2. SECTOR OVERVIEW
The handloom sector occupies a distinct and unique place in the Indian
economy, besides being the largest generator of non-farm rural employment.
The handloom industry is largely household based, carried out with labour
contributed by the entire family. It is dispersed, spread across thousands of
villages and towns in the country.
Along with the artistry of weavers, the Indian handloom industry demonstrates
the richness and diversity of Indian culture. The sector, which employs about 4.3
million people , is the second largest employment provider for the rural
population in India after agriculture.
The sector accounts for 14.9% of the total cloth produced in the country
(excluding wool, silk, hosiery and khadi)and have the largest infrastructure with
2.3 million weaving looms.
3. The total handloom cloth production in India reached 6.7 billion sq. m in 2005-
06, registering a growth rate of 2.3%.
Handloom industry in India is best known for its distinctiveness, style,
traditionalism and modern technology. Each and every state in India has the
capability of boasting innovative printing, weaving, embroidery and designing
trends.
6. Kozhicode, Palghat &Trichur
Tamil Nadu
- Arrupukottai, Anakaputhur, Arani,
Arokonam, Ayyampettai, Andipatti & Bhawani
7. SOME MAJOR EXPORTERS:
Prapum-INDIA
Vardaans- INDIA
G.B.T Exports-INDIA
Indu arts-INDIA
C.P. Exports- INDIA
J.K. Traders-INDIA
Global Exports- INDIA
8. HANDLOOM EXPORT PROMOTION COUNCIL
It is registered under the Companies Act, 1956, was constituted in 1965
by the Government of India as the nodal agency for export promotion
efforts related to the cotton handlooms textile sector.
The HEPC provides to its members a wide range of services which inter-
alia consists:
- Dissemination of trade information and intelligence
- Publicity abroad for Indian handloom products
- Organising business mission/buyer seller meet and participation in
trade fairs abroad
- Providing impetus to modernisation of handlooms for the export market
- Consultancy & guidance services for handloom exporters
9. DOMESTIC INDUSTRY
Arunachal Pradesh: Weaving, cane and bamboo
work, carpet making, wood carving, ornaments
Goa: Pottery And terracotta, brass metal work, laquerware /
wood turning, crochet and embroidery, bamboo craft, fiber
craft
Himachal Pradesh: Woven craft, wood craft, stone
craft, metal craft, jewelery
Karnataka: Wood work, Mysore silk, metal ware, Mysore
paintings
Rajasthan: Antiques, pottery, dhurries and
carpets, fabrics, furniture and wood carving, gesso
work, jewelery and gemstones, leather ware, metal
crafts, paintings, puppets and stone carving
Jammu and Kashmir: Textile work, papier mache, wood
carving
10. Madhya Pradesh: Painting, textile weaving, pottery, metal work
Orissa: Palm leaf writing, weaving craft, patachitra, applique
artwork
Andhra Pradesh: Banjara embroidery, folk paintings, kalamkari and
block printed fabrics, wood carving, Hyderabad pearls, metal works
Assam: Cane and bamboo, metal crafts, pottery, handlooms
Sikkim: Woolen carpets, wooden carvings, thangka paintings,
handlooms
West Bengal: Dhokra metal casting, pottery, muslin, kantha
embroidery
Bihar: Madhubani painting, bangle making, stone work, khatwa
Punjab: Woodworks, phulkari, mudwork
11. TREND IN EXPORT-HANDICRAFTS
26 %- $2.3 billion 2010-11 fiscal, previous
fiscal’s $1.8 billion
20% rise new markets Latin America
60% US & Europe
Zari & Zari items highest export 52.21%
Embroidered crocheted products 43.75%
Jaipur, Jodhpur, Moradabad, Narsapur &
Saharanpur
12. HANDLOOM & CARPETS
April to Sept US$ 116.7 mn 2009-10 to US$
156.3 mn 2010-11 ,34% growth
US,UK,Germany & Japan
include IKEA, Wal-Mart, Target Corporation,
Habitat and Town & Country Linen.
24 % USD 653 mn 2010-11,Middle east & Latin
America
staple synthetic carpets- 64.21%, silk carpets
27.11%, handmade woolen tufted carpets
23.28% & handmade woolen carpets 22.87%
13.
14.
15. MAJOR EXPORT DESTINATIONS
Handloom export promotion council (HEPC) is a
statutory body constituted under The Ministry of
Textiles, Government of India to promote the exports
of all handloom products like fabrics, home
furnishings, carpets and floor coverings etc.
The handloom industry mainly exports fabrics, bed
linen, table linen, toilet and kitchen linen, towels,
curtains, cushions and pads, tapestries and
upholstery’s, carpets and floor coverings etc.
The export of handloom products increased from US$
116.7 million in 2009-10(April-September) to
US$156.3 million in 2010-11, registering a growth of
34%.
16. The US, The UK, Germany and Japan are the
major importers of Indian handloom products.
Japan had been importing textile products
primarily from China, but recently the focus has
shifted to India, primarily due to its preference
for handloom products in Silk, Flex and Jute.
Some of the leading international players that
import Indian handloom products include IKEA,
Wal-mart, Target Corporation, Habitat and Town
and Country Linen.
17. EXPORTS FROM INDIA:
Total World trade in Handicrafts, Gifts & Decorative
US$ 235 billions of which
China accounts for 71 billion
India at 3 billion.
Minister “Dayanidhi Maran” was asked the domestic apparel
industry to target exporting $25 billion worth garments by 2012,
Apparel export industry provides employment to 2.5 million
workers directly and three million indirectly.
19. GLOBAL MARKET OF TEXTILE INDUSTRY
The global textile industry is expected to grow to
about $ 700 billion by this year.
Barely five years after the expiry of MFA(Multi-
Fibre Arrangement) the firms with robust
capabilities will gain in the global trade of textile
and apparel.
Abolishment of quotas has presented the
buyers with an option to source from the most
efficient and cost effective vendors and
countries, for suppliers it has opened the stiff
global competition driven by low costs and new
legislation.
20. MAJOR COMPETITORS OF INDIAN HANDLOOM
INDUSTRY
US Textile Industry
- during the 18th century Great Britain was
determined to dominate the textile industry.
- Britain had the power loom, a steam-
powered , mechanically operated version of
a regular loom for weaving.
- in recent years, the US textile industry
faced a challenging time
- the exports were almost reduced by 5%
21. UK Textile Industry
- the textiles and the clothing industry is the 9th
largest manufacturing sector, and has a
turnover of 17.7 billion per year.
- the industry faces a severe competitive
squeeze from low cost textile suppliers in other
countries.
- the strong impact of exchange rate is one of
the reasons behind the collapse in production of
this industry.
22. China’s Textile Industry
- textile industry is a traditional pillar industry for
the china’s economy
- China’s textile industry plays an important role
in the earning of foreign exchanges and
contributes greatly to the development of
China’s economy.
- the industry has also undergone sharp plunges
in economic efficiency due to unfavorable
environments both in international and domestic
market.
23. FOREIGN TRADE POLICY
With a view to continuously increasing our
percentage Share of global trade and
expanding employment opportunities, certain
special focus initiatives have been
identified/continued for Market
Diversification, Technological Up gradation,
Support to status holders.
24. HANDLOOMS
(a) Specific funds are earmarked under MAI / MDA
Scheme for promoting handloom exports.
(b) Duty free import entitlement of specified trimmings
and embellishments is % of FOB value of exports
during previous financial year.
c) Duty free import entitlement of hand knotted carpet
samples is % of FOB value of exports during previous
financial year.
25. (d) Duty free import of old pieces of hand
knotted
carpets on consignment basis for re-export
after repair is permitted.
(e) New towns of export excellence with a
threshold
limit of Rs 150 crore shall be notified.
(f) Machinery and equipment for effluent
treatment
plants are exempted from customs duty.
26. HANDICRAFTS
(a) Duty free import entitlement of tools, trimmings
and embellishments is% of FOB value of exports
during previous financial year. Entitlement is broad
banded, and shall extend also to merchant
exporters tied up with supporting manufacturers.
(b) Handicraft EPC is authorized to import trimmings,
embellishments and consumables on behalf of
those exporters for whom directly importing may
not be
Viable.
(c) Specific funds are earmarked under MAI & MDA
Schemes for promoting Handicraft exports.
27. (d) CVD is exempted on duty free import of trimmings,
embellishments and consumables.
(e) New towns of export excellence with a reduced
threshold limit of Rs 150 crore shall be notified.
(f) Machinery and equipment for effluent treatment
plants are exempt from customs duty.
(g) All handicraft exports would be treated as special
Focus products and entitled to higher incentives.
