Evaluation Study MSE Cluster Development - Ministry of Micro ...

Chapter No: 6 – Hard Interventions in Sampled Clusters6.7 Implementation Profile of Hard Interventions in the SampledClustersWe have various important indicators related to hard interventions in Table 6.2. Theseindicators provide us with a convenient tabulation of the profile of the implementation ofhard interventions in the concerned clusters. First of all it is seen that only in 3 of the 11cases have the SPVs been formed and registered after the revised guidelines for theMSE-CDP were issued by the MSME. In the 9 other clusters the SPVs were formed muchearlier so it is clear that the concept of hard interventions and the SPV predates theMSE-CDP. In some cases it predates even the earlier version of the programme that wascalled the SICDP. This indicates that programme is still in its infancy and in the processof being structured. It is also therefore obvious that the development of clusters under ithave only started to bear an impact.It is also seen that a larger number of SPVs have preferred to be organized as registeredsocieties while only four are registered as Private Limited Companies. All the four SPVsadopting the company format are located in Kerala.It needs to be mentioned that since a lot of information particularly that related to thedate of DPR submission, the date of DPR approval and the date of receipt of funds werenot made available, we were unable to judge the pace of implementation in many of thecases. However wherever this information was provided we were on a case-by-casebasis, able to comment on the pace of implementation.It may also be stressed that the information provided are partial and incomplete in manycases and so we have not attempted any interpretation. We have however attempted toassess the pace of implementation in the case of 9 clusters for which some informationhas been provided and needs to be confirmed. So as a word of caution it may be statedthat the interpretation may not be entirely correct.There are five distinct processes involved during the different stages of implementationand these processes may take varying periods of time. The five distinct processes arethe formulation of DPR, the approval of DPR, the release of funds, the period ofconstruction, and the period of Functioning of the CFC.As seen in Table 6.2 the time taken for the formulation of the DPR has varied in therange of 3 to 24 month in the different cases. While in the case of 4 SPVs namely thoseof the Bell Metal Hazo, Foundry, Ahmadabad, Surgical Instruments, Baruipur, and theWet Grinder, Coimbatore the process of DPR formulation has been completed within 6months. In the case of the SPV of the Rice Milling Cluster Kalady the Formulation of DPRhas taken 9 months, while in the case of the Plywood and Leather Clusters SPVs inPerimbavorr and Shantiniketan it has taken up about 22 to 24 months. While in mostcases the time taken has been reasonable in two cases it has taken very long.The time taken for the approval has in general taken up to 6 months in the case of 4 ofthe 6 SPVs providing data while in the case of surgical Instruments SPV it has beendelayed over a period of 21 months. Overall the time taken by the authorities to110