CHAPTER III

CONCEPTUAL FRAMEWORK OF WOMEN EMPOWERMENT

AND ENTREPRENEURSHIP

3.1 BACKGROUND

Empowering women is a prerequisite for creating a good nation. When women

are empowered, society with stability is assured. Empowerment of women is essential

as their thoughts and their value systems lead to the development of a good family,

good society and ultimately a good nation. – A.P.J. ABDUL KALAM57

.

Women's empowerment is a process in which women gain greater share of

control over resources-material, human and intellectual like knowledge, information,

ideas and financial resources like money. It also implies an access to money and control

over decision-making at home, community, society and nation and to gain 'power'.

According to the Report of Government of India, "Empowerment means moving from a

position of enforced powerlessness to one of power". The work participation rate

indicates to a great extent the economic empowerment of women in the society. The

status of women is intimately connected with their economic position, which in turn

depends on opportunities for participation in economic activities.

Empowerment of women is a holistic concept. It is a multi-dimensional

approach and involves a basic retaliation and awareness of women powers,

potentialities capabilities and competences right and opportunities of all round

development in all spheres of life women empowerment. Therefore it is a process

which enables women to have access and control over various factors necessary for

57

Shectal Sharma, “Educational Women Empowered Women”, The Journal of Yojana, ISSN-0971-8400,

Oct -2006, p.52

their economic independence, political participation and social development but such

political participation and social upliftment would be meaningless and almost

impossible, if their economic independence is not achieved. The process of

empowerment will be challenging, which has to be properly addressed at different

levels both individual as well as collective through entrepreneurship.

The empowerment of women is one of the central issues in the process of

development of countries all over the world. Tamil Nadu has a glorious tradition of

recognizing the importance of empowering women over several centuries now. The

Government of India has made Empowerment of Women as one of the principal

objectives of the Ninth Five Year Plan (1997-2002) and also declared 2001 as the year

of 'Women's Empowerment'58

. Our constitution has conferred and guaranteed equality

before law, universal adult franchise and equal opportunities for men and women as

fundamental rights. The imperative of gender partnership in matters of development has

been recognized. In order to give a fill up to empowerment of women, appropriate

institutional mechanisms and interventions have been consciously built into the

development design. The launching of Rashtriya Mahila Kosh, Indira Mahila Yojana,

Mahila Samridhi Yojana, reserving of one third of the number of seats in Panchayat

and the local bodies are programmes launched with a view to improving and

empowering women socially, economically and in political frontiers. In order to get

economic empowerment, entrepreneurship is a tool. Moreover the Indian Government

has been launching a number of development activities to empower the women

entrepreneurs.

58

Shobha, K. and Vinitha, V, “Inclusion & Female Labour Force in Mernrega”, Southern Economist,

May 1,2001, p.59

The industrial development in any country occurs mainly on account of constant

striving of entrepreneurs who are responsive to business incentives and motivation. The

next development or under development of an economy is both the cause as well as the

consequence of inadequate development of entrepreneurial talent in the society. Unless

entrepreneurship development takes place on a large scale with the growing demands of

technology, industry and economy industrial development will not acquire the requisite

tempo and the industry will not become diversified and disbursed. The inactivity or

scarcity of entrepreneurs has been a major hindrance to economic development in many

Asian countries.

The emergence of entrepreneurs in a society depends to a great extent on the

economic, social, religious, cultural and psychological factors prevailing in the social

entrepreneurship is the propensity of human mind to the calculated risks with

confidence to make a success of industrial enterprise. Researchers have proved that

entrepreneurship is not an inborn quality. It can be created and nurtured. In India where

human resources are found in plenty, individuals with requisite entrepreneurial skills

can be identified, motivated and trained through entrepreneur development programmes

for undertaking risk bearing venture.

In India, under McClelland’s guidance the National Institute of Small Industry

Extension Training–Hyderabad conducted the first experimental programme for

development of entrepreneurship in the mid-sixties. The State Bank of India conducted

its first entrepreneurial development programme in 197859

. The Government has started

Science and Technology Entrepreneurship Parks (STEP) in Universities. Both Central

and State Governments have been providing many financial and non-financial

incentives to the prospective entrepreneurs.

3.2 MEANING OF WOMEN EMPOWERMENT

Empowerment means individuals acquiring the power to think and act freely,

exercise choice and fulfill their potential as full and equal members of society. As per the

United Nations Development Fund for Women (UNIFEM), the term women's

empowerment means:

Acquiring knowledge and understanding of gender relations and ways in which

these relations may be changed, developing a sense of self-worth, a belief in one's ability to

secure desired changes and the right to control one's life, gaining the ability to

generate choices and exercise bargaining power, developing the ability to organize and

influence the direction of social change and to create more just social and economic order,

nationally and internationally.

Thus, empowerment means a psychological sense of personal control or influence

and a concern with actual social influence, political power and legal rights. It is a multi

level construction referring to individuals, organizations and community. It is intentional,

involving mutual respect, critical reflection, caring and group participation, through

which people lacking an equal share of valued resources, gain greater access to and control

over these resources.

59

Himachalim, D, “ Entrepreneurship Development in Small Scale Sector”, Yojana, Feb 16-28, 1990,

p.16.

Mohini Giri (1998) states that women all over the world are overwhelmingly

concerned with the issue of gender equality through women's empowerment. The countries

of the world and the women's movement everywhere, during the past five decades that the

United Nations has been in existence, organized in a systematic and sustained manner, the

strategies and approaches that effectively enable women to be equal partners in one's

national progress and prosperity60

.

According to Sahay (1998), the actual definitions offered for "empower" are:

(1) To give power or authority to;

(2) Give ability to; enable; permit, (for example, court of law is empowered to

judge a person to be punished or not)61

.

'Power' is the key word of the term 'Empowerment', which means having control over

material assets like land and finance, intellectual resources like knowledge; information and

ideas, and to generate, sustain and propagate an ideology62

.

Empowerment has several other dimensions like social, economic,

psychological and political. Social empowerment connotes formation of social capacities such

as health, education, freedom and opportunities for realizing one's potentialities.

Economic empowerment implies entitlement to employment, income, property, productive

resources and benefits regardless of gender differences. Psychological empowerment

signifies confidence building, acquisition of a sense of efficacy and ability to overcome

60

Giri, M.V, “Emancipation as Empowerment of Women”, Gyan Publishing House, New Delhi.

61Sahay, S, “Women and Empowerment:Approaches and Strategies”, Discovery Publishing House, New

Delhi.

62Apte, J.S, “Education and Women's Empowerment”, Indian Journal of Adult Education, July-

September, 1995.

feeling of helplessness. Political empowerment implies equal say in the decision-making

process in the power structure at all levels from local to global. All these dimensions of

empowerment are so intertwined with one another that over reliance on one to the neglect

of the other are not likely to work63

.

Women are empowered in more ways than one. Feminists talk of different kinds of

empowerment-economic, social, political and integrated. Those who talk of economic

empowerment think that women are economically weaker and if they are empowered

economically, other kinds of empowerment are assured. Those who talk of integrated

empowerment want women to be empowered economically, educationally and

socially64

.

Empowerment in its simplest form means the manifestation of redistribution of

power that challenges patriarchal ideology and male domination. It is both a process and

the result of the process. It is transformation of the structures or institutions that reinforces

and perpetuates gender discrimination. It is a process that enables women to gain access to

and control of material as well as information resources. The concept of women's

empowerment throughout the world has it roots in women's movement. It is since the mid-

1980s that this term became popular in the field of development especially with reference to

women65

.

63

Sharma, S.L, “Empowerment without Antogonism: A Case for Reformulation of Women’s

Empowerment Approach”, Sociological Bulletin, Vol.49, pp.19-39.

64Suriakanthi, A, “Literacy-Essential for SHGs”, Social Welfare, Vol.47, pp.32-34.

65Chandra, S.K., “Women and Empowerment”, Indian Journal of Public Administration, Vol.43, July-

September 1997.

Empowerment is the means by which individuals, groups and communities take

control of their circumstances and achieve their own goals, thereby being able to work

towards helping themselves and others to maximize the quality of their lives66

.

Empowerment is the process of enabling or authorizing an individual to think,

behave take action and control work in an autonomous way. It is the state of feeling of

empowerment to take control of one's own destiny. Empowerment is the process by which

the powerless gain greater control over the circumstances. Various theories of

empowerment have been enunciated by theorists like Zimmerman 67

(2001) and Hall (1990),

among others. These theories enable us to understand the basics and the process of

empowerment. According to Zimmerman, as quoted by Fetterman (2001)68

,

empowerment processes are those in which attempts to gain control, obtain the needed

resources, and critically understand one's social environment are fundamental. The process

is empowering if it helps people develop their skills, so that they become independent

problem solvers and decision-makers. Empowering processes vary across levels of

analysis, according to Zimmerman. For example, empowering processes for

individuals may include organizational or community involvement; empowering processes at

the organizational level may include shared leadership and decision-making; and

empowering processes at the community level may include accessibility to

government, the media, and other community resources. This theory adds that the

outcomes of the empowering processes also differ across levels of analysis. At the individual

level outcomes might include situation-specific perceived control, skills and proactive

behaviors; at the organizational level outcomes might include organizational networks,

66

Adams, R, “Social Work and Empowerment”, London: Macmillan Press Ltd, 1996.

67Zimmerman, M.A, “Empowerment Theory”, Plenum, New Delhi.

68Fetterman, D.M, “Foundations of Empowerment Evaluation”, Sage Publications, New Delhi.

effective resource acquisition, and policy leverage and at the community level outcomes

might include evidence of pluralism, the existence of organizational coalitions, and

accessible community resources69

.

3.3 APPROACHES TO WOMEN EMPOWERMENT

Women's empowerment, according to Bhasin (1985), involved the transformation of

power relations at six different levels: Individual, family, group, organization, village

community and society. In order to empower the rural poor especially the women, female

development workers must first empower themselves.

The author identifies three approaches to women's empowerment: the integrated

development approach, which focuses on women's survival and livelihood needs; the

economic development approach, which aims to strengthen women's economic position

and the consciousness-raising approach, which organizes women into collectives that

address the sources of oppression. To be effective, empowerment strategies must

simultaneously address women's practical gender needs as well as strategic gender needs.

Finally, an undemocratic environment and a fragmented understanding of the concept and

process of empowerment will hinder experiments in empowerment70

.

3.4 STATUS OF WOMEN IN INDIA

Launching the nation-wide campaign to reverse the alarming decline in the

ratio of women in the population in the country, Minister for Women and Child

Development, Government of India said: "It is a tragedy that every year, half a million

69

Hall, C.M, “Identity Empowerment through Clinical Sociology”, Clinical Sociology Review,

Vol.8, 1990, pp. 69-86.

70Bhasin, K, “Education for Women’s Empowerment-Some Reflections”, Adult Education and

Development, March, 1985, p.38.

girl children are being killed and prevented from being born, ironically with the help

of modern tools of science and technology leading to the decline in the ratio of women

in the population. It is shocking that the declining sex ratio has already led to a

situation where brothers shared a wife and in some cases, even fathers and sons

shared a wife in several parts of the country". Ministry would therefore, observe the

next 10 years as the decade of the Survival of the Girl Child71

.

3.4.1 Contemporary Status

According to the Census of India 2001, 498 million women represented

48.2 per cent of the country's population of 1,027.01 crores. The sex ratio of 933

women per 1000 men as revealed by the Census Report 2001 shows the misuse of the

prenatal diagnostic technique to do away with female foetus. Health-wise, high rates of

infant and maternal deaths and severe anaemia in over half of all married women in

India are some of the indicators of the low priority accorded to women's health in the

country. Life expectancy of rural women, which was 32 years in 1947 has gone up to 64

years today. Infant mortality has decreased considerably.

According to the Census of India 2001, the literacy percentage of women

was only 54.16, though it has grown considerably since Independence. In 1951, the

literacy rate of women was only 8.86 per cent. In 2001, it had raised manifold which

went up to 54.16 per cent. The school enrollment has gone up to 99 per cent and

every eligible girl child today has all the freedom and opportunity to get education.

They now have access to higher education.

71

The Hindu, March 9, 2006, p. 13.

Ever since India became free, there have been phenomenal changes in the

condition of women. The constitution has given women the much needed status. They

are now equal before law. There can be no discrimination by the state on grounds of

gender. But, it is reported that in 1991, India had approximately 5157 dowry deaths,

20,611 molestation cases, 12,300 kidnappings and abductions, 10,283 cases of eve

teasing, 15,949 instances involving cruelty by husband and relatives72

.

In matters related to economic development, women continued to be

marginalized both in policy formulation and programme implementation. Low

level of skills lead to lower wages and low earning73

. In terms of employment,

women enjoy the same status as men and have to be given equal pay for equal work.

Assurance has been given to promote harmony and to renounce practices

derogatory to their dignity. Some of the recently enacted labour laws have

facilitated the employment of rural women as unskilled labourers in the organized

and unorganized sectors.

Politically, the reforms in the Panchayat Raj Act have given greater share for

women in rural governance. At present, the concept of Self-Help Groups for women,

particularly in rural areas has given them an opportunity to organize themselves to

engage in productive activities that could augment their earnings which leads to their

social and political empowerment.

3.4.2 Gender Disparity

72

Giri, M. V, “Emancipation as Empowerment of Women”, Gyan Publishing House, New Delhi,

1998.

73Agarwal, Bina, “Gender and Command Over Property: A Critical Gap in Economic Analysis and

Policy in South Asia”, World Development, Vol.22, No.10.

According to Amartya Sen (2001), gender inequality is not a homogenous

phenomenon but a collection of desperate and interlinked problems and the different

kinds of gender inequality were displayed in mortality, basic facility, special

opportunity professions, ownership, and household matters. We shall look into the

classification of gender disparity at birth, growth and survival.

3.4.3 Birth Disparity

In being born as female children and in giving birth to children, women

experience grave disparity, while the infant mortality reveals that the right to be born

is denied, the maternal mortality speaks of the lack of medical care and attention to

women.

3.4.4 Infant Mortality

Sex ratio (females per 1000 males) is a simple but very strong index of the

long-term status of women's welfare. India is one of the few countries where males

significantly outnumber females and their imbalance has increased over time.

According to Census of India 2011, the sex ratio is 940. Table 3.1 shows the sex

ratio in Tamil Nadu and India.

Table 3.1

Sex Ratio (1901-2011)

Sl. No. Year Tamil Nadu India

1. 1901 1044 974

2. 1951 1007 946

3. 1961 992 941

4. 1971 978 930

5. 1981 977 934

6. 1991 974 927

7. 2001 986 933

8. 2011 995.06 940

Source: http://updateox.com, Date: 01.10.2011

The table reveals that in Tamil Nadu, the ratio has registered a continuous

decline except in 2001. According to the 2001 Population Census, the sex ratio for

the State stood at 987 as against 974 in 1991 Census. The rural sex ratio is

relatively favourable at 992 compared to 981 in urban areas. It may also be noted

that sex ratio in Tamil Nadu was consistently better than all-India average.

In Tamil Nadu, the sex ratio has been raised to 995.06 in 2011 (1991 sex ratio-

974). The inter-district variations in Tamil Nadu have been striking. Table further

shows that in Tamil Nadu, the sex ratio was 1044 in 1901 and 1007 in 1951. After

completion of 50 years there have been rapid changes in men and women sex ratio.

3.4.5 Maternal Mortality

India's Maternal Mortality Rates (MMR) in rural areas is one of the highest

in the world. From a global perspective, India accounts for 19 per cent of 911 lives

births and 27 per cent of all maternal deaths. It is estimated that pregnancy related

deaths account for one-third of them, considered preventable forever.

3.4.6 Education

Education can pave the way for an overall development of individuals and for

the society. Female literacy is not only an end in itself, but also serves as a catalyst for

overall performance in other segments too. Table 3.2 shows the literacy ratio in Tamil

Nadu.

Table 3.2

Literacy in Tamil Nadu

Sl.No Year Male (%) Female (%) Total (%)

1 1951 31.73 10.06 20.85

2 1961 44.54 18.17 31.41

3 1971 51.78 26.36 39.46

4 1981 58.26 34.99 46.76

5 1991 74.88 51.30 63.72

6 2001 82.33 64.55 73.47

Source: Census of India (1951-2001)

It is clear from the table that the literacy levels of women in Tamil Nadu (64.55

per cent) have been always above the national average (India’s female literacy: 54.16

per cent).

3.5 STATUS OF WOMEN–GLOBAL SCENARIO

The status of women in global scenario is presented below.

3.5.1 Economic Status

At present, one in every four households in the world is headed by woman.

When compared to men, the majority of women earn on an average about three-

fourths of the pay of males for the same work outside of the agricultural sector in

both developed and developing countries.

The Value of women’s unpaid house work and community work is estimated

between 10-35 per cent of GDP worldwide amounting to $ 11 trillion in 1993. Women

hold 35.1 per cent of professional posts in the United Nations Secretariat including

17.9 per cent in senior management.

3.5.2 Educational Status

There is inequality in the opportunity given to girls for their formal school

education worldwide. Two-thirds of the 130 million children worldwide, who are not

in school, are girls. During the past two decades, the combined primary and secondary

enrollment ration for girls in developing countries increased from 38 per cent to 78

per cent.

3.5.3 Political Status

United Nations observed that despite the recent election of women heads of

state in Chile, Liberia and Germany, women are making scant progress around the

world in getting into leadership positions in business, government and academia, even

in wealthy nations. The pace is still too slow, said the report prepared by UN Secretary

General Kofi Annan to mark the International Women’s Day.

3.6 Status of Women in Tamil Nadu Demographic Features

Population growth has been stabilized over the years in Tamil Nadu. The

status of women with regard to population over five decades is given in Table 3.3.

Table 3.3

Growth of Women Population

(In millions)

Source: Directorate of Census Co-operations, Tamil Nadu.

Table reveals that the female population constitutes nearly half of the total

population in the State.

Census

Tamil Nadu All India

Male Female Persons Male Female Persons

1951 22.8 7.3 30.1 186 175.6 361.1

1961 16.9 16.8 33.7 226 212.9 439.2

1971 20.8 20.4 41.2 284 264.1 548.2

1981 24.5 23.9 48.4 353 330.0 683.3

1991 28.3 27.6 55.9 439 407.1 846.3

2001 31.4 31.0 62.4 531 495.7 1027.0

3.6.1 Women Literacy

Education is the main instrument for transformation in any society. The

economic and social returns to education for women are substantial. By educating

its women, a country can reduce poverty, improve productivity, ease population

pressure and offer its children a better future. A package approach is required for

developing female education.

The differences in the levels of literacy between males and females were

significantly higher in rural areas than in urban areas. This indicates that specific

intervention may be required for developing the literacy rates of the female

population especially (less privileged classes) in rural areas.

Table 3.4

Female Literacy Rate in Tamil Nadu - 2001 Census

Region Male Female Percentage

Rural 77.15 55.28 66.21

Urban 88.97 75.99 82.53

Total 82.42 64.43 73.45

Source: Director of Census Operations, Tamil Nadu.

Table 3.4 shows that the female literacy rate in Tamil Nadu is 55.28 per cent in

2001 but the male literacy rate in Tamil Nadu was 77.15 per cent in rural area. Table

further shows that the female literacy in urban area was 75.99 per cent against the male

literacy rate of 88.97 per cent.

3.6.2 Employment and Work Participation Rate

Table 3.5 shows the work participation rate as well as number of workers in

Tamil Nadu.

Table 3.5

Work Participation Rates and Number of Workers in Tamil Nadu

(Census based)

RegionsWork Participation Rate (%) No. of Workers (lakhs)

1981 1991 2001 1981 1991 2001

Rural 59.24 58.28 59.38 96.7 108.2 104.0

Male 33.55 38.50 41.33 54.1 70.1 71.8

Female 46.48 48.49 50.39 150.8 178.3 175.8

Urban 51.25 52.78 56.37 41.8 51.4 77.6

Male 11.97 13.10 18.42 9.3 12.2 24.8

Female 32.05 33.34 37.59 51.1 63.6 102.4

Total 56.58 56.39 58.96 138.5 159.6 181.6

Male 26.52 29.89 31.32 63.4 82.4 96.6

Female 41.73 43.31 44.78 201.9 241.9 278.2

Source: Census 1981, 1991 & 2000, GPI.

As per the Census results for Tamil Nadu, the work participation rate for

females rose from 26.52 per cent in 1981 to 31.32 per cent in 2001, the rate of growth

has been faster than males. However, the number of female workers accounted for

34.72 per cent in the total workforce of 278 lakhs in 2001. The corresponding figure

for 1991 Census was 34.06 per cent. In the total population, nearly half were females

but they accounted for only 34 per cent of the total workers. This proportion has to be

improved for ensuring better and all round economic empowerment.

3.6.3 Women and Political Participation

Political equality to all children regardless of birth, sex, colour, etc., is one of

the basic premises of democracy. Political equality includes not only equal right to

franchise but also more importantly, the right to access to the institutionalized

centers of power. Thus, political participation of women means not only using the

right to vote but also power sharing, co-decision making and co-policy making at

all levels. The active participation of women in political sphere is integral to

empowerment of women and helps to build a gender-equal society as well as to

speed up the process of national development, Women's political empowerment is

premised on three fundamental and non-negotiable principles: (a) the equality

between women and men; (b) women's right to the full development of their

potentials; and (c) women's right to self-representation and self-determination. In PRI

women are increasingly coming to the fore and are providing leadership at the grass

root level. This has profound social implications which go a long way in addressing

gender related discrimination in development.

3.6.4 Violence against Women

Table 3.6 shows violence against women.

Table 3.6

Violence against Women

Sl.No Year No. of Crimes

1 2005 5791

2 2006 4722

3 2007 6605

4 2008 6524

5 2009 5333

6 2010 6127

7 2011 4036

Source: Dinamalar News Paper, dt. 1-10-2011

Table 3.6 indicates that the number of crimes against women was 5791 in

2005 it has decreased to 4036 crimes against women in 2011. So it can be concluded

from the above table that 2005 between 2011, and violence against women has been

decreasing that been 2005 and 2011, due to high women literacy rate, government

policy, legal awareness etc.

3.7 NATIONAL INITIATIVES FOR WOMEN EMPOWERMENT

For various historic and socio-cultural reasons, women are a vulnerable section

of our society and several macro indicators relate to education, health, employment,

economic participation, etc. Women also comprise a sizeable segment of the poverty

struck population. Development and empowerment of women has been a priority in

successive plans and several public expenditure programs are directed to these

objectives. However, outcome of administrative inertness is not often realized. Women

face gender specific bureaucrats to access of public service and expenditure.

Gender Budgeting lends itself to strengthening of administrative processes and

action to achieve the targets for improvement in the position of women. It not only

entails a look at allocation of resources for women but goes beyond to cover tracking

the utilization of allocated resources, impact analyses and beneficiary incidence

analysis of public expenditure and policy from a gender expenditure and policy from a

gender perspective. As the nodal Ministry for women, the Ministry of Women and

Child Development has been undertaking several initiatives for empowerment of

women. In this context the ministry has honed Gender Budgeting as a tool for

14%

14%

14%

14%

14%

15%

15%

Year

1

2

3

4

5

6

7

achieving the goals and targets enshrined for women in our constitution and plans and

policies. In 2004–05 the ministry adopted “Budgeting for Gender Equity” as a Mission

Statement. A Strategic Framework of activities to implement this mission was also

framed and disseminated across all Ministries of Government of India. The year 2005-

06 has been devoted to carry forward this exercise and universalizing gender budgeting

initiatives in the government at the centre and states.

The term Gender Budgeting has been defined differently in various documents

on the subject to establish its gender-differential impacts to translate gender

commitment into budgetary commitments. Thus gender budgeting looks at the

government budget from a gender perspective to access how it addresses the needs for

women in the areas like health, education, employment, etc. Gender Budgeting does not

seek to create a separate budget but seeks affirmative action to address specific needs of

women.

In order to empower the weaker and socially and economically deprived

sections of the society, the Ministry of Welfare which was constituted on 25th

September 1985, was renamed as the Ministry of Social Justice and Empowerment

on 25th May 1998 during the IX plan period. The responsibility for implementation of

the schemes is shared between the Central and State Governments. The Department

of Women and Child Development, since its inception, has been implementing

special programmes for holistic development and empowerment of women with

major focus on improving the socio-economic status of women. Some of the recent

programmes and initiatives of women and development implemented by the

Departments of Women and Development and Rural Development in the area of

women's empowerment are as follows:

3.7.1 Women Development

In the Women and Child Development sector, the nodal Department of Women

and Child Development also implements a few innovative schemes besides

formulating policies and programmes; enacts/amends legislations affecting women

and co-ordinates the efforts of both Governmental and Non-Governmental

Organizations (NGOs) to raise the overall status of women on par with that of men.

The programmes of the Department include: (i) empowering strategies; (ii) employment

and income generation; (iii) welfare and support services; (iv) awareness generation and

gender sensitization and (v) other enabling measures. These programmes play the

role of being both supplementary and complementary to the other general

development programmes in the sectors of health, education, labour and employment,

rural and urban development, etc. Some of the important on-going interventions of the

nodal department during the ninth plan are detailed below.

3.7.2 Empowering Strategies

The erstwhile programme of Indira Mahila Yojana programme launched in

I995 was recast as Swayamsidha in 2001 to empower women by generating awareness

and helping them to achieve economic strength through micro-level income-

generation activities and facilitate easy convergence of various services such as

literacy, health, non-formal education, rural development, water supply,

entrepreneurship, etc.,

Another empowering intervention refers to ‘Swa-Shakti Project' sanctioned in

1998, for a five-year period till 2003 with assistance from the International

Development Association and International Fund for Agricultural Development

Swa-Shakti has been in action in 57 districts of 9 states of Bihar, Chhattisgarh,

Gujarat, Haryana, Jharkhand, Karnataka, Madhya Pradesh, Uttaranchal and Uttar

Pradesh. Its major objective is to create an enabling environment for empowerment

of women through setting up of self-reliant women's SHGs and developing linkages

between SHGs and lending institutions in order to ensure women's continued access

to credit facilities for income generation activities.

3.7.3 Employment and Income Generation

The Support for Training and Employment Programme (STEP), launched in

1987, provides a comprehensive package of upgradation of skills through training,

extension inputs and market linkages to poor and assetless women in the traditional

sectors of agriculture, dairy farming, handicrafts, handlooms, animal husbandry,

sericulture and fisheries. Since inception of this programme, about 6.1 lakh women

have been covered under 133 projects launched in 19 states viz. Andhra Pradesh, Bihar,

Chhattisgarh, Gujarat, Haryana, Himachal Pradesh, Karnataka, Kerala, Madhya

Pradesh, Maharashtra, Manipur, Nagaland, Orissa, Sikkim, Tamil Nadu, Tripura,

Uttaranchal, Uttar Pradesh and West Bengal. Nearly 60 per cent of the projects have

been in the dairy sector. About 8,000 women's dairy co-operatives with more than 4

lakh members have been organised throughout the country mainly through the

initiative of State Cooperative Milk Federations. Another Programme called

Training-cum-Production Centres for Women (popularly known as NORAD) was

launched in 1982-83 with the assistance from the Norwegian Agency for

Development and Cooperation (NORAD). The Scheme attempts to improve the

lives of young women/girls especially school drop-outs and semi-literates, by

extending training to non-traditional trades like electronics, watch assembling,

computer programming, garment making, secretarial work, community health

work, embroidery, weaving, etc.

3.8 CONCEPT OF ENTREPRENEUR

The word “Entrepreneur” is derived from the French verb entrepredre. It means

“to undertake”. In the early 16th

century the Frenchmen who organised and led military

expeditions were referred to as “Entrepreneurs”. In the early 18th

century French

economist Richard Cantillon used the term entrepreneur to business. Since that time the

word entrepreneur means one who takes the risk of starting a new organisation or

introducing a new idea, product or service to society.

According to J.B Say, “An Entrepreneur is the economic agent who unites all

means of production, land of one, the labour of another and the capital of yet another

and thus produces a product. By selling the product in the market he pays rent of land,

wages to labour, interest on capital and what remains is his profit”.

The Indian Government having realised the importance of the role to be played

by women in the development of the nation, has incorporated in the Sixth Plan a special

chapter on women’s development which explains in detail, the plan of action for

integration of women’s participation in national development74

. A separate programme

for training of women entrepreneurs was started in 1978-79. The programmes are being

operated through the network of small Industries services Institute and other institutions

74

C. Rani, 1992, “Potential women entrepreneurs – A study”, Women in enterprise and profession (C.

Kalbagh-Editor) Discovery.

like District Industries centres, State Financial Corporations, state small Industries

Corporations and commercial banks.75

In the 1980’s women have started looking up at entrepreneurship as an

economic and gainful option. The new Industrial policy 1980, has emphasised the need

for implementing the entrepreneurship programme for women in rural and urban areas

to uplift their status in the economic and social field. Product and process courses were

framed to train the women group for their participation in industries and business.

The Seventh Plan (1985 – 90) has stated that women section have to be given

special recognition and provided with requisite facilities for bringing them into the

main stream of economic growth. In this regard the plan has emphasised the following

tasks:

1. To treat women as specific target groups in all development programmes.

2. To properly diversify vocational training facilities for women to suit to their

varied needs and skills.

3. To encourage appropriate technologies, equipments and practice for

reducing their drudgery and increasing their productivity.

4. To provide industrial estates at the State level.

5. To increase women’s participation in decision making.

75G. Ravindran Nair, “A glimmer of hope for self employed women”, Commerce, Sep 3-9,

1988, p.48.

It is only after the draft of the seventh Five year plan and National Perspective

Plan for Women’s Development of 1988, that women’s employment issues started

gaining considerable focus.

Besides financial institutions and banks, a number of non financial and

voluntary bodies are also engaged in this field. At the state level, the state Technical

Consultancy Organisation and District Industrial Centre conduct entrepreneurship

development progammes for women. The ladies Association of Federation of Indian

Chamber of Commerce and Industry provides on the job training to women in addition

to entrepreneurship development programmes. Indian Council of Women

Entrepreneurs (ICWE) and National Science and Technology Entrepreneurship

Development Board also offer training programmes to interested women.

The Eighth plan focuses in a big way on generation of self employment among

women. Government of India has accepted the definition of “Women entrepreneurs

enterprise” are recommended by National level Standing Committee on women

entrepreneurs. Women entrepreneurs enterprise is an enterprise owned and

administered by a women entrepreneur having financial interest of 51 percent of share

capital and having atleast 50 per cent of the employment generated in the enterprise to

woman. This conceptual clearance brought about a change in the approach to the

development of women entrepreneurs.

The new Industries Policy for small scale sector announced by the Government

of India in August 1991 has placed considerable stress on promotion of

entrepreneurship and self-employment among women through several measures such

as specialised training programmes, ensuring timely and adequate availability of credit

at affordable rate of interest and marketing support76

.

The steps taken by the Government to foster the growth of women

entrepreneurship and the growth of industrialization, urbanization and a change in the

educational pattern has led to change in the custom bound society of India. More

women are coming forward to take up self-enterprise. It is evidenced by the response

shown to the entrepreneurship development programmes for women conducted by

various institutions77

.

The entrepreneurial opportunities available to women depend on their

education, skills aptitude, economic level and employment opportunities in the region.

Rural women play a active role in small industries like doll making, pottery, handloom

weaving, broom making, basket making, bee keeping and sericulture. They are also

engaged in a host of non-farm activities like palm-gur and canegur processing,

processing of cereals, goat and sheep rearing, daring needle work, embroidering,

tailoring etc.

Now-a-days elite women in cities are making a land mark in the non-

conventional fields such as consultancy, marketing, advertising, manufacturing,

electronics, garment exporting, interior decoration and designing, beauty clinics

handicrafts, textile printing, food processing, etc.,

Under the scheme of National Awards to outstanding small scale entrepreneurs

started in 1983, until March 1996, 10 awards out of a total of 104 had been won by

76

Shashi Singh Chowdry, 1993. Proceedings of 10th

national convention of women entrepreneurs,

National Alliance of Young Entrepreneurs, New Delhi. p.23.

77The Hindu, News item, 18th September, 1987.

women on their own merit. The total number of industrial units in the small scale

sector financed by the State Bank of India was about 12 lakhs. Out of this about a

lakh was constituted by women entrepreneurs thus representing about eight percent of

the total78

.

As the number of women entrepreneurs have steadily increased, they have

attracted the attention of the Government as well as the development agencies.

National conventions, International Conventions, Seminars and a number of

workshops have been held on women entrepreneurs. But there has been no census

carried out on women entrepreneurs in the country. The Department of Industries has

a record on the number of applications made in the name of women. But this does not

provide any indication as to whether these enterprises are operated and controlled by

women.

From 1975 to 1990 small scale industries in the country had increased four

times from 0.4 million to 1.8 million. Out of this about 0.15 million units were owned

by women entrepreneurs. The percentage of women owned enterprises to total small

scale enterprises is 8.33 only. This is less when when compared to the growth of

enterprises in other advanced countries. In advanced countries of the world, there is

phenomenal increase in the number of self employed women after the second world

war. In US women own about 25% of full business. In Canada over one third of all

small business are owned by women and in France it is one fifth. In United Kingdom,

since 1980, the number of self employed women has increased three times as far as the

number of self-employed men.

78

Sinha, K.C, (1990), “Proceedings of Eighth National Convention Entrepreneurs”, New Delhi. p.13

Not only the number of women entrepreneurs is less in India, but also the

women entrepreneurs enterprise is small in traditional manufacturing activities with

low investment, low turnover, minimum number of employees and with no

professional assistance. In India, the traditional business activities of women

entrepreneurs are popularly identified as pickles, pappads, powder, garments and

block printing etc., This reflect the feminine psyche, social and economic, educational

financial and legal limiting factors that contribute to the gender status in industry

today.

3.8.1 Concept of Entrepreneurship

Entrepreneurship is the process of identifying opportunities in the market place,

arranging the resources required to pursue these opportunities and investing the

resources to exploit the opportunities for long term gains. Entrepreneurship is the

indivisible process that flourishes, when the interlinked dimensions of individual

psychological entrepreneurship, entrepreneur traits, social encouragement, business

opportunities, government policies, availability of plenty of resources and opportunities

converge towards the common good development of the society and economy.

According to Schumpeter, “Entrepreneurship is essentially a creative use of an

organization” According to the Indian concept, entrepreneurship has yet another

dimension. An entrepreneur may not necessary be an innovator but an imitator, who

would copy the organization, technology and product of innovators from other

developed regions. Entrepreneurship has great importance in various economic

systems. It is an interesting dynamic and developing subject which today, has won the

attention of large masses of students, research scholars and businessmen at large.

3.8.2 Women Entrepreneurship

Women entrepreneurship is the process where women or group of women

initiate, organize and run business enterprise and provide employment opportunities to

others. The Government of India has defined women enterprise as an industrial

un i t where one o r more entrepreneurs have not less than 51 per cent of financial

holding. A woman as entrepreneur is economically more powerful than a mere-

worker. Women's active participation in economic activities leads to their economic

development. Participation of women in entrepreneurship will provide a change to

utilize their free time, rather than being employed outside their homes in some other

job. Emergence of women entrepreneurs in the economy is an indicator of women's

economic independence and their social status.

Entrepreneurship is not a totally new concept for women. Women have long

been getting things done in her household activities. Her traditional role as a supervisor

of household activities will no doubt enable her to run a business efficiently and

successfully. Women even the illiterate rural ones practice and use all the tools and

techniques of efficient management like financial management, human resource

management, time and space management and maintenance management. Only thing is

they do not know the modern jargons used by experts79

.

Self-employment is better suited to women than the employment for the double

role which a woman has to play even now. It is her own master. She can be with her

family whenever she wants or is needed unlike in employment where she is at the

mercy of the office timings, regulations and her boss.

79S. Panandiker, “problems and prospects of self employed women”, Women in Enterprise and

Profession (Ed. C.Kalpagh), Discovery Publishing House, Delhi, 1992, P. 73.

The quest for economic independence and better social status and

sometimes the sheer need for the family's survival force women into self-

employment and entrepreneurship. Motivational factors behind the entry of women

in entrepreneurial career are many.

3.9 ENTREPRENEURSHIP DEVELOPMENT IN INDIA

Manufacturer Entrepreneurship did not develop in India till 1850. It has been

due to weak transportation and communication systems. However, some kind of

entrepreneurship was observed among artisans in a few cities like Banaras, Allahabad,

Gaya which were established on the banks of the river because mostly rivers provided

the transport facilities. An entrepreneur was abundant among Indian Entrepreneurs too.

But India did not offer sufficient scope for its exercise. Hence, a large number of

traders and money lenders migrated to various countries like Malaysia, Burma,

Singapore and Kenya, lack of capital created various problems for the contusions.

In the wake of the Industrial Revolution, Agency Houses started employment of

natural resources and promoted leather and steel making. British people initiated

Entrepreneurship as far as plantations of tea and coffee were concerned. The Indian

entrepreneurs could not compete with the British entrepreneurs in those areas. British

entrepreneurs presumably were not interested in cotton, textile and steel, therefore

Indian entrepreneurs made good progress in these areas.

Modern factory system was introduced in India, from 1850 onwards. The first

cotton mill was set up in 1850. The textile industry was properly established in 1875.

The second phase of entrepreneurship growth began during and after the First World

War. During the decades, commandant, sugar industries experienced fast progress.

After India’s Independence the empowerment realized the need for balanced growth of

industries. Important measures were taken to encourage proper distribution no process.

The Government laid emphasis on the growth of small scale industries in cities, towns

and villages. During the Third Five Year plan the Government of India started

providing capital technical knowhow and in industrially potential areas.

3.9.1 Development of Women Entrepreneurship since Independence

Women entrepreneurship development has been broadly analysed in brief

under three phases; First phase (1947-83), Second Phase (1983-90) and Third

Phase from 1991 onwards.

3.9.1.1 Women Entrepreneurship - First Phase

The Government of India has taken a number of measures after

Independence to improve the conditions of women in general which includes

constitutional provisions, labour legislations, to protect women, honoring the I.L.O

Conventions and Charter and help in the field of employment, working conditions,

vocational training, ensuring equal pay and helping them in formation of women

organizations and voluntary agencies that help tiny women entrepreneurs. A significant

step was taken with the declaration of the Decade 'of Women (1975-85) by the U.N.

This resulted in a series of steps to improve the status and conditions of women at all

levels, including executive and entrepreneurial levels. Between 1971 and 1985,

SIDO through its Small Industries Service Institute has organised about 8100

programmes in women entrepreneurship.

3.9.1.2 Women Entrepreneurship - Second Phase

The year 1983 may be treated as a turning point in the entrepreneurship

development since after this year it became a national movement. Two apex

institutions NIESBUD in New Delhi and EDII, Ahmedabad were established in this

year. These two institutions began planning a variety of programmes for

entrepreneurship including women entrepreneurship. In 1985-86, out of a total of

1140 EDPs women received about 10 per cent (108). In 1989-90, IDBI also started

two new programmes called Mahila Udhyam Nidhi (MUN) under which seed capital

assistance were given to women entrepreneurs and the other called Vikas Nidhi under

which NGOs dealing with women entrepreneurs were given assistance.

3.9.1.3 Women Entrepreneurship-Third Phase-1991 onwards

The year 1991 marks an important landmark in Indian history. As a part

of the New Economic Policy (NEP), the government also announced a special

Industrial Policy for small scale and tiny industries on 6th

August, 1991. Industrial

Policy Resolution of 1991 has highlighted the necessity to provide special training

programmes to develop entrepreneurship in women. The entrepreneurship training was

made more institutionalized by making a part of curriculum in universities and other

higher educational institutions. Thus, since Independence, a number of institutions

were set up to render assistance to women entrepreneurs in form of training,

financial assistance and marketing assistance. Table 3.7 shows the development of

women entrepreneurship in India.

Table 3.7

Development of Women Entrepreneurship

Sl.NoFive Year

PlansViews on Women

1. First plan

(1951-56)

Set up Central Social Welfare board in 1953 to promote

welfare work through voluntary organizations, charitable

trusts etc.

2. Second Plan

(1956-61)

Supported the Development of education, pre-natal and

child health (1960-services, Supplementary feeding)

3. Third Plan &

Interim plan

Had provisions for women’s education, pre-natal and

child health (1961- services, Supplementary feeding for

children, nursing and expectant).

4. Fifth Plan

(1974-78)

A major shift in the approach towards women from

Welfare to Development.

5. Six Plan

(1980-85)

Accepted women’s development as a separate Economic

Agenda. Took a Multidisciplinary approach with a

three-pronged thrust on health, education and

employment.

6. Seventh Plan

(1992-97)

Had the objective of bringing women into the

mainstream of National Development.

7. Eight Plan

(1992-97)

Saw a paradigm shift from development to

Empowerment and benefits to women in the core sector

of education, health and employment. Outlay for women

rose from Rs.4 Crore to Rs. 2,000 crore in the Eighth

Plan.

8. Ninth Plan

(1997-02)

Had Empowerment of women as its strategic objective.

Accepted the concept of a women’s component plan to

assure that at least 30% of funds/benefits from all

development sector flow to women.

9. Tenth Plan

(2002-07)

Suggests specific strategies, policies and programmes

for Empowerment of Women.

10 11th

plan

(2007-12)

Women Empowerment on political and legal level

3.10 WOMEN’S EMPOWERMENT THROUGH SELF EMPLOYMENT

Employment in general and self-employment in particular is, intimately

connected with women's empowerment. Self-employment in the context of rural

women plays a significant role in connecting them with work-world and domestic

world. It helps them to earn fairly reasonable amount without affecting their familial

and domestic responsibilities.

Self-employment has a great impact on their status in the family. Financial

independence implies the control over their incomes. Employed women tend to push

through their decisions in personal and family issues. In order to provide greater

empowerment to women the Government of India has launched several schemes for

women's employment. The schemes would be implemented through Gram Panchayats.

But it is important to know whether the Gram Panchayat members and rural women are

aware of the schemes With the launching of the Ninth-Five-year Plan (1997-2002), a

number of schemes have been initiated with a bias for empowerment of rural women.

The major schemes, having women's component, as implemented by the Ministry of

Rural Development during the last few years, included Swaranjayanti Gram Swarozgar

Yojana (SGSY), the Jawahar Gram Smridhi Yojana (JGSY), the Indira Awas Yojana

(IAY) etc. At present the most important scheme for empowerment of rural women is

Swarnjayanti Gram Swarna-rozgar Yojana (SGSY).

The Swarnjayanti Gram Swarna-rozgar Yojana, which has been launched with

effect from April 1, 1991 is a holistic programme covering the various aspects of self-

employment, such as organization of the poor into self-help groups, training, credit

technology, infrastructure and marketing. It is envisaged that 50 per cent of the groups

formed in each block.

Table 3.8

Awareness of Self-employment Schemes

SchemesGPMs

No.% T. No

SHGMs

No.% T. No Total

136 68 200 126 63 200 65 400

Indira Awaz Yojana 138 69 200 92 46 200 55 400

Ambedkar Yojana 128 64 200 10 55 200 59 400

Ashraya Yojana 126 63 200 122 61 200 59 400

PMRY 136 68 200 56 28 200 42 400

Navagram Yojana 200 10 200 102 51 200 75 400

Kooligagi Kalu 200 100 200 200 100 200 59 400

Stree Shakti 192 96 200 190 95 200 90 400

Table 3.8 shows that an overwhelming majority of both GPMs and SHGMs

were aware of the schemes meant for women's development and empowerment.

Investigation revealed that rural women were more aware of SGSY, Kooligagi Kalu

and animal husbandry schemes meant for women.

It could be clearly stated that a majority of the rural women, under investigation,

had some idea of the schemes meant for their upliftment. Implementation of Self-

Employment Schemes for Women's Employment Self-employment is an important

method of making rural women economically self-dependent Self-employment enables

women to come in contact with men and women, other family members, kith and kin

and caste people. But empowerment depends on the nature of employment. For

example, daily wages, contract basis employment does not develop much ability,

power and courage in women. Jobs, which require education, skills, public contact

make women more powerful.

3.11 DEVELOPMENT AND PROMOTION OF WOMEN

ENTREPRENEURS

According to the Third All India Census of Small Scale Industries conducted

in 2001-02 and subsequent estimates made, only 10.11 per cent of the Micro and

Small Enterprises in India are owned by women while 9.46 per cent of the MSE

enterprises are managed by women. In 2006-07 their estimated number is 12.99

lakh women managed enterprise and 12.15 lakh women managed enterprise. In

order to encourage more and more women enterprises in the MSE sector, several

schemes have been formulated by this Ministry and some more are in the process

of being finalized, targeted only at the development of women enterprises in

India.

3.11.1 Trade Related Entrepreneurship Assistance and Development Scheme for

Women (Tread)

With a view to encouraging women in setting up their own ventures, the

government implements a scheme, namely Trade Related Entrepreneurship

Assistance and Development (TREAD) during the 11th Plan. The scheme envisages

economic empowerment of women through the development of their entrepreneurial

skills in nonfarm activities. There are three major components of the scheme,

Government of India grant up to 30 per cent of the total project cost to the Non-

Government Organizations (NGOs) for promoting entrepreneurship among women. The

remaining 70 per cent of the project cost is financed by the lending agency as loan for

undertaking activities as envisaged in the project. Government of India grant up to Rs.l

lakh per programme to training institutions/NGOs for imparting training to the women

entrepreneurs, subject to these institutions/NGOs bring their share to the extent of

minimum 25 per cent of Government of India grant and 10 per cent in case of NER. (iii)

Need-based Government of India grants up to Rs.5 lakh to National Entrepreneurship

Development Institutions and any other institutions of repute for undertaking field

surveys, research studies, evaluation studies, designing of training modules etc.

3.11.1.1 Operationalisation of the Tread

The scheme envisages that Women Associations/NGOs/SHGs should prepare

composite bankable proposals for a group of women entrepreneurs and submit to the

office of the DC (MSME) for forwarding to the banks for their appraisal. Bank examines

the proposal and issues approval. 30 per cent of the loan amount is sanctioned as grant and

made available to the bank by office of DC (MSME) for further disbursement to NGOs.

3.11.2 Micro and Small Enterprises -Cluster Development Programme (MSE-CDP)

A cluster is defined as a group of enterprises, ideally having 100 members,

producing same similar products/services. While 100 members could be the minimum per

cluster, depending on the density of population and other factors, even 200-300 could be a

good target group for undertaking Diagnostic Study and the subsequent Soft Interventions

in a cluster. However, in difficult and backward regions the target numbers could come

down to 50 or less but it should not be too small as a lot of Government expenditure is

made per cluster. The Cluster Development Programme (CDP) being implemented

envisages diagnostic study of identified clusters of traditional skill-based MSEs to

identify appropriate technologies and their providers and to facilitate adoption of

available technology meeting the specific needs of the end users. The Cluster

Development aims at enhanced competitiveness, technology improvement, adoption of

best manufacturing practices, marketing of products, employment generation etc. The

scheme provides assistance for capacity building, common facilities, marketing etc. the

delivery, assimilation and diffusion of the identified technology from its producers to the

recipient user/cluster of small enterprises.

3.11.3 Credit Guarantee Fund Scheme for Micro and Small Enterprises

The Scheme was launched in August 2000 to ensure better flow of credit to micro

and small enterprises by minimizing the risk perception of financial institutions and

banks in lending without collateral security. Under the scheme, guarantee cover is

provided to collateral free credit facility extended by member lending institutions

(MLIs) to the new as well as existing micro and small enterprises on loans up to Rs.50

lakh. The guarantee cover available is up to 75% of the loans extended. The extent of

guarantee cover is 80% for (i) micro enterprises for loans up to Rs.5 lakh; (ii) MSEs

operated and/or owned by women; and (iii) all loans in the North-East Region. The

lending institutions availing guarantee from the Trust have to pay one time guarantee

fee of 1.5 per cent and service charges of 0.75 per cent per annum of the credit facility

sanctioned. For loans up to Rs.5 lakh, the onetime guarantee fee is 1 per cent and

service charges are 0.5 per cent per annum of the credit facility sanctioned.

3.11.4 Support for Entrepreneurial and Managerial Development

MSME-Dls regularly organize a number of Entrepreneurship Skill Development

Programme (ESDPs), Entrepreneurial Development Programme (EDPs), Management

Development Programmes (MDPs) to train the potential entrepreneurs in improving

their techno/managerial knowledge and skill with a view to facilitating them to start

MSEs in various fields. Many of the programmes are tailor made for the target group for

SC, ST, OBC, Women, Minorities and other weaker sections and exclusively for women

also. These programmes are also called "Out-reach Programmes" as they are conducted in

rural and less developed areas. 22.5 per cent of total target of ESDPs/EDPs are conducted

exclusively for SC/ST, women and physically challenged persons with a stipend of Rs.

500/- per month per candidate under the Promotional Packages for MSEs. No fee is

charged from SC/ST, women and physically handicapped. No fee is charged from SC and

ST and 50 % fee from women and physically handicapped candidates who attend the ESDP

/EDP /MDP courses conducted for general candidates.

3.11.5 Swarnajayanthi Gram Swarozgar Yojana

In 1999 the central government launched a programme as “Swarna Jayanthi

Gram Swarozgar Yojana” (SGSY). It aims at establishing a large number of micro

enterprises (SHGs) in the rural areas. Funds under the SGSY will be shared by the

central and state government in the ratio of 75:25. The SGSY was implemented by the

District Rural Development Agency.” The process of planning implementation and

monitoring would integrate the banks and other financial institution, the Panchayat Raj

Institutions (PRI), Non Government Organization (NGO) as well as technical institutes

in the districts. As the result of Shankar Committee District Rural Development

Agency was setup in 1st

April 1999. SGSY funds issued through DRDA departments

which is located in every districts at collectorate. DRDA has traditionally been the

principal organ at the district level to oversee the implementation of the anti poverty

programmes of the ministry. This agency was created originally for the

implementation of Integrated Rural Development Programme (IRDP) but was

subsequently entrusted with a number of programmes, both of the central and state

governments.

3.11.6 Entrepreneurship Awareness Programme (EAP)

In order to empower women, Science City has been organising

Entrepreneurship Development Programme (EDP) and Entrepreneurship Awareness

Programme (EAP) to bring out the talents of women and to make them stand on

their own feet. To ascertain the status of women scientists, Science City has

embarked upon the task of creating a data-base of women scientists in the entire

State of Tamil Nadu. To encourage the women scientists, Science City has

instituted Life Time Achievement Award and Young Women Scientist Awards.

During 2005, five women scientists were awarded the Young Women Scientists

Award.

3.11.7 Tamil Nadu Corporation for Development of Women

Tamil Nadu Corporation for development of women was established in

1983 which aims at the socio-economic empowerment of women. As a prelude,

the Corporation is implementing the Mahalir Thittam among poor rural women to

promote saving habits, nurture entrepreneurial skills and aptitudes and promote

exposure to banking transactions and to free them from the clutches of local

moneylenders. The scheme is being implemented in partnership with Non-

Governmental Organisations (NGOs) and Banks. Under the scheme, self help groups

are formed and monitored through NGOs affiliated with the Tamil Nadu

Corporations for Development of Women.

3.11.8 Self Help Groups

Self Help Groups are small homogenous groups consisting of 12-20 women

from below poverty line families voluntarily organised to promote savings. They are

self-managed groups of poor women which primarily came into existence to mobilize

financial resources through their own savings and lend the same amongst themselves

to meet the credit needs of their members. The specific objectives of SHGs are:

i. improve saving habits among women;

ii. increase the total family income;

iii. fulfill the economic needs through self-employment of women;

iv. utilize bank loan and government welfare schemes;

v. help the members to escape from the clutches of

moneylenders; and mobilize financial resources.

The Self Help Group Movement has emerged as a powerful and vibrant

movement spread over the length and breadth of the state. As on 30.6.2006 there

were 3,19,713 self help groups under Mahalir Thittam with a total savings of

Rs.1,127.89 crores in Tamil Nadu. The position of this vibrant movement is

presented in table 3.10.

Table 3.9

Status of Self Help Groups in Tamil Nadu

Particulars Status

Total number of SHGs 3,19,713

Total number of Group Members (lakhs) 51.68

Number of Rural Groups 2,62,270

Number of Rural Group Members 42,68,195

Number of Urban Group 57,443

Number of Urban Group Members 9,00,067

Total Savings (Rs. in crores) 1127.89

Credit Linked Groups 2,29,562

Amount of Loan disbursed (Rs. in crores) 1837.61

Source: Policy Note, Rural Development Department, 2006-07.

Table shows the status of self help groups in Tamilnadu. Table reveals that the

total number of self help groups was 3, 19,713 in Tamilnadu and the total number of

self help groups in rural areas was 2, 62,270. Table further reveals that in urban areas,

the number of self help group was 57,443.

3.12 STRATEGIES ADOPTED BY TAMIL NADU GOVERNMENT FOR

WOMEN EMPOWERMENT

The Government of Tamil Nadu have framed various policies, designed

specific interventions and implemented many programmes to eradicate poverty and to

provide education to the vulnerable sections of the society.

3.12.1 Education of Women

Education to women is the most powerful instrument of changing their position

in the society. Education also brings about reduction in inequalities and also acts

as a means to improve their status within the family. In order to encourage

education of women at all levels and to dilute gender bias in the provision and

acquaintance of education, schools, colleges and even universities were

established exclusively for women in the State To bring more girl children,

especially from marginalized BPL families into the main stream of education,

Government has been providing a package of concessions in the form of free supply

of books, uniform, boarding and lodging, clothing for hostilities, mid-day meals,

scholarships, free by-cycles and so on. The Mother Teresa Women University has

been established for the development of women studies and to encourage higher

education among women and their social mobility.

3.12.2 Periyar EVR Nagammai Scheme

Periyar EVR Nagammai Free Education Scheme has been implemented in

the State from 1989-90 to women students irrespective of caste, creed and community

to encourage their education and to reduce dropout rate. As per the scheme those

students' whose parental annual income was less than Rs.24,000/- were exempted

from payment of tuition fees in undergraduate courses. During 2005-06, 8936

women students were benefited under this scheme. In 2006-07, a sum of Rs.65.00

lakhs has been allocated for this scheme.

3.12.3 Free Coaching Exclusively for Women Students

To encourage and enable women students to appear for the IAS/IPS

examinations, the Government established two free coaching centers-one at Queen

Mary's College, Chennai and the other at Arulmigu Meenakshi Government College

for Women, Madurai. In each center, 60 women students are being given free

coaching. During the current year, the government has provided a sum of Rs.1.00

lakh for implementing this scheme.

3.12.4 Entrepreneurship Development Training Programme for Women (EDP)

EDP training is conducted by TNCDW to expose the SHG women to various

business opportunities and to motivate them to start economic activities. Up to

March 2006, the Corporation has trained 6,34,991 women in co-ordination with

other Government departments such as Rural Development, Agriculture,

Industries and Commerce, Backward Classes, TAHDCO, Slum Clearance Board,

etc. In 2006-07, 22000 more SHG women will be provided EDP Training by

TNCDW.

Table 3.10

Women Entrepreneurship in India

StatesNo. of Units

Registered

No. of Women

EntrepreneursPercentage

Tamil Nadu 9618 2930 30.36

Uttar Pradesh 7980 3180 39.84

Kerala 5487 2135 38.91

Punjab 4791 1618 33.77

Maharashtra 4339 1394 32.12

Gujarat 3872 1538 39.72

Karnataka 3822 1026 26.84

Madhya Pradesh 2967 842 28.38

Other States & UTC 14576 4185 28.71

Total 57,452 18,848 32.82

Source: Policy Note, Rural Development Department, 2006-07.

It is clear from table that the number of women entrepreneurs is high in

Uttarpradesh and followed by Gujarat. It is further clear from table that the number of

units registered is high in Tamilnadu followed by Uttarpradesh. In Tamilnadu, 9618

units have been registered and 2930 women entrepreneurs are there. The following

table shows the number of women entrepreneurs in various districts of Tamilnadu.

Table 3.11

Number of Women Entrepreneurs in Various Districts of Tamilnadu as on 1990

and 2011*

Sl.NO Name of District No of Unit Percentage Rank

1 Changai 249 3.8 8

2 Chennai 1175 18.2 2

3 Chidambaram 72 1.1 16

4 Coimbatore 1829 28.3 1

5 Dharmapuri 246 3.8 9

6 Dindigal 146 2.26 14

7 Kamaraj 371 5.7 4

8 Madurai 294 4.5 5

9 Nilagiri 94 1.45 15

10 North Argaud 285 4.41 6

11 Pasumpon

Muthuramalingham

59 0.9 18

12 Periyar 215 3.33 11

13 Puthukottai 224 3.47 10

14 Ramanathapuram 57 0.8 19

15 Salem 181 4.0 12

16 South Arcot 260 6.2 7

17 Thanjavur 405 0.9 3

18 Tirunelveli 60 2.9 17

19 Tiruchi 187 - 13

Total 6409 100

Source: Kala 1993, Status of Micro Enterprises set up by Women in Tamilnadu (Small

Scale Unit), Proceedings of IV International Women Entrepreneur Conference p.47.

*As per the table in Tirunelveli district 60 women entrepreneurs were registered

in 1990, whereas till March 2011, only 425 women entrepreneurs have been registered.

The above table indicates that the number of women entrepreneurs in various

districts of Tamilnadu as on 1990 and 2011. Further the table shows that the growth of

women entrepreneurs in Tirunelveli is very low due to the lack of awareness of

entrepreneurship, low self interest, government schemes and loan availability etc.

In 1990, Tirunelveli district had only 60 registered women entrepreneurs which

got 17th

rank whereas the Coimbatore district had got first rank (1829 registered women

entrepreneurs. Subsequently Chennai, Thanjavur, Viruthunagar, North Arcot, South

Arcot, Chengai, Dharmapuri, Puthukottai, Salem, Tiruchy, Dindigal, Nilagiri,

Chidambaram, Tirunelveli, Pasumpon Muthuramalingham and Ramanathapuram

district followed suit.

The following table shows the number of percentage of women entrepreneurs

registered with district industrial centres in Tamilnadu.

Table 3.12

Number of Percentage of Women Entrepreneurs Registered with District

Industrial Centre in Tamil Nadu

Sl.No YearNo. of Women Entrepreneurs

RegisteredPercentage

1 1990-91 1123 8.68

2 1991-92 1638 12.66

3 1992-93 2789 21.56

4 1993-94 3212 24.84

5 1994-95 4172 32.26

Total 12934 100

It could be seen from table that there has been consistent increase in the number

of women entrepreneurs registered every year. The following table shows the growth of

women entrepreneurs registered with district industrial centre in Tamil Nadu.

Table 3.13

Growth of Women Entrepreneurs Registered with District Industrial Centre in

Tamil Nadu

Sl.No YearNo of Women Entrepreneurs

RegisteredGrowth Rate

1 1990-91 1123 -

2 1991-92 1638 60.27

3 1992-93 2789 70.15

4 1993-94 3212 15.25

5 1994-95 4172 29.89

Average Growth Rate: 43.89

It is evident from the table during the year 1991-92 and 1992-93 there is

considerable increase in number of registration on the previous year i.e 60.27 per cent

and 70.15 per cent whereas in the year 1993-94 and 1994-95, the growth rate is not

significant. The average growth rate of women entrepreneurs’ registration between

1990-91 and 1994-95 is 43.89 per cent.

3.13 ASSOCIATIONS PROMOTING WOMEN ENTREPRENEURS

A brief analysis of various associations and agencies that are functioning at state

and national levels to promote women entrepreneurs is made for reference.

3.13.1 Self-Help Groups (SHGs)

The Self Help Group is an association of small group of self-employed rural or

urban women entrepreneurs who join together to take care of group welfare. The group

with the help of financial institutions and other NGOs get their needs satisfied. Each

member contributes little amount to cover seed money.

3.13.2 Federation of Indian Women Entrepreneurs (FIWE)

FIWE is the outcome of resolution passed in the 4th

International Conference

Women Entrepreneurs held at Hyderabad. It was started in 1993 with the following

main objectives. Moreover it interacts with various women associations of the country

through a network to facilitate the members in diversified activities.

Activities of FIWE are as follows:

To provide network facilities to women entrepreneurs in the country and

abroad to develop their business.

To provide facilities to member associations in the areas of marketing,

quality control, export management, standardization etc.,

Facilitates the member associations to participate in national and

international conference, fairs, exhibitions, to provide greater exposure to

women entrepreneurs in local regional, national and global business

environment and provide and access to various business opportunities

available.

Provides facilities to expand the business of members and of member

associations.

Women entrepreneurs can easily access the latest technologies relating to

their business through FIWE.

Other facilities such as providing new business opportunities facilitating

financial needs of members, better management of business enterprises etc.,

are also provided.

3.13.3 Women’s Trust of India (WTI)

Women’s Trust of India was established in 1968. The promoter Kamila Tyabji

made a small beginning with two shops in Mumbai and a training and production

centre at Panavel. The trust was started with the main objective of helping women

entrepreneurs and encouraged by various activities of trust, it further extended its

activities which are as follows:

Establishing Kamila Trust in UK in 1994 to market the products of WTI

members.

Has started educational programme in “Nursing” and Kindergarten training.

Has a plan to launch computer training for women.

It also provides assistance to its members to secure finance from financial

institutions. Training in business skills is imparted to needy women entrepreneurs. The

trust acts as an Information System to provide information to aspiring women on

business opportunities available to them.

3.13.4 SIDBI

Small Industries Development Bank of India is an institution established at the

national level to provide facilities to small scale industries. SIDBI has introduced two

special schemes for women (i) Mahila Udyam Nidhi which is an exclusive scheme for

providing equity to women entrepreneurs and ii) Mahila Udyam Nidhi which offers

development assistance for pursuit of income generating activities to women.

3.13.5 SIDO

Small Industries Development Organisation (SIDO) is conducting various

programmes including Entrepreneurship Development Programmes (EDPs) for women.

To cater to the needs of potential women entrepreneurs, who may not have adequate

educational background and skills, SIDO has introduced process/product oriented

EDPs in areas like TV repairing, Printed Circuit Boards (PCBs), Leather goods, Screen

printing etc., A special prize to repairing “Outstanding Women Entrepreneur” of the

year is being given to recognize achievements made by and to provide incentives to

women entrepreneurs training–cum- income generating activities for needy women to

make them economically independent.

3.13.6 Consortium of Women Entrepreneurs of India (CWEI)

Consortium of Women Entrepreneurs of India is a voluntary organization,

consisting of NGOs, SHGs, voluntary organizations and individual business units. This

came into being in 2001. The objective is to provide technology upgradation facilities

to women entrepreneurs and other facilities in marketing, finance, human resource

development and production.

3.13.7 NABARD

National Bank of Agriculture and Rural Development (NABARD) is an

autonomous financial institution at the national level established on the lines of Reserve

Bank of India (RBI) to provide various types of agricultural credit to agriculturists of

the country. As an extension function, NABARD provides liberal credit to rural women

entrepreneurs. “It aims at treating women as risk–free bankable clients, provide

linkages along with credit identify appropriate economic activities for women and

promote linkages along with credit, (SHGs) and link them with the formal banking

system. Schemes such as ARWIND (Assistance of Rural Women in Non- farm

Development), MAHIMA (to market the products other than agri products produced by

rural women and also finance them up to Rs. 10 lakhs in the form of refinance) and

support Regional Rural Banks and Co-operative Banks in the form of grant assistance

to establish women development cells.

3.13.8 Central and State Government Schemes

State Governments have come out with several schemes to develop women

entrepreneurs. DWCRA (Development of Women and Children in Rural Areas), a

scheme designed for state government was implemented in 1982–83. The scheme

provides a structured programme for women development. Women in groups can seize

the business opportunities under this scheme. Uncountable women throughout the

country have availed the facilities to develop themselves as entrepreneurs and have

organized different types of trades and business houses on a sustained basis under this

scheme. DWCRA focuses on the issued like improving the economic, social, health and

education status of the rural women.

3.13.9 Self- Employed Women’s Association (SEWA)

SEWA is a Trade Union of Women which was registered in 1972 under Trade

Union Act. This has been functioning since then to empower poor rural women

entrepreneurs. Even urban poor women have become the members of SEWA to

become self-employed person. The SEWA members are not coming from the organized

sector. They are the women of unorganized sector and are unprotected. They constitute

nearly 90 per cent of the women labour force of the county. SEWA has international

affiliations. One with “Home Net” the international network for home-based workers

and the other with “Street Net International” an association of hawkers and vendors.

With these affiliations, SEWA has extended its operations to the global level and has

the opportunity of receiving grants from international organizations such as Ford

Foundation, the United Nations International Children’s Fund, (UNICEF), International

Labour Organization (ILO) etc., Government of India (GOI) is also providing funds to

this organization.

3.13.10 Association of Women Entrepreneurs of Karnataka - AWAKE

Association of Women Entrepreneurs of Karnataka is one of the premier

institutions in India which is totally devoted to promote and develop entrepreneurship

among women. Association of Women Entrepreneurs of Karnataka was established in

1983, with an intention to help women entrepreneurs and today it is one of the pioneer

institutions in India which is working in the areas of training and helping the women to

start their own business and there by empower them to join the economic mainstream.

AWAKE focuses on women form both urban and rural areas, which are aspiring to be

socially and economically self–reliant, irrespective of their academic, social and

economic background.

3.13.11 Entrepreneurial Training and Development Cell

Tirunelveli Entrepreneurial Training and development centre has started its

functions in 1997 with the general and specific objectives. The general objective is

focused on unemployed youth both men and women and the specific objective is only a

women entrepreneur’s training programs to women only.

The general objectives are

i. To give guidance and direction for unemployed youth to start a self

employment

ii. To give proper training to become an entrepreneur

iii. To provide vocational training to both men and women. This institute

covers the following the functional areas such as Tirunelveli, Tuticorin,

Ramnadu, Nagercoil and Kanyakumari. Further it gives various training

program to young women entrepreneurs. Management Training program,

Vocational Training, Carrier Guidance and Consulting, etc.

3.13.12 Prime Minister Rojgar Yojana (PMRY)

Under the Prime Minister Rojgar Yojana Scheme this center has been providing

various services to Tirunelveli and Tuticorin district only. This center had conducted

WETP (Women Entrepreneur Training Program) in 2001 to 2005. It is only for women

under Self Help Group members. It has highly concentrated on the women

development and self employment. It gives various training like vocational training,

computer training, screening printing, cell phone services, tailoring, flower bouquet etc.

The Age limit of the beneficiary is between 18 years to 60 years.

3.14 PROBLEMS AND CONSTRAINTS FACED BY WOMEN

ENTREPRENEURS

Though development policies and performances have created a positive

impact in women’s position in society, still the growth and expansion of women

entrepreneurial field is haunted by a number of difficulties, snags and problems. The

major barriers encountered by women entrepreneurs are as follows:

The main problems faced by Indian women entrepreneurs are financial

constraints, over dependence on intermediaries, scarcity of raw material, intense

competition, high cost of production, low mobility, family responsibilities, economical

social status and adverse effects of risk bearing, lack of education and skill

acquisition, low need for achievement.

Women entrepreneurs in India are always seen with suspicious eyes,

particularly in rural areas, they face more social barriers. Women generally lack,

confidence in their own capabilities. Having accepted a subordinate status for long,

even at home, members of their family do not appear to have total confidence in

their abilities and on their decision making. Society in general also lacks confidence in

women's strength, traits and competence.

In our society, more importance is given to educating the male child as

compared to the female child. This results in lack of schooling and vocational

training of women, lack of attaining technical skills and thereby lack of awareness of

opportunities available. Moreover, due to their family responsibilities women have

less time compared to males as they have to play dual role at home and at business

premises. They have to strive hard to balance their family life.

The most important problem faced by women entrepreneurs is lack of access

to funds because they do not posses any tangible security and credit in market. Since

women do not enjoy right over property of any form, they have limited access over

external source of funds. As generally women entrepreneurs have small scale

business; they have to strive hard to sell their products in the modern competitive

world. They lack marketing knowledge and skills. Therefore, they generally depend

more on middlemen. Their margin of profit will be more and hence cause for higher

selling price which affects consumers attraction towards women's products.

Women entrepreneurs lack knowledge of availability of raw material,

financial facilities, government assistance, subsidy and advanced technology. The

inability of women entrepreneurs to keep pace with the latest advancement in

technology and lack of technical know-how results in high cost of technology

acquisition and machinery utilization. These problems result in increasing the cost

of production and adversely affecting the profitability of the unit. Hence it becomes

necessary to find remedies for the problems of women entrepreneurship. Though

over a period of time, the central, state government and non-government

organizations have taken so many steps to solve the problems, yet it is necessary to pay

special attention in the transition period.

3.15 Remedial Measures

For women's entrepreneurial development, women's organizations, women's co-

operatives and NGOs should be promoted to assist self employment for women. Through

this, income generation is accelerated to achieve empowerment . More financial

assistance should be given to small women entrepreneurs at lower interest rates

without stress on collateral security.

The critical factors affecting the success of a business are entrepreneurial

strength of the promoter, the viability of the project and the adequacy of finance. The

entrepreneurial training programmes must aim at building up the above factors into

the personality of potential entrepreneurs. The training component should

include skill formation knowledge on different technologies, handling of better

equipments, legal aspects of running a business, preparation of feasibility reports,

better marketing and communications. Wherever possible, training programmes

should be framed to support and promote group entrepreneurs. The great advantage

of group entrepreneurship is that it can be carried out with poorest of the poor. Group

entrepreneurship can also help the entrepreneurs to face the market from a strong

bargaining position.

As women have to face severe marketing problems, these entrepreneurs should

be taken into consideration by government markets should be developed in

rural and semi urban areas so that women entrepreneurs can sell their products easily

in the nearest markets. More and more fairs and exhibitions should be arranged for

the products produced by women entrepreneurs. Development of transport and

communication facilities throughout the country will also help women entrepreneurs

to market their products easily.

Women entrepreneurs are dogged by the problem of lack of information as

regards to their business field. At present data on nature and magnitude, of women

entrepreneurship at national level, its industry wise composition and its geographical

distribution across the country are not available. To solve this problem, information

bureaus should be started to help them in getting the required information.

Moreover, it is necessary to build up an effective research and data base in the field

of women entrepreneurs. It can help in locating gaps and the emerging needs in the

area of women entrepreneurship and in planning appropriate policies and programme

for women entrepreneurs in future.

Workshops and seminars should be organized frequently for the officials of

financial and support agencies and for women entrepreneurs to make their

relations cordial. Where several institutions are involved in the development of

women entrepreneurship, there should be proper co-ordination in terms of

objectives, fiscal targets and social outcomes. Women entrepreneurs should acquire

relevant training in technology. They should be knowledgeable about the functioning

of machines and processes. They should be more assertive with their employer.

Now it is clear that movement for development of Women Entrepreneurship is

still in a transition period. Entrepreneurship for women can be planned and developed

and the need for providing appropriate awareness and environment to promote

entrepreneurship is of vital importance. Government and public enterprises should

offer ancillary units to women entrepreneurs.

3.16 SUMMARY

Existing Entrepreneurial Development Programmes are largely adequate and

appropriate to help women entrepreneurs for their betterment. A new entrepreneurial

culture is developing among women entrepreneurs based on the values and strengths,

such as creativity, flexibility, openness to co-operation, a human approach to

business relations and attention to social and cultural as well as financial goals in

business. If Indian women's talent is utilized properly, one day India will become an

ideal country to others. Therefore, development of entrepreneurship among women has

become an important aspect of the overall economic development of women. Thus

women entrepreneurs can play a crucial role in industrial as well as human resource

development and strengthen the nation's economic development in the midst of a highly

competitive global business environment and emerge themselves in yet another new

dimension to the entire universe.