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108 Items De-reserved from SSI Exclusive Manufacture List

No longer current — withdrawn, no replacement on file yet

Source: Reserve Bank of India · RBI/2005-06/141 · issued 25 Aug 2005 · ~2 min read

Quick answerRBI notified that 108 items were removed from the list reserved for exclusive manufacture by small-scale industries, effective March 28, 2005. The reserved list now stands at 506 items. Banks must update their lending and credit policies accordingly.

What changed

The Government of India, via Gazette Notification S.O. 420(E) dated March 28, 2005, de-reserved 108 items from the list of products exclusively reserved for manufacture in the small-scale sector. As a result, the total number of reserved items decreased to 506 as of that date.

What it means for you

Banks and lenders must note that these 108 items can now be manufactured by larger enterprises, potentially altering credit risk profiles and market dynamics for SSI borrowers. Lending to SSIs may need recalibration as competition increases in these de-reserved segments. This change could impact working capital and term loan assessments for units previously protected.

Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.

What banks were required to do at the time

Update internal databases and credit policies to reflect the revised list of 506 reserved SSI items.
Review existing SSI loan portfolios to identify exposure to de-reserved items and reassess risk.
Communicate the de-reservation to branch managers and credit officers for informed lending decisions.
Monitor market shifts in de-reserved sectors to adjust collateral and repayment expectations.

Who it affects

All Scheduled Commercial Banks including RRBs, Small-scale industrial borrowers, Credit and risk management teams, Branch managers handling SSI lending

❓ Common questions

Regulatory timeline

Stated effective date effective March 28, 2005
Decoded by BankPulse 2026-06-19 20:00 IST
Status change: withdrawn 05 Aug 2026, 04:00 IST

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

What is the effective date of this de-reservation?

The de-reservation of 108 items is effective from March 28, 2005, as per the Government of India Gazette Notification S.O. 420(E).

How many items remain reserved for exclusive SSI manufacture after this change?

As of March 28, 2005, the number of items reserved for exclusive manufacture in the small-scale sector stands at 506.

Do banks need to take any immediate action on existing loans to SSIs producing de-reserved items?

Yes, banks should review their loan portfolios for exposure to these 108 items and reassess credit risk, as larger enterprises can now compete in these segments.

📜 Read the original circular — full text as issued by RBI

RBI/2005-06/141
 RPCD.PLNFS.BC.NO. 36 /06.02.31/2005-06 
 August 25, 2005 

 The Chairman/Managing Director All Scheduled Commercial Banks
 (including RRBs) 

 Dear Sir, 
 Notification No.S.O.420(E) dated March 28, 2005 regarding changes in the list of reserved items for exclusive manufacture in the Small Scale Sector 

 Please refer to our circular RPCD.PLNFS.BC.No. 73/06.02.31/2004-05 dated January 15, 2005 on the captioned subject. 

 2. We advise that Government of India, Ministry of Commerce and Industry (Department of Industrial Policy and Promotion) has since issued a Gazette Notification No S.O. 420 (E) dated March 28, 2005 along with the names of 108 de-reserved items from the list of items reserved for exclusive manufacture in the small scale sector. With the issue of aforesaid Notification, the number of items reserved for exclusive manufacture in the small scale sector as on March 28, 2005 stands at 506. 

 3. A copy of letter No.21 (3) 2005-SSI.Bd.& Pol. dated July 26, 2005 received from the Government of India, Ministry of SSI, together with a copy of the Gazette Notification dated March 28, 2005 referred above is enclosed for your information. 

 4. Please acknowledge receipt. 
 Yours faithfully, 
 (G.P.Borah)
 Deputy General Manager

Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2005-06/141 · issued 25 Aug 2005. The plain-English explanation above is BankPulse’s own independent summary.

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BankPulse Compliance Evidence Pack — generated 05 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly).
Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=2473&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.