About Kanhaiya Ganj Jhula Cluster

The name of company is KANHAIYAGANJ JHULA CLUSTER PRIVATE LIMITED. THE COMPANIES ACT 2013, COMPANY LIMITED BY SHARES TABLE A MEMORANDUM OF ASSOCIATION OF KANHAIYAGANJ JHULA CLUSTER PRIVATE LIMITED. The registered office of the company will be situated in the STATE OF BIHAR.

Project Proposal for enabling Micro-sized Enterprises in the "Jhula" fabrication Cluster at Nalanda, Bihar, move up the Value Chain through Value-adding, fabrication, time lag optimising and capacity enhancing Facilities.

A pioneering initiative to sustainably tap the large skill base and sustainably strengthen and evolve the micro-enterprise segment and contribute to development of an industry that could have National Stature Submitted to Department of Industries, Govt. of Bihar For assistance under the Chief Minister's Micro and Small Enterprises Cluster Development Scheme Submitted by Kanhaiyaganj Jhula Cluster Private Limited (Prepared with professional inputs from Grant Thornton). Through the District Industries Centre, Nalanda and Micro Small and Medium Enterprise Development Institute, Patna.

Acknowledging inputs from: Udyog Mitra, Patna; District Industries Centre, Nalanda; Micro Small and Small Enterprise Development Institute, Patna.

The Department of Industries and Commerce, Government of Bihar (GoB) is adopting a cluster development approach for enhancing the productivity and competitiveness of Micro and Small Enterprises (MSEs) and their collectives. This Chief Minister's Micro and Small Enterprises Cluster Development Scheme is led by the Department of Industries and Commerce of the Government of Bihar. In this context, this Detailed Project Report (DPR) seeks grant-in-aid assistance under the programme for a Common Facility Centre (CFC) for "Jhula" fabricating enterprises at Kanhiaganj, Nalanda district.

The Kanhaiyaganj Jhula Cluster Private Limited is the proactive SPV of fabrication stakeholders in the District. With inputs from the DIC and MSME-DI and Udyog Mitra, industry has taken the lead to evolve this SPV. Member firms largely comprise micro-sized enterprises in the Jhula fabrication segment. The firms are essentially existing players in the industry record with financial institutions and most have decades of experience in the industry.

The object to be pursued by the Company on its incorporation are as follows: -

• To carry on in India or elsewhere the industry, Trade or business of manufacturers, fabricators, founders, smelters, engineers, converters, repairers, producers, importers, exporters, dealers, agents and suppliers of iron, steel or its products or by-products of every description, nature of form.

Matters which are necessary for furtherance of the object specified in clause are:-

• To carry on the business of manufacturers and dealers in machinery and plant of every description and kind and in particular machine tools and implements and to manufacture, produce, repair, alter, convert, recondition, prepare for sale, buy, hire, import, export, let out on hire, trade and deal in machine tools and implements, other machinery, plant equipments, articles, apparatus, appliances, component parts, accessories, fittings and things in any stage or degree of manufacture, process or refinement.
• To carry on the business of own, manufacture, buy, sell, hire, let on hire, import, export, utilise, exchange, repair, alter, convert, improve and otherwise in any way deal in all kinds of machineries, plants and equipment.

Such “Jhula” clusters are basically engaged in metal fabrication activity. Fabrication typically involves building metal components and structures by cutting, bending and assembling (including welding). The cutting part of fabrication in many clusters in India is often via sawing, shearing or chiselling manually or powered; torching with handheld torches (such as gas torches, or with CNC plasma cutter or water jet) followed by, drilling and grinding as part of finishing activity. This process basically translates the standard size raw material available in the market to the desired input shape for assembling. The bending is via hammering (manually or powered) or via press brakes (only in a few small units largely fabrication clusters like in Faridabad) and similar tools. The assembling (joining of pieces) generally is through welding.

Some limitations that may be redressed in the longer term context due to capital intensity of the facility. Basically even “larger” micro-sized firms in the cluster have equipment in terms of conventional lathe, shaper, radial, drill, etc. but even such “larger” firms do not have access to raw material primary and processing rolling mill, quality component development or finishing facility.