Maharashtra State  has all along been in the vanguard of industrial development, accounting for nearly 16 percent of the fixed investment about 21 percent of the industrial labour and approximately 25 percent of the value of industrial output with only 9 percent of the total population vis-à-vis all India. The states gross per capita industrial output and industrial consumption of electricity are Rs. 1,301 and 120 kwhs respectively, as against the corresponding all India average of Rs. 499 and 68 kwhs respectively.

The State represent almost entire cross-section of the country’s industrial map in terms of expansion, diversification and degree of technological sophistication. This also holds good for the small-scale industries sector in which Maharashtra has a proud share of 9.6 percent in the number of registered SSI units. 12.5 percent in employment about 10 percent in fixed investment and 13.8 percent in the value of output.

The distinguishing features of the small-scale sector in Maharashtra are its comparatively higher technology orientation and slightly more capital intensiveness with higher output per unit and output per worker ratios than those of its counterparts in the rest of India. During the last 20 years the Government has taken several progressive measures to promote the development of industries. Private entrepreneurship has also played its important role. The nature of these measures and the magnitude of the joint impact are briefly outlined in the following paragraphs.

Until 1962 the Directorate of Industries was the only Government organisation which performed both regulatory and promotional functions, relating to industries. Realising dispersal of industries in underdeveloped areas of the state, the Government created in 1962 and there after several autonomous corporations at the state and Regional levels to give concerted attention to different aspects of industrial development.

The State Level Corporations include

  • The Maharashtra Industrial Development Corporation (MIDC) whose exclusive function is to develop large industrial areas at potential growth centres all over the state with the provision of facilities like water supply, electricity, internal roads, drainage, telephone, canteen, recreation, security etc. and to undertake water supply schemes on its own for these areas, where necessary.

  • The Maharashtra Small-Scale Industries Development Corporation (MSSIDC) for all-round development of small scale industries with an emphasis on raw materials and marketing assistance, including export marketing.

  • The State Industrial Corporation of Maharashtra (SICOM) for inducting large, medium and small-scale industries, in the underdeveloped areas of the state by extending assistance in the form of: 1) Equity participation 2) Supplementary long term finance and 3) Package of graded incentives like interest-free sales tax loan, exemption in octroi duty, water-royalty, sharing of the cost of project reports etc. as an agency of the state government.

  • The MAFCO Limited for development and marketing of products based on poultry, piggery and products, obtained from slaughter houses like eggs, chicken, pork, beef and a variety of other related products as well as fresh, frozen and canned vegetables.

  • The Maharashtra Agro-Industries Development Corporation (MAIDC) fro the development and marketing of agro-industrial products, like mixed fertilizers, cattle feed, processed fruits like orange juice etc. and providing agro-service like distribution and hire of tractors, repairs of tractors and other agricultural machinery, training etc.

  • The Maharashtra State Textile Corporation (MSTC) for rehabilitating the sick private textile mills and establishing new spinning mills in the co-operative sector.

  • The Maharashtra State Power Loom Corporation, for all round development of the power loom industry both in the corporative and private sectors.

  • The Maharashtra State Handloom Corporation (MSHC), for all round development of the handloom industry in both the corporative and private sectors.

  • The Maharashtra Industrial Commercial Oilseeds Corporation for promotion, manufacture and marketing of products based on vegetables oilseeds like cotton linters, cottonseed oil, expeller and solvent, extracted cakes etc.

  • The Fisheries Development Corporation (FDC) for the development of marine products as well as related ancillary and auxillary industries, like fishing trawlers, fish nets, fish processing units etc.

  • The Maharashtra Mining Corporation (MMC) to develop mineral resources of the state and to promote mineral based industries.

  • The Maharashtra Electronic Corporation (MELTRON) recently set up for intensive development of the electronic industries of the State Government.

  • A proposal to establish an Export Corporation of Maharashtra to boost the exports of agricultural and small industries of the State Government.


In addition of these State-level corporations, four regional development corporations (RDC) have been set up for the four regions of the state namely

  • The Western Maharashtra Development Corporation (WMDC) for Western Maharashtra.
  • The Marathwada Development Corporation (MDC) for Marathwada.
  • The Development Corporation of Vidarbha (DCV) for Vidarbha.
  • The Development Corporation of Konkan (DCK) for Kokan.


The common primary objectives of these corporations are to undertake activities based on the natural and human resources and demands in their respective regions so as to generate employment from the root level in the rural areas, besides promoting and establishing industrial projects on their own or in the joint sector. The Marathwada Development Corporation has set up two more subsidiary corporations, namely the Textile Corporation of Marathwada (TEXCOM) and the Leather Industry Corporation of Marathwada (LICOM) for promoting textile and tanning and leather industries, respectively in Marathwada.