TESCOK

Technical Consultancy Services

Organisation of Karnataka (TECSOK),
is a multidisciplinary technical,
industrial and management
consultancy organization set up. It
was established in the year 1976 by
the Government of Karnataka

primary objective
The primary objective of founding
TECSOK was to provide reliable
consultancy support for
entrepreneurs to start up self
employment ventures in Karnataka

package of services

feasibility studies,
market research,
valuation of assets,
environment impact studies,
energy management and audit,
management studies like corporate plan,
reorganization and restructuring of enterprises,
man power planning,
budgetary control systems, mergers and acquisitions,
investment opportunities,
technology transfers,
diagnostic studies and also designing and organizing
training programmes in all related areas.

KIADB
Karnataka Industrial Areas
Development Board (KIADB) is a
wholly owned infrastructure agency
of Government of Karnataka, set up
underKarnataka
Industrial
Areas
Development Act of 1966.

Aims and Objectives :

Promote rapid and orderly development of industries
in the state.
Assist in implementation of policies of government
within the purview of KIAD Act.
Facilitate for establishing infrastructure projects.
Function on corporate lines, with No Profit No Loss
policy.
Functions :
Acquire land and form industrial areas.
Provide all infrastructure to such industrial areas.
Acquire land for Single Unit Complexes.
Acquire land for Government agencies for their
schemes and infrastructure projects.

 KIADB has also acquired lands to cater the

specific needs of individual industrial units
(Single Unit Complexes).
The vision of KIADB and world class
infrastructurehas madeinvestors all over
theworld take notice of Karnataka as the premier
destination for their startups and ventures.
Till date, KIADB has formed 95 industrial areas
spread all over the State, and acquired land for
nearly 290 Single Unit Complexes ensuring
balanced industrial development in all regions
with well thought of infrastructures and unique
features.

Infrastructures in Industrial Area

Few prominent industrial areas:
Peenya, Electronic City, Export Promotion
Industrial Park (EPIP) in Bangalore.
Hebbal in Mysore.
Baikampady in Mangalore.
Tarihal in Dharwar.
Kakati in Belgaum.
Auto Complex in Shimoga.

Functional units of
KIADB

Acquisition Wing
Engineering Wing
Allotment Wing
Accounts Wing
Administration Wing

KSSIDCL

Karnataka State Small Industries Development Corporation Limited

The programme of establishment of industrial

estates, which has been carried out by the State
Government involved in construction of industrial
sheds of various dimensions and providing them
with essential amenities such as roads, water
supply, sewerage line and electricity.
The maintenance and upkeep of the sheds also
became a part of the responsibility of the
Corporation. Besides constructing and letting out
the industrial sheds, developed plots were also
offered to the entrepreneurs to put up their own
factory sheds.

 ENTERPRENEURAL DEVELOPMENT
PROGRAMME.
The Company is extending necessary
assistance for organizing Entrepreneurial
Development Programmes in various parts
of the State in association with TECKSOK
and other commercial banks with a view to
identify the talents and to improve the
quality of Entrepreneurial skill amongst the
educated youth.

Karnataka state finance

corporation (KSFC)
KSFC is one of the fast track
Term Lending Financial Institutions in
the country, with assistance to more
than 1,59,225 units amounting to
nearly 8,537 crore rupees over the
last 49 years in the State of
Karnataka. It is one of the robust and
professionally
managed
State
Financial Corporations.

 General Scheme-For establishment of new Tiny/SSI/MSI/

Service units and for expansion/modernization/
diversification of existing units
Assistance To Construction / Infrastructure Related
Activities
Assistance To Hotels/ Restaurants
Assistance To Tourism Related Activities
Assistance To Doctors/Nursing Homes/Hospitals/ Electro
Medical Equipments
Assistance To Entertainment Industry
Rehabilitation For Sick Industrial Units
A.M.A.R.A (Assistance For Marketing Related Activities
Assistance For Acquiring Private Vehicles
Acquisition Of ISO 9000 Series Certification
Training Institution

KARNATAKA SMALL INDUSTRIES

MARKETING CORPORATION
LIMITED(KSIMC)
it is a Public Company
incorporated on 12 September 1984.
It is classified as State Government
Company and is registered at
Registrar of Companies, Bangalore.

Activities
accounting, book-keeping and
auditing activities;
tax consultancy;
market research and public opinion
polling;
business and management
consultancy

District Industrial
Centre

District Industrial Centre

The focal point of development for small
scale and cottage industries, is taken away
from the big cities and state capitals to the
district headquarters.
In each district, one agency was
created to deal with all requirements of
small and village industries. This is called
"District Industries Centre".

Objective

To develop entrepreneur skills of people.

To motivate for self employment.
To providing all the necessary facility in
one roof.
To
reduce
regional
imbalance
of
development.
To Cheek in migration

Progress of DIC
Till
March
31st
1998, 422 district
industries centers
(DICs) have been
set up covering
431districts
of
country leaving out
the
metropolitan
cities and some
new districts.

S. No

Particular

1.

New units established

a.
artisans
b. b. small scale
industries

2.

Credit provided by
financial institution
(RS. In cr.)

89,080

3.

Additional employment
generated

13, 33,024

Source: (Khanka, 2001:164)

No. of Units/ Beneficiary

3,16,169
1,06,0211

Monitoring of DICs
District Industrial Executive
Committee (DIEC)
Single Window Industrial Follow
up Team (SWIFT)

Functions of DICs

Registration
Infrastructure Assistance
Incentive Scheme
Seminars
Others Activities
Self Employment scheme
Co-operative Package Scheme

National Small Industries

Corporation(NSIC)
National Small Industries
Corporation Limited(NSIC) is a
PSU established by theGovernment
of Indiain 1955[1][2]It falls under
Ministry of Micro, Small & Medium
Enterprises of India.

Objectives
promote small and budding entrepreneurs
to provide machinery on hire purchase basis
and assisting and marketing in exports.
Further, SSI's registered with NSIC were
exempted from payingEarnest moneyand
provided facility of free participation in
government tendered purchases.
Also for training persons at the training
centers and modernizing units

 NSIC also helps in organizing supply

of raw materials at concessional rates
to SSIs
Further, it also provides assistance to
small scale industries by taking
orders from Government of India
owned enterprises and procures
these machineries from SSI units
registered with them4]

Micro, Small and Medium

Enterprises in India
An overview

In the Indian context, micro, small and

medium enterprises are defined as..
It is based on the investment
investment in plant and machinery
(for manufacturing enterprise) and
on equipments for enterprises
providing or rendering services.

Criteria in India Micro enterprise-investment does not

exceed 25 lakh rupees.
Medium enterprise- more than five
crores but not upto ten crores.
Small enterprise- more than 25 lakhs
rupees but doe not exceed 5 crores.

In case of services a micro enterprise- not upto 10 lakh

rupees.
a small enterprise- more than 10 lakh
but not upto 2 crore rupees.
a medium enterprise- more than 2
crores but not upto 5 crores.

PERFORMANCE AND
CONTRIBUTION OF MSMEs.
13 Million MSMEs
> 8000 products

45% industrial
production

MSMEs

31 Million
Employment

40% Exports

Micro, Small and Medium

Enterprises Development Act,
2006
salient features.
1. Industry replaced by enterprise
which include service enterprises
also.
2. Ambit of sector enlarged to cover
medium enterprises.
3. Constitution of MSME Board.
4. Simplification of registration
procedure.
5. Progressive credit support.
6. Penalty for delayed payments.
7. Provision for exit policy.

Institutional Support Structure

for MSMEs in India

At Federal Level

At State Level

1. Ministry of
MSMEs
2. Small Industries
Development
Organisation
(SIDO)
3. National Small
Industries
Corporation(NSIC)
4. Khadi & Village
Industries
Commission(KVIC
)
5. Coir Board
6. Entrepreneurship
Development

1. Directorate of
Industries
MSMEs

2. District
Industries
Centres
3. State Finance
Corporation

Others
1. Industry
Associations
2. NGOs
3. Banks/Financi
al Institutions

4. State Industrial
Development
Corporation
5. Technical
Consultancy
Organisations
6. Entrepreneurshi
p Development
Institutions

MAJOR SCHEMES
FOR
MSMEs SUPPORT

Credit Support
1. Public sector banks advised to double the
flow of credit to MSMEs within 5 years (20%
annual growth)
2. A minimum of 40% of bank credit
earmarked for priority sector lending which
includes loans to MSEs
3. Specialised SME Bank branches in industrial
clusters for smooth flow of credit to MSMEs
4. One Time Settlement (OTS) scheme for
settling NPAs of MSMEs

Technological Support

Credit Linked Capital Subsidy

Scheme for Technology Upgradation
Scheme meant to improve quality
of products by technology
upgradation.
Investment upto INR 10 million
(US$ .250,000) eligible for support
with subsidy upto 15% on
investment.

Contd.
Testing Centres for Quality
Certification
Tool Rooms and Training Centres for
skill upgradation
Incentive scheme for obtaining ISO
Certification by MSEs

Marketing Assistance and Export

Promotion
1. Support for participation in trade fairs and
exhibitions national as well as
international.
2. Training programmes on packaging for
exports.
3. Purchase preference in Government
procurement.
4. Market Development Assistance Scheme
for publicity, market studies and adoption
of modern market practices

Cluster Development
Programme
Cluster formation has been considered
important for MSME development. A
cluster may be defined as a local
agglomeration of enterprises (mainly
SMEs, but often also ncluding some
large enterprises), which are producing
and selling a range of relatedand
complementary products and services

International Cooperation Programme

Provides exposure to MSMEs to the
latest technologies, manufacturing
practices prevalent in their fields in
different countries.
Encourages their participation in
international exhibitions for exports.

SMALL INDUSTRIES
DEVELOPMENT BANK OF INDIA
(SIDBI)
Subsidiary of IDBI, setup as an act of
parliament.
Provides assistance for:
Setting up of new SSI units, small hotels,
hospitals and so on.
Technological upgradation and modernization,
expansion and diversification.
Quality upgradation.

 Development of markets.
Development of infrastructure.
Discounting of bills of manufacturerseller in selling either equipments or
components.

Objectives of SIDBI
1. To initiate steps for technological upgradation and modernisation of existing units.
2. To expand the channels for marketing the
products of SSI sector in domestic and
international markets.
3. To promote employment oriented
industries especially in semi-urban areas to
create more employment opportunities and
thereby checking migration of people to
urban areas.

functions of SIDBI
It refinances loans and advances
provided by the existing lending
institutions to the small-scale units.
It extends seed capital/soft loan
assistance under National Equity
Fund, Mahila Udyam Nidhi and Mahila
Vikas Nidhi and seed capital
schemes.

 It grants direct assistance and refinance loans

extended by primary lending institutions for
financing exports of products manufactured by
small-scale units.
It extends financial support to State Small Industries
Corporations for providing scarce raw materials to
and marketing the products of the small-scale units.
It provides financial support to National Small
Industries Corporation for providing; leasing, hire
purchase and marketing help to the small-scale
units.