Sick Industries
Sick Industries
» A sick unit is one which is in existence for at least five years and had found at the end of accounting year that it had fully eroded its net worth. 30,000 units fall sick every year. A weak unit is one which erode 15% or more of its net worth.
» Textile industry is the largest industry in the country. The share of Textile and Clothing industry in total industrial production is about 14%. It also contributes 13.14% in total merchandise exports of the country. This industry provides employment to about 350 lakh people in the country.
» There are about 1,100 mills (900 spinning mills and 200 composite mills) in the country with 28 million spindles and 2 lakh looms.
» There are 112 cotton mills in Gujarat. In Ahmedabad alone, there are 66 mills. It is known as Bostan of East. In Maharastra there are 104 mills out of which 54 alone are in Mumbai. Mumbai is called Cottonopolis. In Kanpur there are 10 cotton mills and this city is called Manchester of North India.
» The first cycle making factory of India was established in Calcutta in 1932. India holds second place in the field of cycles production in the world. About 90 lakh cycles are produced annually in India.
» The share of small scale industries (SSI sector) in total exports of India is 32.3% in 2005-06
» Small and Cottage industries were given high priority in the Industrial Policy of 1977.
» District Industry Centres were established in 1977.
» With the aim to provide finance, Small Industries Development Bank of India (SIDBI) was established in 1990.
» Abid Husain Committee is related to reforms in small industries.
» The industries in which maximum Rs. l crore is invested are called Small industries.
» Industrial Finance Corporation of India (IFCI) was established on 1st July, 1948 by a special Act of Parliament.
» The main aim of IFCI was to make available long term and mid term credit to the Industries of private and public sectors.
» Industrial Credit and Investment Corporation of India (ICICI) was established in 1955 under the Indian Companies Act.
» The function of ICICI is to support the establishment, development and modernization of industries in the private sector.
» Industrial Development Bank of India (IDBI) is an apex institution in the field of industrial finance.
» IDBI was established on 1st July, 1964.
» Industrial Reconstruction Board of India (IRBI) was established in 1971 with the aim to reconstruct the sick industrial units.
» Unit Trust of India was established in 1964.
» Unit Trust of India (UTI) collects small savings of people through sale of units and invests them into sureties.
» Life Insurance Company now Life Insurance Corporation of India or (LIC) was established in September 1956.
» The head office of Life Insurance Corporation of India is in Mumbai. Presently, it has 7 zonal offices and 100 regional offices.
» General Insurance Company of India (GIC) was established in 1972.
» Indian Industrial Investment Bank Limited was established on 17th March, 1997 by the government, under Companies Act 1956. Presently, its authorized capital is 1000 crore rupees and its head office is in Kolkata.