29th January, 2003
Ministry of Textiles  


RS. 625 CRORE FOR THE HANDLOOM SECTOR IN THE 10TH PLAN

HANDLOOM EXPORT IN THE CURRENT YEAR TOUCHES RS. 1102 CRORE


The Minister of Textiles , Shri Kashiram Rana, has said that an outlay of Rs. 625 crore has been envisaged for various schemes in the handloom sector during the 10th plan. The Schemes which would be implemented during the 10th Plan are Deen Dayal Hathkargha Protsahan Yojana, Workshed-cum-Housing Scheme, Weavers’ Welfare Scheme, Design Development & Training Programme, Marketing Promotion Programme, Handloom Export Scheme, Implementation of Handlooms (Reservation of Articles for Production) Act, and Mill Gate Price Scheme. During the 9th Plan, an amount of Rs. 514.46 crore was released to the State/UT Governments under various welfare and developmental schemes for the handloom sector, he added. Shri Rana was addressing the members of the Consultative Committee attached to his Ministry here today.

Shri Rana informed the Members that handloom cloth production had crossed 7500 million square metres which constitute about 19 per cent of the total production in the textile sector put together. Handloom exports during the period April-August this year have been of the value of Rs. 1102.34 crore as against Rs. 837.53 crore during the corresponding period last year registering an increase by 31.62 per cent in Rupee terms and 26.63 per cent in US dollar terms.

The Minister told the Members that assistance was being provided to the weavers under the Workshed-cum-Housing Scheme, Thrift Fund Scheme, Health Package Scheme and Insurance Scheme. A special contributory insurance scheme for covering one million weavers is on the anvil. He said that on the design development front, the TANTAVI exhibition was one of the initiatives taken by the National Centre for Textile Design (NCTD), which was set up in Delhi two years ago, for providing the weavers with the designs conforming to the anticipated trends and fashions in domestic and international markets. TANTAVI exhibitions were held in New Delhi, Mumbai, Kolkata, Bangalore, Hyderabad and Chennai as also at International fairs in Indonesia, Australia and Italy. The response received for TANTAVI products both in the domestic and international exhibitions were overwhelming, he added.

The Textile Ministry would shortly launch a massive programme of skill upgradation of one lakh weavers over a period of five years. The Government has also prepared a scheme to supply of yarn, net of CENVAT, to handloom weavers, with a provision for reimbursing duty to the organizations designated by the State Governments and the National Handloom Development Corporation (NHDC). Pending approval of this scheme, the State Governments and NHDC has been instructed to arrange the supply of yarn net of duty to handloom weavers in anticipation of getting the duty incidence reimbursed.

Shri Rana said that the Government would ensure a well-defined and delineated area for handlooms that would not be encroached upon by the other sectors of the textile industry. This would be achieved by the effective implementation of the Handloom Reservation Order. He said that the developmental schemes would enable the handloom industry to face the competition in the free-trade regime. The strategy to face the challenge was by emphasising the Unique Selling Points (USP) of Indian handlooms, he added.

The Minister of State for Textiles, Shri Basanagouda R. Patil, emphasised the need of the handloom weavers to concentrate on value addition to enable their products to compete with other textile products. He told the members that the handloom weavers would be encouraged to produce items that could not be replicated on power looms, thereby creating a niche market in the long run. The Indian handlooms would be reorganised to cater to the class market in addition to the market for the masses, he added.

The Members who attended the meeting included Shri C. Kuppusamy, Shri M. Chinnasamy, Smt. Sandhya Bauri, Shri G. Ramamohan, Shri G. Puttaswamy Gowda, Shri A.P. Abdullakutty, all from Lok Sabha, and Shri R. Ramachandraiah, Shri Lajpat Rai both from Rajya Sabha.