Performance of Small Scale Industries: An Empirical Evidence from India During Post Economic Reforms Era

Abstract

The present study is an endure to analyze the role of small scale industries in Indian economy. The small scale industries occupy a strategic position of unique importance in the growth oflndian economy. The study covers a period of post economic reforms era from 1991 to 2014. The data has been taken from Economic Survey oflndia 2014-15, Handbook of Statistics on the Indian Economy 2014-15 and Annual Reports of Ministry of Micro, Small and Medium Enterprises. The production function approach has been used to analyze the production function technology and partial factor productivities have also been worked out to examine the trend in the growth of productivity of small scale sector. The analysis of production function technology explains that labour plays a significant role in the increase of output of small scale industries followed by technology.