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Since 2006, UNIDO ITPO Italy has been contributing to,
and supporting the implementation of an important
project for micro, small, and medium enterprise
development in India. This is in recognition of the need
to reduce poverty through growth, and of the importance
of SMEs in this endeavour, by creating sustainable
employment and income security. The project is based on
an innovative approach integrating technical assistance
in the field of credit with necessary capacity-building
and development activities such as cluster twinning, as
well as investment and technology promotion.
The project is funded by the General Directorate for
Cooperation & Development (DGCS), Ministry of External
Affairs (MAE), Government of Italy. The Development
Commissioner – Ministry of Micro, Small and Medium
Enterprises, Government of India, is the Indian
counterpart. The project targets some clusters in the
Leather & Leather Goods (Chennai, Agra and Shantiniketan)
and Automotive Components (Chennai) industries.
Project activities focus on three principal components,
namely:
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Cluster twinning: Cluster twinning activities focus
on brining Indian and foreign clusters together,
through cooperation agreements and the exchange of
best practice;
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Investment and Technology Promotion: Foreign direct
investment and technology transfer as means of
improving international competitiveness;
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Introduction of Mutual Credit Guarantee Schemes
based on a system which is proven in Italy.
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From the beginning, ITPO Italy has worked to
identify any potentially interested Italian
counterparts to participate in this project and to
cooperate with the Indian SMEs and Institutions. The
major contributions of ITPO Italy during 2008 were
the following:
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Participation in the Mutual Credit Guarantee Schemes
(MCGS) Study Tour in India with the aim of
introducing the modalities of the MCGS to Indian
policy makers, MSME associations, and bankers, like
Unionfidi Piemone and Banca Intesa San Paolo, who
joined the Italian delegation and shared the Italian
experience of the Confidi. The mission was important
also to meet Indian institutions and BPIs in order
to have a better understanding of investments
opportunities available in India.
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Host and coordinate the visit of 2 Indian Delegates,
one specialized in the auto component sector and the
second in leather and footwear in order to promote a
portfolio of individual Investment opportunities in
India, in these industries.
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Collaborate in the organization of the workshop on
Business opportunities in India for private equity
and venture capital funds organized jointly with
AIFI, the Italian Association of Private Equity and
Venture Capital and IVCA (Indian Venture Capital
Association) in order to gauge any measurable
interest of Private Equity Funds in Italy to
participate and contribute to the UNIDO project.
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Establish the conditions to facilitate a cooperation
agreement between Indian Finished Leather
Manufacturers and Exporters Association (IFLMEA) and
Associazione Conciatori, Santa Croce sull’ Arno in
Italy, to set the stage for future initiatives and
options for both associations and countries to work
together for the development of the tanning industry
and the exchange of best practice.
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Reinforce the cooperation agreement signed in 2007
between the Indian Shoe Federation and Unioncamere
Marche for the leather and footwear industry and
coordinate the second phase of the training on best
practice in footwear manufacturing that benefited 14
footwear companies and 4 Indian institutions that
participated in 10 days of training in the Marche
Region, on-site at factory level.
Other initiatives were also developed focused on India
in coordination with the UNIDO South Asia
Representative’s Office, such as the organization and
coordination of one study tour for three Indian
policy-makers to get acquainted with Italian industrial
districts. The study tour took the Indian participants
to three of the main Italian industrial districts:
Biella (textiles), Florence and Montevarchi (footwear
and clothing design and production), Santa Croce
sull'Arno (leather tanning), and Prato (textiles). The
mission allowed the Indian representatives of the
Ministries of Commerce & Industry, of Minority Affairs,
and of Micro Small & Medium Enterprises to get to know
Italian industrial districts. They also shared views and
insights on SME development models and experiences based
on the district approach, established direct contacts
with many prominent Italian institutions and companies
operating in textiles, fashion, and leather, as well as
with Italian industrial associations such as the Chamber
of Commerce of Biella, Città Studi of Biella,
Assoconciatori, and Unindustria Prato.
During the second semester, a similar visit was
organized for the Secretary for Micro, Small and Medium
Enterprises of the Government of India, Mr. Dinesh Rai,
for him to obtain a better understanding of Italian
industrial districts, in particular, the Italian
Footwear cluster of Vigevano. He was also able to
observe and discuss the means used by local institutions
to assist and support SMEs in Italy and to observe how
these institutions implement programs abroad to meet the
demand for internationalization of Micro & SMEs in
emerging countries, such as India, to develop product
competitiveness and entrepreneurial skills, and to help
set and reach higher quality standards. |