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Economic development of any country is largely dependent on its industrial development. Thus, the role of small-scale industries has always been supported in a country like India with various opinions such as employment, equality, latent resource, trickling effect, insurance against social tension, distributive effect, creation of social eco-system and decentralization etc. The other arguments in favor of this are making provision for self-employment and capital formation. Study of SSI has received many responses from various economists. The performance of the small- scale sector has a direct impact on the growth of the overall economy in terms of number of units, production, employment and exports. It may help to understand it's role in the economic development of the country. There is a prominent role of small-scale industries in the development of a nation. India is a developing country so that small scale industry is the backbone of it. SSI sector is one of the fastest growing sectors of the country. It provides huge employment opportunities and its presence is very important for the emerging countries like India. The contribution of SSI sector to the economy is increasing day by day. It is second largest employment provider sector of the country after agriculture. The contribution of SSI in the total export is also significant which is one-third of the total exports of the country. Though the SSI sector made significant contribution to the national economy even during the pre- independence period, no planned efforts were made for the promotion and development of this sector. Although after independence government had provided full attention to these industries.