Question : Developing Sualkuchi Handloom Sector

(a) whether there has been any initiative to improve and develop Sualkuchi’s handloom sector, where over 20,000 weavers have been affected due to Covid-19 lockdown and if so, the details thereof;

(b) the details of price spike due to GST on various materials used in the cottage industry; and

(c) whether the Government is going to obtain Geographical Indicator (GI) status for Sualkuchi’s silk and if so, the details thereof?

Answer given by the minister


THE MINISTER OF STATE FOR TEXTILES
(SMT. DARSHANA JARDOSH)

(a): Ministry of Textiles is implementing the following schemes during 2021-22 to 2025-26 for development of handlooms and welfare of weavers across the country including in Sualkuchi’s handloom sector:

1. National Handloom Development Programme;
2. Raw Material Supply Scheme;

Under the above schemes, financial assistance is provided to the eligible handloom agencies/weavers for raw materials, Common infrastructure development, marketing of handloom products in domestic/overseas markets, loans at concessional rates, etc.

To overcome the present challenges being faced by handloom workers, the Government has taken following steps for their welfare and to promote handloom sector across the country:

i. The States and UTs have been requested for their State Handloom Corporations/Co-operatives/Agencies to make purchases of the finished inventory available with the handloom weavers.

ii. Steps have been taken to on-board weavers on Government e-Market place to enable them to sell their products directly to various Government Departments and organizations. So far about 1.50 lakh weavers have been on-boarded on the GeM portal.



iii. To enhance productivity, marketing capabilities and ensure better incomes, 128 Handloom Producer companies (PCs) have been formed in different States including 01 PC has been formed in Sualkuchi.

iv. Under Concessional Credit/Weaver MUDRA Scheme, financial assistance is provided as follows:

a. Margin money assistance
@20% of loan amount, subject to maximum of Rs. 25,000/- per weaver.
@ 20% of loan amount, subject to maximum of Rs. 20,000/- lakh (@ Rs. 2.00 lakh for every 100 weaver/worker) per handloom organisations.

b. Interest subvention upto 7% for 3 years; and
c. Credit Guarantee on loans for 3 years

v. Design Resource Centres have been set up in Weavers’ Service Centres at Delhi, Mumbai, Varanasi, Ahmedabad, Jaipur, Bhubaneswar, Guwahati and Kancheepuram through NIFT with the objective to build and create design-oriented excellence in the Handloom Sector and to facilitate weavers, exporters, manufacturers and designers access design repositories for sample/product improvisation and development.

vi. To promote marketing of handloom products, Handloom Export Promotion Council has been organizing International Fairs in virtual mode. During the year 2020-21, 12 handloom fairs were organised in virtual mode. Besides, domestic marketing events were also organised in different parts of the country for the weavers to market and sell their products.

vii. 534 number of Chaupals were organized in various States to educate the weavers to avail benefits of various handloom schemes for their welfare and socio-economic development.

viii. To promote e-marketing of handloom products, 23 e-commerce entities have been engaged for online marketing of handloom products.

ix. Marketing platform is provided to the handloom agencies/weavers by organizing marketing expos/events to sell their products

(b): GST has been introduced by the Government of India to rationalize multiple taxes on goods & services and to bring transparency in the taxation system. Also GST is implemented through an Act of Parliament with States as equal partners in GST Council with Government of India. Accordingly, it is applicable to the Textiles sectors also including handlooms, along with corresponding implication on the concerned handloom products.

(c): Different types of silk handloom products are woven in Sualkuchi, Assam. Muga Silk is registered under Geographical Indication Act, 1999.

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