chapter viii wool & wollen textiles industry - Ministry of Textiles
chapter viii wool & wollen textiles industry - Ministry of Textiles
chapter viii wool & wollen textiles industry - Ministry of Textiles
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annual report 2011-12<br />
Annual Report<br />
(2011-12)<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong><br />
Government <strong>of</strong> India<br />
i
ii<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CONTENTS<br />
Sl.No. Chapter<br />
Page<br />
I Highlights 1<br />
Ii Functions and Organizational Set-Up 23<br />
Iii The Organized <strong>Textiles</strong> Mill Industry 33<br />
Iv Exports 49<br />
V Cotton 57<br />
Vi The Jute and Jute <strong>Textiles</strong> Industry 63<br />
Vii Sericulture & Silk Industry 85<br />
Viii Wool & Wollen <strong>Textiles</strong> Industry 99<br />
Ix Decentralised Powerloom Sector 105<br />
X Handlooms 113<br />
Xi Handicrafts 139<br />
Xii Central Public Sector Undertakings 165<br />
Xiii <strong>Textiles</strong> Research Associations 191<br />
Xiv Citizens’/Client’s Charter 219<br />
Xv Welfare <strong>of</strong> Scheduled Castes, Scheduled Tribes and Women 229<br />
Xvi <strong>Textiles</strong> in North Eastern Region 233<br />
XVII Human Resource Development 245<br />
XviIi Gender Justice 255<br />
XIX Information and Communication Technology in <strong>Textiles</strong> 259<br />
Xx Vigilance Activities 263<br />
XxI Observations <strong>of</strong> the Comptroller and Auditor General <strong>of</strong> India 267<br />
XxiI Persons with Disabilities 271<br />
XXIII Results Framework Document (RFD) (2011-2012) 275<br />
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iv<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER I<br />
HIGHLIGHTS<br />
1
2<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER I<br />
HIGHLIGHTS<br />
The Union Minister for Commerce & Industry and <strong>Textiles</strong>, Shri Anand Sharma releasing conference<br />
papers at the 1st International Conference on Technical <strong>Textiles</strong> – TECHNOTEX 2011, in Mumbai on<br />
August 25, 2011. The Chief Minister Maharashtra, Shri Prithviraj Chavan and the Secretary, <strong>Ministry</strong><br />
<strong>of</strong> <strong>Textiles</strong>, Ms. Rita Menon are also seen.<br />
The Indian <strong>Textiles</strong> Industry has<br />
an overwhelming presence in the<br />
economic life <strong>of</strong> the country. Apart<br />
from providing one <strong>of</strong> the basic necessities<br />
<strong>of</strong> life, the <strong>textiles</strong> <strong>industry</strong> also plays a<br />
pivotal role through its contribution to<br />
industrial output, employment generation,<br />
and the export earnings <strong>of</strong> the country.<br />
Currently, it contributes about 14% to<br />
industrial production, 4% to the GDP, and<br />
17% to the country’s export earnings.<br />
It provides direct employment to over<br />
35 million people, which includes a<br />
substantial number <strong>of</strong> SC/ST, and women.<br />
The <strong>Textiles</strong> sector is the second largest<br />
provider <strong>of</strong> employment after agriculture.<br />
Thus, the growth and all round development<br />
<strong>of</strong> this <strong>industry</strong> has a direct bearing on the<br />
improvement <strong>of</strong> the economy <strong>of</strong> the nation.<br />
The Indian <strong>textiles</strong> <strong>industry</strong> is extremely<br />
varied, with the hand-spun and handwoven<br />
sector at one end <strong>of</strong> the spectrum, and<br />
the capital intensive, sophisticated mill<br />
sector at the other. The decentralized<br />
powerlooms / hosiery and knitting sector<br />
form the largest section <strong>of</strong> the <strong>Textiles</strong><br />
Sector. The close linkage <strong>of</strong> the Industry<br />
to agriculture and the ancient culture, and<br />
traditions <strong>of</strong> the country make the Indian<br />
<strong>textiles</strong> sector unique in comparison with<br />
the <strong>textiles</strong> <strong>industry</strong> <strong>of</strong> other countries.<br />
This also provides the <strong>industry</strong> with the<br />
capacity to produce a variety <strong>of</strong> products<br />
suitable to the different market segments,<br />
both within and outside the country.<br />
The major sub-sectors that comprise<br />
the <strong>textiles</strong> sector include the organized<br />
Cotton/Man-Made Fibre <strong>Textiles</strong> Mill<br />
Industry, the Man-Made Fibre / Filament<br />
Yarn Industry, the Wool and Woollen<br />
<strong>Textiles</strong> Industry, the Sericulture and Silk<br />
<strong>Textiles</strong> Industry, Handlooms, Handicrafts,<br />
the Jute and Jute <strong>Textiles</strong> Industry, and<br />
<strong>Textiles</strong> Exports.<br />
3
ministry <strong>of</strong> <strong>textiles</strong><br />
Implementation <strong>of</strong> Plan Schemes-<br />
Physical and Financial Performance.<br />
The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> has taken various<br />
policy initiatives in the last few years to<br />
improve the competitiveness <strong>of</strong> the Indian<br />
Textile <strong>industry</strong>. Various schemes such as<br />
Technology Upgradation Fund Scheme<br />
(TUFS), Scheme for Integrated Textile<br />
Parks, Development <strong>of</strong> Mega Cluster,<br />
Integrated Skill Development Scheme,<br />
Technology Mission <strong>of</strong> Technical <strong>Textiles</strong><br />
etc. have been launched with the objective<br />
<strong>of</strong> accelerating growth in exports and<br />
investment in the textile sector. The major<br />
indicators <strong>of</strong> textile sector performance<br />
during 2011 – 12 are the following:<br />
The year witnessed a significant slowdown<br />
in <strong>textiles</strong> production due to a combination<br />
<strong>of</strong> factors such as slowdown in demand,<br />
high raw material prices, piling up <strong>of</strong><br />
stocks etc. During April – November, 2011<br />
man-made fibre production and filament<br />
yarn production recorded a decrease <strong>of</strong><br />
about 2% and 7% respectively. Cotton<br />
yarn production also decreased by 13%<br />
during the period. However blended and<br />
100% non-cotton yarn production has<br />
increased by 5% during the year April-<br />
Nov. 2011. Cloth production by mill sector<br />
increased by 2% during the period. During<br />
April- Nov., 2011, production by handloom<br />
increased by 3%, powerloom and hosiery<br />
sectors decreased 4%, 16% respectively.<br />
On export promotion, the <strong>Ministry</strong> <strong>of</strong><br />
Commerce & Industry has notified that<br />
the export <strong>of</strong> cotton waste including yarn<br />
waste & garneted stock (ITC code 5202)<br />
will continue to be free with effect from 1 st<br />
Oct., 2011 and the registration <strong>of</strong> export<br />
contracts with DGFT is not required. The<br />
<strong>Ministry</strong> has also embarked on a Plan<br />
Scheme namely the Common Compliance<br />
Code to prepare and orient the Indian<br />
Garment & Apparel Industry towards more<br />
socially and environmentally compliant<br />
Industrial environment <strong>of</strong> globally<br />
acceptable standard. The first installment<br />
/grant-in-aid for the scheme amounting to<br />
Rs 3.5 cr. was released to the AEPC on<br />
28.10.11.<br />
During November 2011, provisional<br />
export <strong>of</strong> handmade carpets & other<br />
floor coverings has shown increase <strong>of</strong><br />
62.76 % in rupee terms and 44.19 % in<br />
US $ terms as compared to November<br />
2010. The Export <strong>of</strong> other handicrafts<br />
items increased by 26.77 % in rupee<br />
terms and by 12.31 % in US $ terms<br />
during November, 2011 as compared to<br />
November 2010. The total provisional<br />
export <strong>of</strong> handicrafts including hand<br />
knotted carpet during November, 2011<br />
is estimated at Rs. 674.74 crores (US $<br />
132.85 millions), whereas the export in<br />
November 2010 was <strong>of</strong> Rs 480.66 crores<br />
(US $ 106.82 millions), thus showing an<br />
increase <strong>of</strong> 24.36 % in rupee terms and<br />
40.37 % in US $ terms.<br />
Plan Allocations (2010-11 and 2011-12)<br />
The total approved outlay for 2010-11<br />
and 2011-12 were Rs.4725.00 crore<br />
and Rs.5000.00 crore respectively. The<br />
total Plan outlay has been allocated for<br />
implementation <strong>of</strong> various schemes under<br />
Village & Small Enterprises (VSE) sector<br />
and Industry Sector.<br />
Village & Small Enterprises (VSE)<br />
Sector<br />
Village & Small Enterprises (VSE)<br />
sector includes Handlooms, Handicrafts,<br />
Sericulture, Powerlooms, Wool &<br />
Woolens and Development <strong>of</strong> Mega<br />
Cluster. The total plan allocation under<br />
this sector during 2010-11 and 2011-12<br />
were Rs.1210.00 crore and Rs.1165.00<br />
crore against which expenditure was<br />
Rs.917.21 crore (75.80% over BE) and<br />
Rs.541.56 crore (46.49% over BE) (as<br />
on 30.12.2011) respectively.<br />
4
annual report 2011-12<br />
Industry Sector<br />
Under <strong>industry</strong> sector 16 schemes<br />
have been sanctioned. The total plan<br />
allocation under this sector during 2010-<br />
11 and 2011-12 were Rs.3284.50 crore<br />
and Rs.3835.00 crore against which<br />
expenditure was Rs.3265.56 crore<br />
(99.42% over BE) and Rs.2354.91 crore<br />
(61.41% over BE) (as on 30.12.2011)<br />
respectively. The major allocation<br />
during 2010-11 and 2011-12 was under<br />
Technology Upgradation Fund Scheme<br />
(TUFS); the allocation being Rs.2267.50<br />
crore and Rs.3100.00 crore respectively.<br />
The allocation for 2010-11 and 2011-<br />
12 under Scheme for Integrated<br />
Textile Parks (SITP), National Institute<br />
<strong>of</strong> Fashion Technology (NIFT), Jute<br />
Technology Mission were Rs.350.00<br />
crore & Rs.347.00 crore, Rs.210.00 crore<br />
& Rs.128.00 crore and Rs.72.00 crore &<br />
Rs.54.00 crore respectively.<br />
ORGANISED COTTON/ MAN-MADE<br />
FIBRE TEXTILE INDUSTRY<br />
The Cotton / Man-made fibre textile<br />
<strong>industry</strong> is the largest organized <strong>industry</strong><br />
in the country in terms <strong>of</strong> employment<br />
(nearly 1 million workers) and number <strong>of</strong><br />
units. Besides, there are a large number<br />
<strong>of</strong> subsidiary industries dependent on<br />
this sector, such as those manufacturing<br />
machinery, accessories, stores, ancillaries,<br />
dyes & chemicals. As on 30.11.2011,<br />
there were 1946 cotton/man-made fibre<br />
textile mills (non-SSI) in the country with an<br />
installed capacity <strong>of</strong> 43.13 million spindles<br />
5,20,000 rotors and 52,000 looms.<br />
Textile production covering man-made<br />
fibre, man-made filament yarn and<br />
cotton yarn is showing a decreasing<br />
trend. Blended and 100% non cotton<br />
yarn production recorded an increase<br />
<strong>of</strong> 5.2% during 2011-12 (April – October<br />
2011). The production <strong>of</strong> spun yarn<br />
during April-Oct. (2011-12) has shown<br />
a decrease <strong>of</strong> 8.1%. The production <strong>of</strong><br />
cotton yarn during 2011-12 (April-Oct.<br />
2011) recorded a decrease <strong>of</strong> 12.7%<br />
(Provisional).<br />
Cloth production by mill sector showed<br />
marginal increase <strong>of</strong> 4.6% during April-Oct.<br />
(2011-12) (provisional). During the same<br />
period cloth production by power loom<br />
and hosiery sector showed a decrease <strong>of</strong><br />
4.4% and 17.8% respectively. However<br />
the cloth production in handloom sector<br />
showed an increase <strong>of</strong> 3%.<br />
TECHNOLOGY UPGRADATION<br />
FUND SCHEME (TUFS)<br />
The Technology Upgradation Fund<br />
Scheme (TUFS) was launched on 01.04<br />
1999, for a period <strong>of</strong> five years, and was<br />
subsequently extended upto March 31,<br />
2007. The Scheme provides for interest<br />
reimbursement/capital subsidy/Margin<br />
Money subsidy and has been devised<br />
to bridge the gap between the cost <strong>of</strong><br />
interest and the capital component to<br />
ease up the working capital requirement<br />
and to reduce the transaction cost, etc.<br />
The Scheme is an important tool to infuse<br />
financial support to the <strong>textiles</strong> <strong>industry</strong><br />
and help it capitalize on the vibrant and<br />
expanding global and domestic markets,<br />
through technology upgradation, cost<br />
effectiveness, quality production,<br />
efficiency and global competitiveness.<br />
During its initial years, the progress <strong>of</strong><br />
the Scheme was moderate and it gained<br />
momentum from 2004-05 onwards. The<br />
Scheme has been further extended<br />
till 2012 with modified financial and<br />
operational parameters which focus<br />
on additional capacity building, better<br />
adoption <strong>of</strong> technology, and provides for<br />
a higher level <strong>of</strong> assistance to segments<br />
that have a larger potential for growth,<br />
5
ministry <strong>of</strong> <strong>textiles</strong><br />
like garmenting, technical <strong>textiles</strong>, and<br />
processing. The scheme is administered<br />
through 3 nodal agencies, 36 nodal banks<br />
and 108 co-opted PLIs. The scheme<br />
since inception has propelled investment<br />
<strong>of</strong> more than Rs. 2,10,000 crores. An<br />
amount <strong>of</strong> Rs. 13637.53 crore has been<br />
released towards subsidy under the<br />
Scheme as on 31.10.2011.<br />
With effect from 28.04.2011, Restructured<br />
TUFS has been approved with the<br />
enhanced 11 th Plan allocation under TUFS<br />
from Rs. 8000 crore to Rs. 15,404 crore.<br />
The Restructured TUFS ensure focus <strong>of</strong><br />
interventions on hitherto slow growing<br />
sectors like weaving, encouragement<br />
to forward integration and tighter<br />
administrative controls and monitoring <strong>of</strong><br />
the scheme. The Restructured TUFS is<br />
expected to trigger additional investments<br />
<strong>of</strong> over Rs. 46,900 crore during the<br />
balance period <strong>of</strong> the XI th Five Year Plan.<br />
Progress <strong>of</strong> TUFS<br />
The progress <strong>of</strong> TUFS is steadily going<br />
up which is evident from the data given<br />
at table 1.1.<br />
TEXTILE WORKERS’ REHABILITATION<br />
FUND SCHEME (TWRFS)<br />
The Textile Workers’ Rehabilitation Fund<br />
Scheme came into force with effect from<br />
15.09.1986 with the objective to provide<br />
interim relief to textile workers rendered<br />
unemployed as a consequence <strong>of</strong><br />
permanent closure <strong>of</strong> any particular portion<br />
or entire textile unit. Assistance under the<br />
Scheme is payable to eligible workers only<br />
for the purpose <strong>of</strong> enabling them to settle in<br />
another employment. Such assistance is not<br />
heritable, transferable or capable <strong>of</strong> being<br />
attached on account <strong>of</strong> any other liabilities<br />
<strong>of</strong> the worker. The worker’s eligibility<br />
shall cease if he takes up employment in<br />
Table 1.1<br />
Progress <strong>of</strong> TUFS<br />
(Rs. in crore)<br />
Period Received Sanctioned Disbursed<br />
No. <strong>of</strong><br />
applications<br />
Project<br />
Cost<br />
No. <strong>of</strong><br />
applications<br />
Project<br />
Cost<br />
Amount<br />
No. <strong>of</strong><br />
applications<br />
Amount<br />
Subsidy<br />
1999-2000 407 5771 309 5074 2421 179 746 1<br />
2000-2001 719 6296 616 4380 2090 494 1863 70<br />
2001-2002 472 1900 444 1320 630 401 804 198.89<br />
2002-2003 494 1835 456 1438 839 411 931 202.59<br />
2003-2004 867 3356 884 3289 1341 814 856 249.06<br />
2004-2005 986 7941 986 7349 2990 801 1757 283.60<br />
2005-2006 1086 16194 1078 15032 6776 993 3962 485<br />
2006-2007 12336 61063 12589 66233 29073 13168 26605 823.92<br />
2007-2008 2408 21254 2260 19917 8058 2207 6854 1143.37<br />
2008-2009 6113 56542 6072 55707 24007 6111 21826 2632.00<br />
(P)<br />
2009-2010 2384 28005 2352 27611 6612 2361 8140 2886<br />
2010-2011 256 397 256 397 254 240 282 2784.18<br />
As on<br />
30.06.2010(P)<br />
28528 210554 28302 207747 85091 28180 74627 11759.61<br />
6
annual report 2011-12<br />
another registered or licensed undertaking.<br />
The rehabilitation assistance will not be<br />
curtailed if the worker fixes himself in a selfemployment<br />
venture.<br />
Progress<br />
Till 30.11.2011, 1,12,868 workers out <strong>of</strong><br />
1,43,532 workers on the rolls <strong>of</strong> 86 mills<br />
had been disbursed relief <strong>of</strong> `300.94<br />
crore. The State-wise cumulative position<br />
is given at table 1.2.<br />
MEGA CLUSTER<br />
The schemes for mega cluster<br />
support weavers/artisans, both in and<br />
outside the cooperative fold, including<br />
those in Self Help Groups (SHGs),<br />
Non- Governmental Organisations (NGOs)<br />
etc. The schemes provide for development<br />
<strong>of</strong> all the facets <strong>of</strong> selected clusters like<br />
raw material support, design inputs,<br />
up-gradation <strong>of</strong> technology, infrastructure<br />
development, marketing support, welfare<br />
<strong>of</strong> weavers etc. A convergence <strong>of</strong> the<br />
existing development interventions <strong>of</strong><br />
the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> & other Ministries/<br />
Departments will be affected in these<br />
clusters. The schemes also raise living<br />
standards <strong>of</strong> the weavers/artisans by<br />
improving the infrastructure facilities,<br />
with better storage facilities, technology<br />
up-gradation in pre-loom/on-loom/postloom<br />
operations, weaving shed, skill<br />
up-gradation, design inputs, health<br />
facilities etc.<br />
The development <strong>of</strong> 6 Mega Clusters in<br />
Handloom, Handicrafts and Powerlooms<br />
were first announced by the Finance<br />
Minister in his Budget Speech 2008-09.<br />
Consequently, following three Central<br />
Sector Plan Schemes were approved<br />
by the Cabinet Committee on Economic<br />
Affairs (CCEA) in the meeting held on<br />
20.11.2008:<br />
i) Comprehensive Powerloom Cluster<br />
Development Scheme<br />
ii)<br />
Comprehensive Handloom Cluster<br />
Development Scheme<br />
S.<br />
No<br />
State<br />
No. <strong>of</strong> mills<br />
identified<br />
Table 1.2<br />
No. <strong>of</strong><br />
workers<br />
on roll<br />
No. <strong>of</strong> workers benefited<br />
(as on 30.11.2011)<br />
No. <strong>of</strong><br />
mills<br />
Workers received<br />
relief<br />
Disbursed<br />
amount<br />
(` in crores)<br />
1 2 3 4 5a 5b 6<br />
1. Gujarat 43 80749 43 63649 159.63<br />
2. Maharashtra 6 9958 6 7893 23.21<br />
3. Madhya Pradesh 5 19800 5 18857 52.64<br />
4. Tamil Nadu 6 5685 6 4761 7.45<br />
5. Karnataka 10 10020 10 6025 22.00<br />
6. Delhi 1 5187 1 5170 11.93<br />
7. West Bengal 3 2072 3 2042 5.34<br />
8 Kerala 1 500 1 437 2.47<br />
9. Punjab 4 6685 4 2311 8.96<br />
10. Andhra Pradesh 7 2876 6 1723 7.31<br />
Total 86 143532 84 112868 300.94<br />
7
iii) Comprehensive Handicrafts Cluster<br />
Development Scheme<br />
Based on Budget Announcement made in<br />
2008-09, 2009-10 and 2010-11, 12 centres<br />
are being developed as mega cluster on<br />
a Public Private Partnership (PPP) model<br />
to scale up infrastructure and production<br />
in Handloom, Handicraft and Powerloom<br />
sectors, wherein Government contribution<br />
has been earmarked at maximum <strong>of</strong> Rs.70<br />
crore for each mega cluster. At present,<br />
following 12 centres are being developed<br />
as Mega Cluster as in table 1.3.<br />
SCHEME FOR INTEGRATED<br />
TEXTILE PARKS (SITP)<br />
Scheme for Integrated <strong>Textiles</strong> Parks<br />
was approved in the 10th Five Year Plan<br />
to provide the <strong>industry</strong> with world-class<br />
infrastructure facilities for setting up their<br />
textile units by merging the erstwhile<br />
‘Apparel Parks for Exports Scheme<br />
(APES)’ and ‘Textile Centre Infrastructure<br />
Development Scheme (TCIDS)’.<br />
Scope <strong>of</strong> the Scheme<br />
The scheme targets industrial clusters/<br />
locations with high growth potential,<br />
which require strategic interventions by<br />
way <strong>of</strong> providing world-class infrastructure<br />
support. The project cost covers the cost<br />
<strong>of</strong> common infrastructure and buildings for<br />
production/support activities, depending<br />
on the needs <strong>of</strong> the ITP. There will be<br />
flexibility in setting up ITPs to suit the local<br />
requirements.<br />
Table 1.3<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
This scheme is implemented through<br />
Special Purpose Vehicles (SPVs),<br />
where Industry Associations/Group <strong>of</strong><br />
Entrepreneurs are the main promoters<br />
<strong>of</strong> the Integrated Textile Park (ITP). At<br />
each ITP, there would be a separate<br />
Special Purpose Vehicle (SPV) formed<br />
with the representatives <strong>of</strong> local Industry,<br />
Financial Institutions, State and Central<br />
Government. SPV shall invariably be<br />
a Corporate Body registered under the<br />
Companies Act. Any different structure<br />
for the SPV requires the approval <strong>of</strong> the<br />
Project Approval Committee. The SPVs<br />
shall have operational autonomy so that<br />
they do not become surrogate Public<br />
Sector Enterprises or be controlled by<br />
Central/State Governments.<br />
The components <strong>of</strong> an ITP are broadly<br />
divided in the following groups:-<br />
(a) Group A - Land.<br />
(b) Group B – Common Infrastructure<br />
like compound wall, roads,<br />
drainage, water supply, electricity<br />
supply including captive power<br />
plant, effluent treatment plant, and<br />
telecommunication lines etc.<br />
(c) Group C – Buildings for common<br />
facilities like testing laboratory, design<br />
center, training center, trade center/<br />
display center, ware housing facility/<br />
raw material depot, crèche, canteen,<br />
workers hostel, <strong>of</strong>fices <strong>of</strong> service<br />
providers, labour rest and recreation<br />
facilities etc.<br />
Handlooms:<br />
4 Mega Clusters<br />
1. Varanasi (U.P).<br />
2. Sivsagar (Assam).<br />
3. Murshidabad (W.B.).<br />
4. Virudhunagar (T.N)).<br />
Handicrafts:<br />
5 Mega Clusters<br />
5. Moradabad (U.P.)<br />
6. Narasapur (A.P.).<br />
7. Bhdohi-Mirzapur (U.P.).<br />
8. Srinagar (J&K).<br />
9. Jodhpur (Rajasthan)<br />
8<br />
Powerloom:<br />
3 Mega Clusters<br />
10. Bhiwandi (Maharastra).<br />
11. Erode (Tamil Nadu).<br />
12. Bhilwara (Rajasthan).
annual report 2011-12<br />
(d) Group D – Factory buildings for<br />
production purposes.<br />
(e) Group E- Plant & machinery.<br />
The total Project Cost for the purpose <strong>of</strong><br />
this Scheme includes the cost on account<br />
<strong>of</strong> components <strong>of</strong> ITP, as listed under<br />
Groups A, B, C and D above, provided the<br />
ownership <strong>of</strong> the factory buildings vests<br />
with the SPV. The SPV will, however, have<br />
the option <strong>of</strong> seeking financial support<br />
from Government <strong>of</strong> India for components<br />
under Groups B and C only, if factory<br />
buildings are individually owned.<br />
A panel <strong>of</strong> pr<strong>of</strong>essional agencies has<br />
been appointed as Project Management<br />
Consultants (PMCs) for implementing the<br />
Scheme.<br />
The PMCs will be responsible for the<br />
speedy implementation <strong>of</strong> the Projects in<br />
a transparent and pr<strong>of</strong>essional manner<br />
so as to achieve high degree <strong>of</strong> quality at<br />
a low cost acceptable to the members <strong>of</strong><br />
the SPV for which fee will be paid to the<br />
PMCs by the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>.<br />
The PMCs will report to <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong>, which shall directly supervise<br />
the implementation <strong>of</strong> projects under the<br />
superintendence and control <strong>of</strong> Secretary<br />
(<strong>Textiles</strong>). The project proposal as<br />
submitted by PMCs shall be considered<br />
and appraised by the Project Scrutiny<br />
Committee (PSC) headed by JS (SITP),<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>. Project Scrutiny<br />
Committee will appraise all the proposal<br />
submitted by PMCs in terms <strong>of</strong> the project<br />
components, viability, feasibility and time<br />
lines <strong>of</strong> each project. The Committee<br />
shall look into the utility <strong>of</strong> the projects in<br />
terms <strong>of</strong> modernization & integration <strong>of</strong><br />
supply and management chain, and make<br />
the final recommendations to Project<br />
Approval Committee (PAC). The Project<br />
Approval Committee will consider and<br />
approve the recommendations <strong>of</strong> Project<br />
Scrutiny Committee headed by Minister<br />
<strong>of</strong> <strong>Textiles</strong> with Secretary (<strong>Textiles</strong>), and<br />
JS, <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> in charge <strong>of</strong> SITP<br />
as members.<br />
Funding Pattern<br />
The Government <strong>of</strong> India’s (GOI) support<br />
under the Scheme by way <strong>of</strong> Grant or<br />
Equity will be limited to 40% <strong>of</strong> the project<br />
cost subject to a ceiling <strong>of</strong> Rs. 40 crore.<br />
GOI support under the Scheme will be<br />
generally in the form <strong>of</strong> grant to the SPV<br />
unless specifically decided to be equity.<br />
However, the combined equity stake <strong>of</strong><br />
GOI/State Government/State Industrial<br />
Development Corporation, if any, should<br />
not exceed 49%.<br />
However, GOI support will be provided @<br />
90% <strong>of</strong> the project cost subject to a ceiling<br />
<strong>of</strong> Rs. 40 crore for first two projects in the<br />
States <strong>of</strong> Arunachal Pradesh, Assam,<br />
Manipur, Meghalaya, Mizoram, Nagaland,<br />
Tripura, Sikkim and Jammu & Kashmir.<br />
Status <strong>of</strong> Implementation<br />
TEXTILE CENTRE INFRASTRUCTURE<br />
DEVELOPMENT SCHEME (TCIDS):<br />
●<br />
●<br />
●<br />
●<br />
●<br />
18 Projects sanctioned<br />
GOI Share Rs.268.86 crores.<br />
Released Rs.210.59 crores<br />
Four Projects completed, Kannur-<br />
Kerala, Bhiwandi-Maharashtra, and<br />
Tirupur- Tamil Nadu, Pandesara-<br />
Surat.<br />
One project nearing completion i.e.<br />
SEWA-Gujarat<br />
APPAREL PARKS FOR EXPORTS<br />
SCHEME (APES)<br />
●<br />
12 Projects sanctioned<br />
9
●<br />
GOI Share Rs.185.22 crores.<br />
Future Programme<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
●<br />
●<br />
●<br />
Released Rs.130.85 crores<br />
Four Projects completed – Bangalore-<br />
Karnataka, Thiruvananthapuram-<br />
Kerala, Tirupur-Tamil Nadu, and<br />
Tronica City-Uttar Pradesh<br />
One project <strong>of</strong> Kanpur – Uttar Pradesh<br />
nearing completion (Training centre<br />
component yet to be completed)<br />
Scheme for Integrated Textile Parks<br />
(SITP):<br />
●<br />
●<br />
●<br />
●<br />
As per the target, forty (40) <strong>Textiles</strong><br />
Park projects have been sanctioned.<br />
Estimated project cost (for common<br />
infrastructure and common facilities)<br />
<strong>of</strong> the 40 sanctioned projects is Rs.<br />
4133.09 Crore, <strong>of</strong> which Government<br />
<strong>of</strong> India assistance under the scheme<br />
would be Rs. 1419.69 Crore.<br />
An amount <strong>of</strong> Rs. 992.43 Crore has<br />
been released under SITP.<br />
2292 entrepreneurs will put up their<br />
units in these parks covering an<br />
area <strong>of</strong> 4307.97 Acre. The estimated<br />
investment in these parks will be Rs.<br />
19456.90 Crore and estimated annual<br />
production will be Rs. 33568.50<br />
Crore.<br />
● Andhra Pradesh (5), Gujarat (7),<br />
Maharashtra (9), Tamil Nadu (8),<br />
Rajasthan (5), Karnataka (1), Punjab<br />
(3), West Bengal (1), Madhya<br />
Pradesh (1).<br />
● Seven projects have been<br />
completed–Brandix & Pochampally-<br />
Andhra Pradesh, Gujarat Eco Textile<br />
Park & Mundra – Gujarat, Palladam<br />
Hi-Tech Weaving Park, Karur – Tamil<br />
Nadu and Islampur Integrated Textile<br />
Park, Maharashtra. Production has<br />
been started in 24 out <strong>of</strong> 40 projects.<br />
Considering the overwhelming response<br />
to the scheme and opportunities for<br />
growth <strong>of</strong> the <strong>textiles</strong> <strong>industry</strong> and in<br />
view <strong>of</strong> the consistent requests from<br />
State Governments, <strong>industry</strong> groups<br />
and entrepreneurs for setting up <strong>of</strong> new<br />
textile parks, a note was submitted by<br />
the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> for consideration<br />
<strong>of</strong> the Cabinet Committee on Economic<br />
Affairs for approval <strong>of</strong> more Textile<br />
Parks. The CCEA has approved the<br />
proposal for sanction <strong>of</strong> additional parks<br />
under SITP to utilize the balance Rs.<br />
200 Crore in the 11th Five Year Plan and<br />
number <strong>of</strong> projects be limited in such a<br />
way that committed liability <strong>of</strong> the new<br />
parks does not exceed Rs. 200 Crore<br />
in the 12th Five Year Plan. The CCEA<br />
also approved the revised guidelines<br />
enabling a two tier scrutiny and approval<br />
mechanism. The proposals received<br />
for new parks have been examined by<br />
the Project Scrutiny Committee (PSC)<br />
comprising representatives from <strong>Ministry</strong><br />
<strong>of</strong> Finance, Planning Commission,<br />
<strong>Ministry</strong> <strong>of</strong> Commerce & Industry, and<br />
<strong>Ministry</strong> <strong>of</strong> Environment & Forest. After<br />
examination by PSC, 21 new Textile<br />
Park proposals have been approved by<br />
the Project Approval Committee under<br />
the Chairmanship <strong>of</strong> Minister <strong>of</strong> <strong>Textiles</strong><br />
with Secretary (T) and JS concerned as<br />
members.<br />
INTEGRATED SKILL DEVELOPMENT<br />
SCHEME (ISDS)<br />
Objectives <strong>of</strong> the Integrated Skill<br />
development Scheme:<br />
1. To address the trained manpower<br />
needs <strong>of</strong> <strong>textiles</strong> and related<br />
segments by developing a cohesive<br />
and integrated framework <strong>of</strong> training<br />
based on the <strong>industry</strong> needs.<br />
Addressing this need is critical for<br />
10
annual report 2011-12<br />
Garmenting Training, ATDC, Patna<br />
enhancing the competitiveness <strong>of</strong> the<br />
<strong>industry</strong> in the globalised economy.<br />
2. To increase the employability <strong>of</strong><br />
residents <strong>of</strong> the target areas through<br />
imparting <strong>of</strong> skills in the above<br />
segments.<br />
3. To ensure that the scheme is so<br />
designed as to cater to the wide range <strong>of</strong><br />
skill sets required in various segments<br />
as listed above, while simultaneously<br />
ensuring sufficient flexibility to meet<br />
the dynamic needs <strong>of</strong> these segments<br />
over a period <strong>of</strong> the next five years.<br />
4. To create a trainers’ pool by conducting<br />
the advance training programmes at a<br />
cluster level.<br />
5. To ensure training in design<br />
development programmes, this<br />
is critical for handloom weavers/<br />
handicraft artisans/jute artisans,<br />
to help them produce diversified<br />
products with innovative uses and<br />
improved quality to meet changing<br />
market trends.<br />
Scope <strong>of</strong> the Scheme:<br />
The scheme proposes to leverage on the<br />
existing strong institutions and training<br />
experience within the <strong>Ministry</strong> under<br />
the Component I and ensures private<br />
sector participation through a PPP Model<br />
under Component II. Demand driven<br />
courses ranging from Basic Training,<br />
Skill upgradation, Advanced Training<br />
in emerging technologies, Training <strong>of</strong><br />
Trainers, orientation towards modern<br />
technology, retraining, skill upgradation,<br />
managerial skill, entrepreneurship<br />
development etc. in sectors such as<br />
Apparel/ garmenting, powerlooms,<br />
Handicrafts, Handlooms, Sericulture, Jute,<br />
11
ministry <strong>of</strong> <strong>textiles</strong><br />
Technical <strong>Textiles</strong> etc. are allowed under<br />
the Scheme. The Scheme targets to train<br />
approximately 26.75 lakh persons over a<br />
period <strong>of</strong> 5 years.<br />
Funding pattern:<br />
The Govt. provides assistance to the extent<br />
<strong>of</strong> 75% <strong>of</strong> the total cost <strong>of</strong> the project, and<br />
balance 25% is envisaged to be met from<br />
Fee/ Industry Contribution. However, the<br />
Empowered Committee is authorized to<br />
approve a higher level <strong>of</strong> government<br />
assistance in courses/ programmes (<strong>of</strong><br />
Component – I) where it is not feasible to<br />
organise the beneficiary contribution. The<br />
average grant per trainee is estimated as<br />
Rs. 7300/-<br />
Progress <strong>of</strong> Implementation<br />
Component I:<br />
Under the Component I <strong>of</strong> ISDS, 18<br />
proposals have been approved so far.<br />
The implementing agencies are the<br />
Textile Research Associations, Apparel<br />
& Textile Design Centres, Institutions<br />
under DC Handicrafts, DC Handlooms,<br />
<strong>Textiles</strong> Committee and Office <strong>of</strong> <strong>Textiles</strong><br />
Commissioner, Central Silk Board etc. The<br />
proposals cover all the sub sectors under<br />
<strong>Textiles</strong>. The projects are proposed to be<br />
implemented in 17 States namely Andhra<br />
Pradesh, Assam, Bihar, Chattisgarh,<br />
Gujarat, Jammu & Kashmir, Jharkhand,<br />
Karnataka, Madhya Pradesh, Maharashtra,<br />
Orissa, Punjab, Rajasthan, Tamil Nadu,<br />
Uttar Pradesh and West Bengal.<br />
A total <strong>of</strong> 437177 candidates are proposed<br />
to be covered under the Scheme over a<br />
period <strong>of</strong> five years out <strong>of</strong> which the first<br />
year target is 54495. In the first year <strong>of</strong><br />
implementation 20269 trainees have<br />
been enrolled by the agencies and 14552<br />
trainees have passed out. The total cost<br />
<strong>of</strong> the approved projects is Rs. 434.84<br />
Cr, out <strong>of</strong> which Rs. 323.15 is the grant<br />
assistance under the Scheme.<br />
A special dispensation has been allowed<br />
by the Empowered Committee to projects<br />
covering North Eastern and special category<br />
States. Special dispensation has also been<br />
extended to projects in unorganized sectors<br />
proposing to cover marginalized and weaker<br />
sections <strong>of</strong> the society, who find it difficult<br />
to forego their daily wages and pay for the<br />
training programme.<br />
The proposed courses are demand driven<br />
and the curriculum has been designed<br />
keeping the <strong>industry</strong> requirement in mind.<br />
An online MIS www.isds-mot.com has<br />
been designed to capture the progress<br />
<strong>of</strong> the projects. A skills exchange is also<br />
envisaged under the scheme to bridge<br />
the demand and supply gap for trained<br />
manpower in the <strong>textiles</strong> <strong>industry</strong> and<br />
also to provide placement linkages to<br />
the trainees.<br />
DECENTRALISED<br />
SECTOR<br />
POWERLOOM<br />
The decentralised powerloom sector<br />
is one <strong>of</strong> the most important segments<br />
<strong>of</strong> the Textile Industry in terms <strong>of</strong> fabric<br />
production and employment generation.<br />
It provides employment to 57.44 Lakh<br />
persons and contributes 62 percent to<br />
total cloth production in the Country. 60%<br />
<strong>of</strong> the fabrics produced in the powerloom<br />
sector is <strong>of</strong> man-made. More than 60%<br />
<strong>of</strong> fabric meant for export is also sourced<br />
from powerloom sector. The readymade<br />
garments and home textile sectors are<br />
heavily dependent on the powerloom<br />
sector to meet their fabric requirement.<br />
There are approximately 5.19 Lakh<br />
Powerloom Units with 22.98 Lakh<br />
Powerlooms as on 31.08.2011. The<br />
technology level <strong>of</strong> this sector varies from<br />
obsolete plain loom to high tech shuttleless<br />
looms. There are approximately<br />
1,05,000 shuttleless looms in this sector.<br />
It is estimated that more than 75% <strong>of</strong> the<br />
shuttle looms are obsolete and outdated<br />
12
annual report 2011-12<br />
with a vintage <strong>of</strong> more than 15 years and<br />
have virtually no process or quality control<br />
devices / attachments. However, there<br />
has been significant upgradation in the<br />
technology level <strong>of</strong> the powerloom sector<br />
during the last 5-6 years.<br />
Growth in the Powerloom Sector<br />
The estimated number <strong>of</strong> powerlooms in<br />
the decentralised sector in the country till<br />
31.08.2011 was 22,98,050.<br />
COTTON<br />
Cotton is one <strong>of</strong> the major crops cultivated<br />
in India. It accounts for more than 75% <strong>of</strong><br />
the total fibre consumption in the spinning<br />
mills and more than 54% <strong>of</strong> the total fibre<br />
consumption in the textile sector. The<br />
twin objective <strong>of</strong> assuring <strong>of</strong>f-take <strong>of</strong> the<br />
farmer’s produce at remunerative prices<br />
and making available adequate quantity<br />
<strong>of</strong> cotton at a reasonable prices to the<br />
domestic textile <strong>industry</strong>, are sought to be<br />
achieved through timely announcement<br />
<strong>of</strong> remunerative Minimum Support Price<br />
(MSP) to the farmer and through appropriate<br />
export-import intervention as and when<br />
necessary. The New Textile Policy aims<br />
at improving the quality <strong>of</strong> cotton to that <strong>of</strong><br />
international standards through effective<br />
implementation <strong>of</strong> the Technology Mission<br />
on Cotton (TMC).<br />
Production and Consumption<br />
●<br />
●<br />
●<br />
During the last five decades, the<br />
production <strong>of</strong> cotton increased from<br />
30.00 lakh bales <strong>of</strong> 170 kgs. each<br />
in 1950-51 to an all-time record <strong>of</strong><br />
356.00 lakh bales <strong>of</strong> 170 kgs. each<br />
during 2011-12.<br />
Acreage under cotton cultivation has<br />
also increased and from 58.82 lakh<br />
hectares in 1950-51 to a record high<br />
<strong>of</strong> 121.91 lakh hectares in 2011-12.<br />
The average yield has also increased<br />
from 88 kgs. in 1950-51 to 554 kgs. in<br />
2007-08.<br />
●<br />
●<br />
●<br />
●<br />
Due to receipt <strong>of</strong> good prices by the<br />
cotton farmers for their produce in<br />
previous cotton season there has<br />
been significant increase in cotton<br />
acreage under cotton in cotton<br />
season 2011-12. Acreage under<br />
cotton cultivation has increased by<br />
10% to 121.91 lakh hectares in 2011-<br />
12 as against 111.42 lakh hectares<br />
in the previous season. The rise in<br />
acreage has been mainly due to<br />
switching from other competing crops<br />
viz., maize, jawar, pulses etc. With<br />
various governmental measure to<br />
improve farm practices and release<br />
<strong>of</strong> Bt seeds have enabled the farmers<br />
to sustain their continued interests in<br />
cotton cultivation.<br />
One <strong>of</strong> the reasons for low yield in<br />
India as compared to world average<br />
<strong>of</strong> about 745 kgs/hectare is that<br />
nearly 65% <strong>of</strong> the area under cotton<br />
cultivation is rainfed. Despite delayed<br />
sowing and subsequent continuous<br />
rains in Northern and Central<br />
zone, with subsequent favourable<br />
agro-climatic conditions, the crop<br />
progress is satisfactory in all the<br />
cotton growing States. As a result,<br />
the cotton production in the country<br />
is also expected to increase by 10%<br />
to 356.00 lakh bales as against the<br />
last year.<br />
The largest share in the total<br />
production <strong>of</strong> cotton is <strong>of</strong> long staple<br />
varieties followed by medium and<br />
medium long staple. The share <strong>of</strong><br />
short staple is about 1% and the<br />
share <strong>of</strong> medium & medium long<br />
staple varieties was around 20% and<br />
the remaining are long and extra long<br />
staple varieties.<br />
In recent years, there has been a<br />
shift in the cultivation pattern and<br />
farmers have switched over to high<br />
yielding long staple varieties from<br />
13
ministry <strong>of</strong> <strong>textiles</strong><br />
●<br />
the medium staple varieties. The<br />
main cotton producing States are<br />
Maharashtra, Gujarat, Andhra<br />
Pradesh, Madhya Pradesh, Punjab,<br />
Haryana, Rajasthan, Karnataka,<br />
Tamil Nadu.<br />
Domestic consumption <strong>of</strong> cotton<br />
fibre has witnessed sustained<br />
growth since 2003-04 onwards<br />
due to growing demand for Indian<br />
<strong>textiles</strong> and subsequently, there has<br />
been considerable expansion and<br />
modernization <strong>of</strong> textile mills.<br />
● Even though the Indian cotton<br />
consumption has increased with<br />
rapid pace in the last few years,<br />
still it has not kept pace with the<br />
growth in domestic cotton production<br />
resulting into surplus availability<br />
for exports. The consumption level<br />
including consumption <strong>of</strong> spinning<br />
units in the Small Scale Sector<br />
and non-mill consumption during<br />
2011-12 has been 250.00 lakh bales<br />
as against 253.00 lakh bales in the<br />
previous year.<br />
●<br />
The projected slowdown in global<br />
economic growth in 2011 and 2012<br />
is expected to affect the cotton<br />
consumption <strong>of</strong> textile products and<br />
therefore demand for cotton fibre<br />
domestically and internationally.<br />
Cotton consumption is likely to be<br />
influenced by the cotton farmers in<br />
the previous cotton season. As a<br />
result, the consumption is estimated<br />
at 250.00 lakh bales in 2011-12 as<br />
against 253.00 lakh bales in previous<br />
year.<br />
SERICULTURE & SILK INDUSTRY<br />
India continues to be the second largest<br />
producer <strong>of</strong> silk in the World. Among the<br />
four varieties <strong>of</strong> silk produced, as in 2010-11,<br />
Mulberry accounts for 80.2% (16360 MT),<br />
Eri 13.5% (2760 MT), Tasar 5.7% (1166 MT)<br />
and Muga 0.6% (124MT) <strong>of</strong> the total raw silk<br />
production in the country.<br />
Sericulture is an important labourintensive<br />
and agro-based cottage<br />
<strong>industry</strong>, providing gainful occupation to<br />
around 7.25 million persons in rural and<br />
semi-urban areas in India. Of these, a<br />
sizeable number <strong>of</strong> workers belong to the<br />
economically weaker sections <strong>of</strong> society.<br />
There is substantial involvement <strong>of</strong> women<br />
in this Industry.<br />
In the Fifth year <strong>of</strong> the XI Plan i.e.,<br />
2011-12, the provisional production<br />
data received up to April – December<br />
period it is seen that the production <strong>of</strong><br />
mulberry raw silk increased by 11.8% (to<br />
13080 MT) compared to the production<br />
<strong>of</strong> 11696 MT in the same period <strong>of</strong> the<br />
previous year (2010-11). Vanya raw silk<br />
production was increased by 4.0% (2170<br />
MT) during April – December period <strong>of</strong><br />
the year 2011-12 as compared to the<br />
production <strong>of</strong> 2087 MT during the same<br />
period <strong>of</strong> the year 2010-11.<br />
RESEARCH AND DEVELOPMENT<br />
The main Research & Training Institutes<br />
<strong>of</strong> the CSB provide R&D and Training<br />
support for the development <strong>of</strong> sericulture.<br />
The institutes at Mysore (Karnataka)<br />
Berhampore (West Bengal) and Pampore<br />
(J&K) deals with mulberry sericulture.<br />
One at Ranchi (Jharkhand) deals with<br />
Tasar culture. The institute established<br />
at Lahdoigarh, Jorhat (Assam) deals with<br />
Muga and Eri culture. Regional Sericulture<br />
Research Stations (RSRS/RTRS/RERS)<br />
for mulberry and non-mulberry has<br />
been functioning for adoptive Research,<br />
refining and dissemination <strong>of</strong> the research<br />
findings and <strong>of</strong> tackling the regional field<br />
issues <strong>of</strong> the <strong>industry</strong>. Besides, a network<br />
<strong>of</strong> Research Extension Centre (RECs)<br />
& its sub units for mulberry and non<br />
mulberry are also functioning to provide<br />
14
annual report 2011-12<br />
extension support to sericulturists. In<br />
order to provide R&D support in post<br />
cocoon sector, the Board has established<br />
a Central Silk Technological Research<br />
Institute (CSTRI) at Bangalore. In<br />
addition, the CSB has also set up a<br />
Silkworm Seed Technology Laboratory<br />
(SSTL) in Bangalore (Karnataka), a<br />
Central Sericultural Germplasm Resource<br />
Centre (CSGRC) at Hosur (Tamil Nadu)<br />
and a Seri-Biotech Research Laboratory<br />
(SBRL) at Bangalore.<br />
During 2011-12, 40 Research projects<br />
are continued. Further, 29 new research<br />
projects were initiated. Against a target<br />
<strong>of</strong> 30 Research Projects scheduled to be<br />
completed, 23 projects have already been<br />
concluded (up to November 2011) and<br />
remaining 7 projects will be concluded by<br />
March 2012.<br />
TRANSFER OF TECHNOLOGY<br />
In order to increase productivity and quality<br />
<strong>of</strong> silk, a chain <strong>of</strong> Research Extension<br />
Centres are engaged for transfer <strong>of</strong><br />
technologies from Research Institutes to<br />
the field.<br />
SEED ORGANISATION (SILKWORM<br />
SEED PRODUCTION AND SUPPLY)<br />
Under National Silkworm Seed<br />
Organization (NSSO) a network <strong>of</strong> 19<br />
Basic Seed Farms (BSF) produce and<br />
supply the basic seed for production <strong>of</strong><br />
commercial silkworm seed in the seed<br />
production centres functioning under CSB<br />
and State Departments. 19 Silkworm<br />
Seed Production Centres (SSPCs) are<br />
functioning under NSSO in different States<br />
to support the <strong>industry</strong>. Similarly, on the<br />
tasar side, the CSB has established 21<br />
Basic Seed Multiplication & Training<br />
Centres (BSM&TC) and one Central Tasar<br />
Silkworm Seed Station (CTSSS) for supply<br />
<strong>of</strong> tropical tasar basic seed & 1 oak tasar<br />
grainage and 3 REC-Cum-BSM&TCs for<br />
supply <strong>of</strong> oak tasar basic seed. Under<br />
muga sector, 8 Basic Seed Farms and<br />
1 Silkworm Seed Production Centre are<br />
functioning. For production and supply <strong>of</strong><br />
eri seed, CSB has established 5 Silkworm<br />
Seed Production Centres.<br />
Emphasis was given towards production<br />
<strong>of</strong> quality dfls by adopting Quality<br />
Management System in seed production<br />
under ISO 9001:2008 certification in<br />
18 SSPCs. During 2011-12 four more<br />
SSPCs are to be covered under ISO<br />
certification.<br />
ESTABLISHMENT OF COCOON TESTING<br />
UNITS<br />
In order to facilitate cocoon testing in<br />
different cocoon markets <strong>of</strong> the country<br />
an amount <strong>of</strong> Rs. 1.00 lakh ( unit cost) is<br />
provided towards procurement <strong>of</strong> testing<br />
equipments. It is proposed to establish<br />
25 such Units during XI plan. The entire<br />
assistance is provided by Central Silk<br />
Board. During the year 2011-12 a total <strong>of</strong><br />
5 units located in the state <strong>of</strong> Karnanataka<br />
and West Bengal <strong>of</strong> Procurement /<br />
Establishment is under progress viz., at<br />
Shirahatti/H.Cross/Vijayapura/Malavalli-<br />
Karnataka, Khaliachack- WB.<br />
SILK MARK ORGANIZATION OF INDIA<br />
(SMOI)<br />
The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>, Govt. <strong>of</strong> India came<br />
up with an initiative for the protection <strong>of</strong><br />
the interests <strong>of</strong> the consumers and other<br />
stakeholders <strong>of</strong> the silk value-chain by<br />
bringing out “Silk Mark” Scheme in June<br />
2004. Silk Mark, the Quality Assurance<br />
Label signifying that a product to which<br />
it is affixed is made <strong>of</strong> pure silk was<br />
launched by the Silk Mark Organisation<br />
<strong>of</strong> India (SMOI), a registered Society<br />
promoted by the Central Silk Board. Silk<br />
Mark labels can be affixed to primary,<br />
intermediate and finished products <strong>of</strong> silk<br />
including yarn, fabric, sarees, made-ups,<br />
15
ministry <strong>of</strong> <strong>textiles</strong><br />
garments, carpets, etc.<br />
The Silk Mark Scheme is aimed at<br />
protecting the interests <strong>of</strong> the users and<br />
connoisseurs <strong>of</strong> silk, and for the generic<br />
promotion <strong>of</strong> silk and also for building<br />
brand-equity <strong>of</strong> Indian Silk.<br />
Since the launch <strong>of</strong> Silk Mark in June<br />
2004, over 1800 members have joined<br />
the Organisation, <strong>of</strong> whom, more than<br />
1700 have become Authorized Users.<br />
More than 1.35 crore <strong>of</strong> Silk Mark labelled<br />
products have reached the market for the<br />
benefit <strong>of</strong> consumers.<br />
During 2011-12 (up to November 2011)<br />
168 members joined SMOI, <strong>of</strong> which, 157<br />
members have enrolled as Authorised<br />
Users and 16.12 lakhs <strong>of</strong> Silk Mark Labelled<br />
products have reached the market. During<br />
2011-12 (upto November 2011) SMOI<br />
participated in as many as 296 exhibitions/<br />
Workshops/ Road shows etc.<br />
Anticipated achievement up to March<br />
2012 is as follows:<br />
1. Members – 300 Nos.<br />
2. Authorised users – 300 Nos.<br />
3. Sale <strong>of</strong> Silk Mark label – 30.00 lakhs<br />
4. Awareness programmes / Workshops<br />
/ Exhibitions / Road Shows etc. - 340<br />
Nos.<br />
Nineteen Silk Expos have been planned<br />
during the year 2011-12 and 10 such<br />
Expos have already been conducted at<br />
various cities till November, 2011.<br />
THE JUTE AND JUTE TEXTILES<br />
INDUSTRY<br />
The Jute <strong>industry</strong> occupies an important<br />
place in the national economy <strong>of</strong> India. It<br />
is one <strong>of</strong> the major industries in the eastern<br />
region, particularly in West Bengal. Jute,<br />
the golden fibre, meets all the standards<br />
for ‘safe’ packaging in view <strong>of</strong> being a<br />
natural, renewable, biodegradable and<br />
eco-friendly product. It is estimated that the<br />
jute <strong>industry</strong> provides direct employment<br />
to 0.37 million workers in organized mills<br />
and in diversified units including tertiary<br />
sector and allied activities and supports<br />
the livelihood <strong>of</strong> around 4.0 million farm<br />
families. In addition, there are a large<br />
number <strong>of</strong> persons engaged in the trade<br />
<strong>of</strong> jute.<br />
In the world perspective, India is the<br />
major producer <strong>of</strong> both raw jute and jute<br />
products. Out <strong>of</strong> the total world production<br />
<strong>of</strong> Jute, Kenaf and allied fibre <strong>of</strong> 3.0 million<br />
tonnes in 2007-08, India produced 1.8<br />
million tonnes. In percentage terms India<br />
accounted for 60 % <strong>of</strong> world production<br />
in 2007-08. Global production <strong>of</strong> jute and<br />
allied fibres is estimated to have increased<br />
by 25 % to 3.0 million tonnes in 2007-08<br />
compared to 2004-05 season. Production<br />
in India has also increased by 28% to 1.8<br />
million tonnes in 2007-08 over 2004-05.<br />
There are 83 composite jute mills in India.<br />
Out <strong>of</strong> the total 83 jute mills, 64 jute mills<br />
are located in West Bengal, 3 each in<br />
Bihar and U.P., 7 in Andhra Pradesh 2<br />
each in Chattisgarh & Orissa and 1 each<br />
in Assam and Tripura. Ownership- wise<br />
division is:- 6 mills are under Government<br />
<strong>of</strong> India’s P.S.U., 1 mill (Tripura) is under<br />
State Government, 2 mills (Assam & New<br />
Central) are in the co-operative sector and<br />
74 are privately owned mills.<br />
As on 31-01-2010 total number <strong>of</strong> looms<br />
installed in the jute <strong>industry</strong> stood at 48,245<br />
consisting <strong>of</strong> 23,372 Hessian looms,<br />
22,148 sacking looms, 1,058 C.B.C looms<br />
and others at 1,060. The installed spindles<br />
in jute mills other than 100% export oriented<br />
units were 731,408 comprising <strong>of</strong> 622,324<br />
fine spindles and 109,084 coarse spindles.<br />
Installed spindles in 100% export oriented<br />
16
annual report 2011-12<br />
units stood at 9,482 with fine spindles at<br />
6,974 and coarse spindles at 2,508. The<br />
maximum installed capacity in jute mills<br />
other than 100% export oriented units (on<br />
the basis <strong>of</strong> 305 working days per year) is<br />
estimated to be <strong>of</strong> 2.47 million tonnes per<br />
annum.<br />
HANDLOOMS<br />
Handloom weaving is one <strong>of</strong> the largest<br />
economic activities after agriculture<br />
providing direct and indirect employment<br />
to more than 43 lakh weavers and allied<br />
workers. This sector contributes nearby<br />
15% <strong>of</strong> the cloth production in the<br />
country and also contributes to the export<br />
earnings <strong>of</strong> the country. 95% <strong>of</strong> the world’s<br />
handwoven fabric comes from India.<br />
Production in the Handloom Sector<br />
increased<br />
Resultant to the developmental and<br />
welfare measures initiated by the<br />
Government <strong>of</strong> India, the declining trend<br />
in production in the handloom sector had<br />
been arrested and from the year 2004-05<br />
(except year <strong>of</strong> recession in 2008-09) there<br />
in fact has been a considerable growth in<br />
production in the sector. Production in the<br />
handloom sector recorded a figure <strong>of</strong> 6949<br />
million sq. meters in the year 2010-11,<br />
which is about 26% over the production<br />
figure <strong>of</strong> 5493 million sq. meters recorded<br />
in the year 2003-04.<br />
Revival, Reform and Restructuring<br />
Package for Handloom Sector<br />
The “Revival, Reform and Restructuring<br />
Package for Handloom Sector” has been<br />
approved with the total financial implication<br />
<strong>of</strong> Rs. 3884 crore, out <strong>of</strong> which Government<br />
<strong>of</strong> India’s share is Rs. 3137 crore and the<br />
share <strong>of</strong> the State Governments is Rs. 747<br />
crore. The Package covers loan waiver<br />
<strong>of</strong> 100% <strong>of</strong> principal and 25% <strong>of</strong> interest,<br />
which is overdue as on 31.03.2010 in<br />
respect <strong>of</strong> weavers and their societies.<br />
Interest subsidy <strong>of</strong> 3% for 3 years will be<br />
extended with guarantee <strong>of</strong> the fresh loan<br />
extended by banks to the eligible handloom<br />
cooperative societies and individual<br />
handloom weavers.<br />
Comprehensive Package for the<br />
Handloom Sector<br />
To meet the two critical needs <strong>of</strong> cheap<br />
credit and cheap hank yarn for the<br />
handloom sector, the Government has<br />
approved a comprehensive package for<br />
handloom sector. The components <strong>of</strong><br />
comprehensive package are implemented<br />
through two existing Plan schemes i.e.<br />
Integrated Handlooms Development<br />
Scheme for availability <strong>of</strong> cheap credit,<br />
and Mill Gate Price Scheme for availability<br />
<strong>of</strong> subsidised hank yarn. For easy credit<br />
availability to handloom weaver, the<br />
Government <strong>of</strong> India will provide margin<br />
money assistance @ Rs.4200/- per<br />
weaver, interest subvention at 3% per<br />
annum for 3 years and credit guarantee<br />
for 3 years by the Credit Guarantee Fund<br />
Trust for Micro and Small Enterprises<br />
(CCTMSE).<br />
To ensure yarn availability at reasionable<br />
prices, 10% price subsidy on domestic<br />
silk yarn and cotton yarn have been<br />
approved by the Government <strong>of</strong> India.<br />
Further the rate <strong>of</strong> freight reimbursement<br />
for transportation <strong>of</strong> different types <strong>of</strong> yarn<br />
has also been enhanced suitably in order<br />
to <strong>of</strong>fset the increase in fuel cost.<br />
The projected financial outlay involved<br />
in the implementation <strong>of</strong> these proposals<br />
during the current year 2011-12 and the<br />
12 th Plan period is Rs. 2362.15 crore. The<br />
comprehensive package will benefit all the<br />
handloom weavers and their cooperative<br />
societies in the country as per the budget<br />
allocation, in addition to 3 lakh handloom<br />
weavers and 15,000 cooperative<br />
societies already covered under the<br />
17
ministry <strong>of</strong> <strong>textiles</strong><br />
Financial Package approved earlier.<br />
These interventions aim at bringing about<br />
a paradigm shift by converting individual<br />
weavers into micro entrepreneurs by<br />
empowering them with cheap credit and<br />
yarn. Individual weavers will now be able<br />
to command a better price in the market<br />
for their products.<br />
Handloom Weaver Credit Card (WCC)<br />
Scheme<br />
Handloom sector largely comprises <strong>of</strong><br />
small and tiny units, which fall mostly<br />
under the unorganized sector and<br />
that credit needs <strong>of</strong> a large number <strong>of</strong><br />
weavers are being met through informal<br />
channels.<br />
The WCC Scheme aims at providing<br />
adequate and timely assistance from the<br />
Banking institutions to the weavers to<br />
meet their credit requirements, i.e., for<br />
investments needs as well as for working<br />
capital <strong>of</strong> Rs.30,000-50,000 per borrower<br />
in a flexible and cost effective manner.<br />
Weaver Credit Card (WCC) Scheme<br />
dovetailed with other Government<br />
programmes will go a long way in<br />
supporting the government initiatives to<br />
fulfill the objective <strong>of</strong> financial inclusion.<br />
Credit Guarantee through Credit<br />
Guarantee Fund Trust For Micro And<br />
Small Enterprises (CGTMSE):<br />
The Credit Guarantee Fund Trust for<br />
Micro and Small Enterprises (CGTMSE)<br />
was set up in July, 2000 jointly by GOI<br />
and SIDBI. The trust provides guarantee<br />
cover to term loan and working capital<br />
facilities sanctioned by its member lending<br />
institutions without collateral security<br />
to eligible units in the Micro and Small<br />
Enterprises Sector.<br />
It has been decided to provide a credit<br />
guarantee cover for working capital/term<br />
loan assistance by Government <strong>of</strong> India on<br />
behalf <strong>of</strong> the eligible Handloom Weavers<br />
to enable them to access credit without<br />
any collateral security. The Government<br />
<strong>of</strong> India will pay the Guarantee Fees and<br />
Annual Service Charges (as applicable)<br />
on behalf <strong>of</strong> the borrowers, for loans <strong>of</strong><br />
upto Rs. 50,000 per weavers under Credit<br />
Guarantee Fund Trust for Micro and Small<br />
Enterprises (CGTMSE) Scheme. This will<br />
cover 85% <strong>of</strong> the amount in default.<br />
585 Handloom Clusters taken up for<br />
development.<br />
The Integrated Handlooms Development<br />
Scheme(IHDS) has been launched<br />
with a view to develop holistically and<br />
comprehensively the weavers’ clusters<br />
throughout the country. Under this scheme,<br />
585 Handloom clusters have been taken<br />
up during XI th Plan (upto 21.02.2012) and<br />
financial assistance <strong>of</strong> Rs 176.11 crore has<br />
been released to various Implementing<br />
agencies through the State Government for<br />
various components like skill upgradation,<br />
setting up <strong>of</strong> CPC/Dye House, marketing,<br />
formation <strong>of</strong> consortium etc.<br />
71 Lakh Weavers covered under the<br />
Health Insurance Scheme<br />
The Health Insurance Scheme provides<br />
health care facilities to the handloom<br />
weavers and their families. 71.24 lakh<br />
weavers have been covered/enolled<br />
during the XIth Plan under this scheme<br />
which extends benefit to more than 284<br />
lakh persons including spouse and two<br />
children <strong>of</strong> the weaver covered.<br />
Yarn supply under the Mill Gate Price<br />
Scheme<br />
788 yarn depots, covering all the<br />
handloom clusters, have been set up<br />
by the NHDC to ensure steady and<br />
timely supply <strong>of</strong> requisite yarn at Mill<br />
Gate Price to the handloom weavers.<br />
18
annual report 2011-12<br />
Supply <strong>of</strong> yarn by the National<br />
Handloom Development Corporation<br />
(NHDC) under the Mill Gate Price<br />
Scheme having increased considerably<br />
and registered a figure <strong>of</strong> 1105.96 lakh<br />
kgs. valued at Rs.1195.55 core in the<br />
year 2010-11 as compared to 682.14<br />
lakh kgs yarn valuing Rs.567.48 core<br />
supplied in the year 2007-08.<br />
Sant Kabir Award<br />
This award is conferred every year,<br />
beginning from the year 2009 on such<br />
outstanding weavers who have made<br />
valuable contribution in keeping alive the<br />
handloom heritage. Each award consists<br />
<strong>of</strong> one mounted gold coin, one shawl and<br />
a citation. In addition, financial assistance<br />
to the extent <strong>of</strong> Rs. 6.00 lakh is also given<br />
to each <strong>of</strong> the Sant Kabir Awardee to<br />
innovate and create 10 new products <strong>of</strong><br />
high level <strong>of</strong> excellence, <strong>of</strong> high aesthetic<br />
value and <strong>of</strong> high quality. 10 handloom<br />
weavers have been selected to confer<br />
Sant Kabir Award for the year 2009.<br />
Brand building through Handloom<br />
Mark:<br />
The Handloom Mark has been launched<br />
to serve as a guarantee to the buyer<br />
that handloom product being purchased<br />
is genuine handwoven product and not<br />
a powerloom or mill made product. The<br />
<strong>Textiles</strong> Committee is the Implementing<br />
agency for promotion <strong>of</strong> Handloom<br />
Mark. As on 31.01.2012, 241.21 lakh<br />
(cumulative) handloom mark labels have<br />
been sold to 8737 stakeholders. 812<br />
retails outlets are selling handloom goods<br />
with Handloom Mark label.<br />
Handloom Week<br />
To promote, popularize and create<br />
awareness about the handloom products<br />
Handloom Week is celebrated every year<br />
from 21st Dec. to 27th Dec. During the<br />
Handloom week, number <strong>of</strong> promotional<br />
and awareness programmes, publicity<br />
through newspapers, magazines, outdoor<br />
publicity, through electronic media were<br />
undertaken.<br />
Marketing Events<br />
The target <strong>of</strong> marketing events for the<br />
year 2011-12 has been increased to 700<br />
No. from 680 No. sanctioned during the<br />
year 2010-11 to give adequate opportunity<br />
to handloom weavers and their societies<br />
to market their products directly to the<br />
consumers without the intervention <strong>of</strong> the<br />
middlemen. 740 marketing events have<br />
been sanctioned during the current year<br />
2011-12 till 31 st Jan., 2012.<br />
Exhibition <strong>of</strong> Handloom Products<br />
Exhibition-cum-Sale <strong>of</strong> Handloom<br />
Items during the ‘India Day’ at Lal<br />
Bahadur Shastri National Academy <strong>of</strong><br />
Administration ( LBSNAA), Mussoorie<br />
was organised during July 2011 and again<br />
in Oct. 2011.<br />
A Buyer Seller Meet was organized in<br />
September 2011 at Jaipur to promote<br />
and preserve traditional Kota Doria and<br />
showcased wide range <strong>of</strong> Kota Doria<br />
products.<br />
A Master Creation Programme has<br />
been organised at Dilli Haat, INA, New<br />
Delhi from 1 st to 15 th Dec. 2011 wherein<br />
National awardees had exhibited<br />
their products for sale directly to the<br />
public. Loom demonstration has also<br />
been made during the programme. An<br />
exhibition- cum-sale ‘Himcraft’ <strong>of</strong> <strong>wool</strong>en<br />
products developed in clusters <strong>of</strong><br />
Himachal Pradesh was held during the<br />
“Handloom Week” on 24-26 th December,<br />
2011 at India Islamic Center, New Delhi<br />
where the Handloom weavers exhibited<br />
and sold their products to public.<br />
19
ministry <strong>of</strong> <strong>textiles</strong><br />
Special project for development <strong>of</strong><br />
Tripura Handlooms.<br />
Special Project for Development <strong>of</strong><br />
Tripura Handlooms has been approved at<br />
the cost <strong>of</strong> Rs.9.12 crore over three years,<br />
and is likely to benefit 960 handloom<br />
weavers and ancillary workers because<br />
it envisages an overall development <strong>of</strong><br />
the dispersed units spread across the<br />
remote interiors <strong>of</strong> the hilly terrain in the<br />
State <strong>of</strong> Tripura.<br />
HANDICRAFTS<br />
The Handicrafts Sector plays a significant<br />
& important role in the country’s economy.<br />
It provides employment to a vast segment<br />
<strong>of</strong> craft persons in rural & semi urban<br />
areas and generates substantial foreign<br />
exchange for the country, while preserving<br />
its cultural heritage. Handicrafts have<br />
great potential, as they hold the key for<br />
sustaining not only the existing set <strong>of</strong><br />
millions <strong>of</strong> artisans spread over length<br />
and breadth <strong>of</strong> the country, but also for<br />
the increasingly large number <strong>of</strong> new<br />
entrants in the crafts activity. Presently,<br />
handicrafts contribute substantially to<br />
employment generation and exports.<br />
The Handicraft sector has, however,<br />
suffered due to its being unorganized,<br />
with the additional constraints <strong>of</strong> lack <strong>of</strong><br />
education, low capital, poor exposure to<br />
new technologies, absence <strong>of</strong> market<br />
intelligence, and a poor institutional<br />
framework. In spite <strong>of</strong> these constraints,<br />
sector has witnessed a significant<br />
growth and efforts are being augmented<br />
during the current plan on the following<br />
core issues for the development <strong>of</strong> the<br />
sector.<br />
= Providing infrastructural support for<br />
production & exports.<br />
= Improve quality & product<br />
diversification with more awareness<br />
for both stakeholders & consumer.<br />
= A greater role for NGO as<br />
implementing partners and<br />
participation <strong>of</strong> private resources<br />
–both human and financial.<br />
The sector is estimated to employ Rs<br />
68.86 lakh artisans. At present the export<br />
<strong>of</strong> handicrafts including handmade<br />
carpet has been 10651.93 crores (April-<br />
Dec. 2011) which shows an increase <strong>of</strong><br />
30.97% over the same period in financial<br />
year 2010-11, and the plan allocation is at<br />
present Rs. 245.00 crores in 2011-12.<br />
Handicrafts activity being a State subject,<br />
its development and promotion are the<br />
primary responsibility <strong>of</strong> every State<br />
Government. However, the Central<br />
Government is supplementing their efforts<br />
by implementing various developmental<br />
schemes.<br />
Sardar Vallabhbhai Patel<br />
International School <strong>of</strong> <strong>Textiles</strong><br />
and Management (SVPISTM)<br />
Sardar Vallabhbhai Patel International<br />
School <strong>of</strong> <strong>Textiles</strong> and Management<br />
(SVPISTM), Coimbatore is an autonomous<br />
institute under the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>. It<br />
was established in 2004 as the Sardar<br />
Vallabhbhai Patel Institute <strong>of</strong> Textile<br />
Management (SVPITM), a product <strong>of</strong><br />
the collaborative effort <strong>of</strong> the <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong>, Government <strong>of</strong> India and the<br />
associations <strong>of</strong> the textile <strong>industry</strong>. Among<br />
the <strong>industry</strong> associations involved in<br />
the establishment <strong>of</strong> the Institution were<br />
Southern India Mills’ Association (SIMA),<br />
Tirupur Exporters’ Association (TEA) and<br />
Powerloom Development and Export<br />
Council (PDRXIL).<br />
Since inception, the School has been<br />
vibrant and taking bold initiatives in<br />
achieving its objectives. Apart from running<br />
its own long term programmes <strong>of</strong> Post<br />
Graduate Diploma in Management with<br />
specialisation in <strong>Textiles</strong> and Management,<br />
20
annual report 2011-12<br />
it has associated with IGNOU in evolving<br />
an exclusive MBA in <strong>Textiles</strong> Management.<br />
The course is now <strong>of</strong>fered at the School<br />
premises as face-to-face programme and<br />
is involved in developing course material<br />
for the programme to be <strong>of</strong>fered under<br />
distance mode. It is affiliated to Bharatiar<br />
University, Coimbatore to <strong>of</strong>fer research<br />
programmes, M.Phil and Ph.D in <strong>textiles</strong><br />
management. It has taken active role in<br />
conducting <strong>industry</strong> specific short term<br />
programmes in the form <strong>of</strong> Management<br />
Development Programmes and<br />
Entreprenuer Development Programmes<br />
for textile <strong>industry</strong> personnel in general<br />
and has been repeatedly conducting inhouse<br />
programmes for certain textile<br />
units.<br />
It has entered into Memorandum <strong>of</strong><br />
Understanding (MOU) with <strong>industry</strong><br />
associations and academic institutions<br />
<strong>of</strong> India and abroad, to bring about the<br />
synergy <strong>of</strong> different knowledge centres<br />
and foster research in the emerging area<br />
<strong>of</strong> the <strong>industry</strong>, for the ultimate benefit <strong>of</strong><br />
the textile <strong>industry</strong>.<br />
The School is embarking on launching an<br />
integrated five year programme – B.Tech<br />
(Technical <strong>Textiles</strong>) with MBA. It will be<br />
<strong>of</strong>fering a specialised course <strong>of</strong> MBA in retail<br />
management, with particular reference to<br />
textile <strong>industry</strong>. It is also planning to launch<br />
further programmes in the specialised<br />
areas <strong>of</strong> <strong>textiles</strong> and ultimately emerge<br />
as a centralised knowledge warehouse in<br />
matters relating to <strong>textiles</strong>, with the status<br />
<strong>of</strong> a National Textile University, which the<br />
<strong>industry</strong> can draw upon.<br />
In order to lay sound foundation for the<br />
new and challenging roles, the School<br />
has engaged the Educational Consultants<br />
<strong>of</strong> India Limited(Ed.CIL) for advice on<br />
the infrastructure to be created and other<br />
courses <strong>of</strong> action to be taken. The School<br />
is poised for a strong and well-rounded<br />
growth to emerge as a force to reckon with<br />
in the <strong>industry</strong>.<br />
NATIONAL INSTITUTE OF FASHION<br />
TECHNOLOGY (NIFT)<br />
National Institute <strong>of</strong> Fashion Technology<br />
has completed 25 years in the domain<br />
<strong>of</strong> fashion education in India in 2011.<br />
A pioneer in the field <strong>of</strong> fashion in the<br />
three streams <strong>of</strong> Design, Technology &<br />
Management, the growth <strong>of</strong> NIFT has<br />
paralleled the emergence <strong>of</strong> India in the<br />
global scenario as a significant player.<br />
Since its inception in 1986 with modest<br />
beginnings in Delhi, it has emerged as a<br />
15-center institute with a strong national<br />
& global presence.<br />
Dynamic changes in the market and<br />
consumption patterns resulting in<br />
restructuring and consolidation with<br />
renewed interest in investment, emerging<br />
trends and business opportunities in<br />
the intensely competitive domestic<br />
environment, challenges <strong>of</strong> globalization,<br />
information and networking explosion,<br />
increasing national concern for the<br />
environment and sustainability have had<br />
a significant cumulative impact on the<br />
fashion <strong>industry</strong>.<br />
The 15 centers <strong>of</strong> NIFT are Bengaluru,<br />
Bhopal, Bhubaneswar, Chennai,<br />
Gandhinagar, Hyderabad, Jodhpur,<br />
Kangra, Kannur, Kolkata, Mumbai, New<br />
Delhi, Patna, Raebareli and Shillong.<br />
There are more than 7000 students<br />
across these canters pursuing UG and<br />
PG degrees in 10 streams.<br />
NIFT has played a pioneering role in<br />
contributing to various segments <strong>of</strong> the<br />
textile, apparel, lifestyle accessories,<br />
leather, knitwear and communication<br />
<strong>industry</strong>. It has been successful in creating<br />
a widespread awareness and sensitivity<br />
to fashion as a serious business in India<br />
and evolving a pr<strong>of</strong>essional ethos with<br />
a distinct signature style on the global<br />
fashion map. The NIFT alumni have<br />
created a niche for themselves in the top<br />
echelons <strong>of</strong> the fashion Industry and have<br />
21
created a wide network thereby supporting<br />
aspiring students to gain ingress into the<br />
pr<strong>of</strong>essional sphere.<br />
ACTIVITIES RELATED TO<br />
PROGRESSIVE USE OF OFFICIAL<br />
LANGUAGE<br />
Hindi is the Official Language <strong>of</strong> the Union<br />
<strong>of</strong> India and the policy <strong>of</strong> the Government<br />
aims at progressive use <strong>of</strong> Hindi in <strong>of</strong>ficial<br />
work. Effective steps have been taken<br />
during the year in the M/o <strong>Textiles</strong> to ensure<br />
compliance with the Official Language<br />
Policy <strong>of</strong> the Government; implementation<br />
<strong>of</strong> the annual programme and compliance<br />
with the various orders <strong>of</strong> the Government<br />
<strong>of</strong> India on the recommendations <strong>of</strong> the<br />
Committee <strong>of</strong> Parliament on Official<br />
Language.<br />
Compliance with the provisions <strong>of</strong> the<br />
Official Language Act, 1963<br />
All documents such as resolutions,<br />
general orders, rules etc., under Section<br />
3(3) <strong>of</strong> the Official Language Act and<br />
all papers laid on the Table <strong>of</strong> both the<br />
Houses <strong>of</strong> Parliament were issued<br />
bilingually, i.e. in Hindi and English.<br />
General orders meant for departmental<br />
use were issued in Hindi only.<br />
Sections specified for working in Hindi<br />
The 15 Sections <strong>of</strong> the <strong>Ministry</strong> which<br />
have been specified for doing hundred<br />
per cent work in Hindi, are working<br />
satisfactorily.<br />
Monitoring and inspections<br />
In order to ensure compliance with the<br />
Official Language Policy, monitoring is<br />
done through reviewing the quarterly<br />
progress reports. During the year, apart<br />
from the Sections <strong>of</strong> the <strong>Ministry</strong>, three<br />
head <strong>of</strong>fices and thirteen sub-<strong>of</strong>fices<br />
<strong>of</strong> organizations under the control <strong>of</strong><br />
*****<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
the <strong>Ministry</strong> were inspected to ensure<br />
progressive use <strong>of</strong> Hindi and compliance<br />
with the Official Language policy.<br />
Training <strong>of</strong> Officials<br />
Three <strong>of</strong>ficials in the <strong>Ministry</strong> are being<br />
trained in Hindi typing.<br />
Use <strong>of</strong> Mechanical aids<br />
As per the provisions <strong>of</strong> the Official<br />
Language Act, facilities have been<br />
provided on all the computers in the<br />
<strong>Ministry</strong>, to work in Hindi.<br />
Committees<br />
The meeting <strong>of</strong> the Hindi Salahar Samitee<br />
has been organised on 8 th December,<br />
2011 in the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> under the<br />
Chairmanship <strong>of</strong> Minister <strong>of</strong> State for<br />
<strong>Textiles</strong>.<br />
The Departmental Official Language<br />
Implementation Committee in the M/o<br />
<strong>Textiles</strong> has been constituted under the<br />
Chairmanship <strong>of</strong> the Joint Secretary (In-<br />
Charge Hindi). The Quarterly meetings <strong>of</strong><br />
the Committee were organized and followup<br />
action was taken for compliance <strong>of</strong><br />
decisions for use <strong>of</strong> Hindi in <strong>of</strong>ficial work.<br />
Hindi Fortnight<br />
Hindi Fortnight was celebrated during<br />
14-30 September, 2011 in the <strong>Ministry</strong>.<br />
Various competitions like Hindi Essay,<br />
Hindi Noting & Drafting, Hindi Debate,<br />
Hindi Poetry Recitation, Dictation, Hindi<br />
Gyan and Hindi Typing were organized to<br />
encourage and motivate the employees<br />
for doing <strong>of</strong>ficial work in Hindi. A large<br />
number <strong>of</strong> <strong>of</strong>ficers and staff participated<br />
in these events with enthusiasm. Appeals<br />
from Minister <strong>of</strong> <strong>Textiles</strong>, Minister <strong>of</strong> State<br />
for <strong>Textiles</strong> and Secretary (<strong>Textiles</strong>) were<br />
circulated on the occasion <strong>of</strong> Hindi Diwas<br />
in the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> as well as in its<br />
Attached / Subordinate <strong>of</strong>fices and PSUs<br />
etc. for doing maximum work in Hindi.<br />
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annual report 2011-12<br />
CHAPTER II<br />
FUNCTIONS AND<br />
ORGANIZATIONAL SET UP<br />
23
24<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER-II<br />
FUNCTIONS AND ORGANIZATIONAL SET-UP<br />
The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> is responsible<br />
for policy formulation, planning,<br />
development, export promotion and<br />
trade regulation <strong>of</strong> the <strong>Textiles</strong> Industry.<br />
This includes all natural and manmade<br />
cellulosic fibres that go into the making<br />
<strong>of</strong> <strong>textiles</strong>, clothing, and handicrafts.<br />
The <strong>Ministry</strong> maintains an interactive<br />
website: www.ministry<strong>of</strong><strong>textiles</strong>.nic.in.<br />
The <strong>Ministry</strong> is headed by a Secretary,<br />
who is assisted in the discharge <strong>of</strong> duties<br />
by four Joint Secretaries, an Economic<br />
Advisor, the Development Commissioners<br />
for Handlooms and Handicrafts, the<br />
<strong>Textiles</strong> Commissioner and the Jute<br />
Commissioner.<br />
VISION<br />
To build state <strong>of</strong> the art production<br />
capacities and achieve a pre-eminent<br />
global standing in manufacture and<br />
export <strong>of</strong> all types <strong>of</strong> <strong>textiles</strong> including<br />
technical <strong>textiles</strong>, jute, silk, cotton and<br />
<strong>wool</strong> and develop a vibrant handlooms<br />
and handicrafts sector for sustainable<br />
economic development and promoting<br />
and preserving the age old cultural<br />
heritage in these sectors.<br />
MISSION<br />
●<br />
●<br />
To ensure welfare and proper working<br />
environment and easy access to<br />
health care facilities and insurance<br />
cover to weavers and artisans to<br />
achieve better quality <strong>of</strong> life.<br />
To promote exports <strong>of</strong> all types <strong>of</strong><br />
<strong>textiles</strong> and clothing and handicrafts<br />
and increase India’s share <strong>of</strong> world<br />
exports in these sectors.<br />
OBJECTIVES<br />
●<br />
To make available adequate raw<br />
material to all sectors <strong>of</strong> the <strong>Textiles</strong><br />
Industry.<br />
● To augment the production <strong>of</strong><br />
fabrics at reasonable prices from<br />
the organised and decentralised<br />
sectors.<br />
●<br />
●<br />
To lay down guidelines for a planned<br />
and harmonious growth <strong>of</strong> various<br />
sectors with special emphasis on<br />
the development <strong>of</strong> the handlooms<br />
sector due to its large employment<br />
potential.<br />
To monitor the techno-economic<br />
status <strong>of</strong> the <strong>industry</strong> and to provide<br />
the requisite policy framework for<br />
modernization and rehabilitation.<br />
●<br />
●<br />
●<br />
To promote planned and harmonious<br />
growth <strong>of</strong> <strong>textiles</strong> by making available<br />
adequate fibres to all sectors.<br />
To promote technological upgradation<br />
for all types <strong>of</strong> <strong>textiles</strong> including<br />
technical <strong>textiles</strong>, jute, silk, cotton<br />
and <strong>wool</strong>.<br />
To promote skills <strong>of</strong> all textile workers,<br />
handloom weavers and handicrafts<br />
artisans, creation <strong>of</strong> new employment<br />
opportunities and development <strong>of</strong><br />
new designs to make these sectors<br />
economically sustainable.<br />
FUNCTIONAL AREAS<br />
●<br />
●<br />
●<br />
●<br />
●<br />
●<br />
●<br />
●<br />
The <strong>Textiles</strong> Policy & Coordination<br />
Apparel Industry<br />
The Man-made Fibre/Filament Yarn<br />
Industry<br />
The Cotton <strong>Textiles</strong> Industry<br />
The Jute Industry<br />
The Sericulture and Silk <strong>Textiles</strong><br />
Industry<br />
The Wool & Woollen <strong>Textiles</strong> Industry<br />
The Decentralized Powerlooms Sector<br />
25
ministry <strong>of</strong> <strong>textiles</strong><br />
●<br />
●<br />
●<br />
●<br />
●<br />
●<br />
●<br />
Export Promotion<br />
International Trade<br />
Handicrafts<br />
Handlooms<br />
Skill development Programme<br />
The Planning & Economic Analysis<br />
Budget & Finance matters<br />
1. ATTACHED OFFICES<br />
(i) The Office <strong>of</strong> the Development<br />
Commissioner for Handlooms, New<br />
Delhi<br />
The Office is headed by the Development<br />
Commissioner for Handlooms. It<br />
administers various schemes for the<br />
promotion and development <strong>of</strong> the<br />
handlooms sector and supplements the<br />
efforts <strong>of</strong> State Governments, Societies,<br />
NGOs, etc. Its subordinate organisations<br />
include Weavers’ Services Centres<br />
(WSCs), the Indian Institutes <strong>of</strong> Handloom<br />
Technology (IIHT) and the enforcement<br />
machinery for the implementation <strong>of</strong> the<br />
Handlooms (Reservation <strong>of</strong> Articles for<br />
Production) Act, 1985.<br />
(ii) The Office <strong>of</strong> the Development<br />
Commissioner for Handicrafts, New<br />
Delhi<br />
The <strong>of</strong>fice is headed by the Development<br />
Commissioner for Handicrafts. It administers<br />
various schemes and functions to promote<br />
the development and export <strong>of</strong> handicrafts,<br />
and supplements the efforts <strong>of</strong> State<br />
Governments by implementing various<br />
developmental schemes. It has six regional<br />
<strong>of</strong>fices at Mumbai, Kolkata, Lucknow,<br />
Chennai, Guwahati, and New Delhi.<br />
2. SUBORDINATE OFFICES<br />
(i)<br />
Office <strong>of</strong> the <strong>Textiles</strong> Commissioner,<br />
Mumbai<br />
The <strong>of</strong>fice <strong>of</strong> the Textile Commissioner<br />
(TXC) has its headquarters at Mumbai and<br />
eight regional <strong>of</strong>fices at Amritsar, Noida,<br />
Kanpur, Kolkata, Bengluru, Coimbatore,<br />
Navi Mumbai and Ahmedabad. The<br />
<strong>Textiles</strong> Commissioner acts as the<br />
principal technical advisor to the <strong>Ministry</strong>.<br />
The Office <strong>of</strong> <strong>Textiles</strong> Commissioner<br />
carries out techno-economic surveys<br />
and advises the government on the<br />
general economic health <strong>of</strong> the <strong>textiles</strong><br />
<strong>industry</strong>. The developmental activities <strong>of</strong><br />
the Office <strong>of</strong> the <strong>Textiles</strong> Commissioner<br />
centre around planning for the growth and<br />
development <strong>of</strong> the <strong>textiles</strong> sector. Of the<br />
forty four Powerloom Service Centres<br />
(PSCs) functioning throughout the country,<br />
fourteen are functioning under the<br />
administrative control <strong>of</strong> the <strong>Textiles</strong><br />
Commissioner. The <strong>of</strong>fice <strong>of</strong> TXC also<br />
coordinates and provides guidance to<br />
the remaining thirty Powerloom Service<br />
Centres, being run by the various<br />
<strong>Textiles</strong> Research Associations and<br />
State Government Agencies. The Office<br />
also implements and monitors various<br />
developmental and promotional schemes<br />
like the Technology Upgradation Fund<br />
Scheme (TUFS) for the modernization <strong>of</strong><br />
the <strong>Textiles</strong> and Jute <strong>industry</strong>, the <strong>Textiles</strong><br />
Workers Rehabilitation Fund Scheme<br />
(TWRFS).<br />
(ii) Office <strong>of</strong> the Jute Commissioner,<br />
Kolkata<br />
This <strong>of</strong>fice is headed by the Jute<br />
Commissioner and is entrusted with the<br />
responsibility <strong>of</strong> implementing the policies<br />
<strong>of</strong> the Government in the Jute sector. The<br />
Jute Commissioner acts as the principal<br />
technical adviser to the Government <strong>of</strong><br />
India, and gives technical advice to the<br />
<strong>Ministry</strong> on matters relating to the jute<br />
<strong>industry</strong>, including the jute machinery<br />
<strong>industry</strong>.<br />
3. ADVISORY BOARDS<br />
(i)<br />
All India Handicrafts Board<br />
The All India Handicrafts Board is an<br />
advisory body under the chairmanship<br />
<strong>of</strong> the Minister <strong>of</strong> <strong>Textiles</strong>, with the<br />
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annual report 2011-12<br />
Development Commissioner (Handicrafts)<br />
as the Member Secretary. It gives its<br />
advice to the Government on matters<br />
pertaining to the development <strong>of</strong> the<br />
handicrafts sector.<br />
(ii) All India Powerlooms Board<br />
●<br />
●<br />
The Chairman <strong>of</strong> the Board is Textile<br />
Commissioner. It has 43 members<br />
including its Chairman.<br />
The term <strong>of</strong> the members <strong>of</strong> the Board<br />
is upto 31.3.2012 or until further<br />
orders, whichever is earlier.<br />
The All India Powerlooms Board was<br />
first constituted as an Advisory Board in<br />
November, 1981 and since then Govt. <strong>of</strong><br />
India has reconstituted the AIPB from time<br />
to time and has last reconstituted the AIPB<br />
for a period <strong>of</strong> two years on 22.12.2011.<br />
It has representatives <strong>of</strong> the Central and<br />
State Govt., Powerloom Federation/<br />
Associations <strong>of</strong> Powerloom Industry, as<br />
its members and is headed by the Hon’ble<br />
Union Minister <strong>of</strong> <strong>Textiles</strong> as the Chairman.<br />
The functions <strong>of</strong> the Board include<br />
advising the Government on matters<br />
concerning growth and development <strong>of</strong> the<br />
decentralized powerlooms sector.<br />
(iii) All India Handlooms Board<br />
The Board is an advisory body under<br />
the chairmanship <strong>of</strong> Minister <strong>of</strong> <strong>Textiles</strong>,<br />
with the Development Commissioner<br />
(Handlooms) as the Member-Secretary.<br />
The main function is to advise the<br />
Government on various aspects <strong>of</strong><br />
development <strong>of</strong> the handlooms sector.<br />
(iv) The Cotton Advisory Board<br />
The Cotton Advisory Board is headed<br />
by the <strong>Textiles</strong> Commissioner and is a<br />
representative body <strong>of</strong> various interest<br />
groups like Government agencies, Cotton<br />
Growers, <strong>Textiles</strong> Industry, and Trade.<br />
It advises the Government, generally,<br />
on matters pertaining to the production,<br />
consumption, and marketing <strong>of</strong> cotton,<br />
and also provides a forum for liaison<br />
among various stakeholders.<br />
(v) Cotton Yarn Advisory Board<br />
●<br />
Cotton Yarn Advisory Board was<br />
constituted vide Gazette notification<br />
No. 9/4/2010-TUFS dated 12.7.2010.<br />
Terms <strong>of</strong> Reference<br />
● To monitor the domestic and<br />
international prices <strong>of</strong> cotton yarn<br />
and suggest measures for increasing<br />
the availability <strong>of</strong> cotton yarn at<br />
reasonable prices for domestic<br />
consumption.<br />
●<br />
●<br />
To advise the Government on matters<br />
pertaining to production, consumption<br />
and availability <strong>of</strong> different types <strong>of</strong><br />
cotton yarn at reasonable prices for<br />
domestic consumption.<br />
To monitor the import and export <strong>of</strong><br />
cotton yarn and prepare the cotton<br />
yarn balance sheet.<br />
(vi) Jute Advisory Board<br />
The Jute Advisory Board headed by<br />
the Jute Commissioner advises the<br />
Government on matters pertaining to<br />
jute falling within the purview <strong>of</strong> Jute<br />
and Jute <strong>Textiles</strong> Control Order 2002,<br />
including production estimates <strong>of</strong> jute<br />
and mesta.<br />
4. REGISTERED SOCIETIES<br />
(i)<br />
Central Wool Development Board<br />
(CWDB), Jodhpur<br />
The Central Wool Development Board<br />
(CWDB), Jodhpur was constituted by the<br />
Government <strong>of</strong> India, <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong><br />
in 1987 under the Rajasthan Societies<br />
Registration Act, 1958 to promote the<br />
growth and overall development <strong>of</strong> <strong>wool</strong><br />
and the <strong>wool</strong>en <strong>textiles</strong> <strong>industry</strong> in the<br />
country. The Board administers various<br />
projects and programmes through the<br />
State Governments and Non-Government<br />
Organisations (NGOs). The Board was<br />
27
ministry <strong>of</strong> <strong>textiles</strong><br />
reconstituted on November 22, 2010 for a<br />
period <strong>of</strong> two years.<br />
(ii) Sardar Vallabhbhai Patel International<br />
School <strong>of</strong> <strong>Textiles</strong> & Management<br />
(SVPISTM), Coimbatore.<br />
SVPITSM was set-up on December 24,<br />
2002, as a premier National level Institute<br />
for <strong>Textiles</strong> Management at Coimbatore,<br />
Tamil Nadu, to prepare the Indian <strong>textiles</strong><br />
<strong>industry</strong> to face the challenges <strong>of</strong> post-<br />
Multi Fibre Agreement era and establish<br />
it as a leader in the global <strong>textiles</strong> trade.<br />
The Board <strong>of</strong> the institute consists <strong>of</strong><br />
nineteen members and a Chairman<br />
including representative <strong>of</strong> the Industry<br />
and eminent personalities from the field<br />
<strong>of</strong> academics, was reconstituted on April<br />
12, 2010, for a period <strong>of</strong> three years.<br />
5. STATUTORY BODIES<br />
(i) National Jute Board<br />
The National Jute Board is the apex<br />
organisation for coordinating and<br />
synergising the functions <strong>of</strong> all jute related<br />
Organisations and a focal point for all jute<br />
related activities. The National Jute Board<br />
is also responsible for implementation<br />
<strong>of</strong> the Jute Technology Mission in a<br />
centralized and coordinated manner and<br />
helps in speedily resolving the ills <strong>of</strong> Jute<br />
Industry in the matters <strong>of</strong> diversification<br />
and marketing <strong>of</strong> Jute Products as well<br />
as modernisation <strong>of</strong> Jute Mills. National<br />
Jute Board have a membership <strong>of</strong> 34<br />
persons, <strong>of</strong> which 15 will be Government<br />
representatives from Central Government<br />
and State Governments having stake in<br />
production and promotion <strong>of</strong> Jute Products<br />
and 19 Members from private jute<br />
related sector i.e. jute farmers, growers,<br />
research association, small and medium<br />
enterprises as well as here Members<br />
<strong>of</strong> Parliament. The Headquarters <strong>of</strong> the<br />
National Jute Board is in Kolkata, with<br />
regional representations in Jute growing<br />
areas and in other areas for marketing <strong>of</strong><br />
the jute products.<br />
(ii) The Central Silk Board (CSB),<br />
Bangalore<br />
The Central Silk Board is a statutory<br />
body, and it was constituted by an Act <strong>of</strong><br />
Parliament (LXI <strong>of</strong> 1948), with the objective<br />
<strong>of</strong> promoting the growth and development<br />
<strong>of</strong> Sericulture in the country. These<br />
programmes are primarily formulated and<br />
implemented by the State Sericulture/<br />
<strong>Textiles</strong> Departments. However, the Central<br />
Silk Board supplements the efforts <strong>of</strong> the<br />
States by providing necessary support for<br />
research and development, and extension<br />
and training through its countrywide<br />
network <strong>of</strong> centres. Besides, the Central<br />
Silk Board organises the production and<br />
supply <strong>of</strong> quality silkworm seeds, Mulberry<br />
cuttings, etc., and also implements various<br />
Sericulture projects <strong>of</strong> the Government <strong>of</strong><br />
India directly, as well as, jointly with the<br />
State sericulture Departments. The Board<br />
constitutes <strong>of</strong> 39 members including a<br />
chairman & ex-<strong>of</strong>ficio vice chairman and 2<br />
permanent invitees.<br />
(iii) <strong>Textiles</strong> Committee, Mumbai<br />
The <strong>Textiles</strong> Committee was established<br />
on July, 1964 under the <strong>Textiles</strong><br />
Committee Act, 1963, with the objective<br />
<strong>of</strong> ensuring the quality <strong>of</strong> <strong>textiles</strong> from<br />
both the internal and export markets. Its<br />
functions include the promotion <strong>of</strong> <strong>textiles</strong>,<br />
<strong>textiles</strong> exports, research in technical and<br />
economic fields, establishing standards<br />
for <strong>textiles</strong> and <strong>textiles</strong> machinery, setting<br />
up <strong>of</strong> laboratories, and data collection<br />
located throughout the country. The<br />
<strong>Textiles</strong> Committee, in addition to its<br />
headquarters at Mumbai, has thirty<br />
Offices to assist the <strong>industry</strong> and trade<br />
in testing their products. The Committee<br />
has the following functional divisions at<br />
its Headquarters in Mumbai : (1) <strong>Textiles</strong><br />
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annual report 2011-12<br />
Inspectorate Wing (2) <strong>Textiles</strong> Laboratory<br />
Wing (3) Market Research Wing (4) ISO<br />
Wing (5) Vigilance Cell (6) Accounts Wing,<br />
and (7) Administration and Coordination<br />
Wing.<br />
(iv) Commissioner <strong>of</strong> Payments (COP),<br />
New Delhi<br />
The Office <strong>of</strong> Commissioner <strong>of</strong> Payments<br />
with its headquarters at Delhi, is a statutory<br />
authority, set up under Section 17(1) <strong>of</strong> the<br />
Sick <strong>Textiles</strong> Undertakings (Nationalisation)<br />
Act, 1974, Section 15(1) <strong>of</strong> the Swadeshi<br />
Cotton Mills Company Ltd. (Acquisition<br />
and Transfer <strong>of</strong> Undertakings) Act, 1986,<br />
and also under Section 17(1) <strong>of</strong> the <strong>Textiles</strong><br />
Undertakings (Nationalisation) Act, 1995.<br />
The Commissioner <strong>of</strong> Payments disburses<br />
the amount placed at his disposal to<br />
the owners <strong>of</strong> each <strong>textiles</strong> undertaking<br />
nationalized by the aforesaid three Acts.<br />
(v) The National Institute <strong>of</strong> Fashion<br />
Technology (NIFT), New Delhi<br />
The National Institute <strong>of</strong> Fashion<br />
Technology was set up in 1986 as an<br />
autonomous Society in collaboration<br />
with the Fashion Institute <strong>of</strong> Technology<br />
(FIT), New York, to prepare and train<br />
pr<strong>of</strong>essionals to meet the requirements<br />
<strong>of</strong> the <strong>textiles</strong> <strong>industry</strong>. The Government<br />
brought into force the National Institute <strong>of</strong><br />
Fashion Technology Act, 2006 on July 14,<br />
2006. This Act provides statutory status<br />
to the Institute, and formally recognizes<br />
its leadership in the fashion technology<br />
sector. The Act empowers NIFT to<br />
award degrees to its students from 2007<br />
onwards. The President <strong>of</strong> India is the<br />
Visitor <strong>of</strong> the Institute. The Institute has<br />
pioneered the evolution <strong>of</strong> the fashion<br />
business education across the country<br />
through centres at New Delhi, Bangaluru,<br />
Chennai, Gandhinagar, Hyderabad,<br />
Kolkata, Mumbai, Kannur, Patna, Shillong,<br />
Kangra, Bhopal, Rae Bareli, Bhubneswar<br />
and Jodhpur.<br />
6. THE RIGHT TO INFORMATION<br />
ACT, 2005<br />
To promote openness, transparency<br />
and accountability in administration<br />
and provide the right to every citizen to<br />
secure access to information under the<br />
control <strong>of</strong> Public Authorities, the Right to<br />
Information Act has come into effect for<br />
implementation w.e.f. October 12, 2005.<br />
The Act marks the beginning <strong>of</strong> a new<br />
era in the approach <strong>of</strong> the Government<br />
where openness shall now be the rule<br />
and secrecy an exception. Every Citizen<br />
can obtain the information they desire<br />
by submission <strong>of</strong> an application and by<br />
paying a nominal charge as an application<br />
fee, to the Central Public Information<br />
Officer designated by the public authority<br />
for the purpose under the Act. This <strong>Ministry</strong><br />
has designated <strong>of</strong>ficers as Central Public<br />
Information Officers (CPIOs) and Appellate<br />
Authorities. The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>, as well<br />
as, its Attached & Subordinate Offices,<br />
Autonomous & Statutory Bodies and Public<br />
Sector Undertakings have completed<br />
the action for setting up <strong>of</strong> the necessary<br />
infrastructure for implementation <strong>of</strong> the<br />
Act. <strong>Ministry</strong> monitors the implementation<br />
<strong>of</strong> the Act by the organizations under the<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>.<br />
7. PUBLIC GRIEVANCE REDRESSAL<br />
MACHINERY IN THE MINISTRY<br />
The Department <strong>of</strong> Administrative Reforms<br />
and Public Grievances issues instructions<br />
and guidelines to establish, activate,<br />
and strengthen the Centralized Public<br />
Grievances Redressal and Monitoring<br />
System (CPGRAMS) in the Ministries,<br />
Departments, and other Organisations <strong>of</strong><br />
the Government <strong>of</strong> India. In pursuance<br />
<strong>of</strong> these instructions/guidelines, online<br />
CPGRAMS has been introduced in the<br />
<strong>Ministry</strong>. Similar arrangements are also<br />
being made in each <strong>of</strong> the attached/<br />
subordinate <strong>of</strong>fices <strong>of</strong> the <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong>. A Grievance Committee under<br />
the Chairmanship <strong>of</strong> a Joint Secretary has<br />
29
een formed to monitor the functioning <strong>of</strong><br />
CPGRAMS in the <strong>Ministry</strong>, as well as in<br />
attached and subordinate organizations.<br />
If need be, the files relating to pending<br />
grievances are called and cases are settled<br />
by the Committee in its meetings. The<br />
<strong>Ministry</strong> has taken, the following steps to<br />
strengthen the CPGRAMS<br />
●<br />
●<br />
●<br />
●<br />
Time Norms for the disposal <strong>of</strong><br />
grievance cases have been fixed,<br />
and the same have been circulated<br />
and displayed at prominent places <strong>of</strong><br />
the building:<br />
Acknowledgement to complainant<br />
within seven days;<br />
Final disposal within two months.<br />
Publicity about the CPGRAMS in the<br />
media.<br />
●<br />
●<br />
●<br />
●<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
The Citizens Charter has been<br />
formulated and hosted on the<br />
Website.<br />
Details about the CPGRAMS have<br />
also been placed on the Website <strong>of</strong><br />
the <strong>Ministry</strong> (texmin.nic.in).<br />
An Information & Facilitation Counter<br />
has been established at Gate No.14,<br />
Udyog Bhawan, New Delhi, to make<br />
information readily available to the<br />
public.<br />
A complaint box has been kept at the<br />
Information & Facilitation Counter.<br />
The list <strong>of</strong> Officers handling Public/<br />
Staff Grievances in the <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong> and its Attached/Subordinate<br />
Offices is available at the website <strong>of</strong><br />
the <strong>Ministry</strong>.<br />
Table 2.1<br />
List <strong>of</strong> Officers handling public/staff grievance in the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> and its<br />
Attached/Subordinate Offices<br />
Sl.<br />
No.<br />
Offices<br />
Public /Staff<br />
Grievances Officers<br />
1. <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> Ms. Sunaina Tomar<br />
Joint Secretary<br />
(Public Grievances)<br />
2. Development<br />
Commissioner<br />
(Handicraft)<br />
3. Development<br />
Commissioner<br />
(Handloom)<br />
4. Office <strong>of</strong> Textile<br />
Commissioner, Mumbai<br />
5. Office <strong>of</strong> Jute<br />
Commissioner, Kolkata<br />
Shri S.S. Gupta,<br />
Development<br />
Commissioner<br />
(Handicraft).<br />
Ms.Meenu Satish<br />
Kumar<br />
Addl.Development<br />
Commissioner<br />
(Handloom)<br />
Shri S. Balaraju,<br />
Joint Textile<br />
Commissioner(P)<br />
Ms. Arti Kanwar,<br />
Deputy Jute<br />
Commissioner<br />
Address & Telephone<br />
Room No. 271 , Udyog Bhawan, New Delhi<br />
Tel: 23061826,<br />
e-mail: sunaina.tomar@nic.in<br />
West block-7, R.K.Puram, New Delhi-110066<br />
Tel- 011-6106902, 6103562<br />
Fax:6163085<br />
e-mail: ssgupta234@yahoo.com<br />
Office <strong>of</strong> DC (Handloom)<br />
Udyog Bhawan, New Delhi 110011<br />
Tel- 011 23061976<br />
Fax: 23063511<br />
e-mail: meenu.sk@nic.in<br />
New C.G.O. Building,<br />
48, New Marine Lines,<br />
Mumbai-400 020.<br />
e-mail: textilec@ gmail.com<br />
2203 4134/22014554<br />
C.G.O. Complex, 3 rd MSO Building, 4 th Floor, DF<br />
Block, Salt Lake City, Kolkata – 700064.<br />
Tel:+91(33)23376979 / 80 Fax:+91(33)23376972 /<br />
6973 / 6974<br />
e-mail: jccal@vsnl.com<br />
Website: www.jutecomm.gov.in<br />
30
annual report 2011-12<br />
Table 2.2<br />
LIST OF ORGANISATIONS UNDER THE MINISTRY OF TEXTILES<br />
(EXCEPT ATTACHED/SUBORDINATE OFFICES)<br />
Public sector<br />
Undertakings<br />
<strong>Textiles</strong> Research<br />
Associations<br />
Advisory<br />
Body<br />
Registered<br />
Society<br />
Statutory Bodies<br />
1. Birds Jute Export<br />
Ltd. (BJEL), Kolkata<br />
1. Ahmedabad <strong>Textiles</strong><br />
Industry’s Research<br />
Association (ATIRA),<br />
Ahmedabad<br />
1. All India<br />
Handloom<br />
Board<br />
1. Central Wool<br />
Development<br />
Board (CWDB),<br />
Jodhpur<br />
1. Central Silk<br />
Board (CSB),<br />
Bangalore<br />
2. British India<br />
Corporation(BIC)<br />
2. Bombay <strong>Textiles</strong><br />
Research Association<br />
(BTRA), Mumbai<br />
2. All India<br />
Handicrafts<br />
Board<br />
2. Sardar<br />
Vallabhbhai Patel<br />
International<br />
School <strong>of</strong> <strong>Textiles</strong><br />
& Management<br />
(SVPISTM),<br />
Coimbatore<br />
2. Commossioner<br />
<strong>of</strong> Payments,<br />
(COP) New Delhi<br />
3. Central Cottage<br />
Industries<br />
Corporation <strong>of</strong> India<br />
Ltd. (CCIC), New<br />
Delhi<br />
3. Indian Jute<br />
Industries Research<br />
Association (IJIRA),<br />
Kolkata<br />
3. All India<br />
Powerloom<br />
Board<br />
3. National Jute<br />
Board, Kolkata.<br />
4. The Cotton<br />
Corporation <strong>of</strong> India<br />
Ltd. (CCI), Mumbai<br />
4. Man-Made <strong>Textiles</strong><br />
Research Association<br />
(MANTRA), Surat<br />
4. Coordination<br />
council for<br />
<strong>Textiles</strong><br />
Research<br />
Associations<br />
4. Textile<br />
Committee,<br />
Mumbai<br />
5. The Handicrafts &<br />
Handlooms Exports<br />
Corporation <strong>of</strong> India<br />
Ltd.(HHEC), New<br />
Delhi<br />
5. Northern India<br />
Textile Research<br />
Association (NITRA),<br />
Gaziabad<br />
5. Cotton<br />
Advisory<br />
Board<br />
5. National<br />
Institute <strong>of</strong> Fashion<br />
Technology (NIFT),<br />
New Delhi<br />
6. The Jute<br />
Corporation <strong>of</strong><br />
India Limited (JCI),<br />
Kolkata<br />
6. South India<br />
<strong>Textiles</strong> Research<br />
Association(SITRA),<br />
Coimbatore<br />
6. Jute<br />
Advisory<br />
Board<br />
7. National<br />
Handloom<br />
Development<br />
Corporation(NHDC),<br />
Lucknow<br />
7. Synthetic and Art<br />
Silk Mills Research<br />
Association(SASMIRA)<br />
8. National Jute<br />
Manufactures<br />
Corporation(NJMC),<br />
Kolkata<br />
8. Wool Research<br />
Association(WRA),<br />
Thane<br />
9. National <strong>Textiles</strong><br />
Corporation Ltd.<br />
(NTC), New Delhi<br />
31
ministry <strong>of</strong> <strong>textiles</strong><br />
There are 11 (Eleven) <strong>Textiles</strong> Export<br />
Promotion Councils representing various<br />
Section <strong>of</strong> the <strong>Textiles</strong> & Clothing <strong>industry</strong><br />
which function in association with various<br />
Ministries and Departments to promote<br />
exports <strong>of</strong> their sectoral products and<br />
enhance trade in the global market.<br />
The <strong>Textiles</strong> Export promotion Councils<br />
are:<br />
1. Apparel Export Promotion Council<br />
(AEPC), New Delhi<br />
2. Carpet Export Promotion Council<br />
(CEPC), New Delhi<br />
3. Cotton <strong>Textiles</strong> Export Promotion<br />
Council (TEXPROCIL), Mumbai<br />
4. Export Promotion Council for<br />
Handicrafts (EPCH), New Delhi<br />
5. Handlooms Export Promotion Council<br />
(HEPC), Chennai<br />
6. Indian Silk Export Promotion Council<br />
(ISEPC), Mumbai<br />
7. Powerlooms Development & Export<br />
Promotion Council (PDEXCIL),<br />
Mumbai<br />
8. Synthetic and Rayon <strong>Textiles</strong> Export<br />
Promotion Council (SRTEPC),<br />
Mumbai<br />
9. Wool and Woolen Export Promotion<br />
Council (WWEPC), New Delhi<br />
10. Wool Industry Export Promotion<br />
Council (WOOLTEXPRO), Mumbai<br />
11. Jute Products Development & Export<br />
Promotion Council (JPDEPC).<br />
******<br />
32
annual report 2011-12<br />
CHAPTER III<br />
THE ORGANIZED TEXTILES<br />
MILL INDUSTRY<br />
33
34<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER III<br />
THE ORGANIZED TEXTILES MILL INDUSTRY<br />
The Cotton / Man-made fibre textile<br />
<strong>industry</strong> is the largest organized<br />
<strong>industry</strong> in the country in terms <strong>of</strong><br />
employment (nearly 1 million workers) and<br />
number <strong>of</strong> units. Besides, there are a large<br />
number <strong>of</strong> subsidiary industries dependent<br />
on this sector, such as those manufacturing<br />
machinery, accessories, stores, ancillaries,<br />
dyes & chemicals. As on 30.11.2011,<br />
there were 1946 cotton/man-made fibre<br />
textile mills (non-SSI) in the country with an<br />
installed capacity <strong>of</strong> 43.13 million spindles<br />
5,20,000 rotors and 52,000 looms.<br />
Textile production covering man-made<br />
fibre, man-made filament yarn and<br />
cotton yarn is showing a decreasing<br />
trend. Blended and 100% non cotton<br />
yarn production recorded an increase<br />
<strong>of</strong> 5.2% during 2011-12 (April – October<br />
2011). The production <strong>of</strong> spun yarn<br />
during April-Oct. (2011-12) has shown<br />
a decrease <strong>of</strong> 8.1%. The production<br />
<strong>of</strong> cotton yarn during 2011-12 (April-<br />
Oct.) recorded a decrease <strong>of</strong> 12.7%<br />
(Provisional).<br />
Cloth production by mill sector showed<br />
marginal increase <strong>of</strong> 4.6% during<br />
April-Oct. (2011-12) (provisional). During<br />
the same period cloth production by<br />
power loom and hosiery sector showed a<br />
decrease <strong>of</strong> 4.4% and 17.8% respectively.<br />
However the cloth production in handloom<br />
sector showed an increase <strong>of</strong> 3%.<br />
CAPACITY<br />
There were 1946 cotton/man-made fibre<br />
textile mills (non-SSI) in the country with<br />
an installed capacity <strong>of</strong> 43.13 million<br />
spindles 5,20,000 rotors and 52,000<br />
looms as on 30.11.2011.<br />
CAPACITY UTILISATION IN THE<br />
MILL SECTOR<br />
The capacity utilization in the spinning<br />
sector <strong>of</strong> the organized textile mill <strong>industry</strong><br />
ranged between 80 to 90 % while the<br />
capacity utilization in the weaving sector <strong>of</strong><br />
the organized textile mill <strong>industry</strong> ranged<br />
between 41 to 62 %.<br />
PRODUCTION OF SPUN YARN<br />
The contribution from the SSI sector has<br />
been about 10% in the total spun yarn<br />
production. A statement showing the<br />
production <strong>of</strong> spun yarn (including SSI<br />
units) during the last few years is given at<br />
table 3.1.<br />
Table 3.1<br />
Year Cotton Yarn Blended Yarn and 100% noncotton<br />
Total Spun Yarn<br />
yarn<br />
2005-06 2521 937 3458<br />
2006-07 2824 989 3813<br />
2007-08 2948 1055 4003<br />
2008-09 2896 1016 3912<br />
2009-10 3079 1114 4193<br />
2010-11 3490 1223 4713<br />
2011-12 (April-Oct 11) 1785 730 2515<br />
P-provisional<br />
35
ministry <strong>of</strong> <strong>textiles</strong><br />
SICKNESS/CLOSURE OF TEXTILE<br />
MILLS<br />
The incidence <strong>of</strong> sickness and closure in<br />
the organized <strong>textiles</strong> <strong>industry</strong> is a matter<br />
<strong>of</strong> concern. <strong>Textiles</strong> being the oldest and<br />
the largest <strong>industry</strong> <strong>of</strong> the country, it is<br />
but natural that at any given point <strong>of</strong> time<br />
some <strong>textiles</strong> units could be lying sick /<br />
closed. One main reason <strong>of</strong> sickness<br />
is structural transformation resulting in<br />
the composite units in the organized<br />
sector losing ground to power looms in<br />
the decentralised sector, on account <strong>of</strong><br />
the latter’s greater cost effectiveness.<br />
Other causes <strong>of</strong> sickness/ closure <strong>of</strong><br />
the <strong>industry</strong> include low productivity due<br />
to lack <strong>of</strong> modernisation, stagnation in<br />
demand and inability <strong>of</strong> some units to<br />
expand in the export market, increase in<br />
the cost <strong>of</strong> inputs, difficulties in getting<br />
timely and adequate working capital and<br />
the availability <strong>of</strong> power, labour disputes,<br />
excess capacity, failure to diversify in<br />
emerging areas, poor management, etc.<br />
The details <strong>of</strong> closure <strong>of</strong> cotton/man-made<br />
fibre textile mills is given at table 3.2.<br />
PRODUCTION OF CLOTH &<br />
EMPLOYMENT GENERATION<br />
The weaving capacity in the organized<br />
sector, along with the number <strong>of</strong> composite<br />
textile mills, however, has stagnated,<br />
because the past Government policy<br />
permitted only marginal expansion in<br />
weaving capacity in the organized mill<br />
sector. Even after the removal <strong>of</strong> restrictions<br />
in the Textile Policy <strong>of</strong> 1985, weaving<br />
capacity has been consistently declining.<br />
This is attributable to the structural<br />
transformation in the <strong>industry</strong>, leading to<br />
the de-linking <strong>of</strong> weaving from spinning<br />
and the emergence <strong>of</strong> the decentralized<br />
powerloom sector. In the organized sector<br />
the loom age capacity has declined from<br />
1.23 lakh in March, 2000 to 0.86 lakh in<br />
March, 2005, and to 0.56 lakh in March<br />
2008 and the same further declined to 0.52<br />
lakh in 2011.<br />
Over the years, production <strong>of</strong> cloth in the<br />
mill sector is showing a steady growth<br />
since 2003-04 onwards and was 2016<br />
million sq. meter in 2009-10. The total<br />
production <strong>of</strong> cloth by all sectors i.e. mill,<br />
powerloom, handloom, hosiery and khadi,<br />
<strong>wool</strong> and silk has shown an upward trend<br />
in recent years. The Cloth production<br />
in 2010-11 is 59525 mn. sq. mtrs.<br />
(Provisional). The cloth production during<br />
April-Oct (2011-12) showed a decrease<br />
by 6.5% (provisional).<br />
The production <strong>of</strong> cloth in different sectors<br />
<strong>of</strong> <strong>textiles</strong> is given at table 3.3.<br />
Table 3.2<br />
Year No. <strong>of</strong> Spinning Mills No .<strong>of</strong> composite Mills Total<br />
2001-02 295 126 421<br />
2002-03 349 134 483<br />
2003-04 374 94 468<br />
2004-05 376 99 475<br />
2005-06 387 96 483<br />
2006-07 380 87 467<br />
2007-08 318 63 381<br />
2008-09 339 64 403<br />
2009-10 365 68 433<br />
2010-11 471 82 552<br />
2011-12<br />
(As on 31.8.2011)<br />
470 85 555<br />
36
annual report 2011-12<br />
MILL SECTOR<br />
Table 3.3.<br />
PRODUCTION OF CLOTH IN DIFFERENT SECTORS<br />
Item 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11<br />
(P)<br />
(in million sqmeter)<br />
2011-12<br />
(April-Oct)<br />
Cotton 1072 1192 1305 1249 1259 1465 1604 986<br />
Blended 243 252 330 422 426 482 526 310<br />
100% Non Cotton 211 212 111 110 111 69 75 42<br />
Total 1526 1656 1746 1781 1796 2016 2205 1339<br />
HANDLOOMS SECTOR<br />
Cotton 4792 5236 5717 6076 5840 5857 6016 3548<br />
Blended 146 145 99 123 118 137 143 74<br />
100% Non Cotton 784 727 720 748 719 812 790 446<br />
Total 5722 6108 6536 6947 6677 6806 6949 4068<br />
DECENTRALISED POWERLOOMS SECTOR<br />
Cotton 7361 8821 9647 9923 9621 10128 11852 6729<br />
Blended 4526 4632 5025 4918 4764 5487 5853 3554<br />
100% Non Cotton 16438 17173 18207 19884 19263 21382 20224 11172<br />
Total 28325 30626 32879 34725 33648 36997 37929 21454<br />
DECENTRALISED HOSIERY SECTOR<br />
Cotton 7430 8624 9569 9948 10178 11464 12270 5952<br />
Blended 1117 1269 1428 1425 1458 1661 1756 897<br />
100% Non Cotton 565 525<br />
507<br />
431<br />
441<br />
577 620 383<br />
Total 9112 10418 11504 11804 12077 13702 14646 7232<br />
ALL SECTORS<br />
Cotton 20655 23873 26238 27196 26898 28914 31742 17214<br />
Blended 6032 6298 6882 6888 6766 7767 8278 4836<br />
100% Non Cotton 17998 18637 19545 21173 20534 22840 21710 12044<br />
Total 44685 48808 52665 55257 54198 59521 61730 34094<br />
Khadi, Wool & Silk 693 769 724 768 768 812 812 476<br />
Grand Total 45378 49577 53389 56025 54966 60333 62542 34570<br />
P = Provisional<br />
37
ministry <strong>of</strong> <strong>textiles</strong><br />
The employment generation in cotton/<br />
man-made fibre /Yarn Textile Mill Sector<br />
(including SSI spinning and excluding<br />
weaving units) textile <strong>industry</strong> projected<br />
for the terminal year <strong>of</strong> the 11 th plan is<br />
1.40 million numbers.<br />
TECHNOLOGY UPGRADATION<br />
FUND SCHEME (TUFS)<br />
The Technology Upgradation Fund<br />
Scheme (TUFS) was launched on 01.04<br />
1999, for a period <strong>of</strong> five years, and was<br />
subsequently extended upto March 31,<br />
2007. The Scheme provides for interest<br />
reimbursement/capital subsidy/Margin<br />
Money subsidy and has been devised<br />
to bridge the gap between the cost <strong>of</strong><br />
interest and the capital component to<br />
ease up the working capital requirement<br />
and to reduce the transaction cost, etc.<br />
The Scheme is an important tool to infuse<br />
financial support to the <strong>textiles</strong> <strong>industry</strong><br />
and help it capitalize on the vibrant and<br />
expanding global and domestic markets,<br />
through technology upgradation, cost<br />
effectiveness, quality production,<br />
efficiency and global competitiveness.<br />
During its initial years, the progress <strong>of</strong><br />
the Scheme was moderate and it gained<br />
momentum from 2004-05 onwards. The<br />
Scheme has been further extended<br />
till 2012 with modified financial and<br />
operational parameters which focus<br />
on additional capacity building, better<br />
adoption <strong>of</strong> technology, and provides for<br />
a higher level <strong>of</strong> assistance to segments<br />
that have a larger potential for growth,<br />
like garmenting, technical <strong>textiles</strong>, and<br />
processing. The scheme is administered<br />
through 3 nodal agencies, 36 nodal banks<br />
and 108 co-opted PLIs. The scheme<br />
since inception has propelled investment<br />
<strong>of</strong> more than Rs. 2,10,000 crores. An<br />
amount <strong>of</strong> Rs. 13637.53 crore has been<br />
released towards subsidy under the<br />
Scheme as on 31.10.2011.<br />
With effect from 28.04.2011, Restructured<br />
TUFS has been approved with the<br />
enhanced 11 th Plan allocation under TUFS<br />
from Rs. 8000 crore to Rs. 15404 crore.<br />
The Restructured TUFS ensure focus <strong>of</strong><br />
interventions on hitherto slow growing<br />
sectors like weaving, encouragement<br />
to forward integration and tighter<br />
administrative controls and monitoring <strong>of</strong><br />
the scheme. The Restructured TUFS is<br />
expected to trigger additional investments<br />
<strong>of</strong> over Rs. 46,900 crore during the<br />
balance period <strong>of</strong> the XI th Five Year Plan.<br />
Progress <strong>of</strong> TUFS<br />
The progress <strong>of</strong> TUFS is steadily going<br />
up which is evident from the data given<br />
at table 3.4.<br />
Progress <strong>of</strong> (20% CLCS)<br />
20% Credit Linked Capital Subsidy<br />
Scheme under CLCS-TUFS for power<br />
loom units had been launched on 6 th<br />
November 2003. Under the scheme,<br />
Rs. 223.27 crores has been disbursed<br />
to 3033 cases as on 30.11.2011 as per<br />
details given at table 3.5.<br />
SCHEME FOR INTEGRATED<br />
TEXTILE PARKS (SITP)<br />
Scheme for Integrated <strong>Textiles</strong> Parks<br />
was approved in the 10th Five Year Plan<br />
to provide the <strong>industry</strong> with world-class<br />
infrastructure facilities for setting up their<br />
textile units by merging the erstwhile<br />
‘Apparel Parks for Exports Scheme<br />
(APES)’ and ‘Textile Centre Infrastructure<br />
Development Scheme (TCIDS)’.<br />
Scope <strong>of</strong> the Scheme<br />
The scheme targets industrial clusters/<br />
locations with high growth potential,<br />
which require strategic interventions<br />
by way <strong>of</strong> providing world-class<br />
infrastructure support. The project cost<br />
covers the cost <strong>of</strong> common infrastructure<br />
38
annual report 2011-12<br />
Table 3.4<br />
Period Received Sanctioned Disbursed<br />
No. <strong>of</strong><br />
applications<br />
Project<br />
Cost<br />
No. <strong>of</strong><br />
applications<br />
Project<br />
Cost<br />
Amount<br />
No. <strong>of</strong><br />
applications<br />
(Rs. in crore)<br />
Amount<br />
Subsidy<br />
1999-2000 407 5771 309 5074 2421 179 746 1<br />
2000-2001 719 6296 616 4380 2090 494 1863 70<br />
2001-2002 472 1900 444 1320 630 401 804 198.89<br />
2002-2003 494 1835 456 1438 839 411 931 202.59<br />
2003-2004 867 3356 884 3289 1341 814 856 249.06<br />
2004-2005 986 7941 986 7349 2990 801 1757 283.60<br />
2005-2006 1086 16194 1078 15032 6776 993 3962 485<br />
2006-2007 12336 61063 12589 66233 29073 13168 26605 823.92<br />
2007-2008 2408 21254 2260 19917 8058 2207 6854 1143.37<br />
2008-2009<br />
6113 56542 6072 55707 24007 6111 21826 2632.00<br />
(P)<br />
2009-2010 2384 28005 2352 27611 6612 2361 8140 2886<br />
2010-11 (Upto<br />
June 2010) P)<br />
As on<br />
30.06.2010(P)<br />
256 397 256 397 254 240 282 2784.18<br />
28528 210554 28302 207747 85091 28180 74627 11759.61<br />
Sr.<br />
No<br />
Year<br />
Table 3.5<br />
No. <strong>of</strong> units<br />
Amount <strong>of</strong> subsidy released<br />
(Rs. in crore)<br />
1 2003- 2004 004 00.10<br />
2 2004-2005 150 06.00<br />
3 2005-2006 368 23.00<br />
4 2006-2007 958 68.89<br />
5. 2007-2008 436 35.92<br />
6 2008-2009 404 32.48<br />
7 2009-2010 363 30.57<br />
8 2010-11 233 17.72<br />
9 2011-12<br />
(As on 30.11.2011)<br />
117 8.59<br />
TOTAL 3033 223.27<br />
and buildings for production/support<br />
activities, depending on the needs <strong>of</strong> the<br />
ITP. There will be flexibility in setting up<br />
ITPs to suit the local requirements.<br />
This scheme is implemented through<br />
Special Purpose Vehicles (SPVs),<br />
where Industry Associations/Group <strong>of</strong><br />
Entrepreneurs are the main promoters<br />
39
ministry <strong>of</strong> <strong>textiles</strong><br />
<strong>of</strong> the Integrated Textile Park (ITP). At<br />
each ITP, there would be a separate<br />
Special Purpose Vehicle (SPV) formed<br />
with the representatives <strong>of</strong> local Industry,<br />
Financial Institutions, State and Central<br />
Government. SPV shall invariably be<br />
a Corporate Body registered under the<br />
Companies Act. Any different structure<br />
for the SPV requires the approval <strong>of</strong> the<br />
Project Approval Committee. The SPVs<br />
shall have operational autonomy so that<br />
they do not become surrogate Public<br />
Sector Enterprises or be controlled by<br />
Central/State Governments.<br />
The components <strong>of</strong> an ITP are broadly<br />
divided in the following groups:-<br />
(a) Group A - Land.<br />
(b) Group B – Common Infrastructure<br />
like compound wall, roads,<br />
drainage, water supply, electricity<br />
supply including captive power<br />
plant, effluent treatment plant, and<br />
telecommunication lines etc.<br />
(c) Group C – Buildings for common<br />
facilities like testing laboratory, design<br />
center, training center, trade center/<br />
display center, ware housing facility/<br />
raw material depot, crèche, canteen,<br />
workers hostel, <strong>of</strong>fices <strong>of</strong> service<br />
providers, labour rest and recreation<br />
facilities etc.<br />
(d) Group D – Factory buildings for<br />
production purposes.<br />
(e) Group E- Plant & machinery.<br />
The total Project Cost for the purpose <strong>of</strong><br />
this Scheme includes the cost on account<br />
<strong>of</strong> components <strong>of</strong> ITP, as listed under<br />
Groups A, B, C and D above, provided the<br />
ownership <strong>of</strong> the factory buildings vests<br />
with the SPV. The SPV will, however, have<br />
the option <strong>of</strong> seeking financial support<br />
from Government <strong>of</strong> India for components<br />
under Groups B and C only, if factory<br />
buildings are individually owned.<br />
A panel <strong>of</strong> pr<strong>of</strong>essional agencies has<br />
been appointed as Project Management<br />
Consultants (PMCs) for implementing the<br />
Scheme.<br />
The PMCs will be responsible for the<br />
speedy implementation <strong>of</strong> the Projects in<br />
a transparent and pr<strong>of</strong>essional manner<br />
so as to achieve high degree <strong>of</strong> quality at<br />
a low cost acceptable to the members <strong>of</strong><br />
the SPV for which fee will be paid to the<br />
PMCs by the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>.<br />
The PMCs will report to <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong>, which shall directly supervise<br />
the implementation <strong>of</strong> projects under<br />
the superintendence and control<br />
<strong>of</strong> Secretary (<strong>Textiles</strong>). The project<br />
proposal as submitted by PMCs shall be<br />
considered and appraised by the Project<br />
Scrutiny Committee (PSC) headed by<br />
JS (SITP), <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>. Project<br />
Scrutiny Committee will appraise all<br />
the proposal submitted by PMCs in<br />
terms <strong>of</strong> the project components,<br />
viability, feasibility and time lines <strong>of</strong><br />
each project. The Committee shall look<br />
into the utility <strong>of</strong> the projects in terms<br />
<strong>of</strong> modernization & integration <strong>of</strong> supply<br />
and management chain, and make<br />
the final recommendations to Project<br />
Approval Committee (PAC). The Project<br />
Approval Committee will consider and<br />
approve the recommendations <strong>of</strong> Project<br />
Scrutiny Committee headed by Minister<br />
<strong>of</strong> <strong>Textiles</strong> with Secretary (<strong>Textiles</strong>), and<br />
JS, <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> in charge <strong>of</strong> SITP<br />
as members.<br />
Funding Pattern<br />
The Government <strong>of</strong> India’s (GOI) support<br />
under the Scheme by way <strong>of</strong> Grant or<br />
Equity will be limited to 40% <strong>of</strong> the project<br />
40
annual report 2011-12<br />
cost subject to a ceiling <strong>of</strong> Rs. 40 crore.<br />
GOI support under the Scheme will be<br />
generally in the form <strong>of</strong> grant to the SPV<br />
unless specifically decided to be equity.<br />
However, the combined equity stake <strong>of</strong><br />
GOI/State Government/State Industrial<br />
Development Corporation, if any, should<br />
not exceed 49%.<br />
●<br />
One project <strong>of</strong> Kanpur – Uttar Pradesh<br />
nearing completion (Training centre<br />
component yet to be completed)<br />
Scheme for Integrated Textile Parks<br />
(SITP):<br />
●<br />
As per the target, forty (40) <strong>Textiles</strong><br />
Park projects have been sanctioned.<br />
However, GOI support will be provided<br />
@ 90% <strong>of</strong> the project cost subject to a<br />
ceiling <strong>of</strong> Rs. 40 crore for first two projects<br />
in the States <strong>of</strong> Arunachal Pradesh,<br />
Assam, Manipur, Meghalaya, Mizoram,<br />
Nagaland, Tripura, Sikkim and Jammu &<br />
Kashmir.<br />
Status <strong>of</strong> Implementation<br />
TEXTILE CENTRE INFRASTRUCTURE<br />
DEVELOPMENT SCHEME (TCIDS):<br />
●<br />
●<br />
18 Projects sanctioned<br />
GOI Share Rs.268.86 crores.<br />
●<br />
●<br />
●<br />
Estimated project cost (for common<br />
infrastructure and common facilities)<br />
<strong>of</strong> the 40 sanctioned projects is Rs.<br />
4133.09 Crore, <strong>of</strong> which Government<br />
<strong>of</strong> India assistance under the scheme<br />
would be Rs. 1419.69 Crore.<br />
An amount <strong>of</strong> Rs. 992.43 Crore has<br />
been released under SITP.<br />
2292 entrepreneurs will put up their<br />
units in these parks covering an<br />
area <strong>of</strong> 4307.97 Acre. The estimated<br />
investment in these parks will be Rs.<br />
19456.90 Crore and estimated annual<br />
production will be Rs. 33568.50<br />
Crore.<br />
●<br />
●<br />
●<br />
Released Rs.210.59 crores<br />
Four Projects completed, Kannur-<br />
Kerala, Bhiwandi-Maharashtra, and<br />
Tirupur- Tamil Nadu, Pandesara-<br />
Surat.<br />
One project nearing completion i.e.<br />
SEWA-Gujarat<br />
APPAREL PARKS FOR EXPORTS<br />
SCHEME (APES)<br />
●<br />
●<br />
●<br />
●<br />
12 Projects sanctioned<br />
GOI Share Rs.185.22 crores.<br />
Released Rs.130.85 crores<br />
Four Projects completed – Bangalore-<br />
Karnataka, Thiruvananthapuram-<br />
Kerala, TIrupur-Tamil Nadu, and<br />
Tronica City-Uttar Pradesh<br />
● Andhra Pradesh (5), Gujarat (7),<br />
Maharashtra (9), Tamil Nadu (8),<br />
Rajasthan (5), Karnataka (1), Punjab<br />
(3), West Bengal (1), Madhya<br />
Pradesh (1).<br />
● Seven projects have been<br />
completed–Brandix & Pochampally-<br />
Andhra Pradesh, Gujarat Eco Textile<br />
Park &Mundra – Gujarat, Palladam<br />
Hi-Tech Weaving Park, Karur – Tamil<br />
Nadu and Islampur Integrated Textile<br />
Park, Maharashtra. Production has<br />
been started in 24 out <strong>of</strong> 40 projects.<br />
Future Programme<br />
Considering the overwhelming response<br />
to the scheme and opportunities for<br />
growth <strong>of</strong> the <strong>textiles</strong> <strong>industry</strong> and in<br />
view <strong>of</strong> the consistent requests from<br />
State Governments, <strong>industry</strong> groups<br />
41
ministry <strong>of</strong> <strong>textiles</strong><br />
and entrepreneurs for setting up <strong>of</strong> new<br />
textile parks, a note was submitted by the<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> for consideration <strong>of</strong> the<br />
Cabinet Committee on Economic Affairs for<br />
approval <strong>of</strong> more Textile Parks. The CCEA<br />
has approved the proposal for sanction <strong>of</strong><br />
additional parks under SITP to utilize the<br />
balance Rs. 200 Crore in the 11th Five Year<br />
Plan and number <strong>of</strong> projects be limited in<br />
such a way that committed liability <strong>of</strong> the<br />
new parks does not exceed Rs. 200 Crore<br />
in the 12th Five Year Plan. The CCEA<br />
also approved the revised guidelines<br />
enabling a two tier scrutiny and approval<br />
mechanism. The proposals received<br />
for new parks have been examined by<br />
the Project Scrutiny Committee (PSC)<br />
comprising representatives from <strong>Ministry</strong><br />
<strong>of</strong> Finance, Planning Commission, <strong>Ministry</strong><br />
<strong>of</strong> Commerce & Industry, and <strong>Ministry</strong> <strong>of</strong><br />
Environment & Forest. After examination by<br />
PSC, 21 new Textile Park proposals have<br />
been approved by the Project Approval<br />
Committee under the Chairmanship <strong>of</strong><br />
Minister <strong>of</strong> <strong>Textiles</strong> with Secretary (T) and<br />
JS concerned as members.<br />
HANK YARN OBLIGATION SCHEME<br />
The Hank Yarn Obligation (HYO) is a<br />
statutory obligation which enjoins upon<br />
spinning mills to pack yarn in hank form.<br />
This Scheme is meant for protection <strong>of</strong><br />
the handloom <strong>industry</strong> by way <strong>of</strong> ensuring<br />
that the yarn in hank form is available in<br />
adequate quantity at reasonable prices<br />
to the handloom <strong>industry</strong>. Failure to<br />
comply with this obligation invites lodging<br />
<strong>of</strong> FIR against the defaulting mills by the<br />
Office <strong>of</strong> the Textile Commissioner. The<br />
current level <strong>of</strong> obligation is 40% <strong>of</strong> the<br />
total yarn packed by the mills for civil<br />
consumption. The obligation has to be<br />
fulfilled in quarterly periods commencing<br />
from January-March. The Scheme also<br />
provides that shortfall in fulfillment <strong>of</strong> the<br />
obligation may be met by transferring <strong>of</strong><br />
the obligation to another mill which has<br />
excess production <strong>of</strong> hank yarn in addition<br />
to fulfilling its own obligation. Normally,<br />
mills accept such transfer on premium.<br />
With the strict enforcement <strong>of</strong> the<br />
provisions <strong>of</strong> the Hank Yarn Packing<br />
Notification by the Office <strong>of</strong> the Textile<br />
Commissioner, Mumbai, it is ensured that<br />
actual packing <strong>of</strong> Hank Yarn is sufficient<br />
to meet the total domestic requirement<br />
<strong>of</strong> hank yarn in the country. The details<br />
<strong>of</strong> Hank Yarn Packing Obligation and its<br />
fulfillment by actual packing for the last<br />
five years are given at table 3.6.<br />
TEXTILE WORKERS’ REHABILITATION<br />
FUND SCHEME (TWRFS)<br />
The Textile Workers’ Rehabilitation Fund<br />
Scheme came into force with effect from<br />
15.09.1986 with the objective to provide<br />
interim relief to textile workers rendered<br />
unemployed as a consequence <strong>of</strong><br />
permanent closure <strong>of</strong> any particular portion<br />
or entire textile unit. Assistance under<br />
the Scheme is payable to eligible workers<br />
only for the purpose <strong>of</strong> enabling them<br />
to settle in another employment. Such<br />
assistance is not heritable, transferable<br />
or capable <strong>of</strong> being attached on account<br />
<strong>of</strong> any other liabilities <strong>of</strong> the worker. The<br />
worker’s eligibility shall cease if he takes<br />
up employment in another registered or<br />
licensed undertaking. The rehabilitation<br />
assistance will not be curtailed if the<br />
worker fixes himself in a self-employment<br />
venture.<br />
Closed Textile Unit<br />
For the purpose <strong>of</strong> this scheme, closed<br />
textile unit means:<br />
(i)<br />
a unit licensed or registered under<br />
the Industries (Development &<br />
Regulation) Act, 1951 or with the<br />
Textile Commissioner as a medium<br />
scale unit on the day <strong>of</strong> its closure;<br />
(ii) it has obtained the requisite permission<br />
42
annual report 2011-12<br />
Sr.<br />
No.<br />
Year<br />
No. <strong>of</strong> Units<br />
submitted<br />
the returns<br />
Table 3.6<br />
Fulfillment <strong>of</strong> Hank Yarn<br />
Obligation (HYO)<br />
HYO<br />
Fulfillment <strong>of</strong><br />
HYO (on actual<br />
packing basis)<br />
Shortfall<br />
(-)/Excess (+)<br />
in fulfillment<br />
<strong>of</strong> HYO<br />
Percentage<br />
<strong>of</strong> fulfillment<br />
<strong>of</strong> HYO<br />
1 2004-05 2151 383.58 408.89 (+)25.31 106.60%<br />
2 2005-06 1942 451.84 441.94 (-)9.9 97.81%<br />
3 2006-07 2022 484.67 485.03 (+)0.63 100.13%<br />
4 2007-08 2099 516.03 527.37 (+)11.07 102.14%<br />
5 2008-09 2114 492.51 524.00 (+)31.49 106.39%<br />
6 2009-10 2090 525.78 534.74 (+)8.96 101.70%<br />
7 2010-11 2126 567.44 559.85 (-)7.59 98.67%<br />
8 2011-12<br />
(April to Sept<br />
2011)<br />
2117 252.21 268.62 (+)16.41 106.51%<br />
for closure from the appropriate State<br />
Government under section 25(O) <strong>of</strong><br />
the Industrial Disputes Act, 1947 or<br />
alternatively an Official Liquidator<br />
was appointed under Companies Act,<br />
1956, for the purpose <strong>of</strong> winding up <strong>of</strong><br />
the unit.<br />
(iii) The unit was closed down on or after<br />
06.06.1985.<br />
(iv) This also includes partially closed<br />
units wherein the State Governments<br />
recommend that an entire uneconomic<br />
activity (like weaving or processing)<br />
is scrapped as a part <strong>of</strong> rehabilitation<br />
package for a sick/weak mill (as per<br />
the RBI definition) approved by the<br />
Nodal Agency/BIFR provided the<br />
scrapped capacity is surrendered for<br />
cancellation and endorsement is made<br />
on the License / Registration certificate<br />
to this effect.<br />
Eligibility<br />
Any worker would be eligible provided he/<br />
she has been engaged in a closed textile<br />
unit on the date <strong>of</strong> its closure continuously<br />
for five years or more and earning a wage<br />
equivalent <strong>of</strong> Rs. 2500 per month or less<br />
for the mills closed between 06.06.1985<br />
to 01.04.1993 and Rs.3500 or less<br />
thereafter. They should be contributing<br />
to provident fund maintained by the<br />
Regional Provident Fund Commissioner<br />
<strong>of</strong> the State concerned.<br />
Period and Quantum <strong>of</strong> Relief<br />
Relief under the Scheme is available<br />
only for three years on a tapering basis<br />
but will not extend beyond the date <strong>of</strong><br />
superannuation <strong>of</strong> any worker. The<br />
worker is entitled to get relief:<br />
●<br />
●<br />
●<br />
to the extent <strong>of</strong> 75% <strong>of</strong> the wage<br />
equivalent in the first year <strong>of</strong> the<br />
closure <strong>of</strong> the unit;<br />
to the extent <strong>of</strong> 50% <strong>of</strong> the wage<br />
equivalent in the second year; and<br />
to the extent <strong>of</strong> 25% <strong>of</strong> the wage<br />
equivalent in the third year.<br />
43
ministry <strong>of</strong> <strong>textiles</strong><br />
Operation <strong>of</strong> the Scheme<br />
The <strong>of</strong>fice <strong>of</strong> the Textile Commissioner,<br />
Mumbai administers the scheme, through<br />
its Regional <strong>of</strong>fices and in coordination<br />
with State Government, Official Liquidator,<br />
Provident Fund Authorities, concerned<br />
designated Trade Union and designated<br />
Banks. The State Government will collect<br />
the details <strong>of</strong> the workers etc. from the<br />
management/<strong>of</strong>ficial Liquidator/provident<br />
fund authority etc. and prepare a list <strong>of</strong><br />
eligible workers and forward the same<br />
to the concerned Regional Office <strong>of</strong> the<br />
Textile Commissioner in the prescribed<br />
Pr<strong>of</strong>orma. Regional Office <strong>of</strong> the Textile<br />
Commissioner scrutinizes the list and<br />
the list <strong>of</strong> eligible workers with eligible<br />
relief is sent to State Government and<br />
designated trade union, besides keeping<br />
on a notice board.<br />
The individual eligible workers are<br />
required to open a separate Savings Bank<br />
Account in the designated nationalized<br />
Bank and forward a certificate to the<br />
effect along with his relief claiming<br />
application to the Regional <strong>of</strong>fice <strong>of</strong><br />
the Textile Commissioner through<br />
the State Government. In the mean<br />
time the Regional <strong>of</strong>fice <strong>of</strong> the Textile<br />
Commissioner examines the proposals<br />
and assesses the fund requirement and<br />
reports to the Head quarter Office <strong>of</strong> the<br />
Textile Commissioner for releasing fund.<br />
On receipt <strong>of</strong> fund allocation, necessary<br />
fund is allotted to the Regional Office in the<br />
form <strong>of</strong> Letter <strong>of</strong> Credit opened by the Pay<br />
& Accounts Officer (<strong>Textiles</strong>), Mumbai.<br />
On receipt <strong>of</strong> funds, Regional Office <strong>of</strong><br />
the Textile Commissioner disburses the<br />
relief by sending a consolidated cheque<br />
in favour <strong>of</strong> the designated Bank along<br />
with the list <strong>of</strong> eligible workers and the<br />
amount <strong>of</strong> relief to be paid to each <strong>of</strong> the<br />
eligible workers.<br />
Progress<br />
Till 30.11.2011, 1,12,868 workers out <strong>of</strong><br />
1,43,532 workers on the rolls <strong>of</strong> 86 mills<br />
had been disbursed relief <strong>of</strong> `300.94<br />
crore. The State-wise cumulative position<br />
is given at table 3.7.<br />
S.<br />
No<br />
State<br />
No. <strong>of</strong> mills<br />
identified<br />
Table 3.7.<br />
No. <strong>of</strong><br />
workers on<br />
roll<br />
No. <strong>of</strong> workers benefited<br />
(as on 30.11.2011)<br />
No. <strong>of</strong><br />
mills<br />
Workers<br />
received relief<br />
Disbursed<br />
amount<br />
(` in crores)<br />
1 2 3 4 5a 5b 6<br />
1. Gujarat 43 80749 43 63649 159.63<br />
2. Maharashtra 6 9958 6 7893 23.21<br />
3. Madhya Pradesh 5 19800 5 18857 52.64<br />
4. Tamil Nadu 6 5685 6 4761 7.45<br />
5. Karnataka 10 10020 10 6025 22.00<br />
6. Delhi 1 5187 1 5170 11.93<br />
7. West Bengal 3 2072 3 2042 5.34<br />
8 Kerala 1 500 1 437 2.47<br />
9. Punjab 4 6685 4 2311 8.96<br />
10. Andhra Pradesh 7 2876 6 1723 7.31<br />
Total 86 143532 84 112868 300.94<br />
44
annual report 2011-12<br />
PROCESSING SECTOR<br />
The textile-processing segment <strong>of</strong> the<br />
Indian textile <strong>industry</strong> is highly fragmented<br />
and can be broadly divided into four<br />
segments:<br />
(i)<br />
Hand processing units.<br />
(ii) Hand processing units with certain<br />
exempted power processes.<br />
(iii) Independent power processing<br />
units.<br />
(iv) Processing facilities attached to<br />
composite or semi-composite mills.<br />
Government has identified processing as<br />
a critical segment. The National Textile<br />
Policy envisages:<br />
●<br />
Setting up <strong>of</strong> modern processing units,<br />
which would meet the international<br />
quality and environmental norms.<br />
● Expansion <strong>of</strong> the network <strong>of</strong> CAD /<br />
CAM, computerized color matching<br />
and testing facilities, particularly in<br />
the clusters <strong>of</strong> the decentralized<br />
textile centers.<br />
● Extending necessary support to<br />
individual units in achieving ISO<br />
9000 (quality) and ISO - 14000<br />
(environment) standards<br />
●<br />
Giving a thrust to development <strong>of</strong><br />
eco-friendly dyes, including natural<br />
and vegetable dyes and on energy<br />
conservation.<br />
Globally the environmental issues are<br />
increasingly dominating the textile<br />
processing <strong>industry</strong>. In view <strong>of</strong> this, and<br />
as per mandate <strong>of</strong> National Textile Policy,<br />
the important steps taken by Government<br />
to boost the high-tech investment in<br />
processing sector include:<br />
(i) Technology Upgradation Fund<br />
Scheme launched by Government<br />
<strong>of</strong> India on 01.04.1999, envisages<br />
boosting investment in high-tech<br />
processing units, by providing 5%<br />
interest reimbursement on TUF loans.<br />
The scheme has been extended for<br />
11 th five year plan.<br />
(ii) In order to take care <strong>of</strong> quality<br />
requirements and facilitate ec<strong>of</strong>riendly<br />
production <strong>of</strong> processed<br />
fabric, eco-testing and quality<br />
testing facilities have been created<br />
throughout the country, so that the<br />
testing facilities are available within<br />
the reach <strong>of</strong> majority <strong>of</strong> manufacturers/<br />
exporters <strong>of</strong> <strong>textiles</strong> items.<br />
(iii) In order to boost investment in<br />
high tech capital intensive textile<br />
processing projects, a scheme to<br />
provide 10% capital subsidy on<br />
specified high tech machines has<br />
been introduced. The units put up<br />
under this scheme may avail 5%<br />
interest reimbursement under TUFS,<br />
in addition to 10% capital subsidy.<br />
This facility has been extended for<br />
11 th five year plan.<br />
(iv) In order to develop textile clusters in<br />
an integrated manner the scheme<br />
<strong>of</strong> <strong>Textiles</strong> Centre Infrastructure<br />
Development (TCIDS) has been<br />
merged with Apparel Park Scheme<br />
and is now known as Scheme for<br />
Integrated <strong>Textiles</strong> Park (SITP). Under<br />
this scheme the textile parks with<br />
all infrastructural facilities including<br />
state-<strong>of</strong>-the-art effluent treatment<br />
plants are encouraged. The scheme<br />
provides for 40% subsidy on the<br />
project cost subject to the maximum<br />
<strong>of</strong> Rs.40 crore.<br />
TECHNICAL TEXTILES<br />
Technical <strong>textiles</strong> are defined as textile<br />
materials and products used primarily for<br />
45
ministry <strong>of</strong> <strong>textiles</strong><br />
their technical performance and functional<br />
properties rather than their aesthetic or<br />
decorative characteristics. Other terms<br />
used for defining technical <strong>textiles</strong> include<br />
industrial <strong>textiles</strong>, functional <strong>textiles</strong>,<br />
performance <strong>textiles</strong>, engineering<br />
<strong>textiles</strong>, smart <strong>textiles</strong> and hi-tech <strong>textiles</strong>.<br />
Technical <strong>Textiles</strong> is the emerging area<br />
for investment in India. The potential <strong>of</strong><br />
technical textile in India is still untapped.<br />
In order to address the major constraints<br />
for improving production and consumption<br />
<strong>of</strong> technical <strong>textiles</strong>, <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong><br />
has launched Technology Mission on<br />
Technical <strong>Textiles</strong> (TMTT) with two minimissions<br />
for a period <strong>of</strong> five years (from<br />
2010-11 to 2014-15) with a fund outlay <strong>of</strong><br />
Rs. 200 crore during December 2010. The<br />
details <strong>of</strong> the mission are given below:<br />
Mini-Mission- I <strong>of</strong> TMTT<br />
Objectives: Standardization, creating<br />
common testing facilities with national /<br />
international accreditation, indigenous<br />
development <strong>of</strong> prototypes and resource<br />
center with I.T. infrastructure.<br />
Interventions<br />
a) Setting up <strong>of</strong> four Centers <strong>of</strong><br />
Excellence (COEs) to provide<br />
infrastructure support at one place for<br />
the convenience <strong>of</strong> manufacturers <strong>of</strong><br />
technical <strong>textiles</strong>: In addition to four<br />
COEs already established in Agrotech,<br />
Geotech, Protech and Meditech under<br />
Scheme for Growth and Development<br />
<strong>of</strong> Technical <strong>Textiles</strong> (SGDTT), four<br />
more COEs have been set up in the<br />
area <strong>of</strong> Nonwovens, Composites,<br />
Indutech and Sportech to support the<br />
manufacturers <strong>of</strong> technical <strong>textiles</strong> <strong>of</strong><br />
respective segment. The four new<br />
Centres <strong>of</strong> Excellence are given at<br />
table 3.8.<br />
The essential facilities to be created in the<br />
Centres <strong>of</strong> Excellence are as follows:<br />
i) Facilities for testing and evaluation<br />
<strong>of</strong> products <strong>of</strong> identified segments<br />
<strong>of</strong> technical <strong>textiles</strong> with national/<br />
international accreditation and<br />
collaboration with foreign institutes /<br />
laboratories<br />
ii) Resource Centre with I.T.<br />
infrastructure<br />
iii) Facilities for indigenous development<br />
<strong>of</strong> prototypes<br />
iv) Facilities for training <strong>of</strong> core personnel<br />
and regular training <strong>of</strong> personnel from<br />
the technical textile <strong>industry</strong><br />
v) Knowledge sharing with stake<br />
holders<br />
vi) Incubation Centre<br />
vii) Setting up <strong>of</strong> standards at par with<br />
global level<br />
b) Upgradation <strong>of</strong> existing four<br />
Centres <strong>of</strong> Excellence<br />
Sr.<br />
No.<br />
1.<br />
Name <strong>of</strong> agencies<br />
Table 3.8<br />
DKTE Society’s Textile and Engineering Institute, Ichalkaranji,<br />
Maharashtra<br />
Area <strong>of</strong> Centre<br />
<strong>of</strong> Excellence<br />
Non-Wovens<br />
2. PSG College <strong>of</strong> Technology, Coimbatore, Tamil Nadu Indutech<br />
Ahmedabad Textile Industry’s Research Association (ATIRA), Ahmadabad, Composites<br />
3.<br />
Gujarat.<br />
4. Institute <strong>of</strong> Chemical Technology (ICT), Mumbai Sportech<br />
46
annual report 2011-12<br />
Four COEs have already been<br />
established namely BTRA for<br />
Geotech, SITRA for Meditech, NITRA<br />
for Protech & SASMIRA for Agrotech<br />
under the Scheme for Growth and<br />
Development <strong>of</strong> Technical <strong>Textiles</strong><br />
(SGDTT), but these centres are not<br />
having facilities for development<br />
<strong>of</strong> prototypes, incubation centre<br />
for products <strong>of</strong> their segments and<br />
provision for recurring expenditure for<br />
appointment <strong>of</strong> experts. Therefore,<br />
a fund support is being provided to<br />
the existing COEs to upgrade them<br />
in line with new COEs.<br />
Mini-Mission- II <strong>of</strong> TMTT<br />
Objectives: Support for domestic &<br />
export market development <strong>of</strong> technical<br />
<strong>textiles</strong><br />
Interventions:<br />
a) Support for business start-up:<br />
Technical <strong>textiles</strong> is a new area<br />
and entrepreneurs especially SME<br />
sector find it difficult to start a project<br />
on technical <strong>textiles</strong> .The COE<br />
and other associations / institutes/<br />
independent reputed consultants<br />
have been empanelled by the MOT<br />
/ Office <strong>of</strong> the Textile Commissioner<br />
who will prepare project reports and<br />
do the hand holding <strong>of</strong> the potential<br />
entrepreneurs till the completion <strong>of</strong><br />
the projects. So far, five consultants<br />
have already been empanelled for<br />
Business Start-up under Technology<br />
Mission on Technical <strong>Textiles</strong><br />
(TMTT). These consultants will<br />
provide end to end service to the<br />
potential investors including product<br />
selection, technology definition and<br />
procurement, market assessment,<br />
commercialization and marketing<br />
assistance.<br />
b) Providing fund support for<br />
organizing workshops:<br />
The awareness about the technical<br />
<strong>textiles</strong> is still low among the stake<br />
holders. In order to create the<br />
awareness about technical <strong>textiles</strong>,<br />
reputed National and International<br />
agencies including the Indian Diaspora<br />
settled abroad are being invited to<br />
conduct Seminars, Workshops and<br />
short term training programmes in which<br />
know-how about latest technology,<br />
international practices, market details,<br />
global scenario etc. is being shared.<br />
So far, eight programmes have already<br />
been organised during this year under<br />
this component. Programmes have<br />
received huge response from all stake<br />
holders.<br />
c) Social compliance through<br />
standardization, regulatory<br />
measures:<br />
Some technical <strong>textiles</strong> require<br />
encouragement for use by user<br />
industries/Ministries and some<br />
require mandatory prescription.<br />
Consultants are being engaged<br />
to identify the needed regulatory<br />
changes required along with<br />
international best practices and also<br />
the strategy to facilitate such changes<br />
in the rules and regulations.<br />
d) Market development Support for<br />
marketing support to bulk and<br />
institutional buyers etc.:<br />
Under the Scheme Buyers-sellers<br />
meet will be organized across the<br />
country wherein the indigenous<br />
manufacturers can showcase their<br />
products and institutional buyers will<br />
be invited for enhancing marketing<br />
competitiveness <strong>of</strong> manufacturers.<br />
47
ministry <strong>of</strong> <strong>textiles</strong><br />
“TECHNOTEX INDIA 2011:<br />
International Exhibition &<br />
Conference on Technical <strong>Textiles</strong>”<br />
was organized during 25-27<br />
August 2012 at Mumbai under this<br />
component. The programme was<br />
inaugurated by Textile Minister<br />
and was attended by Chief Minster<br />
Maharashtra, and Textile Minister,<br />
Karnataka. The programme was<br />
a huge success. 102 companies<br />
participated as exhibitors. There<br />
was a separate China pavilion<br />
in the exhibition and three State<br />
Pavillions. Over 280 delegates<br />
attended the Conference. 41<br />
speakers addressed the delegates<br />
and made presentations.<br />
e) Market development Support for<br />
export sales:<br />
There are many reputed technical<br />
textile fairs organized abroad. The<br />
participation in these fairs will improve<br />
the export potential <strong>of</strong> the indigenous<br />
manufacturers. Some <strong>of</strong> the technical<br />
textile units are also participating in the<br />
exhibition <strong>of</strong> application based fairs.<br />
The support includes participation<br />
in Technical Textile fairs/Application<br />
based fairs by the Indian technical<br />
textile manufacturers to exhibit their<br />
products. Seven units have been<br />
approved for support under this<br />
component till date.<br />
f) Contract Research and<br />
Development through IITs/TRAs/<br />
Textile Institutes:<br />
Technical <strong>textiles</strong> is high technology<br />
area where most <strong>of</strong> the new material<br />
high-end converted products are<br />
imported, there is strong need for<br />
indigenous development <strong>of</strong> products<br />
for which R&D is <strong>of</strong> prime importance.<br />
Therefore, contract research is<br />
covered under this head. Individual<br />
unit or two or more unit may come<br />
together for a Contract research<br />
proposal.<br />
*****<br />
48
annual report 2011-12<br />
CHAPTER IV<br />
EXPORTS<br />
49
50<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER IV<br />
EXPORTS<br />
India’s <strong>textiles</strong> and clothing <strong>industry</strong> is<br />
one <strong>of</strong> the mainstays <strong>of</strong> the national<br />
economy. It is also one <strong>of</strong> the largest<br />
contributing sectors <strong>of</strong> India’s exports<br />
worldwide. The report <strong>of</strong> the Working<br />
Group constituted by the Planning<br />
Commission on boosting India’s<br />
manufacturing exports during 12th Five<br />
Year Plan (2012-17), envisages India’s<br />
exports <strong>of</strong> <strong>Textiles</strong> and Clothing at US$<br />
32.35 billion by the end <strong>of</strong> XIth Five Year<br />
plan, as against <strong>of</strong> US$ 55 billion envisaged<br />
in the Report <strong>of</strong> Working Group on <strong>Textiles</strong><br />
for the XIth Five Year Plan and based on<br />
historic growth rate <strong>of</strong> 10% (CAGR), a<br />
business as usual approach, will result in<br />
exports <strong>of</strong> US$ 52 billion by the end <strong>of</strong> XI<br />
Plan. An export target <strong>of</strong> US$ 65 billion<br />
and creation <strong>of</strong> 25 million additional jobs<br />
has been proposed with a CAGR <strong>of</strong> 15%<br />
during the XII Plan. At current prices the<br />
Indian <strong>textiles</strong> <strong>industry</strong> is pegged at US$<br />
55 billion, 64% <strong>of</strong> which services domestic<br />
demand. The <strong>textiles</strong> <strong>industry</strong> accounts<br />
for 14% <strong>of</strong> industrial production, which is<br />
4% <strong>of</strong> GDP; employs 35 million people<br />
and accounts for nearly 12% share <strong>of</strong> the<br />
country’s total exports basket.<br />
Milestones<br />
= Exports <strong>of</strong> <strong>textiles</strong> and clothing<br />
products from India have increased<br />
steadily over the last few years,<br />
particularly after 2004 when <strong>textiles</strong><br />
exports quota stood discontinued.<br />
= India’s <strong>Textiles</strong> & Clothing (T&C)<br />
exports registered a robust growth<br />
<strong>of</strong> 25% in 2005-06, recording a<br />
growth <strong>of</strong> US$ 3.5 billion over<br />
2004-05 in value terms thereby<br />
reaching a level <strong>of</strong> US$ 17.52 billion<br />
and the growth continued in 2006-<br />
07 with T&C exports <strong>of</strong> US$19.15<br />
billion recording a increase <strong>of</strong><br />
9.28% over the previous year and<br />
reached US$ 22.15 billion in 2007-<br />
08 denoting an increase <strong>of</strong> 15.7%;<br />
but declined by over 5% in 2008-09.<br />
Exports <strong>of</strong> <strong>Textiles</strong> & Clothing grew<br />
from US$ 21.22 billion in 2008-<br />
09 to US$ 22.41 billion in 2009-10<br />
and has touched US$ 26.82 billion<br />
in 2010-11. In the current financial<br />
year i.e. 2011-12, exports <strong>of</strong> <strong>textiles</strong><br />
and clothing, as per latest available<br />
data covering April-October, 2011,<br />
has grown by 28.94% over the<br />
corresponding period <strong>of</strong> 2010-11.<br />
= The details <strong>of</strong> India’s <strong>textiles</strong> exports,<br />
principal commodity-wise during the<br />
last three years and current financial<br />
year for the period April-October<br />
2011 is at table 4.1.<br />
= During the year 2010-11,<br />
Readymade Garments account<br />
for almost 40% <strong>of</strong> the total <strong>textiles</strong><br />
exports. Apparel and cotton <strong>textiles</strong><br />
products together contribute nearly<br />
70% <strong>of</strong> the total <strong>textiles</strong> exports.<br />
= The exports basket comprise a wide<br />
range <strong>of</strong> items including readymade<br />
garments, cotton <strong>textiles</strong>, handloom<br />
<strong>textiles</strong>, man-made fibre <strong>textiles</strong>,<br />
<strong>wool</strong> and <strong>wool</strong>en products, silk, jute<br />
and handicrafts including carpets.<br />
= India’s <strong>textiles</strong> products, including<br />
handlooms and handicrafts, are<br />
exported to more than a hundred<br />
countries. However, the USA and<br />
the EU, account for about two-thirds<br />
51
ministry <strong>of</strong> <strong>textiles</strong><br />
Table 4.1<br />
India’s <strong>textiles</strong> exports at a glance (Principal Commodities)<br />
Prepared on 24.01.2012<br />
Item 2008-09 2009-10 2010-11(P) Variation Apr-Oct 2010 Apr-Oct 2011(P) Variation<br />
Rs.Crore US$ Mn Rs.Crore US$ Mn Rs.Crore US$ Mn Rs. US$ Rs.Crore US$ Mn Rs.Crore US$ Mn Rs. US$<br />
Readymade Garment 47112.77 10383.26 47608.39 10064.73 48355.57 10627.99 1.57% 5.60% 25254.29 5512.15 32436.57 7088.74 28.44% 28.60%<br />
RMG <strong>of</strong> cotton including accessories 38522.72 8490.08 38070.33 8048.32 37687.51 8283.27 -1.01% 2.92% 19292.50 4210.89 24076.03 5261.62 24.79% 24.95%<br />
RMG <strong>of</strong> Man-made fibre 4721.94 1040.68 5745.29 1214.59 6489.07 1426.22 12.95% 17.42% 3610.91 788.14 5265.62 1150.76 45.83% 46.01%<br />
RMG <strong>of</strong> other textile material 3868.11 852.50 3792.77 801.82 4178.99 918.49 10.18% 14.55% 2350.88 513.12 3094.92 676.37 31.65% 31.82%<br />
Cotton <strong>Textiles</strong> 21795.40 4803.52 27016.21 5711.41 38038.19 8360.35 40.80% 46.38% 15884.11 3466.96 22418.43 4899.36 41.14% 41.32%<br />
Cotton raw including waste 2865.86 631.61 9537.08 2016.20 12981.04 2853.08 36.11% 41.51% 1766.55 385.58 5085.34 1111.36 187.87% 188.23%<br />
Cotton yarn, fabrics & madeups 18929.54 4171.91 17479.13 3695.20 25057.15 5507.27 43.35% 49.04% 14117.56 3081.38 17333.09 3788.00 22.78% 22.93%<br />
Man-made <strong>textiles</strong> 15090.76 3325.88 18783.13 3970.88 21125.13 4643.06 12.47% 16.93% 11297.00 2465.75 14713.41 3215.49 30.24% 30.41%<br />
Manmade staple fibres 1172.01 258.30 1690.68 357.42 1998.11 439.16 18.18% 22.87% 1083.64 236.52 1338.66 292.55 23.53% 23.69%<br />
Manmade yarn, fabrics & madeups 13918.75 3067.58 17092.45 3613.46 19127.02 4203.90 11.90% 16.34% 10213.36 2229.23 13374.75 2922.94 30.95% 31.12%<br />
Wool & Woolen <strong>textiles</strong> 2199.49 484.75 2224.14 470.20 1955.31 429.75 -12.09% -8.60% 1139.74 248.77 1485.53 324.65 30.34% 30.50%<br />
RMG <strong>of</strong> Wool 1742.97 384.14 1799.20 380.36 1477.27 324.69 -17.89% -14.64% 884.26 193.00 1092.21 238.69 23.52% 23.67%<br />
Woollen yarn, fabrics & madeups 456.52 100.61 424.94 89.84 478.04 105.07 12.50% 16.96% 255.48 55.76 393.32 85.96 53.95% 54.15%<br />
Silk 3107.78 684.93 2819.46 596.05 2708.02 595.19 -3.95% -0.14% 1484.22 323.95 1291.94 282.34 -12.95% -12.84%<br />
RMG <strong>of</strong> Silk 1437.73 316.86 1383.42 292.46 1095.10 240.69 -20.84% -17.70% 630.92 137.71 741.12 161.97 17.47% 17.61%<br />
Natural silk yarn, fabrics & madeups 1664.82 366.91 1411.12 298.32 1578.40 346.91 11.85% 16.29% 829.57 181.07 536.10 117.16 -35.38% -35.29%<br />
Silk waste 5.23 1.15 24.92 5.27 34.52 7.59 38.52% 44.02% 23.73 5.18 14.72 3.22 -37.97% -37.89%<br />
Handloom Products* 1252.81 264.85 1662.89 365.48 32.73% 38.00% 851.66 185.89 1483.21 324.14 74.16% 74.38%<br />
<strong>Textiles</strong> (excluding handicrafts, jute & coir) 89306.20 19682.34 99704.14 21078.12 113845.11 25021.83 14.18% 18.71% 55911.02 12203.47 73829.09 16134.73 32.05% 32.21%<br />
Handicrafts 4949.23 1090.77 4548.91 961.67 5445.45 1196.85 19.71% 24.46% 3042.42 664.06 2476.59 541.24 -18.60% -18.50%<br />
Handicrafts (excluding handmade carpets) 1384.19 305.06 1066.58 225.48 984.65 216.41 -7.68% -4.02% 587.55 128.24 462.05 100.98 -21.36% -21.26%<br />
Carpets (excluding silk) handmade 3506.37 772.77 3441.74 727.61 4444.96 976.95 29.15% 34.27% 2449.70 534.69 2006.50 438.50 -18.09% -17.99%<br />
Silk carpets 58.67 12.93 40.59 8.58 15.84 3.48 -60.98% -59.43% 5.17 1.13 8.04 1.76 55.51% 55.71%<br />
Coir & Coir Manufacturers 680.70 150.02 759.66 160.60 689.18 151.47 -9.28% -5.68% 383.08 83.61 531.43 116.14 38.73% 38.90%<br />
Coir & Coir Manufacturers 680.70 150.02 759.66 160.60 689.18 151.47 -9.28% -5.68% 383.08 83.61 531.43 116.14 38.73% 38.90%<br />
Jute 1375.78 303.21 1033.09 218.40 2076.34 456.36 100.98% 108.95% 1258.01 274.58 1197.02 261.60 -4.85% -4.73%<br />
Floor covering <strong>of</strong> jute 251.63 55.46 281.07 59.42 336.93 74.05 19.87% 24.63% 207.75 45.34 141.31 30.88 -31.98% -31.89%<br />
Other jute manufactures 491.64 108.35 300.19 63.46 505.58 111.12 68.42% 75.10% 272.15 59.40 448.61 98.04 64.84% 65.05%<br />
Jute yarn 216.92 47.81 144.20 30.48 533.90 117.34 270.25% 284.93% 353.84 77.23 136.31 29.79 -61.48% -61.43%<br />
Jute hessian 415.59 91.59 307.63 65.04 699.93 153.84 127.52% 136.54% 424.27 92.60 470.79 102.89 10.96% 11.10%<br />
Total <strong>Textiles</strong> Exports (incl. handicrafts, coir<br />
& jute)<br />
96311.91 21226.34 106045.80 22418.79 122056.08 26826.50 15.10% 19.66% 60594.53 13225.72 78034.13 17053.71 28.78% 28.94%<br />
% Textile Exports 11.46% 11.46% 12.54% 12.54% 10.63% 10.63% 10.74% 10.74% 10.03% 10.03%<br />
India’s exports <strong>of</strong> all commodities 840755.06 185295.36 845533.64 178751.43 1148169.56 252354.27 35.79% 41.18% 564313.88 123170.46 778375.03 170107.38 37.93% 38.11%<br />
Source : Foreign Trade Statistics <strong>of</strong> India( Principal Commodities & Countries), DGCI&S for export figures in Rupee and Department <strong>of</strong> Commerce(Intranet) -Exchange rate<br />
*Handloom Products have been included as commodities first time in 2009-10<br />
Exchange rate (Source:DOC intranet) Apr-Mar’ 2008-09 Apr-Mar’ 2009-10<br />
52
annual report 2011-12<br />
<strong>of</strong> India’s <strong>textiles</strong> exports. The other<br />
major export destinations are China,<br />
U.A.E., Sri Lanka, Saudi Arabia,<br />
Republic <strong>of</strong> Korea, Bangladesh,<br />
Turkey, Pakistan, Brazil, Hong Kong,<br />
Canada, Egypt etc.<br />
= As per the latest available export<br />
data, the salient features <strong>of</strong> the<br />
overall textile exports for the period<br />
April, 2011 to October, 2011(P) are<br />
as follows:<br />
Overall Exports<br />
= The total textile exports during April,11<br />
to October,11 (P) were valued at<br />
Rs. 78034.13 crore as against<br />
Rs. 60594.53 crore during the<br />
corresponding period <strong>of</strong> financial year<br />
2010-11, registering an increase <strong>of</strong><br />
28.78 percent in rupee terms.<br />
= In US dollar terms, the same was<br />
valued at US$17053.71 million as<br />
against US$ 13225.72 million during<br />
the corresponding period <strong>of</strong> previous<br />
financial year registering an increase<br />
<strong>of</strong> 28.94 percent in US$ terms.<br />
= However, the share <strong>of</strong> <strong>textiles</strong> in<br />
India’s total exports <strong>of</strong> all commodities<br />
has declined to 10.03 percent from<br />
10.74 per cent during April- October,<br />
2011 as against April- October, 2010.<br />
Composition <strong>of</strong> <strong>Textiles</strong><br />
Export<br />
= In rupee / US$ terms (during 2010-<br />
11), exports <strong>of</strong> readymade garments<br />
witnessed the highest export share<br />
<strong>of</strong> 39.61 percent, followed by Cotton<br />
<strong>Textiles</strong> (31.16), and Man-Made<br />
<strong>Textiles</strong> (17.31).<br />
Trend during the period<br />
April,11 to October, 11.<br />
= In rupee terms, during April,11 to<br />
October,11 (P) there has been<br />
a surge in exports <strong>of</strong> Handloom<br />
product (74.16%), Wool & Woolen<br />
textile (30.34%), Man-made <strong>textiles</strong><br />
(30.24%), RMG (28.44%), Coir &<br />
Coir Manufactures (38.73%), Cotton<br />
<strong>Textiles</strong> (41.14%).<br />
= In US$ terms the surge during<br />
April,11 to October,11 registered<br />
in Handloom products at 74.38%,<br />
Wool & Woolen <strong>textiles</strong> (30.50%),<br />
Man-made <strong>textiles</strong> (30.41%),<br />
RMG (28.60%) and in Coir & Coir<br />
Manufactures (38.90%) and Cotton<br />
<strong>Textiles</strong> (41.32%)<br />
Liberalized trading regime<br />
and emerging opportunities<br />
In the liberalized post-quota period,<br />
India has emerged as a major sourcing<br />
destination for buyers from all over the<br />
globe. As a measure <strong>of</strong> growing interest<br />
in the Indian <strong>textiles</strong> and clothing sector,<br />
a number <strong>of</strong> reputed houses opened<br />
their sourcing / liaison <strong>of</strong>fice in India.<br />
These include Marks and Spencer,<br />
Haggar Clothing, Kellwood, Little Label,<br />
Boules Trading Company, Castle, Alster<br />
International, Quest Apparel Inc., etc.<br />
Commercially the buoyant retailers<br />
across the world are looking for options <strong>of</strong><br />
increasing their sourcing from the Indian<br />
markets. Indian manufacturers are also<br />
pro-actively working towards enhancing<br />
their capacities to fulfil this increased<br />
demand.<br />
(i)<br />
Global exports <strong>of</strong> Ready Made<br />
Garments (RMG)<br />
= Global exports <strong>of</strong> RMG during 2008-<br />
09 were <strong>of</strong> the order <strong>of</strong> US$ 10.38<br />
billion, which recorded a marginal<br />
decrease to US$ 10.06 billion during<br />
2009-10. However, exports <strong>of</strong> RMG<br />
grew by 5.60% to US$ 10.63 Billion<br />
in 2010-11.<br />
53
ministry <strong>of</strong> <strong>textiles</strong><br />
= As per latest available statistics,<br />
exports <strong>of</strong> RMG during April-<br />
October, 2011 was <strong>of</strong> the order <strong>of</strong><br />
USD 7088.74 million as against<br />
USD 5512.15 million during the<br />
same period last year, indicating<br />
an increase <strong>of</strong> over 28.60% in US$<br />
terms this year.<br />
= EU was the biggest destination for<br />
RMG exports, with over US$ 5.3<br />
billion worth <strong>of</strong> exports during the<br />
year ending March, 2011, recording<br />
a growth <strong>of</strong> over 1% compared to<br />
exports in 2009-10.<br />
= US was the second biggest<br />
destination for RMG, with exports <strong>of</strong><br />
US$ 2.85 billion for the year ending<br />
March,11, recording a growth <strong>of</strong><br />
7.29% over the last financial year.<br />
= UAE was the third biggest destination<br />
with over a billion dollar worth <strong>of</strong><br />
exports to that group.<br />
(ii)<br />
Global exports <strong>of</strong> Handicrafts (HC)<br />
= Exports <strong>of</strong> Handicrafts was <strong>of</strong> the<br />
order <strong>of</strong> US$ 1.45 Billion in 2007-08<br />
and had drastically reduced to US$<br />
1.09 Billion in 2008-09 and further<br />
went down to US$ 961.67 Million<br />
in 2009-10. However, during the<br />
financial year 2010-11, the exports<br />
<strong>of</strong> handicrafts has appreciated to<br />
USD 1.19 billion, recording a surge<br />
<strong>of</strong> 24.46%.<br />
(iii) Global exports <strong>of</strong> Handlooms (HL)<br />
= Harmonized System <strong>of</strong> Classification<br />
for Handlooms products was<br />
introduced in 2009-10.<br />
= Exports <strong>of</strong> Handlooms during 2009-<br />
10 were <strong>of</strong> the order <strong>of</strong> US$ 260<br />
Million and increased to 365 million<br />
in 2010-11, recording a growth<br />
<strong>of</strong> 38%.<br />
= The biggest destination <strong>of</strong> India’s<br />
Handlooms products is the USA<br />
followed by the EU.<br />
Country-wise analysis<br />
= In the global market exports <strong>of</strong><br />
clothing, India ranked as the sixth<br />
largest exporter as per WTO data<br />
– 2010 (latest), trailing Turkey,<br />
Bangladesh, Hong Kong, EU-27<br />
and China. In the global exports <strong>of</strong><br />
<strong>Textiles</strong>, India ranked as the third<br />
largest exporter, trailing EU-27 and<br />
China, as per WTO data – 2010<br />
(latest).<br />
= Since August, 2008, the major<br />
markets for India’s exports <strong>of</strong> T&C<br />
products viz. USA, EU and Japan<br />
have witnessed recessionary<br />
conditions and financial crisis, and<br />
<strong>textiles</strong> sector was amongst the<br />
worst hit. However these adverse<br />
economic conditions appeared to<br />
have abated somewhat since 2010<br />
with the USA, the single largest<br />
importer <strong>of</strong> <strong>textiles</strong> and clothing<br />
items, observing a positive growth<br />
<strong>of</strong> 14.22% and 17.03% in its import<br />
<strong>of</strong> T&C from the world and India<br />
respectively during the calendar<br />
year 2010. This trend has continued<br />
during 2011 when USA observed<br />
a positive growth <strong>of</strong> 8.90% and<br />
10.32% in its imports <strong>of</strong> T&C from the<br />
world and India respectively. Almost<br />
all major T&C exporting countries<br />
showed positive trend in the US<br />
market during the first nine month <strong>of</strong><br />
calendar year 2011. (Source: GTIS)<br />
= The EU’s overall T&C import<br />
registered a growth <strong>of</strong> 7.30% in<br />
2008, decline <strong>of</strong> 11.87% in 2009 and<br />
growth <strong>of</strong> 7.67% in calendar year<br />
2010. In calendar year 2011, EU’s<br />
overall imports <strong>of</strong> T&C have grown<br />
by 15.38% while India recorded<br />
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annual report 2011-12<br />
a growth <strong>of</strong> 17.53% over the<br />
corresponding period in 2010. China<br />
& Turkey, the two largest exporters<br />
<strong>of</strong> T&C to EU have recorded growth<br />
<strong>of</strong> 11.36% and 13.08% respectively<br />
during same period. (Source: GTIS)<br />
Imports<br />
The total imports <strong>of</strong> T&C products by<br />
India reached US$ 4.09 billion in 2010-<br />
11. Man-made Filaments was the biggest<br />
import amongst T&C items, with a share <strong>of</strong><br />
USD 0.66 billion followed by impregnated<br />
textile fabric (USD 0.62 billion) and manmade<br />
staple fibre with a share <strong>of</strong> USD<br />
0.42 billion. The imports have increased<br />
by 21.69% during 2000-11 in dollar terms<br />
over the corresponding period last year.<br />
However, the share <strong>of</strong> import <strong>of</strong> T&C<br />
products by India as percentage <strong>of</strong> total<br />
imports <strong>of</strong> all commodities has decreased<br />
during 2010-11, and stood at 1.10% as<br />
against 1.17% during 2009-10.<br />
Export Promotion Measures<br />
The Government has been continually<br />
supporting the <strong>textiles</strong> exports sector<br />
through various provisions <strong>of</strong> the Foreign<br />
Trade Policy and the other policy initiatives<br />
to enable the sector to increase market<br />
share in the global <strong>textiles</strong> markets.<br />
EXPORT PROMOTION COUNCILS<br />
There are eleven <strong>textiles</strong> Exports<br />
Promotion Councils representing all<br />
segments <strong>of</strong> the <strong>Textiles</strong> & Clothing<br />
sector, viz. readymade garments, cotton,<br />
silk, jute, <strong>wool</strong>, powerloom, handloom,<br />
handicrafts, carpets. These Councils<br />
work in close cooperation with the <strong>Ministry</strong><br />
<strong>of</strong> <strong>Textiles</strong> and other Ministries to promote<br />
the growth <strong>of</strong> their respective sector in<br />
the global export markets. The Councils<br />
participate in <strong>textiles</strong> and clothing fairs<br />
and exhibitions in India and abroad as<br />
well as mount stand alone shows in India<br />
and abroad to enhance the markets <strong>of</strong><br />
their respective sectors. These councils<br />
are:-<br />
i) Apparel Export Promotion Council<br />
(AEPC)<br />
ii)<br />
iii)<br />
iv)<br />
The Cotton <strong>Textiles</strong> Export Promotion<br />
Council (TEXPROCIL)<br />
The Synthetic & Rayon <strong>Textiles</strong> Export<br />
Promotion Council (SRTEPC)<br />
Wool & Woollen Export Promotion<br />
Council (WWEPC)<br />
v) Wool Industry Export Promotion<br />
Organization (WOOLTEXPRO)<br />
vi)<br />
vii)<br />
Indian Silk Export Promotion Council<br />
(ISEPC)<br />
Carpet Export Promotion Council<br />
(CEPC)<br />
<strong>viii</strong>) Export Promotion Council for<br />
Handicrafts (EPCH)<br />
ix)<br />
Powerloom Development & Export<br />
Promotion Council (PDEXCIL)<br />
x) Handloom Export Promotion Council<br />
(HEPC)<br />
xi)<br />
Jute Product Development Export<br />
Promotion Council (JPDEPC)<br />
Export Promotion Activities<br />
<strong>of</strong> EPCs<br />
During the year 2010-11, the EPCs<br />
continued export promotion activities<br />
<strong>of</strong> <strong>textiles</strong> exports. These included<br />
participation in overseas exhibitions/<br />
fairs, organisation <strong>of</strong> Buyer-seller-Meets<br />
(BSMs) abroad and, sponsoring trade<br />
delegations for consolidating the existing<br />
markets and exploring new markets.<br />
Major <strong>textiles</strong> fairs like India International<br />
Garment Fair and Indian Handicrafts &<br />
Gifts Fair were held in New Delhi, which<br />
attracted large number <strong>of</strong> buyers from all<br />
55
over the world. The EPCs participated in<br />
all major fairs & exhibition world-wide, and<br />
<strong>Textiles</strong> Mega Shows were jointly put up<br />
in Japan, South Africa and Latin America<br />
with the support <strong>of</strong> the Government.<br />
Apparel Training & Design<br />
Centres (ATDCs)<br />
The Apparel Training & Design Centre<br />
was registered as a Society under<br />
Societies Registration Act on February<br />
15, 1991 at New Delhi with the mission<br />
to upgrade the technical skills <strong>of</strong> the<br />
*****<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
human resource employed in Garment<br />
Industry. There are 75 ATDC centres<br />
including 25 ATDC-IGNOU community<br />
colleges and over 50 SMART (Skill<br />
for manufacturing <strong>of</strong> Apparels through<br />
Research & Training) centres and skill<br />
campus at present functioning across<br />
the country to provide trained manpower<br />
in the field <strong>of</strong> Pattern Making/Cutting<br />
Techniques and Production Supervision<br />
and Quality Control Techniques to the<br />
Readymade Garment Industry so that<br />
quality garments are manufactured for<br />
the global market.<br />
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annual report 2011-12<br />
CHAPTER V<br />
COTTON<br />
57
58<br />
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annual report 2011-12<br />
CHAPTER V<br />
COTTON<br />
Cotton is one <strong>of</strong> the major crops<br />
cultivated in India. It accounts<br />
for more than 75% <strong>of</strong> the total<br />
fibre consumption in the spinning mills<br />
and more than 54% <strong>of</strong> the total fibre<br />
consumption in the textile sector. The<br />
twin objective <strong>of</strong> assuring <strong>of</strong>f-take <strong>of</strong> the<br />
farmer’s produce at remunerative prices<br />
and making available adequate quantity<br />
<strong>of</strong> cotton at a reasonable prices to the<br />
domestic textile <strong>industry</strong>, are sought to be<br />
achieved through timely announcement<br />
<strong>of</strong> remunerative Minimum Support<br />
Price (MSP) to the farmer and through<br />
appropriate export-import intervention as<br />
and when necessary. The New Textile<br />
Policy aims at improving the quality <strong>of</strong><br />
cotton to that <strong>of</strong> international standards<br />
through effective implementation <strong>of</strong> the<br />
Technology Mission on Cotton (TMC).<br />
Production and Consumption<br />
●<br />
●<br />
●<br />
●<br />
During the last five decades, the<br />
production <strong>of</strong> cotton increased from<br />
30.00 lakh bales <strong>of</strong> 170 kgs each<br />
in 1950-51 to an all-time record <strong>of</strong><br />
356.00 lakh bales <strong>of</strong> 170 kgs each<br />
during 2011-12.<br />
Acreage under cotton cultivation has<br />
also increased and from 58.82 lakh<br />
hectares in 1950-51 to a record high<br />
<strong>of</strong> 121.91 lakh hectares in 2011-12.<br />
The average yield has also increased<br />
from 88 kgs in 1950-51 to 554 kgs in<br />
2007-08.<br />
Due to receipt <strong>of</strong> good prices by the<br />
cotton farmers for their produce in<br />
previous cotton season there has<br />
been significant increase in cotton<br />
acreage under cotton in cotton<br />
●<br />
●<br />
●<br />
season 2011-12. Acreage under<br />
cotton cultivation has increased by<br />
10% to 121.91 lakh hectares in 2011-<br />
12 as against 111.42 lakh hectares<br />
in the previous season. The rise in<br />
acreage has been mainly due to<br />
switching from other competing crops<br />
viz., maize, jawar, pulses etc. With<br />
various governmental measure to<br />
improve farm practices and release<br />
<strong>of</strong> Bt seeds have enabled the farmers<br />
to sustain their continued interests in<br />
cotton cultivation.<br />
One <strong>of</strong> the reasons for low yield in<br />
India as compared to world average<br />
<strong>of</strong> about 745 kgs/hectare is that<br />
nearly 65% <strong>of</strong> the area under cotton<br />
cultivation is rainfed. Despite delayed<br />
sowing and subsequent continuous<br />
rains in Northern and Central zone,<br />
with subsequent favourable agroclimatic<br />
conditions, the crop progress<br />
is satisfactory in all the cotton<br />
growing States. As a result, the<br />
cotton production in the country is<br />
also expected to increase by 10% to<br />
356.00 lakh bales as against the last<br />
year.<br />
The largest share in the total<br />
production <strong>of</strong> cotton is <strong>of</strong> long staple<br />
varieties followed by medium and<br />
medium long staple. The share <strong>of</strong><br />
short staple is about 1% and the<br />
share <strong>of</strong> medium & medium long<br />
staple varieties was around 20% and<br />
the remaining are long and extra long<br />
staple varieties.<br />
In recent years, there has been a<br />
shift in the cultivation pattern and<br />
farmers have switched over to high<br />
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ministry <strong>of</strong> <strong>textiles</strong><br />
●<br />
yielding long staple varieties from<br />
the medium staple varieties. The<br />
main cotton producing States are<br />
Maharashtra, Gujarat, Andhra<br />
Pradesh, Madhya Pradesh, Punjab,<br />
Haryana, Rajasthan, Karnataka,<br />
Tamil Nadu.<br />
Domestic consumption <strong>of</strong> cotton<br />
fibre has witnessed sustained<br />
growth since 2003-04 onwards<br />
due to growing demand for Indian<br />
<strong>textiles</strong> and subsequently, there has<br />
been considerable expansion and<br />
modernization <strong>of</strong> textile mills.<br />
● Even though the Indian cotton<br />
consumption has increased with<br />
rapid pace in the last few years,<br />
still it has not kept pace with the<br />
growth in domestic cotton production<br />
resulting into surplus availability<br />
for exports. The consumption level<br />
including consumption <strong>of</strong> spinning<br />
units in the Small Scale Sector<br />
and non-mill consumption during<br />
2011-12 has been 250.00 lakh bales<br />
as against 253.00 lakh bales in the<br />
previous year.<br />
●<br />
The projected slowdown in global<br />
economic growth in 2011 and 2012<br />
is expected to affect the cotton<br />
consumption <strong>of</strong> textile products and<br />
therefore demand for cotton fibre<br />
domestically and internationally.<br />
Cotton consumption is likely to be<br />
influenced by the cotton farmers in<br />
the previous cotton season. As a<br />
result, the consumption is estimated<br />
at 250.00 lakh bales in 2011-12 as<br />
against 253.00 lakh bales in previous<br />
year.<br />
Data on area, production, yield and<br />
consumption <strong>of</strong> cotton is given at table 5.1.<br />
Export <strong>of</strong> cotton<br />
During cotton season 2010-11, with<br />
increased cotton production for the fourth<br />
consecutive year, there was abundant<br />
availability <strong>of</strong> cotton facilitating cotton<br />
exports from the country. Further, during<br />
the season, the prices <strong>of</strong> Indian cotton<br />
remained competitive and attractive to<br />
the overseas buyers as compared to the<br />
prices <strong>of</strong> other equivalent foreign growths.<br />
With improvement in quality <strong>of</strong> Indian<br />
Table 5.1<br />
AREA, PRODUCTION, YIELD AND CONSUMPTION OF COTTON IN LAST FIVE<br />
YEARS INCLUDING CURRENT YEAR 2011-12.<br />
Cotton Year<br />
Area in lakh<br />
hectares<br />
Cotton<br />
Production in<br />
lakh bales <strong>of</strong> 170<br />
kgs<br />
Cotton Yield<br />
in Kgs/Hectare<br />
Cotton Consumption<br />
in lakh bales <strong>of</strong> 170<br />
kgs(Mill+Non-mill+Small<br />
mill)<br />
2006-07 91.44 280.00 521 232.03<br />
2007-08 94.14 307.00 554 236.88<br />
2008-09 94.06 290.00 524 229.00<br />
2009-10 103.10 305.00 503 259.00<br />
2010-11 111.42 325.00 496 253.00<br />
2011-12* 121.91 356.00 496 250.00<br />
Source: Cotton Advisory Board<br />
*As per CAB meeting held on 15 th Nov 2011<br />
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annual report 2011-12<br />
cotton in terms <strong>of</strong> contamination and trash<br />
contents at par with the international level<br />
the demand for Indian cotton has been<br />
increasing substantially. During the cotton<br />
season 2011-12, the cotton exports from<br />
the country had been placed at 80.00 lakh<br />
bales as against 70.00 lakh bales during<br />
2010-11.<br />
In the current cotton season 2011-12, due<br />
to increased gap between production vs.<br />
consumption, the cotton imports by China<br />
are expected to rise to 3.26 million tons as<br />
against 2.61 million. Besides this, world<br />
cotton trade is also expected to increase<br />
by 2% to 7.8 million tons as against 7.6<br />
million tons in previous year. Due to this<br />
as also due to increased availability <strong>of</strong><br />
cotton, the Cotton Advisory Board has<br />
placed cotton exports in 2011-12 at 80.00<br />
lakh bales as against 70.00 lakh bales<br />
in previous season. Looking to this, for<br />
cotton season 2011-12, the Government<br />
<strong>of</strong> India has placed cotton exports under<br />
OGL. However, cotton exports from the<br />
country shall depend upon the price parity<br />
<strong>of</strong> domestic cotton vis-à-vis equivalent<br />
foreign growths.<br />
Price <strong>of</strong> kapas (seed cotton)<br />
Government <strong>of</strong> India announces Minimum<br />
Support Price for two basic staple groups<br />
viz., medium long staple (staple length<br />
24.5mm to 25.5mm and micronnaire<br />
value 4.3 to 5.1) and long staple cotton<br />
(staple length 29.5mm to 30.5mm and<br />
micronnaire value 4.3 to 5.1).<br />
Cotton Corporation <strong>of</strong> India (CCI) is the<br />
nominated agency <strong>of</strong> the Government <strong>of</strong><br />
India for undertaking MSP operations in the<br />
event <strong>of</strong> prevailing kapas prices touching<br />
the MSP level. As per the mandate, in<br />
MSP operations, CCI purchase the entire<br />
quantity <strong>of</strong>fered to it by the cotton farmers<br />
at APMC market yards, without any<br />
quantitative restrictions.<br />
For cotton season 2011-12, the<br />
Government <strong>of</strong> India has increased the<br />
MSPs by 10% to 12% as compared to<br />
previous year.<br />
In current cotton season 2011-12, the<br />
prevailing kapas prices in almost all<br />
the cotton growing States have been<br />
ruling above MSP level. However, due<br />
to financial tightness caused by heavy<br />
losses suffered in previous year, the mills<br />
are refraining themselves from covering<br />
cotton requirement for lean season. This<br />
may put pressure on the prevailing kapas<br />
prices, especially in the States <strong>of</strong> Andhra<br />
Pradesh, Maharashtra, Madhya Pradesh<br />
and some parts <strong>of</strong> Gujarat may touch<br />
MSP level and with a view to ensure<br />
remunerative prices to the cotton growers,<br />
the nodal agencies may have to undertake<br />
MSP operations in such areas.<br />
COTTON CORPORATION OF INDIA<br />
LTD., (CCI), MUMBAI<br />
The Cotton Corporation <strong>of</strong> India Ltd., (CCI)<br />
was set up in 1970 with the objective <strong>of</strong><br />
acting as the canalizing agency for import<br />
<strong>of</strong> cotton and undertaking purchase <strong>of</strong> raw<br />
cotton for giving necessary price support to<br />
enterprising cultivators growing new varieties<br />
<strong>of</strong> cotton developed as substitute for imported<br />
long and extra long staple cottons as also for<br />
procuring raw cotton for textile mills, both in<br />
public and private sectors.<br />
Over the years, its operations have<br />
undergone significant changes in keeping<br />
with the developments taken place in the<br />
Indian cotton economy during past two<br />
decades.<br />
In the Textile Policy, 1985, CCI’s role was<br />
expanded to carry out commercial operations<br />
for meeting the cotton requirements <strong>of</strong><br />
institutional buyers and to fulfill the export<br />
quotas allocated to it by the Government<br />
<strong>of</strong> India. However, with liberalization,<br />
since cotton exports have been placed<br />
under Open General Licence (OGL), the<br />
system <strong>of</strong> allocation <strong>of</strong> export quotas in<br />
favour <strong>of</strong> different agencies have been<br />
dispensed with.<br />
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ministry <strong>of</strong> <strong>textiles</strong><br />
The Government <strong>of</strong> India had launched<br />
Technology Mission on Cotton (TMC) in<br />
February 2000 with four Mini Missions.<br />
CCI had been the implementing agency<br />
for Mini Mission III (Improvement <strong>of</strong><br />
Marketing Infrastructure) and Mini Mission<br />
IV (modernization/upgradation <strong>of</strong> existing<br />
G&P factories).<br />
The cotton season 2010-11 had been<br />
a unique year in the history <strong>of</strong> cotton<br />
economy <strong>of</strong> the country in as much as the<br />
cotton season witnessed unprecedented<br />
volatility in the prices <strong>of</strong> both kapas (seed<br />
cotton) and lint cotton. In the first half <strong>of</strong><br />
the season, cotton prices had reached a<br />
record level and the same subsequently<br />
dropped substantially. This was mainly<br />
due to historically tight world opening<br />
stock to use, slowing demand, difficulties<br />
to access credit by the cotton spinners,<br />
declining prices <strong>of</strong> cotton yarn etc.<br />
Since the prevailing kapas prices in<br />
cotton season 2010-11 had ruled above<br />
MSP level throughout the season, the<br />
Corporation had no occasion to undertake<br />
MSP operations in any <strong>of</strong> the cotton<br />
growing States. However, with a view to<br />
cater the needs <strong>of</strong> its regular buyer mills<br />
as also to ensure competitive prices to<br />
the cotton farmers, the Corporation had<br />
undertaken commercial operations and<br />
had purchased 13.66 lakh bales.<br />
COTTON ADVISORY BOARD (CAB)<br />
The Cotton Advisory Board (CAB) is a<br />
representative body <strong>of</strong> various interest<br />
groups/stakeholders in cotton sector viz.,<br />
Governmental agencies, cotton growers,<br />
textile <strong>industry</strong> and trade. It advises<br />
the Government generally on matters<br />
pertaining to production, consumption<br />
and marketing <strong>of</strong> cotton and also provides<br />
a forum for liaison amongst the cotton<br />
textile mill <strong>industry</strong>, the cotton growers,<br />
the cotton trade and the Government.<br />
The Board, reconstituted on 4 th May<br />
2010, has got 75 members <strong>of</strong> which 9 are<br />
Central Government nominees, 9 State<br />
Government nominees, 4 cotton farmers<br />
representatives, 3 representatives <strong>of</strong><br />
cotton manufacturers, 15 representatives<br />
<strong>of</strong> textile <strong>industry</strong>, 6 representatives <strong>of</strong><br />
cotton trade, 4 representatives <strong>of</strong> Ginning<br />
and Pressing sector, 4 representatives<br />
<strong>of</strong> cotton research and development<br />
institutions, 1 each <strong>of</strong> powerloom and<br />
handloom sector and 18 other nominated/<br />
special invitee members and one member-<br />
Secretary. The reconstituted Board is valid<br />
upto 4 th May 2012.<br />
INTERNATIONAL COTTON ADVISORY<br />
COMMITTEE (ICAC)<br />
The International Cotton Advisory<br />
Committee is an association <strong>of</strong> various<br />
Governments having interests in production,<br />
export, import and consumption <strong>of</strong> cotton.<br />
It is an organization designed to promote<br />
cooperation in the solution <strong>of</strong> cotton<br />
problems, particularly those <strong>of</strong> international<br />
scope and significance. India is a member <strong>of</strong><br />
the ICAC and makes an yearly contribution<br />
towards it, as assessed by it from time<br />
to time.<br />
The 70 th Plenary session <strong>of</strong> the ICAC was<br />
held in Buenos Aires, Argentina during<br />
September 2011. The theme <strong>of</strong> plenary<br />
meeting was “Public and Private sector<br />
role in the Cotton Value Chain: Ensuring<br />
Both Efficiency and Fairness”.<br />
The Cotton Yarn Advisory Board<br />
The Cotton Yarn Advisory Board, headed by<br />
the <strong>Textiles</strong> Commissioner was constituted<br />
on 13th September, 2010 up to 31st March,<br />
2012 or until further orders, whichever<br />
is earlier. It is a representative body <strong>of</strong><br />
various inters groups like Government<br />
agencies, <strong>textiles</strong> <strong>industry</strong> and trade. Its<br />
main functions are to monitor domestic and<br />
international prices <strong>of</strong> cotton yarn, suggest<br />
measures for increasing the availability <strong>of</strong><br />
cotton yarn, monitor import and export <strong>of</strong><br />
yarn and prepare the Cotton Yarn Balance<br />
Sheet.<br />
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annual report 2011-12<br />
CHAPTER VI<br />
THE JUTE AND JUTE<br />
TEXTILES INDUSTRY<br />
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CHAPTER-VI<br />
THE JUTE AND JUTE TEXTILES INDUSTRY<br />
Raw Jute<br />
The Jute <strong>industry</strong> occupies an<br />
important place in the national<br />
economy <strong>of</strong> India. It is one <strong>of</strong> the<br />
major industries in the eastern region,<br />
particularly in West Bengal. Jute, the<br />
golden fibre, meets all the standards for<br />
‘safe’ packaging in view <strong>of</strong> being a natural,<br />
renewable, biodegradable and ec<strong>of</strong>riendly<br />
product. It is estimated that the<br />
jute <strong>industry</strong> provides direct employment<br />
to 0.37 million workers in organized mills<br />
and in diversified units including tertiary<br />
sector and allied activities and supports<br />
the livelihood <strong>of</strong> around 4.0 million farm<br />
families. In addition, there are a large<br />
number <strong>of</strong> persons engaged in the trade<br />
<strong>of</strong> jute.<br />
In the world perspective, India is the<br />
major producer <strong>of</strong> both raw jute and jute<br />
products. Out <strong>of</strong> the total world production<br />
<strong>of</strong> Jute, Kenaf and allied fibre <strong>of</strong> 3.0 million<br />
tonnes in 2007-08, India produced 1.8<br />
million tonnes. In percentage terms India<br />
accounted for 60 % <strong>of</strong> world production<br />
in 2007-08. Global production <strong>of</strong> jute and<br />
allied fibres is estimated to have increased<br />
Jute Yarn<br />
by 25 % to 3.0 million tonnes in 2007-08<br />
compared to 2004-05 season. Production<br />
in India has also increased by 28% to 1.8<br />
million tonnes in 2007-08 over 2004-05.<br />
There are 83 composite jute mills in India.<br />
Out <strong>of</strong> the total 83 jute mills, 64 jute mills<br />
are located in West Bengal, 3 each in<br />
Bihar and U.P., 7 in Andhra Pradesh 2<br />
each in Chattisgarh & Orissa and 1 each<br />
in Assam and Tripura. Ownership- wise<br />
division is:- 6 mills are under Government<br />
<strong>of</strong> India’s P.S.U., 1 mill (Tripura) is under<br />
State Government, 2 mills (Assam & New<br />
Central) are in the co-operative sector and<br />
74 are privately owned mills.<br />
As on 31-01-2010 total number <strong>of</strong> looms<br />
installed in the jute <strong>industry</strong> stood at 48,245<br />
consisting <strong>of</strong> 23,372 Hessian looms, 22,148<br />
sacking looms, 1,058 C.B.C looms and<br />
others at 1,060. The installed spindles in<br />
jute mills other than 100% export oriented<br />
units were 731,408 comprising <strong>of</strong> 622,324<br />
fine spindles and 109,084 coarse spindles.<br />
Installed spindles in 100% export oriented<br />
units stood at 9,482 with fine spindles at<br />
6,974 and coarse spindles at 2,508. The<br />
65
ministry <strong>of</strong> <strong>textiles</strong><br />
maximum installed capacity in jute mills<br />
other than 100% export oriented units (on<br />
the basis <strong>of</strong> 305 working days per year) is<br />
estimated to be <strong>of</strong> 2.47 million tonnes per<br />
annum.<br />
RAW JUTE SCENARIO<br />
Raw jute crop is an important cash crop<br />
to the farmers. Cultivation <strong>of</strong> raw jute<br />
crop provides not only fibre, which has<br />
industrial use, but also the jute stick which<br />
is used as fuel by the farming community.<br />
Raw jute is produced mainly in the states<br />
<strong>of</strong> West Bengal, Bihar, Assam, Orissa,<br />
Andhra Pradesh, Tripura and Meghalaya.<br />
The table 6.1 will indicate the supply<br />
demand position <strong>of</strong> raw jute including<br />
mesta for the period from 2006-07 to<br />
2011-12:-<br />
JUTE SEEDS<br />
Based on the average area under jute<br />
cultivation in the country, the annual<br />
requirement <strong>of</strong> jute seeds is around 50-55<br />
thousand quintal. The average area under<br />
jute cultivation in West Bengal is little<br />
more than 6 lakh hectares for which the<br />
annual requirement <strong>of</strong> jute seeds is nearly<br />
35-40 thousand quintal. The present level<br />
<strong>of</strong> certified jute seed production can cater<br />
to the needs <strong>of</strong> nearly 35 per cent <strong>of</strong> the<br />
jute area in the country. Public Sector<br />
Organizations like the National Seeds<br />
Corporation, the Maharashtra State Seed<br />
Corporation, the State Farms Corporation<br />
<strong>of</strong> India are the major producers <strong>of</strong> jute<br />
seed. This apart, the Andhra Pradesh<br />
State Seeds Development Corporation<br />
and the West Bengal State Seeds<br />
Corporation are also involved in jute seed<br />
production. The total production <strong>of</strong> seed,<br />
mainly certified seed, by the Public Sector<br />
organizations is about 25-30 per cent<br />
<strong>of</strong> the total requirement. The rest <strong>of</strong> the<br />
seed is produced by the Private Sector<br />
organizations.<br />
For augmenting supply <strong>of</strong> certified seeds,<br />
Jute Corporation <strong>of</strong> India has taken the<br />
following steps:-<br />
Table 6.1<br />
RAW JUTE BALANCE SHEET<br />
(Qty.: In lakh bales <strong>of</strong> 180 kg <strong>of</strong> each bale)<br />
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12<br />
(A) SUPPLY<br />
i) Opening stock 8.00 23.00 22.00 8.00 12.00 18.00<br />
100.00 99.00 82.00 90.00 100.00 110.00<br />
iii) Import 4.00 8.00 2.00 3.00 6.00 5.00<br />
Total 112.00 130.00 106.00 101.00 118.00 133.00<br />
(B)DISTRIBUTION<br />
iv)Mill consumption 81.00 99.00 89.00 77.00 90.00 95.00<br />
v) Domestic/Industrial 8.00 9.00 9.00 10.00 10.00 10.00<br />
consumption<br />
vi) Export Neg Neg Neg 2.00 Nil 1.00<br />
Total 89.00 108.00 98.00 89.00 100.00 106.00<br />
(C)CLOSING STOCK 23.00 22.00 8.00 12.00 18.00 27.00<br />
Source: Jute Advisory Board<br />
66
annual report 2011-12<br />
●<br />
●<br />
●<br />
●<br />
In 2010, JCI had targeted a distribution<br />
<strong>of</strong> 500 MT certified jute seeds during<br />
sowing season i.e. March/April,<br />
2010.<br />
The subsidy <strong>of</strong> Rs. 40 per kg was<br />
provided to jute growers.<br />
JCI distributed 437.580 MT seeds.<br />
JCI aims to distribute 1360 MT <strong>of</strong><br />
certified jute seeds in the year 2011<br />
through its 171 DPCs along with the<br />
help <strong>of</strong> State Cooperative Societies<br />
and Farmers Club.<br />
● JCI has so far (as on 04.05.2011)<br />
distributed 676.96 MT seeds.<br />
Further, the <strong>of</strong>fices under <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong> (National Jute Board and Jute<br />
Corporation <strong>of</strong> India) are working on<br />
projects with CRIJAF and NIRJAFT<br />
(research organizations under the <strong>Ministry</strong><br />
<strong>of</strong> Agriculture) to develop better jute seeds<br />
to improve agronomical practices for jute<br />
cultivation. In addition, the JCI and NJB<br />
work together to distribute high yielding<br />
certified jute seeds to farmers at subsidized<br />
rates. In the coming season the target for<br />
such distribution is 1300 MT (out <strong>of</strong> a total<br />
demand <strong>of</strong> about 6000 MT).<br />
Jute Packaging Material<br />
(Compulsory Use in Packing<br />
Commodities) Act, 1987:<br />
The Jute Packaging Material (Compulsory<br />
Use in Packaging Commodities) Act,<br />
1987 has been enacted to provide for<br />
the compulsory use <strong>of</strong> jute packaging<br />
material in the supply and distribution <strong>of</strong><br />
certain commodities in the interests <strong>of</strong><br />
production <strong>of</strong> raw jute and jute packaging<br />
material, and <strong>of</strong> persons engaged in<br />
the production there<strong>of</strong>, and for matters<br />
connected therewith.<br />
Clause 4 (1) <strong>of</strong> the Jute Packaging<br />
Material (Compulsory Use in Packaging<br />
Commodities) Act, 1987 empowers the<br />
Central Government to constitute a<br />
Standing Advisory Committee consisting<br />
<strong>of</strong> such persons as have, in the opinion <strong>of</strong><br />
that Government, the necessary expertise<br />
to give advice in the matter <strong>of</strong> determining<br />
the commodity or class <strong>of</strong> commodities or<br />
percentages there<strong>of</strong> in respect <strong>of</strong> which<br />
jute packaging material shall be used in<br />
their packing.<br />
As per clause 5 <strong>of</strong> the Jute Packaging<br />
Material (Compulsory Use in Packaging<br />
Commodities) Rule, 1987, the said<br />
Committee shall meet at least once a<br />
year to review the commodity or class<br />
<strong>of</strong> commodities or percentages there<strong>of</strong><br />
required to be packed in jute packaging<br />
material under section 3 <strong>of</strong> the JPM Act.<br />
The Standing Advisory Committee shall<br />
after considering the following matters<br />
make recommendations to the Central<br />
Government:-<br />
●<br />
●<br />
The existing level <strong>of</strong> usage <strong>of</strong> jute<br />
material.<br />
The quantity <strong>of</strong> raw jute available.<br />
● The quantity <strong>of</strong> jute material<br />
available.<br />
●<br />
●<br />
●<br />
The protection <strong>of</strong> interests <strong>of</strong> persons<br />
engaged in the jute Industry and in<br />
the production <strong>of</strong> raw jute.<br />
The need for continued maintenance<br />
<strong>of</strong> jute <strong>industry</strong>.<br />
Such other matters as the Standing<br />
Advisory Committee may think fit.<br />
The Central Government may after<br />
considering the recommendations <strong>of</strong><br />
the SAC, from time to time, issue orders<br />
under section 3(1) <strong>of</strong> the JPM Act for<br />
the compulsory use <strong>of</strong> jute packaging<br />
material for certain commodity or class <strong>of</strong><br />
commodities or percentages there<strong>of</strong>, if it<br />
is satisfied that it is necessary to do so in<br />
the interest <strong>of</strong> production <strong>of</strong> raw jute and<br />
jute packaging material.<br />
67
ministry <strong>of</strong> <strong>textiles</strong><br />
The level <strong>of</strong> reservation recommended by<br />
the Central Government in the past few<br />
years have been given at table 6.2.<br />
In the last Standing Advisory Committee<br />
(19 th ) meeting held on 13.06.2011, the<br />
representative <strong>of</strong> the Indian Sugar Mills<br />
Association requested that like cement and<br />
fertilizer, sugar should also be removed<br />
from JPM Act with immediate effect. The<br />
representative <strong>of</strong> the National Cooperative<br />
Sugar Factories Association and All India Flat<br />
Tape Association had endorsed the views <strong>of</strong><br />
ISMA. While summarizing the discussions,<br />
it was emphasized that the socio-economic<br />
factors have to be taken into account while<br />
arriving at the decision for reservation norms<br />
for 2011-12. After detailed deliberations on<br />
the issue, the Standing Advisory Committee<br />
agreed to recommend to the Government<br />
that 90% <strong>of</strong> both foodgrains and sugar be<br />
compulsorily packed in jute bags. However,<br />
CCEA has approved 100% <strong>of</strong> both foodgrains<br />
and sugar be compulsorily packed in jute<br />
bags. The statutory order in this regard has<br />
been issued.<br />
PRODUCTION OF JUTE GOODS<br />
During 2010-11 (April-March), the total<br />
production <strong>of</strong> jute goods was around<br />
1565.7 thousand MT compared to 1323.3<br />
thousand MT in the corresponding period<br />
<strong>of</strong> 2009-10 registering an increase <strong>of</strong><br />
18.3%. Production <strong>of</strong> jute goods in the<br />
current financial year upto October, 2011<br />
is at 895.2 thousand MT as against 930.0<br />
thousand MT during the corresponding<br />
period <strong>of</strong> last financial year.<br />
Trends in the production <strong>of</strong> jute goods from<br />
the year 2003-04 are given at table 6.3.<br />
Table 6.2<br />
Mandatory Jute Packaging Orders issued under JPM Act, 1987<br />
Order Date Year Sugar Foodgrains<br />
24.07.2006 2006-07 100% 100%<br />
09.08.2007 2007-08 100% 100%<br />
01.09.2008 2008-09 100% 100%<br />
22.09.2009 2009-10 100% 100%<br />
27.08.2010 2010-11 100% 100%<br />
Table 6.3<br />
(April-March) Hessian Sacking CBC Others Total<br />
2003-04 305.2 979.3 4.7 84.4 1571.3<br />
2004-05 310.3 992.0 4.1 94.0 1613.1<br />
2005-06 320.0 1007.4 6.2 134.2 1582.1<br />
2006-07 240.3 874.7 2.9 120.2 1356.3<br />
2007-08 350.3 1143.0 6.0 276.7 1776.0<br />
2008-09 297.8 1071.4 4.1 260.4 1633.7<br />
2009-10 206.5 921.6 3.6 191.6 1323.3<br />
2010-11 244.4 1076. 9 4.7 239.7 1565.7<br />
2011-12<br />
134.8 661.9 2.1 96.3 895.2<br />
(April-Oct.)<br />
2010-11<br />
(April-Oct)<br />
153.9 619.3 2.9 153.9 930.0<br />
68
annual report 2011-12<br />
The Projections for production during<br />
2011-12 is given at table 6.4.<br />
Items<br />
Table 6.4:<br />
Qty. in ‘000’ MT<br />
Hessian 231.1<br />
Sacking 1134.8<br />
CBC 3.6<br />
Others 165.1<br />
Total 1534.6<br />
DOMESTIC OFF-TAKE OF JUTE<br />
GOODS<br />
During 2010-11 (April-March), the total<br />
domestic consumption <strong>of</strong> jute goods was<br />
1315.5 thousand MT as against 1205.2<br />
thousand MT in the corresponding period<br />
<strong>of</strong> 2009-10, recording an increase <strong>of</strong><br />
12.15.% During the current financial<br />
year 2011-12 (April-October), domestic<br />
consumption <strong>of</strong> total jute goods is 776.8<br />
thousand MT as against 781.0 thousand MT<br />
in the corresponding period <strong>of</strong> the last year.<br />
Volume <strong>of</strong> B. Twill bags purchased by<br />
different food grain procuring agencies<br />
during financial year 2010-11 was<br />
20,57,000 bales (683,952 MT) as against<br />
16,73,000 bales (556,272 MT) in 2009-10.<br />
In the current financial year 2011-12 (upto<br />
December), a total quantity <strong>of</strong> 15,44,000<br />
bales (513,380 MT) has been purchased<br />
as against 14,88,000 bales (494,760 MT)<br />
during the corresponding period <strong>of</strong> last<br />
financial year.<br />
Trends in domestic consumption <strong>of</strong> jute<br />
goods from 2003-04 are given at table 6.5.<br />
Table 6.5<br />
QTY. IN ‘000’ MT<br />
(April-March) Hessian Sacking CBC Others Total<br />
2003-04 253.3 910.0 0.3 179.3 1342.9<br />
2004-05 249.5 996.2 1.1 178.4 1424.1<br />
2005-06 237.6 974.2 0.7 165.3 1377.8<br />
2006-07 209.1 854.4 0.5 152.2 1216.2<br />
2007-08 271.4 1101.9 1.4 168.6 1543.3<br />
2008-09 249.8 1013.0 0.9 173.4 1436.2<br />
2009-10 182.4 879.6 1.0 142.2 1205.2<br />
2010-11 182.3 1034.4 0.9 133.9 1351.5<br />
2011-12(April-Oct) 101.5 607.6 0.7 67.6 776.8<br />
2010-11(April-Oct) 110.5 590.5 0.4 79.6 781.0<br />
The Projections <strong>of</strong> domestic consumption<br />
during 2011-12 are given at table 6.6.<br />
Items<br />
Table 6.6<br />
Qty: In’000’MT<br />
Hessian 174.0<br />
Sacking 1041.6<br />
CBC 1.2<br />
Others 115.9<br />
Total 1232.7<br />
EXPORT PERFORMANCE<br />
During 2010-11 (April-March) exports <strong>of</strong><br />
total jute goods were recorded at 199.3<br />
thousand MT valued at Rs. 1363.29 crore<br />
as against 110.5 thousand MT valued at<br />
859.49 crore in the corresponding period <strong>of</strong><br />
financial year 2009-10. Export <strong>of</strong> jute goods<br />
during 2010-11 has increased by 80.4%<br />
in terms <strong>of</strong> quantity and 58.6% in terms <strong>of</strong><br />
value. During the current financial year (upto<br />
69
ministry <strong>of</strong> <strong>textiles</strong><br />
August), total export <strong>of</strong> jute goods stands<br />
at 76.1 thousand MT valued at Rs. 575.53<br />
crore as against 99.4 thousand MT valued<br />
at Rs. 644.54 crore in the corresponding<br />
period <strong>of</strong> last financial year.<br />
EXPORT PERFORMANCE OF JUTE<br />
GOODS<br />
Trends in exports <strong>of</strong> jute goods from 2006-<br />
07 to 2011-12 (up to August) are given at<br />
table 6.7.<br />
(A)<br />
Table 6.7<br />
Quantity in ‘000 M.Ton<br />
Value: Rs. in Crores<br />
(Apr-Mar) 2006-07 2007-08 2008-09 2009-10 2010-11<br />
ITEM Qnty Value Qnty Value Qnty Value Qnty Value Qnty Value<br />
Hessian 122.2 376.12 67.8 299.83 53.0 419.53 31.3 318.45 53.9 264.98<br />
Sacking 31.6 103.25 30.0 91.38 53.2 209.54 26.5 111.04 40.6 170.10<br />
CBC 0.1 0.65 - - - - - - - -<br />
Yarn 78.3 273.15 92.1 285.18 82.9 216.92 44.4 144.20 94.4 503.34<br />
JDP - 256.48 - 402.55 294.53 230.83 356.37<br />
Others 10.6 45.51 14.4 64.63 10.7 75.64 8.3 54.97 10.4 68.50<br />
Total 242.8 1055.16 204.3 1143.57 199.8 1216.16 110.5 859.49 199.3 1363.29<br />
% change<br />
over last year -15% -11% -16% 8% -2.2% 6.3% -44.6% -29.3% 80.4% 58.6%<br />
(B)<br />
ITEM<br />
APRIL-AUGUST AUGUST<br />
Qty. (in’000’MT) Value (Rs. In Crores) Qty. (in’000’MT)<br />
2010 2011<br />
%<br />
Change<br />
over<br />
Last year<br />
2010 2011<br />
%<br />
Change<br />
over last<br />
year<br />
2010 2011<br />
%<br />
Change<br />
over last<br />
year<br />
Hessian 27.2 25.5 -6.2% 140.69 131.79 -6.32% 6.0 6.4 6.6%<br />
Sacking 16.5 32.1 94.5% 62.91 151.79 141.28% 4.7 7.1 51.1%<br />
Yarn 51.0 15.2 -70.2% 239.17 91.45 -61.76% 9.0 3.9 -56.6%<br />
JDPs - - - 173.18 177.46 2.4% - - -<br />
Others 4.7 3.3 -29.8% 28.59 23.04 19.4% 1.0 0.6 -4.0%<br />
TOTAL 99.4 76.1 -23.4% 644.54 575.53 -10.70% 20.7 18.0 -13.0%<br />
Source : JMDC<br />
The Projected export during 2011-12 is given at table 6.8.<br />
Table 6.8<br />
Items Qty (In: ‘000’ MT) Value (Rs. Crores)<br />
Hessian 61.2 316.3<br />
Sacking 77.0 364.3<br />
Yarn 36.5 219.5<br />
JDPs - 425.9<br />
Others 8.0 55.3<br />
TOTAL 182.7 1381.3<br />
70
annual report 2011-12<br />
The value <strong>of</strong> export <strong>of</strong> jute diversified products is given at table 6.9.<br />
Table 6.9<br />
Value <strong>of</strong> export <strong>of</strong> jute diversified products from India<br />
(Value Rs. Million)<br />
Products 2005-06 2006-07 2007-08 2008-09 2009-10<br />
Floor Coverings 2133.90 1675.70 1825.80 1242.40 1268.90<br />
Hand & Shopping Bags 880.03 703.10 1122.80 1656.90 981.32<br />
Wall Hangings 4.61 4.20 2.20 1.10 1.24<br />
Gift Articles 21.63 9.27 11.10 4.00 17.62<br />
Decorative Fabrics 22.91 21.90 16.80 17.20 21.47<br />
Others 62.84 150.63 6.80 23.30 17.73<br />
Total JDPs 3125.92 2564.80 2985.50 2945.50 2308.28<br />
Total jute goods exports 11862.40 10551.60 11435.70 12161.6 8594.64<br />
% share <strong>of</strong> JDP export total jute<br />
exports.<br />
26% 24% 26% 24% 27%<br />
Import <strong>of</strong> Raw jute and Jute<br />
goods<br />
During the year 2009-10 volume <strong>of</strong> import<br />
<strong>of</strong> jute goods stood at 112.8 thousand MT<br />
valued at Rs.453.2 crores as against 70.94<br />
thousand MT valued at Rs.202.99 crores<br />
in 2008-09. This implies an increase <strong>of</strong><br />
59.0% in terms <strong>of</strong> quantity and 123.2% in<br />
terms <strong>of</strong> value over 2008-09. Import <strong>of</strong> raw<br />
jute has also increased. Volume <strong>of</strong> import<br />
<strong>of</strong> raw jute during 2009-10 stood at 82.9<br />
thousand MT valued at Rs.197.4 crores<br />
as against 59.0 thousand M.T. valued<br />
at Rs.89.00 crores. Thus, import <strong>of</strong> raw<br />
jute both in terms <strong>of</strong> quantity and value<br />
have increased by 40.5% and 121.7%<br />
respectively. Import <strong>of</strong> jute goods during<br />
2011-12 (April/Aug) has also increased by<br />
63.4% to 48.7 thousand M.T. as against<br />
29.8 thousand M.T. in the corresponding<br />
period <strong>of</strong> last year. Import <strong>of</strong> raw jute has<br />
also increased substantially by 809.7%<br />
to 93.7 thousand M.T. as against 10.3<br />
thousand M.T. during the last year.<br />
Trends in the import <strong>of</strong> jute goods and raw<br />
jute is given at table 6.10.<br />
PRICE SITUATION OF RAW JUTE<br />
2009-10<br />
In the 2009-10 season, due to a very<br />
small carryover stock <strong>of</strong> around 8.0 lakh<br />
bales and moderate production <strong>of</strong> 90.0<br />
lakh bales, the ruling market prices <strong>of</strong> raw<br />
jute prevailed much higher than the MSP<br />
in all jute growing states right from the<br />
beginning. In the month <strong>of</strong> September,<br />
2009 the ruling prices came down from<br />
Rs.2801/- per quintal to Rs.2046/- per<br />
quintal due to arrival <strong>of</strong> the new crop.<br />
Thereafter, the prices showed an<br />
increasing trend due to the feeling that the<br />
actual crop would fall short <strong>of</strong> estimates<br />
and it reached Rs.3308/- per quintal at<br />
the end <strong>of</strong> July, 2010. There was a strike<br />
in jute mills in West Bengal from 14-12-<br />
2009 to 12-02-2010. Due to this strike, a<br />
total quantity <strong>of</strong> around 15.0 lakh bales<br />
have been consumed less. Despite the<br />
strike in jute mills, there was no sign <strong>of</strong><br />
decreasing trend in the price <strong>of</strong> raw jute<br />
as jute mills kept on purchasing raw jute<br />
in anticipation <strong>of</strong> further rise in price after<br />
the strike.<br />
71
(A)<br />
Table 6.10<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
Quantity in ‘000’ MT<br />
Value Rs. In Crores<br />
(Apr- Mar)> 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010<br />
ITEM Qnty Value Qnty Value Qnty Value Qnty Value Qnty Value<br />
Raw Jute 136.22 189.77 94.36 150.31 171.80 196.72 59.0 89.00 82.9 197.4<br />
Jute Products 77.02 172.56 60.93 171.63 57.68 138.09 70.94 202.99 112.8 453.2<br />
Total 213.24 362.33 155.29 321.94 229.48 334.81 129.98 291.99 195.7 650.6<br />
% change 80% 126% -27% -11% 47.8% 4.0% -43.3% -12.7% 50.6% 122.8%<br />
over last year<br />
(B)<br />
ITEM<br />
2010 2011<br />
APRIL-AUGUST AUGUST<br />
Qty. (in’000’MT) Value (Rs. In Crores) Qty. (in’000’MT)<br />
%<br />
Change<br />
over<br />
Last year<br />
2010 2011<br />
%<br />
Change<br />
over last<br />
year<br />
2010 2011<br />
%<br />
Change<br />
over last<br />
year<br />
Raw Jute 10.3 93.7 809.7% 28.5 253.4 789.1% 4.2 13.9 230.9%<br />
Jute Products<br />
29.8 48.7 63.4% 129.3 215.4 66.6% 8.9 9.1 2.2%<br />
TOTAL 40.1 147.4 267.6% 157.8 468.8 197.1% 13.1 23.0 75.6%<br />
2010-11<br />
The 2010-11 season started with a<br />
carryover <strong>of</strong> 12 lakh bales and a drought<br />
like situation occurred in a number <strong>of</strong><br />
jute growing districts in West Bengal and<br />
Bihar. There was a shortage <strong>of</strong> high grade<br />
jute due to a shortage <strong>of</strong> water available<br />
for retting. The season began with a price<br />
<strong>of</strong> Rs.3005/- per quintal and went upto<br />
Rs.3377/- per quintal in the month <strong>of</strong> Nov,<br />
2010. Thereafter, the prices came down<br />
marginally and reached Rs.2724/- per<br />
quintal at the end <strong>of</strong> jute season.<br />
2011-12<br />
The season started with a huge carryover<br />
stock <strong>of</strong> 18.0 lakh bales and the crop<br />
for the year was estimated at 110.0 lakh<br />
bales. The price <strong>of</strong> raw jute recorded at the<br />
beginning <strong>of</strong> the season was Rs.2475/-<br />
per quintal. As the crop started arriving in<br />
the market, the prices have gone down.<br />
At the end <strong>of</strong> November, 2011, the price<br />
ruled at Rs.2079/- per quintal.<br />
INCENTIVES TO THE JUTE<br />
SECTOR<br />
A) FIXATION OF SUPPORT PRICE AND<br />
THE PROCUREMENT OF RAW JUTE<br />
UNDER MSP:<br />
Purchases made under MSP and<br />
commercial operation during the last<br />
several years by the Jute Corporation <strong>of</strong><br />
India are given at table 6.11.<br />
The minimum support price is fixed by the<br />
Govt. on the basis <strong>of</strong> recommendations<br />
<strong>of</strong> the Commission for Agricultural Costs<br />
and Prices (CACP). As per CACP reports,<br />
while formulating the agricultural price<br />
72
annual report 2011-12<br />
Table 6.11<br />
FIXATION OF SUPPORT PRICE AND THE<br />
PROCUREMENT OF RAW JUTE UNDER MSP<br />
Procurement (Qty: In ‘000’ Bales)<br />
Year Support Comml. Total<br />
1999-00 18 89 107<br />
2000-01 464 0 464<br />
2001-02 246 0 246<br />
2002-03 1314 0 1314<br />
2003-04 1118 0 1118<br />
2004-05 352 0 352<br />
2005-06 0 141 141<br />
2006-07 136 348 484<br />
2007-08 756 0 756<br />
2008-09 103.7 0 103.7<br />
2009-10 0 0 0<br />
2010-11 0 34.4 34.4<br />
2011-12<br />
(Upto 29-<br />
11-11)<br />
44.5 0 44.5<br />
policy CACP takes into account various<br />
factors such as cost <strong>of</strong> production, over<br />
all demand/ supply situation, domestic<br />
level and international prices and effect <strong>of</strong><br />
minimum support price on general price<br />
level.<br />
CACP every year also conducts meetings<br />
<strong>of</strong> all stake holders to decide minimum<br />
support price. The MSP announced by<br />
Govt. <strong>of</strong> India from 2002-03 to 2011-12<br />
are given at table 6.12.<br />
B) Continuation <strong>of</strong> Jute Packaging<br />
Material (Compulsory Use in Packing<br />
Commodities) Act, 1987 keeping in<br />
view the interest <strong>of</strong> raw jute growers<br />
and workers involved in the jute<br />
<strong>industry</strong>.<br />
The level <strong>of</strong> reservation recommended<br />
by the Central Government from<br />
Year<br />
Table 6.12<br />
MSP <strong>of</strong> TD-5<br />
grade <strong>of</strong> raw jute<br />
Ex-Assam (Rs./<br />
Quintal)<br />
% age increase<br />
over<br />
previous<br />
year<br />
2002-03 850 4.9<br />
2003-04 860 1.2<br />
2004-05 890 3.5<br />
2005-06 910 2.2<br />
2006-07 1000 9.9<br />
2007-08 1055 5.5<br />
2008-09 1250 18.5<br />
2009-10 1375 10.0<br />
2010-11 1575 14.5<br />
2011-12 1675 6.3<br />
July 2006 to August 2010 is given at<br />
table 6.2.<br />
C) Duty Entitlement Pass Book (DEPB)<br />
benefits to Jute products (Table 6.13<br />
& 6.14)<br />
D) Technology Upgradation Fund<br />
Scheme (TUFS) :<br />
The scheme provides the focal point for<br />
modernization efforts through technology<br />
upgradation in the jute <strong>industry</strong>. The<br />
cumulative position <strong>of</strong> sanction and<br />
disbursement under TUF as on 30.6.2010<br />
is given at table 6.15.<br />
E) Jute Technology Mission<br />
The Jute Technology Mission [JTM]<br />
spanning a period <strong>of</strong> 5 years has been<br />
launched by the Government <strong>of</strong> India<br />
w.e.f. the financial year 2007-08. The<br />
Jute Technology Mission with a total<br />
outlay <strong>of</strong> Rs. 355.5 crores has four<br />
73
ministry <strong>of</strong> <strong>textiles</strong><br />
Sl.<br />
No.<br />
Table 6.13<br />
Product Group: Miscellaneous Products<br />
Product Code:90<br />
Description DEPB Rate(%) Value Cap<br />
24 Jute Soil Saver 5.0 --<br />
25 Jute Yarn/Jute Twine 4.0 --<br />
26 Hessian cloth<br />
Hessian Made-Up<br />
27 Sacking cloth<br />
Sacking Made-Up<br />
5.0<br />
5.0<br />
6.0<br />
6.0<br />
Table 6.14<br />
Product Group: Plastics<br />
Product Code: 63<br />
Sl. No. Description DEPB Rate (%) Value Cap<br />
Rs.40/ Kg<br />
Rs.55/Kg<br />
Rs.30/Kg<br />
Rs.40/Kg<br />
34. Hessian bags with LDPE/HDPE/PP<br />
Liner/Lamination and with/Without<br />
Zipper/Handle<br />
37. Jute Bags with LDPE/HDPE/PP<br />
Liner/Lamination and with/<br />
Without Zipper/Handle<br />
83. PVC fabricated bags (made from<br />
PVC leather cloth backed jute<br />
And polypropylene<br />
3.00 Rs.175/Kg<br />
3.00 Rs. 175/Kg<br />
5.00 --<br />
116. Poly Jute Bags 3.00 Rs.40/Kg<br />
589. Textile Machinery 7.0 Rs. 7.0 Lakh<br />
519. Sewing Machinery 4.0<br />
No. <strong>of</strong><br />
Applications<br />
Received<br />
Total<br />
cost <strong>of</strong><br />
projects<br />
Amount <strong>of</strong><br />
Loan<br />
Required<br />
Table 6.15<br />
Rs. In crore<br />
Sanctioned Disbursed<br />
No. <strong>of</strong><br />
Applications<br />
Amount<br />
No. <strong>of</strong><br />
Applications<br />
Amount<br />
56 542.20 410.85 56 405.84 56 395.48<br />
Mini Missions pertaining to agriculture<br />
research and seed development,<br />
agronomic practices, harvest and<br />
post harvest techniques, primary and<br />
secondary processing <strong>of</strong> raw jute,<br />
diversified product development and<br />
marketing and distribution.<br />
The Jute Technology Mission has been<br />
divided into four Mini Missions and the<br />
implementing agencies <strong>of</strong> each Mission<br />
are given at table 6.16.<br />
Details <strong>of</strong> activities <strong>of</strong> four Mini Missions<br />
are given below:<br />
Mini Mission-I<br />
In order to increase the yield <strong>of</strong> jute and<br />
mesta, some new breeding methods<br />
74
annual report 2011-12<br />
Table 6.16<br />
Rs. In lakhs<br />
and techniques have been adopted as<br />
under:<br />
i) Plant type breeding, ii) Heterosis<br />
breeding, iii) Resistance breeding & iv)<br />
Quality breeding.<br />
In addition to conventional breeding,<br />
mutation breeding, inter-specific crosses<br />
and biotechnological approaches will also<br />
been explored. The following activities<br />
have also been undertaken:-<br />
●<br />
Mission Implementing Agencies Fund Allotted<br />
Mini Mission-I <strong>Ministry</strong> <strong>of</strong> Agriculture (ICAR) 705.18<br />
Mini mission-II <strong>Ministry</strong> <strong>of</strong> Agriculture (DARE) 4990.04<br />
Mini Mission-III <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> (JCI) 6458.00<br />
Mini Mission-IV <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> (NJB) 23,402.00<br />
Total 35555.22<br />
Low cost Technology for development<br />
<strong>of</strong> suitable agronomic practices for<br />
maximizing income from jute vis-à-vis<br />
other crops in the cropping system as<br />
a whole.<br />
Bio-mass level- while developing the<br />
technology the biomass level <strong>of</strong> the crop<br />
should be kept in mind so as to ensure<br />
growth with stability <strong>of</strong> the micro-economy<br />
<strong>of</strong> the farmer. The total funds allotted for<br />
MM-I are Rs. 705.18 lakhs.<br />
Mini Mission-II<br />
In order to achieve the best <strong>of</strong> production<br />
and management <strong>of</strong> technologies for<br />
jute and allied fibres crop and their post<br />
harvest technology to accelerate the<br />
production and quality improvement <strong>of</strong><br />
the crops the following activities have<br />
been adopted:<br />
i) System approach,<br />
iv) Frontline Demonstration,<br />
v) On Farm Package Demonstration,<br />
vi) Industry-Agriculture Linkage,<br />
vii) Application <strong>of</strong> Bio-technology tools to<br />
improving retting efficiency,<br />
<strong>viii</strong>) Planning and implementation <strong>of</strong><br />
Development Programme,<br />
ix) Special Programme for finer fibre and<br />
x) Integrated Jute Cultivation.<br />
The total funds allotted for MM-II are Rs.<br />
4990.04 lakhs<br />
Mini Mission –III<br />
Upgradation <strong>of</strong> infrastructure for:<br />
i) Weighment facility,<br />
ii) Sale within Market facilities,<br />
iii) Auction/Sale Platforms, sheds,<br />
Assortment sheds, Baling Presses,<br />
Bale Godown etc. Construction <strong>of</strong> 20<br />
Market Yards @ Rs. 100 lakh each,<br />
40 DPCs at the cost <strong>of</strong> Rs. 110 lakh<br />
each and 50 Retting Tanks at the cost<br />
<strong>of</strong> Rs. 10 lakh each etc.<br />
Organizational infrastructure:<br />
i) Market linkages,<br />
ii) Market information system,<br />
iii) Bank Credit option to prevent distress<br />
sale.<br />
The total funds allotted for MM-III is<br />
Rs. 6,458.00 lakhs.<br />
ii)<br />
Adaptive Research <strong>of</strong> farm Trials,<br />
iii) Strengthening Research- Extension<br />
Linkage,<br />
Mini Mission-IV<br />
i) Modernization & Technological<br />
upgradation,<br />
75
ministry <strong>of</strong> <strong>textiles</strong><br />
ii) Improvement <strong>of</strong> productivity Quality<br />
management,<br />
iii) develop human resources for the jute<br />
<strong>industry</strong>,<br />
iv) Designing & developing <strong>of</strong> Jute<br />
Diversified Products (JDPs),<br />
v) Help NGOs for JDP development,<br />
vi) Commercialization <strong>of</strong> Technology for<br />
JDP and<br />
vii) Jute parks for Jute Diversified<br />
Products (JDP).<br />
The total funds allotted for MM-IV are Rs.<br />
23, 402.00 lakhs.<br />
The progress <strong>of</strong> the schemes is satisfactory<br />
at present. The physical progress <strong>of</strong> the<br />
schemes under Mini Mission – IV <strong>of</strong> JTM<br />
got slightly affected in the initial period as<br />
the start <strong>of</strong> the implementation processes<br />
was delayed due to some procedural /<br />
administrative reasons, viz, drafting <strong>of</strong><br />
the scheme parameters and “Operating<br />
Manuals”, interactions with the members<br />
<strong>of</strong> the <strong>industry</strong> and other jute interests, in<br />
eliciting their views / comments, acceptance<br />
<strong>of</strong> the scheme components, etc. and<br />
finally consideration and approval <strong>of</strong> the<br />
“Operating Manuals” by the <strong>Ministry</strong>. The<br />
implementation effectively commenced in<br />
2008-09 onwards, but the progress was<br />
again hindered by the prolonged strike<br />
in the jute <strong>industry</strong> in 2009-10. Further,<br />
most <strong>of</strong> the Schemes under Mini Mission<br />
IV were back-ended – which indicates<br />
that the maximum utilization <strong>of</strong> fund and<br />
the achievements can be recorded and<br />
would be visible by the end <strong>of</strong> the Mission<br />
period.<br />
The Standing Committee on Labour<br />
[15th Lok Sabha] on the “Development<br />
<strong>of</strong> Jute Sector”, in appreciating the initial<br />
constraints encountered in implementation<br />
<strong>of</strong> JTM and considering the significance<br />
<strong>of</strong> the Mission for the revival <strong>of</strong> Jute<br />
Sector, recommended that JTM be further<br />
extended to the 12 th Five Year Plan and<br />
instead <strong>of</strong> setting cumulative targets for five<br />
years, yearly targets be fixed under each<br />
scheme for their effective implementation.<br />
The continuation <strong>of</strong> JTM for a further period<br />
<strong>of</strong> 2 (two) years is presently under active<br />
consideration <strong>of</strong> the Government.<br />
Till 30 th September, 2011, the<br />
achievements under Mini Mission IV,<br />
both physical and financial, were more<br />
than 50%. However, to summarise, NJB<br />
has utilized Rs.141.46 crore or 60.45%<br />
<strong>of</strong> the total Mission period outlay <strong>of</strong><br />
Rs.234.02 crore.<br />
SCHEMES UNDER MINI MISSION<br />
IV OF JTM BEING IMPLEMENTED<br />
BY THE NATIONAL JUTE BOARD<br />
[NJB] (Table 6.17)<br />
Sl.<br />
No.<br />
Table 6.17<br />
NAME OF THE SCHEMES<br />
6. SCHEMES FOR MODERNISATION OF<br />
ORGANISED JUTE MILLS<br />
1 Training <strong>of</strong> Workers & Supervisors<br />
2 Machinery Development<br />
3 Productivity Improvement & TQM<br />
Facilitation<br />
4 Acquisition <strong>of</strong> Machinery and Plant (subsidy<br />
component @ 20%)<br />
7. SCHEMES FOR PROMOTION OF JUTE<br />
DIVERSIFICATION<br />
1 Design and Development <strong>of</strong> JDP<br />
2 For helping the NGOs and Women Self<br />
Help Groups (WSHGs) for developing jute<br />
diversified products<br />
3 Scheme for Promotion <strong>of</strong> Jute Diversification<br />
4 Scheme for Commercialisation <strong>of</strong><br />
Technology<br />
5 Scheme for setting up Jute Parks for the<br />
Diversified sector<br />
76
annual report 2011-12<br />
STATUS OF IMPLEMENTATION OF<br />
SCHEMES UNDER MM-IV OF THE<br />
JUTE TECHNOLOGY MISSION AS<br />
ON 30 TH SEPTEMBER, 2011<br />
PHYSICAL<br />
Scheme 6.1 : Sustainable Human<br />
Resource Development in Jute Mill<br />
Sector<br />
● Training has been imparted to<br />
18,071 Master trainers, Supervisors,<br />
Maintenance Workers and other<br />
Workers in 39 jute mills.<br />
●<br />
●<br />
The Master Trainers and Supervisors<br />
have already trained a further 7620<br />
workers in 16 mills.<br />
Institute <strong>of</strong> Jute Technology has<br />
developed 21 audio-visual modules<br />
on different process <strong>of</strong> production as<br />
training aid for sustainable training in<br />
the jute mills.<br />
Scheme No. 6.2 : Development <strong>of</strong> Jute<br />
Mill Machinery<br />
●<br />
●<br />
●<br />
●<br />
Scheme No. 6.2 <strong>of</strong> JTM takes<br />
care <strong>of</strong> Machinery Development in<br />
the jute <strong>industry</strong> and the status <strong>of</strong><br />
implementation is as follows :<br />
Out <strong>of</strong> five, four processing machines<br />
namely Composite Card, Drawing,<br />
Spinning & Weaving are under<br />
development in CJMD.<br />
Concept testing is carried out for<br />
carding machine.<br />
Prototype development <strong>of</strong> 5 modern<br />
technology machines have been<br />
undertaken under “Centre for Jute<br />
Machinery Development (CJMD)<br />
and initial design and development <strong>of</strong><br />
“Chain-gill Finisher Drawing Frame”<br />
is under process.<br />
●<br />
2 machines, viz. Rotating Spindle<br />
Spg. Frames [Type II (8.5 – 14 lbs]<br />
and S4 Type Loom [Weaving] –<br />
Shuttle-less developed under the<br />
Scheme are under the process <strong>of</strong><br />
commercialization.<br />
● The proposal for development<br />
<strong>of</strong> Electronic & Microprocessor<br />
Based Integrated instruments<br />
for “Development <strong>of</strong> Integrated<br />
Equipments for Jute Grading System”<br />
under ISMDCP was assigned to<br />
National Institute <strong>of</strong> Research on<br />
Jute and Allied Fibre Technology<br />
(NIRJAFT), Kolkata.<br />
Scheme No. 6.3 : Productivity<br />
Improvement & TQM Facilitation<br />
The scheme to improve productivity and<br />
to establish Total Quality Management<br />
(TQM) facilities in the jute <strong>industry</strong> has<br />
been provided under Mini Mission – IV <strong>of</strong><br />
the JTM with NJB as facilitating agency<br />
<strong>of</strong> the scheme. The identified areas <strong>of</strong><br />
operation <strong>of</strong> Productivity Improvement &<br />
TQM Facilitation are<br />
●<br />
●<br />
●<br />
●<br />
●<br />
Total Quality Management,<br />
Energy Management<br />
Waste Management<br />
Maintenance Management<br />
Work Study & Ergonomics.<br />
To facilitate these studies, NJB has<br />
engaged 4 National level reputed<br />
Agencies / Institutions to conduct the<br />
studies under the scheme and implement<br />
recommendations in selected 6 jute mills.<br />
After completion <strong>of</strong> diagnostic studies,<br />
corrective implementation plans have<br />
been finalized in consultation with the<br />
respective jute mills. Implementation <strong>of</strong><br />
the corrective measures has started in<br />
the 5 Jute Mills.<br />
77
ministry <strong>of</strong> <strong>textiles</strong><br />
TQM studies were completed in 6 jute<br />
mills [5 in West Bengal and 1 in Andhra<br />
Pradesh] and in 6 Jute Diversified Product<br />
units in Kerala. Recommendations are<br />
under implementation.<br />
Scheme No. 6.4 :Modernisation &<br />
Upgradation <strong>of</strong> Technology in Jute Mills-<br />
Capital Subsidy<br />
●<br />
The upper limit <strong>of</strong> the subsidy has<br />
been raised to Rs. 350 lakhs per mill<br />
for the existing units and Rs.400 lakhs<br />
for mills at North Eastern States and<br />
for setting up new units.<br />
● Since inception (1st March, 2007),<br />
208 claims were settled and subsidy<br />
<strong>of</strong> Rs.54.88 crores (out <strong>of</strong> approved<br />
fund <strong>of</strong> Rs.80 Crores) has been<br />
released against investment for<br />
modernization <strong>of</strong> Rs.274.42 crores<br />
all over India.<br />
●<br />
●<br />
●<br />
77.57% <strong>of</strong> the investments have<br />
been for Mill-side machinery meant<br />
for preparatory to spinning and<br />
winding processes. 14.24% <strong>of</strong> the<br />
investments have been for weaving to<br />
finishing processes <strong>of</strong> manufacturing.<br />
Remaining 8.19% was for Material<br />
handling and other miscellaneous<br />
machinery.<br />
84 units have so far availed the<br />
benefits under the scheme, which<br />
included 61 composite jute mills, 18<br />
yarn & twine mills, 2 diversified jute<br />
product units, 2 weaving unit and one<br />
under Jute Park Scheme [Scheme<br />
7.5].<br />
State-wise – West Bengal 61 units,<br />
Andhra Pradesh 9 units, Bihar 2<br />
units, Haryana 2 units, Kerala 1 unit,<br />
Orissa 2, NER (Assam) 6 units and<br />
Chattisgarh 1 unit availed <strong>of</strong> the<br />
benefits.<br />
Scheme No. 7.1 : Design and<br />
Development <strong>of</strong> Jute Diversified<br />
Products [JDPs]<br />
Scheme No.7.1 <strong>of</strong> JTM takes care <strong>of</strong><br />
Design and Development <strong>of</strong> JDPs.<br />
Total 21 market driven R&D Studies<br />
on different aspects, associated with<br />
the Design and Development <strong>of</strong> JDPs,<br />
have been awarded to the following<br />
institutions:<br />
● Indian Institute <strong>of</strong> Technology,<br />
Kharagpur – 7 studies.<br />
● South India Textile Research<br />
Association, Coimbatore – 2 studies.<br />
●<br />
●<br />
●<br />
National Institute <strong>of</strong> Research on Jute<br />
and Allied Fibre Technology, Kolkata<br />
– 1 study.<br />
Indian Jute Industries Research<br />
Association, Kolkata – 6 studies.<br />
Institute <strong>of</strong> Jute Technology, Kolkata<br />
– 4 studies.<br />
● Northern India Textile Research<br />
Association – 1 study.<br />
● The studies range between 36-<br />
60 months each. NJB monitors<br />
the progress and marketability <strong>of</strong><br />
the products and process under<br />
development by organizing seminars<br />
/ workshops / meetings regularly with<br />
the stakeholders.<br />
●<br />
In addition, NJB engaged 11 agencies<br />
(designers, institutes, entrepreneurs)<br />
for undertaking need based design<br />
development projects <strong>of</strong> jute<br />
diversified products.<br />
Scheme No. 7.2 : Helping NGOs &<br />
Women Self Help Groups [WSHGs] for<br />
developing JDPs<br />
Scheme No. 7.2 <strong>of</strong> JTM takes care <strong>of</strong><br />
the need for helping Women Self Help<br />
Groups [WSHGs], NGOs & other weaker<br />
78
annual report 2011-12<br />
sections <strong>of</strong> the society for developing Jute<br />
Diversified Products (JDPs). The status<br />
<strong>of</strong> implementation <strong>of</strong> the scheme since<br />
inception is as follows :<br />
●<br />
●<br />
●<br />
●<br />
46 NGOs have been identified.<br />
258 Clusters developed.<br />
13950 artisans <strong>of</strong> 872 WSHGs spread<br />
in 88 districts <strong>of</strong> 18 States had been<br />
imparted training on production <strong>of</strong><br />
JDPs.<br />
531 Nos. machines were distributed<br />
to 260 WSHGs<br />
Scheme No. 7.3 : Scheme for Promotion<br />
<strong>of</strong> Jute Diversification<br />
Scheme No. 7.3 <strong>of</strong> JTM takes care <strong>of</strong><br />
the need for providing institutional /<br />
infrastructural support to the budding<br />
entrepreneurs comprising WSHGs,<br />
NGOs and other weaker sections <strong>of</strong> the<br />
society for developing JDPs. The status<br />
<strong>of</strong> implementation <strong>of</strong> the scheme since<br />
inception is as follows :<br />
●<br />
●<br />
●<br />
●<br />
●<br />
36 Jute Service Centres have been<br />
established<br />
30 Jute Raw Material Banks have<br />
been established<br />
1373 training programmes were<br />
organized by Jute Service Centres<br />
benefiting 26459 artisans.<br />
301 JDP, WSHG units were set up.<br />
138 machines were distributed to the<br />
units developed by the Jute Service<br />
Centres.<br />
Scheme No. 7.5 : Setting up <strong>of</strong> Jute Parks<br />
for the Diversified Sector<br />
●<br />
●<br />
9 Jute Park proposals (6 in West<br />
Bengal, 1 in Bihar & 2 in NER) have<br />
been principally approved.<br />
Setting up <strong>of</strong> 6 Jute Parks have<br />
commenced (4 in West Bengal, 1 in<br />
Bihar & 1 in NER).<br />
STATUS OF IMPLEMENTATION OF SCHEMES UNDER MM-IV<br />
OF THE JUTE TECHNOLOGY MISSION AS ON 30 TH SEPTEMBER, 2011<br />
FINANCIAL:<br />
Sl.<br />
No.<br />
SCHEMES<br />
MISSION<br />
TARGET<br />
PERFORMANCE TILL 30.09.2011<br />
Approved<br />
Fund<br />
for Total<br />
Mission<br />
Period<br />
2007-<br />
08<br />
2008-<br />
09<br />
2009-<br />
10<br />
2010-<br />
11<br />
2011-12<br />
(upto<br />
30.09.11)<br />
Cumulative<br />
TOTAL<br />
(30.9.11)<br />
1 2 3 4 5 6 7 8 9=(4+5+6+7+8)<br />
6 SCHEMES FOR MODERNISATION OF ORGANISED JUTE MILLS<br />
6.1 Training <strong>of</strong> Workers<br />
& Supervisors<br />
6.2 Machinery<br />
Development<br />
6.3 Productivity<br />
Improvement &<br />
TQM Facilitation<br />
4.50 2.00 0.77 0.50 1.00 0.23 4.50<br />
28.00 0.08 5.75 7.62 5.38 1.39 20.22<br />
6.00 0.04 0.12 1.00 2.95 0.09 4.20<br />
79
ministry <strong>of</strong> <strong>textiles</strong><br />
Sl.<br />
No.<br />
SCHEMES<br />
MISSION<br />
TARGET<br />
Approved<br />
Fund<br />
for Total<br />
Mission<br />
Period<br />
2007-<br />
08<br />
2008-<br />
09<br />
PERFORMANCE TILL 30.09.2011<br />
2009-<br />
10<br />
2010-<br />
11<br />
2011-12<br />
(upto<br />
30.09.11)<br />
Cumulative<br />
TOTAL<br />
(30.9.11)<br />
1 2 3 4 5 6 7 8 9=(4+5+6+7+8)<br />
6.4 Acquisition <strong>of</strong><br />
Machinery and<br />
Plant (subsidy)<br />
80.00 5.86 7.46 11.24 21.75 7.91 54.22<br />
TOTAL (6) 118.50 7.98 14.10 20.36 31.08 9.62 83.14<br />
7 SCHEMES FOR PROMOTION OF JUTE DIVERSIFICATION<br />
7.1 Design and<br />
Development <strong>of</strong><br />
JDP<br />
7.2 For helping the<br />
NGOs and Women<br />
Self Help Groups<br />
(WSHGs) for<br />
developing JDPs<br />
7.3 Scheme for<br />
Promotion <strong>of</strong> Jute<br />
Diversification:<br />
7.4 Scheme for<br />
Commercialisation<br />
<strong>of</strong> Technology<br />
7.5 Scheme for setting<br />
up Jute Parks for<br />
the Diversified<br />
sector<br />
14.00 2.20 2.56 1.52 1.98 1.30 9.56<br />
17.00 0.38 1.52 1.79 3.15 1.79 8.63<br />
23.52 1.97 5.21 4.91 4.79 1.82 18.70<br />
1.00 0.00 0.00 0.00 0.00 0.00 0.00<br />
60.00 0.06 0.83 1.50 13.31 0.12 15.82<br />
TOTAL (7) 115.52 4.61 10.12 9.72 23.23 5.03 52.71<br />
Total Mini Mission-<br />
IV (Schemes)<br />
Administrative/<br />
Monitoring<br />
Expenses<br />
234.02 12.59 24.22 30.08 54.31 14.65 135.85<br />
0.35 0.97 1.58 2.03 0.68 5.61<br />
Total Mini<br />
Mission-IV<br />
234.02 12.94 25.19 31.66 56.34 15.33 141.46<br />
80
annual report 2011-12<br />
Each <strong>of</strong> the schemes under Mini Mission<br />
IV <strong>of</strong> JTM (as implemented by the National<br />
Jute Board) is evaluated and monitored<br />
continuously through three-tier system–<br />
(i) Evaluation and Monitoring Committee<br />
<strong>of</strong> each <strong>of</strong> the sub-scheme, which<br />
meets at periodical intervals. (ii) Project<br />
Management Committee chaired by the<br />
Jute Commissioner, Govt. <strong>of</strong> India - which<br />
monitors progress <strong>of</strong> implementation <strong>of</strong><br />
different schemes under Mini Mission<br />
IV <strong>of</strong> the Jute Technology Mission and<br />
(iii) Empowered Committee (the Apex<br />
Monitoring Body <strong>of</strong> JTM) chaired by the<br />
Secretary, <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>, Govt. <strong>of</strong><br />
India and Chairperson, National Jute<br />
Board – which considers the status<br />
<strong>of</strong> implementation <strong>of</strong> the entire Jute<br />
Technology Mission and approves the<br />
courses <strong>of</strong> action recommended by the<br />
Project Management Committee.<br />
The 3-tier monitoring mechanism in place<br />
as above exercises constant and strict<br />
vigil and surveillance over implementation<br />
<strong>of</strong> different schemes under Mini Mission<br />
IV <strong>of</strong> JTM.<br />
In addition, at the instance <strong>of</strong> the<br />
Government, National Jute Board engaged<br />
M/s ICRA Management Consulting<br />
Services to conduct a Study on Mid-Term<br />
Evaluation <strong>of</strong> Schemes under Mini Mission<br />
IV <strong>of</strong> the Jute Technology Mission.<br />
The mid term evaluation considered the<br />
project’s continued relevance, efficiency<br />
levels, and effectiveness. In addition, the<br />
evaluation provided recommendations<br />
to improve the execution and thus the<br />
likelihood <strong>of</strong> achieving its development<br />
objectives.<br />
In evaluating the overall status <strong>of</strong><br />
implementation <strong>of</strong> the Schemes, the<br />
agency recommended as follows:-<br />
“Most <strong>of</strong> the Schemes in the Mission have<br />
just started yielding results and benefits<br />
for the jute mills and for the jute diversified<br />
sector. In some cases, the results are<br />
already visible, while in others, results<br />
will become visible on the completion <strong>of</strong><br />
the Schemes. As per our discussions with<br />
different stakeholders in the Scheme,<br />
we recommend that the Schemes be<br />
continued for another term to benefit a<br />
wider section <strong>of</strong> the <strong>industry</strong>.”<br />
STATUS OF IMPLEMENTATION OF<br />
SCHEMES UNDER THE NON-PLAN<br />
FUNDING<br />
i) Subsidy Scheme for Distribution <strong>of</strong><br />
Certified Seeds<br />
With intensive interaction had with the<br />
farmers in the matter <strong>of</strong> distribution <strong>of</strong><br />
certified seeds – during 2009-10, total<br />
4375.80 quintals <strong>of</strong> certified seeds were<br />
distributed at a subsidy <strong>of</strong> Rs.40/- per<br />
KG under the scheme. During the year<br />
2010-11, the target was fixed at 13,600<br />
quintals against similar subsidy. Out <strong>of</strong><br />
the target for distribution fixed, till date<br />
6,600 quintals <strong>of</strong> certified seeds were<br />
distributed at a subsidy <strong>of</strong> Rs.40/- per KG<br />
under the scheme. The network <strong>of</strong> the<br />
Jute Corporation <strong>of</strong> India is being utilized<br />
for implementation <strong>of</strong> the scheme.<br />
ii) Scheme for Jute Farmers’<br />
Information and Testing Centres<br />
Identification and setting up <strong>of</strong> 50 Farmers’<br />
Information Centres, imparting training to<br />
80 groups <strong>of</strong> 50 farmers each, organization<br />
<strong>of</strong> 2 Farmers’ School to encourage<br />
and educate the latest technological<br />
advancements in seed production and<br />
farming practices have been planned in<br />
2010-11 under non-plan for promoting<br />
raw jute supply stability.<br />
iii) Scheme for Support Supply Chain<br />
and Bulk Supply <strong>of</strong> JDPs<br />
Financial assistance is extended to jute<br />
entrepreneurs to ensure supply chain<br />
81
ministry <strong>of</strong> <strong>textiles</strong><br />
and bulk supply <strong>of</strong> JDPs for selective<br />
and mass consumptions. This assistance<br />
is aimed at meeting increasing demand<br />
for jute shopping bags and other JDP’s<br />
arising mainly due to restrictions on the<br />
use <strong>of</strong> plastic, and thereby supporting<br />
the cause <strong>of</strong> health <strong>of</strong> environment.<br />
Till date, 53 applications for opening <strong>of</strong><br />
retail outlets have been received from 31<br />
jute entrepreneurs. NJB has accorded<br />
approval to opening <strong>of</strong> 10 retail outlets at<br />
Bangalore, Chennai, Agra, Bhubaneshwar<br />
and Kolkata.<br />
iv) Fast Track Schemes for Export<br />
Market Development <strong>of</strong> JDPs.<br />
Marketing assistance is extended to the<br />
exporters for participation in different<br />
promotional events <strong>of</strong> the National Jute<br />
Board under Fast Track Export Market<br />
Development scheme. During 2010-11,<br />
NJB received 180 EMDA applications<br />
from 58 exporters, settled 99 applications<br />
and released Rs.140.64 lakhs to 44<br />
exporters for their participation in 42<br />
events. During 2011-12, NJB has received<br />
100 applications from 64 exporters for<br />
participation in 36 events and disbursed<br />
(till 30 th September, 2011) Rs.42.85 lakh<br />
to 28 exporters against 35 applications for<br />
participation in 10 events.<br />
v) Schemes for Workers’ Welfare in<br />
Jute Sector.<br />
National Jute Board [NJB] provides<br />
assistance for the welfare <strong>of</strong> workers in<br />
jute-producing units both in jute mills and<br />
in small units producing JDPs. NJB utilise<br />
non-Plan funds to improve :-<br />
(a) the sanitation, health facilities and<br />
working conditions in the mill sector<br />
and<br />
(b) provide incentives to the small and<br />
medium JDP units for compliance<br />
with prescribed working conditions.<br />
This Workers’ Welfare Scheme therefore<br />
has 2 broad sub-schemes, one for the<br />
mills and one for the small sector. In<br />
both cases, proposals from mills or JDP<br />
units are prepared by the management<br />
in consultation with the accredited<br />
unions.<br />
Component I – Mill Sector<br />
Sanitation facilities<br />
This is a scheme to provide hygienic<br />
sanitary facilities for mill workers and<br />
their families, first in the mill quarters<br />
and in the second stage in the working<br />
areas. Sanitary facilities include designed<br />
sanitary blocks with toilet facilities for<br />
men and women, wash basins, sewage,<br />
etc. In order to speed up the process <strong>of</strong><br />
construction contracts are allotted to thirdparty<br />
tie-up with M/s Sulabh International<br />
or such other reputed organizations<br />
especially those agencies which may have<br />
a government dispensation exempting<br />
them from participation in tender. The<br />
concerned mill first incurs the expenditure<br />
and National Jute Board thereafter<br />
reimburse 90% <strong>of</strong> the costs subject to a<br />
maximum reimbursement <strong>of</strong> ` 20.00 lakh,<br />
subject to submission <strong>of</strong> claim along with<br />
accounts and vouchers and physical<br />
verification <strong>of</strong> the facility.<br />
Component II – JDP / small &<br />
medium sector<br />
Incentive for Social Audit<br />
All authentic international, multi-national<br />
and national big stores require, as per<br />
respective country-law, audit certificate<br />
before or for placing orders on the<br />
manufacturers <strong>of</strong> lifestyle jute products<br />
which are manufactured by the MSEs in<br />
the Informal Sector <strong>of</strong> Jute. Hence, export<br />
oriented MSEs in the Informal Sector <strong>of</strong><br />
jute shall conduct such Social Audits.<br />
82
annual report 2011-12<br />
Social audit is undertaken annually by the<br />
Firms like SGS, SEDEX, INTERTEK, STR<br />
LABs and the ISO certifying firms mainly<br />
under the following major heads:-<br />
1. Child Labour.<br />
2. Minimum Wages.<br />
3. Social Security – ESI/P.F./Gratuity.<br />
4. Working Hours.<br />
5. Occupational Safety & Health Care.<br />
6. Waste Disposal.<br />
7. Non-discrimination.<br />
8. Freedom <strong>of</strong> negotiation and formation<br />
<strong>of</strong> group or union.<br />
NJB provides 50% <strong>of</strong> the cost <strong>of</strong> annual<br />
compliance audit for each registered unit<br />
subject to a maximum <strong>of</strong> ` 1,00,000/- per<br />
unit per year.<br />
*****<br />
83
84<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER VII<br />
SERICULTURE & SILK<br />
INDUSTRY<br />
85
86<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER VII<br />
SERICULTURE & SILK INDUSTRY<br />
India continues to be the Second largest<br />
producer <strong>of</strong> silk in the World. Among<br />
the four varieties <strong>of</strong> silk produced, as<br />
in 2010-11, Mulberry accounts for 80.2%<br />
(16360 MT), Eri 13.5% (2760 MT), Tasar<br />
5.7% (1166 MT) and Muga 0.6% (124MT)<br />
<strong>of</strong> the total raw silk production in the<br />
country.<br />
Sericulture is an important labourintensive<br />
and agro-based cottage<br />
<strong>industry</strong>, providing gainful occupation to<br />
around 7.25 million persons in rural and<br />
semi-urban areas in India. Of these, a<br />
sizeable number <strong>of</strong> workers belong to the<br />
economically weaker sections <strong>of</strong> society.<br />
There is substantial involvement <strong>of</strong> women<br />
in this Industry.<br />
In the Fifth year <strong>of</strong> the XI Plan i.e.,<br />
2011-12, the provisional production<br />
data received up to April – December<br />
period, it is seen that the production <strong>of</strong><br />
mulberry raw silk increased by 11.8% (to<br />
13080 MT) compared to the production<br />
<strong>of</strong> 11696 MT in the same period <strong>of</strong> the<br />
previous year (2010-11). Vanya raw<br />
silk production was increased by 4.0%<br />
(2170 MT) during April – December<br />
period <strong>of</strong> the year 2011-12 as compared<br />
to the production <strong>of</strong> 2087 MT during the<br />
same period <strong>of</strong> the year 2010-11.<br />
Table 7.1<br />
Physical Targets and achievements during XI plan<br />
Physical Progress<br />
SL.<br />
No<br />
Particulars<br />
XI Plan<br />
Target<br />
(2007-12)<br />
2010-11 2011-12 2012-13<br />
Achieve<br />
ment<br />
Anticip ated Achiev<br />
ement<br />
Target<br />
(XII Plan)<br />
I. Mulberry Plantation<br />
2.18 1.70 1.97 2.05<br />
(Lakh ha.)<br />
II. Production <strong>of</strong> Raw Silk (in M.T)<br />
(a) Mulberry<br />
BV 5000 1400 1805 2100<br />
CB 18000 14960 16590 16635<br />
Sub Total 23000 16360 18395 18735<br />
(b) a) Tasar 420 1166 1782 1830<br />
b) Eri 2390 2760 2926 3160<br />
c) Muga 190 124 127 130<br />
Sub Total 3000 4050 4835 5120<br />
Grand Total (a+b) 26000 20410 23230 23855<br />
III. Cumulative Employment<br />
77.04 72.5 75.60 79.00<br />
(Lakh persons)<br />
IV. Exports (Crores `) 4500 2863.76 3630 4065<br />
87
ministry <strong>of</strong> <strong>textiles</strong><br />
III. THE SCHEMES/PROGRAMMES<br />
OF CENTRAL SILK BOARD<br />
The Plan programmes for development<br />
<strong>of</strong> Sericulture and Silk Industry in India,<br />
carried out through Central Silk Board,<br />
are broadly classified at table 7.2.<br />
Sl.No.<br />
Table 7.2<br />
Major Programmes <strong>of</strong> CSB<br />
1 R&D / Transfer <strong>of</strong> Technology / Training /<br />
IT Initiatives (CS)<br />
2 Seed Organisation and HRD (CS)<br />
3 Quality Certification Systems (CS)<br />
4 Catalytic Development Programme (CSS)<br />
CS: Central Sector Scheme CSS: Centrally<br />
Sponsored Scheme<br />
1. a). RESEARCH AND DEVELOPMENT<br />
The main Research & Training Institutes<br />
<strong>of</strong> the CSB provide R&D and Training<br />
support for the development <strong>of</strong> sericulture.<br />
The institutes at Mysore (Karnataka)<br />
Berhampore (West Bengal) and Pampore<br />
(J&K) deals with mulberry sericulture.<br />
One at Ranchi (Jharkhand) deals with<br />
Tasar culture. The institute established<br />
at Lahdoigarh, Jorhat (Assam) deals with<br />
Muga and Eri culture. Regional Sericulture<br />
Research Stations (RSRS/RTRS/RERS)<br />
for mulberry and non-mulberry has<br />
been functioning for adoptive Research,<br />
refining and dissemination <strong>of</strong> the research<br />
findings and <strong>of</strong> tackling the regional field<br />
issues <strong>of</strong> the <strong>industry</strong>. Besides, a network<br />
<strong>of</strong> Research Extension Centre (RECs)<br />
& its sub units for mulberry and non<br />
mulberry are also functioning to provide<br />
extension support to sericulturists. In<br />
order to provide R&D support in post<br />
cocoon sector, the Board has established<br />
a Central Silk Technological Research<br />
Institute (CSTRI) at Bangalore. In<br />
addition, the CSB has also set up a<br />
Silkworm Seed Technology Laboratory<br />
(SSTL) in Bangalore (Karnataka), a<br />
Central Sericultural Germplasm Resource<br />
Centre (CSGRC) at Hosur (Tamil Nadu)<br />
and a Seri-Biotech Research Laboratory<br />
(SBRL) at Bangalore.<br />
During 2011-12, 40 Research projects<br />
are continued. Further, 29 new research<br />
projects were initiated. Against a target<br />
<strong>of</strong> 30 Research Projects scheduled to be<br />
completed, 23 projects have already been<br />
concluded (up to November 2011) and<br />
remaining 7 projects will be concluded by<br />
March 2012.<br />
1 b). TRANSFER OF TECHNOLOGY<br />
In order to increase productivity and quality<br />
<strong>of</strong> silk, a chain <strong>of</strong> Research Extension<br />
Centres are engaged for transfer <strong>of</strong><br />
technologies from Research Institutes to<br />
the field.<br />
1. c). TRAINING<br />
The CSB organizes a number <strong>of</strong> training<br />
programmes at its Research and Training<br />
Institutes. The total number <strong>of</strong> persons<br />
trained under different courses during<br />
2011-12 (up to November, 2011) is<br />
detailed at table 7.3.<br />
1. d). IT INITIATIVE:<br />
Under the IT initiatives, in XI Plan, CSB<br />
concentrated on s<strong>of</strong>tware development<br />
by using contemporary technologies and<br />
networking <strong>of</strong> various cocoon and silk<br />
markets with free flow <strong>of</strong> information on<br />
the availability <strong>of</strong> the raw material, market<br />
trends, etc. on its websites. Information<br />
required for traders, buyers, and other<br />
stakeholders shall be hosted on the<br />
web and improves upon the interactive<br />
interface <strong>of</strong> website.In addition, facilities<br />
like on-line subscription to scientific<br />
e-journals (which will be available for<br />
access to entire CSB scientists), on-line<br />
submission <strong>of</strong> research progress reports,<br />
video conferencing among Research<br />
Institutes <strong>of</strong> CSB, etc. will be created.<br />
88
annual report 2011-12<br />
Sl.<br />
No.<br />
Particulars 2011-12<br />
(up to November<br />
2011)<br />
Table 7.3<br />
No. <strong>of</strong> persons<br />
anticipated to be<br />
trained by the end<br />
<strong>of</strong> 2011-12<br />
1 Structured Course 32 32 DOS/NGO<br />
Category<br />
2 Capsule Course 337 500 CSB/DOS / NGO<br />
3 Adhoc Training &<br />
Skill Development<br />
4 Entrepreneurship<br />
Development<br />
& Management<br />
Development<br />
Programmes<br />
587 4512 Students/ Staff/ Entrepreneurs<br />
/ Farmers<br />
311<br />
(10 programmes)<br />
821<br />
( 20 programmes)<br />
TOTAL 1267 5865<br />
a). Resource Development<br />
Programme<br />
b). Management Development<br />
Programme<br />
c). Technology Up-gradation<br />
Programme<br />
2. SEED ORGANISATION ( SILKWORM<br />
SEED PRODUCTION AND SUPPLY)<br />
Under National Silkworm Seed<br />
Organization (NSSO) a network <strong>of</strong> 19<br />
Basic Seed Farms (BSF) produce and<br />
supply the basic seed for production <strong>of</strong><br />
commercial silkworm seed in the seed<br />
production centres functioning under CSB<br />
and State Departments. 19 Silkworm<br />
Seed Production Centres (SSPCs) are<br />
functioning under NSSO in different States<br />
to support the <strong>industry</strong>. Similarly, on the<br />
tasar side, the CSB has established 21<br />
Basic Seed Multiplication & Training<br />
Centres (BSM&TC) and one Central Tasar<br />
Silkworm Seed Station (CTSSS) for supply<br />
<strong>of</strong> tropical tasar basic seed & 1 oak tasar<br />
grainage and 3 REC-Cum-BSM&TCs for<br />
supply <strong>of</strong> oak tasar basic seed. Under<br />
muga sector, 8 Basic Seed Farms and<br />
1 Silkworm Seed Production Centre are<br />
functioning. For production and supply <strong>of</strong><br />
eri seed, CSB has established 5 Silkworm<br />
Seed Production Centres.<br />
Emphasis was given towards production<br />
<strong>of</strong> quality dfls by adopting Quality<br />
Management System in seed production<br />
under ISO 9001:2008 certification in<br />
18 SSPCs. During 2011-12 four more<br />
SSPCs are to be covered under ISO<br />
certification.<br />
The details <strong>of</strong> progress achieved by the<br />
units during 2011-12 (up to Dec., 11) is<br />
given at table 7.4.<br />
3. IMPLEMENTATION OF CENTRALLY<br />
SPONSORED SCHEME (CSS)<br />
VIZ. CATALYTIC DEVELOPMENT<br />
PR0GRAMME (CDP) DURING XI PLAN<br />
CSB, being a Science and Technology<br />
(S&T) based Research and Development<br />
organization, the main thrust has been<br />
on Research based activities. The<br />
Board is covering areas like Research<br />
and Technology Development, Seed<br />
maintenance & production and<br />
Development <strong>of</strong> Sericulture & Silk<br />
Industry.<br />
During X Plan, Catalytic Development<br />
Programme (CDP) was implemented in<br />
collaboration with states with an aim to<br />
promote adoption <strong>of</strong> improved technology<br />
practices developed by the Research<br />
Institutes <strong>of</strong> CSB. The broad objectives <strong>of</strong><br />
the CDP are technology absorption, quality<br />
up-gradation, investment generation,<br />
productivity improvement and employment<br />
generation.<br />
89
Sl.<br />
No.<br />
Particulars<br />
Achievement<br />
during<br />
2010-11<br />
Table 7.4<br />
Target<br />
Achievement during 2011-12<br />
Achievement<br />
during<br />
April-<br />
Dec, 11<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
Anticipated<br />
January, to<br />
March, 2012<br />
(Dfls in lakh nos.)<br />
Anticipated<br />
(upto<br />
March, 2012)<br />
1 Mulberry<br />
a. Basic seed 9.87 9.93 8.20 1.73 9.93<br />
b.Commercial seed 293.42 315 213.71 101.29 315<br />
2. VANYA<br />
a. Basic seed<br />
i. Tasar 31.91 32.59 35.08 - 34.55<br />
ii. Oak Tasar 1.31 2.37 1.33 1.04 2.37<br />
iii. Muga 1.20 2.05 1.80 0.25 2.05<br />
iv. Eri - 0.37 -<br />
b.Commercial seed<br />
i. Muga 1.54 0.50 0.39 0.11 0.50<br />
ii. Eri 2.59 2.75 2.40 0.35 2.75<br />
The components under the Catalytic<br />
Development Programme envisage<br />
development and expansion <strong>of</strong> host<br />
plantations, development <strong>of</strong> farm and<br />
post-cocoon sector infrastructure, upgradation<br />
<strong>of</strong> reeling and processing<br />
technologies in silk, enterprise<br />
development programme, support for<br />
extension & publicity etc.<br />
Outlay approved for XI Plan<br />
The total cost for implementation <strong>of</strong><br />
the CDP during the XI Plan is pegged<br />
at Rs.1527.97 crores <strong>of</strong> which CSB’s<br />
share is Rs.821.74 crores (Revised Cost<br />
Estimates). Against the Central Share an<br />
expenditure <strong>of</strong> Rs. 576.51 Crore has been<br />
incurred till 2010-11. During 2011-12 an<br />
amount <strong>of</strong> Rs. 130.47 Crore has been<br />
released/ spent towards implementation<br />
<strong>of</strong> various schemes / components under<br />
CDP against the allocation <strong>of</strong> Rs. 245.23<br />
Crore.<br />
Important achievements made so far<br />
under CDP during the XI plan are given<br />
at table 7.5.<br />
Major Achievements made under CDP<br />
during the last three years (2008-09 to<br />
2010-11) and during 2011-12 <strong>of</strong> the XI<br />
Plan are given at table 7.6.<br />
4. QUALITY CERTIFICATION SYSTEMS:<br />
One <strong>of</strong> the main objectives <strong>of</strong> the Quality<br />
Certification System is to initiate suitable<br />
measures towards strengthening quality<br />
assurance, quality assessment and<br />
quality certification. Under the scheme,<br />
two components viz. “Cocoon Testing<br />
Units” and “Promotion <strong>of</strong> Silk Mark” are<br />
being implemented:<br />
a) ESTABLISHMENT OF COCOON<br />
TESTING UNITS<br />
In order to facilitate cocoon testing in<br />
different cocoon markets <strong>of</strong> the country<br />
an amount <strong>of</strong> Rs. 1.00 lakh ( unit cost) is<br />
provided towards procurement <strong>of</strong> testing<br />
equipments. It is proposed to establish<br />
25 such Units during XI plan. The entire<br />
assistance is provided by Central Silk<br />
90
annual report 2011-12<br />
Sl.<br />
No.<br />
Table 7.5<br />
Important achievements made so far under CDP during the XI Plan are given below:<br />
Details Unit XI Plan<br />
Target<br />
Achievement<br />
(as on Dec-2011)<br />
1<br />
Support to farmers for the construction <strong>of</strong><br />
Rearing Houses<br />
No. 67,409 53270<br />
2 Drip Irrigation Ha. 27,715 20,337<br />
3 Chawki Rearing Centre No. 397 298<br />
4 Rearing Equipment support to farmers No 68,030 48773<br />
5 Support to TasarRearers Ha. 20,369 19283<br />
6 Start-up tools to Erirearers Acres 19,218 13,089<br />
7 Support to MugaRearers Acres 11,071 10,970<br />
8<br />
Support to Vanya Private Garineurs (Tasar<br />
and Muga)<br />
No. 4,353 4,763<br />
9 Incentive for bivoltine production MTs <strong>of</strong> silk 1,632 1,421<br />
10 Quality Linked Cocoon and Yarn Market<br />
No. <strong>of</strong> states<br />
covered<br />
25 38<br />
11<br />
Improved reeling and spinning devices in<br />
Vanya Silk<br />
No. <strong>of</strong> Units 10,545 8,889<br />
Sl.<br />
No.<br />
Table 7.6<br />
Components 2008-09 2009-10 2010-11<br />
(till March-<br />
2011)<br />
2011-12<br />
(till Dec-<br />
2011)<br />
1 Development <strong>of</strong> Mulberry Plantation (Ac) 14524 19980 30,524 101,127<br />
2 Irrigation for Mulberry (Ha.) 4541 4247 7729 610<br />
3 Mulberry Rearing houses (Nos) 7760 11006 19292 6470<br />
4 Chawkie Rearing Centres (Nos) 107 66 77 -<br />
5 Rearing equipments (Farmers) 7272 11216 24847 -<br />
6 Tasar plantation maintenance (Ha.) 2295 3769 10,220 1789<br />
7 Tasar seed rearers (Nos) 732 2074 4,872 2671<br />
8 Support to Tasargraineurs (Nos) 281 704 1,378 1259<br />
9 Construction <strong>of</strong> Cocoon Storage Houses (Nos) 68 304 584 504<br />
10 Eri host plantation (Acres) 1268 2199 3,665 3735<br />
11 Construction <strong>of</strong> Eri Rearing House (Nos) 2069 4,002 6,502 4630<br />
12 Muga food plantation (Acres) 853 2281 3,062 2804<br />
13 Support for MugaGraineurs (Nos) 60 276 597 72<br />
14 Automatic Silk Reeling Machines (Nos) 3 2 - -<br />
15 Multiend Silk Reeling Machines (Nos) 53 30 91 16<br />
16 Cottage basin reeling units (Nos) 14 15 45 13<br />
17 Hot air drying chambers (Nos) 56 107 140 67<br />
18 Vanya reeling/Spinng. Devices (Nos) 3007 1579 1982 545<br />
19 Promotion <strong>of</strong> improved Handlooms (Nos) 742 1342 1571 2027<br />
91
ministry <strong>of</strong> <strong>textiles</strong><br />
Board. During the year 2011-12 a total <strong>of</strong><br />
5 units located in the state <strong>of</strong> Karnataka<br />
and West Bengal <strong>of</strong> Procurement /<br />
Establishment is under progress viz., at<br />
Shirahatti/H.Cross/Vijayapura/Malavalli-<br />
Karnataka, Khaliachack- WB.<br />
b) SILK MARK ORGANIZATION OF<br />
INDIA (SMOI)<br />
The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>-Govt. <strong>of</strong> India came<br />
up with an initiative for the protection <strong>of</strong><br />
the interests <strong>of</strong> the consumers and other<br />
stakeholders <strong>of</strong> the silk value-chain by<br />
bringing out “Silk Mark” Scheme in June<br />
2004. Silk Mark, the Quality Assurance<br />
Label signifying that a product to which<br />
it is affixed is made <strong>of</strong> pure silk was<br />
launched by the Silk Mark Organisation<br />
<strong>of</strong> India (SMOI), a registered Society<br />
promoted by the Central Silk Board. Silk<br />
Mark labels can be affixed to primary,<br />
intermediate and finished products <strong>of</strong> silk<br />
including yarn, fabric, sarees, made-ups,<br />
garments, carpets, etc.<br />
The Silk Mark Scheme is aimed at<br />
protecting the interests <strong>of</strong> the users and<br />
connoisseurs <strong>of</strong> silk, and for the generic<br />
promotion <strong>of</strong> silk and also for building<br />
brand-equity <strong>of</strong> Indian Silk.<br />
Since the launch <strong>of</strong> Silk Mark in June<br />
2004, over 1800 members have joined<br />
the Organisation, <strong>of</strong> whom, more than<br />
1700 have become Authorized Users.<br />
More than 1.35 crore <strong>of</strong> Silk Mark labelled<br />
products have reached the market for the<br />
benefit <strong>of</strong> consumers.<br />
During 2011-12 (up to November 2011)<br />
168 members joined SMOI, <strong>of</strong> which, 157<br />
members have enrolled as Authorised<br />
Users and 16.12 lakhs <strong>of</strong> Silk Mark<br />
Labelled products have reached the<br />
market. During 2011-12 (upto November<br />
2011) SMOI participated in as many<br />
as 296 exhibitions/ Workshops/ Road<br />
shows etc.<br />
Anticipated achievement up to March<br />
2012 is as follows:<br />
1. Members – 300 Nos.<br />
2. Authorised users – 300 Nos.<br />
3. Sale <strong>of</strong> Silk Mark label – 30.00 lakhs<br />
4. Awareness programmes / Workshops<br />
/ Exhibitions / Road Shows etc. - 340<br />
Nos.<br />
Nineteen Silk Expos have been planned<br />
during the year 2011-12 and 10 such<br />
Expos have already been conducted at<br />
various cities till November, 2011.<br />
SCHEMES & PROJECTS BEING<br />
IMPLEMENTED / PROPOSED TO<br />
BE IMPLEMENTED BY CSB AND<br />
STATES WITH EXTERNAL/ INTERNAL<br />
ASSISTANCE FOR DEVELOPMENT OF<br />
SERICULTURE:<br />
EXTERNAL ASSISTANCE<br />
1. PROJECT FOR ORGANIZING III<br />
COUNTRY TRAINING PROGRAMME<br />
ON BIVOLTINE SERICULTURE<br />
TECHNOLOGY ASSISTED BY JICA<br />
The Japan International Cooperation<br />
Agency (JICA) and the Central Silk Board<br />
(CSB) have jointly worked in technical<br />
cooperation in the area <strong>of</strong> development<br />
and popularization <strong>of</strong> Bivoltine Sericulture<br />
Technology suited to Indian agro-climatic<br />
conditions for past fifteen years.<br />
Encouraged by the success <strong>of</strong> the<br />
cooperation programme, Central Silk<br />
Board in association with JICA has<br />
implemented a third country training<br />
programme on “Bivoltine Sericulture<br />
Technology” during 2008-09 for some <strong>of</strong><br />
92
annual report 2011-12<br />
the Afro-Asian countries to disseminate<br />
the knowledge and skills on bivoltine<br />
sericulture technologies to these silk<br />
producing countries and organized<br />
training for 11 <strong>of</strong>ficers in ‘Administrative<br />
Course’ and 15 <strong>of</strong>ficers in ‘Technical<br />
Course’ nominated from 8 different<br />
countries viz. Ghana, Cambodia,<br />
Uganda, Nigeria, Kenya, Philipines, Laos<br />
and Nepal.<br />
JICA has extended the training<br />
programme for 3 more years from 2009-<br />
10. The number <strong>of</strong> <strong>of</strong>ficers trained under<br />
Bivoltine Sericulture Technology is given<br />
at table 7.7.<br />
2. STATUS OF MANIPUR SERICULTURE<br />
PROJECT<br />
Govt. <strong>of</strong> Manipur in coordination with CSB<br />
drafted proposal for the Phase-II <strong>of</strong> the<br />
Manipur Sericulture Project at a total cost<br />
<strong>of</strong> Rs 356.5 crores to be implemented in<br />
seven years. The project is estimated<br />
to add up 136 MT <strong>of</strong> Mulberry Silk and<br />
96 MT <strong>of</strong> eri silk production / year at the<br />
end <strong>of</strong> gestation period. Project focuses<br />
on expansion <strong>of</strong> Mulberry in 1020 hectare<br />
and Eri silk culture in 1500 hectare by<br />
involving 7800 families in pre -and post<br />
cocoon operations.<br />
Department <strong>of</strong> Sericulture has approached<br />
to Govt. <strong>of</strong> Manipur to fund the Phase-II <strong>of</strong><br />
the project under Special Plan Assistance<br />
(SPA). Planning Commission as proposed<br />
in the annual working group meeting (2011-<br />
Sl.<br />
No.<br />
Table 7.7<br />
12) has recommended Rs 62.11 cr. under<br />
SPA for implementation <strong>of</strong> Phase-II. Govt.<br />
<strong>of</strong> Manipur decided to make up shortfall<br />
in SPA funding by approaching NABARD<br />
under Rural Infrastructure Development<br />
Fund (RIDF). Accordingly, Department<br />
<strong>of</strong> Sericulture has revised the phasing <strong>of</strong><br />
physical and financial targets and sharing<br />
pattern keeping all the original physical<br />
& financial targets <strong>of</strong> Phase-II intact as<br />
approved by MOT, Planning Commission,<br />
DoNER, MHA, MEA and DEA <strong>of</strong> Govt.<br />
<strong>of</strong> India.<br />
State Planning Department has<br />
sanctioned Rs 10.22 Cr under SPA.<br />
Govt. <strong>of</strong> Manipur has also sanctioned<br />
Rs 10.00 Cr under Rural Infrastructure<br />
Development Fund (RIDF) <strong>of</strong> NABARD<br />
to implement the project during 2011-12.<br />
B. INTERNAL ASSISTANCE<br />
1. Special SGSY PROJECTS FOR<br />
DEVELOPMENT OF TASAR AND<br />
ERI CULTURE IN BIHAR AND<br />
JHARKHAND<br />
Two special SGSY Projects for<br />
development <strong>of</strong> Tasar and Eri culture are<br />
being implemented in the States <strong>of</strong> Bihar<br />
and Jharkhand with financial assistance<br />
from <strong>Ministry</strong> <strong>of</strong> Rural Development, Govt.<br />
<strong>of</strong> India from the year 2003-04.<br />
The projects are being implemented in both<br />
the States by Pr<strong>of</strong>essional Assistance for<br />
Development Action (PRADAN), an NGO.<br />
Name <strong>of</strong> the Sub-course Target Achievement<br />
2010-11 2011-12<br />
1. Administrative Course ( Two Weeks) 15 13 13<br />
2. Technical Course ( Twelve Weeks) 15 15 15<br />
Total 30 28 28<br />
93
ministry <strong>of</strong> <strong>textiles</strong><br />
Financial outlay and sharing pattern <strong>of</strong> the<br />
Project cost are given at table 7.8.<br />
2. SPECIAL SGSY PROJECT FOR<br />
DEVELOPMENT OF MULBERRY<br />
SERICULTURE IN UTTARAKHAND<br />
The <strong>Ministry</strong> <strong>of</strong> Rural Development,<br />
Government <strong>of</strong> India has sanctioned a<br />
project entitled “A Special SGSY Project<br />
for Development <strong>of</strong> Mulberry Sericulture<br />
in Uttarakhand” at a total cost <strong>of</strong> Rs.<br />
917.840 lakh to be implemented by<br />
Directorate <strong>of</strong> Sericulture, Govt. <strong>of</strong><br />
Uttarakhand over a period <strong>of</strong> 5 years<br />
from 2007-08 to 2011-12. The funds<br />
are shared by MORD (Rs.417.009 lakh)<br />
and CSB/State share at Rs. 379.636<br />
lakh, (CSB – Rs 299.383 lakh & State-<br />
80.253 lakhs), Bank credit is Rs. 76.205<br />
lakh and the beneficiary contribution is<br />
Rs. 44.991 lakh.<br />
Faritazadihi and Gajhipanchayats<br />
<strong>of</strong> Chakai Block <strong>of</strong> Jamuiby creating<br />
Tasar Sericulture based forward and<br />
backward linkages for sustainable<br />
livelihood development. Total outlay<br />
<strong>of</strong> the project is Rs. 1274.91 lakhs, <strong>of</strong><br />
which NABARD, Patna is funding Rs.<br />
837.72 lakhs (65.71%), CSB share <strong>of</strong><br />
Rs. 170.91 lakhs (13.41%), Beneficiary<br />
share is Rs.217.29 lakhs (17.04%) and<br />
Loan from NABARD amounts to Rs. 49<br />
lakhs (3.84%), for a period <strong>of</strong> five years<br />
starting 2009-10 with CDP funding<br />
proposed only for the XI Plan period<br />
i.e., 2009-10, 2010-11 and 2011-12 at<br />
Rs. 20.675 lakhs, Rs. 86.517 lakhs and<br />
Rs. 63.717 lakhs, respectively.<br />
ii).<br />
INTEGRATED TRIBAL DEVELOPMENT<br />
PROGRAMME FOR BANKA DISTRICT<br />
OF BIHAR<br />
PROJECTS WITH ASSISTANCE UNDER<br />
NABARD’s TRIBAL DEVELOPMENT<br />
FUND (TDF)<br />
i).<br />
INTEGRATED TRIBAL DEVELOPMENT<br />
PROGRAMME FOR CHAKAI BLOCK OF<br />
JAMUI DISTRICT OF BIHAR<br />
The project is being implemented in<br />
tribal dominated Dulampur, Nauwadih,<br />
Table 7.8<br />
The project is being implemented in tribal<br />
dominated Katoria, Chandan and Bounsi<br />
blocks <strong>of</strong> Banka district through WADI<br />
approach (Agri-Horti-Forestry). Total outlay<br />
<strong>of</strong> the project is Rs. 675.91 lakhs, <strong>of</strong> which<br />
NABARD, Patna is funding Rs. 512.33<br />
lakhs (75.8%), fund dovetailed from<br />
SGSY share <strong>of</strong> Rs. 31.14 lakhs (4.61%),<br />
Beneficiary share is Rs.117.44 lakhs<br />
(Rs. In Lakh)<br />
Particulars Bihar Jharkhand (Phase-I) revised<br />
Total Outlay MORD 622.873 652.150<br />
CSB 208.614 302.681<br />
Beneficiary 289.044 247.274<br />
Credit 320.052 235.865<br />
Total 1440.583 1437.97<br />
The project are;<br />
1.Development <strong>of</strong> Tasar and Ericulture in Bihar<br />
2. Development <strong>of</strong> Tasar and Eri culture in Jharkhand-Phase I:<br />
94
annual report 2011-12<br />
(17.37%) and Loan from NABARD<br />
amounts to Rs. 15 lakhs (2.22%), for a<br />
period <strong>of</strong> seven years starting 2008-09,<br />
respectively.<br />
CLUSTER DEVELOPMENT PROJECTS<br />
In pursuance <strong>of</strong> the suggestion from the<br />
Planning Commission and <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong>, Govt. <strong>of</strong> India, CSB is promoting<br />
development <strong>of</strong> sericulture in the cluster<br />
mode approach throughout the country<br />
during XI Plan.<br />
Under the Cluster Promotion Programme,<br />
the CSB in close co-ordination with DOSs<br />
continued to assist 45 model sericulture<br />
clusters in pre-cocoon sector covering 16<br />
States during 2011-12 involving central<br />
share <strong>of</strong> Rs.11.37 crores (up to November,<br />
2011).<br />
Further, CSB in association with States<br />
operates 5 post-cocoon clusters one<br />
each in Tamil Nadu, Andhra Pradesh,<br />
West Bengal, Maharashtra and Assam<br />
for development <strong>of</strong> post-cocoon sector<br />
during 2011-12. The central share <strong>of</strong><br />
Rs.1.29 crores has been sanctioned up to<br />
November, 2011.<br />
The cluster programme will be concluded<br />
by March, 2012 and the model clusters<br />
(pre-cocoon) are proposed to be<br />
maintained under the State control during<br />
XII Plan.<br />
VI. SILK EXPORTS<br />
Silk -Goods export earnings during the<br />
year 2009-10, 2010-11 and 2011-12 are<br />
given at table 7.9.<br />
Export Earnings <strong>of</strong> Silk Items<br />
The Export <strong>of</strong> US$ 597.82 million<br />
(Rs.2723.86 Crore) has been achieved<br />
during April-March period <strong>of</strong> the year<br />
2010-11, compared to US $ 603 in the<br />
F.Y. 2009-10.<br />
Natural Silk Yarn, Fabrics, Made-ups etc.<br />
constitute the bulk <strong>of</strong> silk export from India<br />
with a share <strong>of</strong> around 58 % <strong>of</strong> India’s<br />
total silk goods exports. Ready made<br />
Garments account approximately for<br />
40.20% to the total silk goods exports. Silk<br />
Carpet account approximately for 0.58%<br />
to the total silk goods export and balance<br />
silk Waste which is the raw material for<br />
the spun silk <strong>industry</strong> is also exported in<br />
small quantity.<br />
Table 7.9<br />
(Value: ` in Crore)<br />
S.N. Items <strong>of</strong> Silk-Goods Export Achievement during XI Plan<br />
2009-10 2010-11 2011-12 (P)<br />
(April to Sept)<br />
1 Natural Silk Yarn Fabrics,<br />
Made-ups<br />
1971.98 2123.21 450.69<br />
2 Readymade Garments 854.95 683.31 644.20<br />
3 Silk Carpets 40.59 21.10 5.96<br />
4 Silk Waste 24.92 36.14 12.67<br />
TOTAL 2892.44 2863.76 1113.52<br />
P: Provisional, Source: DGCIS, Kolkata<br />
95
ministry <strong>of</strong> <strong>textiles</strong><br />
Exports during year 2011-12 (till October)<br />
are given at table 7.10.<br />
Hong Kong, USA, UAE, UK and Germany<br />
are the top five countries importing<br />
Indian Silk goods (in value items) during<br />
April-March period <strong>of</strong> the year 2010-<br />
11 and accounted for 22.7% 13.59%,<br />
10.21%, 9.28%, 5.09% respectively <strong>of</strong><br />
the total export earnings. They altogether,<br />
accounted for Rs.1659.04 which has<br />
60.90% <strong>of</strong> the total export earnings <strong>of</strong><br />
Rs.2723.86 crore during the period.<br />
Imports<br />
The import <strong>of</strong> Raw silk during April-March<br />
period <strong>of</strong> the year 2010-11 was 5870 MT<br />
(metric tons) as compared to imports <strong>of</strong><br />
7388 MT during the corresponding period<br />
<strong>of</strong> 2009-10 indicating a decrease <strong>of</strong><br />
20.0%(i.e.1468MT)<br />
VII. RASHTRIYA KRISHI VIKAS YOJANA<br />
(RKVY):<br />
Sericulture is now included under the<br />
Rashtriya Krishi Vikas Yojana (RKVY) <strong>of</strong><br />
the <strong>Ministry</strong> <strong>of</strong> Agriculture, Govt. <strong>of</strong> India.<br />
The scheme covers on-farm sericulture<br />
activities, strengthening the monitoring<br />
and Extension mechanism, post cocoon<br />
activities like reeling, yarn production as<br />
an Enterprise activity. Sericulture sector<br />
projects costing Rs. 42.14 Crore have<br />
been posed for funding during 2011-12.<br />
VIII. SCHEDULED CASTES SUB-PLAN<br />
(SCSP) AND SCHEDULED TRIBAL<br />
SUB-PLAN (TSP)<br />
Planning Commission, Govt. <strong>of</strong> India has<br />
formulated revised guidelines for Schedule<br />
Caste Sub Plan (SCSP) and Tribal Sub Plan<br />
(TSP) to ensure channelising proportionate<br />
flow <strong>of</strong> Plan Outlay from general sectors<br />
(Other than the allocation for NE States)<br />
for implementation <strong>of</strong> schemes which<br />
directly benefit the individuals or families<br />
belonging to Scheduled Castes and<br />
Scheduled Tribes commencing from 2011-<br />
12. The objectives <strong>of</strong> the programme<br />
include substantial reduction <strong>of</strong> poverty<br />
& unemployment, creating productive<br />
assets, human resource development and<br />
arrest exploitation through physical and<br />
financial security among the Scheduled<br />
Castes and Scheduled Tribes. Keeping<br />
in view these objectives and the revised<br />
guidelines communicated by the <strong>Ministry</strong><br />
<strong>of</strong> <strong>Textiles</strong>, a non-divertible provision <strong>of</strong><br />
Rs.25.80 crores (excluding NE States)<br />
Table 7.10<br />
Silk Exports<br />
(Rs. in Crore)<br />
Sr.<br />
No.<br />
Item <strong>of</strong> Export 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12<br />
Upto<br />
October<br />
2011<br />
1. Natural Silk yarn, 2365.34 1525.68 1711.02 1413.98 1578.40 536.10<br />
Fabrics, madeups<br />
2. Silk Readymade 817.87 1043.47 1458.48 1393.51 1095.10 741.12<br />
Garments<br />
3. Silk Carpets 132.36 56.26 54.68 39.38 15.84 8.04<br />
4. Silk Waste 22.78 11.94 5.73 24.92 34.52 14.72<br />
Total 3338.35 2637.35 3229.91 2871.79 2723.86 1299.98<br />
96
annual report 2011-12<br />
for sericulture sector has been earmarked<br />
from out <strong>of</strong> Rs.172.55 crores approved by<br />
<strong>Ministry</strong> for CDP, to implement Scheduled<br />
Castes Sub-Plan (Rs.21.00 crores) and<br />
Tribal Sub-Plan (Rs.4.80 crores) during<br />
2011-12. Accordingly, the State-wise<br />
break-up <strong>of</strong> funds earmarked exclusively<br />
for SCSP and TSP from CDP was worked<br />
out and communicated to the Departments<br />
<strong>of</strong> Sericulture in State for implementation<br />
<strong>of</strong> relevant CDP components on lines with<br />
the revised guidelines for the development<br />
<strong>of</strong> SCs and STs. Funds are being utilised<br />
as per approved guidelines.<br />
IX. OTHER ISSUES<br />
1. SCHEMES / POLICIES RUN BY CSB<br />
FOR THE BENEFIT OF PERSONS<br />
WITH DISABILITIES<br />
While the central sector programmes like<br />
R&D, Seed support, Quality Certification<br />
Systems etc. <strong>of</strong> CSB are mainly to<br />
supplement the efforts <strong>of</strong> State Govts.,<br />
the Centrally Sponsored programme<br />
viz. Catalytic Development Programme<br />
( CDP) is aimed to ensure coordinated<br />
effort to support sericulture development<br />
at all stages from food plant cultivation to<br />
production and processing <strong>of</strong> silk. Though<br />
the CDP is being implemented jointly by<br />
CSB and concerned State Govt., the task<br />
<strong>of</strong> identification <strong>of</strong> beneficiaries under the<br />
programme lies with the State Govt. While<br />
there is no separate or specific scheme/<br />
programme under CDP for the benefit <strong>of</strong><br />
persons with Disabilities, the benefit <strong>of</strong><br />
the schemes / components under CDP<br />
can also be availed by the persons with<br />
Disabilities.<br />
With regard to the sanctioned strength and<br />
the number <strong>of</strong> persons with disabilities in<br />
various posts in different Groups under<br />
CSB, the details are given in the table 7.11.<br />
Table 7.11<br />
Sl. No. Group Persons with<br />
Disability<br />
Sanctioned<br />
Strength<br />
1 Group A 10 949<br />
2 Group B 24 1618<br />
3 Group C 30 1706<br />
Total 64 4273<br />
*****<br />
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CHAPTER VIII<br />
WOOL & WOLLEN TEXTILES<br />
INDUSTRY<br />
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CHAPTER VIII<br />
WOOL & WOLLEN TEXTILES INDUSTRY<br />
The Central Wool Development<br />
Board (CWDB) Jodhpur, Rajasthan<br />
was set up under the Rajasthan<br />
Societies Registration Act, 1958 in July<br />
1987, to administer the implementation<br />
<strong>of</strong> programmes and schemes in Central<br />
Sector for the promotion and development<br />
<strong>of</strong> <strong>wool</strong> and <strong>wool</strong>len <strong>industry</strong> in the<br />
country.<br />
The Government <strong>of</strong> India vide Gazette<br />
Notification No. 2/7/2008-W&WT dated<br />
November 22, 2010, has reconstituted<br />
the Board for a period <strong>of</strong> two years. The<br />
Joint Secretary (Wool), <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong><br />
and Vice-Chairman <strong>of</strong> the Board shall<br />
discharge the duties <strong>of</strong> the Chairman till<br />
the post <strong>of</strong> Chairman is filled up.<br />
The <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> has allocated<br />
Rs. 13.04 Crore to the Central Wool<br />
Development Board (CWDB) for the<br />
Annual Plan 2011-12 to implement its<br />
various Plan Schemes and Programmes<br />
for the growth and development <strong>of</strong> <strong>wool</strong><br />
sector. Against this target, the <strong>Ministry</strong> <strong>of</strong><br />
<strong>Textiles</strong> has already released Rs. 6.25<br />
Crore and the Board utilized Rs. 5.20<br />
Crore till December, 2011, accordingly.<br />
On the Non-Plan side, the Board utilized<br />
Rs. 1.13 Crore to meet establishment<br />
expenses upto December,2011.<br />
The Board has undertaken following<br />
activities during 2011-12 (upto<br />
December,2011):<br />
1. Integrated Wool Improvement<br />
and Development Programme<br />
(IWIDP)<br />
The Integrated Wool Improvement &<br />
Development Programme (IWIDP),<br />
the flagship scheme <strong>of</strong> Wool Sector,<br />
is being implemented during the XIth<br />
Five Year Plan period at an estimated<br />
cost <strong>of</strong> Rs. 48.00 Crore. The Scheme<br />
provides support to the Industry & Wool<br />
growers to qualitatively upgrade product<br />
and technology to enable them to get<br />
better returns for their products and to<br />
get a larger share <strong>of</strong> the domestic and<br />
global market. The Programme has two<br />
main components: (A) Improvement <strong>of</strong><br />
Wool Fibre and (B) Human Resource<br />
Development and Promotional Activities.<br />
This Programme aims to cover 26 lakh<br />
sheep for health coverage, to set up 10<br />
Ram Raising Units, to provide financial<br />
assistance for 200 Sheep Pens, to provide<br />
feed supplement to total 80,000 sheep, to<br />
establish 7 Multiple Facility Centres, to<br />
provide revolving fund for Marketing <strong>of</strong> 10<br />
lakh Kg. <strong>wool</strong>, to supply 26,000 stud rams<br />
for breed improvement, to benefit 400<br />
Angora rabbit families and 2400 Pashmina<br />
goat rearing families and to train 1000<br />
persons along with other promotional<br />
and marketing activities under Human<br />
Resource Development Programme.<br />
Under IWIDP, the Board is implementing<br />
different schemes for improving quantity<br />
and quality <strong>of</strong> <strong>wool</strong> produced from<br />
sheep, Angora rabbit, Pashmina goat<br />
and is providing training to <strong>wool</strong> growers,<br />
weavers, resource persons along with<br />
associated promotional and marketing<br />
activities. Following schemes are being<br />
implemented under this programme:<br />
(A) Improvement <strong>of</strong> Wool Fibre<br />
(i) Sheep & Wool Improvement<br />
Scheme: (SWIS)<br />
The Board had taken up ‘Sheep and Wool<br />
Improvement Scheme’ (SWIS) to improve<br />
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the quality and quantity <strong>of</strong> indigenous <strong>wool</strong><br />
in the country. The Board is implementing<br />
various projects under this scheme in<br />
all major <strong>wool</strong> producing States having<br />
components for (i) ‘Health Care’ for<br />
treatment, vaccination and medicines to<br />
sheep (ii) ‘Breed Improvement’ for genetic<br />
improvement <strong>of</strong> sheep and to distribute<br />
stud Rams (iii) support for ‘Multipurpose<br />
Extension Centers’ to provide different<br />
facilities at one place, (iv) ‘Marketing &<br />
Grading Assistance’ to <strong>wool</strong> growers to<br />
get better returns from <strong>wool</strong> (v) conducting<br />
‘Training Programmes’ for <strong>wool</strong> growers<br />
in latest techniques <strong>of</strong> sheep rearing<br />
activities, (vi) ‘Ram Raising Unit’ to develop<br />
good quality breedable Rams and to fulfill<br />
requirement <strong>of</strong> stud Rams, (vii) ‘Assistance<br />
for Sheep Pen’, (<strong>viii</strong>) provide ‘Feed<br />
Supplement’ to sheep (weak, pregnant/<br />
breedable ewes) and (ix) ‘Creation <strong>of</strong><br />
Revolving Fund’ for marketing <strong>of</strong> raw <strong>wool</strong><br />
and to revitalize the states <strong>wool</strong> marketing<br />
federations/corporations and optimum<br />
utilization <strong>of</strong> infrastructure available with<br />
them for this purpose.<br />
During current financial year 2011-12, the<br />
Board had fixed target to benefit 16 lakh<br />
sheep under different ongoing projects in all<br />
major <strong>wool</strong> producing States with financial<br />
provision <strong>of</strong> Rs. 8.26 crore. Against this<br />
target, the Board has benefited 12 lakh<br />
sheep under different ongoing projects and<br />
sanctioned Feed Supplement for 50,000<br />
sheep/Pashmina goat from Ladakh & Kargil<br />
region and utilized Rs. 2.50 crore upto<br />
December, 2011. The Board is presently<br />
implementing various projects under this<br />
scheme in all major <strong>wool</strong> producing States<br />
like: Rajasthan, Gujarat, Madhya Pradesh,<br />
Uttrakhand, Maharashtra, Haryana,<br />
Jammu & Kashmir, Himachal Pradesh,<br />
Andhra Pradesh and Karnataka.<br />
(ii) Angora Wool Development Scheme<br />
The Board is implementing Angora Wool<br />
Development scheme in hilly areas<br />
<strong>of</strong> country to support Angora rearing<br />
activity among farmers, strengthening<br />
Germplasm Centre (GPC), facilitating<br />
distribution <strong>of</strong> Angora rabbit among<br />
rearers as foundation stock along with<br />
necessary training, feed, medical kit and<br />
nutrition support free <strong>of</strong> cost. The scheme<br />
has following components:<br />
i) Establishment <strong>of</strong> Mini Angora rabbit<br />
farm<br />
ii)<br />
iii)<br />
Mini Feed Manufacturing Units<br />
Common Facility Centre (CFC) for<br />
Angora Wool Processing and Training<br />
iv) Research & Development,<br />
v) Strengthening <strong>of</strong> Angora rabbit<br />
Germplasm Centre.<br />
For the Annual Plan 2011-12, the Board<br />
has fixed target to benefit 80 new and 100<br />
ongoing Angora rabbit rearing families<br />
under different components <strong>of</strong> scheme<br />
with total financial allocation <strong>of</strong> Rs. 0.62<br />
crore. Against this target, the Board has<br />
sanctioned 4 new projects to cover 80 new<br />
Angora families from Uttarakhand, Rajasthan<br />
and Himachal Pradesh and utilized Rs. 0.44<br />
crore upto December, 2011.<br />
(iii) Pashmina Development Scheme:<br />
During the Xth Five Year Plan period,<br />
the Scheme for the development <strong>of</strong><br />
Pashmina Wool was launched in Ladakh<br />
region <strong>of</strong> J&K State as part <strong>of</strong> Prime<br />
Minister’s Special Package. The Scheme<br />
is continuing in the XIth Five Year Plan<br />
period with following components:<br />
- Buck Exchange Programme.<br />
- Distribution <strong>of</strong> high quality<br />
Pashmina bucks in nontraditional<br />
areas to enhance<br />
Pashmina production.<br />
- Training <strong>of</strong> formation <strong>of</strong> Breeders<br />
Association (Guilds) or village<br />
Pashmina Cooperative Societies.<br />
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- Establishment <strong>of</strong> Fodder Bank.<br />
- Refresher Training to Nomadic<br />
Breeders as Paramedics.<br />
- Health Coverage.<br />
- Refresher Courses to In-service<br />
Candidates for 3 days/breeders<br />
camps.<br />
- Fodder Development.<br />
- Provision <strong>of</strong> improved Pashmina<br />
Combs for Efficient Harvesting<br />
<strong>of</strong> Pashmina.<br />
For the Annual Plan 2011-12, the Board<br />
has fixed target to benefit 800 ongoing<br />
Pashmina families with financial outlay<br />
<strong>of</strong> Rs. 0.28 Crore. Accordingly, the<br />
Board benefited 800 ongoing Pashmina<br />
families and released Rs. 0.28 Crore to<br />
Ladakh Autonomous Hill Development<br />
Council, Leh.<br />
B. Human Resource Development<br />
& Promotional activities<br />
The Board had identified areas for<br />
undertaking various training programmes<br />
in collaboration with various reputed<br />
Organizations/ Institutions/ Departments<br />
on: Farm management for sheep; Angora<br />
& Pashmina rearing, sheep shearing by<br />
machines, testing & report writing and<br />
quality control/assurance, <strong>wool</strong> grading<br />
& marketing, processing <strong>of</strong> <strong>wool</strong> and<br />
<strong>wool</strong>ens products, latest weaving and<br />
designing techniques to weavers. The<br />
following activities are part <strong>of</strong> HRD &<br />
Promotional Activities:<br />
- Marketing and Promotional<br />
activities (organizing fairs and<br />
Woollen Expos, seminar and<br />
workshops, etc.)<br />
- Market Intelligence and Publicity<br />
- Publication <strong>of</strong> quarterly news<br />
magazine ‘Wool Ways’<br />
- Research, Study and<br />
Consultancy<br />
- Training under Weaving and<br />
Designing Training Centre, Kullu<br />
- Monitoring and Evaluation <strong>of</strong><br />
Scheme<br />
- Human Resource Development<br />
and Training to farmers/<br />
breeders/ weavers.<br />
- Strengthen and upgrade <strong>wool</strong><br />
testing, <strong>wool</strong> grading and<br />
marketing facilities<br />
For the Annual Plan 2011-12, the Board has<br />
fixed target to impart training to 200 resource<br />
persons, organize 15 Woollen Expos along<br />
with other promotional activities under this<br />
scheme with total financial allocation <strong>of</strong><br />
Rs. 2.00 Crore. Upto December, 2011, the<br />
Board has utilized Rs. 1.44 Crore under<br />
this programme and imparted training<br />
to 174 resource persons, organized 13<br />
Woollen Expos and published quarterly<br />
news magazine and raw <strong>wool</strong> price bulletin,<br />
regularly. Running a Weaving & Designing<br />
Training Centre at Kullu for providing<br />
training in handloom weaving and trained<br />
45 persons by conducting 4 months course<br />
on regular basis <strong>of</strong> 15 trainees per batch<br />
and also running another Wool Testing<br />
Centre at Bikaner to provide testing facilities<br />
for raw <strong>wool</strong>, <strong>wool</strong>len yarn and end product<br />
at the subsidized testing charges as <strong>wool</strong><br />
fiber has lot <strong>of</strong> variation by nature causing<br />
variation in the end product.<br />
2. Quality Processing <strong>of</strong> Wool<br />
and Woollen Scheme<br />
The unorganized Woollen Sector suffers<br />
from inadequate processing facilities.<br />
The pre loom & post loom facilities<br />
are outdated. The sector uses crude<br />
form <strong>of</strong> carding, which results in low<br />
productivity, besides affecting the health<br />
<strong>of</strong> workers. The spinning technology is<br />
primitive, which is urgently required to be<br />
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upgraded through improved equipments/<br />
machineries. The Scheme provides a<br />
comprehensive service package from<br />
deburring to carding & spinning stage.<br />
The setting up <strong>of</strong> modern plants will<br />
increase <strong>wool</strong>-processing capacity, will<br />
provide value addition to Indian <strong>wool</strong>,<br />
will create more employment and will<br />
augment income to personnel engaged in<br />
these decentralized activities.<br />
The Board is implementing a scheme<br />
namely “Quality Processing <strong>of</strong> Wool” (preloom<br />
and post-loom processing activities)<br />
for improving quality <strong>of</strong> raw <strong>wool</strong>, finishing <strong>of</strong><br />
<strong>wool</strong>en products and value addition to <strong>wool</strong><br />
and <strong>wool</strong>ens products. This scheme attracts<br />
the spinners to modernize their obsolete<br />
and small yarn-manufacturing units.<br />
The project beneficiaries are State Wool<br />
Board/ Corporation/ Non-Governmental<br />
Organization/ Registered Societies/Private<br />
Entrepreneurs etc. engaged in processing<br />
<strong>of</strong> <strong>wool</strong> and <strong>wool</strong>ens. Under this scheme,<br />
the agency has to bear the cost <strong>of</strong> land &<br />
building by their own resources and should<br />
have clear ownership rights. The CWDB<br />
provides grant under Non-Recurring<br />
Expenses for purchase <strong>of</strong> machineries &<br />
plants only for setting up the Common Facility<br />
Centre (CFC). Recurring Expenditure shall<br />
be borne by the agency/association out <strong>of</strong><br />
its own resources.<br />
For the Annual Plan 2011-12, the Board<br />
has fixed target to establish four new<br />
Common Facility Centres under pre-loom<br />
processing facilities like <strong>wool</strong> scouring,<br />
carbonizing, dyeing and carding <strong>of</strong> <strong>wool</strong><br />
etc. with total financial outlay <strong>of</strong> Rs. 2.00<br />
Crore. Upto December, 2011, the Board<br />
has utilized Rs. 0.50 Crore under this<br />
scheme and established two CFCs in<br />
Himachal Pradesh.<br />
3. Social Security Scheme<br />
for Sheep Breeders<br />
The Board is implementing this scheme to<br />
benefit the sheep breeders by providing life<br />
insurance to them and their sheep flock by<br />
two plans (i) Sheep Breeders Insurance<br />
Scheme and (ii) Sheep Insurance Scheme.<br />
The basic objective <strong>of</strong> these insurance<br />
plans is to provide enhanced insurance<br />
coverage to sheep breeders in the case<br />
<strong>of</strong> natural death/accidental death, total/<br />
partial disability and for their sheep<br />
flock in case <strong>of</strong> accident including<br />
fire, lightning, storm, tempest, flood,<br />
inundation, earthquake, famine and<br />
diseases contracted or occurred during<br />
the period <strong>of</strong> the policy.<br />
(i)<br />
Total premium payable under ‘Sheep<br />
Breeders Insurance Scheme’ is<br />
Rs. 330/- and contribution <strong>of</strong> sheep<br />
breeder, Central Wool Development<br />
Board & Social Security Fund ( <strong>of</strong><br />
Govt. <strong>of</strong> India ) is Rs. 80/-, 150/- and<br />
Rs. 100/- per year, respectively. In the<br />
event <strong>of</strong> natural death <strong>of</strong> the sheep<br />
breeder, sum assured is Rs. 60,000,<br />
in case <strong>of</strong> partial disability sum<br />
assured is Rs. 75000/- and in case <strong>of</strong><br />
accidental death/total disability sum<br />
assured is Rs. 1,50,000. Additional<br />
benefit <strong>of</strong> scholarship for two child @<br />
Rs. 300 per quarter per child is also<br />
to be paid to the student studying<br />
from 9th standard to 12th standard.<br />
(ii) Total premium payable under ‘Sheep<br />
Insurance Scheme’ is Rs. 44/- per<br />
sheep. Out <strong>of</strong> it, Rs. 19/- per sheep<br />
is contributed by the sheep breeders<br />
and CWDB’s contribution is Rs. 25/-<br />
per sheep. In the event <strong>of</strong> death <strong>of</strong><br />
sheep, sum assured is Rs. 1,200/-<br />
per sheep. The benefit <strong>of</strong> subsidy is<br />
provided to beneficiary for maximum<br />
period <strong>of</strong> three year.<br />
During Annual Plan 2011-12, the Board<br />
has made target to cover 15,000 sheep<br />
breeders and 2,00,000 sheep under the<br />
schemes <strong>of</strong> Sheep Breeders and Sheep<br />
Insurance Scheme, respectively. Upto<br />
November, 2011, the Board has insured<br />
10,327 sheep breeders under Sheep<br />
Breeders Insurance Scheme.<br />
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CHAPTER IX<br />
DECENTRALISED<br />
POWERLOOM SECTOR<br />
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CHAPTER IX<br />
DECENTRALISED POWERLOOM SECTOR<br />
The decentralised powerloom<br />
sector is one <strong>of</strong> the most important<br />
segments <strong>of</strong> the Textile Industry<br />
in terms <strong>of</strong> fabric production and<br />
employment generation. It provides<br />
employment to 57.44 Lakh persons<br />
and contributes 62 percent to total cloth<br />
production in the Country. 60% <strong>of</strong> the<br />
fabrics produced in the powerloom<br />
sector is <strong>of</strong> man-made. More than 60%<br />
<strong>of</strong> fabric meant for export is also sourced<br />
from powerloom sector. The readymade<br />
garments and home textile sectors are<br />
heavily dependent on the powerloom<br />
sector to meet their fabric requirement.<br />
There are approximately 5.19 Lakh<br />
Powerloom Units with 22.98 Lakh<br />
Powerlooms as on 31.08.2011. The<br />
technology level <strong>of</strong> this sector varies from<br />
obsolete plain loom to high tech shuttleless<br />
looms. There are approximately<br />
1,05,000 shuttleless looms in this sector.<br />
It is estimated that more than 75% <strong>of</strong> the<br />
shuttle looms are obsolete and outdated<br />
with a vintage <strong>of</strong> more than 15 years<br />
and have virtually no process or quality<br />
control devices / attachments. However,<br />
there has been significant upgradation<br />
in the technology level <strong>of</strong> the powerloom<br />
sector during the last 5-6 years.<br />
Growth in the Powerloom Sector<br />
The estimated number <strong>of</strong> powerlooms in<br />
the decentralised sector in the country till<br />
31.08.2011 was 22,98,050. The year-wise<br />
growth in the number <strong>of</strong> looms installed is<br />
given in table 9.1.<br />
Cloth production( in million sq.mtr):<br />
The details <strong>of</strong> total cloth production and<br />
production by powerloom sector during<br />
the last five years are given in table 9.2.<br />
Modernisation & Strengthening <strong>of</strong><br />
Powerloom Service Centre<br />
Out <strong>of</strong> 44 Powerloom Service Centres<br />
under Textile Commissioner and other<br />
agencies, 43 Powerloom Service Centre<br />
(PSCs) have been modernised with<br />
modern machines and equipment such<br />
as shuttleless looms <strong>of</strong> type Projectile,<br />
Rapier, Air jet, Automatic Cop Changing<br />
Looms, Drop Box Looms, Pirn Winders,<br />
Cone Winders, Sectional Warping<br />
Machine, DG Sets etc. Out <strong>of</strong> 44 PSCs,<br />
14 PSCs are under the Office <strong>of</strong> the<br />
Textile Commissioner, 25 PSCs are run<br />
by different TRAs, 4 PSCs under KSPDC,<br />
Bangalore & one PSC is run by State<br />
Govt. <strong>of</strong> Madhya Pradesh.<br />
Year<br />
Table 9.1<br />
No. <strong>of</strong><br />
powerlooms<br />
Growth<br />
percentage<br />
2006-07 19,90,308 -<br />
2007-08 21,06,370 5.8%<br />
2008-09 22,05,352 4.7%<br />
2009-10 22,46,474 1.9%<br />
2010-11 22,82,744 1.61%<br />
2011-12 (up to Aug, 2011) 22,98,050 0.67%<br />
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Year<br />
Total<br />
production<br />
Production<br />
on<br />
Powerloom<br />
Table 9.2<br />
%age <strong>of</strong><br />
powerloom over<br />
total cloth<br />
production<br />
%age increase over<br />
previous year<br />
Total<br />
Production<br />
Powerloom<br />
production<br />
2006-07 53,389 32,879 61.78% - -<br />
2007-08 56,025 34,725 61.98% 4.94% 5.61%<br />
2008-09 54,966 33,648 61.22% -1.89% -3.10%<br />
2009-10 (P) 60,333 36,997 61.29% 9.76% 9.95%<br />
2010-11 (P) 61,808 37,571 60.73% 2.55% 1.55%<br />
2011-12 (P)<br />
April - Aug<br />
24,355 15,055 61.81% -- --<br />
Performance <strong>of</strong> Powerloom Service<br />
Centres<br />
During the year 2010-11, the 44 PSCs<br />
trained 11530 persons, developed 5569<br />
designs & tested 79740 samples and<br />
generated total revenue <strong>of</strong> Rs.81.40 lakh.<br />
During this period, PSCs have organised<br />
462 exhibitions, seminars & workshops.<br />
The achievement during 2011-12(April to<br />
October) is as under :-<br />
1. No. <strong>of</strong> trainees - 5233<br />
2. No. <strong>of</strong> sample tested - 37030<br />
3. No. <strong>of</strong> Design developed - 3233<br />
4. No. <strong>of</strong> consultancy / trouble - 2501<br />
shooting<br />
5. Total Revenue - 67.17 lakh<br />
6. No. <strong>of</strong> seminar, exhibitions<br />
and workshops<br />
- 185<br />
Computer Aided Design centers<br />
The following 17 Computer Aided Design<br />
Centres (CADC) have been established:<br />
Coimbatore, Karur, Komarapalayam<br />
and Somanur (Tamil Nadu), Surat and<br />
Ahmedabad (Gujrat), Solapur, Ichalkaranji,<br />
Bhiwandi and Mumbai (Maharashtra),<br />
Bilwara (Rajasthan) and Ghaziabad (Uttar<br />
Pradesh), Bangalore and Doddaballapur<br />
(Karnataka), Burhanpur and Indore (Madhya<br />
Pradesh) and Panipat (Haryana). These<br />
CADCs help the decentralized and small<br />
Powerloom units to access new designs<br />
and improve the quality <strong>of</strong> the fabric.<br />
Group Insurance Scheme to the<br />
powerloom workers<br />
Government <strong>of</strong> India have launched a<br />
revised Scheme “welfare <strong>of</strong> powerloom<br />
workers through Group Insurance<br />
Scheme’ in association with LIC from 1 st<br />
July 2003.<br />
In accordance with the XIth Five Year<br />
Plan, the Scheme has been modified by<br />
merging the existing JBY Scheme and<br />
Add-on GIS w.e.f. 1 st January 2008. As per<br />
the modified Scheme, the total premium<br />
is Rs.330/- out <strong>of</strong> which, Rs.150/- is<br />
to be borne by the Office <strong>of</strong> the Textile<br />
Commissioner, Government <strong>of</strong> India and<br />
Rs.100/- is being paid by the LIC from<br />
the social security fund <strong>of</strong> Government <strong>of</strong><br />
India. Only a premium <strong>of</strong> Rs.80/- is to be<br />
paid by the powerloom weaver for getting<br />
the benefits under the said scheme. The<br />
coverage benefit under the scheme is<br />
given in table 9.3.<br />
In addition to the above, a worker under<br />
JBY will also be entitled the educational<br />
grant <strong>of</strong> Rs.600/- per child/ per half year for<br />
two children studying in IX to XII standard<br />
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annual report 2011-12<br />
Component<br />
Natural death<br />
Table 9.3<br />
Accidental<br />
Death<br />
Total Permanent<br />
Disability<br />
Partial Permanent<br />
Disability<br />
GIS Rs. 60,000/- Rs. 1,50,000/- Rs. 1,50,000/- Rs. 75,000/-<br />
for a maximum period <strong>of</strong> 4 years under<br />
Shiksha Sahayog Yojana (SSY).<br />
Under the said schemes, 9,68,979<br />
powerloom workers have been insured<br />
upto October, 2011 involving GOI share<br />
<strong>of</strong> premium to the extent <strong>of</strong> Rs.1062.45<br />
lakh since July, 2003 to October, 2011.<br />
During the year 2010–11, 1,53,896 workers<br />
have been insured and Govt. share <strong>of</strong><br />
premium to the extent <strong>of</strong> Rs.2,30,84,400/-<br />
have been paid. During the year 2011–12<br />
(April to October) 76,343 workers have<br />
been insured.<br />
Group Workshed Scheme<br />
The Govt. <strong>of</strong> India has introduced a Group<br />
Workshed Scheme for decentralized<br />
powerloom sector on 29.7.2003, during the<br />
Xth Five-Year Plan. The scheme aims at<br />
setting up <strong>of</strong> Powerloom Parks with modern<br />
weaving machinery to enhance their<br />
competitiveness in the Global Market and<br />
the same has been modified. As per the<br />
modified Scheme, subsidy for construction<br />
<strong>of</strong> workshed would be limited to 40% <strong>of</strong><br />
the unit cost <strong>of</strong> construction subject to a<br />
maximum <strong>of</strong> Rs. 160/- per sq. ft., whichever<br />
is less. Ordinarily, minimum 4 weavers<br />
should form a group with 48 modern looms<br />
<strong>of</strong> single width or 24 wider width looms and<br />
per person minimum 4 looms will be allowed<br />
to be installed. The maximum subsidy will<br />
be Rs.12 lakh per person. The scheme<br />
does not envisage more than 500 looms<br />
under one project proposal.<br />
Total 42 projects have been approved<br />
during 11 th Plan period upto October<br />
2011, for providing Government subsidy<br />
<strong>of</strong> Rs.16.51 Crore on eligible construction<br />
area <strong>of</strong> 13.67 lakh sq. ft. Total subsidy <strong>of</strong><br />
Rs.7.60 Crore has been released. Out<br />
<strong>of</strong> the said 42 projects, 18 projects have<br />
been completed.<br />
Integrated scheme for Powerloom Sector<br />
Development<br />
In order to achieve the overall development<br />
<strong>of</strong> the powerloom sector, Govt. has<br />
announced the Integrated Scheme for<br />
Powerloom Sector Development during<br />
2007 – 08. The Scheme has got the<br />
following components :-<br />
• Marketing Development programme<br />
for Powerloom Sector<br />
• Exposure visit <strong>of</strong> Powerloom Weavers<br />
to other Clusters<br />
• Survey <strong>of</strong> the Powerloom Sector<br />
• Powerloom Cluster Development<br />
• Development and Upgradation <strong>of</strong><br />
skills (HRD)<br />
(a) Marketing Development programme<br />
for Powerloom Sector<br />
Marketing Development programme<br />
has a vital role in powerloom sector.<br />
Therefore, an activity for promotion<br />
and marketing <strong>of</strong> powerloom products<br />
through different mechanism such as<br />
organization <strong>of</strong> exhibitions and buyer<br />
seller meets, Seminar / Workshops,<br />
publicity & awareness programmes etc.<br />
are being implemented in association<br />
with Powerloom Development & Export<br />
Promotion Council (PDEXCIL) and other<br />
agencies. During 11 th Plan(2007-08 to<br />
Oct.2011), total 44 BSM have been<br />
conducted and Govt. has released fund<br />
amounting Rs.2.66 Crore.<br />
109
ministry <strong>of</strong> <strong>textiles</strong><br />
(b) Exposure visit by powerloom<br />
weavers to other clusters :<br />
The powerloom weavers from the clusters<br />
<strong>of</strong> low level technology are not exposed to<br />
other areas <strong>of</strong> manufacturing to be able<br />
to produce diversified textile products<br />
or value added fabrics due to limited<br />
knowledge.<br />
With a view to overcome such deficiency,<br />
the powerloom weavers in different<br />
clusters, are being taken to other developed<br />
clusters to become familiar with the working<br />
upgraded skills, the products manufactured<br />
and the marketing techniques adopted in<br />
those clusters. The concerned Regional<br />
Offices assist the powerloom weavers<br />
during the exposure visits and facilitate<br />
effective and meaningful interaction. The<br />
financial assistance is also being provided<br />
by the Government <strong>of</strong> India to meet the<br />
expenditure arising out <strong>of</strong> these visits.<br />
During 11 th Plan(2007-08 to Oct.2011),<br />
total 2367 workers visited the developed<br />
powerloom clusters and Govt. has paid<br />
the fund <strong>of</strong> Rs.0.58 Crore for travelling and<br />
incidental expenditure to workers.<br />
(c) Powerloom Cluster Development<br />
Towards the development <strong>of</strong> different<br />
powerloom clusters identified, 30 CDOs<br />
were given training in cluster development<br />
by the EDI, Ahmedabad during 2007<br />
– 08 involving the total expenditure <strong>of</strong><br />
Rs.15.97 lakh. During the year 2008-09,<br />
Rs.4.80 lakh has been spent for refresher<br />
training <strong>of</strong> Officers from Regional Offices<br />
& Headquarters. The following 8 clusters<br />
have been selected for development and<br />
CDO have been posted in the respective<br />
cluster and diagnostic study have been<br />
completed by the CDO:<br />
(1) Burhanpur, (2) Nalagonda, (3)<br />
Ranaghat (4) Umbergaon (5) Amritsar (6)<br />
Karur (7) Bhilwara (8) Maunathbhanjan<br />
Coverage <strong>of</strong> Powerloom Sector in other<br />
ongoing Schemes :<br />
20% Margin Money Subsidy Scheme<br />
under TUFS<br />
The Govt. has implemented 20% Credit<br />
Linked Capital Subsidy Scheme under<br />
the TUFS, especially in order to help the<br />
decentralized Powerloom Sector. The<br />
scheme was announced on 6.11.2003 by<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> and is applicable to<br />
Powerlooms in SSI sector only. Under<br />
the Scheme, Rs.223.27 crore has been<br />
disbursed to 3033 cases between<br />
November, 2003 to 30.11.2011. The<br />
Scheme has been re-named as 20% MMS<br />
since 1.4.2007. Progress <strong>of</strong> this Scheme is<br />
given at table 9.4.<br />
Table 9.4<br />
Sr. No. Year No. <strong>of</strong> units Amount <strong>of</strong> subsidy released<br />
( Rs. In Crore)<br />
1. 2003 – 04 4 0.10<br />
2. 2004 – 05 150 6.00<br />
3. 2005 – 06 368 23.00<br />
4. 2006 – 07 827 59.86<br />
5. 2007 – 08 567 44.95<br />
6. 2008 – 09 404 32.48<br />
7. 2009 - 10 363 30.57<br />
8. 2010 – 11 233 17.72<br />
9. 2011- 12 (upto Nov.2011) 117 8.59<br />
110
annual report 2011-12<br />
All India Powerloom Board<br />
The All India Powerloom Board was<br />
first constituted as an Advisory Board in<br />
November, 1981 and since then GOI has<br />
reconstituted AIPB from time to time. The<br />
Govt. <strong>of</strong> India has last reconstituted the<br />
AIPB for a period <strong>of</strong> two years vide Office<br />
Memorandum No.8/8/2007-PL dated<br />
22.12.2011. It has representatives <strong>of</strong> the<br />
Central and State Govts., Federations/<br />
Associations <strong>of</strong> Powerloom Industry<br />
as its members and is headed by the<br />
Hon’ble Union Minister <strong>of</strong> <strong>Textiles</strong> as the<br />
Chairman.<br />
MEGA CLUSTER<br />
The Schemes for mega cluster envisage<br />
support for weavers/artisans, both in and<br />
outside the cooperative fold, including<br />
those in Self Help Groups (SHGs), Non<br />
Governmental Organisations (NGOs) etc.<br />
The Schemes provide for development<br />
<strong>of</strong> all the facets <strong>of</strong> selected clusters like<br />
raw material support, design inputs, upgradation<br />
<strong>of</strong> technology, infrastructure<br />
development, marketing support, welfare<br />
<strong>of</strong> weavers etc. A convergence <strong>of</strong> the<br />
existing development interventions <strong>of</strong><br />
the <strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong> & other Ministries/<br />
Departments will be affected in these<br />
clusters. The Schemes also raise living<br />
standards <strong>of</strong> the weavers/artisans by<br />
improving the infrastructure facilities,<br />
with better storage facilities, technology<br />
up-gradation in pre-loom/on-loom/postloom<br />
operations, weaving sheds, skill upgradation,<br />
design inputs, health facilities<br />
etc.<br />
The development <strong>of</strong> 6 Mega Clusters in<br />
Handloom, Handicrafts and Powerlooms<br />
were first announced by the Finance<br />
Minister in his Budget Speech 2008-09.<br />
Consequently, following three Central<br />
Sector Plan Schemes were approved<br />
by the Cabinet Committee on Economic<br />
Affairs (CCEA) in the meeting held on<br />
20.11.2008:<br />
i) Comprehensive Powerloom Cluster<br />
Development Scheme<br />
ii)<br />
Comprehensive Handloom Cluster<br />
Development Scheme<br />
iii) Comprehensive Handicrafts Cluster<br />
Development Scheme<br />
Based on Budget Announcement made<br />
in 2008-09, 2009-10 and 2010-11, 12<br />
centres are being developed as mega<br />
clusters on a Public Private Partnership<br />
(PPP) model to scale up infrastructure and<br />
production in Handloom, Handicraft and<br />
Powerloom sectors, wherein Government<br />
contribution has been earmarked at<br />
maximum <strong>of</strong> Rs.70 crore for each mega<br />
cluster. At present, following 12 centres<br />
are being developed as Mega Clusters as<br />
in table 9.5.<br />
Handlooms:<br />
4 Mega Clusters<br />
1. Varanasi (U.P).<br />
2. Sivsagar (Assam).<br />
3. Murshidabad (W.B.).<br />
4. Virudhunagar (T.N)).<br />
Table 9.5<br />
Handicrafts:<br />
5 Mega Clusters<br />
5. Moradabad (U.P.)<br />
6. Narasapur (A.P.).<br />
7. Bhdohi-Mirzapur (U.P.).<br />
8. Srinagar (J&K).<br />
9. Jodhpur (Rajasthan)<br />
*****<br />
111<br />
Powerloom:<br />
3 Mega Clusters<br />
10. Bhiwandi (Maharastra).<br />
11. Erode (Tamil Nadu).<br />
12. Bhilwara (Rajasthan).
112<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER X<br />
HANDLOOMS<br />
113
114<br />
ministry <strong>of</strong> <strong>textiles</strong>
annual report 2011-12<br />
CHAPTER X<br />
HANDLOOM INDUSTRY<br />
The Union Minister for Commerce & Industry and <strong>Textiles</strong>, Shri Anand Sharma lighting the lamp to<br />
inaugurate the Exhibition <strong>of</strong> Handicraft and Handloom Products from West Bengal, in New Delhi on<br />
September 05, 2011. The Minister <strong>of</strong> State for <strong>Textiles</strong>, Smt. Panabaaka Lakshmi and the Secretary,<br />
<strong>Ministry</strong> <strong>of</strong> <strong>Textiles</strong>, Ms. Rita Menon are also seen.<br />
Handloom weaving is one <strong>of</strong> the<br />
largest economic activity after<br />
agriculture providing direct and<br />
indirect employment to more than 43<br />
lakh weavers and allied workers. This<br />
sector contributes nearby 15% <strong>of</strong> the<br />
cloth production in the country and also<br />
contributes to the export earning <strong>of</strong> the<br />
country. 95% <strong>of</strong> the world’s hand woven<br />
fabric comes from India.<br />
The handloom sector has a unique place<br />
in our economy. It has been sustained by<br />
transferring skills from one generation to<br />
another. The strength <strong>of</strong> the sector lies<br />
in its uniqueness, flexibility <strong>of</strong> production,<br />
openness to innovations, adaptability to<br />
the supplier’s requirement and the wealth<br />
<strong>of</strong> its tradition.<br />
The adoption <strong>of</strong> modern techniques and<br />
economic liberalization, however, have<br />
made serious inroads into the handloom<br />
sector. Competition from powerloom and<br />
mill sector, availability <strong>of</strong> cheaper imported<br />
fabrics, changing consumer preferences<br />
and alternative employment opportunities<br />
have threatened the vibrancy <strong>of</strong> handloom<br />
sector.<br />
The Government <strong>of</strong> India, since<br />
independence, has been following a<br />
policy <strong>of</strong> promoting and encouraging<br />
the handloom sector through a number<br />
<strong>of</strong> programmes and schemes. Due to<br />
various policy initiatives and scheme<br />
interventions like cluster approach,<br />
aggressive marketing initiative and social<br />
welfare measures, the handloom sector<br />
115
ministry <strong>of</strong> <strong>textiles</strong><br />
has shown positive growth and the<br />
income level <strong>of</strong> weavers has improved.<br />
The handloom fabric production has been<br />
very impressive and growth has been at<br />
the rate <strong>of</strong> 6% to 7% in the beginning <strong>of</strong><br />
the 11 th Plan. The subsequent economic<br />
downturn has affected all the sectors in<br />
India and abroad and handloom was no<br />
exception. The production had declined<br />
nominally in 2008-09. Now, there is a<br />
positive sign and production has shown<br />
positive growth. The export <strong>of</strong> handloom<br />
products has also shown a growth <strong>of</strong><br />
more than 32% in 2010-11 as compare to<br />
2009-10.<br />
In the cluster approach, efforts were<br />
made to cover groups <strong>of</strong> 100 weavers<br />
to 25000 weavers through different<br />
cluster sizes for their integrated and<br />
holistic development. Aggressive<br />
marketing initiative through marketing<br />
events (600-700 events per year) has<br />
helped weavers and their cooperative<br />
societies to understand the market trend<br />
and consumer choice, besides selling<br />
the products directly to the customers.<br />
For a focused attention on the sector,<br />
the <strong>Ministry</strong> has started celebrating<br />
‘Handloom Week’ every year.<br />
The handloom forms a precious part <strong>of</strong><br />
the generational legacy and exemplifies<br />
the richness and diversity <strong>of</strong> our<br />
country and the artistry <strong>of</strong> the weavers.<br />
Tradition <strong>of</strong> weaving by hand is a part<br />
<strong>of</strong> the country’s cultural ethos. As an<br />
economic activity, handloom is the 2 nd<br />
largest employment provider next only<br />
to agriculture. The sector about 23.77<br />
lakh handlooms provides employment<br />
to 43.31 lakh persons. Of which, 10%<br />
are scheduled castes, 18% belong to<br />
scheduled tribes, 45% OBC and 27%<br />
are from other Castes. Production in<br />
the handloom sector recorded a figure<br />
<strong>of</strong> 6949(P) million sqr.meters in the year<br />
2010-11, which is about 23.23% over<br />
the production figure <strong>of</strong> 5493 million<br />
sqr. meters recorded in the year 2003-<br />
04. During 2011-12 production in the<br />
handloom sector is reported to be 5178<br />
million sqr. meters (April – Dec.,2011)<br />
and is given at table10.1<br />
Year<br />
Table 10.1<br />
Cloth Production by Handloom Sector<br />
Cloth Production<br />
by Handloom<br />
Share <strong>of</strong> Handloom<br />
in the total cloth<br />
production<br />
Ratio <strong>of</strong> Handloom<br />
to Powerloom<br />
(in terms <strong>of</strong> cloth)<br />
Total Cloth<br />
Production*<br />
2003-04 5493 16.2 1:4.91 33874<br />
2004-05 5722 16.1 1:4.95 35573<br />
2005-06 6108 15.9 1:5.01 38390<br />
2006-07 6536 15.9 1:5.03 41161<br />
2007-08 6943 16.0 1:4.97 43265<br />
2008-09 6677 15.9 1:5.04 42121<br />
2009-10 6806 14.9 1:5.41 45819<br />
2010-11 6949 14.6 1:5.59 47083<br />
2011-12 (upto 5178 (P) 23110<br />
Dec.2011)<br />
* The total cloth production includes Handloom, Powerloom and Mill Sector excluding hosiery, khadi, <strong>wool</strong> and silk.<br />
116
annual report 2011-12<br />
The Office <strong>of</strong> the Development<br />
Commissioner for Handlooms has been<br />
implementing five schemes during 11th<br />
Five Year Plan, which are – (i) Integrated<br />
Handloom Development Scheme; (ii)<br />
Handloom Weavers Comprehensive<br />
Welfare Scheme; (iii) Marketing & Export<br />
Promotion Scheme; (iv) Mill Gate Price<br />
Scheme; and (v) Diversified Handloom<br />
Development Scheme. The scheme-wise<br />
progress is detailed below:<br />
INTEGRATED HANDLOOMS<br />
DEVELOPMENT SCHEME<br />
The Integrated Handloom Development<br />
Scheme (IHDS) envisages taking care <strong>of</strong><br />
all the needs <strong>of</strong> the weavers in a cluster<br />
in an integrated and coordinated manner.<br />
The scheme aims to focus on formation<br />
<strong>of</strong> weavers group as a visible entity,<br />
develop the handlooms weavers groups<br />
to become self-sustainable, inclusive<br />
approach to cover weavers both within<br />
and outside the cooperative fold, skill<br />
up-gradation <strong>of</strong> handlooms weavers/<br />
workers to produce diversified products<br />
with improved quality to meet the<br />
market requirements, provide suitable<br />
workplace to weavers to enable them to<br />
produce quality products with improved<br />
productivity etc.<br />
Under the scheme, clusters having about<br />
300 - 500 looms under each, are taken<br />
up for development in a time frame <strong>of</strong> 3<br />
years at an upper cost <strong>of</strong> Rs.60.00 lakh<br />
per cluster. Handloom weavers, who are<br />
not covered by the clusters, are supported<br />
through a ‘Group Approach”, which will be<br />
implemented in a project mode. A Group,<br />
consisting <strong>of</strong> 10 weavers or more, is<br />
provided financial assistance for (i) Basic<br />
inputs; (ii) Training in weaving, dyeing,<br />
designing and managerial disciplines;<br />
and (iii) Construction <strong>of</strong> Work-sheds.<br />
During the year 2011-12, there is a<br />
budgetary provision <strong>of</strong> Rs.164.70 crore<br />
(Rs.129.70 crore for General States and<br />
Rs.35.00 crore for NER States). Out <strong>of</strong><br />
Rs.164.70 crore, a sum <strong>of</strong> Rs.130.65<br />
crore has been released to various State<br />
Governments/UTs and other organizations<br />
(upto 21.02.2012). The Targets for new<br />
Clusters and Group Approach Projects for<br />
the 2011-12 have not been fixed and priority<br />
is for release <strong>of</strong> 2 nd & 3 rd instalments <strong>of</strong> the<br />
clusters and 2 nd installment <strong>of</strong> the Groups<br />
already sanctioned, 24 new Clusters have<br />
been sanctioned. A sum <strong>of</strong> Rs.59.13 crore<br />
has been released, which includes the third<br />
installment <strong>of</strong> earlier sanctioned projects.<br />
In addition, 258 Group Approach Projects<br />
have also been sanctioned and a sum <strong>of</strong><br />
Rs.13.01 crore has been released, which<br />
includes the earlier sanctioned projects.<br />
Under Marketing Incentive Component <strong>of</strong><br />
IHDS, a sum <strong>of</strong> Rs.65.98 crore has been<br />
released to various State Governments/<br />
UTs. Phase-wise number <strong>of</strong> Clusters taken<br />
up so far are given at table 10.2.<br />
Table 10.2<br />
Phase-wise number <strong>of</strong> Clusters<br />
taken up by<br />
2011-12 (upto 21.02.2012).<br />
Phase<br />
No. <strong>of</strong><br />
Clusters<br />
sanctioned<br />
No. <strong>of</strong> Group<br />
Approach<br />
Projects<br />
sanctioned<br />
Phase-I<br />
20 --<br />
(2006-07)<br />
Phase-II & III 251 --<br />
(2007-08)<br />
Phase-IV<br />
131 548<br />
(2008-09)<br />
Phase-V<br />
52 411<br />
(2009-10)<br />
Phase-VI<br />
107 829<br />
(2010-11)<br />
Phase-VII<br />
24 258<br />
(2011-<br />
12) (upto<br />
21.02.2012)<br />
Total 585 2046<br />
117
State-wise number <strong>of</strong> Clusters and Group<br />
Approach Projects taken up from 2006-07<br />
Table 10.3<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
Number <strong>of</strong> Clusters Sanctioned during 2006-07 to 2011-12 under Integrated<br />
Handlooms Development Scheme (IHDS)<br />
2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 Total<br />
(upto<br />
Sl. No.<br />
21.02.12)<br />
1 Andhra Prd. 2 26 11 2 13 1 55<br />
2 Bihar 1 9 5 1 16<br />
3 Chhattisgarh 5 3 2 10<br />
4 Delhi 0 1 1<br />
5 Gujarat 5 4 9<br />
6 Haryana 0 1 1<br />
7 Himachal Prd. 1 2 2 3 8<br />
8 Jammu &<br />
Kashmir<br />
to 2011-12 (upto 21.02.2012) are given at<br />
table 10.3 & 10.4, respectively.<br />
0 8 2 10<br />
9 Jharkhand 10 11 5 9 35<br />
10 Karnataka 1 13 5 5 24<br />
11 Kerala 1 19 5 25<br />
12 Madhya Prd. 1 10 1 4 2 18<br />
13 Maharashtra 0 6 1 7<br />
14 Orissa 2 16 7 8 5 38<br />
15 Punjab 0 0<br />
16 Rajasthan 2 0 1 3 6<br />
17 Tamilnadu 3 27 10 12 52<br />
18 Uttar Pradesh 4 21 14 8 7 54<br />
19 Uttarakhand 5 1 2 8<br />
20 West Bengal 2 25 9 5 41<br />
Total 18 195 94 31 77 3 418<br />
NER<br />
1 Arunachal Prd. 8 4 3 4 19<br />
2 Assam 1 10 5 12 12 40<br />
3 Manipur 1 19 14 6 40<br />
4 Meghalaya 4 1 2 1 8<br />
5 Mizoram 1 1 2<br />
6 Nagaland 5 9 10 5 4 33<br />
7 Sikkim 0 0<br />
8 Tripura 10 4 5 6 25<br />
Total 2 56 37 21 30 21 167<br />
Grand Total 20 251 131 52 107 24 585<br />
118
annual report 2011-12<br />
Table 10.4<br />
Number <strong>of</strong> Group Approach sanctioned during 2006-07 to 2011-12 under<br />
Integrated Handlooms Development Scheme (IHDS) (upto 21.02.2012)<br />
S.N. General 2008-09 2009-10 2010-11 2011-12<br />
(upto<br />
21.02.12)<br />
1 Andhra Prd. 127 135 90 352<br />
2 Bihar 6 6<br />
3 Chhattisgarh 6 24 30<br />
4 Delhi 0<br />
5 Gujarat 0<br />
6 Haryana 12 9 1 22<br />
7 Himachal Prd. 7 33 17 57<br />
8 Jammu & Kashmir 11 6 17<br />
9 Jharkhand 23 19 48 90<br />
10 Karnataka 18 18<br />
11 Kerala 21 21<br />
12 Madhya Prd. 7 7<br />
13 Maharashtra 54 54<br />
14 Orissa 46 30 16 92<br />
15 Punjab 0<br />
16 Rajasthan 6 10 16<br />
17 Tamilnadu 74 45 152 271<br />
18 Uttar Pradesh 76 58 200 334<br />
19 Uttarakhand 22 22 44<br />
20 West Bengal 36 29 65<br />
Total<br />
Sub Total 475 343 677 1 1496<br />
NER<br />
1 Arunachal Prd. 20 11 14 17 62<br />
2 Assam 14 14 33 34 95<br />
3 Manipur 178 178<br />
4 Meghalaya 3 14 14 3 34<br />
5 Mizzoram 13 23 36<br />
6 Nagaland 4 16 11 5 36<br />
7 Sikkim 15 15 20 50<br />
8 Tripura 17 42 59<br />
Sub Total 73 68 152 257 550<br />
Grand Total 548 411 829 258 2046<br />
119
ministry <strong>of</strong> <strong>textiles</strong><br />
2. HANDLOOM WEAVERS<br />
COMPREHENSIVE WELFARE<br />
SCHEME<br />
Since 2005-06 and 2006-07 the<br />
Government <strong>of</strong> India was implementing<br />
two separate schemes namely the ‘Health<br />
Insurance Scheme’ for providing health<br />
care facilities to the handloom weavers<br />
in the country and the ‘Mahatma Gandhi<br />
Bunkar Bima Yojana’ for providing Life<br />
Insurance Cover to handloom weavers in<br />
case <strong>of</strong> natural / accidental death, total<br />
/ partial disability due to accident. During<br />
the 11th Plan, both schemes have been<br />
amalgamated into one scheme namely<br />
Handloom Weavers’ Comprehensive<br />
Welfare Scheme. The details <strong>of</strong> the<br />
schemes are as under:<br />
2.1 Health Insurance Scheme (HIS)<br />
The revised Health Insurance scheme for<br />
Handloom Weavers is being implemented<br />
during 2010-11 & 2011-12 to enroll 17.97<br />
lakh weavers each policy year from 692<br />
clusters all over India, Zone-I (in the<br />
States <strong>of</strong> (Kerala, Karnataka, Puducherry,<br />
Tamilnadu, Andhra Pradesh, Orissa,<br />
Bihar, Chhatisgarh, Uttar Pradesh,<br />
Gujarat, Madhya Pradesh, Maharashtra,<br />
Rajasthan) and Zone-II (in the States <strong>of</strong><br />
Assam, Arunachal Pradesh, Manipur,<br />
Meghalaya, Mizoram, Nagaland, Sikkim,<br />
Tripura, Himachal Pradesh, Haryana,<br />
J& K, Jharkhand, Uttarakhand, West<br />
Bengal). The rates <strong>of</strong> premium are<br />
given at table 10.5.<br />
The annual limit per family is Rs.15,000/-<br />
out <strong>of</strong> which OPD cover will be Rs.7500/-.<br />
The scheme envisages covering (a) not<br />
only the weaver but also his wife and<br />
two children (b) all pre-existing diseases<br />
as well as new diseases and (c) has<br />
substantial provision for OPD. The<br />
ancillary handloom worker like those<br />
engaged in warping, winding, dyeing,<br />
printing, finishing, sizing, Jhala making,<br />
jacquard cutting etc. are also eligible to<br />
be covered. The progress <strong>of</strong> the scheme<br />
is given at Table 10.6.<br />
The following new initiatives have been<br />
taken in the Health Insurance Scheme for<br />
more effective implementation –<br />
1. The premium has been reduced by<br />
14% as compared to previous year.<br />
This has enabled more coverage <strong>of</strong><br />
weavers in the Policy year (2010-11)<br />
& (2011-12), i.e., 17.97 lakh weavers<br />
each as compared to 16.11 lakh<br />
weavers enrolled during the year<br />
2009-10.<br />
Table 10.5<br />
Zone-I ( 317 Clusters)<br />
Govt. <strong>of</strong> India Share<br />
Premium - Rs. 681.60<br />
Service Tax - Rs. 87.76<br />
Total - Rs. 769.36<br />
*Weaver/State Govt.<br />
contribution - Rs. 170.40<br />
Total Premium - Rs. 939.76<br />
( i.e.Rs.852.00 + 87.76)<br />
Zone-II (375 Clusters)<br />
Govt. <strong>of</strong> India Share<br />
Premium - Rs. 559.20<br />
Service Tax - Rs. 71.99<br />
Total - Rs. 631.19<br />
*Weaver/State Govt.<br />
contribution - Rs. 139.80<br />
Total Premium - Rs. 770.99<br />
(i.e.Rs.699.00 + 71.99)<br />
* The minimum contribution by weaver should be Rs.50/- even in cases where the State Govts. are making<br />
contribution on his behalf.<br />
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annual report 2011-12<br />
Table 10.6.<br />
Enrolment and Claims settled under Health Insurance Scheme (upto Dec. 2011)<br />
Policy Year Weavers’ enrolled No. <strong>of</strong> claims Settled Amount<br />
(Rs. in Cr.)<br />
2007-08 17,74,034 23,62,619 107.09<br />
2008-09 18,78,334 39,50,281 118.04<br />
2009-10 16,11,837 37,46,864 80.71<br />
2010-11<br />
17,97,513<br />
2,61,632 7.08<br />
(Policy period w.e.f.<br />
Dec.,10 to Nov.,11)<br />
(target)<br />
Cumulative Total 70,61,718 1,03,21,396 312.92<br />
2. The Service Provider has been<br />
selected for a period <strong>of</strong> two policy<br />
years, i.e., 2010-11 and 2011-12.<br />
3. The Insurance Company has its<br />
Cluster Coordinator/TPA in threefourth<br />
<strong>of</strong> 692 clusters <strong>of</strong> the country.<br />
4. Insurance Company has established<br />
tie-up with OPD/IPD for cashless<br />
facility in 90% <strong>of</strong> the handloom<br />
clusters in each State.<br />
5. For settlement <strong>of</strong> reimbursement<br />
claims, the beneficiary has to submit<br />
a claim within 60 days from the end<br />
date <strong>of</strong> policy period.<br />
6. The Insurance Company shall settle<br />
such claims within 30 days from its<br />
date <strong>of</strong> receipt.<br />
7. In case <strong>of</strong> delay <strong>of</strong> settlement, <strong>of</strong><br />
valid claims, Insurance Company<br />
pays interest on pro rata basis on<br />
the amount @ which is 2% above the<br />
bank rates prevalent at the beginning<br />
<strong>of</strong> the financial year in the year in<br />
which the claim was received by it.<br />
8. Insurance Company provides web<br />
based access, as far as possible,<br />
to data relating to enrollment, MIS<br />
reports, status <strong>of</strong> claims, balance<br />
amount left in his account (as a<br />
Statement <strong>of</strong> Treatment, on demand)<br />
9. Insurance Company conduct health<br />
camps periodically for grievance<br />
redressal, awareness and collection<br />
<strong>of</strong> claims.<br />
10. Reimbursement claims can be<br />
submitted by the beneficiary through<br />
the Cluster Coordinator <strong>of</strong> Insurance<br />
Company, TPA, through RPAD or<br />
Courier.<br />
11. A Grievance Redressal Committee<br />
has been formed in all States having<br />
more than 5000 health card holders.<br />
This Committee will constitute <strong>of</strong> 3<br />
members, will meet monthly to receive<br />
and settle complaints/grievances and<br />
to settle them within 60 days <strong>of</strong> the<br />
complaint being filed. The cost <strong>of</strong> the<br />
above Committee will be borne by<br />
the Insurance Company<br />
12. Insurance Company is responsible to<br />
provide all information under RTI or<br />
for Audit purposes to any authorized<br />
Government agency or O/o DCHL,<br />
as and when required.<br />
2.2 Mahatma Gandhi Bunkar Bima<br />
Yojana (MGBBY)<br />
The MGBBY is being implemented<br />
through the Life Insurance Corporation<br />
<strong>of</strong> India. The contribution <strong>of</strong> the annual<br />
premium <strong>of</strong> Rs.470/- per member under<br />
the scheme is at table 10.7.<br />
121
ministry <strong>of</strong> <strong>textiles</strong><br />
Table 10.7<br />
Annual Premium <strong>of</strong> MGBBY<br />
GOI contribution<br />
Rs.290/-<br />
LIC’s contribution<br />
Total premium<br />
During the 11 th Plan, the benefits<br />
available under the MGBBY have been<br />
substantially increased as compared to<br />
what was available during the 10 th Plan<br />
(Table 10.8).<br />
Table 10.8<br />
Comparative Benefits under MGBBY<br />
S.<br />
No.<br />
(i)<br />
(ii)<br />
(iii)<br />
(iv)<br />
Details<br />
Natural<br />
Death<br />
Accidental<br />
Death<br />
Total<br />
Disability<br />
Partial<br />
Disability<br />
Benefits<br />
during the<br />
10 th Plan<br />
Rs. 50,000/-<br />
Rs.80,000/-<br />
Rs.50,000/-<br />
Rs.25,000/-<br />
Benefits<br />
from 1.10.07<br />
Weavers’ Contribution Rs. 80/-<br />
Rs.100/-<br />
Rs.470/-<br />
Rs.60,000/-<br />
Rs.1,50,000/-<br />
Rs.1,50,000/-<br />
Rs.75,000/-<br />
In addition to the above, under the<br />
MGBBY, a Scholarship <strong>of</strong> Rs.300/- per<br />
quarter per child is paid to students<br />
studying in standard IX to XII for a<br />
maximum period <strong>of</strong> four years or till they<br />
complete XII standard, whichever event<br />
occurs earlier. The benefit is restricted<br />
to two children <strong>of</strong> the member covered.<br />
Details <strong>of</strong> enrolment and claims settled<br />
under Mahatma Gandhi Bunkar Bima<br />
Yojana are given at table 10.9, 10.10<br />
and 10.11.<br />
Table 10.9<br />
Scholarships given under MGBBY<br />
Policy Year<br />
Number <strong>of</strong><br />
Scholarships<br />
given<br />
Amount<br />
(Rs. In<br />
Crore)<br />
2007-08 49170 Rs.04.03<br />
2008-09 59173 Rs.05.24<br />
2009-10 72793 Rs.06,87<br />
2010-11 155552 Rs.12.34<br />
2011-12 28470 Rs.04.24<br />
Policy Year<br />
Table 10.10<br />
Enrolments under MGBBY<br />
Weavers enrolled<br />
2007-08 466484<br />
2008-09 575909<br />
2009-10 526317<br />
2010-11 520831<br />
2011-12 6,00,000<br />
(target)<br />
Table 10.11<br />
Claims settled under MGBBY<br />
2008-09 2009-10 2010-11<br />
No.<br />
Amt.<br />
(Rs.<br />
Cr)<br />
No.<br />
Amt.<br />
(Rs.<br />
Cr)<br />
No.<br />
Amt.<br />
(Rs.<br />
Cr.)<br />
2011-12<br />
(upto<br />
Dec.,11)<br />
No.<br />
Amt.<br />
(Rs.<br />
Cr.)<br />
3696 21.1 3491 21.25 3719 22.74 2518 15.46<br />
59173 5.24 72793 6.87 155539 12.30 32770 4.60<br />
3. MARKETING & EXPORT PROMOTION<br />
SCHEME<br />
The Marketing Promotion envisages a<br />
wide gamut <strong>of</strong> activities for the promotion<br />
and marketing <strong>of</strong> handloom products,<br />
which inter alia includes (i) Organising<br />
Exhibitions, Events and Craft Melas, (ii)<br />
Setting up <strong>of</strong> Urban Haats, (iii) Setting<br />
up <strong>of</strong> Marketing Complexes/Handloom<br />
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annual report 2011-12<br />
Havelies, (iv) Publicity and Awareness<br />
and Brand building, (v) Geographical<br />
Indication Act, and (vi) Handloom House at<br />
Janpath. During the current financial year<br />
2011-12, as on 31 st January, 2012, 740<br />
marketing events have been sanctioned<br />
to various State Governments/ State<br />
Handloom agencies.<br />
Brand building through Handloom Mark<br />
The Handloom Mark has been launched<br />
to serve as a guarantee to the buyer<br />
that handloom product being purchased<br />
is a genuine handwoven product and<br />
not a powerloom or mill made product.<br />
Handloom Mark will be promoted and<br />
popularized through advertisements in<br />
newspapers and magazines, electronic<br />
media, syndicated articles, fashion<br />
shows, films etc. The <strong>Textiles</strong> Committee<br />
is the Implementing agency for promotion<br />
<strong>of</strong> Handloom Mark. As on 31st Jan.,<br />
2012, 241.21 lakh (cumulative) handloom<br />
mark labels have been sold to 8737<br />
stakeholders. 812 retail outlets are selling<br />
handloom goods with handloom mark<br />
label.<br />
The new beneficiaries included in the<br />
Handloom Mark Scheme to get the<br />
benefits are: Self Help Groups, Joint<br />
Liability Groups, Consortia, Producer<br />
companies, Handloom Weavers Groups<br />
or any other legal entity, or organization<br />
involved in Handloom activities and<br />
approved by Development Commissioner<br />
for Handlooms with a one time registration<br />
fee <strong>of</strong> Rs. 500.00.<br />
Sale price <strong>of</strong> one label has been brought<br />
down from Rs. 1.25 to 60 paise and<br />
application forms are available free <strong>of</strong><br />
cost. The Registration fee for individual<br />
weavers is Rs. 25 and for Master weaver<br />
Registration fee is Rs.500.<br />
Handloom Marketing Complex, Janpath,<br />
New Delhi:<br />
Handloom Marketing Complex at Janpath,<br />
New Delhi with the objective to provide<br />
infrastructure support to handloom<br />
agencies to augment their sales is under<br />
construction. This handloom marketing<br />
complex will showcase the exquisite<br />
varieties <strong>of</strong> handlooms produced all over<br />
the country by the adept weavers and<br />
will also act as a forum for the promotion<br />
<strong>of</strong> handloom products in the domestic<br />
as well as international markets. The<br />
complex is likely to be completed by the<br />
mid <strong>of</strong> 2012.<br />
Sant Kabir Award<br />
This award is conferred every year,<br />
beginning from the year 2009, on such<br />
outstanding weavers who have made<br />
valuable contribution in keeping alive<br />
the handloom heritage and also for<br />
their dedication in building up linkages<br />
between the past, present and the future<br />
through dissemination <strong>of</strong> knowledge on<br />
traditional skills and designs. Weavers<br />
will be conferred every year.<br />
Each award consists <strong>of</strong> one mounted<br />
gold coin, one shawl and a citation. In<br />
addition, financial assistance to the extent<br />
<strong>of</strong> Rs. 6.00 lakh is also given to each <strong>of</strong><br />
the Sant Kabir Awardee to innovate and<br />
create 10 new products <strong>of</strong> high level <strong>of</strong><br />
excellence, <strong>of</strong> high aesthetic value and <strong>of</strong><br />
high quality. 10 handloom weavers have<br />
been selected to confer Sant Kabir Award<br />
for the year 2009.<br />
Handloom Week<br />
To promote, popularize and create<br />
awareness about the handloom products<br />
Handloom Week is celebrated every year<br />
from 21st Dec. to 27th Dec. During the<br />
Handloom week, number <strong>of</strong> promotional<br />
and awareness programmes, publicity<br />
123
ministry <strong>of</strong> <strong>textiles</strong><br />
through newspapers, magazines, outdoor<br />
publicity, through electronic media were<br />
undertaken.<br />
Marketing Events<br />
The target <strong>of</strong> marketing events for the<br />
year 2011-12 has been increased to 700<br />
No. from 680 No. sanctioned during the<br />
year 2010-11 to give adequate opportunity<br />
to handloom weavers and their societies<br />
to market their products directly to the<br />
consumers without the intervention <strong>of</strong> the<br />
middlemen. 740 marketing events have<br />
been sanctioned during the current year<br />
2011-12 till 31 st Jan., 2012.<br />
Exhibition <strong>of</strong> Handloom Products<br />
Exhibition-cum-Sale <strong>of</strong> Handloom<br />
Items during the ‘India Day’ at Lal<br />
Bahadur Shastri National Academy <strong>of</strong><br />
Administration (LBSNAA), Mussoorie<br />
was organised during July 2011 and<br />
again in Oct. 2011.<br />
A Buyer Seller Meet was organized in<br />
September 2011 at Jaipur to promote<br />
and preserve traditional Kota Doria and<br />
showcased wide range <strong>of</strong> Kota Doria<br />
products.<br />
A Master Creation Programme has been<br />
organised at Dilli Haat, INA, New Delhi<br />
from 1 st to 15 th Dec. 2011 wherein National<br />
awardees have exhibited their products<br />
for sale directly to the public. Loom<br />
demonstration has also been made during<br />
the programme. An exhibition cum sale<br />
‘Himcraft’ <strong>of</strong> <strong>wool</strong>en products developed<br />
in clusters <strong>of</strong> Himachal Pradesh was held<br />
during the “Handloom Week” on 24-26 th<br />
December, 2011 at India Islamic Center,<br />
New Delhi where the Handloom weavers<br />
exhibited and sold their products to public.<br />
The Geographical Indications <strong>of</strong> Goods<br />
The Geographical Indications <strong>of</strong> Goods<br />
(Registration & Protection) Act 1999<br />
provides legal protection to Geographical<br />
Indications <strong>of</strong> goods etc., and prevents<br />
unauthorized use <strong>of</strong> these by others. Under<br />
Marketing & Export Promotion Scheme<br />
this <strong>of</strong>fice provides Rs.1.50 lakh to register<br />
the handloom items under Geographical<br />
Indications. Financial assistance to register<br />
35 items have been provided by this <strong>of</strong>fice<br />
so far to various States.<br />
Export Promotion<br />
The objective <strong>of</strong> the Handloom Export<br />
Promotion is to assist the handloom<br />
Cooperative Societies, Corporations/Apex<br />
and handloom exporters to participate in<br />
international events, buyer-seller meets<br />
etc. and to make available the latest<br />
designs, trends, colour forecasts etc.<br />
Under this Component, assistance is given<br />
for (i) Export Project, (ii) Participation<br />
in International fairs & exhibitions, and<br />
(iii) Setting up <strong>of</strong> Design studios. During<br />
the year 2010-11, 03 Export Projects<br />
were sanctioned and various handloom<br />
agencies participated through HEPC in 23<br />
international fairs/exhibitions. During the<br />
current year 2011-12, participation in 22<br />
international fairs have been approved.<br />
4. MILL GATE PRICE SCHEME<br />
(MGPS)<br />
This scheme was introduced during<br />
1992-93 with the objective <strong>of</strong> providing<br />
all types <strong>of</strong> yarn to the handloom<br />
weavers’ organizations at the price at<br />
which it is available at the Mill Gate.<br />
National Handloom Development<br />
Corporation (NHDC), Government <strong>of</strong><br />
India Undertaking, is the nodal agency<br />
for implementation <strong>of</strong> the scheme.<br />
All types <strong>of</strong> yarn required for production<br />
<strong>of</strong> handloom items are covered under<br />
the scheme. Under the scheme,<br />
the Government <strong>of</strong> India provides<br />
transportation expenses involved in the<br />
supply <strong>of</strong> the hank yarn to handloom<br />
124
annual report 2011-12<br />
sector. There is also a provision for<br />
supply <strong>of</strong> yarn through Yarn depots and<br />
expenses <strong>of</strong> operation <strong>of</strong> the Yarn depots<br />
@ 2.5% <strong>of</strong> value <strong>of</strong> yarn is provided by<br />
Government <strong>of</strong> India. 788 yarn depots<br />
are operational throughout the country<br />
as on 31.12.2011. Under the Mill Gate<br />
Price Scheme, following assistance is<br />
provided:-<br />
(i) Freight reimbursement for<br />
transportation <strong>of</strong> yarn.<br />
(ii) Expenses <strong>of</strong> operating the yarn depot<br />
@ 2.5%, based on actuals.<br />
(iii) Service Charges to the NHDC..<br />
To <strong>of</strong>fset the increase in fuel cost and<br />
ensure availability <strong>of</strong> arn in handloom<br />
clusters in far flung areas <strong>of</strong> the country<br />
at the same price at which it is available<br />
at yarn manufacturing mills, the rate <strong>of</strong><br />
freight reimbursement for transportation<br />
have been enhanced and revised rate <strong>of</strong><br />
freight reimbursement admissible under<br />
the MGPS for supply <strong>of</strong> yarn is given at<br />
table 10.12.<br />
Table 10.12<br />
Maximum Freight Rate<br />
Reimbursement under the MGPS<br />
Item<br />
Plain<br />
Area<br />
Hills/<br />
remote<br />
Area<br />
NE<br />
Region<br />
Yarn Other than 2.5% 2.5% 5.00%<br />
Silk/Jute<br />
Silk Yarn 1.00% 1.25% 1.50%<br />
Jute/Jute<br />
blended yarn<br />
10.00% 10.00% 10.00%<br />
Supply <strong>of</strong> yarn by the National Handloom<br />
Development Corporation (NHDC) under<br />
the Mill Gate Price Scheme has gone up<br />
considerably and registered a figure <strong>of</strong><br />
1105.96 lakh kgs. valued at Rs.1195.50<br />
crore in the year 2010-11. During the<br />
year 2011-12 (upto Dec., 2011), 638.98<br />
lakh kgs yarn valued at Rs.739.81 crore<br />
has been supplied by the NHDC under<br />
the scheme. The details <strong>of</strong> yarn supplied<br />
under MGPS during the 11 th Plan is given<br />
attable 10.13.<br />
Table 10.13<br />
Progress <strong>of</strong> Mill Gate Price Scheme<br />
Year<br />
Qty<br />
(In lakh kg.)<br />
Yarn supply<br />
Value<br />
(Rs. In crore)<br />
2007-08 678.46 563.05<br />
2008-09 855.12 793.77<br />
2009-10 1081.21 987.32<br />
2010-11 1105.96 1195.55<br />
2011-12<br />
(upto Dec.,<br />
2011)<br />
638.98 739.81<br />
10% Price Subsidy on Hank Yarn<br />
To address the issue <strong>of</strong> yarn availability at<br />
reasonable prices to handloom weavers<br />
and their organization, the Cabinet has<br />
approved on 18 th December, 2011 a new<br />
component 10% Price Subsidy on Hank<br />
Yarn alongwith enhancement <strong>of</strong> rate <strong>of</strong><br />
freight reimbursement (as indicated in<br />
Table 10.10) under MGPS. Under this new<br />
component <strong>of</strong> MGPS, 10% price subsidy<br />
on domestic silk yarn and cotton hank<br />
yarn will be provided by the Government<br />
to ensure supply <strong>of</strong> subsidised yarn to<br />
handloom sector.<br />
The National Handloom Development<br />
Corporation, State Governments and their<br />
Apex/Corporations will be implementing<br />
agencies. A yarn pass book will be issued<br />
and the subsidized yarn will be supplied<br />
either to individual handloom weavers<br />
or to their self help groups, cooperative<br />
societies etc., but not to both.<br />
5. DIVERSIFIED HANDLOOM<br />
DEVELOPMENT SCHEME (DHDS)<br />
The Central Sector Diversified Handloom<br />
Development Scheme (DHDS) aims at<br />
125
upgrading the skills <strong>of</strong> the handloom<br />
weavers through organization <strong>of</strong> workshops<br />
and exhibitions, design development,<br />
documentation <strong>of</strong> traditional designs and<br />
providing linkage and meeting the market<br />
requirements. This scheme includes<br />
components such as Strengthening <strong>of</strong><br />
Weavers Service Centres/Indian Institutes<br />
<strong>of</strong> Handloom Technology. Setting up <strong>of</strong><br />
new WSCs/IIHTs, National Centre for<br />
Textile Design (NCTD), Research &<br />
Development (R&D) and Conducting<br />
Third Census and issue <strong>of</strong> Photo Identity<br />
Cards to Handloom Weavers & allied<br />
workers have been major components <strong>of</strong><br />
the Scheme during XI Plan. Against the<br />
approved outlay <strong>of</strong> Rs.24.10 crore, a sum<br />
<strong>of</strong> Rs.12.48 crore have been incurred till<br />
31.01.12. The component wise progress<br />
is detailed below:<br />
ministry <strong>of</strong> <strong>textiles</strong><br />
Third Handloom Census and issue<br />
<strong>of</strong> Photo Identiy cards to Handloom<br />
weavers :<br />
The work <strong>of</strong> conducting “Third National<br />
Handloom Census and issue <strong>of</strong><br />
Photo Identity Cards (PIC) to all the<br />
eligible weavers” has been completed<br />
successfully. The report <strong>of</strong> the Handloom<br />
Census <strong>of</strong> India (2009-10) was released<br />
on 23.12.2010 and work <strong>of</strong> issuing Photo<br />
identity cards commenced through<br />
MOS(T) on that day. Subsequently,<br />
the PICs have been delivered to the<br />
State Governments concerned across<br />
the country for onward distribution to<br />
the eligible weavers and allied workers<br />
concerned. The highlights <strong>of</strong> the census<br />
are given in table 10.14 & 10.15.<br />
Table 10.14<br />
Handloom Units, Weavers and Allied Workers, and Number <strong>of</strong> Handlooms<br />
(as per Handloom Census)<br />
(Figures in lakhs)<br />
Handloom Units<br />
Weavers and<br />
Allied Workers<br />
No. <strong>of</strong> Handlooms<br />
1 First Census (1987-88) 29.97 67.4 37.8<br />
2 Second Census (1995-96) 25.24 65.5 34.71<br />
3 Third Census (2009-10) 28.2 43.31 23.71<br />
Table 10.15<br />
Comparative Outcome-as per Handloom Census 1995-96 v/s 2009-10:<br />
Parametre<br />
Second Census<br />
(1995-96)<br />
Third Census<br />
(2009-10)<br />
Mandays’ worked per weaver household (days) 197 234<br />
Share <strong>of</strong> full time weavers to total weavers 44% 64%<br />
Share <strong>of</strong> weavers’ household reporting less than a<br />
metre production per day<br />
Share <strong>of</strong> weavers’ household reporting more than<br />
60% income from handloom and related activities<br />
68% 46%<br />
31% 35%<br />
Share <strong>of</strong> idle handlooms 10% 4%<br />
126
annual report 2011-12<br />
Weavers’ Service Centres (WSCs):<br />
At present, twenty five Weavers Service<br />
Centres (WSCs) are located across the<br />
country. These WSCs pay a vital role in<br />
imparting training to weavers, upgrading<br />
the skill and productivity <strong>of</strong> weavers.<br />
They have developed new designs and<br />
revived traditional ones. WSCs also<br />
render extension services which involve<br />
transfer <strong>of</strong> design inputs, skills and<br />
technology to weavers. All the WSCs are<br />
functioning under Non-plan. During the<br />
year 2010-11, a sum <strong>of</strong> Rs.2799.22 lakh<br />
(Non-plan) had been incurred against RE<br />
budget <strong>of</strong> Rs.2866.33 lakh. During the<br />
current financial year 2011-12, an amount<br />
<strong>of</strong> Rs.2560 Lakh has been incurred upto<br />
October,2011 against the budget provision<br />
<strong>of</strong> Rs.2965 lakh.<br />
Indian Institutes <strong>of</strong> Handloom Technology<br />
(IIHTs):<br />
The Indian Institutes <strong>of</strong> Handloom<br />
Technology (IIHTs) provide qualified<br />
and trained manpower to the Handloom<br />
Sector and undertake experimental and<br />
research programmes on all aspects<br />
<strong>of</strong> the handloom <strong>industry</strong>. Five IIHTs<br />
are presently functioning each one at<br />
Varanasi, Salem, Guwahati, Jodhpur and<br />
Bargarh in the Central Sector. In order<br />
to cater the needs <strong>of</strong> handloom sector for<br />
technically qualified manpower, provision<br />
for opening new IIHTs in the Central Sector<br />
wherever required, has been made in the<br />
XI Five Year Plan. In principle approval<br />
for setting up an IIHT at Shantipur (West<br />
Bengal) has been accorded recently<br />
by the Hon’ble Commerce, Industry &<br />
<strong>Textiles</strong> Minister, vide his announcement<br />
dated 4.11.2011.<br />
Setting up IIHT at Bargarh (Orissa):<br />
In pursuance to the Hon’ble Prime<br />
Minister’s announcement in August,<br />
2006, an Indian Institute <strong>of</strong> Handloom<br />
technology (IIHT) has been set up at<br />
Bargarh (Orissa) w.e.f. 2.6.2008 from<br />
the Panchayat College Campus, Bargarh<br />
(Orissa). Construction <strong>of</strong> its own building<br />
is in progress. Against the total cost <strong>of</strong><br />
Rs.36.09 crore, an amount <strong>of</strong> Rs.19.05<br />
crore has been released to CPWD<br />
authorities concerned upto 2011-12 (upto<br />
30.11.2011). Every year, 30 students are<br />
<strong>of</strong>fered admission in three years Diploma<br />
Course in Handloom Technology and 21<br />
students have been passed out their DHT<br />
course till April, 2011 from IIHT, Bargarh.<br />
Apart from the above, four IIHTs are<br />
also functioning at Venkatagiri (Andhra<br />
Pradesh), Gadag (Karnataka), Champa<br />
(Chhattisgarh) and Kannur (Kerala) under<br />
the State Sector.<br />