MICRO,SMALL AND MEDIUM ENTERPRISES IN ERODE DISTRICT
Erode district is one among the industrialized district in Tamilnadu and it is fifth among the districts in Tamilnadu as far as MSME concerned. There are 18011 registered SSI/MSME Enterprises as on 31.03.2011 in the district. Cotton Textiles in this District dominate the district at present. It accounts for 41.9% of the registered MSME enterprises in the district. Next comes to Hosiery & Readymade Garments industry, which is accounting for 21.9% followed by food products with 17.2%
MSME’s Scale Industries are providing large-scale employment next to Agriculture in this district. It have played a vital role in the districts economy by providing large scale employment opportunities at relatively low capital cost, a wide entrepreneurial base, easy dispersal of industries in rural areas and concentration of certain industrial groups at specific areas.
Area of Concentration
The following table shows that different type of industries and their area of concentration. It may be seen that food products are concentrated at Erode, Perundurai beverages are concentrated in all the 3 blocks of Erode Taluk namely, Modakurichi, Erode & Kodumudi. Cotton Textiles and Readymade Garments are concentrate in Erode Taluk. Erode Taluk is also having the maximum number of industries in Leather & Leather Products, Non metallic mineral products apart from Food Products. Next to Erode, Perundurai stands second in Food Products, Cotton Textiles, Chemical & Chemical Products and Transport Equipments.
Concentration of MSME
Small Scale Service & Business Enterprises
Like the MSME Service sector has also grown considerably in this district. There are 12683 Service Enterprises as on 31.03.2011 in this District. Group wise number of enterprises in this segment is given below.
MSME Service Enterprises as on 31.03.2011
DISPERSAL OF MSME enterprises
The notable feature of the MSME sector is its easy dispersal in wide areas. In Erode district, MSME Enterprises are spread all over the district even though concentration of the units can be seen in some of the places. While Erode Taluk alone having 38% share of MSME Enterprises, the surrounding taluks Perundurai, Bhavani is having the share of 19%, 11.3%, respectively. It can be seen that all of the above three taluks namely, Erode, Perundurai, Bhavani. There altogether having a share of 68% of the total MSME enterprises. The remaining three taluks are having only 32%. The blocks like Thalavadi and Bhavani Sagar are having the MSME enterprises less than 1%.
INVESTMENT LEVEL & EMPLOYMENT LEVEL
The total investment in plant & machinery in the MSME sector in Erode District is Rs.58997.54 lakhs as on 31.3.2011. The average investment in plant & machinery per Enterprises is estimated around 3.2 lakhs. The total employment generated directly by the registered MSME Enterprises in this district is 73919 persons, which works out an average of 3 persons, per unit during 2010 - 2011.
Employment Generated & Investment in MSME Sector
From the above table it can be seen that Erode Taluk is leading among other taluks in terms of number of enterprises, investment level and employment. Erode Taluk is having 38% of registered MSME units with 54% of total investment level and 43% of employment in the district. It is due to the concentration of cotton textiles & readymade garments enterprises in this taluk and their easy accessibility to the market. Next to Erode, Perundurai Taluk is having 4123 number of registered MSME enterprises with 8326.80 lakhs in investment in plant & machinery and providing employment to18491 person. Bhavani Taluk is having 2386 enterprises, with investment of 4263.79 Lakhs and providing employment to 4432 persons. In Gobi Taluk 2234 units are providing employment to 8932 persons with investment of 5961.60 Lakhs. Sathyamangalam Taluk is having 1244 registered MSME enterprises, which is the lowest number of enterprises in the district.
LARGE SCALE INDUSTRIES
There are 64 Large Scale Industries in this district. Most of the Enterprises are cotton textiles. 31 enterprises are textile industries. The following table shows the number of large scale enterprises product wise.
No. of Large Scale Enterprises in Erode District
Industrial Cooperative Sector
Various industrial cooperatives are promoted by the Industries Department in this district to provide employment and to up-left the economic condition of the poor. At present there are 8 such industrial cooperatives with a total membership of 565 numbers operating in this district. Persons engaged in particular activities are brought under one roof and registered as cooperative societies by providing share capital loans, procuring machineries, raw materials required for the enterprises and marketing support by the industrial cooperative wing.
Among 8 Industrial cooperative societies 4 are engaged in production activities such as Engineering, Coir products, Jute products, Textile products, Processing, Printing and 3 are engaged in Auto Transport service sector. One industrial cooperative society is engaged in printing industry service sector.
Cottage Industries are providing large scale employment
with low cost investment. In Erode District there is
Major Cottage Industries as on 31.03.2011.
Like cottage industries, handicrafts Enterprises are also providing employment to the rural artisans. In Erode District there are 5894 Enterprises providing employment to 9734 person. The major types of activities are furnished in the table.
Major Handicrafts Units As on 31.03.2011
BLOCK – WISE CONCENTRATION OF SSI/MSME enterprises IN ERODE DISTRICT AS ON 31.03.2011
BLOCK – WISE CONCENTRATION OF MSME enterprises IN ERODE DISTRICT AS ON 31.03.2011