Analysis of Handloom
Industry
(Via example of “Eco
Tusur Silk”)
2 Introduction
One of the oldest and the ancient industry in India is the
Handloom Industry. The industry is famous for its
elegance in hand printing, weaving, and handing
spinning.
the function’s of the industry takes place from the
households where the family members contribute
together and put in joint efforts for the production of the
beautiful and elegant products.
Their strength or the strong point is the fact that there
way production is eco friendly and doesn’t involve the
use of power and capital.
Due to the non usage of power and capital they can
easily innovate and transform the product as per the
requirement of the dealers.
3
The handloom industry is presently regarded as the
largest economic activity in India after agriculture,
generating direct as well as indirect employment for
more than 3 million weaver households.
According to the third Handloom Census, there were
a sum of 23.77 lakh lingers in the nation, of which
roughly 87% were being worked in the country zones.
Further, out of a sum of 43.31 lakh people occupied
with weaving and associated activities, 84% were in
country regions.
4 Exports of Handloom
Industry
India was the second biggest exporter of handloom
items on the planet, with fares esteemed at US$ 353.9
million out of 2017-18.
Rugs furthermore, other textile floor covers were the
second biggest handloom send out fragment.
Articles of attire also, garments embellishments, not
knitted or stitched was the third biggest portion of fare,
with estimation of trades estimated at US$ 14.8 million,
and an offer of 4.2%.
5 Imports of handloom
industry
The imports of handloom products doubled from US$
5.4 million in 2016-17 to US$ 10.8 million during 2017-18.
However, over a larger frame, imports recorded a
negative CAGR of (-) 12.9%, as the value of imports
declined from US$ 18.8 million in 2013-14 to US$ 10.8
million in 2017-18.
6
PESTLE Analysis
Political:-
The Government of India, since independence, has been
proactively involved in promoting this sector. Our country
has been the land of khadi, and handlooms have been an
integral part of our cultural heritage.
The setting up of the All-India Handloom Board was to
prepare schemes for the development of the handloom
sector. The Handloom Industries Development Act in 1953
was passed by the Parliament of India.
Economical:-
India is an emerging economy , with a large pool of skilled and
cheap work force, Entrepreneurial skills Efficient multi-fiber
raw material manufacturing capacity, Large domestic
market and Flexible textile manufacturing systems.
Infact, the weaving Industry is largest provider of work
force; creating unlimited supply. Furthermore, its
7 contribution to the gross domestic product of India is
around 3%
Social :-
India is a country of social diversities having different sub-
cultures, languages, customs, religions, castes, etc.
However, just like weaving several different yarns, this
leads to a perfectly strong and unified front.
Technological:-
change on the technological front has led to a long-term
decline of this labour intensive sector. Handloom
weavers who make traditional items such as saris,
dhotis, bed sheets and shawls have been hit the
hardest and contribute to the production. Out of the
38 million people employed in the weaving industry
12.4 million, or close to 33%, are concentrated in this
declining part of the sector.
Environmental :-
8 The environmental infrastructure presents as an advantage for
the weaving tie and dye process; especially source of
flowing natural water and humidity for drying these fabrics.
This goes hand in hand with the blooming economical
position India is in today.
Legal:-
the legal aspects of India’s new laws to preserve this dying art;
reserves being passed to protect several weaving
techniques across India. Additionally, the Indian
governments efforts are directed towards the establishment
of a free, fair, transparent and fully informed market
Porters Five forces model
9
10 Government Plan
National Handloom Development Programme
The programme has been conceived with the objective
of promoting the handloom industry.
It also aimed to recapitalize viable handloom
cooperative societies and ensure provision of subsidized
credit to handloom weavers and cooperative societies
Comprehensive Handloom Development Scheme
This scheme seeks to support weavers, both within and
outside the cooperative umbrella, towards acquisition of
raw materials, design inputs, technology up-gradation
11 Eco Tasar Silk
Eco Tasar is known for bringing out designs and
weaving styles to hitherto un/sub-serviced markets.
This gives us an edge over local wholesale suppliers
who normally do not carry such inventory.
Additionally, Eco tasar introduces a large number of
designs in quick succession to keep buyers’ interest
alive.
The ability to leverage design and a wide outreach
into the market has helped Eco Tasar differentiate
itself from the competition
The products are positioned in the mid-price-bracket,
which makes them attractive to working women who
need an elegant but affordable product.
12 Weave A Hope initiative
from Eco Tasar
the Weave A Hope initiative from EcoTasar, is primarily
aimed at providing a sustainable livelihood for them,
while ensuring commercial viability for the company.
Woven around the aspirations of tens of thousands of
tribal silkworm rearers, poor rural women yarn makers
and handloom weavers in the hinterlands of India,
More than 1900 people are currently being impacted
under this programme.
Future Aspirations
13
14 Conclusion
The handloom industry, when examined using PEST
analysis, revealed that political and economic factors
are the reasons for its sustenance and relevance.
Government intervention through its various schemes
has given a strong political support. The exports data
from the handloom sector too are quite impressive,
indicating favorable economic environment
As our Prime Minister has expressed, ‘Handlooms are
‘diwan-e-khas’ and power-loom is ‘diwan-e-aam’.
Handlooms are going to be the strongest foundation
for future luxury. Eventually, luxury is going to boil down
to slow, organic production, community-building and
marketing stories around the power of the human
hand. Nothing will remain tantamount to luxury other
than handlooms,”
15
THANK
YOU
