12.
Explanation
Role of Technology in Small Scale Industries (SSI):
Technology plays a vital role in the growth and competitiveness of Small Scale Industries (SSI). Here are some key aspects of its role:
1. Enhanced Productivity: Technology adoption allows SSIs to streamline production processes, improve efficiency, and increase overall productivity.
2. Quality Improvement: Advanced technology helps maintain product quality and consistency, meeting customer expectations and improving market competitiveness.
3. Cost Reduction: Automation and technology upgrades can lead to cost reduction through optimized resource utilization and reduced wastage.
4. Innovation: Technology enables SSIs to innovate, create new products, and adapt to changing market demands.
5. Market Expansion: Technology facilitates market expansion by enabling e-commerce, online marketing, and international trade.
6. Competitive Advantage: SSIs that embrace technology gain a competitive advantage by offering better products or services and improving customer experiences.
7. Access to Information: Technology provides access to information, market trends, and real-time data, allowing SSIs to make informed decisions.
Benefits of Government Schemes for Technology Promotion and Development:
The Government of India has introduced various schemes to promote technology adoption and development in SSIs. These schemes offer several benefits:
1. Financial Support: Many government schemes offer financial incentives, grants, subsidies, and low-interest loans to encourage SSIs to invest in technology.
2. Technology Upgradation: The schemes promote the modernization and upgradation of technology to improve production processes and product quality.
3. Capacity Building: SSIs can access training and skill development programs to enhance their technological capabilities.
4. Research and Development: Some schemes support research and development activities, encouraging SSIs to innovate and create new products.
5. Market Expansion: Government initiatives often include support for market research, export promotion, and access to global markets.
6. Ease of Doing Business: Simplified procedures and reduced bureaucratic hurdles make it easier for SSIs to adopt technology and obtain necessary approvals.
7. Energy Efficiency: Many schemes focus on energy-efficient technologies, helping SSIs reduce energy costs and minimize their environmental footprint.
8. Digital Adoption: In the era of digitalization, government schemes also promote the adoption of digital technologies, including cloud computing and e-commerce platforms.
9. Incentives for Clusters: Some schemes target industrial clusters, fostering collaboration and technology sharing among SSIs within a specific region.
Examples of such schemes in India include the Credit Linked Capital Subsidy Scheme, Technology and Quality Upgradation Support to MSMEs, and the Cluster Development Program.
The benefits of these government schemes are multifaceted, contributing to the growth, competitiveness, and sustainability of Small Scale Industries by facilitating technology adoption and development.