The seventh meeting of the National Khadi
and Village Industries Board (NKVIB), an apex advisory body to guide the
overall development of Khadi and Village Industries programmes across the country was held in New Delhi today under the Chairmanship of Shri
Dinsha Patel, Minister of State (Independent Charge)
for Micro Small and Medium Enterprises.
Shri Dinsha Patel in his address highlighted the importance of Khadi and Village Industries sector in the national economy
for providing large scale employment especially in rural areas at low per
capita investment. He further said that the Government is committed to the
development of KVIC in the country, which is evident from the fact that the
allocation for KVIC in the current year has been increased from Rs. 919.20 crore to Rs. 1518.75 crore. He also asked KVIC to intensify its effort for
timely utilization of fund.
Shri Patel
said that the MDA Scheme is a pioneering attempt at reforming the Khadi Sector. He
added, the Government is making all efforts to
increase the production as well as sales of KVI products with introduction of
the modified scheme of MDA. The Minister
urged all to see that Khadi Institutions do not face
any problem in the smooth implementation of the scheme and even take pro-active
steps to help the institutions in case of any difficulties faced by them. He said that the Government has considered
sympathetically, the stock of Khadi that has remained
unsold at the time of introduction of MDA by considering a one time incentive and also clearing all pending
rebate claims of the institutions and is hopeful that the same will be approved
by this year.
The Minister also said that the
Sector has tremendous potential in terms of creating jobs with minimum
investment. PMEGP is expected to provide
a solid entrepreneurial base in the country.
Chairperson of KVIC, Sushree Kumud Joshi said that the
basic objective of KVIC is to provide sustainable employment to spinners,
weavers and artisans in the KVI sector.
She noted, how Khadi
sector with its increased allocation has gained importance. She also praised the MDA Scheme which encourages production of saleable Khadi
goods and changes the point of subsidy to the stage of production instead of
retail sales.
During the meeting, suggestions were
sought from members on ways to further improve the effectiveness, the
efficiency, the productivity
and the delivery of the schemes in the KVI Sector. Representatives of the North-East region
suggested that special consideration should be given to North-East region in
view of its locational disadvantage. Demand was also
there for inclusion of Khadi activity under MGNREGA.
Summing up the discussion Shri Uday Varma,
Secretary, MSME said that the fund allocation is no longer a problem. The Ministry has proposed Rs.
2866 crore in the coming Budget (2011-12) for
it.
The Secretary emphasized the actual
setting up of units under PMEGP should be monitored by KVIC and asked it to
ensure complete transparency in the process of implementation of the
PMEGP. He also asked KVIC to complete
the system of e-tracking and develop a data bank as regards to the contribution
of this sector in GDP.
Shi Varma said that an exclusive PMEGP expo is being planned in
March 2011 for showcasing their products and a web portal to be evolved for
PMEGP products and services.
The meeting was attended by senior officials of the
Ministry of MSME, experts and senior functionaries from Khadi
and Village Industries sector, State Governments, Banking, Marketing and public
representatives.
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RTS/VN