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Industry

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INDUSTRIAL SCENARIO OF PANIPAT- A CITY OF HANDLOOM.

        Panipat City is known for Handloom at the National as well as International level.  Panipat City is also a historical place & is situated on G.T. Road, 90 K.M. away from National Capital Delhi.  Panipat City is an export hub for Cotton Durries, Mats, Carpets, Floor coverings etc.  The City has more than 100 reputed exporters for handloom & textile goods.

DISTRICT & BLOCK PROFILE

          Starting from North to South alongwith the Yamuma, the only perennial river of the State District Panipat is touched on its North by District Karnal, on its South by District Sonepat, on its East by District Muzaffernagar (UP) – West South touched by District Jind.  Located in the Central Eastern part of the State, Panipat has fail links with Delhi, Chandigarh and Punjab.  National Highway No.1 runs through the entire District Panipat has an ideal location and is industrially forward.  The District Panipat is spread over an area of 1300.38 Sq. Kms.  The climate, being Gangetic type is hot in summer and cold in winter.  The coldest month is January and hottest is June.   Most of the annual rainfall about 80% is in quarter July-September.  Average rainfall is 500 mm to 1000 mm.  The remaining months are almost dry except January, which occasionally receives light showers of winter rains.  The district has not much wild life.  The main crops are paddy, maize, wheat, gram and sugarcane.  The district is one of the fertile & industrially developed districts of India.

BLOCK PROFILE

    Block Israna

          Israna Block is  small block comprising of 31 villages.  Its area is 273 Kms.  Agriculture is the main activity of the people of the block.  Wheat, Rice and Sugercane are the main crops of the block.  Israna Mandi is good grain market.  Panipat-Gohana Road passes through this block.  It has good road and rail links.  Industrial activity is negligible.  Canara Bank, Punjab National Bank, Oriental Bank of Commerce, State Bank of India and State Bank of Patiala each has one branch in the Block.

    Block Madlauda

          This block comprises of 36 villages.  Its area is 391 Sq.Kms. Agriculture is the main occupation of the people of Block.  Due to fertile land of the area, it produces good quality of Wheat and Rice.  Other main crops of the area are Barley, Maize and Sugarcane etc.  Producing of oil seeds has been taken-up by a few farmers.  This needs industrial development.

    Block Samalkha

          Samalkha is situated on both the sides of G.T.Road, at distance of 18 Kms.from Panipat towards Delhi.  It is well linked by rail also.

          Samalkha town is an important trading and industrial Centre.  It has well developed agriculture and industrial base.  This town is well known for its Toka Machines, Hand Pumps, Tubewell fitting, Nut Bolts etc.  Land of the Block is fertile.  It produces wheat rice, maize, sugarcane, vegetables etc.

    Block Panipat

          Panipat  is well known on historical map of India.  Three famous battles were fought.  Ibrahim Lodi Ka Makbara, Kala Aam, Devi-Talab, Buj-Ali-Shah-Kalander Ke Mazar, Hali Ka Makbara, Kabuli Bagh, Salarganj Gate are of historical importance and attract a large number of visitors.

           Panipat had the honour of being a District from 1828 to 1853.  Panipat is on the national industrial map due to hundred of Handloom units; small scale industries, National Fertilizers Limited, Panipat Refinery, Thermal Power Plant are good gifts.  Panipat is lucrative place of business.  According to an estimate, goods worth over Rs.700 crores are exported from this City to America, Canada, USSR, Japan, Sweedan, Switzerland, France, Denmark etc.   Goods which are exported include Woollen carpets, Durries, Pachranga Achar, handloom products.

    Block Bapoli

          Block Bapoli has been recently created comprising of 45 villages with a population of 80915.  Total area of the block is 23292 Hac.  It is highly potential agriculture based block.

SALIENT FEATURES OF THE INDUSTRY AT PANIPAT :

    1)    The town has three major projects under public Sector:

            a)    Indian Oil Corporation (Refinery)

            b)    National Fertilizer limited

            c)    Thermal Power Station   

    2)    Biggest Centre in the Country for producing Shoddy Yarn.

    3)    Biggest Centre in the country for producing low priced blankets.

    4)    Biggest Centre in the country engaged in export of Cotton Durries, Made Ups, Throws and Mats, Bed Covers. 

    5)    Largest consumer of rags for their re-processing. 

    6)    A very high per day wages for the labour viz-a-viz national average a worker earns Rs.200/- per day on Handloom/Powerloom. 

    7)    Samalkha (Tehsil) a smaller town near Panipat, is known for foundry work and supply Agriculture Machinery to nearby U.P.area.

    8)    The town has infrastructure such as Rail, Road and ICDs (Inland Container Depots) best suited to Industry and Export of their

           product.

II.    SMALL SCALE INDUSTRIES :

Small Scale Industries are growing up in the District tremendously.  The investment limit of Plant and Machinery of SSI units is Rs.5.00 Crores.   The detail of SSI units is given as under:-

III.    LARGE AND MEDIUM SCALE INDUSTRIES :

The District has at present 39 Large and Medium Scale undertaking, out of these 03 units are under Public Sector. The prestigious Large and Medium Scale Units of the District are detailed below:-

      a) Public Sector Undertakings :-

              1. Panipat Oil Refinery

              2. National Fertilizer Limited, Panipat.

              3. Panipat Thermal Power Station.

          b) Multi-National Companies :-

    1. M/S Nestle India Ltd.                           MNC

    2. M/S Aradhana Soft Drinks.                    MNC
 

LIST OF LARGE AND MEDIUM UNITS SET UP IN THE DISTRICT-PANIPAT

The details of Large & Medium units are given as under:-

IV.     POWER

           In order to supply adequate and quality power, a network of Power Sub-Stations has been created all over the District.             

The details of existing and proposed utility are given as under:-

        A. EXISTING:-

        B. NEW 33 KV S/STATIONS UNDER APPROVAL:-

            1)  33 KV S/Station Chadia
            2)  33 KV Babarpur
            3)  33 KV Babail
            4)  33 KV Jalalpur
            5)  33 KV S/Station Mandi
            6)  33 KV S/S Seenkh
        C. NEW 220/132 KV S/Stations UNDER APPROVAL:-
            1)  132 KV Sectior 25-29, HUDA, Panipat.
            2)  220 KV Samalkha
            3)  220 KV S/S Chhajpur
        D. UPGRADATION 33 TO 132 KV UNDER APPROVAL:-
            1)  33 KV Beholi
            2)  33 KV Dikadla
            3)  33 KV Kabri
            4)  33 KV Naultha
            5)  33 KV S/S Naraina

V.  INCENTIVES FOR MEGA PROJECT IN BACKWARD AREAS :          

        i)  Mega Project with investment of Rs.100 crore and  above or any Project employing more than 500 persons irrespective of investment to be set up in the backward areas would be extended the facility of financial assistance to be quantified at, 50% of the tax  paid on the sale of goods produced by such industrial units, under Haryana Value Added Tax Act, 2003 for a period of 7 years from  the date of start of commercial production, as Interest Free Loan(IFL) repayable after a period of 5 years from the date of grant of IFL.

    ii)   Exemption from LADT for a period of 5 years.

VI. INCENTIVES FOR SSI IN BACKWARD AREAS :

        New SSI units in the backward areas would be extended the facility of financial assistance in the shape of Interest Free Loan to be quantified at, 50% of the tax paid on the sale of goods produced in such industrial units, under the Haryana Value Added Tax Act, 2003 for a period of 5 years from the date of start of commercial production to be repayable after a period of 5 years.

VII.  INCENTIVES FOR FOOD PROCESSING INDUSTRIES :

        i)    Food Processing Industries except wheat & rice will be considered as seasonal industry and exempted from payment of minimum demand charges for electricity during closer period of more than 3 months. 
        ii)    No market fee shall be levied on agriculture and horticulture produce used as raw material by food Processing Industries within the State except Rice, Wheat, Mustard Oil and Cotton.
        iii)    Interest Free Loan at the rate of 75% of the tax paid on the sale of goods produced in such industrial units shall be given under the Haryana Value Added Tax Act, 2003 for a period of 5 years from the date of start of commercial production.  This would be repayable after a period of 5 years from the date of start of commercial production. This would be repayable after a period of 5 years.
        iv)    Charges for change of land use for Food Processing Units shall be levied @ 50% of normal rates in State declared backward areas.
        v)    Wines/Liquors/Brandy etc. made from 100% fruits produce in the State will be exempted from the excise duty in backward areas. Special priority shall be given for release of electric connection to Mega Projects, 100% EOUs, IT Industries and FDI Projects.

         Incentives and privileges already being enjoyed by units under previous policies shall continue as mentioned in Appendix 1of Industrial Policy-2005.
        The new scheme of incentives shall be applicable to units coming in commercial production after the commencement of this policy.  However, Export Incentives shall be available to existing units as well. Incentives and Concessions shall be available only to those units which do not fall in the negative list.

VIII. SINGLE WINDOW SERVICE:

        For the speedy Redressel of the grievances of the entrepreneurs, Single Window Service meeting is held under the Chairmanship of Deputy Commissioner, Panipat.  All the Head of the departments which are related to Industries are the members of the SWS.  The Presidents of the various Industrial Associations are called in the SWS meeting to hear & redress their problems.

IX.   HANDLOOM:

        There has been a very high growth of Handloom sector in Panipat during the last 15 years.  Handloom is the most important sector of the town.  At present there are more than 38970 handlooms working in the district providing employment to 42500 persons.  Majority of the weavers are migrants from U.P., Bihar and West Bengal.  There are some local weavers also who came from neighbouring villages to work at Panipat in Handloom units.  The weavers are employed on contractual  wages/piece rate system and average earning per working person is around Rs.100/- to 200/- per day depending upon the width and variety of cloth.

X.     EXPORT:

        Panipat is not lagging behind as far as Export is concerned and it has established its name in the International Market.  There are about 100 Industrial Units, which are exporting wide range of Handloom Products such as Durries, Mats, Table Covers, Bed Sheet, Curtain and Carpet etc. to various developed countries such as Canada, Japan, Germany and Australia etc.  The Export from Panipat for the last ten years is as under:-

XI.    INDUSTRIAL ESTATES:

          The areas developed for Industry in Panipat are as under:-

XII.    PRIME MINISTER EMPLOYMENT GENERATION PROGRAMME(PMEGP): -

        The Govt. of India has launched a new credit linked subsidy programme called Prime Minister Employment Generation Programme by merging the two schemes which were already in operation till 31-03-2008 i.e. PMRY & Rural Employment Generation Programme will be Central Sector Scheme administered by the Ministry of Micro, Small and Medium Enterprises. 

        The Prime Minister Employment Generation Programme will be implemented through KVIC, State Govt. & Village Industries Board and District Industries Centres.  The main object of the scheme is to generate employment opportunities in rural as well as urban areas for setting up of new self-employment ventures/projects/micro enterprises.  The scheme will be implemented through KVIC & KVIB in the Rural Areas of the State and through DIC in both Rural & Urban Areas.

        The progress under PMEGP during the last 2 years in the District is given as under :-
 

XIII.    20-POINT PROGRAMME:

            The progress under 20-point programme for the last five years is given as under:-

XIV.   COMMON FACILITIES CENTRES:

         Following Centres exist in Panipat to cater the need of Industries:-

      a.  Quality Marking Centre for Textile Goods:  

        The Quality Marking Centre run by Industries Department Haryana, is engaged in Testing of Yarn, Fabrics and other products. It also provides testing facilities in testing the quality weight of fabrics.

       b.  NITRA:

         It is providing   3 month’s training in the trade of Powerloom weaving and designing. It provides shuttle less training one month and one month chemical testing & physical testing also. The number of seats is 100 per annum. Until now approximately 800 persons have been given training.

       c. Weavers Service Centre:

      This Centre is providing 4 months' training in Handloom Weaving, Designing, Dyeing and Printing. The number of seats is 120. It provides designing to the exporters also.

XV.    POWERLOOMS:

There are approximately 12528 Powerlooms in the District with Capital Investment of Rs. 75.20 Crores and providing employment to 23000 persons. Presently, No. of products are being manufactured on powerlooms such as Shoddy and Acrylic Blankets , Bed Sheets, Bed Covers, Tapestry, Up-holstry, Table mat and Table Covers etc. Mainly Art Silk, Polyester, Acrylic, Poly-propylene & Shoddy Yarn are used in this Industry.

XVI.   SHODDY & WOOLEN INDUSTRY:

Shoddy Industry has picked up sharply in Panipat during the last 15 years. Panipat town has got the distinction of having maximum number of Shoddy Spinning Units at one particular place not only in the country, but in the world, leaving far behind the position held  by  Italy.  There are more  than 282  Shoddy  Spinning  Units  in the  District  with  production of 2.10 Lacs  Kgs  per day  with  turnover  of  worth  Rs. 384.91 Crores providing employment to 5172 persons.

XVII.   CARPET INDUSTRY:

Woolen Carpet Industry is approximately 32 years old in Panipat. At present, 136 numbers of units are engaged in this Industry providing employment to 4228 workers. After 90’s, export of Carpet is increasing every year and today the export has touched the figure of worth Rs.100 Crores. Panipat has been awarded Gold Trophy for making highest Export in Woolen Hand Tufted Carpets by Export Promotion Council.

XVIII.   OPEN END SPINNING:

  There are 42 Open End Spinning Units in the District having more than 280 Open End Machines and production of 3 Lacs Kgs per day with an estimated turn over of Rs. 338 Crores.

XIX.     BARRACK YARN SPINNING:

There are about 15 Spinning Units which are producing Barrack Yarn to the tune of 0.18 Lacs Kgs per day with a turn over of Rs. 28 Crores. Barrack Yarn is used to manufacture Barrack Blankets with an average cost of Rs. 200/- per piece. There are about 700 Handlooms engaged in production of Barrack Blankets. Panipat is meeting out 75% demand of Barrack Blankets of Indian Military.

XX.    CARPET WOOLEN YARN:

There are about 60 Carpet Woolen Spinning Units in the District manufacturing 75 Lacs Kgs per day carpet yarn with annual turnover of Rs.273 Crores.

XXI.   TEXTILE COMMITTEE:

The services imparted by regional office of Textile Committee, Panipat a statutory body under Ministry of Textiles are as under:-

i)    Inspection of Handloom Goods meant for export for issuance of Certificates under various Bilateral Agreement.

ii)    ISO-9000, ISO-14000, SA-8000, OHSAS-18000 consultancy services.

iii)    Training to Quality Checkers.

iv)    Quality appraisal of Textiles.

v)    Market Survey and

vi)    Acts as collection centre of testing of all kind of tests of textiles and its various ultra modern laboratories.

XXII.   TEXTILE MACHINERY:

          Panipat town is also famous for manufacturing of Textile Machinery such as Carding Machines, Ring Frame, Doubler, Winding Reeling, Powerloom Jacquard, Cabinets Carrier Drawing etc. The first Carding machine in India was manufactured at Panipat by Sh. Ramesh Dutt Sharma, in his unit under the name and style of M/S Ramesh Carding Machinery and Safe works, Railway Road, Panipat.

XXIII.  PROCESSING AND PRINTING:

          There are about 525 Dyeing/Printing Units and 225 Finishing Units in the District to meet out the requirement of local textile Industry. But good quality blankets can not be finished in these units for which blanket manufacturers have to sent their blankets for finishing.

XXIV.   FOOD PROCESSING UNITS:

          There are 25 Food Processing Units in the District having investment of Rs.34.64 Crores with the annual turn over of approximately Rs.242.00 Crores providing Employment to 811 persons. Main item/products of these units are Rice, Pickles, Milk products, De-hydration of Fruits, Vegetables, Biscuits, Confectionery, Hatchery, Soft Drinks etc.    

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