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How to support small scale industries of Bihar?

 What are small scale industries?

Small scale industries play a very important role in the development of a country. They are privately owned small corporations that have limited resources and human resource. In this case, the manufacturing, production and rendering of services happens on a small scale. Government of India has set some guidelines, that must be followed by the industry to be called a small scale industry.

There are micro, small and medium-sized industries, which are collectively known as MSMEs. The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006 classifies the industries in two types:

Manufacturing Enterprises – These enterprises produce a product related to a specific industry. They are defined in terms of investment in plant and machinery. An enterprise classifies as a small enterprise if the investment in plant and machinery is more than 25 lakh INR but does not exceed 5 crores.

Service Enterprises – These enterprises provide a specific service. They are defined in terms of investment in equipment. An enterprise classifies as a small enterprise if the investment in equipment is more than 10 lakh INR but does not exceed 2 crores.

List of small scale industries in India

There are about 21 major small scale industries in India. Some of the examples are:

  1. Cotton Textiles
  2. Food Products
  3. Paper Products and Printing
  4. Rubber and Plastic Products
  5. Beverages and Tobacco

Some of the items that are produced by small scale industries are:

  1. Stationary Items
  2. Domestic Utensils
  3. Preserved foods and vegetables
  4. Wooden and steel furniture
  5. Bakery items
  6. Photography Services
  7. Digital Services

Policies by the government to help the Small Scale Industry

The Indian government announced a policy on 30th August 2000 for supporting the small scale industry. Thus, every year, we celebrate 30th August as National Small Industry Day.

Currently, the Bihar government is also promoting startups and MSMEs through various policies, including the Bihar Start-up Policy. They conduct awareness workshops, competitions, investment fairs, award ceremonies to help these industries.

The Micro, Small and Medium Enterprises Development Institute in Patna provides assistance and training for the promotion and development of MSMEs.

What we can do to support Bihar’s Small Scale Industries?

For any state to develop, it is very necessary for the economy to develop the small scale industries. These industries are going to help in the overall development of the state. They contribute in creating local employment. If the production is local, then the products are more accessible and cheaper. It also increases the opportunity for export. In our state the big MNCs are not really keen on investing because of the lack of infrastructure. Thus, it is our duty to develop and support the local small and medium-sized industry. It will also reduce the regional imbalance of our country.

Small scale industries often face stiff competition from big brands. They also suffer from lack of investment and market exposure. Some of the things that we can do to support our local industries are:

  1. Buy local products and services
  2. Promote and endorse them
  3. Make them aware of the government aid policies
  4. If possible, connect them to investors
So, we at Patna Diaries will like to pledge to support our local enterprises. Some of the local startups of Bihar that we have come across are:

Can you list some of the local enterprises in Bihar? Do let us know in the comment section below.