Future Thrust, Services and Products

An Overview

SMEDA Punjab in Focus

 SMEDA’s Mandate

♦ Apex Policy-making body for SMEs

♦ Provide and facilitate support services to SMEs

♦ Key resource base for SMEs in Pakistan

♦ Voice of SMEs in the Government.

♦ Kick start the economy through aggressive launch

of SMEs support programme.

♦ Generate massive employment opportunities.

 SMEDA

Sectoral Analysis & SME Infrastructure Service Bureau

Programs Development

• Total Value Chain Analysis • SME Policies • Government, Commercial

and Donor Networking
• Up-
Up-gradation Package • Financial Reforms
•Technology • Over the Counter (OTC)
• Strengthening of Training
Products
•Marketing Infrastructure
• E-Commerce Services
•Human Resource Dev.
Dev. • Technology & Quality Dev.
Dev.
•Finance • Project Identification /
• Cluster Development
Functional Advice
•Regulatory Reforms
• Marketing Arrangements
• Library Services
•Marketing Boards &
Cooperatives
•Distribution Channels and
Networks

80% 15% 5%
 SMEDA’s
Evolutionary Shift

Sectoral Programs Infrastructure Service Bureau

Development for
SMEs

15% 45% 40%

 SMEDA Organization Reporting
Structure

SMEDA
SMEDA

Business
Business
Regional
Regional Policy
Policy // Development
Development
Outreach
Outreach Strategy
Strategy Service
Service

• Punjab • Policy Planning • Financial Services

and Strategy
• Sindh • Technical Services
• Donor Coordination
• NWFP • Management Development
and Intl. Linkages
• Balochistan • Business Technology
• Sector Analysis
• Marketing Services
 SMEDA Punjab

Organization & Activities

 Government, Commercial & Donor
Connect

CC&Is & Trade

Intl. Donors Government Associations
♦ JICA (SV Project) ♦ Dept. of Industries ♦ Joint Training Programs
♦ UNIDO (Sector Surveys) ♦ Livestock & Agriculture ♦ Business Development
♦ ADB (SME Dev. Program) ♦ Dept. of Fisheries Centers
♦ E.U (Tropfruit Project) ♦ (PSIC) Punjab Small Industries ♦ Organization of Trade
Corporation
Bodies
♦ (TEVTA) Technical Education
♦ Development of
& Vocational Training Authority

♦ (PVTC) Punjab Vocational Industrial Interface

Training Center

♦ (AMRI) Agriculture Machinery

Research Institute.
 Punjab’s Key Responsibilities

ê Management of Help Desk

ê Linkages and Strategic Alliances with Punjab Govt.

ê Provision of Business Development Services

ê Cluster Development Programme

ê Training Need Analyses and Programme Structure

Development

ê Publications
 SMEDA Punjab
Organization’s Functional Structure

SMEDA
SMEDA
Punjab
Punjab

Agriculture Industrial Front

FrontDesk
Desk&&
Agriculture Industrial
Business
Business
Sector
Sector Sector
Sector Development
Development
Development
Development Development
Development Services
Services
 SMEDA Punjab

Front Desk

♦Over the Counter (OTC) Products

♦Project Identification / Functional Advice

♦Library Services
 SMEDA Punjab

HR Development
♦Identification, Development & Delivery of

Training Programmes

♦Strengthening of Training Infrastructure -

CFC / Institutions
♦Electronic / Print SME Support Systems
 SMEDA Punjab

Economic Sectors of Punjab

♦ Textile
♦ Food & Agriculture
♦ Livestock
♦ Sports Goods
♦ Leather
♦ Light Engineering
♦ Woodwork
♦ Ceramics
 Economic Clusters of Punjab

(Sialkot)
Fan Industry
Leather
Surgical Ins. Woodwork
Pottery
Sports Cutlery (Gujrat)
Goods

(Sargodha)
Ceramics
Kinnow (Gujranwala)
Power Loom Utensils
(Faisalabad) Livestock
(Sahiwal & Sargodha) Knitwear
Floriculture Garments
(Patoki)
(Lahore)
 SMEDA Punjab
Economic Clusters of Punjab
♦Power Loom (Faisalabad) ♦Garments (Lahore)
♦Knitwear (Lahore) ♦Ceramics (Gujranwala)
♦Livestock (Sahiwal) ♦Sports Good (Sialkot)
♦Fan Industry (Gujrat) ♦Pottery (Gujrat)
♦Woodwork (Gujrat) ♦Kinnow (Sargodha)
♦Leather (Sialkot) ♦Floriculture (Patoki)
♦Cutlery (Sialkot) ♦Utensils (Gujranwala)
♦Surgical Ins. (Sialkot)
 SMEDA Punjab
Sector/Cluster Projects & Programs

♦ Identification of SMEs Clusters

♦ Need Assessment and Formulation of

Projects/Strategies

♦ Implementation of Project/Strategies
 SMEDA Punjab
Sector/Cluster
Development Programs at
hand
♦ Power Looms Technology Up-gradation
♦ Ginning Technology Up-gradation
♦ CFC (CAD) for Leather/Textile Garments
♦ Wood Seasoning CFC Centers
♦ Model Fruits Sorting, Grading & Packaging Plant
♦ Technology Up-gradation of Kilns in Ceramic Industry
♦ Breed Improvement Programme
 SMEDA Punjab
Sector Diagnostic
Studies at hand
♦ Wooden Furniture
♦ Electrical Fans
♦ Cutlery & Knives
♦ Sports Goods
♦ Sanitary Fittings
♦ Textile & Leather Accessories Industry
♦ Molasses
♦ Mango
♦ Cut Flowers
 Punjab Deliverables
(Fiscal Year 2001 - 2002
 Up -Gradation of Ginning Industry
Up-Gradation
Importance
♦ Pakistan is the 4th Largest Producer of Cotton in the World
♦ 60% of Total Export Earnings of the Country
♦ Commands 46% share in total manufacturing sector
♦ Employs 38% of all Industrial Labour Force

Issues
♦ 10-13% Lower Price in the International Market due to Poor
Quality of Lint.
♦ Production Efficiency 1/5th of that in USA
♦ Low GOT
♦ Lack of Trained Workforce
♦ Poor Practices
 Up -Gradation of Ginning Industry
Up-Gradation
Objectives
♦ Modification of Cotton Ginning Mills
♦ Development of Saw Gin Blades
♦ Training of Ginning Technicians & Operators

Benefits
♦ Cotton Production on International Standards
♦ Higher GOT
♦ Reduced Power Consumption
♦ Use in High Value Products / Higher Profitability
♦ Competitive Exports
♦ Production of Int. Standard Saw Gin Blades / Technology
Transfer
Up -Gradation of Power Loom Sector
Up-Gradation
Importance
♦ Pakistan Fabric & Made-ups Exports = US$ 2 Billion
♦ Power Loom Sector accounts for 64% of Total Fabric
Production.
♦ Power Loom Production Export Share = US$ 950
Million

Issues
♦
♦ Old
Old Technology
Technology
♦
♦ Technical
Technical Limitations
Limitations
♦
♦ Low
Low Productivity
Productivity
♦
♦ Low
Low Quality
Quality
♦
♦ Difficult
Difficult Access
Access to
to Finance
Finance
Up -Gradation of Power Loom Sector
Up-Gradation

Objectives
♦
♦ Up-gradation
Up-gradation of
of Technology
Technology to
to Auto
Auto Looms
Looms (150,000
(150,000
Looms
Looms ))
♦
♦ Programme
Programme Financing
Financing Scheme
Scheme (16
(16 Billion
Billion Rupees)
Rupees)

Benefits
♦
♦ Reduced
Reduced Production
Production Cost
Cost Increased
Increased Profitability
Profitability
♦
♦ Improved
Improved Quality
Quality &
& Unit
Unit Value
Value
♦
♦ Competitive
Competitive Strength
Strength for
for Exports
Exports
♦
♦ Benefit
Benefit to
to Over
Over 5,000
5,000 SME
SME Units
Units
CFC - CAD for Leather Industry in Sialkot.

Importance
♦
♦ Second
Second Largest
Largest Export
Export Sector
Sector $596
$596 million
million

♦
♦ Sector
Sector Employment
Employment 50,000.
50,000.

♦
♦ 58%
58% &
& 87%
87% of
of Leather
Leather Garments
Garments &
& Gloves
Gloves Production
Production in
in Sialkot.
Sialkot.

♦
♦ Over
Over 380
380 Production
Production units
units in
in Sialkot
Sialkot

Issues
♦
♦ High
High Pattern
Pattern Making
Making Costs
Costs

♦
♦ Lengthy
Lengthy Pattern
Pattern Approval
Approval Cycles
Cycles

♦
♦ Absence
Absence of
of CAD
CAD Workforce
Workforce
CFC - CAD for Leather Industry in Sialkot.

Objectives
♦ Establishment of CAD CFC

♦ Technology Adaptation

♦ Skill Enhancement

Benefits
♦ Flexibility in Pattern Making

♦ Accuracy of Designs - Time Savings

♦ Increased Cost Competitiveness

Development of Furniture Sector
Gujrat/Chiniot.
Gujrat/Chiniot.
Importance
♦ Over 800 SME Units in Gujrat & Chiniot
♦ Over 10,000 Employment
♦ Exports Potential - World Mkt. US$ 24 Billion
♦ Pakistan Export - US$ 5 Million

Issues
♦ Non-seasoned Wood
♦ Poor Technology
♦ Absence of Design & Standardization
♦ Shortage of Working Capital
♦ Skill Development
♦ Weak Marketing
 Development of Furniture Sector
Gujrat/Chiniot.
Gujrat/Chiniot.
Objectives
♦ Establishment of Wood Seasoning Unit
♦ Programme Financing Scheme for the Technology Up-
gradation
♦ Skill Development

Benefits
♦ Improved Quality
♦ Increased International Market Share
Thank You