bagulamari Jute cluster

Abhijit Paul

4.

Dhamdhama Handloom cluster

Irin Bisnutai

5.

Rontholi Jewellery cluster

Arpit Agarwal

6.

Asharikandi Terracotta cluster

Rakesh Sah

7.

Strawberry RBH

Charles Tikkey

8.

Khangabok Kauna cluster

Abhijit Paul

9.

Greater Imphal Jewellery cluster

Arpit Agarwal

No

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10.

Baktwang Wood Carpentry cluster.

Prachurjya Phukan

11.

Bhairabi Bamboo cluster

Prachurjya Phukan

12.

Okhrey Carpet Making cluster

Purabi Saikia

13.

Kaziranga Handloom RBH

Rakhi Anand

Project: Cane & Bamboo Cluster, Dimapur.

It is in the context of availability of cane and bamboo, local skill and the possibility of developing a
cluster for the same that DC MSME (Ministry of Micro, Small and Medium Enterprises, Government of
India) mandated the Indian Institute of Entrepreneurship (IIE), Guwahati to develop a cluster in cane and
bamboo products.

More...
At the start of the endeavor there were only eighteen volunteers ready to join the network and form a
part of the cluster but eventually the membership steadily increased and stood at eighty-two (with 11
female actors and two (2) exporters).
Before intervention by IIE, there was only one unit which exported trays to Morocco worth of US $ 6000.
The other units lacked export oriented products. Post intervention, Ms Jesmina Zeliang, one of the cluster
actors was successful in bagging an export order of Rs.7 lakhs for her cane and bamboo furniture in
2005-06 which has gone upto US$16,000 in 2007-08. Besides, the cluster artisans registered sales at IITF
at Delhi [Rs 2,15,000 (Approx)], NEDFi Haat at Guwahati [Rs 1,55,000 (Approx)], Bam Fest at Kerala [Rs
65,000 (Approx)], Exhibition at Udaipur [Rs 80,000 (Approx)] and NE Expo at Delhi [1,87,000 (Approx)].
For effective skill building, the cluster actors visited the Regional Research Laboratory (RRL), Jorhat, M/s
Gurunanak Machinery suppliers Assam (P) Ltd., Tinsukia, Assam, Agarbatti stick making unit at Tinsukia
etc.
The principal agencies which have contributed towards the success of the cluster also amplify the quality
of collaboration achieved. Units in the cluster are supplying products to the Government Agencies like
CCIC and TRIFED. Besides, technical help from various quarters including IIT Bombay had come by way
of technical expertise and support. The expertise of CIBART was hired to introduce new technology into
the cluster. A number of projects were sanctioned by commercial banks and NEDFi for new and existing
cluster actors.
The cluster has successfully achieved the following:

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i. The Special Purpose Vehicle (SPV) - Craft Council of Nagaland (CCN) (a body of the artisans of
Nagaland) was formed with 50 registered members and the rest of the 32 members under the cluster
were affiliated with CCN

ii. A New Product Brochure was prepared and published

iii. A common website www.bamcanecluster.com was launched.

iv. A Product Gallery has been launched in Dimapur to promote the cluster products.

Principal Agencies contributing to the success of the scheme in Dimapur

Central Government Agencies DC (MSME)

Central Cottage Industries Corporation of India Ltd (CCIC)
Tribal Cooperative Marketing Development Federation of India Limited (TRIFED)

State Government
Nagaland Handloom and Handicrafts Development Cooperation Ltd (NHHDC).

DI, Government of Nagaland.

Nagaland Bamboo Mission.

Nagaland Industrial Development Corporation (NIDC)

Private Sector
Jesmina Zeliang
Cane Concept

Mr Naveen Sood, Expert in Cane and Bamboo Crafts

Prof A. K Das, Designer, IIT-G

Project: Imphal East Handloom Cluster

The Imphal East Handloom Cluster implemented in the year 2006 by the Indian Institute of
Entrepreneurship, Guwahati has been sponsored by the Development Commissioner, Handloom, Ministry
of Textiles, Government of India. It is a three-year project that is expected to benefit 5,000 weavers of
Wangkhei, Kongba, Khundrakpam, Khurai, Kong pal and Tangkhul Avenue in Imphal East. The
geographical coverage is primarily based on legacy, viability, closes proximity to market/s, and
concentration of skilled manpower.

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IIE through its interventions has so far been successful in sensitising the weavers on issues relating to
development of handloom products, has formed the Cluster Development Co-ordination Committee
comprising of representatives from various government departments and stakeholders in the cluster and
also has established a Business Information Centre for better coordination among the cluster actors.
Besides, since initiation IIE has also successfully established Credit linkage facility between the cluster
firms and banks. A yarn bank has also come up to meet the inadequacy in availability of raw material.

More
.IIE has a three year experience in Integrated Handloom Cluster Development Programme of the
Development Commissioner Handloom, Ministry of Textiles, Government of India in Imphal East district
of Manipur. The Cluster was formally launched on 30th May, 2006 under the mandate of DC-Handloom
and started operating since September, 2006.
Since its inception, 150 SHGs have been formed in the cluster covering 2,500 weavers. A total direct sale
of Rs. 80.00 lakhs approximately have been generated by the cluster artisans so far by participating in
various marketing events. In addition, the artisans have been able to generate orders worth Rs. 22.31
lakhs by participating in buyer seller meets and exhibitions in Mumbai, Chennai, Dehradun, Delhi and
Guwahati.
For effective skill building, steps have been taken in design intervention with 150 new designs being
introduced, organising dyeing workshops, organising exposure visits etc. Besides, training in improved
looms like jacquard mounted looms have been imparted to the cluster artisans. Weavers, marketer/s and
dyers were taken to Shantipur and Burdwan cluster for adoption of better weaving techniques.
The principal agencies which have contributed towards the success of the cluster also amplify the quality
of collaboration achieved. 100 weavers under a cooperative society have received loans under DDHPY.
90 SHGs have achieved financial linkages. 852 weavers have been covered for health insurance under
the Welfare scheme of DC Handloom. Another 500 weavers have been covered under the Life Insurance
scheme of Birla Sun Life.
The cluster has successfully achieved the following:
1. Weavers and dyers have started practicing dyeing of yarn on both vegetable and chemical dyeing
having dyeing capacity of an average of 15 Kgs per day .
2. A yarn depot has been set up under the Mill Gate Price Scheme in coordination with the National
Handloom Development Corporation. As the cost of yarn has been reduced the weavers are now
enjoying a profit of 15% on selling price.
3. A market consortium has been formed with the completion of its registration and is active right now.
4. The construction work of CFC and Dye House is complete and have been inaugurated.
5. A product gallery has been set at IIE Guwahati for the products of Imphal Handloom Cluster.

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Principal Agencies contributing to the success of the scheme in Dimapur

Central Government Agencies
DC (Handloom), Ministry of Textiles
National Handloom Development Corporation (NHDC)
State Government
Weavers Service Centre, Imphal
DI, Government of Manipur
Department of Handlooms
Muthua Museum
Manipur University

Project B. Science & Technology Entrepreneurship

Development (STED)
ABOUT THE PROJECT
Science and Technology Entrepreneurship Development (STED) project is a project under the Science and
Technology Entrepreneurship Development Scheme launched in 1985 by the NATIONAL SCIENCE AND
TECHNOLOGY ENTREPRENEURSHIP DEVELOPMENT BOARD (NSTEDB) under the Ministry of Science and
Technology, Government of India. This scheme endeavours to map the available material, resources in
industrially backward regions and prepare a basket of technically feasible and economically viable
project profiles of enterprises that could be promoted by local science and technology entrepreneurs,
and thereafter tapping of hitherto un-utilized / underutilized resources through enterprise formation.
AIMS & OBJECTIVES OF THE PROJECT
The aim of the project is to bring about the socio economic development of the selected districts through
promoting income oriented activities of the potential entrepreneurs by matching the material and human
resources of the district with science and technology inputs. Therefore, the main objectives of the project
are:

To develop entrepreneurship in all possible sectors with special thrust on small enterprises
involving science and technology inputs
To create sustainable employment through science and technology inputs
To mitigate the soaring unemployment problem by equipping the unemployment youths with
appropriate skill development programmes
MISSION OF THE PROJECT
The mission of the project is to promote 200 micro enterprises with minimum 50 technology inputs within
the period of 4 years in the particular district.
Number of Projects: 03 (three) in Bongaigaon, Goalpara and Kamrup districts of Assam
1.
The first STED Project was taken up by IIE in the year 2006-07 in Bongaigaon district of Assam
which was successfully completed in 31st March 2010. Altogether 219 micro units were promoted by
creating 891 jobs within the stipulated time within the target period.
Project Office: Bagheswari Para, B.Ed college Road, Bongaigaon, Assam

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Project Team: Jiten Chandra Kalita, Project Director

Mohan Chandra Das, Project Coordinator
Munindra Kalita, Project Assistant
2.At the instance of performance of the first project in Bongaigaon district, IIE was awarded with the
second STED Project to be implemented in Goalpara district of Assam. The activity of STED Project in
Goalpara district started on 16th August, 2009. The project is to be completed by March 2013.
Project Office: Veer Chilarai Road, Tilapara (Damodarpara)
Goalpara, Assam, Pin: 783101
Project Team: Jiten Chandra Kalita, Project Director
Mohan Chandra Das, Project Coordinator
Amar Moni Sharma, Project Assistant
3. The 3rd STED project in Kamrup district of Assam started in the year 2010. The project is to be
completed by March 2014.
Project Office: IIE Campus, Lalmati, Guwahati-781029
Project Team: Jiten Chandra Kalita, Project Director
Munindra Kalita, Project Coordinator
Subhash Das, Project Assistant
STRATEGY FOR IMPLEMENTATION
1.
Opening of branch office in the district
2.
Survey on potential activity
3.
Forming an implementation committee with head of the district administration.
4.
Creating an entrepreneurial environment through publicity and awareness camps
5.
Organizing training programmes for enterprise creation and technology transfer
6.
Providing hand holding and follow-up, monitoring support and coordinating with the support
departments.
7.
Developing linkages with self-employment schemes/ micro credit
8.
Developing market linkages for the promoted enterprises.
TYPE OF ACTIVITIES PROMOTED
As per Project Guidelines, STED Projects may promote enterprises in all fields.
Annexure-I: Achievements in Bongaigaon
SL.

Activities/Target

Year-1 Year-2 Year-3 Year-4 Additional

Total

No
A

Units Grounded

19

81

61

43

15

219

No of Job Generated

96

345

261

143

46

891

Units Grounded on Loan

77

38

31

151

Units Grounded on own investment

14

23

12

53

Training Programmes organized

11

11

09

05

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36

IIE, North Eastern

Total Trained Beneficiaries

Other meetings

311

431

375

258 -

1375

14

Annexure: II: Achievements in Goalpara

SR

Activities

Year-1

Year-2

Year-3

(2009-10)

(2010-11)

(2011-12)

Total

No of Candidates Registered under Project

347

350

385

1082

Training Programmes organized

05

07

14

26

No of Candidates trained up in various trainings

292

335

641

1082

Other meetings

04

03

04

11

Total numbers of units promoted

17

59

71

147

No of jobs generated by the entrepreneurs

63

179

223

465

No of projects sanctioned by banks / Micro credit

10

43

49

102

No of units set up with own investment

07

16

22

45

Annexure III: Achievements in Kamrup

S Activities

Year-1 (2010-11)

Year-2 (2011-12)

214

416

05

10

214

416

D Other meetings organized

13

11

No of units grounded by Entrepreneurs

18

86

No of Jobs generated by the entrepreneurs

147

314

G No of projects sanctioned by banks loan

08

34

H No of units set up with own investment

10

52

r
A No of Candidates Registered under Projects
B Training programmes organized
C No of Candidates trained up in various trainings

Annexure IV: Types of Units Promoted Under STED Projects

SL.N Name of the product

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SL. No Name of the product

IIE, North Eastern

o
1

Phenyl Making

29

Betel Nut processing

System of Rice Intensification System (SRI)

30

Rubber Plantation

Turmeric packaging

31

Concrete unit

Shoe making

32

Bee Keeping

Areca-nut leaf plate Making

33

Silk Rearing / Reeling/ Spinning and

Silk products making

Bamboo products (Bamboo Incense sticks)

34

Floriculture

Wood oil

35

Fish Rice Composite Farm

Milk & Milk Products

36

Silk Reeling and Spinning

Garments Making

37

Poultry/ Piggery

10

Textile Designing

38

Handicraft Products

11

Weaving with Improved loom

39

Jewellery

12

DTP Centre

40

Electronic item repairing

13

Chalk Pencil

41

Bi Cycle repairing

14

Food processing

42

Xerox

15

Rubber latex Processing

43

Restaurant,/ Fast food

16

Sital pati diversified product

44

Power tiller/ Tractor service

17

Jute diversified product

45

Battery Service

18

Master oil processing

46

Truck service

19

Spice grinding & Packaging

47

Tempo Service

20

Handicraft product from Water Hyacinth

48

T.V. Mobile repairing

21

Bamboo stick & Agarbatti making

49

Beauty parlour

22

Broom making

50

Mobile Repairing

23

Biscuit Bakery

51

Silk Rearing

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24

Vermin Compost

52

Public Call Office (PCO)

25

Puffed Rice

53

Automobile repairing

26

Wood oil making

54

Pathological clinic cum pharmacy

27

Rice & Oil Milling

55

Tent House

28

Ice candy Making

56

Tailoring, Embroidery/fashion
Designing

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Annexure V: Technology Input Provided to the Units

SL.

Name of the product

Technology

R&D Organization

Phenyl Making

Quality Standardization

Polytechnic, Bongaigaon

Mustered Cultivation

High Breed

Agriculture University

Fishery

High Breed

Fishery Department

Areca-nut leaf plate

Eco friendly new product

Technology transferred from Dhriti

No

(NGO),Barpeta dist.
5

Poultry

High Bread

Vaterinary Dept.

Bamboo product

Prevent of insect

Cane & Bamboo Technology Centre

Supari unit

Preservative

Agriculture University

Jute

Diversified Product

Nation Centre for Jute

Diversification

System of Rice

High productivity

Intensification (SRI)

Frence Technology
Pradan, Purulia (India)

10

Piggery

High Bread

Veterinary Dept.

11

Dairy

Cross High bread

Veterinary Dept.

12

Wood oil

Quality Standardization

Polytechnic, Bongaigaon

13

Milk Product

Preservative technology

State Dairy Department

14

Furniture making

Semi Mechanized

ITI,

15

Weaving

Jacquard Machine

Handloom Deptt.

16

Sericulture

Farm

Central Silk Board.

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17

Agri Farm(Potato)

High Productivity

Krishi Vigyan Kendra (KVK)

18

Rice Mill

Mini Modern

Rice research Institute.

19

Bee Keeping

High Productivity

KVIC/ KVIB

20

Nursery

High bread

Krishi Vigyan Kendra (KVK)

21

Fruits processing

Preservation

Community Canning & Training

Centre,

22

Chalk Pencil

Low Dust

Existing Unit

23

Puff Rice

New Process

General Market

24

Rice fish cultivation

Productivity

KVK

25

Rubber

Process

Rubber Board

26

Sital Pati

Diversified product

Market Base

27

Water Hyacinth

Process

Mother Art

PROJECT C: Rural Industries Programme

BACKGROUND
As an alternative solution to meet the rural unemployment problem, the Small Industries Development
Bank of India (SIDBI) lunched a pilot project called Rural Industries Programme (RIP) in November 1993.
Initially it was implemented in three industrially backward districts of Anantapur, Karimnagar and
Prakashan in Andhra Pradesh. To implement the programme, the Andhra Pradesh Industrial and Technical
Consultancy Organization (APITCO) was called in. Since then, RIP today is being implemented across 62
districts of 24 states through 32 implementing agencies promoting around 10,800 enterprises including
2,350 units.
IIE & RURAL INDUSTRIES PROGRAMME
The first Rural Industries Programme (RIP) was launched by IIE in the Nagaon District of Assam in the
year 1996 with support from SIDBI. With the objective to promote 100 units, IIE trained and enrolled 254

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potential beneficiaries. Due to efforts put in by IIE, 89 rural enterprises could be grounded in this district
within a span of two years. This maiden attempt met with an overwhelming success in terms of
enterprise development in the district. This success boosted the morale of the institute in extending its
RIP activities to the Barpeta district of Assam where the institute could ground 137 rural industries, West
Garo Hill district of Meghalaya and Imphal district of Manipur in the year of 2002, Ribhoi district of
Meghalaya in the year of 2006, Dimapur district of Nagaland in 2008 and Champhai district of Mizoram in
2009 respectively.
PROGRAMME OBJECTIVES
The objective of the programme is to develop viable and self-sustaining tiny and small enterprises in
rural and semi-urban areas across North East India.
Under the programme, the districts have been identified for an intensive thrust by the bank/s with a view
to addressing problems such a rural unemployment, urban migration, under-utilisation of physical
resources and skills in the districts. The Rural Industries Programme (RIP) of the bank provides a cohesive
and integrated package of basic inputs like information, motivation, training, and credit, backed by
appropriate technology and market linkages for the purpose of enterprise promotion.
PROGRAMME APPROACH
The implementing agency, i.e., the Indian Institute of Entrepreneurship is networking with appropriate

agencies to provide the following professional services:

Identification and motivation of potentials entrepreneurs across districts
Identifying potential investment opportunities
Facilitating skill up gradation through need based trainings
Assisting in securing finance from banks and other lending institutions
Helping entrepreneurs in selection, sourcing, installation and operation of machinery
Arranging market supports wherever necessary
Guiding entrepreneurs till their units commence commercial production
Monitoring and follow-up of RIP beneficiaries
METHODOLOGY
IIE implements the Rural Industries Programme (RIP) in two phases:

Phase I
Open a field office
Formation of Project Implementing Committee for smooth implementation of the programme
Prepare a list of viable industrial units in the concerned district
Identify and select prospective entrepreneurs within the district
Organize workshops, seminars, and motivational campaigns to create awareness and garner
support from the banks/financial institutions/experts and professionals from different support institutions
Organise motivational and skill up gradation trainings
Phase- II
Prepare project profiles for the identified group of activities for the benefit of entrepreneurs
Guide the prospective entrepreneurs in establishing linkage with banks, local agencies, state
government agencies and other promotional organizations in government and non-government sector
Help the trained entrepreneurs in upgrading their skill and managerial capabilities, wherever
required

18 | P a g e
States

IIE, North Eastern

Provide guidance for technology backup to entrepreneurs wherever necessary

Assist the entrepreneurs in implementing Projects through handholding and continuous
counseling
Assist the entrepreneurs in establishing marketing linkages wherever necessary
Monitoring and follow up of RIP projects financed by bankers/own
TARGET GROUP
The target group would be the local unemployed youth (rural and semi urban) who may or may not
possess necessary skill to launch a business unit but have the necessary desire and attitude for taking up
such ventures. Apart from that, the existing business units will also be included under the programme for
up gradation.
PROJECT IMPLEMENTATION COMMITTEE
For smooth implementation of the RIP programme, there is a project implementation committee (PIC)
under the chairmanship of Deputy Commissioner in each District.
The RIP project is being coordinated by Shri Biraj Das , Associate Faculty Member, IIE.
The RIP conducted by IIE as on Implementing Agency are as follows:
Sr

RIP

1 RIP in Ri-Bhoi District of Meghalaya

Year of Launching

Unit

and Conclusion

Launched

2006 and completed 111 Units

Bank

Self

83

28

as on date

Remarks

Completed
on
31.12.2011

2 RIP in Dimapur District of Nagaland

2007 and continuing 100 Units

90

10

as on date

Completed
on
31.12.2012

3 RIP in Champhai District of Mizoram

2009 and completed 75

57

18

Completed
on
31.12.2012

19 | P a g e
States

IIE, North Eastern