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Abstract

Small scale industries are regarded as the engine of economic growth and the promotion of equitable development throughout the globe. The major advantage of this sector is large employment potential at very low capital cost. Small scale industries are labour intensive in nature and the need of such industries is indispensible for the country like India where the employment growth is very low and the population growth is much higher. The role of small industries in economic and social development of a country is well established. The sector is a nursery of entrepreneurship, often driven by individual creativity and innovation. Therefore, the present paper examines the growth potential of small scale industrial sector and its critical role in terms of providing employment opportunities in Jammu and Kashmir. The small scale industrial sectors contribute 12.55% to the Gross State Domestic Product (GSDP) of the state. The state of Jammu and Kashmir is landlocked and low income state, which is relying wholly on the informal sector. Therefore, it is necessary to analyze the role of small scale industries in terms of providing employment in the landlocked state of India.

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