The Hindu : Business : Clusters — harbinger of industrial resurgence

Online edition of India's National Newspaper
Saturday, Jul 15, 2006

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Clusters — harbinger of industrial resurgence

Staff Reporter

The initiative is launched by Industries Department

KOCHI: From foot-wear to ethnic food, the concept of industrial clusters is catching up, promising a new era of revival in the industrial scenario.

The enthusiasm and possibilities held out by the relatively new concept was evident at an interactive session for promoters of various clusters in the State organised in the city on Thursday in the presence of Industries Minister Elamaram Karim.

The cluster development programme, launched by the Industries Department, promises to open a new epoch for small and medium-sized enterprises in the State. Defined as a sectoral and geographical concentration of enterprises, especially of micro, small and medium-sized enterprises, a cluster is being projected as capable of giving new directions to the efforts of entrepreneurs.

On Thursday, the cluster promoters shared their experiences and anxieties with their counterparts across the State and with officials from the Industries Department who have undergone special training programmes in cluster development.

The Cluster Development Programme was launched in the State on the guidelines of UNIDO for cost reduction, value addition, technology upgradation, widening of market access, skill development and research and development.

Identification of possible clusters and formation of consortiums have made fast progress.

And according to Industries Department sources, formation of clusters will help small and medium-sized units in Kerala to overcome several of their common problems.

The Minister said that development of clusters would equip entrepreneurs to reach out to a larger market.

An official of the Industries Department pointed to the experience of a halwa cluster in Kozhikode. The halwa-makers in the cluster were finding it difficult to meet the demand, he said. Perhaps a pointer to the shape of things to come.

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