Go v ern men t o f Ind i a

Min i s t ry o f MSME

Brief Industrial Profile of Belgaum District, Karnataka State

Carried out by

M S ME - D e v e lo p me n t I n s t i tu t e , Hu b l i (Ministry of MSME, Govt. of India,)

Phone: 0836 2330389, 2332334, 2335634 Fax: 0836 - 2330389

e-mail: msmedihubli@dataone.in Web- http://www.msmedihubli.gov.in/

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Contents

S. No. Topic Page No.

1. General Characteristics of the District 2

1.1 Location & Geographical Area 2

1.2 Topography 2

1.3 Availability of Minerals. 2,3

1.4 Forest 3

1.5 Administrative set up 3

2. District at a glance 3,4,5,6

2.1 Existing Status of Industrial Area in the District Belgaum 6,7

3. Industrial Scenario Of Belgaum 7

3.1 Industry at a Glance 7

3.2 Year Wise Trend Of Units Registered 7,8

3.3 Details Of Existing Micro & Small Enterprises & Artisan Units In The District

8,9

3.4 Large Scale Industries / Public Sector undertakings 9,10

3.5 Major Exportable Item 10 3.6 Growth Trend 10 3.7 Vendorisation / Ancillarisation of the Industry 10 3.8 Medium Scale Enterprises 10 3.8.1 List of the units in Belgaum & near by Area 10

3.8.2 Major Exportable Item 11

3.9 Service Enterprises 11 3.9.2 Potentials areas for service industry 11

3.10 Potential for new MSMEs 11 4. Existing Clusters of Micro & Small Enterprise 11

4.1 Detail Of Major Clusters 11 4.1.1 Manufacturing Sector 11

4.1.2 Service Sector 11 4.2 Details of Identified cluster 12

5. General issues raised by industry association during the course of meeting

12

6 13

Steps to set up MSMEs

Brief Industrial Profile of Belgaum District

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1. General Characteristics of the District:

Belgaum (also called Belagavi in Kannada, Belgaon in Marathi ) is a city and a municipal corporation in Belgaum district in the state of Karnataka, India. It is the fifth largest city in the state of Karnataka, after Bengaluru, Hubli-Dharwad, Mysore, and Gulbarga the city has carved itself a new name as Kunda nagari because of its famous sweet dish Kunda . The city is also known as Sugar City", and the district as Sakkare Jille" (Sugar District) because of its enormous sugarcane cultivation and sugar production.

1.1 Location & Geographical Area.

Belgaum is located at 15.87°N 74.5°E. The city is situated in the northwestern parts of Karnataka and lies at the border of two states, Maharashtra and Goa on the Western Ghats (50 km from Goa state border). It is one of the oldest towns in the state, lying at a distance of 502 km from Bangalore;515 km from Hyderabad and 500 km from Mumbai.

1.2 Topography.

The average elevation of Belgaum is 751 metres above mean sea level (2463 feet).

1.3 Availability of Minerals.

The major Mineral available in Belgaum district are Bauxite, Lime Stone, Dolomites, Quartite and Aluminous Laterits. Apart from that Building Stone, Ordinary Clay and Grey Granite C are readily available in this district.

PRODUCTION OF MINERAL 2010-11

S.NO. NAME OF MINERAL PRODUCTION in tones

2010-2011

MAJOR MINERAL

1. Bauxite 26,343.210

2. Lime Stone 81,831.37

3. Dolomites 51,450.00

3

4. Quartzite 11,836.00

5. Aluminous Laterite 1,36,100.00

MINOR

1. Building Stone 9,86,237

2. Ordinary Clay 46,742

3. Grey Granite C 3452.66 cub. Mtrs.

SOURCE:- DEPT. OF MINES & GEOLOGY.,

1.4 FOREST:

The District consists of 1,90,424 hectares forest cover with any significant produce worth mentioning.

1.5 Administrative set up:

The Government of Karnataka has proposed making Belgaum the second capital of the State of Karnataka with the recently upcoming second state administrative building Suvarna Vidhana Soudha. The Dy. Commissioner is head of district and assisted by two Asst. Commissioners, 10 Tahsildars pertaining to 10 Talukas. Belgaum is also the headquarters for the Belgaum division. Headed by Divisional Commissioner.

2. District at a glance

S.No Particular Year Unit Statistics

1 Geographical features

(A) Geographical Data

i) Latitude 2011 Max/Min 15º87'00"

ii) Longitude 2011 Max/Min 74º05'00"

iii) Geographical Area 2011 Hectares 13,44,382

(B) Administrative Units 2011

i) Sub divisions 2011 No's -

ii) Tehsils 2011 No's 10

iii) Sub-Tehsil 2011 No's 19

iv) Patwar Circle 2011 No's 564

v) Panchayat Simitis 2011 No's -

vi)Nagar nigam 2011 No's 21

vii) Nagar Palika 2011 No's 1

viii) Gram Panchayats 2011 No's 485

4

xi) Revenue villages 2011 No's 1270

x) Assembly Area 2011 No's 10

2. Population (A) Sex-wise

i) Male 2011 No's 2427,104

ii) Female 2011 No's 23,51,335

(B) Rural Population 2011 No's 35,67,739

3. Agriculture

A. Land utilization

i) Total Area 2010-11 Hectare 13,44,382

ii) Forest cover 2010-11 “ 1,90,424

iii) Non Agriculture Land 2010-11 “ 69,617

v) cultivable Barren land

2010-11 “ 39,370

4. Forest (i) Forest 2010-11 Hectare 1,90,424

5. Livestock & Poultry A. Cattle

i) Cows 2007 Nos. 5,98,528

ii) Buffaloes 2007 Nos. 8,63,023

B. Other livestock

i) Goats 2007 Nos. 6,10,279

ii) Pigs 2007 Nos. 25,288

iii) Dogs & Bitches 2007 Nos. 1,27,127

iv) Railways

i) Length of rail line 2010-11 Kms 197

V) Roads

(a) National Highway 2010-11 Kms 201

(b) State Highway 2010-11

Kms 2341

(c) Main District Highway 2010-11

Kms 2125

(d) Other district & Rural Roads

2010-11 Kms 1878

(e) Rural road/ Agriculture Marketing Board Roads

2010-11 Kms -

(f) Kachacha Road 2010-11 Kms -

(VI) Communication

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(a) Telephone connection

2010-11 1,23,523

(b) Post offices 2010-11 Nos. 804

(c) Telephone center 2010-11 Nos. 189

(d )Density of Telephone 2010-11 Nos./1000 person

25.85

(e) Density of Telephone 2010-11 No. per KM. 26.46

(f) PCO Rural 2010-11 No. -

(g) PCO STD 2010-11 No. -

(h) Mobile 2010-11 No. 2,39,308

(VII) Public Health

(a) Allopathic Hospital (b) Beds in Allopathic

hospitals (c) Ayurvedic Hospital (d) Beds in Ayurvedic

hospitals (e) Unani hospitals (f) Community health

centers (g) Primary health

centers (h) Dispensaries (i) Sub Health

Centers (j) Private hospitals

2010-11 No. No.

No. No.

No. No.

No.

No. No. No.

378 7739

5 34

Nil 17

139

1562 -

210

(VIII) Banking commercial

(a) Commercial Bank 2010 Nos. 257

(b) rural Bank Products

2010 Nos. 114

(c) Co-Operative bank products

2010 Nos. 82

(d) PLDB Branches 2010 Nos. 10

(IX) Education 2010

(a) Primary school 2010 Nos. 1710

(b) Middle schools 2010 Nos. 2501

(c) Secondary & senior secondary schools

2010 Nos. 1061

(d) Colleges 2010 Nos. 176

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(e) Technical University 2010 Nos. 1

2.1 Existing Status of Industrial Areas in the District Belgaum

S.

No.

Name of Ind.

Area Land

acquired

(In

hectare)

Land

developed

(In

hectare)

Prevailing

Rate Per

Sqm

(In Rs.)

No of

Plots

No of

allotted

Plots

No of

Vacant

Plots

No. of

Units in

Production

1 Kanabaragi 267.00 267.00 617.74 1393 1393 - 13

2 Kangrali 58.59 58.59 370.64 61 61 - 40

3 Kakati 74.75 74.75 370.64 57 57 - 20

4 Honaga 209.50 209.50 370.64 226 226 - 20

5 Gokak 109.05 109.05 240.09 23 23 - 32

Total

718.89 718.89 1760 1760 - 06

2.1 Existing Status of Industrial Estates in the District developed

by KSSIDC. Sl. No.

Name of Industrial Area

Land acquired (In hectare)

Land developed (In hectare)

Prevailing Rate Per Sqm (In Rs.

No. of Plots

No. of Allotted Plots

No. of Vacant Plots

No. of Units in Production

1

Udyambag, Belgaum

22.31 22.31 4170 170 170 - 148

2

Anagol, Belgaum 8.5 8.5 4170 133 133 - 124

3

Anagol-2,Belgaum 1.86 1.86 4170 13 13 - 8

4

Kanabargi 2.42 2.42 990 56 55 1 30

5

Khanapur 3.87 3.87 510 47 46 1 36

6

Gokak 3.89 3.89 860 59 59 - 40

7

Chikkodi 2.42 2.42 510 40 40 - 28

8

Bailhongal 1.21 1.21 150 8 6 2 4

9

Ramdurg 3.8 3.8 160 7 7 - 1

10 Nippani 1.41 1.41 300 17 17 - 8

7

11

Kangrali 1.01 1.01 4170 1 1 - 1

12

Kagwad 8.09 8.09 160 1 1 - 1

13

Desur 16.72 16.72 1440 58 12 46 0

14

Athani 11.32 11.32 900 84 13 71 0

Total 88.83 88.83 694 573 121 429

3. INDUSTRIAL SCENERIO OF Belgaum 3.1 Industry at a Glance

Sr No Head Unit Particulars

1. REGISTERED INDUSTRIAL UNIT NO. 37112 2. TOTAL INDUSTRIAL UNIT NO. 37112 3. REGISTERED MEDIUM & LARGE UNIT NO. 33 4. ESTIMATED AVG. NO. OF DAILY

WORKER EMPLOYED IN SMALL SCALE INDUSTRIES

NO. 7

5. EMPLOYMENT IN LARGE AND MEDIUM INDUSTRIES

NO. 24325

6. NO. OF INDUSTRIAL AREA NO. 05 7. TURNOVER OF SMALL SCALE IND. IN LACS NA 8. TURNOVER OF MEDIUM & LARGE

SCALE INDUSTRIES IN LACS NA

3.2 YEAR WISE TREND OF UNITS REGISTERED

YEAR NUMBER OF

REGISTERED

UNITS

EMPLOYMENT INVESTMENT

(lakh Rs.)

Up to 1984-85 - - -

1985-86 - - - 1986-87 - - - 1987-88 - - - 1988-89 - - -

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1989-90 - - - 1990-91 - - - 1991-92 - - - 1992-93 - - - 1993-94 - - - 1994-95 - - - 1995-96 - - - 1996-97 - - - 1997-98 - - - 1998-99 1342 6457.00 6074 1999-2000 1160 5553.00 5850 2000-01 1283 5079.00 5778 2001-2002 1385 4255.27 5967 2002-03 - - - 2003-04 - - - 2004-05 619 1608.52 2156 2005-06 808 2473.94 3080 2006-07 840 2607.41 3653 2007-08 977 4582.00 5241 2008-09 1304 7255.11 5139 2009-10 1536 10967.95 7238 2010-11 1699 5613.92 7985 Total 37112 84570.11 238955

Source: DIC ------

3.3 DETAILS OF EXISTING MICRO & SMALL ENTERPRISES AND ARTISAN UNITS IN THE DISTRICT

NIC CODE

NO. TYPE OF

INDUSTRY

NUMBER

OF UNITS

INVESTMENT

(Lakh Rs.)

EMPLOYMENT

20 Agro based 3437 8215.00 30156 22 Soda water - - -

23 Cotton textile - - -

24. Woolen, silk & artificial Thread

based clothes.

143 950.00 1981

25. Jute & jute based 193 2440.00 3587 26. Ready-made garments &

embroidery

4825 7313.50 27441

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27. Wood/wooden based furniture 4295 6319.50 16507 28. Paper & Paper products 604 1876.20 3545 29. Leather based 2813 2886.10 8985 31. Chemical/Chemical based 209 1692.90 2351 30. Rubber, Plastic & petro based 256 1678.60 1361 32. Mineral based 2802 1771.00 32347 33. Metal based (Steel Fab.) 1029 1877.15 24999 35. Engineering units 3231 14704.17 29627 36. Electrical machinery and transport

equipment

1389 1942.75 4200

97. Repairing & servicing 3581 3826.89 15350 01. Others 6176 5857.00 27327

Kachori Making - - -

Total 35395 64141.76 231436 Source: DIC -------

3.4 Large Scale Industries / Public Sector undertakings List of the units in Belgaum & Near By Area 1). Athani Farmers Sugar Factory Ltd ,Navalihal Village, Athani, Tq.Belgum 2). Malaprabha Sahakari Sakare Karkane Niyamith M.K.Hubli, Belgaum Dist 3). Doodaganga Krishna, Sahakari Sakkare Karkane NiyamithChikkodi 4). Gokak Textiles Ltd, Gokak Falls ,Belgaum 5). Gataprabha Sahakari Sakare Karkane Hiyamith, Gokak 6). Gokak Mills Division of, Gokak Falls, Belgaum 7). Halasiddanath Sahakari Sakare Karkane Ltd,Nipani, Chikkodi 8). Hindalco Industries Ltd. Yamanapur, Tq. Belgaum 9). Shree Renuka Sugars Ltd,Munoli, Soundatti tq 10). Siddaganga Oil Extractions Unit-I,Ukkad Tq.Belgaum 11). Sri Krishna sahakari sakkare Karkhane Niyamit,Sankonatti Village, Athani 12). Tata Power Projects,Kanbargi ,Belgaum 13). The Urgar Sugar Works LTD,Ugarkhurd, Belgaum 14). Venkateshwar Power Project Limited,Bedikihal, Chikkodi 15). Vishwanath Co-Generation Limited, Bellada Bagewadi, Village, Hukkery 16). Shri Bhagyalaxmi Sahakari Sakkare Karkane, Rumewadi Tq.Khanapur Dist:Belgaum 17). Hindustan latex Ltd, A/P Kanagala Tq.Hukkeri( Life care Ltd) 18). Raibag Sahakari Sakkare Karkane Niyamit, Raibag 19). Shre Renuka Sugars Ltd, Unit-2 A/ Burlatti Tq.Athani 20). Shri Dhanalakshmi Sahakari Sakkare Karkane Niyamith,Khanpet.

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21). Vishwanath Distrillery LTD,B.Bageawadi, Hukkeri 22). Vishwanath Sugars Ltd,Bellada Bageawadi Hukkeri 23). Gokak Sugars Ltd, At. Kolavi Tq.Gokak (M/s Renuka Sugars Ltd) 24). M/s Netalakar Power Transmission, Plant-II,Majagaon,Khanapur Road,Bgm 3.5 Major Exportable Item

Valves, Pumps and its accessories, Machine components, Sugar, Safety

Helmets, Castings etc

3.6 Growth Trend Increasing 3.7 Vendorisation / Ancillarisation of the Industry Valves, Pumps, Machine components and Castings are having more scope.

3.8. Medium Scale Enterprises 1) Ashok Iron works Plant-1,Udyambag, Belgaum 2). Ashok Iron works Plant-II Mache Indl, Estate, Belgaum 3). Campbell Knit Wear Ltd, Marihal ,Belgaum 4). Riddi Siddi Gluco Boils, Ltd,FallsRoad,Gokak 5). Forbes Cambell knitware Ltd, Marihal, Bgm 6). Vega Funmobiles Pvt Ltd, Pl.No.12 B S.No.342 Bemcial Ind.estate Belgaum 7). Navage Plant,M/C Divn, Ashok Iron Cylinder Head Block, Navage, Belgaum

3.8.1 Major Exportable Item

Valves, Pumps and its accessories, Machine components, Sugar, Safety

Helmets, Castings etc

3.8 Service Enterprises

11

Total units registered units are 3581. 3.9.2 Potentials areas for service industry Information not available. 3.10 Potential for new MSMEs Infrastructure development focused industries like fabrication, heavy structural Engineering works, electrical and Civil Engineering Enterprises have good demand in the district and also Hotels, Motels,

Hospitals, Residential Schools, Agri. Farms, and Agro-based activities like Milking, sheep rearing etc have good scope in the district.

4. Existing Clusters of Micro & Small Enterprise Nil

4.1 DETAIL OF MAJOR CLUSTERS Nil 4.1.1 Manufacturing Sector

Nil

4.1.2 Service Sector Nil

4.2 Details for Identified cluster

12

4.2.1 Name of the cluster: Belgaum Foundry Cluster

1 Principal Products Manufactured in the Cluster

Foundry Products

2 Name of the SPV Belgaum Foundry Cluster 3 No. of functional units in the

clusters 110

4 Turnover of the Clusters Rupees 120 Cr.

5 Value of Exports from the Clusters

Rupees 16 Cr.

6 Employment in Cluster 1800

7 Average investment in plant & Machinery

Rupees 3.5 Cr.

8 Major Issues / requirement

Adaptation of latest technology and sand reclamation.

9 Presence of capable institutions Ashok Iron Works (Medium sized), BEMCO

10 Thrust Areas Exports of castings, Eco friendly processes

11 Problems & constraints Lack of awareness of latest Eco friendly technology.

Present status of the cluster :- Providing testing facilities, creating awareness on MSME Schemes and working towards better environment.

5. General issues raised by industry association during the course of meeting

1. Government Rules and regulations are threatening factors to the existing/prospective entrepreneurs for further investments (like labour law, taxation etc)

2. The understanding between the subcontractors (job workers) and the traders are not satisfactory in this sector.

3. No Brand Image conscious/ quality awareness is in the existing cluster actors.

4. Adequate water supply, electricity and drainage system must be provided to industrial estates/areas.

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6.STEPS TO SET UP MSMEs

Following are the brief description of different agencies for rendering assistance to the entrepreneurs.

S.No

Type of assistance Name and address of agencies

1. Provisional Registration Certificate ( EM-1) & Permanent Registration Certificate ( EM-II)

District industrial Centre, Belgaum

2. Identification of Project Profiles, techno-economic and managerial consultancy services, market survey and economic survey reports.

MSME-DI, Hubli

3. Land and Industrial shed

KSSIDC, Belgaum

4. Financial Assistance

Nationalized Bank, KGB, DCRB

5. For raw materials under Govt. Supply

NSIC, KSSIDC

6. Plant and machinery under hire / purchase basis.

Open Market

7. Power/ Electricity

HESCOM

8. Technical Know –how.

MSME-DI, Hubli

9. Quality & Standard

BIS, ISI

10. Marketing /Export Assistance

MSME-DI, Hubli

11. Other Promotional Agencies

Lead Bank, NABARD, DIC, KSSIDC, CEDOK