Ministry of Economic Affairs Department of Cottage and Small Industry Country Presentation for CSI Promotion in Bhutan 21-22 November 2019 Phnom Penh, Cambodia
Ministry of Economic Affairs Department of Cottage and Small Industry Presentation Outline • Country’s Physical Feature & Location • Key Facts of Bhutan • GDP Growth Rate over the Years • Background of Cottage and Small Industry, MoEA • Some Key Challenges faced by CSIs in Bhutan • Development of Startup and CSI as a Flagship Program • How is it different from the normal Plan • Entrepreneurship ecosystem (6 domains)
Ministry of Economic Affairs Department of Cottage and Small Industry Country’s Physical Feature & Location • Landlocked Country • Highly Mountainous • Between China and India • In the Eastern Himalayas • Bhutan Standard Time is 6 Hrs ahead of Green wich Mean Time (GMT)
Ministry of Economic Affairs Department of Cottage and Small Industry Map & National Flag of Bhutan
Ministry of Economic Affairs Department of Cottage and Small Industry National Dress • National Dress is Gho for Men and Kira for Women. All Bhutanese are required to wear the National Dress in Government Offices, Schools and on formal Occasions.
Ministry of Economic Affairs Department of Cottage and Small Industry Currency of Bhutan Where 73 Ngultrum = 1 US $ (approx)
Ministry of Economic Affairs Department of Cottage and Small Industry National Bird National Sports
Ministry of Economic Affairs Department of Cottage and Small Industry National Flower: National Tree: National Animal:
Ministry of Economic Affairs Department of Cottage and Small Industry Key Facts about Bhutan 1. Land Area (Sq. km) : 38,394 2. Forest Cover (percent) : 70.5% 3. Projected Population (in nos.), 2017 : 727,145 4. Average Household Size, (PHCB, 2017) : 3.9 5. Labour Force Participation Rate, (LFS 2016) : 62.2 6. Unemployment Rate, (LFS 2016) 2.1 % 7. Electricity Generation (MU), 2017 : 7,729.77 8. Electricity Exports (MU), 2017 : 5,700.99
Ministry of Economic Affairs Department of Cottage and Small Industry 8. Tourist Arrivals (dollar paying tourist), 2017 : 62,272 9. Revenue Earned from Tourism (million US $), 2017 : 79.81 10. Balance of Trade (million Nu.), 2017 : (29,699.0) 11. Annual Average Inflation Rate (percent), 2017 : 4.96 12. General Literacy Rate (2017): 71.4% 13. Youth Literacy Rate : (2017) : 93.1% 14. GDP at Current Price (million Nu.), 2016/17 : 164,627.92 15. GDP per Capita (2017) : US$ 3438.16 16. Population Poverty Rate (2017) : 8.2% (56000 people)
Ministry of Economic Affairs Department of Cottage and Small Industry GDP Growth rate over the years
Background Department of Cottage and Small Industry created in 2010 to spearhead the development of the CSIs. % share of CSIs by Sector The Cottage, Small and Medium Industry Policy (CSMI) was adopted in 2012. Contract 9% P&M 12% >95% of the total industries Employment Services CSIs 22,064 generated 79% 99,288 Ministry of Economic Affairs Department of Cottage and Small Industry
2. Some key challenges faced by CSIs in Bhutan Minimal value No standards, No dedicated addition of CSI certification and outlets products brand Inadequate Poor skilled labour entrepreneurship force culture Ministry of Economic Affairs Department of Cottage and Small Industry
Development of Startup and CSI as a flagship program 12 th FYP is the last plan before LDC graduation: CSI sector is key for building an inclusive, resilient and diversified economy Catalyst for economic growth Employment Value Narrowing the Socio economic generation addition Gap benefit of CSIs CSI Reduces Economic self Poverty and reliance Inequality (women Curbs rural empowerment) urban migration Ministry of Economic Affairs Department of Cottage and Small Industry
How is it different from the normal plan? Collaborative and whole of Covers all business phases and A definitive platform to link government approach entrepreneurship ecosystem startups and CSI development Ministry of Economic Affairs Department of Cottage and Small Industry
Entrepreneur ecosystem (6 domains) Ministry of Economic Affairs Department of Cottage and Small Industry
Objective The overall objective of the policy is to promote establishment of new CSIs and improve the performance and competitiveness of existing CSIs to enhance their participation and contribution to the Bhutanese economy. Ministry of Economic Affairs Department of Cottage and Small Industry
1. Policy and Legislative Framework • Baseline Study for contribution of CSI for GDP. • Identify and institute support measures for informal sector. • Create a platform for public private dialogue for CSIs. Ministry of Economic Affairs Department of Cottage and Small Industry
2. Entrepreneurship Culture and Human Capital Development • Entrepreneurship competition and fairs at all educational levels. • Support the winning ideas of various entrepreneurship competitions. • Conduct skills needs assessment of the CSIs for TVET curriculum revision and development. • Promote industry collaboration and linkages between TVET institutions and CSI in implementation of TVET programmes. Ministry of Economic Affairs Department of Cottage and Small Industry
3. Business Development Support and Infrastructure Set up Business Incubation Centers, Startup Centers, Fablabs to facilitate the growth of • CSIs. Facilitate establishment of market infrastructure such as warehouses, cold storage • facilities, naturally ventilated store, pack house, etc. for CSI products. Design and implement schemes for technological up-gradation of the CSIs • Invest in areas that will support and facilitate the growth of CSIs with a provision for • gradual transfer of ownership to the private/communities. Identify and institute support measures for informal sector development • Ministry of Economic Affairs Department of Cottage and Small Industry
4. Innovation and Technology Adoption Foster greater Intellectual Property adoption among CSIs • Technology database • Allow FDI in select small industry sector • 5. Access to Market Promote and market brand Bhutan • Facilitate the participation of CSIs in targeted B2B events, fairs, road shows, and • exhibitions. Establish dedicated outlets for CSI products within and outside Bhutan • Leverage mission, consulates, embassies in promoting and marketing of CSIs products. • Facilitate use of e-commerce platforms including e-payment systems by CSIs for greater market access. Ministry of Economic Affairs Department of Cottage and Small Industry
6. Enhancing Access to Finance and Incentives Strengthen the PSL scheme and apply the coordination mechanism to other credit • sources for lending to CSIs. Incentivize CSI bank and FIs to lend at affordable rates to CSI. • Expand the coverage of MFIs in rural areas • Ministry of Economic Affairs Department of Cottage and Small Industry
Kadrinchey La Ministry of Economic Affairs Department of Cottage and Small Industry
Recommend
More recommend
