INDUSTRIAL PONTENIAL SURVEY OF JALNA DISTRICT

FOREWORD

As a part of regular activities and Core Action Programme for the year 2000-2001, SISI, Mumbai has prepared an Industrial Potential Survey Report on Jalna District. The report provide a brief account of the topography of the district, its industrial and infrastructural development and the availability of resources. Based on the local demand conditions and other local factors a number of potential industries has been identified which may have scope for future development in the district. Also a list of possible ancillary units have been suggested.

The suggested list of industries, as well as, the coverage of the district may not be exhaustive. The report provides a broad choice of selection for industries for new entrepreneurs. The success of the unit ultimately depends upon numerous factors including the initiative, drive and zeal of the entrepreneurs.

This report will be useful to the future and potential entrepreneurs in the district. It may also serve as a guide to Government and Semi-Government Agencies/Institutions engaged in the promotion of small scale industries in the district.

I am thankful to the various State/Central Government Departments of Jalna district who have provided the basic information for this report. I also acknowledge with thanks the cooperation received from DIC, Bank of Maharashtra, Zilla Parishad, Collector Office staff and other Government officials.

I appreciate the efforts of Shri S.A. Kedare, SIPO (EI) for compiling and preparing this report under the guidance of Shri O.M. Prabhakaran, Dy. Director (EI).

DIRECTOR

CHAPTER - 1

INTRODUCTION

Jalna district is one of the seventh districts of Aurangabad Administrative Region. Prior to the year 1981, Jalna was one of the tehsil of Aurangabad district. It has been formed as a separate district with effect from 1^st May 1981 bifurcating it from Aurangabad district. It has been declared as one of the backward districts of Maharashtra State. Earlier, Jalna district comprises of 5 talukas. Recently 3 more talukas viz. Badnapur, Ghansavangi and Mantha have been formed. The geographical area of Jalna district comprises of 2.53% of the area of Maharashtra State. The majority of its population are engaged in agricultural occupations and there is little industrial development in the district. In order to make rapid industrialisation possible and with a view to decentralising the location of industries, the Govt. has made available a number of special concessions and incentives for the Jalna district.

This report is an attempt to indicate the industrial potentialities in Jalna district. The industrial potentialities in the region have been considered, keeping in view, the availability of agricultural produce, existing industries and the infrastructural facilities available in the district. All these parameters have a bearing on the future development of industries in Jalna district.

The main objective of the Government’s efforts is to have balanced development of the region by decentralising location of industries. Encouragement is also being given to entrepreneurs producing new products from available resources, and making efforts for improvement of technology. The potential areas for industries are based on the resources available in the district. Demand based-industries along with the scope for setting up ancillaries to the existing large/medium scale units is also considered within the scope.

The survey report is based on the information from both primary and secondary sources. Apart from exhaustive reference to available literature in the district, it included information and data collected from knowledgeable person experts, small scale industrialists, Government departments, Traders and experienced persons in these lines through extensive field visits. It is intended primarily for the prospective entrepreneurs as a guide and it may also serve to indicate the direction in which developmental agencies, both governmental and others can proceed for promotion of the small scale industry sector.

The study along with field work was conducted during the month of November, 2000.

CHAPTER - 2

PROFILE OF JALNA DISTRICT

LOCATION

Jalna district, which is one of the district of Marathwada Region, lies between 19 Degree & 15 minutes and 20 Degrees & 32 minutes north latitude and 75 Degree & 45 minutes east longitude approximately. It is surrounded by Jalgaon district in the north, Aurangabad district in the west, Buldhana and Parbhani districts in the East and Beed district in the south. North to South district length is 150 kms and East to West length is 110 Kms. The area of the district is 7788 Sq. Km.

TOPOGRAPHY

Jalna district is situated in the upper Godavari Basin. The central hill range known as Jalna Hill is an upland, plateau and is drained by Purna river and its tributaries. Southern portion is comparatively low land, flat area terminating at Bank of Godavari River in the South. District slopes towards south and average elevation above sea level is 534 meters.

CLIMATE

The climate of the district can be divided into three seasons as: a) Moderately warm wet season during June to Sept., b) Cool dry season from Oct. to Feb., and c) Hot dry season from March to May. The average temperature of the district is ranging from 20*C during winter to 41*C during summer. During greater part of the year, the climate is quite pleasant. It receives rainfall mostly from South-West monsoon. Rainfall is not uniform in all parts of the district. The average rainfall ranges between 600mm to 700mm.

SOIL

The soils of the district are black with considerable variation in texture and depth. They are light, medium and heavy soils. The soils along the river banks especially in Ambad and Partur blocks are deep black and quite fertile. The soils in northern parts of the district i.e. in Jalna, Bhokardan and Jaffrabad blocks are coarser.

RIVERS:

The most improtant river in Jalna district is Godavari, which flows for about 60 kms. along the Southern boundry of the district. Its principle tributaries are Dudhana, which flow from Central part of the district and Galhati, which passes through Ambad tehsil. The river Purna, which is one of the tributaries of Godavari flows through the Northern part of the district. The other tributaries of Purna and Khelna are Girija and Dudhana respectively.

POPULATION:

As per 1991 Census, the population of the district is 13,65,000, out of which rural population is 11,34,000 (83%) and urban population is 2,31,000 (17%). The population of Scheduled Caste/Scheduled Tribes is 2,04,000. The highest concentration of the Scheduled Tribes is found in the talukas of Bhokardan, Jalna and Ambad.

As per the 1991 Census, out of the total population, 5.99 lakhs are gainfully employed supporting a non-working population of 7.14 lakhs. Out of the total working population, 46.76% are farmers, 35.65% are agricultural workers, 12.45% were engaged in industrial activities and 5.14% were engaged in other activities.

The Jalna district has a total area of 7788 sq. kms. Out of the total district area, rural area comprises of 99.55% and urban area of 0.45%. The district consists of 8 talukas viz., Jalna, Ambad, Partur, Bhokardan, Jafrabad, Badnapur, Ghansavangi and Mantha. As per the 1991 Census Ambad taluka is the largest block (2245 Sq. km.) and Jafrabad taluka is the smallest block (727 sq. kms) as per the area. Talukas viz. Badnapur, Ghansavangi and Mantha have been recently formed.

ADMINISTRATIVE SET UP:

Jalna district has 8 tehsils viz. Jalna, Ambad, Partur, Bhokardan, Jafrabad, Badnapur, Ghansavangi and Mantha. At the district level, Collector is the Administrative Chief and at tehsil level, Tehsildars are looking after the administration as per Collector’s instructions. For rural development, Chief Executive Officer of Zilla Parishad and at block level, Block Development Officers are incharge of the administration. Municipals Councils are responsible for urban development of all the tehsils. There are 8 Panchayat Samities and 4 Nagar Parishads.

TABLE - 1
ADMINISTRATIVE SET UP

CHAPTER - 3

INFRASTRUCTURAL FACILITIES

TRANSPORT:

RAILWAYS:

The total length of railway line passing through the district is only 88 kms. Manmad to Kachikuda railway line passes through Jalna district. Jalna and Partur, two blocks of the district, only are linked up with the meter guage line. Jalna district is not well connected with the other major cities and hence industrialists as well as the traders are facing the problem of transportation of goods. Aurangabad to Jalna as well as Jalna to Parbhani railway line had been converted into broad gauge line which is very much useful to the local industrialists and businessmen.

ROADS:

The district is having a total road length of 3798 kms as on March 1999. The city is connected with major cities in Maharashtra as well as other business and industrial centres in and outside the state. No National Highway passes through the Jalna district. The total road length of the district per one lakh population comes to 278.43 km whereas it is 242 km for the Maharashtra State. Jalna district has good potentiality of transportation. The break up of the road length is as follows:

The breakup of road length according to surface classification is as follows:

TABLE - 3
ROAD : SURFACE CLASSIFICATION-WISE

The road transport is an important means of transportation in the district. Roads are maintained fairly well. The traffic on minor and other roads are not being cut off in the monsoons. The Maharashtra State Road Transport Corporation covers almost every village on its routes in the district. Cities like Mumbai, Pune, Aurangabad, Jalna, Beed, Latur, Nagpur, Shegaon, Shirdi, Nasik, Nanded etc. are connected by S.T.

AIR TRANSPORT

At present, there is no air transport facility available in the district. However, Aurangabad Airport, which is 67 kms. away from Jalna serves the needs of the industrialists and traders.

COMMUNICATION:

Communication facilities like fax, telephone, E-mail, internet, telex etc., are pre-requisite for development of industry in any area. Information can be transmitted from place to another, with in a short period of time with the help of this new communication aids. There are 106 Post offices, 11 Telegraph offices and 67 Telephone exchanges in Jalna district. The district has 16072 telephones. All talukas, district headquarters and important places are connected by telephones. Another 12 telephone exchanges are proposed to be set up in Jalna district.

ELECTRICITY:

In Jalna district, electricity is supplied by the Maharashtra State Electricity Board. Each and every village has been electrified in Jalna district. During the year 1998-99, 6553.52 Lakh KW units were utilised. Out of these 67.06% electricity consumption was for industrial purpose, 21.42% for agriculture, 7.03% for domestic purpose, 0.65% for street light, 1.22% for business and 2.62% for other purpose. A revenue of Rs. 5309.33 Lac had been received from the sale of electricity during the year 1999-2000.

IRRIGATION FACILITIES:

Water is one of the important resources for the industrial development. There is no major irrigation project in Jalna district. However, an area of about 51710 hectares in Jalna district is being irrigated by Jayakwadi project which is one of the major irrigation project situated in Paithan taluka, Aurangabad district. Government is trying to bring more and more land under irrigation by investing huge amount on irrigation facilities. There are 7 medium irrigation projects and 46 minor irrigation projects in Jalna district. In the year 1996-97, there were 30572 wells, 11506 electric pumps and 766 diesel pumps. An area of about 187000 hectares was brought under irrigation through various irrigation sources in the year 1996-97. However, there is shortage of water during summer seasons. Ghansangvi taluka had the maximum irrigated area whereas Mantha taluka with the least irrigated area. About 31.08% and 22.89% of the total irrigated area is utilised for cotton and jowar respectively. The following medium irrigation projects exist in Jalna district:-

TABLE - 4
MEDIUM IRRIGATION PROJECTS

CHAPTER - 4

RESOURCES

AGRICULTURAL RESOURCES:

Agricultural activity in Jalna district mostly depends upon the monsoon seasons which is irregular. About 82.41% of the total working force is engaged in agriculture and its allied activities. Jawar, Bajra, Wheat, Pulses, Groundnuts, Cotton, Sugarcane are the major crops. With the extension of irrigation facilities, multiple cropping is also existing in the district. About 15% of the total existing industries in Jalna district are Agro-based industries.

LAND UTILISATION:

The total geographical area in the year 1996-97 was 762700 hectors, out of which forest area was 0.89%, 5.34% fallow land, 3.25% non-agricultural land, 1.82% barren uncultivated land and 84.90% was net cultivated land. The gross cropped area of Jalna district in the year 1996-97 was 7.42 lakh hectors as against 22.08 lakh hectors at State level during the year 1997-98. The percentage of net area sown to that of the total geographical area of the district is 84.89% as against the State average of 57.68% in the year 1997-98. The following table indicates the land utilisation position in the district :

The land under miscellaneous tree crops has been increased drastically whereas barren uncultivated land, permanent pasture growing land and other fallow land has been reduced considerably. The net area sown in the district has been slightly increased. It is clear from the above table that efforts should be made to cultivate the land which is useful for cultivation.

Agricultural Sector Performance – A Brief Review:

1. The total area under Jowar cultivation, both Kharif as well as Rabbi, has increased by 2.70% in the year 1996-97 as compared to 1995-96. The yield per hectare was 845 Kgs and the total production was 1.40 lakh tons in the year 1997-98.
2. The total area under Bajra cultivation was 91364 hectares in the year 1996-97, which is declined by 1.16% as compared to 1995-96. The yield per hectare of Bajra was 644 kgs and its total production was 79700 tons in the year 1997-98.
3. The total production of sugarcane in dressed cane was 5.43 lakh tons in the year 1997-98. However, the total area under sugarcane cultivation was decreased by 47.74% in the year 1996-97 as compared to 1995-96.
4. Cultivation of Pulses dominate the cropping pattern in Jalna district. In the year 1997-98 the total production of pulses was 78100 tons out of which production of Tur comprises of 33.29%, Mug 37.77%, Gram 10.62%, Udid 12.29% and other pulses 6.03%. The area under cultivation of Mug and Udid has increased whereas the area under cultivation of Gram and Tur has declined during the year 1996-97 as compare to its previous year.
5. Cotton is one of the major cash crops. The area covered under cotton cultivation was increased by 14.22% in the year 1996-97 over 1995-96. The area under its cultivation amounts for 24.17% of the total production area in the year 1996-97. The yield per hectare was 181 Kgs and the total production was 29478 tons in the year 1997-98.

The production of major crops and productivity are indicated in the following table:

TABLE – 6
PRODUCTION OF MAJOR CROPS AND
PRODUCTIVITY IN JALNA DISTRICT (97-98)

Principal Crops of the district verses Maharashtra State:

• The total area under cultivation of pulses in Jalgaon district for the year 1995-96 accounts for 4.38% of the total State area. Mung, Tur, Gram and Udid are grown in ample quantity in Jalna district. Jalna district accounts for 7.32% of the State total production of Tur in the year 1997-98. The yield per hectare of total pulses of the district is 550 kgs whereas that of State is 365 Kgs during 1997-98.
• About 5.12% of the total area under cotton cultivation of the State is in Jalna district. The yield per hectare of the district in respect of cotton is higher as compared to State and the production accounts for about 58% of the total production of the State.
• The yield per hectare in respect of Jowar is also higher as compare to State and about 3.48% of the total area of Jowar cultivation of the State lies in district during the year 1995-96. The production of Jowar is 3.72% of the total Jowar production of the State.
• The yield per hectare of Bajra in Jalna district is 644 Kgs whereas of State is 670 Kgs during the year 1997-98. The production of Bajra accounts for 7.12% of the total Bajra production of the State in 1997-98.

HORTICULTURE:

Jalna district is fairly rich in horticulture crops. Horticulture development programmes linked with Employment Guarantee Scheme has been started in the district since 1990-91. The State Government has undertaken a programme to promote horticulture development through establishments of nurseries and granting of capital subsidy to marginal and small farmers and Scheduled Castes and Scheduled Tribes. Area under cultivation of major fruit crops for the district is indicated in the following table:

TABLE - 7
AREA UNDER CULTIVATION AND PRODUCTION OF FRUIT CROPS (1998-99)

Resource-based Talukas:

• Ambad taluka accounts for the maximum production of Mango, Chikku and Guava in Jalna district. An area of about 37, 77, and 23 hectares is utilised for cultivation of Mango, Chikku and Guava respectively. An area of about 265 hectares is utilised for cultivation of Horticulture crops in Ambad district.
• Similarly, fruits like Mosambi, Mango, Chikku and Guava are grown in ample quantity in the talukas of Jalna, Bhokardan and Ghansavangi. An area of about 258, 259 and 248 hectares is under the cultivation of horticultural crops in Jalna, Bhokardan and Ghansavangi talukas respectively.

LIVE STOCK RESOURCES:

As per the 1997 live stock census the number of live stock in the district is as follows:

TABLE - 8
NO. OF LIVESTOCK (1997 CENSUS)

There are 21 authorised Slaughter house in Jalna district. During the year 1998-99 about 10269 animals had been slaughtered. Jalna taluka accounts for the maximum (i.e.) 94.33% of the total animals slaughtered. About 204 small leather goods manufacturing units exist in Jalna district.

DAIRY AND POULTRY DEVELOPMENT:

There is a scope for setting up of dairy based industries in Jalna district. The average collection of milk is 12,000 ltrs. per day. There has been fairly good progress in last two years. A Chilling plant with a capacity of only 10,000 ltrs exists in Jalna taluka. Thus in peak season the storage and handling facilities are found inadequate. Recently, the proposal for installation of chilling plant with a capacity of 10,000 ltrs at Mahora has already been sanctionED by the Govt. and its installation work is in progress. There are 185 Dariy Co-operative societies existing in Jalna district. In the year 1999-2000 the average collection of milk per day was 12000 ltrs., which shows an increase of 25% over the previous year. The average consumption of milk per day is only 10000 ltrs. Since the average consumption of milk is very less in Jalna district, the milk is being transported to other cities.

Similarly, there exists good scope for Poultry farming. As per the 1997 census the population of poultry birds was 331486. Two private poultry farms and three in co-operative sector exist in Jalna district. The production of poultry eggs of the private farms was 57.67 lakhs as at the end of Oct. 2000. A few hatchery units as well as poultry farms are suggested in Jalna district either in private or public sector. Promotion of this sector will automatically give rise to poultry feed making units.

FISHERIES:

Different types of fishes like Catla, Rohu, Merigal, Cyprinus, Silver Crop etc. are available in Jalna district. An area of about 3176 hectares is covered by small and medium tanks for fish catch. In the year 1999-2000 the annual fish catch was 2050 Tons which was valued for Rs. 410 lakhs. The production shows a slight decline of 0.15% over the previous year. Technical staff is provided by the District Fisheries Department in order to increase the fish production. Fish Farmers Development Agency has also been established by the Government. There are 32 Fishermen’s Co-operative Societies in Jalna district.

FOREST:

The total area under the forest is 6800 hectares which is only 0.89% of the total geographical area of the district. The total forest area of Maharashtra State is about 5366 Thousand hectares which is 17.42% of its total geographical area. Jalna district accounts for only 0.12% of the total State forest area which is very negligible. Hence efforts should be made to bring more land under forest area. The forest produce includes timber and fuel wood, grass, gum and tendu leaves. During the year 1998-99 the total revenue earned form forest produce was Rs. 3.34 Lac out of which Rs. 2.73 Lac was from sale of tendu leaves.

MINERALS:

Minerals of economic value are not found in the district. Mud used for making bricks, sand and metal stone used for construction purpose are the only important minerals found in Jalna district.

SERICULTURE:

Resin Industry has been started since 1989. Upto February 1993 programme was implemented by KVIB. Since April 1988 onwards it is implemented by DIC & KVIB jointly. Plantation of mulberry crop and rearing of silk workms have been successfully carried out in the talukas of Bhokardan and Jafrabad. As KVIB itself is purchasing cocoons, there is no problem of marketing. The KVIB has provided the following facilities for making sericulture more popular in the district:

1. It provides tuti seeds at subsidised rates to the farmers
2. It gives free cocoons to the farmers for the first two years
3. It conducts a training course for farmers. The duration of the course is 11/2 months and stipent is Rs. 300/-.
4. The board purchases products of resim at fair prices. Sericulture actually is being encouraged in the district and it offers great potential to prospective entrepreneurs.

MANPOWER:

The total population of Jalna district as per 1991 Census is 1365000. The rural population is of 1134000 and urban population is 231000. The Scheduled Caste/Scheduled Tribe population is 204000. The economic classification of population of 1991 Census is as follows:

The above table indicates that 46.76% of the work force is engaged in cultivation, 35.65% employed as agricultural labourers, 12.45% population is engaged in cottage and household industries and 5.14% are other workers.

Investigation reveals that most of the young men and women are not motivated to accept the challenging careers. They lack the entrepreneur-ship talents. However, if proper training facilities and incentives are provided to these youths, the problem of migration to big cities will not be there.

CHAPTER – 5

EXISTING INDUSTRIAL STRUCTURES AND FACILITIES

The district has been declared as a industrially backward by the Govt. of Maharashtra. The lack of infrastructural facilities, inadequated local markets, skilled labourers, immobility of local persons and lack of entrepreneurial talents/environment, are the major constraints for the rapid industrialisation of the district. The industries are facing the major problems of frequent power cut-off, water shortage and inadequate Railway transport facility. An immediate action in this direction is necessary. Efforts have been made to establish mini industrial area and co-operative industrial estates in each taluka. Partur taluka have been declared as growth centre.

Industrial Estates/Areas:

The details of M.I.D.C. area and Co-operative industrial estates functioning in Jalna district are as follows:

TABLE - 9
DETAILS OF M.I.D.C. INDSTRIAL AREA

Additional Jalna Phase-II MIDC Estates is proposed to be set up in Jalna taluka.

LARGE AND MEDIUM SCALE INDUSTRIES:

There are 24 large and medium scale industries in Jalna district, out of which 3 are sugar factories. The total investment in plant and machinery of these large and medium scale units is about Rs.151.55 Crores. About 4500 employees have been employed in these large and medium scale units. These large and medium scale units mostly comprises of agro-based, textile and Engg. based units.

Large scale units of Jalna district were expected to give opportunities for further industrialisation by rendering scope for ancillary units. But, substantial investment made in these industries has not contributed much for the speedy development of the small scale ancillary units. Looking at the type and nature of large and medium scale industries, these is very little scope for ancillary units in Jalna district.

Influence of Existing Clusters - In Brief:

Today, Small Scale Sector plays a major role in providing employment opportunities not only in urban areas but also in rural areas too. However, the activities are being carried out by using the old traditional methods. Little efforts have been made to introduce the modern technology. This results in low productivity. In the absence of recognised organisations/associations they are facing major problems of finance and marketing.

1. Seed Processing units:

   Jalna district is well known for seed processing units in whole Asia. The district has been declared as one of the famous Trading Centre. There are about 8 to 10 Seed processing units in Jalna district. M/s Mahyco Seed Company, M/s. Bejo Sheetal Seed Company, M/s. Mahindra Seed Company and M/s. Krushidhan Seed Company are the famous seed companies of Jalna district. The seed is being traded through out the Maharashtra State.

2. Re-rolling Mills:

   There are about 25 Re-rolling mills and Mini Steel plants existing in Jalan district. Most of these units are located in Jalna taluka. It provides employment to about 800 workers. The finished goods is being supplied through out the Maharashtra State. However, these units are facing the problems of water shortage and frequent power cut-off.

3. Brick-Making:

   Availability of good quality of mud, water and the wastage i.e. fly ash coming out from the thermal power station situated at Parli taluka in Parbhani district are the main reasons for huge concentration of brick manufacturing units in Jalna district. There are at present 220 Brick- making units in district. Since Construction activity is a prosperous industry a few more units can also come up in the district.

4. Cotton Ginning and Spinning:

   Cotton is abundantly grown in Jalgaon district. About 5.12% of the total area under cotton cultivation of the State lies in Jalna district and the cotton production accounts for 58% of the total production of the State. There are about 25 cotton ginning and pressing mills in Jalna district.

Performance of SSI Sector:

As at the end of Oct. 2000, there are 2367 SSI units existing in Jalna district. Majority of the units are agro based, metal based, and textile based units. There is a huge concentration of Oil Mills, Dal mills, Seed processing units, cotton spining and pressing units and Re-rolling mills. The small scale industries in the district do not have wider base and are not of much diversified nature. The existing industries are mainly traditional based on agricultural resources and the trend of setting up diversified (demand based) and modern industries is yet to set in the district. Proprietors of most of the small scale units are local having trading background, as such they are trader-cum-manufacturers already possessing entrepreneurs-ship qualities to start small scale industries.

The registration figures, Employment and Investment in plant and machinery since inception pertaining to permanent units for the last 5 years is as follows:

TABLE - 10
PERMANENT UNITS

Employment Scenario:

Employment Scenario for the past 5 years in Jalna district is indicated in the following table:-

TABLE - 11
EMPLOYMENT IN SSI SECTOR

As at the end of Oct. 2000, Small Scale Sector provides employment to about 7312 workers in the district. The employment per unit had increased from 6 to 7 from 1997-98 onwards till date. This shows that the SSI units that are coming in the district are mostly labour-oriented.

Investment Levels:

The following table indicates the investment in plant and machinery per unit during the past 5 years:

TABLE – 12
INVESTMENT IN SSI SECTOR

As at the end of Oct. 2000, the total investment in plant and machinery for 970 units is Rs. 3955 lakhs. There has been a steady growth in investment in plant and machinery per unit during the past 5 years. The investment per unit as at the end of Oct. 2000 shows an increase of 48% as compared to 1995-96. This indicates that the unit is going for mechanism and modernisation of plant.

The industry-wise classification of permanent and non-permanent SSI units along with the investment, employment and production capacity as at the end of Oct. 2000 is indicated in the following table:-

TABLE - 13
CATEGORY OF INDUSTRIES (PERMANENT & PROVISIONAL) WITH EMPLOYMENT, INVESTMENT & PRODUCTION CAPACITY (AS ON 31/10/2000)

Khadi and Village Industries:

As at the end of March 2000, there were 1491 cottage and village industries functioning in rural areas of Jalna district. Majority of these units are engaged in brick-making, processing of cereals & pulses, manufacturing leather goods, carpentary, blacksmithy, oil industries etc. Category-wise the number of cottage and village industries existing in Jalna district is given in the next page.

TABLE - 14
COTTAGE AND VILLAGE INDUSTRIES
- CATEGORY-WISE--

Financial Institutions:

Bank of Maharashtra is the Lead Bank of Jalna district. The bank branches in Jalna district comprises of 76 Commercial Banks, 77 branches of District Central Co-operative Bank and 5 branches of Maharashtra State Co-Operative Agricultural Rural Development Bank. The sector-wise performance of all financial institutions under Annual Credit Plan 2000-01 is given below:-

TABLE - 15
SECTOR-WISE TARGET AND ACHIEVEMENT
AS PER ANNUAL CREDIT PLAN (in Rs lacs)

The following table indicates the loans and advances given to Small Scale Sector for the last three years by banks:-

TABLE -16
DETAILS OF LOANS AND ADVANCES TO SSI

As at the end of Dec. 2000 an amount of Rs. 20 Crores approx. is outstanding from SSI units.

Maharashtra State Financial Corporation also plays an important role in providing loans and advances to SSI Sector. The details of loan sanctioned to SSI units for the past 3 years by MSFC is indicated in the following table:-

TABLE - 17
DETAILS OF LOANS & ADVANCES TO SSI BY M.S.F.C.

The following table indicates the amount of loan outstanding from SSI units for the past 3 years:-

Education and Training Facilities:

In Jalna district there are 1270 primary schools, 152 secondary schools and 32 Higher Secondary schools. There are 13 degree colleges in Arts, Science and Commerce, one Polytechnics and 9 Industrial Training Institute in Jalna district. Colleges are affiliated to Maharathwada University of Aurangabad. The literary rate of the district is 46.25% (Male – 64.43% and Female 27.30%).

Besides these DIC, MCED and various other Industrial Development Organisations are conducting numerous training programmes, thereby developing the entrepreneurship quality. MCED had conducted the following training courses in the year 1999-2000:-

• Developmental Programme for Self-Employment -14 Nos.
• General Entrepreneurship Developmen Programme - 2 Nos.
• Prime Minister's Rojgar Yojana – 14 Nos.
• Vocational Training Programmes – 3 Nos.
• Swarna Jyanti Sahari Rojgar Yojana – 3 Nos.

Incentives and Facilities available:

The Government of Maharashtra announced its industrial policy on 22nd April, 1993 which was last extended upto 31st Mar. 2001, excluding the erstwhile Sales Tax benefits in pursuance of National consensus. It was reviewed and modified subsequently. The most outstanding features of the this industrial policy are revision of the industrial location policy for Mumbai Metropolitan Region permitting non-polluting, high-tech industries within the rationalised municipal zones of Greater Mumbai; non-requirement of the Collector’s permission for purchase to export-oriented agro-processing projects to hold land in excess of ceiling; liberal incentives under the new Package Scheme of Incentives and sales tax benefits for 100 per cent export-oriented units, regardless of their location.

The Govt. of Maharashtra has announced its new Industrial Policy 2001, which will be operative from 1st April 2001 up to 31st March 2006. The objective of this new policy is to further accelerate the flow of in investment in industry and infrastructure, promoting IT, high-tech, knowledge based and biotech industries, augmenting exports from the industrial units in the State and creating large scale employment opportunities duly ensuring environmental planning.

Highlights of the Industrial Policy 2001:

• Exemption from Electricity Duty.
• Waiver of Stamp Duty and Registration Fees.
• Refund of Octroi Duty.
• Special Capital Incentives for SSI units.
• Interest Subsidy to new textile, hosiery and knitwear SSI units.
• Development of non-conventional energy.
• Financing of capital incentives and refunds under the Package Scheme.
• Exemption from Sales Tax for Khadi & Village Industries.
• Sales Tax on IT products.
• Nursing of Sick SSI units.
• Stamp Duty on Corporate Restructuring.
• Establishment of IT/BT units on textile mill lands in Greater Mumbai.
• Floor Space Index (FSI) for IT units.
• Establishment of independent Industrial Townships.
• Establishment of Special Economic Zones.
• Development of Specialized Industrial Areas.
• Promotion of Education and Research Institutions.
• Permission of Captive Power Generation for industries throughout the State.
• Gas Cooperation Agreement.
• Review of Labour Laws and Procedures.
• Industry status to film sector.

Classification of talukas into Groups:

In Jalna district the Jalna taluka comes under ‘D’ group and except this all other talukas viz. Ambad, Badnapur, Bhokardan, Gansavangi, Jaffarabad, Mantha and Partur fall under ‘D+’ group.

CHAPTER – 6

NEW INDUSTRIAL POSSIBILITIES

Most Potential Industries:

1. Dairy based products
2. Fly ash Bricks
3. Bio-coal Brequettes from cotton steam
4. Cold drinks and beverages
5. Processing of Mosambi (Sweet orange) fruit
6. General Purpose Machine-Shop
7. Absorbent Cotton
8. Computer Stationery
9. Cold Storage Unit
10. Solar cell
11. Starch from Jowar

Jalna district is rich in agricultural resources. However, proper efforts have not been made for its effective utilisation. The growth of Small Scale Sector has been found in certain specific areas and traditional sector. An attempt has been made to highlight the untapped resources and reasons for lack of industrialisation in the district in the following table:-

The list of most potential industries has been identified based on the discussion with several State/Central Government offices and other industrial development organisations during field visit. The reasons for potential industries have been described in brief in at the end. Apart from this a product-wise classification of SSI units having scope in Jalna district have been listed as below:-

Broad Product-wise Classification of Small Scale Industries having Scope in Jalna District

• Agro-based:

1. Surgical bandage and cotton
2. Sanitary Napkins
3. Extraction of starch from Jowar
4. Oil Mills
5. Bio-coal brequettes from cotton steam
6. 100% Wood free-particle board from Agro-residuals
7. Mushroom Cultivation
8. Industrial alcohol from Jowar
9. Gobargas
10. Confectionery
11. Mechanised Bakery
12. Dal Mill
13. Chilly & Masala Powder
14. Neem seed oil
15. Seed processing unit
16. Absorbent cotton
17. Mango – Jam, Pickles, Juice, Jelly etc.
18. Mosambi – Juice, confectionery items, etc.
19. Pomegranate – Ayurvedic medicine
20. Bio-fertilizers

• Forest-based:

1. Saw Mill
2. Wooden Furniture
3. Wooden Doors and Window Frames
4. Packing boxes
5. Electrical switch boards

• Animal-based:

1. Blankets, Carpets etc. from Sheep Wool
2. Dairy-based Products
3. Cattle/Poultry Feed
4. Leather Goods like purse, belts, Footwears, toys etc.
5. Bone fertilizer
6. Poultry farming

• Mineral-based

1. Stone Crushers
2. Fly Ash Bricks
3. R.C.C. pipes
4. Mosaic Tiles

• Demand-based

1. Cold storage
2. Washing Soap/Detergent powder
3. PVC pipe fitting
4. Agricultural equipment
5. Jute bags
6. Paper bags
7. Solvent extraction plants
8. Hatcheries
9. Tyre Re-treading
10. Tractor trollies
11. General fabrication
12. Nut & Bolts
13. Computer Stationery
14. Voltage Stabilizers
15. Zip Fasteners
16. Corrugated boxes
17. Fish processing units
18. Nylon nets
19. Plastic moulding units
20. Goat farming
21. Irrigation parts
22. Granules from plastic scrap
23. Automobile spares
24. Gift articles
25. Stationery items
26. Mushroom processing
27. Readymade garments
28. Electrical items
29. Steel fruniture
30. Bleaching powder
31. Paints & Varnish
32. Resin bags
33. Doors/Grills/Windows
34. Coolers
35. Rolling shutters
36. Cement products
37. Toilet soaps
38. Battery charger
39. Ice factory
40. Domestic electrical appliances
41. Cosmetics
42. PVC wires & cables

• Service Industries:

1. Computer Training Institute
2. Xerox, Fax, Typing, Cyber cafe etc.
3. Desk Top Publishing/Screen Printing
4. Automobile Service Units
5. Tailoring & embroidery
6. Repairing of TV/Fridge/AC etc.
7. Hotel and Restaurant
8. Advertising media

List of Potential Industries – A brief description:

• Dairy Based Products:

Good quantity of milk is available in Jalna district. The average collection of milk was 12000 ltrs. per day in the year 1999-2000, whereas the average consumption of milk is 10000 ltrs. per day. The excess milk is being transported to nearby cities. Such excess quantity of milk can be utilised for making curd, ice-creams, confectionery items, butter, cheese, ghee etc. There exists good scope for starting dairy based product industries anywhere in Jalna district.

• Fly Ash Bricks:

Bricks may be made from a number of different kinds of materials, but they may possess a certain amount of plasticity. Fly ash is one of them. Fly ash is an industrial waste of thermal power station using pulverised coal. There is a good demand for bricks in Jalna district and such demand will remain in future also since the construction activity is never ending activity. Huge quantity of fly ash is coming out from Thermal Power Station situated at Parli, Parbhani district which is nearer to Jalna and never ending demand for bricks can be enumerated as the main reasons for starting brick manufacturing units in Jalna district. Also, Railway transport facility is available from Jalna to Parbhani. Enormous quantity of fly ash comes out from thermal power station which needs huge dumping grounds which in turn creates pollution problems. Such waste can be gainfully utilised for manufacturing bricks. At present there exists 220 brick manufacturing units in Jalna district. Most of these units are found in Jalna taluka itself. Such units to be started especially nearer to the resources places, where fly ash can be obtained easily with less expenditure incurred for its transportation.

• Bio-coal brequettes form cotton steam:

Efforts should be made to find out the alternate sources of energy since the existing sources of energy will be exhausted in near future. Cotton is abundantly grown in Jalna district. It is recommended that the cotton steam which is available in ample quantity and which are burned should be utilised gainfully for manufacturing bio-coal brequettes.

• General Purpose Machine-Shop:

A few more general fabrication units are suggested anywhere in Jalna district, even though there exists a good number of such units. Workshops equipped with all types of modern machinery to carry out any type of job work in the engineering industry have got excellent scope. Items like door frames, windows, grill, tractor trolies, agricultural equipments etc. have got good demand in Jalna district.

• Absorbent Cotton:

Cotton is one of the important cash crops in Jalna district. It amounts for 58% of the total production in the State. The yield per hectare of cotton of Jalna district is higher than as compare to State. Absorbent cotton also known as surgical cotton have good demand from hospitals, dispensaries, primary health centres and many private medical practitioners also need it for their day today use. There is a wide gap in the supply and demand for surgical cotton in the State, which is being met from supplies received from other States. There exists good scope for setting up of such units in the district.

• Computer Stationery Units:

Computer stationery are used in computer for data input as well as data output. Computer stationery at present is manufactured in small and large sectors. Computer stationery is in the form of long sheets of definite width with holes on both the sides for feeding it into the printer. The demand for computer stationery will increase day by day since in each and every field the computer is being used.

• Cold drinks and beverages:

Cold drinks are defined as any non-alcoholic beverages containing syrup essences of fruit concentrates that are mixed with water or carbonated water. The consumption of soft drinks has increased during the last couple of years. There is a good scope for manufacturing of soft drinks and beverages in Jalna district mostly because of water suitability of Godavari river.

• Cold Storage:

The life of perishable items, which are available in good quantity in Jalna district like fish, mosambi, mango, pomegranate, lime, guava etc. can further be increased if they are stored at specific low temperature recommended for each commodity. A few cold storage units are recommended anywhere in Jalna district, since the perishable items as mentioned above are sold at meagre rates due to non-availability of cold storage units.

• Processing of Mosambi (Sweet orange) fruit:

Ample quantity of Mosambi is grown in Jalna district, especially in Ambad taluka. An area of about 525 hectares of land is utilised for cultivation of Mosambi fruit. Lot of these fruit gets perished during the peak seasons due to transport bottleneck, lack of cold storage facility etc. The surplus quantity of fruit available can be utilised for manufacturing juices, confectionery items, ice-creams etc.

• Starch from Jowar:

Jowar is one of the cereal grain which is produced abundantly in Jalna district. Starch can be easily manufactured from Jowar. Starch can be potentially used in large number of preparations. Its major applications are in textile, paper manufacturing, food and pharmaceutical industries. Hence there exist good scope of setting up of such unit.

• Solar cell:

Solar cell often known as solar photo-voltaic cells are now becoming popular for use in all countries. Attempts have succeeded in manufacturing lowest powered cell to power cells of some Hundred Kilo Watt. They can be easily used for street lighting, agricultural pumps, consumer items like Television, radio, watches, clocks, calculators etc. Increasing shortage of electricity and quite frequent power cuts, are increasing the importance of solar cell as a commodity for new incoming future.

CHAPTER – 7

SUMMARY, CONCLUSION AND RECOMMENDATIONS

• Huge quantity of cotton, jowar and bajra is grown in Jalna district. Its proper and effective utilisation should be made through establishing processing units.
• Similarly, Pulses like Mug, Udid, Tur and Gram are grown in ample quantity.
• Fly ash coming out of Thermal Power station situated at Parli, Parbhani district should be utilised for making bricks.
• Efforts should be made to utilise agro-residuals like wastage coming from sugar mills, cotton steam, shell of groundnut etc. for manufacturing bio-coal brequettes, handmade papers, particle board etc.
• Tremendous scope exists for exploiting horticulture, fisheries, milk, poultry farming and hacteries.
• No specific plan for development of waste- land for fodder cultivation of forestry has been chalked out.
• Railway transport facility existing in Jalna district is inadeuated. Similarly, other infrastructural facilities like communication, electricity, roads etc. needs further improvement.
• Medium or big industrial projects in the field of defence, railway or automobiles can be started in Jalna district.
• Engg. College, Polytechnic and Computer Training Centre to be started in Jalna district.
• Entrepreneur-ship talent needs to be developed in Jalna district. This can be done through conducting Motivational-Cum-Awareness programmes, especially in rural areas.
• Establishment of mini industrial area in each taluka of Jalna district will change the industrial scenario of Jalna district in future.
• Improvement of water supply arrangement for industrial estate at Jalna.

List of Central/State Industrial Developmental Organisations/Institutions

Sl.No	Assistance provided	Organisations/Institutions
1.	Registration	District Industries Centre, Plot No. P-7, MIDC, Jalna - 431 203.
2	Product Identification	Small Industries Service Institute, Kurla-Andheri Road, SakiNaka, Mumbai-72. Tel.No. 8576090/3091/7166 Fax. No. 8578092
3.	Technical Consultant	SISI, Saki Naka, Mumbai-72.
4.	Industrial Area	M.I.D.C. Office, Jalna.
5.	Finance	a ) Lead Bank (Bank of Maharashtra), Jalna. b) All Nationalised Banks c) M.S.F.C., Jalna. d) DIC, Jalna.
6.	PMRY Scheme	a) SISI, Mumbai. b) DIC, Jalna.
7.	Machinery Hire urchase	National Small Industries Ltd, Mumbai.
8.	Industrial Training	a) SISI, Mumbai. b) MCED, Jalna. c) DIC, Jalna.
9.	Raw Material and Marketing	MSSIDC, C/o DIC, Jalna.
10.	ISO-9000 and other testing Certificates	a) SISI, Mumbai b) Regional Testing Centre, Mumbai c) BIS, Mumbai
11.	Patents Registration and Trade Mark Registration	O/o Controller-General Patent and trade Mark C.G.O. Bldg., Mumbai-20.
12.	Pollution Control Certificates	Pollution Control Board, Mumbai.
13.	Central Excise Registration	Office of Central Excise, Jalna.
14.	Sales Tax Registration	Sales Tax Office, Jalna.
15.	Cottage and Tiny Industries	KVIC, C/o DIC, Jalna.
16.	Dairy Development	District Dairy Development Board, Jalna.
17.	Floriculture/Agriculture/Horticulture	Agriculture/Horticulture Dept, Jalna.
18.	Fisheries	Fisheries Development Office, Jalna.
19.	Electricity	MSEB, Jalna.
20.	Statistical Information District	Statistical Office, Jalna.

List of References

Sl.No.	Name of the Office	Publication
1.	District Statistical Office, Jalna	District Social and Economic Analysis
2.	Bank of Maharashtra (Lead Bank)	Annual Credit Plan 2000-01
3.	Directorate of Economic & Statistics, Planning Dept., Mumbai	Economic Survey of Maharashtra 1998-99
4.	District Industries Centre, Jalna	Action Plan (1996 - 2002)