Assocham’s Study on Cluster Development in West Bengal

The Associated Chambers of Commerce and Industry of India (Assocham) released a study on Cluster development for inclusive growth in West Bengal on 9 February 2011. In the study Assocham proposed setting up of 17 new clusters in West Bengal. Each new cluster will accommodate about 1000 units and provide direct and indirect employment to more than four-lakh people.  The new clusters will simultaneously help to upgrade the existing clusters for enhancing productivity and growth. The 17 new clusters will make an array of goods ranging from fishing hooks to locks, bell-metal utensils, textiles and handicrafts, leather goods and garments and artificial jewellery. The funds required to provide basic and essential infrastructure to these clusters is estimated to be around Rs.400 crore and would be mobilised through public-private partnership (PPP).

The MSME (micro, small and medium enterprises) sector contributes around 40 per cent to gross domestic product (GDP) with an estimated value of goods and services around Rs.20-lakh crore. MSME sector provides the maximum opportunities for both self-employment and jobs after the agriculture sector. The clusters are found to play a significant role role in the creation of jobs, cost-competitiveness, better quality, enhanced productivity, improved infrastructure, wider export market and face overseas competition. In West Bengal there could not be sustainable growth and development due to the use of obsolete technology and plant machinery.

Assocham emphasised the need to interconnect all clusters among themselves by adopting E-Cluster model to provide them with a level-playing field to survive and grow. E-Cluster model facilitates SME stakeholders easy and speedy co-ordination between members and enables them to access vital information vis-à-vis marketing. Keeping in mind the advantages, the West Bengal government was advised to a statutory body as Cluster Development Authority for utilising the funds meant for the clusters properly and to assist in gearing up for further growth.