Nabard clears cluster for iron smiths in MP

As part of its National Rural Industrialisation Programme, the National Bank for Agriculture and Rural Development (Nabard) has cleared a cluster of iron smiths in the Bagharzi area of the Kundam tribal block in Madhya Pradesh.

The plan has been forwarded to the state government by the district industry centre and the department of industries.

As many as 150 families of iron smiths work in the area near Jabalpur. Still the bank has to find a nodal agency or non-government agency that can complete a door-to-door survey for the project so that a detailed action plan could be prepared, a Nabard spokesperson told Business Standard.

A survey has been conducted by the district development manager and the centre for entrepreneurship development of Madhya Pradesh (CEDMAP). However, it is not found "up to the level," a source said. When contacted, CEDMAP officials were not available for comment and the Nabard chief general manager's office refused to talk.

The cluster has been selected by Nabard under the National Plan for Rural Infrastructure. After the completion of the survey, the action plan will be implemented in at least three years.

"The cluster will get infrastructure and technical support from various state government departments so that the blacksmiths can find a market and proper infrastructure to function in an organised way," said the spokesperson, adding, "a cluster development committee has already been constituted under the chairmanship of the district collector."

According to sources, CEDMAP was to be assigned the job of a potential survey and preparation of integrated cluster development action plan for a period of three years; however, it has yet to complete the task.

As regards funding for the cluster, the Nabard spokesperson says there was no dearth of funds once the plan took shape.

Two more clusters are in the pipeline in the Jabalpur area: one for fabrication units and another for handicraft items.

There are 660 units of fabricators and more than 300 cottage industries engaged in handicraft work. National Programme for Rural Industrialisation (NPRI) was launched in 2000 to promote clusters of units in rural areas aiming to set up 100 rural clusters in each year.

The ministry of agro and rural industries has been asked to coordinate the programme with various ministries/agencies engaged in similar programme.

Small Industries Development Bank of India (SIDBI), Nabard, Khadi & Village Industries Commission (KVIC) and states are the major implementing agencies of the programme.