Volume : IV, Issue : VI, June - 2015

EMERGING OPPORTUNITIES AND CHALLENGES FOR SMALL SCALE INDUSTRIES IN AN EMERGING INDIAN ECONOMY

Mr. Narra Nagaraju

Abstract :

 The small–scale sector occupies a position of prominence in the Indian economy, contributing to more than 50% of the industrial production in value addition terms. The sector accounts for one third of the export revenue and employs the largest manpower next to agriculture. In India‘s present liberalized economy, the survival and growth of small–scale industry (SSI) largely depends on its ability to innovate, improve operational efficiency and increase productivity. The role of small–scale industries in the economic development of India in recent years is critically analyzed in this paper. Various factors affecting the growth and development of small–scale industries and the problem faced by this vital sector of Indian economy is examined. The contribution of small–scale industries in employment growth, production, export promotion and other economic indicators are discussed. Conclusions drawn from the analysis of the data suggest that the various policy initiatives taken by the Government of India since independence have helped this sector to grow considerably. Some of the policies of the Government of India may, however, not be very helpful in increasing the efficiency of units in this sector as number of non–viable units is increasing steadily. Small scale industries play a vital role in the development of economy, mainly in developing countries. If population of India is taken into consideration it can be said that this sector has a wide scope in India. If small scale industrial sector is developed other economy related problems can be dissolved automatically. But these have to face so many problems while competing with other large scale industries. If these problems are solved or efforts are taken to foster these challenges this sector can prove itself as a developing engine.

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Article: Download PDF   DOI : 10.36106/ijsr  

Cite This Article:

Mr. NARRA NAGARAJU Emerging Opportunities and Challenges For Small Scale Industries in an Emerging Indian Economy International Journal of Scientific Research, Vol : 4, Issue : 6 June 2015

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