Becomes role model for other SMEs.
The electric cluster set up by Crompton Greaves Ltd has become the role model for other SMEs in the region. This cluster has registered 168.44 per cent growth in its sales turnover in the FY 2006-07.
The competitiveness of the products of SMEs in domestic and international markets is dependent to large extent on their productivity levels, price factors and quality characteristics. Considering this fact, CGL had set up an electric cluster of its 30 vendors from Nashik in 2005, with an aim to improve their quality and productivity.
Today, this cluster has become so successful that it has set a new example for other SMEs in the region.
The total sales turnover of cluster companies (total 30 in all) has increased by 168.44 per cent to Rs 144.96 crore in the fiscal year 2006-07, against Rs 54 crore in FY 2005-06. The average turnover of each unit is around Rs. 4.83 crore per annum, company sources said.
The expenses for cluster programme were shared equally by vendors and Crompton Greaves Ltd.
These 30 units are manufacturing products like machined components ferrous and non ferrous, aluminium and cast iron castings, sub-assemblies, electrical assemblies and kits, elctrical housings/panel components, sheet metal pressed parts etc.
Both SMEs and large engineering and electrical industries have scattered in and around Nashik in large numbers. After the success of the CGL-led electric cluster, the concept of industrial cluster has taken roots in the Nashik region.
Industrial associations in Nashik like the Nashik Zonal Council of Confederation of Indian Industry (CII), Nashik Industries and Manufacturers’ Association (Nima) and Nashik Industrial Co-operative Estate (NICE) are taking initiatives to form the clusters of auto, engineering and electrical SMEs.
NICE has taken the initiative to form a cluster of SSIs under the Industrial Infrastructure Upgradation Scheme (IIUS) and provide them the infrastructure to globalise and standardise their manufacturing with minimum production costs and to make them globally competitive.
NICE has appointed MITCON Consultancy Services Ltd as a technical consultant for forming the cluster.
Tags: Industry
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