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Rural Economic Zone (REZ)_Group 7

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    Rural Economic Zone (REZ)RDL 701

    Term Paper

    GROUP-7Aastha Pitalia 2008CE10241

    Abhinav Punia 2008CS10153Lalit Bihani 2008CE102 2

    Rohit Chaudhary 2008CH10697

    Shreyans Singh 2008CE10304

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    VILLAGE ECONOMY

    Villa ge a s a geogr a p h ica l u n it How much wealth is coming in from outside?

    How much wealth is going out from inside?

    Self Re lia n t Villa ge : A Myth or a Re a lity Economic development of a region is dependent on a

    number of infrastructural aspects besides services. A region that includes the maximum number of

    infrastructural items is the Global Villa e namel theentire earth.

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    Factors Unfavorable in Respect of

    Aspect Urban Entrepreneur

    Chooses

    Rural Entrepreneur has to be

    contented with

    Material the best raw material the

    market could offer

    the local raw materials

    Man power the most qualified and capable the local youth with limited

    qualifications

    Machines the best brand the ones that could be maintained /

    operated by locals

    Money the best banks / financial

    institutions

    the local rural banks, co-op banks

    etc.

    Methods from the best technology the technology that could be handled

    by rural manpower

    Market the consumer segment that hasthe greatest purchasing power

    the local milieu with limitedpurchasing power and taste

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    a are e eas y consi erations for

    development of a Ruralconom c one

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    INDUSTRIALIZATION OF RURAL SECTOR: A

    as c nee s or any n us ry:

    Land

    Labor

    Manufacturin Process

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    Funct ional Pat terns / St ructures in

    S.No Activity H.L.A. V.W.C. Nodal Centre./ A.F.C

    Rural Act ivit ies:

    1 Handloom Weaving Bleaching dyingetc.

    Polishing, Printing, Packaging, MarketingTraining,

    2 DairyingMilch Animal

    Rearing

    Milk Collection

    (Quality Testing)

    Chilling Processing, Packing, Marketing,

    Feed mixing.

    Stitchin the Centralized Cuttin b m/c. Label Printin3 Leather work

    machine-cutAssembly

    Packaging, Marketing, Training

    4Embroidered

    Clothes

    Embroidery

    workStitching

    Mechanized cutting, screen Printing.

    Quality checking Packaging, Marketing.

    5Radio

    Receiver mfg.

    Soldering

    work

    Assembly &

    Testing

    Quality control labeling, Packing ,

    Marketing

    6

    Aromatic

    Extracts (e.g.

    Citronella)

    Growing

    CitronellaCrops

    Local Collection Extraction, Refinement, Bottling, Marketing

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    Approaches to Organizing Rural

    Once the relevant directions of raw materials are

    House Level Activities(H.L.A) or activities at hamlet

    level taken up by the Self Help Groups Village Level Works organized in Common Facility

    Centre or Village Work Centre(VWC) at cluster level

    Finishing level or assembly level works carried out atAdvanced Facility Centers (AFC) normally located as ano a cen re o e zone

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    Concept of Value Addit ion and

    Starting point is the basic rural asset namely: the

    wealth or both

    the REZ

    PROCESS OF VALUE ADDITION!

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    PROCESS OF VALUE ADDITION

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    A Broad Definit ion of REZ: A geographic region with

    A radius of 15 (+/- 5) km & about 50,000 people

    House Level Activity (HLA) Village Level Activity (VLA)

    Zonal Level Activity

    Possibility of skill resources

    Self Help Group at hamlet level

    Specialized groups/entrepreneurs at village cluster level vance s s a e zona ea quar ers.

    Possibilities of creating a Nodal Centre in the form of a Micro Industrial Cluster(MIC) with facilities like

    Energy backup unit

    Raw material supply chain/ godowns, advanced facilities like packaging Quality control, training, design and plan support.

    Marketing support, transportation besides environmentally mandatory structures

    A governance structure involving the stake holders and having committees for

    planning, environmental monitoring, ensuring social connectivity.

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    REZ as a Mult i-Commodity st ructure Limitations of single product cluster concept

    When we look at the population of the zone under consideration that is

    not covered under the said trade the question of doing justice to theiremployment comes up.

    There are three ways of addressing this question:

    ,the remaining needs could be fulfilled by those production and serviceactivities for fulfilling basic needs.

    More than one basic directions of employment and together these could

    cover the employment needs. Produce from agriculture or activities arising out of ethnic skills do not

    cover the employment needs then attention must be directed towards

    elements, transportation etc. Zones could also become a supplier of these

    items to its neighborhood also.

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    SPECIAL CASE OF REZ: CASE STUDIES

    Some examples that in our opinion fall under the broad

    Case ofR a le ga o n Sid d h i and H ivr e Ba za a r

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    R a le ga o n Sid d h i

    Realization of the unexploited resource, water

    Adoption of innovative technology for watershedmanagement

    Result was economic development of the village

    H ivr e Ba za a r Used the resources of Adarsh Gaon Yojana (AGY),

    Maharashtra Government

    Water conservation led to increased milk production,

    average income, no. of wells

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    OTOP M od el o f Th a ila n d One Tambon One Product Pro ram

    Initiative and support from the OVOP in Japan Tomban: agglomeration of 10-15 villages, population

    , Multi-tiered structure for supporting groups

    Groups are formed by recognizing common interests roups are o c a y reg stere , or serv ces, support

    AEO (Agricultural Extension Office) plays a centralrole in providing necessary support to the groups

    OTOP products have a rating system based on certainquality standards (production & marketing)

    Ratin s stem romotes com etition & im rovesquality

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    Conclusion

    REZ brings in a holistic and structural view

    Indias pre-eminence in IT and knowledge

    connectivity in India are indicators that it will.

    Problem to tackle Innovation, Quality and productivity An unprepared state of people

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    Lead a life based on need and not greed

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