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...Everything you ever wanted to know about Sikkim

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   INDUSTRIES DEPARTMENT   

 With the changing scenario of economic, political and social aspects of life, there is pressing need for accelerating the pace of industrial development of the state. There is sharp increase in the numbers of educated youth searching for the employment and the problem has been augmented by the migration of the people from rural areas to urban areas looking for better jobs and living conditions.

The department of Industry has been playing a pivotal role in implementing various developmental schemes and solving unemployment problems to some extent by providing employment and extending necessary assistance for self employment through its various undertaking and agencies. Though the state has limited natural resources and skilled manpower and the topographical location of the state also hampers the establishment of large industrial unit. Keeping in view of facts, there is need for formulation of effective industrial policy with long term solution of this phenomenal problem.

However, the department of Industry through its undertaking and agencies has shouldered the responsibilities of removing this problem and also envisages a better tomorrow for its people. Some of the biggest achievements of the department during the recent year are summed up as follows: -

1. Revival of Government Food Preservation Factory (GFPF):
One of the biggest achievements of the department is the revival of GFPF. The industrial unit, which was handed over to one private party, was closed due to mismanagement rendering its employees jobless. However, the government realized its importance and took over the management of units and at present the factory is doing very well. Its products are not only famous but have very high market demands, at present its products available in the markets are, fruit juice, orange squash, passion fruit squash, tomato ketchup, tomato puree, orange marmalade, mixed fruit jam, synthetic vinegar, mango pickle etc. with brand name of Sikkim Supreme. It has also decided to launch new products like Dalley chilies pickles, Dalley chilies with bamboo shoot pickles, mixed pickles, pine apple squash, orange juice in 800 ml cans etc., by February 2001. In view of its demand and better quality products, the government has plan for further expansion and modernization of plant and machinery and in such event there is ample scope for further employment of manpower.

2. Sikkim Jewels Limited:
Sikkim Jewels Limited was established in the year 1972 to cater the demand of Watch jewels and Cup jewels, initially with the capacity of 2.00 lakhs of Cup jewel and 3.00 lakhs of watch jewels per month.. Now its capacity has increased to 3.00 lakhs of Cup jewels and 32.00 lakhs of watch jewels per month. The company has also consolidated its position in the market for Watch jewels, Cup Jewels and Rotors Magnets.
The Company has sold jewels worth Rs 1 ,54, 86, 000 from April 2000 till December 2000, against the total sale of Rs 131 lakhs during 1999-2000. The Company has orders worth Rs. 130 lakhs in hand to be dispatched by December 2001. It has also received orders for 120 lakhs nos. of jewels worth Rs 123 lakhs for next year i.e., for 2001 from foreign clients which is net increase of 400% in export market and in domestic market also it has orders in hand worth Rs 72.00 lakhs.

3. SITCO:
The Sikkim Time Corporation was established during 1976 with assembly of Mechanical watches for HMT .The company has expanded and diversified its business into manufacture of mechanical watch crown, semiconductors and manufacture of digital & analog watches over the years. Its products with brand name “SITCO” has very good market demand for its watches. As of now the company has employed 318 employees in the factory.

4. Speaker Manufacturing Unit:
Apart from its usual business of watch making SITCO has reached another milestone with the foundation stone laying of its Speaker Manufacture Project by the Hon’ble Chief Minister of Sikkim, Shri Pawan Chamling on 13th Dec. 2000. The unit will produce 10,000 speakers per day for both B/W and colour TVs. Speaker manufacture, being a labour intensive one is ideally suited for a place like Sikkim. The project cost (excluding working capital) is Rs. 300.00 lakhs and the annual sales realization (at full capacity) will be Rs. 516.00 lakhs. The unit will give employment to 92 local people at full working capacity.

5. Sikkim Precision Industries Ltd:
The Sikkim Precision Industries Ltd. (SPIL), Namchi, was first conceived during March 1998, when the Hon’ble Chief Minister desired that a project be identified and established at Namchi for the industrial development of South & West Sikkim and for providing gainful employment to the people of these districts. Consequently a high tech. project suitable for Sikkim was identified and it was decided to establish the new Public Sector Company to undertake the project. Thus the Sikkim Precision Industries Ltd. (SPIL) was set up with MD, SITCO being appointed as its Managing Director and given the overall task of implementing the project. Thereafter the land for the project site was acquired at Gurpisey, Namchi and M/s Tata Consultancy Services (TCS) appointed for preparation of the Detailed Project Report (DPR). The DPR was submitted by TCS in Nov ’98.

The foundation stone for the project was laid by the Hon’ble Chief Minister of Sikkim Shri Pawan Chamling on 4.12.1998.The Project site was relocated to Boomtar in March, 2000 since it was found that infrastructure development costs will be too high given the different terrain of the site Gurpisey. The unit specializes in the production of ‘Power Device’ in collaboration with M/s Bharat Electronic Ltd. of Bangalore. The civil construction of the project was started at the new site from July 2000 after the Board of Directors of the Company directed the construction be undertaken directly by the Company for faster and cost effective execution. At present the site leveling works have been completed and the construction of the main factory building is underway.

6. Sikkim Temi Tea :
Sikkim Temi Tea located at Temi-Tarku, South Sikkim, is situated between the elevation range of 4800 ft. to 6000 ft., covering an area of 173 hectors. It is famous for its quality products, which is known not only in India but also in abroad. The unit is major source of employment for the local people and also one of the important revenue earner for the government. Its annual turnover during the year has exceeded 100 MT. It has a/so added Rs. 235 lakhs in the state exchequer as revenue and has set the target of Rs. 240 lakhs as total earning for this financial year i.e. for 2000-01.
Apart from providing employment and generating revenue, it is providing assistance to private tea growers of the state for establishing tea gardens. Under this Program approximate 6 lac tea sapling has been already distributed free of cost to various tea growers’ society and private parties. Under the assistance of Temi Tea Board; tea growers society like Sang-Martam Tea Growers’ Cooperative Society has started flourishing which with further generate additional income as well as employment opportunities to the local people of that areas.

7. Consultancy Services:
The department of Industry also provides Consultancy Services to the aspiring Industrialist/entrepreneur for setting up own unit through Small Industries Service Institute (SISI) Government of India, Tadong and Sikkim Consultancy Services (SICON), Gangtok.. It has set up ‘SICON’ or Sikkim Consultancy Services at District Industries Centre (East & North) at Gangtok where free consultancy services are provided to unemployed youth for setting up their own unit and establishment for providing ‘self-employment’ and employment to other unemployed.

8. Prime Minister Rojgar Yojana:
Rural Artisan and Small Scale Entrepreneur have been continuously trained by the Department within four districts in collaboration with SISI, SICON, Nationalized Banks, SIDBI, etc. Under PMRY Scheme altogether 567 numbers of beneficiaries were provided financial assistance during the last six years.

9. Small Scale Industries Registration:
During the last six years the department has granted 238 Provisional Registration and 96 Permanent Registration Certificate to Small Scale Industries and Tiny Industries. The department of Industry is putting every effort to implement the policy of government for the betterment of its people. It is also striving hard to figure Sikkim in the industrial map of country.

10. SIDICO:
Sikkim Industrial Development & Investment Corporation Ltd. (SIDICO) set up in the year 1977 is a state level principal financial institution engaged in promotion, financing and development of industries in tiny, cottage, Hotels, Small and medium sector in the State of Sikkim. Besides, the corporation has also been providing soft loan/seed capital assistance and participating in the share capital in its selective venture projects.
Financial assistance is made available by the corporation for fixed assets such as land; building, land and machinery etc., with an ultimate objective of setting up of industries in the State.

Since the corporation was facing financial crises, during the year 1995-96, the corporation was restructured and all the liabilities on account of refinance availed from IDBI/SIDBI were settled. During the last five years ( i.e.) from 1995-96 to 1999-2000, the corporation sanctioned loan amounting to &.10.35 crores to 2147 beneficiaries and the recovery for the same period was &.12.66 crores which itself was record.

11. DIRECTORATE OF HANDICRAFTS & HANDLOOM (DHH):
Progress made during the last six years in the Handicrafts & Handloom Sector. Seven new Training Centers were opened in 1919 where training in various crafts are imparted. The rate of stipend for the trainees has also been increased from Rs. 200/-p.m. to Rs. 300/-p.m., and Rs. 250/-p.m. to Rs. 350/-p.m.
A new Block Printing Section was started and in house printing of various multicraft items is carried out. Infrastructure development by way of construction of a three storeyed building at Gangtok, a two storeyed building at Lindong in Dzongu, a four storeyed.-building at Namchi. Further, a three storeyed building was purchased from HUDCO at Melli.

NEW DISTRICT HANDICRAFTS & HANDLOOM CENTRE, NAMCHI
The development of these permanent infrastructure has created enough working space for further development and growth, as well as created a conducive working environment.
Modernisation of looms was carried out by purchase of cart iron looms which has resulted into production of better quality carpets.
Introduced ‘Hire Purchase Scheme’ for issue of Handicrafts & Handloom items to the State Government Employees on monthly instalment basis. This scheme has been a great success and has resulted into high sales revenue.
Craft Fairs are organised at Gangtok as yearly feature and have been participating at various fairs in the State as well as at the National Level.

GANGTOK CRAFT FAIR -1999
Because of the keen interest shown by the Government and the thrust given in the development of the Handicrafts and Handloom Sector, increase in Sales revenue from Rs. 35.35 Lacs in 1996 to Rs. 60.00 lacs in the current financial year 2000-2001 is expected.

ONGOING SCHEMES AND FUTURE PROGRAMS:
1. Border Area Development Project.
Out of Rs. 1.00 Lakhs earmarked for this project the Planning & Development.
Department released 6 lakhs in advance. The necessary infrastructure for holding the vocational training’s for 6 months has been taken care of and the training are proposed as under.

West: Karmatar Cutting & Tailoring Training to be started from 1.6.2001
     Sopaka Cutting & Tailoring Training Tentative date of comment 15.6.2001

East: Dalapchand: Knitting training Tentative date of comment 10.6.2001.

2. Training to Rural Artisans:
   6 (Six) months condensed cause of Cane & Bamboo Craft will be starting at Chakung Medagoan, West Sikkim from 16.06.2001. A total of 15 participants are expected to undergo the said training and a similar training is envisaged at Naga, North Sikkim.

3. Candle making Training:
        The Department has sent 15 entrepreneurs to Nainital (H.P.) for candle manufacturing training on 8.5.2001 for 3 weeks training.

4. Study tour for small tea growers:
        A group of 12 farmers will proceed to Coonoor, South India on 9.6.2001 to participate in 12 days workshop tea cultivation.

5. Industrial Growth Centre:
    An area about 40 acres between Melli and Jorethang in South Sikkim has been identified for Industrial Growth Centre. However due to some unforeseen problem the matter was kept on the hold and the department intends to acquire the land as soon on the problems is sorted out.
However, an alternative land measuring about 17.7580 hectare at Baigunay in West Sikkim is also being considered.

6. Entrepreneurship Motivation Program
       In order to being awareness to the unemployed youth and to make them prepared to take up industrial activities as their profession the Department organized motivation programs on the following places during the month of January 2001.

South District: Namchi & Ravangla
West District : Gyalshing & Soreng
East: Pakyong and Rhenock
North : Mangan
The total number of participants in each programe numbering over 100.

7. Entrepreneurship Development Program:
     Fifteen(15) days cause in E.D.P. was organized at Jorethang, South Sikkim that concluded on 17.5.2001.
The department intends to start Similar programmes at Gyalzing, Sikkim and at Mangan in North Sikkim.

8. Government of Sikkim has vide Notification No. 18/LD/2000 dated 6. 7.2000 published,The Sikkim Industrial Promotion and Incentive Act 2000 (Act No. 18 of 2000


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