Centre gives priority to revival of Handloom Industry

for Ministry of Textiles | Date - 23-08-2005


      The Minister of Textiles, Shri Shankersinh Vaghela, speaking during Parliamentary Consultative Committee Meeting in the capital today, said the Government of India and the Office of the DC (Handlooms) have taken various steps for the revival and rejuvenation of the handloom weavers in the country.  Under Bunker Bima Yojana, the target of 2 lakh weavers for the year 2004-05, was fully achieved and 2,01,152 handloom weavers were provided insurance cover as against 33,982 weavers insured during 2003-04.  Under the Health Package Scheme, the coverage has been increased from 26,814 in the year 2003-04 to 72,198 during the year 2004-05.  Under the Integrated Handloom Training Programme (IHTP) during the year 2004-05, sanction for training to 16,500 weavers was given as against 9,590 weavers sanctioned training during 2003-04.  Out of the total Budgetary allocation of Rs.154.56 crores under the Plan, a sum of Rs.154.09 crore was spent, thereby, registering almost 100 per cent utilization.

            Under the One Time 10 per cent Special Rebate scheme (Non-Plan), during the year 2003-04 a sum of Rs.20 crore was released which helped the handloom agencies to sell handloom fabrics worth Rs.200 crores.  As compared to this, during the year 2004-05, a sum of Rs.41.55 crore was released under the scheme which helped the weavers to liquidate stock worth Rs.415.50 crores.

            Under the restructuring component of Deen Dayal Hathkargha Protsahan Yojana (DDHPY) assistance is given for revival/restructuring of handloom organizations.  This Assistance towards financial restructuring is available to National Level Handloom Organisations, State Handloom Corporations and Apex Weavers Cooperative societies/Federations only.  Assistance under this component is extended on 50:50 sharing basis between the Centre and the State and is given to make the handloom organisations viable by enhancing their credit limit/working capital.  4 State Level Organisations like Andhra Pradesh State Handloom Weavers Cooperative Society, U.P. State Handloom Corporation, The Tamil Nadu Handloom Weavers Cooperative Society and Karnataka Handloom Development Corporation have been provided assistance under this component so far.  Rest of these organisations have started performing better for this intervention.

New Initiatives

            Integrated Handloom Cluster Development Scheme

To provide for development of handloom clusters in an inclusive and holistic manner and to build up their capacity to meet the challenges of the market and global competition in a sustainable and self-reliant manner, Integrated Handloom Cluster Development Scheme is being introduced in 20 handloom clusters at a cost of Rs. 40 crores.  The scheme will support weavers in the cooperative and outside including those of Self Help Groups, NGOs, small and medium Enterprises and attached weavers.  Following a holistic approach the programme will cover the entire needs of the handlooms sector in each cluster for supply of raw materials, marketing support, design inputs, upgradation of technology and welfare of the weavers.  Quality human resource inputs for various functions will be provided to each cluster through an exclusive cluster based institution to which the Central Government will provide funds directly.  Customized programmes will be developed for each cluster after a detailed survey and requirement analysis.  The existing development interventions in the handloom sector will be converged in these clusters and will be operated through the new cluster based institutions.

It is expected that through various interventions, the weaknesses of the cluster will be rectified and would make their products more competitive in the market place.  Special emphasis would be given on the design component where assistance of professional designers will be taken as well as product diversification will be undertaken.

            Health Insurance Scheme

For the first time, Health Insurance Scheme is being introduced for 3 lakh weavers.  The unique features of the scheme is that it will cover not only the weaver but his wife and 2 children and will also cover all pre-existing diseases.  Out of the total premium of Rs. 1000/-, the Government of India will contribute Rs.800/- and the weaver will contribute Rs.200/-.  As this will be directly linked to an Insurance Company, it will result in hassle free treatment.

            Mahatma Gandhi Bunker Bima Yojana   

The existing Janshree Bunkar Bima Yojana and the Ad-on scheme is being revised to give a coverage of Rs.50,000/- in case of natural death and Rs.80,000/- in accidental case.  In the scheme, the Government of India, will contribute Rs.150, LIC will contribute Rs.100/- and the weavers contribution which was earlier Rs.150/- has been brought down to Rs.80/-.  It is expected to cover 10 lakh weavers in the current year as against 2.01 lakhs achieved last year and another 10 lakhs will be covered in the next year.

            Marketing Promotion Programme

To encourage the States to organize more exhibitions (district level), fairs have been increased from 150 in the year 2004-05 to 300 in the current year.  The number of National Handloom Expo/Special Expos has also been increased from 37 in the year 2004-05 to 50 year 2005-06.  It is expected that this will give a fillip to the sale of handloom fabrics.

           

            Integrated Handloom Training Project (IHTP)

Under the IHTP Scheme, by which the skills of the weavers are upgraded, sanctions to cover 16540 beneficiaries were issued in the year 2004-05 against the sanction of 10,000 beneficiaries issued during the year 2003-04.

The meeting was attended by Members of Parliament Shri Mahesh Kumar Kanodia, Shri Santasri Chatterjee and Shri Mohan Rawale.

UM/Hb 


(Release ID :11493)

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