Annual Survey of Industries

The industrial sector is one of the important sectors of the Indian economy and hence compilation of industrial statistics assumes a crucial importance, both for research and policy-making. The Annual Survey of Industries (ASI) is the principal source of Industrial Statistics in India. Till ASI 2009-10, the survey was conducted annually under the statutory provisions of the Collection of Statistics Act 1953 and Rules framed there under in 1959 except in the State of Jammu & Kashmir where it is conducted under the Jammu& Kashmir Collection of Statistics Act 1961 and Rules framed there under in 1964.

From ASI 2010-11 onwards, the survey is being conducted annually under the statutory provisions of the Collection of Statistics (COS) Act, 2008 and the rules framed there-under in 2011except in the State of Jammu & Kashmir where it is being conducted under the J&K Collection of Statistics Act, 2010 and rules framed there under in 2012. The Collection of Statistics Act, 2008 has been amended in 2017 as Collection of Statistics (Amendment) Act, 2017 which extends the coverage to All India. ASI 2016-17 is being conducted under this amendment.

It covers all factories registered under Sections 2(m)(i) and 2(m)(ii) of the Factories Act, 1948, where the manufacturing process is defined under Section 2(k) of the said Act. The survey also covers Bidi and cigar manufacturing establishments registered under the Bidi and Cigar Workers (Conditions of Employment) Act 1966. All electricity undertakings engaged in generation, transmission and distribution of electricity, not registered with the Central Electricity Authority (CEA) are also covered under ASI. However, defence establishments, oil storage and distribution depots, departmental units such as railway workshops, RTC workshops, Govt. Mints, sanitary, water supply, gas storage etc. are excluded from the purview of the survey.

As per the decision taken by the Standing Committee on Industrial Statistics (SCIS), the coverage of ASI may be extended beyond the purview of the Section 2m (i) and 2m (ii) of the Factories Act, 1948 and the Bidi & Cigar Workers (Conditions of Employment) Act, 1966. Accordingly, the units with 100 or more employees not registered under Section 2m (i) and 2m (ii) of the Factories Act, 1948 but registered under any of the seven Acts / Board / Authority viz., Companies Act. 1956, Factories Act. 1948, Shops and Commercial Establishment Act, Societies Registration Act, Cooperative Societies Act, Khadi and Village Industries Board, Directorate of Industries (District Industries Center) in the Business Register of Establishments (BRE) prepared and maintained by the State Governments are also to be considered for selection.

The primary unit of enumeration in the survey is a factory in the case of manufacturing industries, a workshop in the case of repair services, an undertaking or a licensee in the case of electricity, gas and water supply undertakings and an establishment in the case of bidi and cigar industries.

The ASI frame is based on the lists of registered factories / units maintained by the Chief Inspector of Factories in each State and those maintained by registration authorities in respect of bidi and cigar establishments and electricity undertakings. The frame is revised/ updated every year by the Field Operations Division of NSSO in consultation with the Chief Inspector of Factories in the States online through the ASI Web Portal.

For the purpose of frame, only those establishments, which are employing 10 or more workers with power or 20 or more without power, are to be entered in the frame in consonance with the Section 2m(i) & 2m(ii) of Factories Act. The above definition is slightly modified due to the amendment of the Factories Act, 1948 for the State of Maharashtra and Rajasthan, as below, which is applicable from ASI 2015-16 onwards:

“Section 2m(i) has been modified, i.e., from 10 or more workers with power to 20 or more workers with power and also Section 2m(ii), i.e., from 20 or more workers without power to 40 or more workers without power.” Persons who are “home workers” as per the Act are not to be included in ASI Frame. While revising the Biri & Cigar frame, all the establishments not fulfilling the above criteria (i.e. 10 or more workers with power or 20 or more without power) are not to be included in the frame.

The collection and dissemination of ASI data, on a regular basis, is of vital importance. It provides data on various vital aspects of the registered factories for use in the estimation of National Income, studies of industrial structure and policy formulation. Some of the important indicators generated based on ASI are number of factories, employment, wages, invested capital, capital formation, input, output, depreciation and value added on an annual basis.

For ASI, the factories in the frame are classified into two sectors, viz. the Census sector and the sample sector. The factories are selected for an annual survey with a set selection procedure. The survey is conducted from October to June for these selected factories.

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