Kashmiri Carpet Industry

1. Urmila Hajare
C-49
KashmirCarpet
Industry

2. Indian Carpet Industry
• Hand knotted carpet sector
• 2500 carpet manufacturing units (Organized : Only 200)
• 2 million rural worker
• Indian Handmade Carpet Industry ranked No. 1 in international
market
• More than 90% of production exported
• Developed countries consume 88-90% of exported carpet
• 76% consumption: USA and Germany

3. ExportStatistics

4. Problems
Major Issues
• Raw material unavailability
• Raw material price
• Scattered Industry
• Shortage of carpet weavers : 3.74
lakhs in 2003 to 1.60 lakhs in
2013
• Weavers shifting to NREGA
scheme: Rs200 /day as wage
• Lack of modern production
facilities for dyeing, washing,
processing, designing
• Internal Competitors : Rajasthan,
Punjab, Uttar Pradesh, Andhra
Pradesh, and Himachal Pradesh
• External Competitors: Iran,
Pakistan, China, Turkey
Ground Level Issues
• 60% weavers facing health ailments:
knee pain, back ache, asthma, rashes
etc.
• Debt cycle
• Less daily wages :Rs 50
• Militancy
• Child Labour below 18 years of age
• Less banks to take loan

5. CompetitorAnalysis
World Market of Handmade Carpets
(US$ Million)
Countries
Producin
g Carpet
2007 2008 2009 2010 2011
Iran 599.80 582.32 577.10 547.66 520.7
China 412.23 400.48 399.11 365.11 345.89
India 456.9 389.65 381.73 378.09 340.87
Pakistan 150.50 147.20 141.02 125.70 121.70
Nepal 239.92 233.79 227.80 202.54 121.70
Turkey 130.87 109.58 108.98 101.19 96.73
 Oldest
 More ornate
and decorative
details
 Loosely spun
silk: "blooms" or
opens up sooner
Iran Carpet
Industry

6. Rearing
Reeling
Twisting
At one place
Fairs n exhibitions, Conducting Trade Meets & Surveys,
Providing Dispute Settlement Mechanism, Information
Dissemination, Opening of Training Centres throughout India
I
N
I
T
I
A
T
I
V
E
GOVERNMENT

7. Brand
Promotion &
Product
Marketing
Focus on in-
country
consumption
More
Exhibitions
Training them of
the trends in
international
markets
Financial
institution can
help by providing
adequate
finances
Decreasing the role
of middleman by
Gov. buying directly
Health check-up camps
care instructions on the
usage of carpet to the
buyers / Importers
Educational programs
for children and illiterate
adults
Reduce Paleness & odour
problem in latexing by usage of
polymer sheets
Loan for installation of computers for design,
development & colour combination for
exports
duty free import of silk
yarn

8. Target Market
I
N
D
I
A
N
M
A
R
K
E
T
Geographic Demographic
(high income)
Behavioural Psychographic
Rajasthan Mumbai,
Pune,
Bangalore
Ethnic Interior
decoration
Status Symbol
Punjab,
Lucknow
Esteem
Himachal
Pradesh (cold
area)

9. Target Market
Cont....I
N
T
E
R
N
A
T
I
O
N
A
L
M
A
R
K
E
T
To Developing and Cold countries
Spain
Brazil
Mauritius
Mexico
Singapore
Canada
Switzerland

10. Strategy to catch market
4P’s
 Product- Kashmiri carpets
 Place- Home Furnishing Stores and in upper class suburban areas
 Price- Specialty hand made rugs can cost from 10,000 to 25,000
rupees or less
 Promotion- TV ads and Newspaper, Internet etc.
4C’s
 Customer solution- One on one with the customers. Employees will
sell the carpet direct to customer
 Customer’s cost- Cost according to customers preference
 Convenience- Buy online as it’s easier in suburban areas
 Communication- TV and newspaper, Internet etc.

11. References
• http://awaazekashmir.in/live/wp-
content/uploads/2013/06/33_1841152939_StudyonFactorsLeadingto
Socio-economicissuesofWeaversinHandmadeCarpetIndustry.pdf
• http://worldtop10.net/top-10-coldest-countries-in-the-world/
• http://www.academia.edu/6465407/carpet_export_promotion_coun
cil

12. Thank You