SIDBI launches cluster focused initiatives for MSMEs

New Delhi, Aug 10 (KNN) In a bid to boost MSME cluster development, the Small Industries Development Bank of India (SIDBI) has launched various initiatives focused on cluster development under its developmental ambit.

The five clusters included the tourism cluster in Jammu & Kashmir, Delhi-NCR innovation cluster; Jodhpur wood furniture cluster, Sambalpur textile cluster, and Chennai leather cluster.

The cluster development strategy of SIDBI has gradually evolved over a period of time and it now caters to over 600 MSME clusters through its offices and supports the entire value chain, the financial institution said in a statement on Monday.

Some of the unique engagements in clusters include EU Switch Asia in 18 clusters of 9 states, cluster outreach programmes followed by setting up of Project Management Unit (PMU) in 11 states with thrust on clusters and state cooperation, State Rural Livelihood Missions (SRLM), Artisanal Cluster and Engagement in One District One Product (ODOP) districts of Uttar Pradesh, it added.

“The SIDBI has identified a multi-pronged strategy to impact local, regional, national and global value chain through MSE clusters. We are giving a thrust to hard infrastructure support to state governments. The Reserve Bank of India has supported us in setting up the SIDBI Cluster Development Fund,'' said SIDBI CMD Sivasubramanian Raman.

“The soft infrastructure engagement shall complement the hard infrastructure. In line with cluster experts we have initiated the mapping exercise of 100 clusters such that the implementation by SIDBI and other institutions can lead to the sustainable growth of clusters,” he added.

SIDBI on Monday also launched a book titled Diagnostic Mapping of Cluster- Charting the Path ahead through Intervention that compiled the findings of diagnostic studies conducted in 30 clusters.

''The book contains recommendations and action plans for financial and non-financial issues, interventions suggested at the policy, cluster, and unit level. SIDBI is looking to undertake diagnostics of 100 clusters,'' SIDBI said.