MORE ALLOCATION OF FUNDS FOR HANDLOOM SECTOR UNDER Xth PLAN OUTLAY
Keeping in view the international market for
handloom sector, allocation under the 10th plan outlay have been
increased to Rs. 625 crores as against Rs. 452.50 crores in Ninth
Plan. In the current year, a provision of Rs. 140 crore has been
made for handloom sector schemes as against last year's plan outlay
of Rs. 117 crore for production of high value items for niche
markets. This was stated by Mr. Kashiram Rana, Minister of Textiles
while addressing the 3rd All India Handloom Board Meeting in New
Delhi today. He said the key issues which confront the growth
of the handloom sector are traditional production techniques,
lack of modernization, quality upgradation, lack of designs and
product innovations, non availability of timely credit facilities,
inadequate market intelligence and feedback, lack of requisite
marketing support and cost handicaps vis-à-vis other competing
products. The Minister suggested that the best way to save handloom
weavers is to ensure a well organised and remunerative market
for the cloth produced by them. More number of Marketing Complexes,
National Handloom Expos, and Haats shall have to be set up. Participation
in National and International fairs and exhibitions will have
to be augmented and made more purposeful. Organisation of specialized
craft melas, and district level events should be intensified,
as these are the platforms, which help the weavers in liquidation
of their handloom stocks. In view of the post 2004 scenario, the
Minister felt that the National Centre for Textile Design (NCTD)
and the National Institutes of Fashion Technology (NIFT) will
have to play a greater role in providing information on latest
fashion and cloth trends so that the weavers, exporters and handloom
agencies are able to produce high value fabrics to meet the changing
requirements of the market abroad. Mr. Rana expressed that the
Deen Dayal Hathkargha Protsahan Yojana is an ambitious scheme
introduced in the year 2000-2001 and it recognizes and covers
weavers within and outside the cooperative fold. But despite Central
government's best efforts, many States have not yet come forward
to extend benefit to their weavers under this scheme. During the
Xth Plan period, Ministry envisages to develop some identified
clusters in almost all the States so that the flow of funds from
the schemes being implemented by the Government of India benefits
the weavers in a coordinated and concerted manner. Minister of
Textiles said that CENVAT @ 9.2% and 18.4% respectively on cotton
and cellulosic spun yarn has been levied in the budget of 2002-03.
This includes additional excise duty on textiles and textile articles.
But in order to prevent hardship to handloom weavers, due to the
imposition of this duty, a scheme has been prepared to supply
the yarn net of CENVAT to handloom weavers. The scheme proposes
to provide for reimbursement @ 10% of the value of cotton yarn
and 20% of the value of cellulosic yarn so as to cover the duty
of 9.2% and 18.4% respectively to the agencies supplying such
yarn to handloom weavers. He stated that National Handloom Development
Corporation (NHDC), NTC and State Governments have been directed
to ensure uninterrupted supply of hank yarn to the weavers, net
of CENVAT and to claim reimbursement of the duty from the Central
Government. Speaking on the occasion, Minister of State for Textiles,
Mr. V. Dhananjaya Kumar said the Government is aware of the problems
of dispersed and unorganised handloom sector and is committed
to the socio-economic upliftment of the weavers. The Ministry
has been implementing a number of developmental schemes and programmes
for the benefit and welfare of the weavers such as Deen Dayal
Hathkargha Protsahan Yojana, Work-Shed-Cum-Housing, Health Package,
Thrift Fund, Insurance and Development of Exportable Products
and their Marketing, etc. These schemes are not only promotion-oriented
but are also designed to ensure that the teeming millions engaged
in this sector get remunerative wages, better work places, and
uninterrupted employment which alone can sustain the growth of
this sector. He suggested that a new direction should be given
to the policies and programmes so that this untapped source with
unlimited scope for generation of employment is put to maximum
utility. Mr. Dhananjaya Kumar added that despite the odds of low
earnings and shifts in consumer tastes and preferences, handloom
weaving continues by and large in the entire country and this
sector produces excellent works of arts such as Kancheevaram,
Baluchari, Jamdani, Paithani, Chanderi, Bandhani, Vichitrapuri,
Pochampalli, Patola, Muga varieties etc. Mr..S.B. Mahapatra, Secretary,
Ministry of Textiles said that the handloom sector is passing
through crisis all over the country and it is time to take some
remedial measures. He said in view of the changing tastes of the
consumers, marketing for handloom sector has become a major problem.
Efforts have to be made to improve upon the quality of the cloth
and additional designs to be innovated. The Board members highlighted
some of the problems being faced by the weavers and urged upon
the Ministry to take remedial steps.