<%@LANGUAGE="VBSCRIPT" CODEPAGE="1252"%> e-Newsletter Clusterkraft
Clusterkraft e-Newsletter (Vol. 5)

National

  • SIDBI cuts bank rates for SME Clusters.
  • SIDBI to step up micro finance for SME Cluster development.
  • China to make new investments in the Indian Footwear Clusters.
  • Tamil Nadu leather cluster in an upbeat mood.
  • Waste management in the Industrial Clusters.
  • AP state government commits capital for SME Cluster Development.
  • ATAMMA to initiate Cluster Development programme.
  • Europe to put funds in Indian SME Clusters.
  • Development for SME Clusters requires a cross-cutting strategy: EXIM Bank
  • Automobile Clusters still making waves in Pune.
  • Top IT Companies to offer marketing initiatives for SME Clusters.
  • Three Cluster development schemes for Haryana.

INTERNATONAL

  • Economic Development officials seek for Clusters Approach: North Carolina.
  • Fortune 500 companies to invest in 100 SME Clusters in China.
  • US to help Thailand in industrial Cluster capacity in China.
  • Financing in SME Clusters will spur Development: Kuala Lumpur.
  • $3 billion investment in Abu Dhabi Industrial Cluster.
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NATIONAL

SIDBI cuts bank rates for SME Clusters.

SIDBI plans to offer concessions to the various SME Clusters to set an alternative-financing mode for the development of the sector.
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SIDBI to step up micro finance for SME Cluster development.
SIDBI held meeting with MFIs to boost up the micro-financing sector for upgrading the SME Clusters round the country.
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China to make new investments in the Indian Footwear Clusters.

The Council of Leather Exports claims to join hands with China as the two nations are planning to enter into an agreement for the development of their leather trade. The Chinese counterpart is therefore setting up funds for investment in the Indian Leather industrial Clusters.
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Tamil Nadu leather cluster is in an upbeat mood off late.

Tamil Nadu boasts to posses a great infrastructure backup in terms of its natural location as well as the string of foreign investors who are getting attracted because of its great export potential.
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Waste management in the Industrial Clusters: Chennai.

TNPCB has allotted a land site in the Gummudipoondi region of Chennai for the proper disposal of the industrial wastes of the various industrial clusters round the state. This project claims to ensure a safer environment for the habitants of the region.
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AP state government commits capital for SME Cluster Development.

The state government of Andhra Pradesh appeals the central government to offer low cost financing alternatives to meet the requirements of the SME Clusters.

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ATAMMA to initiate Cluster Development programme round the country.

ATAMMA to implement Cluster development programme for the textile industrial Clusters jointly with NID around the states of Maharashtra, Madhya Pradesh, Uttar Pradesh and Tamil Nadu.
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Europe to put funds in Indian SME Clusters.

Europe is planning to enter into an agreement with its Indian counterpart, ITSMA Bangalore, to implement research projects for the development of the various SME clusters round the country.
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Development for SME Clusters requires a cross-cutting strategy: EXIM Bank.

In the latest study made by the EXIM Bank it has been clearly mentioned that an extensive financial strategy is needed to be implemented for enhancing a competitive environment among the various SME Clusters.
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Automobile Clusters still making waves in Pune.

Irrespective of the fact that Pune is emerging as a major IT hub in the country, the traditional automobile industrial clusters remain and most importantly continue to invest and offer excellent alternative employment opportunities.
More…

Top IT Companies to offer marketing initiatives for SME Clusters.

The hardware and software companies of the nations in the likes of Microsoft, HP, Wipro, Red Hat, Oracle and TrendMicro have announced new products and marketing initiative for SME Clusters.
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Three Cluster development schemes for Haryana.

The center plans to invest in the textile and automobile sectors. In its agenda the center is looking at putting funds in three cluster development schemes in Panipat textile industry Faridabad textile industry and Gurgaon automobile cluster.
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INTERNATONAL

Economic Development officials seek for Clusters Approach: North Kentucky
Three Clusters have been chosen for enhancing the business potential in North Kentucky. They are looking for ways through which new businesses can be located here or encourage existing businesses to expand in these areas.
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Fortune 500 companies to invest in 100 plus SME Clusters in China.

TEDA, a joint venture between Toyota Boshoku and Aisia Seiki. TEDA has approved a total of 4,031 foreign invested companies, with an accumulative investment of USD28.49 billion.
More…

US to help Thailand in industrial Cluster capacity in China.

The US plans to support Thailand in its efforts to upgrade the various SME Clusters in the region. Both sides had agreed on key issues like the regulation of the sector by the National Telecoms Commission and also the focus is on the freeing up of satellite services.
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Financing in SME Clusters will spur Development: Kuala Lumpur.

SME Bank and CIMB-BCB in Kuala Lumpur fasten their belts for a better commitment to assist the SME Cluster sector. The coming together of these two financial institutions would prove to be a success because of their expertise in the sector.
More…

$3 billion investment in Abu Dhabi Industrial Cluster.

The Emirate is now planning to focus on the building of industrial clusters mainly in steel, aluminium, petrochemicals, automotive components, pharmaceuticals and oil and gas services sectors.
More…

Events

Geographical Indication is a marker that helps one to understand how agricultural, natural or manufactured goods originate from a particular geographical territory with a unique quality that makes it stand out.
There are innumerable reasons that inadvertently voices out the need for the protection of GI’s. In contemporary free trade economies, GI has a significant economic value as the buyers are ready to pay high prices for the products with a particular quality. It is important to protect the consumers from spurious products and producers from unhealthy competition. Apart from the commercial aspect, the GIs also protect the very national heritage of a country by associating a product world wide with that country. As the quality of product is not only due to the climate and topography but also to the awareness of the producers of that region, the GIs are also important tools for protecting the rich reservoirs of the traditional know-how of the producers. The Indo-EU Seminar on Protection and Promotion of Geographical Indications of Goods took place on the 23rd and the 24th of November this year at Hotel Taj Mahal, New Delhi. The inaugural session of this event commenced with an opening speech by Mr.N.N Prasad, Joint Secretary, Department of Industrial Policy & Promotion, Minmistry of Commerce & Industry, Government of India, followed by a speech by Mr.Satyananda Mishra, Additional Secretary and Development Commissioner, Small Scale Industry. This was followed by the release of booklets on Geographical Indications by Dr.Ajay Dua, Secretary, Department of Industrial Policy & Promotion, Ministry of Commerce &Industry, Government of India. The major themes covered in this seminar are:

  1. Protection and Promotion of the Geographical Indications of goods.
      • Rationale of Protection pf Geographical Indications of goods.
      • Geographical Indications of goods and economic development.
  2. Registration of Geographical Indications of Goods in India.
      • Introduction to GI law in India.
      • Procedure for filing GI applications.
      • Essentials of GI registrations-User’s perspective.
  3. Scope of protection of Geographical Indications of goods: Case Studies.
      • Darjeeling Tea.
      • Chanderi Silk.
  4. Protection of Geographical Indications of goods-European Experiences.
      • European Geographical Indications law and procedure.
      • Experience of Geographical Indications Protection in Europe.
  5. Protection of Geographical Indications of goods and traditional knowledge.
      • Geographical Indications of goods and traditional knowledge-invisible linkage.
      • Tapping the existing heritage:1 & 2
  6. Geographical Indications Protection and emerging issues.
      • Geographical Indications and TRIPS Agreement: multilateral register on Geographical Indications.
      • Geographical Indications and TRIPS Agreement: Extension of higher level of Protection to all Geographical Indications.

This was followed by a plenary discussion.

The International Centre of Indian:NID held a seminar on Indian Crafts: The Future in a Globalizing World on November 25 and 26, 2005.The seminar focused on the following major areas:

  1. The crafts and their communities
      • viable incentives to continue crafts
      • craft as and for employment generation
      • cluster development
      • ethnicity and the marginalization of crafts
      • traditional identity vs. economic viability
  2. Crafts and marketing
      • Craft and brand building
      • building up craft as cultural brands
      • marketing through up market stores and malls
      • marketing techniques of government, semi-government, and non- government sectors
  3. Business and revenue models for craft enterprises
        • Case studies:
        • successful entrepreneurs in the market
        • agencies performing in the area
        • successful NGOs
        • creating craft entrepreneurs
        • Widening networks and forging partnerships
  4. The role of desig
      • brand building
      • product development and diversification
      • streamlining the design process
      • market assessment and trend forecasting :link between craft & contemporary markets
  5. The way ahead
      • roadmap for crafts
      • crafts and technology
      • crafts for mass production
      • crafts for niche markets
      • grass-root innovations
      • research and documentation
      • protection of “traditional knowledge” and IPR protection
      • encouraging cross cultural exchanges in the context of global heritage movement.

Articles

ICT, a boon for Artisan Clusters.
Crafts in India provide employment to the second largest populace after agriculture and hence form an important chunk of the Indian economy. The recent crisis looming over the crafts sector is threatening the livelihoods of millions of people, a large proportion of who live in poverty. The major problem of the craft clusters is the isolation from the transmission process of marketing. In the absence of social capital among artisan communities the cooperatives monopolized by selected few among the crafts communities and the trickle down effects of these efforts fail to keep root. The Information and Communication Technologies (ICTs) provide a cost effective solution to this problem The present project is being devised and put on a trial to experiment especially with this issue in four selected artisan clusters in India. This article points out the urgent need for direct marketing of artisan products through internet.
The initiative, therefore, targeted providing additional linkages to the artisans thereby pulling the entire cluster by creating additional business avenues. The major milestones of the ICT methodology are:

  • 1 to 6 months: Trust building, understanding marketing issues
  • 7 to 12 months: Involving artisans, experimental ICT and marketing inputs and training
  • 13 to 18 months: Technical training, targeted ICT marketing, creation of website and catalogue based marketing
  • 19 to 24 months: More market information and designing inputs, dissemination and publicity, trial of Consensus on IT effectiveness gives enough encouragement to move ahead.

There are 100 such artisan clusters in the country with a similar set up. So the is a need to create a sustainable intermediation of the cluster level due to poor communication infrastructure since quality, standardization and time are the main constraints in case of supply of these artisan products. Awareness and training is the answer to this question.
More..

Proper implementation of ICT can take SME Clusters to great heights.

This article highlights upon the issue that developing countries need to prioritize these investments, reduce the learning costs and collapse the time needed to master the new technologies. More than 50 heads of state and over 15,000 policy makers, business and civil society leaders have come to Tunisia for a second World Summit on Information Society, known as WSIS. Developing countries are anxious not to miss this technological revolution. The stakes are high since it demands substantial investments and learning costs. Developing countries are ready to invest hundreds of billions of dollars annually on information and communications technologies (ICTs). The outcomes of such growing investments are by no means certain. Rate of failures in applying ICT in both the public and private sectors has generally been high. Developing countries need to prioritize these investments, reduce the learning costs and collapse the time needed to master the new technologies.

Information technology has yet to be mainstreamed into the core business of aid: at the country, sector and project levels. A key issue facing such integration is whether to build a critical mass of core competencies in ICT application across sectors in a central location, or in each sector. A related issue is whether to develop hybrid experts who would have substantive knowledge of both a specific sector and of the potential of generic applications of ICT. Aid agencies may develop new modalities for ICT experts to work with substantive sector experts in key fields like education, governance, public sector reform, and private sector development.

This is a major area where global knowledge and best practices are evolving rapidly, and the risks of slow learning and ad-hoc response are quite high to both developing countries and aid agencies. The forthcoming World Summit on Information Society (WSIS) should provide an opportunity for political commitment to concerted action.
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