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SSI list axed heavily

June 02, 2006 17:51 IST

The axe of dereservation has fallen heavily on small units manufacturing mechanical products, with as many as 77 items which only they could make, dropped from the list.

In line with the budget announcement that 180 items that were reserved for manufacture by the small scale units will be dereserved, the government has issued a notification giving details of the items.

Apart from mechanical items, as many as 68 chemicals and chemical products have been dereserved.

In auto components, 35 items have been dereserved.

With the notification, the number of items now remaining in the list of products reserved for manufacture by small units has come down to 326.

Last year, 108 items were taken out of the list.

Every year, the number of items reserved for small scale units is coming down but still there are complaints of bigger units making these products.

Of the many complaints received, the government has initiated action in three cases.

According to rules, larger units can make the items reserved for the small scale sector provided they export 50 per cent of their production.

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