INVESTMENT IN SSI SECTOR

9.1

Information on market value of fixed assets, original value of plant & machinery and the year of installation of plant & machinery was collected in the Third Census.

FIXED INVESTMENT IN THE TOTAL SSI SECTOR

9.2

The fixed investment in the Total SSI Sector was estimated to be Rs.1,54,34,867 lakhs. The six States of Maharashtra (18.13%), Uttar Pradesh (11.2%), Andhra Pradesh (8.01%), Punjab (7.67%), Gujarat (7.15%) and Tamil Nadu (7.12%) together had a share of 59.28% in the total fixed investment in the SSI Sector. The State-wise percentage distribution of fixed investment in SSI Sector is given in the following table.

 

TABLE 51: PERCENTAGE DISTRIBUTION OF FIXED INVESTMENT IN SSI SECTOR, STATE-WISE



 

S. No.

Name of State/ UT

Percentage
fixed investment

1.

JAMMU & KASHMIR

0.83

2.

HIMACHAL PRADESH

0.46

3.

PUNJAB

7.67

4.

CHANDIGARH

0.33

5.

UTTARANCHAL

0.94

6.

HARYANA

5.17

7.

DELHI

4.51

8.

RAJASTHAN

4.27

9.

UTTAR PRADESH

11.20

10.

BIHAR

1.76

11.

SIKKIM

0.01

12.

ARUNACHAL PRADESH

0.02

13.

NAGALAND

0.18

14.

MANIPUR

0.23

15.

MIZORAM

0.08

16.

TRIPURA

0.21

17.

MEGHALAYA

0.09

18.

ASSAM

0.71

19.

WEST BENGAL

3.63

20.

JHARKHAND

0.39

21.

ORISSA

1.24

22.

CHHATTISGARH

1.30

23.

MADHYA PRADESH

2.24

24.

GUJARAT

7.15

25. & 26.

DAMAN & DIU & DADRA & NAGAR HAVELI

1.36

27.

MAHARASHTRA

18.13

28.

ANDHRA PRADESH

8.01

29.

KARNATAKA

5.46

30.

GOA

0.41

31.

LAKSHADWEEP

0.01

32.

KERALA

4.55

33.

TAMIL NADU

7.12

34.

PONDICHERRY

0.32

35.

ANDAMAN & NICOBAR ISLANDS

0.03

All India

100.00



INVESTMENT IN PLANT & MACHINERY IN THE TOTAL SSI SECTOR

9.3

The total original value of investment in plant and machinery in the SSI Sector is estimated to be Rs.54,89,360 lakhs. The six States of Maharashtra (16.78 %), Uttar Pradesh (10.38 %), Andhra Pradesh (8.54 %), Tamil Nadu (8.45 %), Karnataka (6.35 %) and Gujarat (6.25 %) together had a share of 56.75 % in the total original value of investment in plant and machinery in the SSI Sector. The percentage distribution of original value of investment in plant and machinery in the SSI Sector State-wise is given in the following table.

 

TABLE 52: PERCENTAGE DISTRIBUTION OF ORIGINAL VALUE OF PLANT & MACHINERY
IN THE TOTAL SSI SECTOR, STATE-WISE




 

S. No.

Name of State/ UT

Original Value of
P & M (%)

1.

JAMMU & KASHMIR

0.60

2.

HIMACHAL PRADESH

0.57

3.

PUNJAB

5.79

4.

CHANDIGARH

0.33

5.

UTTARANCHAL

1.04

6.

HARYANA

5.76

7.

DELHI

2.53

8.

RAJASTHAN

5.19

9.

UTTAR PRADESH

10.38

10.

BIHAR

1.94

11.

SIKKIM

0.01

12.

ARUNACHAL PRADESH

0.01

13.

NAGALAND

0.29

14.

MANIPUR

0.20

15.

MIZORAM

0.12

16.

TRIPURA

0.13

17.

MEGHALAYA

0.14

18.

ASSAM

1.05

19.

WEST BENGAL

3.94

20.

JHARKHAND

0.73

21.

ORISSA

1.80

22.

CHHATTISGARH

1.11

23.

MADHYA PRADESH

3.65

24.

GUJARAT

6.25

25. & 26.

DAMAN & DIU & DADRA & NAGAR HAVELI

1.00

27.

MAHARASHTRA

16.78

28.

ANDHRA PRADESH

8.54

29.

KARNATAKA

6.35

30.

GOA

0.46

31.

LAKSHADWEEP

0.01

32.

KERALA

4.46

33.

TAMIL NADU

8.45

34.

PONDICHERRY

0.35

35.

ANDAMAN & NICOBAR ISLANDS

0.04

All India

100.00



CAPITAL STRUCTURE IN THE REGD. SSI SECTOR

9.4

The original value of Plant & Machinery in the Registered SSI Sector is estimated to be Rs. 30,32,868 lakhs. Distribution of units by the year of installation of plant and machinery along with their original value of plant and machinery is given in Table R43 in the Appendix. This table shows that 7.29 % of the units had their plant and machinery installed during the seventies, 28.32 % in the eighties, 56.36% in the nineties and 5.03% during 2000-01. Thus about 36 % of the units currently found working had their plant and machinery installed during the seventies and the eighties. This indicates the need for technology upgradation in the sector.

 



9.5

Distribution of principal characteristics by original value of plant and machinery is given in Table 53. The data reveals that every three out of four units had original value of plant and machinery below 1 lakh and 94 % units had value of plant and machinery up to 5 lakhs only. Share of these 94 % units in total value of plant and machinery was only 30.72% and in the total value of fixed capital it was 37.76 %.

 

TABLE 53: PERCENTAGE DISTRIBUTION OF PRINCIPAL CHARACTERISTICS BY ORIGINAL P&M VALUE SLABS



 

Original value of P & M Slabs (Rs. Lakhs)

No. of Units

Employment

Fixed Capital

Orig. Val. of P&M

Gross Output

Export

Up to 1

75.61

46.42

15.81

11.70

14.40

5.41

1 to 2

13.09

17.66

11.97

9.65

11.93

7.64

2 to 5

5.11

10.13

9.98

9.37

9.53

5.83

5 to 10

2.86

7.62

10.11

10.34

10.16

8.07

10 to 15

1.01

3.38

5.41

6.10

6.64

6.96

15 to 20

0.58

2.22

4.59

4.89

4.76

4.40

20 to 25

0.36

1.57

3.37

3.87

3.88

3.42

25 to 30

0.26

1.22

2.61

3.33

3.15

4.00

30 to 50

0.53

3.14

7.54

9.65

8.12

10.31

50 to 70

0.23

1.68

5.34

6.33

5.75

5.44

70 to 100

0.19

1.98

7.73

7.43

7.92

11.58

Above 100

0.17

2.98

15.53

17.32

13.75

26.93

Total

100.00

100.00

100.00

100.00

100.00

100.00



 



9.6

The fixed investment in the registered SSI Sector is estimated to be Rs. 91,79,207 lakhs. About 53 % of the units with a share of only 3.5 % in fixed capital provided employment to about 27 %. Details of principal characteristics by fixed capital slabs are given in the following table. The share of the States in total fixed assets and total value of plant and machinery is provided in Table R44 in the Appendix.

 

TABLE 54: PERCENTAGE DISTRIBUTION OF PRINCIPAL CHARACTERISTICS BY FIXED CAPITAL SLABS



 

Fixed Capital Slabs
(Rs. Lakhs)

No. of Units

Employment

Fixed Capital

Orig. Val. of P&M

Gross Output

Export

Up to 1

53.44

26.78

3.50

6.26

4.77

1.34

1 to 2

21.87

17.63

5.46

7.05

5.54

1.21

2 to 5

9.72

11.95

5.94

7.23

6.09

1.45

5 to 10

6.12

10.33

7.36

8.70

7.36

2.64

10 to 15

2.44

5.30

4.89

5.84

5.05

2.58

15 to 20

1.49

3.88

4.18

4.83

5.17

3.89

20 to 25

0.94

2.70

3.34

3.84

4.00

2.40

25 to 30

0.64

1.99

2.77

3.28

3.25

2.35

30 to 50

1.37

5.15

8.37

9.84

9.57

6.86

50 to 70

0.67

2.83

6.15

6.54

6.71

6.71

70 to 100

0.63

3.63

8.12

9.29

9.46

11.12

Above 100

0.67

7.83

39.94

27.30

33.03

57.45

Total

100.00

100.00

100.00

100.00

100.00

100.00



CAPITAL STRUCTURE IN THE UNREGISTERED SSI SECTOR

9.7

It was estimated that the unregistered SSI Sector comprising 91,46,216 units had a fixed investment of Rs. 62,55,660 lakhs and original investment in plant and machinery worth Rs.24, 56, 492 lakhs.

INVESTMENT

9.8

About 97 % of the units had a fixed investment up to Rs. 2 lakhs and these units had a share of about 61.5 % in the total fixed investment in the sector. The details are given in the following table.

 

TABLE 55: PERCENTAGE DISTRIBUTION OF PRINCIPAL CHARACTERISTICS, BY FIXED CAPITAL SLABS



 

Fixed Capital Slabs
(Rs. Lakhs)

No. of Units

Employment

Fixed Capital

Original P&M

Gross Output

Export

Up to 1 lakh

85.27

77.76

36.38

47.34

54.55

6.05

1 to 2

11.36

14.81

25.16

29.34

23.08

90.91

2 to 5

2.24

3.92

12.90

9.67

7.47

1.03

5 to 10

0.80

2.08

9.02

5.95

4.31

1.29

10 to 15

0.16

0.46

3.01

2.10

1.42

0.02

15 to 20

0.06

0.25

1.64

0.93

0.93

0.00

20 to 25

0.02

0.10

0.89

0.43

0.29

0.03

25 to 30

0.01

0.20

0.56

0.46

0.47

0.00

30 to 50

0.03

0.22

1.95

1.01

2.14

0.31

50 to 70

0.02

0.05

1.57

1.22

1.20

0.01

70 to 100

0.01

0.07

1.77

0.80

0.59

0.35

Above 100

0.01

0.09

5.16

0.73

3.54

0.00

Total

100.00

100.00

100.00

100.00

100.00

100.00



9.9

About 96 % of the units had the original investment in plant and machinery up to Rs. One lakh. Details are given in the following table.

 

TABLE 56: PRINCIPAL CHARACTERISTICS BY P & M VALUE SLABS



 

Original P & M Value Slabs (Rs. Lakhs)

No. of unregd. Units

Employment

Fixed Capital

Original P&M

Gross Output

Export

Up to 1 lakh

96.28

91.84

74.81

58.08

76.57

98.76

1 to 2

3.04

5.62

13.43

16.40

11.01

0.45

2 to 5

0.44

1.29

6.02

6.38

4.19

0.06

5 to 10

0.18

0.78

2.60

4.92

3.18

0.09

10 to 15

0.02

0.16

0.58

1.06

0.45

0.64

15 to 20

0.01

0.13

0.53

0.99

0.70

0.00

20 to 25

0.00

0.02

0.15

0.37

0.13

0.00

25 to 30

0.01

0.03

0.24

0.60

0.42

0.00

30 to 50

0.00

0.02

0.57

0.68

0.70

0.00

50 to 70

0.01

0.06

0.50

1.16

0.54

0.00

70 to 100

0.00

0.02

0.49

1.40

2.02

0.00

Above 100

0.00

0.01

0.07

7.96

0.10

0.00

Total

100.00

100.00

100.00

100.00

100.00

100.00