NSIC posts record 24% growth in FY12-13; pays 20% dividends to govt

CMD HP Kumar, other officials with MSME minister Muniyappa

The National Small Industries Corporation (NSIC) under the ministry of micro, small and medium enterprises (MSME) achieved a record turnover of Rs 13,901 crore during the financial year 2012-13. That's not all. Its CMD HP Kumar on Monday...
paid a dividend cheque of Rs 12,47 crore, equivalent to 20 percent of the net profit for the year 2012-13, to the minister of MSME, KH Muniyappa in New Delhi.

The NSIC's growth story can easily be gauged as the corporation in 2011-12 had given a dividend of mere Rs 8.24 crore to the government. This is the seventh consecutive year the corporation is paying dividend to the government.
NSIC said it has crossed a turnover of Rs 13,901 crore during 2012-13, recording a growth of 24 percent over the previous year.
The minister was visibly happy. He said the corporation has reinforced its strength by building new competencies to serve the emerging needs of the MSME sector by creating several innovative products to cater to the diverse requirements of the MSME sector, which among others also include Rapid Incubation Programme for creating self employment opportunities.
NSIC has embarked upon creating self-employment opportunities by imparting training in entrepreneurship building to unemployed persons through setting up such centres under Private Public Partnership (PPP) mode, said an official statement issued by the ministry.
Meanwhile, the NSIC has signed a pact with State Bank of India (SBI) for providing affordable credit to small-and-medium-sized units. It has similar pacts with banks such as YES Bank, HSBC, Axis Bank, Union Bank of India and Central Bank of India.
Earlier, the NSIC signed a Memorandum of Understanding (MoU) with Mauritius-based Small and Medium Enterprise Development Authority (SMEDA) to strengthen cooperation in areas of technology transfer, marketing and finance, besides training exchange programmes.
The MoU seeks to promote a favourable business environment and empower SMEs to emerge and grow, and provides a service delivery network which increases the contribution of SMEs in the national economy. The MoU also facilitates assistance and provide the necessary support to SMEs to gain market access and business opportunities and to compete successfully in the national and international markets for Mauritius, said a ministry release.
Under the MoU, NSIC will provide consultancy services to Mauritius’s SMEDA on mutually agreed terms, in implementation of its strategy for the development of Incubation Centres and strengthening of the SMEDA SME Resource and Technology Centre (SRTC) with an emphasis on research and development (R & D) and innovation, the statement added.