B Y :

A B H I S H E K S A X E N A

A D I T I M E E N A

A M I T B H A R A D WA J

A M I T KU M A R

AT U L K S I N G H

L A L C H A N D

R A J E E V C H A U D H A R Y

S A U M I T R A S I N H A

VA R T I KA S R I VA S TAVA

STUDY OF UNORGANIZED COTTAGE INDUSTRIES

COTTAGE INDUSTRIES An overview

Small manufacturing units e.g. small food processing units, sewing, etc. Primarily unorganised in nature.Carried on at home mostly by family members.No upscale equipments required.Nor large investment.

RETAIL UNIT OF ADITYA RAJ BAKERY

WORKSHOP OF ADITYA RAJ BAKERY

MAJOR COTTAGE INDUSTRIES IN INDIA

Silk Weaving .Carpet making . Leather Industry. Metal handicrafts.Small food processing industries.

DISTINCTION BETWEEN COTTAGE, SMALL AND MEDIUM SCALE ENTERPRISES

The commonly used criteria at the international level to define SMEs are: Type of Enterprise No. Of Employees

Cottage (Micro) Size Business

2-9

Small Size Business 10-49Medium Size Business 50-249

Classification Manufacturing* Services Enterprises**

Cottage(Micro) Size Business

Upto Rs. 25 lakhs Upto Rs. 10 lakhs

Small Business Rs. 25 lakhs - 2 crore

Rs. 10 lakhs – 2 crore

Medium Size Business Rs. 2 crore – 5 crore

Rs. 2 crore – 5 crore

PROBLEMS IN COTTAGE INDUSTRIES

PROBLEMS IN COTTAGE INDUSTRIES (contd.)

Problem of Raw-materialsProblem of FinanceMarketing problems Lack of Managerial TalentCompetition with large-scale industries

ROLES AND PERFORMANCE

Expansion of Small-Scale Sector and Contribution to Industrial Output.

Relative Efficiency as Compared with Large-Scale Sector. Employment Generations.Equitable Distribution of National Income.Regional Dispersal of Industries. Mobilization of Capital and Entrepreneurial Skills.Less Industrial Disputes.

RECOMMENDATIONS

Institutional branding.Standardization of hygiene and safety facilities.Financial upliftment and subsidization.Allocation and allotment of land especially for mushrooming

of cottage industries.

STEPS TAKEN BY GOVERNMENT

Setting up of multiple agencies to help village and cottage industries.

For example: The Khadi and Village Industries Commission. The All India Handicrafts Board. Etc.

Central Cottage Industries Emporium http://cottageemporium.in/

Flexible institutional credit are made available to the sector.807 items has been reserved for exclusive production in the

sector.

ORGANIZATIONS WORKING FOR COTTAGE INDUSTRIES

Khadi and Village Industries Commission (KVIC)Central Silk BoardCoir BoardAll India Handloom BoardAll India Handicrafts BoardForest CorporationsNational Small Industries Corporation

THANK YOU !!