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Annual Report

1
st

April, 200
3

To 31
st

March, 200
4


WASME: Annual Report 2003
-
2004

Page
2


















ANNUAL REPORT


1
ST

April 200
3



31
ST

March 200
4









Contact Us

Contact Us:


Head

Documentation &

Publication Division

World Association for Small and Medium Enterprises

Plot No. 4, Institutional Area, Sector


16 A, Noida,

Gautam Budh Nagar


201301, Uttar Pradesh, India

Tel: +91
-
120
-

4216284, 4216283, 2515241,

Fax: +91
-
120
-

2515243,

Email:
doc@wasmeinfo.org


For all general inquiries or requests, please drop an email at
feedback@wasmeinfo.org
or visit WASME website
http://www.wasmeinfo.org


WASME: Annual Report 2003
-
2004

Page
3



CONTENTS



CHAPTER ONE


Fostering Growth of SMEs: Some Recent Initiatives in Select Countries

7
-
16


Challenges and Responses

International Events

Role of WASME


CHAPTER TWO


Participation in Activities of Agencies in the UN System,

International Organisations and Government Bodies

17
-
25


I.

Interactions with UN Agencies

17

II.

Other Organisations

20

III.

Government

Bodies

24


CHAPTER THREE


Visits of Delegations to WASME Secretariat

and Visits by WASME Delegations

2
6
-
36


I.

Visits of Delegations

2
6

II.

WASME Delegations

27


CHAPTER FOUR


Meetings of Council, Bureau and Governing Body of WASME

37
-
44


I.

Bureau Sessions

3
7

II.

Government Body Sessions

39

III.

Meetings of International Committees

41


CHAPTER FIVE


WASME Activities

45
-
6
8


I.

International Conferences

45

II.

International Training Programmes

5
1

III.

National Training Programmes

55

IV.

WASME International Training Centre

62

V.

Information

Services and Extension Activities

6
3

VI.

WASME Documentation and Information Services Centre

6
3

VII.

Rural Small Business Development Centre (RSBDC)

6
5

VIII.

Honour Awards

6
7

IX.

Appointments

67

X.

WASME on Important Committees

6
8

XI.

Enrolment of New Members

68




WASME: Annual Report 2003
-
2004

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4



ANNEXURE
-
A

WASME Statement at 59
th

Session of ESCAP

69


ANNEXURE
-
B

WASME Statement at the First Session of ESCAP Committee on

Managing Globalisation

71


ANNEXURE
-
C

Seminar for Officials of Asian National Commissions for UNESCO:


WASME Offers
Advisory, Training and
Information

support at
Training

73


ANNEXURE
-
D

Statement of WASME at the Thirty
-
Ninth Series of Meetings of Assemblies

of Member States of WIPO, Geneva, September 22
-

October 1, 2003

76


ANNEXURE
-
E

The Tel Aviv Declaration

81


ANNEXURE
-
F

Enrolment of New

Members

84


ANNEXURE
-
G

Office Bearers and Members of Governing Body

84


ANNEXURE
-
H

List of General Members of WASME

89


ANNEXURE
-
I

List of Senior Advisers of WASME

98



























WASME: Annual Report 2003
-
2004

Page
5



PREFACE



There is an increasing realisation that the benefits of globalisation are not reaching to
all countries and all constituents in a developing country. All related UN organisations
and international agencies are concerned with the marginalisation of developi
ng and
least developing countries that is taking place in so far as their place in world economy
is concerned.


Small and Medium Enterprises (SMEs) in developing and transition countries continue
to be under severe pressure, pointing towards need for stre
ngthening their capacities
and several of these countries did institute policy and support mechanism in recent
years to help their SMEs. Recently, while sharing WASME’s perception about the
status of SMEs in a globalised economy at the 37
th

Joint Advisory
Group Meeting of
International Trade Centre held in Geneva in the last week of April 2004, WASME
observed that the “
globalisation is the closer integration of the world economy through
the liberalisation of trade and the growth in vast chains of production

in which many
participate but many remain excluded. SMEs, being small and isolated, and lacking
access to markets, finance and technology, are among the many that being
marginalised by the process of globalisation
.”


During the year, WASME initiated seve
ral new programmes to strengthen their cross
border competitiveness. As SME support institutions have an important role to play in
this direction, special programmes for their benefit were organised jointly with the World
Intellectual Property Organisation

and International Trade Centre. Besides, WASME
aired the concerns of SMEs at various fora which included UNCTAD’s Hearings with
the Civil Society prior to UNCTAD XI, 39
th

Assembly of Member States of WIPO and
59
th

Annual Session of UNESCAP. WASME continue
d to work closely with UNESCO in
developing partnership between business groups and the national commissions for
UNESCO and OECD on SME
-
related issues. Recently, it fielded a strong delegation to
Second OECD Ministerial Conference on SMEs held in Istanbul,

Turkey from 3
-
6 June
2004. Earlier, a large contingent from WASME participated in the UNECE’s Expert
Group Meeting on Good Governance for SMEs on 1
-
2 April 2004.


WASME would now be able to participate in the Annual Sessions of International
Labour
Organisation and its expert committee meetings following its inclusion in the list
of recognised Non
-
Governmental International Organisations by ILO in June 2003.


At grass roots level, WASME continued to promote the development of micro
enterprises throug
h its Rural Small Business Development Centre. It conducted several
programmes to build the capacities of SMEs by organisation of workshops to sensitise
them about the implications of globalisation in different parts of India. Documentation
and Information

Services Centre serviced several requests for information and
documentation and received varied publication and reports, including those from UN
agencies.


The construction of an International Training Centre has recently been completed with
generous support of members of WASME. Furnishing and equipping of the Centre will
be taken up in the second phase. A new logo of WASME was unveiled at highly
successful X
IVth International Conference on SMEs held in Tel
-
Aviv, Israel in
September 2003. The logo, as approved at a meeting of the Bureau of WASME held in
San Marino in July 2002, reflects the enlarged mission and vision of WASME.


WASME: Annual Report 2003
-
2004

Page
6



I must place on record the sup
port extended by the distinguished members of
Governing Body of WASME, particularly by Mr. A. K. Alptemocin, President, Vice
Presidents, Senior Advisors and Permanent Representatives at various stations. The
term (2002
-
04) of the present Governing Body wil
l end with re
-
constitution of the
Governing Body immediately after the elections at the Council meeting in Abuja,
Nigeria.


I take this opportunity of commending the staff at the Secretariat for the support they
have extended to me despite operational lim
itations.


Suggestions for further improvement in the contents and layout of the Report are
welcome.



July 1, 2004




Dr. Arun Agrawal

Secretary General


































WASME: Annual Report 2003
-
2004

Page
7



CHAPTER ONE





Fostering Growth of
SME
s:

Some Recent Initiatives

in
Select Countries


The role and significance of small and medium enterprises (SMEs) in an economy is
well recognised around the world. They have been contributing substantially to
industrial output, gross domestic product, exports and employment, beside
s being
innovative.


25 million small businesses in USA employ 53 per cent of private workforce, account for
51 per cent of private sector output and represent 96 per cent of US exports. They have
been providing approx. 75 per cent of net new jobs
. Small b
usinesses are considered
as the heart of the American economy because
of
their innovativeness
.

In European
countries,
20 million SMEs
reportedly
provide employment to 77 million people and
account for 11 per cent share in total exports
.

Around 94 per cent
of total Italian firms
are reportedly SMEs
,

contribut
ing

about 40 per cent of total GDP and 43 per cent of
total employment. Similarly, they constitute over 95 per cent of the
total
enterprises and

more than half of the total employment in economies like A
ustralia, Canada, Germany,
United Kingdom, France, etc.


USA and Europe have
been constantly
initiat
ing
new measures to address the
concerns of SMEs. The European Charter for small enterprises
,

adopted by
many
European Union members and other candidate co
untries
,
commits them to implement
the Lisbon strategy

of the year 2000.
The Charter identified
following
10 focus areas for
policy makers
:




Education and training for entrepreneurship



Cheaper and faster start
-
up



Better legislation and regulation



Availability of skills



Improving online access



Getting more out of the single market



Taxation and financial matters



Strengthening the technological capacity



Successful e
-
business models and top class business support



Stronger and more effective representat
ion of small enterprises’ interests at
Union and national level.


According to UNECE, the SME sector includes 15.7 million individual entrepreneurs
and 7.8 million incorporated enterprises in 27 transition countries. The incorporated
SMEs in these count
ries together employ
ed

abo
ut

45 million people.


A
round 99 per cent of seven million units
of Japan
are SMEs. They account for about
80 percent of total employment of around 55 million persons

and
account for
a
round 52
per cent of the Japanese total
exports
.



SMEs’ role in building a solid industrial base
in most developing countries
can be
gauged from the fact that they represent over 80 per cent of industrial enterprises.

WASME: Annual Report 2003
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2004

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8


They, along with micro enterprises, have been identified as
a

high potential

sector for
employment generation and provision of livelihood to millions of people in African
countries like Swaziland, Malawi, Kenya and
Ethiopia;

in South East Asian nations like
Bangladesh, India, Sri Lanka
;

and in Latin American countries.

Contribution of SMEs
in
various economic parameters in select countries can be viewed from
the tables
, 1&2.



SMEs


role
in
all economies

has further increased owing to
crumbling barriers

to trade
and investment in the post WTO era
. In addition, the t
echn
ological advancements,

including

unprecedented growth in information and communication sector,
and the
increasing trend of
globalisation of economies
,

have
opened
new
vistas for them
.

O
utsourcing of
products/services
, particularly from SMEs of developing
countries,

by
large enterprises and multi
-
national corporations
, is becoming
an
important component
of production management

system
.
These developments
, in fact, translate in to
several
new
business
opportunities for SMEs to

exploit.


Challenges



But to
take advantage of

the
se
new opportunities, SMEs need to overcome several of
their limitations to be globally competitive.

Gone are the days when the national
governments could dole out sops
to the SME sector in their effort to protect
it
from
compe
tition.
Though
SMEs of
both developed and developing countries are now
confronted
with new challenges,
the general inherent weaknesses and systemic
limitations in
developing countr
ies

have put their
SMEs
in a much difficult position
.

Most
of the
se
countries lack
a SME
-

friendly business environment, let alone growth
-
oriented
ambience.

T
he available administrative and regulatory framework
, in fact, has

been
more a

drag on their performance,

and needed overhauling to make governments the
facilitators
and promoters of SME development.

In addition, l
ack of easy access to
hassle
-
free finance and technological information, coupled with inadequate marketing
support, has been

a major constraint of SMEs in these countries.


Responses


Bearing in mind the imp
ortant role of SMEs in over all economic growth, and also
r
ecognising the
ir

requirements in the new competitive environment, agencies in UN
system
,

and national governments
as well
,

have
initiated new programmes to help build
the competitiveness of SMEs.

At international plank,
U.N. agencies have increased
their focus on SME development by introducing specific programmes, and also by
extending support to various countries
in their
efforts.
Some of the
recent
past
major
initiatives
of U.N agencies
include:




ILO Recommendation No.189 providing
guidelines to stimulate job creation in
SMEs.



UNCTAD focussing on SMEs in its Conferences (example
s

Special Roundtable on
TNCs, SMEs and developments during UNCTAD X
, Expert Group Meeting on
improving the comp
etitiveness of SMEs,

Special Session on SME issues at
UNCTAD XI.



Establishment of SME division in World Intellectual Property Organisation with
specific programmes to help SMEs appreciate importance of intellectual property
rights (IPRs) as a tool for imp
roving competitiveness.



Establishment of World Bank Group SME Division to draw specific support
programmes for different countries.


WASME: Annual Report 2003
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2004

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9




Adoption of Bologna Charter at the conclusion of OECD’s First Ministerial
Conference of Ministers in charge of SMEs

and mo
re recently, the Istanbul
Declaration at the Second follow up
Conference.



ITC initiating special services in trade finance, e
-
trade, quality management, export
packaging and training in international purchasing and supply management to help
SMEs go global.




UN Industrial Development Organisation’s Cluster Development Programme.



Asia Pacific Economic Commission’s SME Business Forum.



UN Economic Commission for Europe’s Expert Group Meeting on Good
Governance for SMEs.


Complementing these,

individual

countri
es have also
put in place
new programmes to
strengthen
their
SMEs. These aimed at
providing an enabling
policy environment and
support system for SMEs to operate competitively. Though

almost all countries are
attempting to address the
operational
constraints of SMEs
,
efforts of developing world
and economies in transition in this direction
assume importan
ce

in view of
their
structural

limitations.
While the problems of developing countries

-

such as shortage of
funds, infrastructure deficiencies an
d low industrial base

-

are too well known, the
transformation of economic growth model from controlled to open economy has posed
new challenges to policy makers.
At the same time, adjusting to new economic
environment, several of these countries institute
d policies and programmes for the
growth and development of their SMEs.
Following

provides a listing of
select
recent
initiatives
aimed at supporting SMEs
in the
se countries
.


Policy Environment


Apart from policy pronouncement/ basic law for SMEs, many of these countries
have announced several
other
related measures such as support for
entrepreneurship development, stimulation of development of private
entrepreneurship, elimination of barriers to
entrepreneurship development, creation
of credit system and protection of legal entities and individual entrepreneurs.

Countries like Albania, Argentina, Armenia, Bulgaria and China have pronounced a
Law for the Promotion of Micro, Small and Medium Enterpr
ises, while others such
as Botswana, Bolivia, El Salvador and Singapore have declared a separate
policy/plan for the development of SMEs, which are listed in
Appendix
.




Support Institutions


Besides establishing policy, m
ost of these countries
have
created

SME support
infrastructure in the form of specialised institutions to help promote the growth of
SMEs.


Malaysia and Pakistan
, for example,
have established a central support system to
steer the growth and development of their SMEs. While Malaysia

has set up Small
and Medium Industries Development Corporation (SMIDEC) in May 1996 to serve
as the national focal point for the overall development of SMEs, Pakistan has
established Small and Medium Enterprises Development Authority (SMEDA) as the
apex p
olicy
-
formulation body for the SMEs.


SMIDEC is tasked with creating a resilient and efficient SME sector that would be
able to compete in a liberalised market environment
.

It has designed and
implemented specific developmental programmes to enhance the c
apacity and
capabilities of SMEs in providing world
-
class services and products to large


WASME: Annual Report 2003
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2004

Page
10


companies or MNCs and their operations world
-
wide.

Similarly
, the work plan of
Pakistan’s SMEDA includes:


1. Remove all regulatory retardants in the shortest possibl
e time

2. Assist SMEs with:




Technical upgradation;



Marketing support, especially in the export markets;



Human resource development through training & organization structure
development; and



Access to formal capital.


Indonesia has also set up
the
Ministry

of Cooperatives and Small Enterprises to
coordinate various efforts of the SMEs' promotion.


The Bureau of Small and Medium Enterprises Development of the Department of
Trade and Industry, which acts as Secretariat to the
Small and Medium Enterp
rise
Development (SMED) Council in Philippines
, initiates and implements projects and
programmes addressing specific concerns of micro, small and medium enterprises,
including provision of consultancy services and facilitating participation of SMEs in
entr
epreneurship and management development programmes.


Thailand has designated the Department of Industrial Promotion (DIP), Ministry of
Industry

as nodal agency for SMEs. Its two main functions are:




To assist existing SMEs, specifically those in the manufa
cturing sector to
increase their growth and efficiency.



To promote the establishment of new industries, particularly in regional
areas.


Though India

has been according a very high priority to the development and growth
of its SMEs (called small scale
industries) since 1950’s in its five
-
year economic
plans and had established a central support institution, named Small Industries
Development Organisation (SIDO) some 50 years ago, it only has recently set up a
separate Ministry for Small Scale Industries

(SSI) to frame and coordinate sector
-
specific policies and programmes.


Like

wise, a

majority of countries in transition have established
SME development
agencies

in the recent past to coordinate various activities aimed at providing
support to SMEs.
Such

institutions in select countries are listed below:


Country

Majo
r SME Support Institution

Albania

National SME Development Agency

Armenia

SME Development National Centre

Belarus

National Agency for SME Development

Bulgaria

Agency for SMEs

Czech
Republic

Business Development Agency

Croatia

Agency for small Business

Georgia

Centre for Small Enterprise Development and Assistance

Latvia

Latvian Development Agency

Lithuania

Lithuanian SMEDA

Poland

Polish Agency for Enterprise Development

Slovakia

National Agency for Development of SMEs


WASME: Annual Report 2003
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2004

Page
11


Slovenia

Small Business Development Centre


In addition,
several of these countries have established
other specialised agencies to
extend the related services
to their SMEs.

These include incubators for innovative
products,
science and technology parks,
alternative financial schemes

such as venture
capital funds and micro finance institutions
, credit guarantee companies to address the
problem of collateral, entrepreneurship d
evelopment

organisations
,
SME advisory and
Business information Centres and
SME resource centres.

These
, however,
need to
operate on commercial lines providing the required development services

to SMEs so
that they can effectively and competitively function in the new environment.


International
Events


O
ther Stakeholders such as
regional bodies,
SME
-
specific NGOs and associations
have
also

increased their efforts to strengthen SMEs
, which
is r
eflected in manifold
increase in

events such as
conferences, seminars,

workshops,

roundtables

and
exhibitions and trade

fairs.

The main focus of these
events
has, generally, been to help
SMEs
gear up to the

new challenges posed by globalisation and liberal
isation of
economies.
These
events
also
provided an opportunity for policy makers, SME
promotional bodies, consultants and practitioners to exchange best practices in the field
of development of SMEs.
Apart from conferences
, workshops and training
programmes
that

were organised by
International Council of Small Business, USA and WASME,
other regional/ international conferences organised in the
most
recent past include:




4
th

World Conference of Trade Promotion Organisations, China Council for the
Pr
omotion of International Trade, Beijing, China, 16
-
17 May 2002.



International Small Commodities Fair, Chagchuan, China, September 2002 and
2003



29
th

and 30
th

International Small Business Congress, Amsterdam, The Netherlands,
October 2002 and Singapore, Sep
tember 2003, respectively.



10
th

Global Conference of Women Entrepreneurs, Yangon, Myanmar from 25
-
28
September 2003.



OECD Regional Workshop on Trade Capacity Building and Private Sector
Development in Asia, Phnom Penh, Cambodia, 2
-
3 December 2003.



‘Compet
itiveness’ Key to the SME Development Agenda of the Euro Arab
Management School, Egypt, held in Aqaba, Jordan from 7
-
9 December, 2003.



Third Arab conference on SMEs, Ministry of Commerce and Industry, Muscat,
Oman from 15
-
17 February 2004


T
h
ough there
is a
wide
-
spread concern
at
the
fall out of liberalisation and globalisation
of economy
, what is needed is adopting

a
more focussed approach
,

based on
specific
issues and sectors to
help
SMEs overcome
related
problem (s)
.


R
ole of WASME


Being an international NGO of SMEs, concerned at their growth, WASME
has recently
initiated several new programmes, consistent with the
market requirements
. These
include:





Building capacity of entrepreneurs and their support institutions in key
operational
areas



Disseminating information on trade and business opportunities in different countries



Sensitising SMEs on IPRs, WTO and related issues


WASME: Annual Report 2003
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2004

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12




Undertaking research and studies on issues confronting SMEs



Advocating the cause of SMEs



Training courses on restructuring of SME support institutions, skill development,
finance, marketing, management and export promotion


Specific
activities
undertaken by WASME

in the past year
are detailed in the
subsequent pages of the Report.


References
:


1.

Various issues of World SME News


A Magazine of WASME.

2.

Enterprise Europe No.8, July
-
September 2002 and No.15, April
-
June 2004, European
Commission.

3.

Improving the Competitiveness of SMEs through Enhancing Productive Capacity,
Commission on Enterprise,
Business Facilitation and Development, UNCTAD, 31 January
2003.

4.

WASME Paper on
“Good Governance for SMEs with Special Reference to practices in
South/ South
-
East Asian Countries”, presented at UNECE Expert Meeting on Good
Governance for SMEs, Geneva, Switz
erland, 1
-
2 April 2004.

5.

Small and Medium
-
sized Enterprises in Co0untries in Transition (Series: Entrepreneurship
and SMEs), UNECE, 2003.

6.

Various websites such as
www.sba.gov/

www.sbaonline.sba.gov
,
www.laghu
-
udyog.com
,
www.ilo.org

and
www.europa.eu.int
.

7.

Paper on “Recent Strategies and Policies for Promoting Sma
ll and Medium Enterprises in
Nigeria”, presented by Chief Kola Jamodu at
World Convention on SMEs 2002, Changzhou,
China, 18
-
21 September, 2002.






























WASME: Annual Report 2003
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2004

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13





Table 1: Economic Contribution of SMEs in Selected Countries

(Shares, %)



Region/

Country (*)

Number
of SMEs

Employment

GDP, value added, output

OECD





Australia

..

70%

30% of GDP

Austria

99.5%

72%

58.2% of manufacturing output

Canada

99.7%

60%

..

Finland

98.5%

52%

40% of GDP

Germany

>95%

70%

57% of corporate value
added

Ireland

99%

49%

..

New Zealand

>98.9%

75%

..

Sweden

99%

60%

57% of total value added

United Kingdom

>99%

44

66%

under 40% of manufacturing output

United States

99.7%

50.3%

40% of total economic activity

Asia & Pacific




Bangladesh

..

80% of
industrial
employment

5% of GDP

Brunei

98%

92%

66% of GDP

China

99%

73%

60% of industrial gross output

Hong Kong, China

98%

60%

..

India

95%

80% of industrial sector

40% of industrial output

Japan

99%

72% of manufacturing
sector

52% of
manufacturing output

Malaysia

..

17.5% of manufacturing
sector

15% of total output; 17.6% of value
added

Pakistan

60%

80% of industrial labour
force

15% of GDP

Philippines

99%

45%

28% of valued added in
manufacturing

Singapore

97%

58% of
manufacturing
sector

41% of manufacturing output

Republic of Korea

99.7%

71%

47.5% of gross output; 49% of
value added

Thailand

..

65% in industry

47% of manufacturing value added

LDCs in the region

..

80% of industrial workforce

40
-
70% of value added

Western Asia




Bahrain

..

48% of manufacturing
sector

21% of manufacturing output

Egypt

90%

11% "

9% of manufacturing value added

Jordan

93%

41% "

..

Lebanon

84%

78% "

67% of manufacturing output

Syrian Arab Republic

90%

91% "

84% of manufacturing output

Latin America




Argentina

..

44.6% of manufacturing
sector

35.9% of manufacturing output

Bolivia

..

26.1% "

17.6% "

Brazil

99.2%

66.8% "

60.8% "

Chile

99.1%

52.7% "

37.1% "


WASME: Annual Report 2003
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2004

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14


Region/

Country (*)

Number
of SMEs

Employment

GDP, value added, output

Colombia

92.1%

52.5% "

33.3% "

Costa Rica

..

13.2% "

12.6% "

Ecuador

84.3%

37.7% "

19.4% "

El Salvador

..

17.6% "

14.8% "

Mexico

89.7%

44.6% "

31.1% "

Nicaragua

98.7%

11.7%
"

11.2% "

Paraguay

..

41% "

31% "

Peru

99.1%

52.5% "

36.1% "

Trinidad & Tobago

71.3%

57% "

22.6% "

Uruguay

96%

57.9%

"

39.7% "

Venezuela

93.2%

39.5% "

13.8% "

Africa

> 90% of

all
registered
business
(5)

16

33% of each country's
working age populations
work in micro and small
enterprises (6)

..

(*)

= various years.




Table 2: Share of SME exports in select developed and developing economies



Exports/GDP

Share of SME exports

Denmark

27

46 (M)

Finland

19

23 (M)

France

18

26 (M)

Greece

12

19

Italy

15

53

Japan

12

13.5

Netherlands

47

26

Sweden

25

30

United States

12

31


China

21

40

60

Republic of Korea

27

40

Indonesia

23

10.6

Taiwan, Province of China

44

56

Thailand

29

10

Malaysia

72

15

Singapore

138

16

Viet Nam

7

20


Note: M = manufacturing only. Exports are direct exports by SMEs. This understates
t
he true contribution of SMEs to exports.
http://www.arts.monash.edu.au/ausapec/smepolic.htm, (APEC and SME POLICY:
Suggestions for an action agenda, Chris Hall, 1995) and Exporter Database, United
States (various years).


Source: Commission on Enterprise,
Business Facilitation and Development, UNCTAD



WASME: Annual Report 2003
-
2004

Page
15


Appendix


Small
E
nterprise
L
aws and
R
egulations in Select Developing

Countries and Economies in Transition



Country

Policy or Law

Year

Albania

“SME Law No. 8957”, approved by the Parliament

17 October
2002

Argentina

Law for the Promotion of Micro, Small and Medium
Enterprises

August 2000

Armenia

Law on “State Support of SME”

December
2000

Azerbaijan

Law on “State Support for Small Entrepreneurship”

4 June 1999

Belarus

Resolution of the Council of
Ministers on “Incubators
for small entrepreneurship in the Republic of Belarus”
No.640 of 4 June 1997


Resolution of the Council of Ministers on “Centre for
support of entrepreneurship in the Republic of
Belarus”, No.1111 of 25 August 1997.

Amended on
28
February
2002


Amended on
28 February
2002

Bolivia

National plan for the Development of Micro and Small
Enterprises

February
2000

Botswana

Government Paper No. 1: Policy on Small, Medium
and Micro Enterprises

1999

Bulgaria

Small and Medium
-
Sized Enterprises Act


National Strategy on the Development of Small and
Medium
-
sized Enterprises in Bulgaria for the Period
2002
-
06, and Action Plan for its Implementation,
adopted by the
Decision of the Council of Ministers

September
1999

1 April 2002


China

Law on Promotion of SMEs

2003

Colombia

Law, which specifies the rules of promoting the
development of the Micro, Small and Medium
enterprises

July 2000

Croatia

Law on “Small Business Development
Encouragement”, prepared by Ministry for Crafts and
SMEs, accepted in 2002. “The Law on
Encouragement of Small Business Development”

2002

El Salvador

National Policy on Micro and Small Enterprises

October 2000

Estonia

“Enterprising Estonia. National Policy for the
Development of Small and Medium
-
sized Enterprises
in Estonia in 2001
-
2006”, approved by the
Government

January 2002

Georgia

Law on “Small and Medium Enterprise Support”


President Decree No.309 on “Small
and Medium
Enterprise State Support Programme for 2002
-
2004”

23 July 1999


22 June 2000.

Honduras

Law of the National Commission of the Micro, Small
and Medium Enterprise

October 2000

Hungary

Act XCV on the “Small and Medium
-
sized Enterprises
and the Pro
motion of their Development”

1999

India

SME Development Bill (in final stages)


Kazakhstan

Presidential Decree on “State Programme on
7 March 2001


WASME: Annual Report 2003
-
2004

Page
16


Development and Support of Small Enterprises in
2001
-
2002”

Kyrgyzstan

Decree on Measures to Improve
Conditions for
Development of Private Enterprises

September
2001

Lithuania

Law No. IX
-
1142 on the Amendment to the Law on
Small and Medium
-
Size Business Development

October 2002

Panama

Law that dictates

Norms for the Support of the
Creation and Development of Micro, Small and
Medium Enterprises

July 2000


Peru

General Law on Small and Micro enterprises

May 2000


Puerto Rico

Law on Administrative and Regulatory Flexibility for
the Small Business

Decemb
er
2000

Romania

Law on “Stimulation of Private Entrepreneurs for the
Establishment and the Development of Small and
Medium
-
sized Enterprises”, No.133

1999

Russian
Federation

Presidential Decree on “Set on Measures on
Development and State Support of
Small Enterprises
in the Material Production Sphere and on Assistance
to their Innovative Activity”, No.1460

31 December
1999

Singapore

SME21


10
-
year plan

2000

Slovenia

Declaration on SMEs at the Dawn of the 21
st

Century.

2001

Tajikistan

Law on “State

protection and support of
entrepreneurship in the Republic of Tajikistan”, No. 46

10 May 2002

Federal
Republic of
Yugoslavia

National Strategy for Development of SMEs and
Entrepreneurship, accepted by the Government

2003

Togo

Law for the Creation,
Organisation and Functioning of
the Regional Chambers of Handicraft and Small
Industry

June 1998


Ukraine

Law on “State Support of Small Businesses”,
No.2063
-
III

Law on “National Programme of Small Businesses
Support in Ukraine”, No.2157
-
III

19 October
20
00

21 December
2000

Uzbekistan

Law No.772
-
I: On Stimulation of the Development of
Small and Private Business

“Programme of Development of Small and Medium
Business, and Private Entrepreneurship in the
Re
public of Uzbekistan in 2002
-
2003”, approved on
the meeting of Republic Coordination Council on
Stimulation of Small and Medium Entrepreneurship
Development, No.36
-
1
-
2

April 1999


15 February
2002

Venezuela

Decree of the Creation, Stimulation, Promotion
and
Development of the Microfinance System

March 2001

Federal
Republic of
Yugoslavia

National SME development policy

January 2003


WASME: Annual Report 2003
-
2004

Page
17


CHAPTER TWO




Participation in Activities of Agencies

in the UN System, International

Organisations and Government
Bodies



I
. Interactions with UN Agencies


A.
United Nations Economic and Social Commission for Asia
-
Pacific


(i) 59
th

Session


Mr. Hideaki Fujimoto, Permanent Representative in Bangkok, represented WASME at
the 59
th

Session of UNESCAP held in Bangkok during 1
-
4 September 2003. He made a
Statement on behalf of WASME at the Session
.



He

referred to the joint working of WASME and ESCAP in the area of strengthening
SMEs as a means to address the issue of poverty and
unemployment

in his Statement

and also

called for further deepening relations by undertaking several joint projects to
foster the growth of SME

sector
. His Statement is at
Annexure
-
A.


(ii)
First Session of Committee on
Managing
Globalisation


Mr. Hideaki
Fujimoto also represented WASME at the First Session of Committee
h
eld
in Bangkok during 1
9
-
21 November
2003.
While reviewing the status of SMEs in the
globalised and liberalized era, he, on behalf of WASME, called for providing targeted
support to help SM
Es integrate in the world economic environment. The text of
the

Statement is at
Annexure
-
B
.


B. United Nations Conference on Trade and Development


Second Hearing with Civil Society and the Private Sector


Ms. Lorraine Ruffing, Senior
Adviser

of WASME, participated in the Second Hearing of
UNCTAD with “Civil Society Organisations” held in Geneva, Switzerland on 23
February 2004
.



Purpose of the Hearing


As part of the preparatory process for its quadrennial conference, UNCTAD XI, to be
held
in June 2004 in Sao Paulo, the Intergovernmental Support Service organized a
hearing to discuss with civil society and the private sector the major sub
-
themes for the
Conference. It was the second in a series of three such hearings. The four sub
-

themes
fo
r the conference
were
:




Development strategies in a globalizing world economy
.



Building productive capacity and international competitiveness
.



Assuring development gains from the international trading system and trade
negotiations
.


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-
2004

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18




Partnerships for develo
pment.


The hearing got off to a good start with the very frank, if not blunt statement, by
Talal
Abu
-
Ghazaleh,

a well known business figure from the Middle East with interests in
accounting and auditing, intellectual property and information technology. H
e is also the
vice
-
chair of the UN Task Force on IT and the vice
-
chair of the International Chamber
of Commerce’s committee on e
-
business.


In opening the Hearing, the Chair, Ambassador Sha Zukang (China), tried to hush up
the private sector and civil soc
iety and said that it was too early to comment on the pre
-
conference text since it was still under negotiation. Talal asserted that the private sector
wanted to be full
-
fledged partners in the conference and not just observers. Therefore,
he would comment
on the text as appropriate. The rest of the speakers followed his
lead.


Missing element: SME development


Mansour was the only official speaker to give passing recognition to the role of SMEs in
building productive capacity. However, there were numerous i
nterventions from the
floor.


Following the formal statements from the private sector,
Lorraine Ruffing,

intervened
and noted that there was no discussion in the pre
-
conference text of the market failures
or administrative barriers that SMEs face which limit their contribution to growth and
development. It would, therefore, be difficult for the Conference to

formulate policy
recommendations that would strengthen the competitiveness of SMEs
.



She observed that
that the warnings of
Rubens Ricupero
, Secretary General of
UNCTAD

not to ignore micro policies while concentrating on the macro fundamentals
has not b
een taken care in the text
Therefore,
a
lthough UNCTAD ha
d

spent four years
developing policy recommendations for SME competitiveness, the policy responses
suggested in the pre
-
conference text
were almost

entirely directed to strengthening
foreign direct in
vestment. While the text acknowledges that
the extent to which full
economic and social benefits can be derived from FDI is dependent on the presence of
a vibrant domestic private sector
, no clue
was

given as to how this vibrant domestic
private sector is
suppose to be created.


C
. United Nations Educational, Scientific and Cultural Organisation


(i) Seminar
of Asian National Commissions of UNESCO


Mr. Hideaki Fujimoto, Permanent Representative of WASME in Bangkok, on behalf of
WASME, attended the Seminar h
eld in Bangkok during 19
-
23 January 2004.


While recognizing WASME’s relationship with UNESCO, Mr. Fujimoto, in his address
hoped that UNESCO and NatComs could voice the importance of the continuing
education and training, particularly in developing count
ries, that could enable
government authorities to consider and develop appropriate schemes for life
-
long
learning, through which SMEs could get benefits for their skill and management
development.

WASME offered
Advisory
, training and information support for Officials of
Asian National Commissions of UNESCO.
Text of his address is at
Annexure
-
C
.




WASME: Annual Report 2003
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2004

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19


D
. International Trade Centre


(i)
36
th

Joint
Advisory

Group Meeting


Dr. Arun Agrawal, Secretary General, WASME, participated in the ITC Joint
Advisory

Group Meeting held at Geneva, Switzerland from 28 April


2 May, 2003.


Dr.
Arun
Agrawal
, in his address,

recalled WASME’s close working with ITC since the
signing of an Mo
U with it five years ago. He also proposed new areas of joint working
by WASME/ ITC in the coming years, which included: (a) developing capabilities of
SME clusters for enhancing trade; (b) undertaking studies on impact of globalization on
SMEs in developi
ng countries in specific product and process groups; (c) programmes
aimed at increasing capabilities and infrastructure of trade promotion organizations and
departments which serve SMEs in increasing their trade in developing and least
developed economies
in particular in Sri Lanka, Bulgaria and Egypt to start with; (d)
intensifying programmes to bridge the huge digital divide between SMEs of developing/
least developed nations, on one hand, and the industrialized nations on the other; and
(e) technical ass
istance for modernization and technology upgradation of the crafts
sector.


E
. World Intellectual Property Organisation


(i)
39
th

Assembly of Member States


WASME participated in the 39
th

Assembly of Member States of WIPO, held in Geneva
during 22 September


1 October 2003. Mr. Shahid Alikhan, Senior Advis
e
r (IPR
)

represented WASME in this Assembly and made a Statement on behalf of WASME
. He
stated that topical issues of globalization, re
quired IP awareness to be increased
thro
ugh support from WIPO

(
Annexure
-
D
).



F
. International Labour Organisation


(i)
National Tripartite Consultation


The sub
-
regional office of South Asia, International Labour Organisation, invited
WASME to share its perceptions on ILO recommendations 189: Job Creation in Small
and Medium
-
sized Enterprises and general survey 2003 at the National Tripartite
Consultation, organis
ed in New Delhi on 25 November 2003.


Mr. V. N. Prasad, Senior Economic
Adviser
, attended the meeting
,

on behalf of
WASME,
and made the following suggestions:




To strengthen the capacities of existing SMEs to improve their competitiveness in
the present g
lobalised and liberalised economic environment and so that they can
sustain the existing jobs.



To make promoting rural industrialisation a component of the policy guidelines.









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-
2004

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20


II. Other Organisations


A. Organisation for Economic Cooperation and
Development


(i)
Preparatory Workshop for the 2
nd

OECD Ministerial Conference in 2004


WASME, representing the interest of SMEs and the member institutions sub
-
serving
the cause of SMEs at large from over 112 countries
,

deliberated at length at the
Organisation for Economic Co
-
operation and Development (OECD) Workshop on
“Entrepreneurship in a Global Economy: Strategic Issues and Policies” held
in
Budapest (Hungary) during 8
-
10 September 2003.


Dr. Sailendra Narain, Prin
cipal Adviser, representing WASME brought to sharp focus
the policy issues which needed to be addressed for development of SME
entrepreneurship
,

particularly in the developing economies and the linkages which
should be established between OECD and non
-
OECD

countries for achieving the
common goal of enterprise development in the new global economy.


The event was co
-
hosted by the Hungarian Government, as an important preparatory
meeting for the 2004
-
Istanbul SME Ministerial

Conference
and was attended by se
nior
functionaries representing governments, central banks, financial institutions, NGOs,
associations and academia from over 80 countries.


He said that t
he OECD
would be
organizing the 2
nd

Conference of Ministers responsible
for SME on “Promoting Entrep
reneurship and Innovative SMEs in a Global Economy” to
be co
-
hosted by the Turkish Ministry of Industry and Trade at Istanbul during 3
-
5 June
2004.

The first Conference of Ministers was jointly organized by the Italian Government
in Bologna (Italy) in June

2000 and its final charter was adopted by almost 50 OECD
and non
-
OECD countries. The follow
-
up of this Conference is known as
The Bologna
Process
.


Hungarian Minister for Economy and Transport, Mr. Istvan Csillag inaugurated the
Workshop on Sept 8. An imp
ortant day
-
long working session at the end on “Improving
Financing for Entrepreneurship and SMEs” was presided over by

Mr. Herwig Schlogl, OECD Deputy Secretary General. WASME was invited to speak in
this session.


The three
-
day Workshop in four Sessions,

having two Panels each, discussed wide
ranging policy issues and made recommendations for remitting them to the 2004
-
Istanbul Ministerial

Conference

The discussions mainly revolved round creating a
conducive entrepreneurial environment, role of local gove
rnments and NGOs, role of
education and training, facilitating women entrepreneurship, access of the global
markets, and finance for the innovative enterprises.


WASME largely touched upon developing different packages of policies for micro, small
and medi
um enterprises and that too for the developed and developing economies
separately. An important crosscutting issue was access to easy finance, which
continued to be serious problem for SMEs
,

in general and innovative entrepreneurs
,

in
particular. Further i
n this fast emerging global economy, marketing on competitive
terms assumes greater importance. Countries and respective governments will have to
pay pointed attention to providing marketing support so that SMEs acquire self
-
sustainability and internationa
l competitiveness. These are likely to figure among
others, at Istanbul.


WASME: Annual Report 2003
-
2004

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21



(ii)
Workshop on Trade Capacity Building and Private Sector Development in Asia


The Workshop

was organized jointly by Development Cooperation Directorate and
Development Centre of
OECD in collaboration with the Government of Cambodia in
Ph
nom Penh from 2
-
3 December 2003.


Recognizing that the developing countries and their enterprises face major challenges
in strengthening their human and institutional capacities to take advantage
of trade and
investment opportunities, OECD brought together key stakeholders from the public
sector, private sector, civil society and research and regional institutions at the
Workshop to develop a package to address supply side bottlenecks in exploiting

expanding trade and investment opportunities.


Dr. Arun Agrawal, Secretary General, WASME, at the invitation of the organisers,
chaired the Session on “Lessons from experience with public sector support”, which
was a part of the session
-
IV on Fostering C
ompetitiveness


the Policy Response.


In his remarks, he observed that there is a need today to empower SMEs, particularly in
developing countries, to take full benefit of the opportunities thrown open by liberalized
trade and investment policies. He also

hoped that the proceedings of the Workshop
would form an important input for deliberations at the OECD Second Ministerial
Conference, scheduled to be held at Istanbul, Turkey from 2
-
6 June 2004.


B
.
International Council for Small Business


(i)
48
th

World Conference


With the theme “Advancing Entrepreneurship and Small Business”, the 48
th

World
Conference of the International Council for Small Business

(ICSB)

was held in Belfast,
Northern Ireland, U.K. from 15
-
18 June 2003. The Conference, participa
ted by 1,139
delegates from 80 countries, was turned out to be a grand success.



Following the opening plenary sessions, there were four Mini
-
Conferences covering
business Birth
-
rate Strategies; Hi
-
growth and Hi
-
tech business development; Venture
Capital
Finance & Business Angels; and women’s Enterprise. A further 15 Workshop
Sessions were held in p
arallel covering the latest res
earch, policy and best practice
from A to Z, i.e., from advancing Entrepreneurship Education to Zeniths of
Entrepreneurial Achiev
ement.


At the invitation of
the ICSB, Dr. Arun Agrawal, Secretary General, WASME attended
the Conference as a key
-
note speaker at the First Plenary Session on 16 June 2003.
He presented a paper on “Global Support for Entrepreneurs and SMEs”
.



A joint meeting of the Boards of WASME and ICSB was also held
earlier
on
15 June
2003 to draw

a plan of action in terms of the M
o
U signed
earlier in April 2002.


C
. International Network for SMEs


(i)
First Meeting of Promoting Committee


The First Meeting of International Network for SMEs (INSME) Promoting Committee,
attended by 23 delegates representing nine countries and four international

WASME: Annual Report 2003
-
2004

Page
22


organisations, was held in Milan, Italy from 7
-
8 July 2003. Dr. Arun Agrawal, Secretary
General, WA
SME, leading a three
-
member delegation, comprising Dr. K. V.
Swaminathan, Chairman, Waterfalls Institute for Technology Transfer, India
,

and Ms.
Dolly Gerassi, International Relations Coordinator, Israel Small and Medium
Enterprises Authority, had particip
ated in the event. In his address, Dr. Agrawal
stressed

the need for
WASME
-
INSME cooperation in the areas of innovation and
technology transfers for SMEs. His address is at
Annexure
-
E
.


(ii)
Second Meeting of Promoting Committee


The International Network
for Small and Medium Enterprises (INSME), established as
part of “Bologna process” within the framework of OECD, held its 2
nd

Promoting
Committee Meeting in Malmo, Sweden on 25 February 2004.


As a part of the meeting, jointly with the International Organi
zation for Knowledge
Economy and Enterprise Development (IKED), INSME organized an International
Roundtable on “Enabling Growth and Innovations in SMEs” in Helsingborg, Sweden on
26 February 2004. While Mr. J. Ramon F. Cienfuegos, President, INSME, chaired

the
Committee Meeting, Mr. Thomas Andersson, President, IKED chaired the Roundtable.
These events were well attended by 70 participants from different countries, UN and
intergovernmental organizations like UNCTAD, UNIDO, WIPO and OECD. It was
announced th
at INSME had since been registered in Rome, Italy as a non
-
profit
Association with Ms
.

Simona Marzetti as its first Secretary General.


During the Promotion Committee Meeting, members deliberated on INSME’s ongoing
and future activities, thematic working
groups, INSME Roadmap 2004 and the planned
joint WASME
-
INSME training programme to be conducted in India in October 2
004 at
WASME’
s headquarters. The Session also had other presentations such as on 2
nd

OECD Ministerial Conference on SMEs, Istanbul
,

3
-
5 Jun
e, 2004, made by OECD
DSTI SME Unit and KOSGEB, Turkey.


The Roundtable had over 20 presentations by experts in their respective fields on
Funding Fast Growing SMEs; Raising Management Skills and Competencies in SMEs;
Enabling Local Services for SME Dev
elopment; and Strengthening SME Polices
through International Cooperation.


Mr. V. N. Prasad, Senior Economic
Adviser

and Mr. Ken Abraham, Research Director,
PICT Innovations Ltd., Scotland, represented WASME in these meets. In the Promotion
Committee Mee
ting, Mr
.

Prasad presented details of objectives, targetted participants,
course module and methodology of imparting training in the proposed joint WASME
-
INSME training programme on ‘Management of Innovation and Technology Transfer’ .


He explained that t
he Programme was targetted for the functionaries of intermediary
organisations dealing with innovations and transfer technology to SMEs in Asian
countries.
He explained that d
uring the four days of the Programme, participants would
be exposed to aspects li
ke assessing the technology and innovation needs, innovation
system, commercialisation of innovation and technology, legal aspects of technology
transfer, financial instruments for innovations and conducting a technology audit test.


Mr. Prasad also pres
ented a paper on “Strengthening Policies through International
Cooperation” during the Roundtable. In his presentation, he touched upon aspects like
need for international cooperation
,

identifying areas of cooperation among individual
agencies such as UN a
nd multi
-
government organisations, Trans
-
national

WASME: Annual Report 2003
-
2004

Page
23


Corporations, international NGOs and SME Networking agencies; and the role of
WASME in facilitating international cooperation and development of SME conducive
policies which was very well received. Particip
ants were
also
invited to attend the XV
th
WASME International Conference on Small and Medium Enterprises (XV
th
ICSME)
taking place in Abuja, Nigeria during 1
9
-
22 July, 2004 and to the WIPO
-
WASME
Course on Practical Intellectual Property Issues scheduled to

be held in Geneva,
Switzerland during 3
-
6 May, 2004.


D.
Euro Arab Management School
, Egypt


(i)
International Conference on ‘Competitiveness’ Key to the SME Development Agenda


Mr. V. N. Prasad, Senior Economic
Adviser
, WASME, as a Key
-
note Speaker at
the
first International Conference on ‘Competitiveness’ Key to the SME Development
Agenda of the Euro Arab Management School, Egypt, held in Aqaba, Jordan from 7
-
9
December, 2003, called for provision of focussed Business Development Services to
build the
capacities of SMEs in the globalised environment.


The Conference was well attended by representatives of SME sector from the Arab
world and international agencies and donor agencies such as UNIDO, UNCTAD and
CIDA.


Mr. Prasad also took the opportunity of

his visit to Jordan to discuss possible
cooperation with various agencies, which included Aqaba Special Economic Zone
Authority, Jordan United States Business Partnership, Ministry of Industry and Trade,
Jordan, Association for SME Development, Egypt, Ass
ociation of Mediterranean
Chambers of Commerce and Industry (ASCAME), Barcelona, Spain, etc.



E
. Small Industries Development Bank of India


(i)
National
Advisory

Committee Meeting


As a member of the National
Advisory

Committee of Small Industries Development
Bank of India (SIDBI), Secretary General, WASME, Dr. Arun Agrawal attended the 18
th

Session of the Committee, held in Mumbai, India on 14 November 2003.


The Committee extensively debated on the policy initiative
s of SIDBI and also on the
future strategies that need to be adopted to make its activities more focused and
effective in addressing the issues confronted by the Small Scale Industries sector in
India.


The Committee, headed by
Mr. V. K. Chopra,
Chairman
of SIDBI, has members drawn
from different sectors and areas such as government policy makers; practitioners from
industry and trade; representatives from other financial institutions and industry
associations; and individual experts.











WASME: Annual Report 2003
-
2004

Page
24


III.
Government Bodies


A
.
SSI Board, India


The All India Small Scale Industries (SSI) Board held its 48
th

Session in Delhi on 17
January 2004 to discuss and draw a plan of action for the development of SSI clusters,
promoting sunrise (new) industries,
control
ling
sickness in the sector and investment
ceilings for SSIs and small service and business enterprises.


Mr. V. N. Prasad, Senior Economic
Adviser

represented WASME at the full
-
day
Session and highlighted the need for further increasing exports, and wide
ning base of
exporting enterprises, by meeting their requirements
relating to
market information
;

organizing a series of workshops to build their export capabilities
;

proving proper
exposure to their products and services, etc.


The SSI Board is the apex
Advisory

body constituted by the Ministry of Small Scale
Industries, Government of India, to advise the Government on all issues pertaining to
the development of the Indian SSI sector.


The Board, headed by the Minister
i
n charge of Small Scale Industries

in the
Government of India, comprises, among others, State Industry Ministers, some
Members of Parliament, Secretaries (to
p
-
most functionary) of various Departments of
Government of India, financial institutions, state
-
owned enterprises, industry
associat
ions and eminent experts in the field. WASME, as an international NGO of
SMEs, based in India,
has been appointed

on the Board as a
M
ember.


B
. Ministry of Commerce and Industry
,

Sultanate of Oman


The Ministry of Commerce and Industry, Sultanate of Oman,
jointly with the Arab
Industrial Development and Mining Organisation (AIDMO), organised the Third Arab
Conference on Small and Medium Enterprises successfully on 15
-
16 February, 2004 at
Muscat, Oman.

WASME was specially invited to address the participants

to the
Conference, attended by 388 participants from the Arab World.



Dr. Juneja, in his presentation, underscored the opportunities for collaborations and
cooperation between the Arab countries and India, in particular, in the area of
investments, join
t ventures, technology transfer and collaborations. Some identified
sectors for collaboration and cooperation between India and the Arab World where
India enjoyed a competitive edge were IT and IT related services, Auto Components,
Pharmaceuticals, Electro
nics, Down
-
stream Petro
-
chemical products, Engineering
Industries, etc.


In addition, the projects that were identified to be set up in Oman with technical support
included Granite and other Decorative Stones, Fisheries and Marine Products,
Downstream Petr
o
-
chemicals projects, Information Technology and related services,
Higher education, Poultry, Raw material based enterprises, etc.


Dr. Juneja highlighted WASME’s role as an important and only international
organisation working for the cause of SMEs.


Dr.

Hamad bin Hashim Al Dahab, Oman’s Director General of Industry and Chairman of
Organising Committee, observed that the contribution of the industrial sector to the

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2004

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25


GDP in Oman was at present modest. He added that the Commerce and Industry
Ministry was exp
loring ways to enhance the sector’s role in the economy in the future.


Talaat ben Dhafir, Director General of the Arab Industrial Development and Mining
Organisation said that the industrial sector in general including small and medium
enterprises had ma
de noticeable progress in the last decade and he described SMEs
as the “main engine of development and employment” that contributed “in realising
maximum exploitation of local resources.”


The

deliberations of the conference

established the
need to promote

self
-
employment
amongst the youth of Oman and other Arab countries and generate employment
opportunities.



While inaugurating the Conference earlier, Mr. Ali Masoud Al
-
Sunaidy, Under Secretary
for Commerce and Industry, Ministry of Commerce and Industry,

Sultanate of Oman
observed that for the SME sector to prosper in Arab world, it must prove competitive in
the international market, become innovative and deal adequately with technical and
management aspects.




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2004

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26


CHAPTER THREE



Visit
s

of
Delegations

to

WASME Secretariat and Visits

by WASME Delegations



I. Visits of Delegations


A. INSME
, Italy


A two
-
member delegation comprising of Ms. Silvia Grandi and Ms. Francesca Giannotti
from the International Networks &

Technical Consulting Department of Institute for
Industrial Promotion, Italy visited WASME House on 29 August
20
03 to discuss areas
of cooperation between WASME and International Network for SMEs (INSME).


Dr. Arun Agrawal, Secretary General, who headed W
ASME’s
team
for discussions
,
welcomed the visiting officials to WASME House. Dr. Agrawal briefed the delegation
about the multi
-
faceted activities of WASME and the new direction taken to enhance
capabilities of support system institutions and competitivene
ss of SMEs. He offered
suggestions on increasing INSME’s activities and as a consequence its membership
base in developing countries of Asia and Africa so that SMEs could stand to benefit
from its expertise.


To initiate the process of cooperation with IN
SME, Dr. Agrawal also proposed a self
-
financed joint international programme on Innovations & Technology Transfer for
support system and technology institutions from Asia Pacific Region in Milan/India
where WASME would arrange 20 participants besides makin
g other arrangements
while IPI would provide its experts for lectures on important topics.


A presentation on the activities of WASME
-
Rural Small Business Development Centre
was also made to the delegation.


B. SMEDAN
, Nigeria


A
d
elegation

from Nigeria
, c
omprising Ms. M. A. Adelaja, Director General, Small and
Medium Enterprises Development Agency of Nigeria (SMEDAN) and Dr. A. A. Balogun,
Director, SMEDAN, held a detailed discussion on promoting SMEs with WASME
Secretariat on 17 November 2003. Mr. James I
. Enekebe, Minister, Nigeria High
Commission in India also had participated in the meeting. The discussions centred on
the role of SMEDAN in promoting and strengthening micro and small enterprises in
Nigeria and on the possible areas of cooperation with WA
SME.


Dr. Arun Agrawal, Secretary General, WASME, stressed the need for SMEDAN to be
fully equipped with latest knowledge and information about international developments
to render an effective service to the SME community, while offering expert services
of
WASME in drawing up a programme of action for SMEADAN. He suggested that senior
officers of SMEDAN be deputed to attend special programmes that WASME would be
organising jointly with ITC and WIPO in Geneva in January and May 2004, respectively.
Mr. V. N
. Prasad, Senior Economic
Adviser

and Mr. Rajeev Kapil, Executive Secretary
also took part in the discussions.


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2004

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27


C.

Ministry of Enterprise Development, Industrial Policy and Investment
Promotion,
Sri Lanka


A
Sri Lankan
delegation
,

comprising Mr. R. D. Gunapala, Project Director of the Small
and Medium Enterprise Sector Development Programme and Ms. Dharshana
Senanayake, Director of the new SME Policy Unit, Ministry of Enterprise Development,
Industrial Policy and Investment Promoti
on of Sri Lanka visited WASME on 4 June
2003. The delegation, which was on a mission to study the SME policy of India, held
wide range of discussions with WASME Secretariat, led by Dr. Arun Agrawal, Secretary
General, WASME.


D
.

International training ce
ntre, ILO



(I)
Mr. Peter Tomlinson, Programme Manager, Enterprise Development of International
Training Centre, ILO visited WASME Secretariat in Noida on 7 November 2003 during
his visit to India for the ILO supported Workshop on Improving Job Quality in Micro
Enterprise
s.


Jointly with International Trade Centre, ILO, Turin, Italy, organisation of a 4
-
day special
programme on Credit Scheme and Micro Finance for senior officials of member banks
and financial institutions was discussed.


(II)
A two
-
member delegation comp
rising
Mr. David Kucera,

Senior Research Officer

and Mr. Richard Anker,
International
Institute for Labour Studies, I
LO, Geneva,
Switzerland

visited WASME Secretariat on
24 March 2004 during their visit to India to
study the scope for introduction of
simple technologies to re
place
child labour. They
had detailed discussions about the Indian SSI sector, the role of industry associations
and possible industries they could take up for the Study.


II. WASME Delegations


A.
Geneva


(i)
WASME
-
ITC Discuss
Joint Cooperation Activities


The Secretary General of WASME, Dr. Arun Agrawal, visited the International Trade
Centre (ITC) Headquarters
,

Geneva on 31 July 2003.


During his visit, he called on Mr. R. Badrinath, Director, Trade Support Services
Division,
and discussed wide ranging areas of collaborative activities, which included,
among others:




ITC’s participation in the WIPO
-
WASME Special Programme on Practical
Intellectual Property Rights Issues being organized in Geneva during 6
-
10 October
2003;




Organ
isation of a joint ITC
-
WASME Workshop on Integrating Trade Promotion
Organisations and select groups of SMEs in the new trading environment from
WASME member countries to take place in Geneva in mid
-
January 2004;




Secondment of staff from WASME Secretariat

and those of its member Institutions
to ITC for periods ranging from 3
-
6 months for getting acquainted with ITC’s trade
promotion activities and programmes;


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2004

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28





ITC’s presentation at the XIVth International Conference on SMEs in Tel
-
Aviv, Israel
during 15
-
18

September 2003; and




ITC’s close association with the planned SME Convention in Hyderabad, India in the
third week of December 2003.


Dr. Agrawal thanked Mr. Badrinath for deputing Mr. Philip Williams, Senior Adviser on
Institutional Aspects of Trade
Promotion from ITC to act as the key resource person for
the Exim Bank
-

WASME Seminars organised at Noida and Bangalore in India during
26

31 May which contributed to its success. Mr. Badrinath suggested that WASME
encourage participation of its members,
especially from Latin American countries, in the
Executive Forum that was taking place in Cancun, Mexico in September 2003 to
coincide with the WTO Ministerial Meeting.


(ii)
WASME Officials Hold Talks with WIPO/ ITC


Taking advantage of their presence in
Geneva for the WIPO
-
WASME Special
Programme on Practical IPR Issues (6
-
9 October 2003), Dr. Arun Agrawal, Secretary
General, WASME and Mr. Rajeev Kapil, Executive Secretary, met with following senior
officials in WIPO/ ITC during their stay:


World
Intellectual Property Organisation


Mr. G. Nyeamo, Director, WIPO Africa Development Cooperation Division


Dr. Arun Agrawal and Mr. Rajeev Kapil called on Mr. Nyeamo on 8 October and
informed him about WASME’s active association with WIPO and conduct of se
veral
joint activities aimed at increasing adoption of IP by SMEs.
Stating that SMEs were a
priority target for the Africa Bureau, Mr. Nyaemo concurred that awareness on IP issues
was still very low in Nigeria. On a request from Dr. Agrawal, Mr. Nyeamo agr
eed to
consider extending his Bureau’s support for organising an inter
-
regional Workshop on
IP in textiles designing sector on the occasion of the 15
th

International Conference on
SMEs scheduled to take place in Abuja, Nigeria during 19
-
22 April 2004. Also

present
at the meeting was a high
-
level 3
-
member delegation from Nigeria, comprising Dr. Larry
Osa
-
Afiana, Managing Director, Bank of Industry, Mr. Steve Sonoiki,

Director

and Mr.
O. O. Olayinka, Deputy Director, Small and Medium Industries Department, Fe
deral
Ministry of Industry, apart from Mr. G. S. Jaiya, Director, WIPO SMEs Division.


Mr. N. K. Sabharwal, Senior Director, Asia Pacific Cooperation Development
Bureau


Dr. Agrawal briefed Mr. Sabharwal on 9 Octob
er about the ongoing joint WIPO
-
WASME
Spe
cial Programme on Practical IPR Issues which was being attended by 20
participants from six countries. He said that in order to assist WASME in giving a bigger
thrust to IP promotion related activities, their understanding and utilisation by its
member ins
titutions and SMEs, WIPO may provide facilities for training of a staff
member at the WIPO Headquarters from the Secretariat for a period of 6
-
8 weeks. He
also informed him that in view of the encouraging response received for the first
programme, WASME h
ad proposed organising another programme with WIPO on
similar lines in March 2004.



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29


In order to accommodate participants from IP institutions of developing countries in
Asia
-
Pacific region who could not otherwise participate in such programmes because of
f
inancial constraints, Dr. Agrawal sought his Bureau’s support to fund their travel and
participation costs. Mr. Sabharwal assured Dr. Agrawal that this request
would receive

his positive consideration. Mr. Sabharwal also stated that he would be happy to invite
WASME to nominate its members for participation in his Bureau’s on
-
going
programmes in future, referring specifically to a Programme planned for the first week
of Novem
ber in Ho Chi Minh City, Vietnam. He said that WASME could also consider
sending a staff for training on IP issues in their Training for Trainers programmes which
were conducted at different locations from time to time. Mr. G. S. Jaiya, Director, WIPO
SMEs

Division was also present during the discussions.


Mr. Pushpendra Rai, Deputy Director, WIPO Worldwide Academy


Possibilities of WASME utilising the Academy’s programmes and expertise were also
discussed with Mr. Pushpendra Rai on 7 October.


Mr. Rai
briefed the WASME delegation about various professional training courses as
well as on
-
line and advanced training programmes being conducted by the Academy
from time to time. He welcomed WASME’s association with these programmes in order
to spread the IP c
ulture, especially among SMEs.


Dr. Agrawal thanked Mr. Rai for taking time out to meet the members of the delegation
and giving them valuable information on Academy’s programmes. He suggested that
the Academy should invite WASME to depute staff from the S
ecretariat as well as from
its member institutions for short
-
term training at the Academy and joining hands with
WASME to conduct a series of IP related programmes at regular intervals outside
Geneva.


Dr. Sailendra Narain suggested that the Academy may co
nsider conducting a 4
-
day
awareness programme for SMEs and their support institutions on IP related issues in
one of WASME’s member countries in Asia and Africa in association with WASME.


Mr. Pushpendra Rai extended invitation to the members of the WASME
delegation to
visit the Academy to see the infrastructure and have further discussions on joint
activities. He also suggested that in due course of time the Academy and WASME
could enter into a Memorandum of Understanding to formalise the relationship and
undertaking joint activities.


International Trade Centre



Mr. Hendrik G. Roelofsen, Director, ITC Division of Technical Cooperation
Coordination


Along with members of the Nigerian delegation, discussions were held with Mr.
Roelofsen on 8 October to seek

his Division’s support in organising a Buyer
-
Seller Meet
in Nigeria during April 2004 at the time of the XVth ICSME, focussed on textiles and
handicrafts sector.


Mr. Roelofsen expressed the view that ITC followed a particular methodology for
assisting in

organising such events for which a minimum lead period of 9
-
12 months
was required. Moreover, the invitations to foreign companies were required to be
extended by the host organisation with ITC assisting in proper matchmaking through a

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2004

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30


special software pr
ogramme. He, however, assured the visitors that he would do his
very best to push up procurement from Nigerian SMEs under Africa Aid programmes
funded by several International Aid Agencies operating in the region. He also said that
he would have discussi
ons with Mr. Osvaldo Agatiello, Programme Coordinator, who
was at that time away on mission, to examine the specific manner in which ITC/ his
Division could associate with the planned Conference, though presentations/ setting up
information booths etc.


Mr
. R. Badrinath, Director, Trade Support Services Division


During a meeting with Mr. Osman Ata Atac, Chief, Human Resource Development
Section, Division of Trade Support Services, and Mr John Gillies, Programme Manager,
the tentative programme for the upco
ming ITC
-
WASME Workshop on enhancing
capabilities of trade promotion organisations and SMEs (Jan 2004) along with logistics
details were discussed and revisions suggested by Dr. Arun Agrawal were taken note
of for incorporation in the final programme.



Subsequently, Dr. Agrawal briefed Mr. R. Badrinath about the earlier discussions with
Mr. O. Atac on 7 October and of the positive response already received for participation
in the programme from India and other countries in Asia and Africa. Mr. Badrinath

assured him that ITC was committed to conducting the proposed programme with
WASME during January 2004 on a responsibility and cost sharing basis between ITC
and WASME.


Mr. Badrinath was also informed that Export
-
Import Bank had agreed to depute a senior

manager for secondment to ITC for a period of six months based on discussions
between WASME and ITC during their previous meeting in Geneva. Mr. Badrinath
desired that a formal communication to that effect be sent to ITC by Exim Bank so that
ITC could ini
tiate appropriate action from its side to facilitate such a secondment being
tried for the first time through a NGO.


Mr. Peter Walters, Director, ITC Division for Market & Product Development


At a Meeting with Mr. Peter Walters on 9 October, visitors fr
om WASME were briefed
on the work of the ITC MPD focusing principally on promoting exports of services
including on
-
line services in the field of accounting, healthcare and the like.

Mr. Walters appreciated the publicity given by WASME in its news

magazin
e to the
Workshop organised by his Division in Nigeria and Mozambique
eight

months ago to
promote
s
ervices exports by women entrepreneurs in Africa. He stated that ITC