Ensuring Effectiveness of Industrial Cluster Development
2 Pages Posted: 7 Jun 2019
Date Written: May 21, 2019
Industries sector needs utilities and logistics support to grow. Ensuring industrial logistics and utilities from one corner of a country to the other is not possible for any new economy like post-liberation war Bangladesh. A dedicated government agency is required to facilitate industrial utilities and logistics for existing and upcoming entrepreneurs of the country. To facilitate industrialisation in the then-East Pakistan, Small and Cottage Industries Corporation Act, 1957 was enacted by the Minister for Labour, Commerce and Industry Bangabandhu Sheikh Mujibur Rahman. He established East Pakistan Small and Cottage Industries Corporation (PSCIC). Following independence, this institute was transformed into Bangladesh Small and Cottage Industries Corporation (BSCIC). Since then, the BSCIC has played a pivotal role in the development of industrial estate in the country. Notable activities of BSCIC are entrepreneurship development through counselling and training; providing infrastructural facilities by establishing industrial estates; extending credit facilities to the entrepreneurs from its own funds and also through banks and financial institutions; preparation of project profile and project appraisal proposal; providing technical and consultancy services for establishing new industrial units and quality improvement of small cottage industry products; registration of small and cottage industrial unit and recommending exemption of duties and taxes for the small industrial raw materials and product etc. Till date, BSCIC has developed around 94 industrial estates around the country. BSCIC industrial estates are the first official forms of industrial clusters in Bangladesh.
Keywords: Cluster Development, SME Cluster, Industrial Estate, Export Processing Zone, Special Economic Zone, Industrial Cluster,
JEL Classification: C38
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