The unorganised manufacturing sector represents an important part of
the economy in many countries, especially in developing countries like
India. The sector is regarded as the growth engine of many developing
economies and is one of the fastest growing industrial sectors all over
the world. In India the unorganised manufacturing sector has been
experiencing stupendous performance over the last three decades,
especially after economic reforms. The strategic role of the sector is
perhaps the creation of a wide variety of gainful employment
opportunities at a very lower cost of capital, together with its contribution
in terms of production, income generation, exports and capital
accumulation (Bala Subrahmanya, 2004). The sector also plays a vital
role in growth of entrepreneurship and industrialisation in rural and
backward areas through creating new small enterprises.