Brief Industrial Profile of Keonjhar District

Carried out by
MSME-Development Institute
(Ministry of MSME, Govt. of India,)
As per the Guidelines issued by O/o DC(MSME),New Delhi
Phone:0671-2548049, 25408077
Fax: 0671-2548006
E. Mail: dcdi-cuttack@dcmsme.gov.in
Website: www.msmedicuttack.gov.in
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Contents
S. No. Topic Page No.
1. General Characteristics of the District 3
1.1 Location & Geographical Area 3
1.2 Topography 3
1.3 Availability of Minerals. 4
1.4 Forest 4
1.5 Administrative set up 5
2. District at a glance 5
2.1 Existing Status of Industrial Area in the District of Keonjhar 7
3. Industrial Scenario Of Keonjhar 7
3.1 Industry at a Glance 8
3.2 Year Wise Trend Of Units Registered 8
3.3 Details Of Existing Micro & Small Enterprises & Artisan 9
Units In The District
3.4 Large Scale Industries / Public Sector undertakings 10
3.5 Major Exportable Item 10
3.6 Growth Trend 10
3.7 Vendorisation / Ancillarisation of the Industry 10
3.8 Medium Scale Enterprises -
3.8.1 List of the units in Keonjhar & near by Area 12
3.8.2 Major Exportable Item 12
3.9 Service Enterprises 12
3.9.2 Potentials areas for service industry 12
3.10 Potential for new MSMEs 12
4. Existing Clusters of Micro & Small Enterprise -
4.1 Detail Of Major Clusters 13
4.1.1 Manufacturing Sector 13
4.1.2 Service Sector -
5. General issues raised by industry association during the 14
course of meeting
6 Steps to set up MSMEs 15
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Brief Industrial Profile of Keonjhar District

1. General Characteristics of the District: Keonjhar is an interesting district
from geographical, natural and anthropological points of view. Geographically,
the district is endowed with vast and rich mineral deposits of Iron ores,
Manganese and some amount of Chromites. It has another remarkable
distinction of having one of the oldest rocks of the world at Asanpat which is
assumed a break way part of Antartica and near about 38,000 million years old.
About one third of the total geographical area of the district is covered by green
forests and about 52% of the cultivated area is uplands. Anthropologically, it is
noted for its very rich and varied tribal cultures. It’s two most primitive and
principal tribes are the Juangas and Bhuyans and they are still seen to stick to
their tradition of showing warm hospitality to their guests by washing their feet.
More traditionally, they also insist upon the wrong method of shifting cultivation
which is the most un-scientific and harmful to their very existence.
There runs an interesting and historically popular legend justifying the then
name of this district as Kendujhar. Etymologically, the terms Keonjhar refers to
the new capital town "KENDHUJHAR" of the King of Jyoti Bhanja, who built his
fort near a perenial spring (Jhar) after his accidental physical feature and it is
believed that thereafter the whole princely state must have been named and
popularised as Kendujhar in honour of the name of the new capital town. This is
one of the various speculative attempts of noted historical scholars at the
exposition of the origin of the name Kendhujhar. Sequence to the integration of
feudatory state with Orissa on 1st January, 1948, the erstwhile princely state of
Keonjhar emerged as one of its thirteen districts with headquarters at
Keonjhargarh.
1.1 Location & Geographical Area. Geographically, Keonjhar district is
located in the northern region of Orissa. It is a small and land locked district with
an area of 8303 sq. kilometers. The district is surrounded by Singhbhum district
of Jharkhand in the north, Jajpur in the South, Dhenkanal and Sundargarh in
west, Mayurbhanj and Bhadrak in the East. It lies between 21o11' N and 20o10' N
Latitudes and between 85o11' E and 86o22' Longitudes.

1.2 Topography: The district consists of a compact area and its extreme
length from north to south is nearly 145 km. The average breadth from East to
West is about 65 km. It is divided into two widely dissimilar tracts-the lower
Kendujhar and the upper Kendujhar. The former is a region of valleys and low
lands, while the latter includes mountainous highlands with a general slope from
North to South. The highlands consisting of clusters of rugged crags afford a safe
retreat to its inhabitants in troubled times. The mountaintops appear from the low
lands to be sharply ridged or peaked, but in reality they have extensive
tablelands on their summits, fit both for pasture and for tillage. The average
elevation in its central part is about 500m. At places, isolated hills rise abruptly
from the plains. But most of the areas have a general elevation of over 600m.
which forms the watershed of some rivers. The Baitarani River takes its rise in
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the hilly North Western division. In between these two natural divisions passes
the State Highway from Chainbasa to Jajpur Road through the headquarters,
Kendujhargarh.

1.3 Availability of Minerals: The district is favoured with vast deposit of

mineral wealth such as Iron Ore, Manganese and Chromite. The Singhbhum-
Keonjhar – Bonei belt passes through the district and continue 48 kms.
Altogether out of which 14.5 kms. of this belt falls in the district. The resources of
Iron Ores are more than 2500 million tonnes. The main places of Iron Ore
deposits are Thakurani, Joda, Banspani, Sasangada and Gandhamardan Hills.
Manganese Ores are found more than 20 million tonnes at Koida, Barbil,
Bhadrasahi, Joda, Kalimati etc. The grade of Ores varies from 32% to 80%
chromite is also available at Nuasahi and Boula in the district having a quantity of
more than 6 million tonnes. Besides, the above minerals, pyrophilite and
Dolomites are also available in this district. Pyrophilite deposits are found in
Keonjhar sadar, Harichandanpur and Banspal Blocks having quantity more than
8 million tonnes. Dolomite deposits are found in Joda Block.

PRODUCTION OF MINERAL 2010-11

S. No. Name of Mineral Production in 000’ tones
2010-2011
1. Iron Ore 51815
2. Manganese 372
3. Quartzite 4.5
4. Chromite 134
5. Pyrophilite 5
6. Serpentinite 1
SOURCE- DEPT. OF MINES & GEOLOGY

1.4 FOREST: The district is noted for its forest resources. Many of the
products lend themselves for industrial utilisation. Out of 8,303 sq. kms. of
Geographical area of the district, the forest area covers nearly 3097.18 sq.kms.
i.e. 37.30% of the total geographical area. The classifications of different kind of
forest are as follows:-
1. Reserve Forest 1834.09
2. Demarcated protected forest 273.64
3. Un-demarcated protected forest 220.79
4. Unclassified Forests 0.26
5. Village Forests 30.79
6. Forest area under Revenue Record 768.40
7. Total Government forest 3097.18
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A wide range of forest products are plentily available in the district like
Tamarind, Myrobolans, Lac, Genduli and other gums, Nux Vomica, Mushroom,
rowfia Ser pentine, Simul Cotton, Eksire fruits, Marketing nut, Khajuripal Patia,
Siali Leaves, Forest Bela, Broom stick, Tassar Cocoons, Bana Tulasi, Chakunda,
Banakulathi, Babul seeds, Mahua seeds, Karanja seeds, Sikakai seeds, Palas
seeds, Kamal – gundi, Bena-chera, Baidanka, Siali Fibres, Sal seeds, etc.

1.5 Administrative set up.

The district of Keonjhar has been divided into 3 sub-divisions, i.e.,

Keonjhar, Anandpur and Champua, 8 Tahasils, 13 C.D.Blocks, 50 R.I. circles, 23
police stations and 286 Gram Panchayats. Again the district is having 7 towns, 3
Municipalities, one NAC, 7 Fire Stations and 6 Assembly constituencies. The
district is also having 2,122 villages out of which 2,069 are inhabited and 53
villages are un-inhabited

2. District at a glance

S.No Particular Year Unit Statistics

1 Geographical features
(A) Geographical Data
i) Latitude 21o11' N and
20o10' N
Latitudes .
ii) Longitude between 85o11' E
and 86o22'
Longitudes
iii) Geographical Area Hectares 8,30,000
(B) Administrative Units
i) Sub divisions 3
ii) Tehsils 13
iii) Sub-Tehsil -
iv) Patwar Circle -
v) Panchayat Simitis 13
vi)Nagar nigam 3
vii) Nagar Palika 1
viii) Gram Panchayats 286
xi) Revenue villages 2122
x) Assembly Area 6
2. Population
(A) Sex-wise
i) Male 2011 9,07,000
ii) Female 2011 8,96,000
(B) Rural Population 2011 15,50,000
3. Agriculture
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A. Land utilization
i) Total Area 2010-11 Hectare 8,30,000
ii) Forest cover 2010-11 “ 3,10,000
iii) Non Agriculture Land 2010-11 “ 77,000
v) cultivable Barren land 2010-11 “ 93,000
4. Forest
(i) Forest 2010-11 Ha. 3,10,000
5. Livestock & Poultry
A. Cattle
i) Cows 2003 Nos. 3,16,736
ii) Buffaloes 2003 Nos. 35,269
B. Other livestock
i) Goats 2003 Nos. 437132
ii) Pigs 2003 Nos. 26310
iii) Dogs & Bitches 2007 Nos. -
iv) Railways
i) Length of rail line 2010-11 Kms 58
V) Roads
(a) National Highway 2010-11 Kms 287
(b) State Highway 2010-11 Kms 79
(c) Main District Highway 2010-11 Kms 78
(d) Other district Roads 2010-11 Kms 359
(e) Rural road/ Agriculture 2010-11 Kms 1210
Marketing Board Roads
(f) Kacha Road 2010-11 Kms -
(VI) Communication
(a) Telephone connection 2010-11 27600
(b) Post offices 2010-11 Nos. 447
(c) Telephone center 2010-11 Nos. -
(d )Density of Telephone 2010-11 Nos./1000 -
person
(e) Density of Telephone 2010-11 No. per KM. -
(f) PCO Local 2010-11 No. -
(g) PCO STD 2010-11 No. 152
(h) Mobile 2010-11 No. 277578
(VII) Public Health
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(a) Allopathic Hospital 2010-11 No. 1

(b) Beds in Allopathic No. 533
hospitals
(c) Ayurvedic Hospital No. 48
(d) Beds in Ayurvedic No. -
hospitals -
(e) Unani hospitals No.
(f) Community health No. 17
centers
(g) Primary health centers No. 61
(h) Dispensaries No.
(i) Sub Health Centers No. -
(j) Private hospitals No. 3
(VIII) Banking commercial
(a) Commercial Bank Nos. 138
(b) rural Bank Products Nos. -
(c) Co-Operative bank Nos. -
products
(d) PLDB Branches Nos.
(IX) Education
(a) Primary school Nos. 2186
(b) Middle schools Nos. 1025
(c) Secondary & senior Nos. 519
secondary schools
(d) Colleges Nos. 27
(e) Technical University Nos. -

2.1 Existing Status of Industrial Areas in the District of Keonjhar

Srl. Name of Area Total Land Prevailing Total Sheds Vacant Units in
no Land allotted Land Sheds Allotted Sheds Production
area rate/acre in
Rs. in lakhs
1 Keonjhar 10.000 3.609 20.00 5 4 1 -
2 Barbil 4.172 2.928 20.00 15 15 - -
3 Matakambeda 178.450 161.354 20.00 - - - -
Source: IDCO
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Industrial Scenario of Keonjhar

3.1 Industry at a Glance(2010-11)
Sr Head Unit Particulars
No
1. REGISTERED INDUSTRIAL NO. 1778
UNIT
2. TOTAL INDUSTRIAL UNIT NO. 4584
3. REGISTERED MEDIUM & NO. 29
LARGE UNIT
4. ESTIMATED AVG. NO. OF NO. 24538
DAILY WORKER EMPLOYED IN
SMALL SCALE INDUSTRIES
5. EMPLOYMENT IN LARGE AND NO. 7793
MEDIUM INDUSTRIES
6. NO. OF INDUSTRIAL AREA NO. 3
7. INVESTMENT OF SMALL IN LACS 27387.89
SCALE IND.
8. INVESTMENT OF MEDIUM & IN LACS 839958
LARGE SCALE INDUSTRIES

3.2 Year wise trend of units registered in Keonjhar District (2010-11)

Year Number of Investment Employment
Registered units (Rs. in lakhs)
Up to 1984-85 560 178.48 2964
During 1985-86 28 22.88 355
-do- 1986-87 33 44.89 362
-do- 1987-88 36 16.41 259
-do- 1988-89 17 54.66 186
-do- 1989-90 10 37.15 105
-do- 1990-91 7 184.84 101
-do- 1991-92 9 33.27 152
-do- 1992-93 8 50.13 101
-do- 1993-94 19 28.78 158
-do- 1994-95 23 34.77 339
-do- 1995-96 35 129.97 311
-do- 1996-97 48 101.4 308
-do- 1997-98 56 111.85 459
-do- 1998-99 51 167.34 358
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-do- 1999-2000 40 88.64 376

-do- 2000-01 63 323.99 455
-do- 2001-2002 71 471.87 488
-do- 2002-03 71 682.35 376
-do- 2003-04 72 1097.24 394
-do- 2004-05 72 270.51 419
-do- 2005-06 85 747.69 580
-do- 2006-07 63 114.26 233
-do- 2007-08 90 1060.43 1036
-do- 2008-09 73 432.94 516
-do- 2009-10 60 302.56 492
-do- 2010-11 78 831.22 783
Total 1778 7620.52 12666
Source: DI, Odisha

3.3 Details of existing Micro & Small Enterprises and artisan units in the
district (2010-11)
NIC Code Type of Industry Number Investment Employment
No. of units (Lakh Rs.)
20 &22 Agro based and Soda water 1106 1974.28 4162
23,24,25 Textile based 444 255.07 1831
&26
27. Wood/wooden based 214 111.15 1060
furniture/Forest based
28. Paper & Paper products 79 117.05 367
29. Leather based 23 13.61 104
31. Chemical/Chemical based 77 364.49 524
30. Rubber, Plastic & petro based 69 811.35 389
32. Mineral based(G &C) 591 4308.69 6235
33 &35. Engineering &Metal based (Steel 419 16020.91 4607
Fab.)
36. Electrical machinery and transport 12 6.78 79
equipment & Electronics
97. Repairing & servicing 1347 2992.1 4310
01. Others 203 412.41 870
Total 4584 27387.89 24538
Source: DIC, Keonjhar
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3.4 Large Scale Industries / Public Sector undertakings

1 PATTANAIK MINERALS(ORIEN ISPAT (P) LTD). ,RAMACHANDRAPUR
2 SUMRIT METALICS (P) LTD. ,SOYABALI ,BARBIL
3 DEEPAK STEEL AND POWER PVT. LTD. ,TOPADIHI ,BARBIL
4 BANSAPANI IRON LTD. ,JARIBAHAL ,JAJANGA
5 GREWAL ASSOCIATES (P) LTD. ,MATKAMBEDA ,BARBIL
6 TATA SPONGE IRON LTD. ,BILEPADA ,JODA
7 KALINGA IRON WORKS LTD. ,MATKAMBEDA
8 TATA IRON & STEEL COMPANY(FERRO ALLOYS) ,BAMNIPAL
9 ADITYA SPONGE AND POWER (P) LTD. ,DUBULAPAL ,TELKOI
10 ORISSA SPONGE IRON LTD. ,PALASPANGA ,
11 OMDC LTD. (SPONGA IRON PLANT) ,THAKURANI
12 N.K.BHUJANI (P) LTD. ,RUGUDI, BARBIL ,JODA
13 SREE METALICS LTD. ,LOIDAPADA ,BARBIL
RUNGTA MINES LTD.(SPONGE IRON DIVISION)
14
,KORAKOTA,BARBIL,KEONJHAR.
15 B.K.STEEL AND POWER (P) LTD. ,ULLIBURU ,NALDA,KEONJHAR
16 HIMA ISPAT LTD. ,LOIDAPADA
17 CRAKERS INDIA ALLOYS LTD. ,GOBARDHANPUR
18 SHRI GANESH SPONGE (P) LTD. ,KUTUGAON
19 EAST INDIA MINERALS (P) LTD. ,BARBIL
20 KAY PEE ENTERPRISES (P) LTD. ,BARBIL
SHREE JAGANNATH METALICS ,KHAPARAKHAI,PALASPANGA,
21
KEONJHAR
22 FERRO MANGANESE PLANT (TISCO) ,JODA
PATTANAIK STEEL AND ALLOYS PVT.LTD.
23
,PURUNAPANI,JODA,KEONJHAR
24 DEEPAK STEEL & POWER ,ULIBURU,BARBIL
25 JINDAL STEEL & POWER LTD. ,DEOJHAR,BARBIL
26 ARYA IRON & STEEL LTD. ,MATKAMBEDA,KEONJHAR
27 KALINGA METALIKS & POWER LTD. ,GOPALPUR, KEONJHAR
Directorate of Industries, Odisha

3.5 Major Exportable Item: Steel, Iron products

3.6 Growth Trend: As the district is full of mineral resources, there is ample
scope for more number of large enterprises.

3.7 Vendorisation / Ancillarisation of the Industry: There has not been

much growth of ancillary industries in the district.However the following
industries can be promoted in the district.

♠ Paints
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♠ General machine parts

♠ Lime Stone powder
♠ Nitric/Hydrochloric and sulphuric acid
♠ Lime
♠ Laminated Hessian bags
♠ Electric bulbs and tubes etc.
♠ Insulated Tapes
♠ Stationery items
♠ Copper Tapes
♠ Armouring wires and stripes
♠ Leather and Hand gloves
♠ Mulbery and silk production items
♠ Cold Storage
♠ Fly ash bricks etc.
♠ CFL Lamps/LED lamps
♠ Machine made Dog-nails
♠ Short firing cable
♠ Disel filter elements for all types of diesel engine used in coal mines
♠ GI Wires of various sizes
♠ Wire ropes
♠ Cane/Bamboo Baskets
♠ Mining Safety canvas shoes
♠ Mining Helmets & Belts
♠ MS Pipes, Flanges and sockets
♠ GI Pipe fittings
♠ Phenyl
♠ Cement capsulers
♠ Practive cloth
♠ Trailing cooper cable of different specification
♠ Repairing and renovation of all types of Auto vehicles
♠ Copper power cable of different specification
♠ Hand glovels
♠ Endless Haulege
♠ Fire Fighting equipment
♠ Tarpauline
♠ Mining safe gum boots
♠ Leaf spring for vehicles/automobiles
♠ Brackling of different sizes
♠ Welding cables
♠ Wiring cables
♠ SDL spares and parts
♠ Coal drill spares
♠ Water bottle used in coal mines
♠ Sarari clamps
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3.8. Medium Scale Enterprises:

3.8.1 List of the units in Keonjhar & Near By Area

1. M/s. MSP Sponge Iron Pvt. Ltd., Haladiaguna, Gobardhan, Keonjhar

2. M/s. Kusum Powermate Pvt. Ltd., Khutugaon, Malda, Keonjhar

3.8.2 Major Exportable Item: Sponge iron

3.9 Service Enterprises

3.9.2 Potentials areas for service industry:

♠ Dry Cleaning
♠ Automobiles servicing/repairing
♠ Nursing home/X-Ray Clinic
♠ Audio/Video repairing and servicing centre
♠ Type writing Institute
♠ Tyre resoling
♠ Tent House
♠ Beauty Parlour
♠ Herbal (Ayurvedic) Health Treatment Clinic
♠ Industrial consultancy
♠ Assembling of Air Cooler,
♠ Repair & Servicing of Electrical Home Appliances, etc.

3.10 Potential for new MSMEs:

 Mohua oil
 Tamarind paste/powder etc.
 Broom Sticks
 Leaf cups and plates
 Bidi manufacturing
 Various artistic materials out of bamboo
 Bee keeping and honey processing
 Herbal medicine
 Jhuna/lac etc.
 Sabai products like rope, sofa set, toys & other artistic materials
 Artistic materials out of cane
 Card Board industry
 Essential oil out of sal resin
 Wood furniture
 Wooden electrical accessories
 Wooden Pencil
 Match Box
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 Wooden Musical instruments,

 Ferromanganese
 Agglomerated Iron-Ore
 Manganese Ore Processing
 Sponge Iron
 Soap stone talk powder
 Mosaic Tiles
 Stone Chips
 Quartzite Powder
 Glass Stones
 China Clay Wares
 Mini Steel Plant
 Coal Briquette
 RCC Hume Pipes
 Chalk Crayons
 Lime processing unit, etc.
 General engineering workshop
 Electroplating
 Truck and Bus Body Building
 Steel furniture and fabrication
 Steel Casting
 Motor rewinding
 Auto leaf spring
 Agricultural implements
 Gates & Grills
 Automobile Garage-Cum-Servicing, etc.

4. Existing Clusters of Micro & Small Enterprise

4.1 DETAIL OF MAJOR CLUSTERS

4.1.1 Manufacturing Sector

There is an Engineering Cluster identified in the district by DIC, Keonjhar,

but detailed information in this regard has not been received.

Craft Clusters in the district of Keonjhar

Sl. Name of the Cluster Name of the Craft No. of Craft persons
No. place (approx)
1. Dhakota Stone Carving 60
2. Haldharpur Terracotta 96
(Ghatagaon)
3. Moreigaon Jute Craft 60
Source: Directorate of H&CI, Orissa, Bhubaneswar
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5. General issues raised by Industry Association of the district

1. Non-availability of developed land and industrial shed,

2. Non availability of skilled persons,
3. Non availability of timely and adequate finance to modernize the
unit and also adequate working capital,
4. Inordinate delay in getting payments against supply of goods,
5. Complexity of procedure in issuing VAT exemption certificate,
6. Non availability of scarce raw material distributed through Govt.
agencies,
7. Lack of proper channel of marketing, transport and communication
problems in the district.
8. Frequent power disturbance
9. Lack of adequate industrial and social infrastructure
10. Lack of technical knowhow,
11. Lack of nucleus mother plant around which ancillary units could
have come up
12. Limited size of the market and stiff competition
 15

Steps to set up MSMEs

Following are the brief description of different agencies for rendering

assistance to the entrepreneurs.

Sl. No Type of assistance Name and address of agencies

1. Provisional Registration Certificate District Industries

( EM-1) & Permanent Registration Centre/Directorate of Industries,
Certificate( EM-II) Govt. of Odisha, Killa Maidan,
Cuttack
2. Identification of Project Profiles, MSME-Development Institute,
techno-economic and managerial Govt. of India, College Square,
consultancy services, market survey Cuttack/concerned District
and economic survey reports. Industries Centre
3. Land and Industrial shed IDCO,IDCO Tower, Rupali
Square, Bhubaneswar or local
office at Rourkela/DIC
4. Financial Assistance Commercial Bank/Odisha State
Financial Corporation/National
Small Industries Corporation
 16

5. For raw materials under Govt. Supply Orissa Small Industries

Corporation/ National Small
Industries Corporation
6. Plant and machinery under hire / National Small Industries
purchase basis Corporation
7. Power/ Electricity GRIDCO/WESCO
8. Technical Know –how. MSME-Development Institute,
Govt. of India, College Square,
Cuttack/DIC/Private Business
Development Service Provider
9. Quality & Standard MSME-Development Institute,
Govt. of India, College Square,
Cuttack/Bureau of Indian
Standards
10. Marketing /Export Assistance MSME-Development Institute,
Govt. of India, College Square,
Cuttack/Export Promotion and
Marketing
11. Other Promotional Agencies Handicrafts &Cottage Industries,
Govt. of Orissa, Development
Commissioner (Handicrafts),
Directorate of Textiles, Govt. of
Odisha, Agriculture Promotion
and Investment Corporation of
Odisha Ltd., Drugs Controller,
Directorate of Health & Medicine
Etc.