ARE YOU PLANNING TO SET UP AN INDUSTRIAL UNIT
IN THE  SMALL, MEDIUM, LARGE/JOINT SECTOR
ANYWHERE IN INDIA? 

If so, you may approach Council Of State Industrial Development and Investment Corporations Of India (COSIDICI), which act as a catalyst for rendering assistance/guidance through its network of 56 affiliated State Industrial Development and Investment Corporations in respect of : 

  • Availability of loans on soft terms; 
  • Allotment of industrial plot/shed in one of the industrial estates or industrial parks developed by the state level corporation; 
  • Technical assistance for the preparation of project reports; 
  • Availability of special incentives provided by the respective state governments for setting up of industries, etc. 
PROFILE OF COSIDICI  

Established in 1976, the Council of State Industrial Development and Investment Corporations of India (COSIDICI) is a national federation of state level financial and investment corporations comprising State Financial Corporations (SFCs), State Industrial Development Corporations (SIDCs) and State Infrastructure Development Corporations engaged in promotion, development and financing of industry in small, medium and large sectors , besides developing industrial infrastructural facilities like industrial estates, industrial parks, industrial townships, etc. As on 30th September, 1999, COSIDICI has a membership of 56 state level institutions, as indicated below 

  • State Financial Corporation (SFCs) - 18 : These corporations have been set up at the state level under State Financial Corporations Act, 1951. These corporations have been notified as "Public Financial Institutions' under Section 4-A of the Companies Act by the Government of India 
  • State Industrial Development Corporations (SIDCs) - 28 
  • State Industrial Infrastructure Development and Investment  Corporations - 10 . These corporations were set up under the Companies Act, 1956 and have been functioning as 'Public Limited Companies'. 
The main objective of this national federation is to act as a clearing house for sharing of experiences by member corporation across states, disseminating information of common interest among them and to provide them with a common platform to the state level corporations for ventilating their problems and grievances to the Government and all India financial institutions and  serve as a mouth-piece of this sector for influencing the policies of the Government/financial institutions having bearing on the development of this sector. 

COSIDICI has been playing its role creditably during the past more than two decades and has produced the desired impact on the growth of this sector. COSIDICI has established effective liaison with the concerned departments of  State Governments, Central Government and the all India Financial Institutions, including RBI, IDBI, SIDBI, etc. Besides, COSIDICI is an accredited member of CII, FICCI, SCOPE, Small Scale Industries Board, Ministry of Industry, Govt. of India and actively participates in their activities. COSIDICI has been successfully taking up various issues affecting the business operations of these corporations, with the above agencies and has been influencing the policies of the Government and all India financial institutions to the advantage of this sector. Some of the important objectives of COSIDICI are : 

  • To liaise with and to represent to the Central and State Governments, term lending and other financial institutions on the common problems and issues of member corporations
  • To promote co-ordination, collaboration, joint participation and general understanding among the member corporations etc.
  • To render assistance to member corporations in their efforts  to improve efficiency of operations of their assisted and sponsored units.
  • To organize common service facilities, training courses, seminars, meetings and study tours for the benefit of the  member corporations. 
  • To sponsor studies, surveys, research and development projects pertaining to industries. 
  • To establish and maintain at the Registered Office a commercial and technical library and information Centre for use of member corporations. 
The COSIDICI has thus been co-ordinating and integrating the activities of its member corporations and has been providing and arranging means and facilities for dissemination of knowledge and information relating to promotion and development of industries and for exchange of views and ideas on subjects of common interests. For accomplishment of these objectives and with a view to having a direct communication link with the corporations, COSIDICI has been publishing a bi-monthly journal titled 'COSIDICI COURIER' since 1978. The publication of this journal aims at integrating the interests of our member corporations and has proved to be a powerful vehicle for dissemination of information of common interest among our members. This journal has, over a period of time, achieved a wider readership among the government circles and financial institutions. Apart from containing the developments taking place among our member corporations the journal, also contains useful information on the state of the Indian economy, various policy measures announced by the government for promoting industrialisation in the country, fiscal incentives provided by the government from time to time, as also some leading articles on industrialisation by eminent people. It has been, thus serving as a mouth-piece of this sector. A copy of the latest issue of the journal has been re-produced on the Web site for general information. 

COSIDICI has been arranging training programmes for the senior executives of its member corporations to upgrade their conceptual and operational skills. COSIDICI has been arranging special training programmes exclusively for the benefit of state level corporations in collaboration with the National Institute of Banking Studies and Corporate Management A large number of senior executives from our member corporations have benefited from these programmes. 

The. affairs of COSIDICI are managed by an Executive Committee consisting of senior civil servants drawn from various state level corporations.  The composition of the Executive Committee is such that all regions of the country are represented on it. As on date, the Executive Committee has 18 members, who are elected by the General Body every year. The following Chief Executives of our member corporations constitute the Executive Committee:
 
 
  Name  Representing Corporation
President  SMT. SMITA BHARADWAJ, IAS MANAGING DIRECTOR MADHYA PRADESH
FINANCIAL CORPORATION
{MPFC}, INDORE
Vice-Presidents SHRI JANAK DIGAL, IAS
 
CHAIRMAN & MANAGING DIRECTOR,
DELHI FINANCIA
L CORPORATION
{DFC} NEW DELHI
SHRI MOHD. NASIMUDDIN, IAS CHAIRMAN & MANAGING DIRECTOR,
TAMILNADU INDUSTRIAL INVESTMENT
CORPORATION LIMITED
{TIIC}, CHENNAI
SHRI SUPRIYA SAHU, IAS MANAGING DIRECTOR,
KARNATAKA STATE FINANCIAL CORP.
{KSFC} BANGALORE
SHRI RAJAMANICKAM, IAS MANAGING DIRECTOR,
KERALA FINANCIAL CORPORATION
{KFC} THIRUVANANTHAPURAM
SHRI W.V. RAMANA MURTHY, IAS MANAGING DIRECTOR,
ANDHRA PRADESH STATE FINANCIAL
CORPORATION {APSFC}, HYDERABAD
SHRI AMIT SHARMA, KAS MANAGING DIRECTOR,
JAMMU & KASHMIR STATE INDUSTRIAL
DEVELOPMENT CORPORATION
{J&K SIDCO}, SRINAGAR
Executive Committee Members  SHRI ANAND B. KULKARNI, IAS MANAGING DIRECTOR,
MAHARASHTRA STATE FINANCIAL CORP.
{MSFC} MUMBAI
SHRI SUDHIR RAJPAL, IAS MANAGING DIRECTOR,
HARYANA STATE INDUSTRIAL AND
INFRASTRUCTURE DEV. CORP. LTD.
{HSIIDC}, CHANDIGARH
SHRI MANOJ AGGARWAL, IAS VICE CHAIRMAN & MANAGING DIRECTOR,
GUJARAT INDUSTRIAL DEV. CORP. LTD.
{GIDC}, GANDHINAGAR
SHRI HEMANGA K. SHARMA, IAS MANAGING DIRECTOR,
ASSAM INDUSTRIAL
DEVELOPMENT CORPORATION LIMITED
{AIDC}, GUWAHATI
SMT. MUGDHA SINHA, IAS MANAGING DIRECTOR
RAJASTHAN STATE INDUSTRIAL
DEVELOPMENT & INVESTMENT CORPORATION LTD.
{RIICO}, JAIPUR
Dr. INDU MALHOTRA, IAS MANAGING DIRECTOR,
PUNJAB FINANCIAL CORPORATION
{PFC}, CHANDIGARH
SHRI T. KARIKALAN, IAS MANAGING DIRECTOR,
PONDICHERRY INDUSTRIAL PROMOTION
DEV. & INVESTMENT CORPORATION LTD.
{PIPDIC}, PONDICHERRY
SHRI SAMRENDRANATH KOLEY, WBCS (Exe.) MANAGING DIRECTOR,
WEST BENGAL FINANCIAL CORPORATION
{WBFC} KOLKATA
Co-opted Members SHRI ARVIND GHATKAR MANAGING DIRECTOR,
EDC LIMITED, PANAJI,
{GOA} ,
SHRI S.I. SHARMA MANAGING DIRECTOR,
MANIPUR INDUSTRIAL
DEVELOPMENT CORPORATION LIMITED
{MANIDCO}, IMPHAL
Secretary General SHRI V.S. RATHORE COSIDICI, NEW DELHI

 
The Secretariat of COSIDICI is managed by highly professional executives, some of whom have retired from senior positions in the government/all India financial institutions as per details given below : 
 

Shri V.S. Rathore Secretary General former Executive Director, SIDBI. Chartered Accountant, MBA and also holds masters degree in Law.
Smt. Renu Seth, Secretary, M.B.A. from Rajasthan University
Shri Sanjeev Sharma, Manager, Degree in Office Management from Delhi University and EMBA From KSOU, Mysore.
 
Brief Profile of our Member Corporations 

State Financial Corporations : State Financial Corporations were established in the States under the Central Act, viz.. The State Financial Corporations Act, 1951, with the basic objective of promoting and developing small scale industries in the respective states with a special focus on spreading industrial culture in the rural, semi-urban and backward areas of the States. These corporations are owned by the respective state governments jointly with IDBI and they are functioning under the administrative control of the state governments. The Chairman and Managing Directors of these corporations are senior IAS officers appointed by the state governments in consultation with IDBI. The Board of Directors of SFCs is highly professional in character and consists of senior executives of the state governments, a representative each from RBI. IDBI and SIDBI, besides other interests like Co-operatives, Life Insurance, entrepreneurs are also represented on the Board. They are employing highly professional and technical personnel to carry on the business operations such as M.B.As.., C.As., engineers, marketing experts, etc. These corporations have opened a number of regional offices in the states to cater to the requirements of the entrepreneurs . SFCs provide term loan to small and medium scale industries for creation of assets, viz., land, building and machinery. They also provide working capital term-loan to the industrial units on competitive terms. Various non fund based services like merchant banking, under-writing of public issues, project counselling, bill discounting, leasing and hire purchase are also been undertaken by them. They are operating a number of financial assistance schemes for the benefit of the entrepreneurs such as assistance for marketing activities, equipment finance, special schemes for assistance to ex-servicemen, single window scheme, etc. SFCs provide maximum loan upto Rs. 240 lakhs. The interest on loan ranges between 13.75% to 16.5% depending upon the size of the loan and its term. 

State Industrial Development Corporations : The State Industrial Development Corporations were set up under the Companies Act, 1956, as wholly owned state government undertakings for promotion and development of medium and large industries. In addition to provision of financial assistance, they are also involved in developing industrial infrastructure like industrial estates, industrial parks and setting up industrial projects either on their own or in the joint sector in collaboration with private entrepreneurs or as wholly owned subsidiaries. SIDCs exist in all the States and have developed industrial infrastructure facilities to enable prospective entrepreneurs to set up their industries in the states. These corporations render technical assistance to the entrepreneurs in the formulation of the project reports and also provide common facilities in the industrial estates. These corporations provide loans and advances to the industrial units in the medium and large sectors to the maximum of Rs. 400 lakhs. The interest rate ranges between 13.5% to 17% depending upon the size of the loan. 

State Industrial Infrastructure and Investment Corporations : The State Industrial Infrastructure and Investment Corporations have also been set up under the Companies Act under the overall control of the State Governments to develop industrial infrastructure in the States. As on date, only 10 such corporations have been set up in the States of Andhra Pradesh, Gujarat, Maharashtra, Orissa, Tamil Nadu, Uttar Pradesh, Delhi and Goa. These corporations are primarily engaged in developing infrastructure, which has been identified as the major thrust area for taking the country on the path of the economic growth. The infrastructure projects undertaken by these corporations include developing industrial growth centres, export promotion zones, software parks, industrial townships, industrial parks, as also industrial estates. To a large extent, these corporations are supplementing the efforts of State Industrial Development Corporations in so far as development of industrial infrastructure in the states is concerned. 

Some of our corporations have hosted their own website and the details in this regard are furnished below to enable prospective entrepreneurs to have direct access to them : 
 

Name of the Corporation Web site address
Kerala State Industrial Development. Corporation. Ltd.  www.ksidc.org
Gujarat Indl. Inv. Corporation Ltd. www.giicindia.com
J & K State Industrial Development. Corporation. Ltd. www.agroindia.org/j&k
Goa Industrial Development. Corporation. www.goa-idc.com
Rajasthan State Indl. Development. & Inv.  Corporation. Ltd.  www.riico.com
Tamil Nadu. Corporation. for Indl. Infrastructure. Development. Ltd. www.welcometacid.com
Madhya Pradesh Financial Corporation. http://members.tripod.com/~mpfincorp
U. P. Financial Corporation www.upfcindia.com
Economic Development Corporation. of   Goa, Daman & Diu Ltd. www.edc-goa com
Punjab Financial Corporation, Chandigarh http://punjabgovt.nic.in/ind553.htm
J & K State Financial Corp. www.jkfinco.com
Delhi Financial Corporation www.dfcdelhi.com
Haryana State Industrial Development Corp. Ltd www.hsidc.nic.in
Himachal Pradesh Industrial Development Corp. Ltd www.himachal.nic.in/sidc
Pondicherry Industrial Promotion Development and Investment Corp. www.pipdic.com
Punjab State Industrial Development Corp. Ltd http://punjabgovt.nic.in/ind552.htm
The Pradeshiya Industrial & Investment Corporation of U.P. Ltd www.picup.com
West Bengal  Industrial Development Corporation Ltd  www.wbidc.com
Gujarat State Financial Corporation  www.gsfcindia.com
Kerala Financial Corporation www.kfc.com
Maharashtra Industrial Development Corporation www.midcindia.com
Tamil Nadu Industrial Development Corporation Ltd. www.tidco.com

Facilities and incentives available for setting up industries in the States

In each state a State Financial Corporation and a State Industrial Development Corporation have been functioning for more than four decades. Operating at the grass root level, these development finance institutions have played a significant role in developing industries in the states with particular emphasis on development of backward regions. These corporations have played a crucial role in the promotion of first generation entrepreneurs. They have recorded an impressive performance in providing financial assistance for promotion and development of small scale, medium scale and large scale industries in their respective states. As on 31st March, 1999, their cumulative sanctions and disbursements aggregated Rs. 44,704.6 crores and Rs.34,988.6 crores forming 10.5% and 12% of the total sanctions and disbursements made by all financial institutions in the country respectively. Besides, the SIDCs