SIDBI's New Scheme Aims to Transform Industry Clusters Into Innovation Hubs

The Small Industries Development Bank of India (SIDBI) has unveiled an ambitious scheme aimed at evolving India's industry clusters into innovation centers of global repute. The Development of Industry Associations (DIA) scheme was inaugurated at a national conclave by M Nagaraju, Secretary of the Department of Financial Services, Ministry of Finance, reflecting a firm government commitment to elevating India's industrial landscape.

In his address, Nagaraju emphasized the need for India to transition from a purely production focus to becoming an innovation nucleus. He highlighted the various stages of cluster development, noting that many Indian clusters are at establishment or operational levels. These associations, he argued, should lead the charge to transform clusters into global value chain leaders.

SIDBI Chairman and Managing Director Manoj Mittal outlined a dual-faceted strategy to bolster these associations: providing substantial infrastructure and resource support while offering digital tools for research, networking, and comprehensive member services. This initiative seeks to ensure the financial sustainability of industry associations, enabling them to offer strategic services akin to those provided by successful Farmer Producer Organizations, which have achieved significant economic successes.