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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