The Hindu Business Line : Bengal tops in unorganised sector manufacturing units

The highest number of unorganised sector manufacturing units in the country is located in West Bengal followed by Uttar Pradesh. Out of a total of 17.1 million units across the country, West Bengal accounts for 2.75 million units (15.08 per cent) and Uttar Pradesh has 2.35 million units (14.51 per cent), according to the findings of the latest report on ‘Operational characteristics of unorganised manufacturing enterprises in India’ for the period July 2005 to June 2006.

In terms of employee numbers, West Bengal has 15 per cent of the unorganised sector workers and Uttar Pradesh has 14 per cent.

A total of about 36.44 million people have been estimated to be working in unorganised manufacturing units, the report said.

In terms of rural and urban spread, 71 per cent of the units are located in rural areas and 29 per cent in urban areas.

In terms of employment, enterprises that do not hire workers on a fairly regular basis account for 86 per cent of the total.

Of the rest, enterprises that run with less than six workers are 10 per cent and that employs six or more account for four per cent.

With the increasing trend of outsourcing by the organised sector, it has been found that 32 per cent of all unorganised sector enterprises undertake contract work.

The report released by the National Sample Survey Organisation further reveals that out of the total, 98 per cent are proprietary enterprises and 90 per cent are not registered.

In terms of direct and indirect Government assistance, 92 per cent do not receive any assistance and 3 per cent do not have any fixed premises of operation.

Out of the total, it has been found that 28 per cent of the units engage in activities other than their main areas of operation in order to supplement their income.