Performance details of NEITCO in conducting Entrepreneurship Development Programmes sponsored by North Eastern Council

The North Eastern Council (NEC), in its efforts to expedite industrialization of the region since its inception in 1972 identified the problem of paucity of entrepreneurial talents in the region as the major handicap towards industrial growth of the north-east. The efforts to attract entrepreneurs from outside the region to exploit the considerable potentialities of the region also have not evoked the desired response. In such a situation, it was considered that the situation would not improve in foreseeable future and accordingly the services of NEITCO was commissioned jointly by NEC & the IDBI in the year 1979 to undertake entrepreneurship Development Programines and since then till March 1985, 670 candidates entrepreneurs of the north eastern region were accorded motivational and basic management training by NEITCO. Of these, 273 projects had been implemented up to March 1985, resulting in a success rate of over 40%.

Subsequentiy, during the 7th Plan (1985-90) NEITCO, under the sponsorship of NEC, conducted 91 EDPs in different states and imparted motivational and basic management training to 2181 candidates, entrepreneurs and grounded 712 units, resulting in an average success rate of 33%which was considered above the national average.

TABLE - I
State-wise details of EDPs conducted by NEITCO during 7th Plan
(1985-90)

NAME OF THE STATES
AssamArunachal PradeshManipurMeghalayaMizoramNagalandTripuraTotal in 7 states
1. EDPs conducted different types, Nos.491091117491
2. Trainees selected (Nos) Trainers1206238231249352021002261
3. Completed training Nos115423222124429202992181
4. Unit started (Nos)3695715240195322712
5. Success Rate (%)32%25%69%16%66%26%22%33%

The category-wise details of the EDPs conducted during the 7th Plan such as General EDPs, S&T EDPs and Women EDPs and their respective success rates are shown at Table-II.

CATEGORYEDPS ConductedTrainees Completed TrainingUnit StartedSuccess Rate
GENERAL EDPS79189458431%
S&T EDPs61272041%
WOMEN EDPS61607648%
TOTAL91218171233%

The details of investment and employment generated per units during 7th Plan are also shown at Table - III.

CATEGORYEDPS (Nos)Trainees TrainingUnits Set upAverage Investment (RsEmployment Generated
Nos TotalInvestment Per Job generated (Rs)
GENERAL EDPS79189458480,000165328200
S&T EDPS6127523,16,00021676000
WOMEN EDPs61607669,00031716500
TOTAL91218171296,000218631300

EDPs conducted by NEITCO during 1990-2007 are as under

During the period from 1990 to March 2007, NEITCO, under the sponsorship of NEC, conducted 209 Entrepreneurship Development Programmes of different categories and trained 4923 candidate entrepreneurs of these 1414 projects so far implemented, resulting in a success rate of 29%. 

The details of the EDPs conducted (Category-wise), number of trainees trained, and the number of units set up during 1990-2007 are shown in Table IV

CATEGORYNO.OF EDPS CONDUCTEDTRAINEES COMPLETED TRAININGUNITS SETUPSUCCESS RATE
GENERAL EDPS73182749026%
WOMEN EDPS3278320525%
RURAL EDPS3688229131%
S&T EDPS3979522829%
PRODUCT SPECIFIC EDPS122738531%
TURNKEY EDPS1736311532%
TOTAL2094923141429%

The reasons for the perceptible decrease in success rate from 33% during 7th Plan to 29% during 1990-2007 are attributable mainly to prevalence of an inconducive investment environment, spiraling rise in the size of NPAs of the Banks and their consequent reluctance to extend financial assistance to non-farm sector other than those covered under priority sector, lending and absence of any system of sustained follow-up support services.

TABLE - V
STATUS OF YEAR-WISE EDPS CONDUCTEDBY NEITCO
DURING 1990 ΤΟ 2007

SL.NO.NO.OF EDPS CONDUCTEDTOTAL NO.OF TRAINEESNO.OF UNIT STARTEDSUCCESS RATE (%)
1.2046311625%
2.184209623%
3.61443726%
4.102505321%
5.2047414230%
6.1742511327%
7.2048813528%
8.1434812436%
9.1842313131%
10.1534610430%
11.1530912540%
12.1740310125%
13.4892528%
14.112477330%
15.4943936%
2094923141429%