Handloom Sector - Is it struggle for survival or survival for struggle?

Sometimes nothing is more misleading than the statistics interpreted in isolation. This equally applies to some of the most important activity sectors in this country. For example, when it comes to the contribution to the GDP the list of the contributories is led by service sector with around 54 per cent share, followed by industry with little over 26 per cent and agriculture with less than 20 per cent. However, agriculture in terms of employment still remains a major employment provider in this country with almost two third of the share in employment. Agriculture also derives its importance as it feeds teeming millions and but for the green revolution it is very difficult to imagine what India would have been doing if we were still to continue in that "ship to mouth" PL480 regime. While in any growing economy the share of agriculture in the overall GDP always declines in favour of secondary and tertiary sector, it will be disastrous to under write its importance. Similarly, when it comes to the textile sector even today an impression persists linking it with large organized sector composite textile mills. Yes, this sector did dominant during the initial years of our independence. In the 60s, close to over 80 textile mills in Ahmedabad alone produced around 25 per cent of the cloth produced in India! This sector however today been relegated into more or less a background and a new powerful sector has emerged producing over 60 per cent of the cloth produced in this country. Yes, I am talking about powerlooms. Surat alone today produces 26 million meter of cloth every day. This works out to be around 18 km every minute!

In the same manner, a sector which perhaps has not been assigned the rightful place under the sun in terms of its capacity as well as employment potential is the handloom sector. Basking in the past glory we remember that finely crafted muslin (malmal) of Dhaka now in Bangladesh. The saris produced in south as well as Banaras are symbolic of the rich heritage - a journey through timeless part in the past which made these textiles stand out as premium products in the world market. Today, even the handloom sector plays a very important role in the country's economy as one of the largest economic activities providing direct employment to around 7 million people. This sector also accounts for almost one-eighth (12%) share of cloth produced in India. The flexibility and versatility permits production of a specialised variety of cloth to cater to a niche market. However with all said and done this sector, which is dotted by a large number of small artisans, has its own problem. Strangely enough in this era of high-tech fast moving activities handloom is considered to be a sunset industry. The march of mechanisation, sophistication and modernisation seems to be eating into this sector. The vulnerability of this sector also comes from the fact that by and large it is a traditional artisan driven micro activity handled by and large by the people whose educational background and capacity to catch on with the changing world has serious limitations. The changing socioeconomic conditions and the wind of globalisation is taking its own toll. The institutions for promotion of this sector are no lesser to be blamed. Instead of emerging as strong extension centres feeding this sector with appropriate knowledge and guiding them to produce value added items these institutions by and large have become subsidy driven activities and perhaps rest contend with organising Gandhi Jayanti Discount Sales and at times handloom and handicrafts exhibitions! The dynamism one would expect from these institutions for promoting the handloom sector seems to be on a waning curve. At the same time, the sector once up on a time symbolised the commitment to the freedom movement and also the endorsement to the domestic goods no more remains that prominent. It has lost more perhaps because with the end of Gandhian era and new generation of politicians in the public life the commitment to the institutions in this sector and the patronage from the union as well as state governments has also considerably dried off.

As a result of this if we go by the information available from the office of the Textile Commissioner, the total production of cloth by all sectors, i.e. mill, powerloom, handloom, knitting and khadi, wool and silk has shown an upward trend. Total production of cloth has increased from 42,034 mn. sq. mtrs during 2001-02 to 49,577 mn. sq. mtrs during 2005-06 registering an annual rate of growth of 4.0 per cent during the last five years. The relative share of production of cloth from mill, handloom powerloom (including khadi, wool, silk) and knitting sector is about 3 per cent, 12 per cent, 64 per cent and 21 per cent respectively during 2005-06. The details for 2006-07 may not be much different. It is quite evident from this that while powerlooms has emerged as a very powerful sector this has taken a heaviest toll of the composite textile mills followed by handloom sector.

Yet, there is one thing common between powerloom and handloom sector. Both have to depend for their principal raw material namely yarns on the organized sector. In case of handlooms, this sector uses the yarns in hanks form. It is therefore made compulsory by the union government under Hank Yarn Packaging Notification that the spinning mills must pack a certain specified percentage of the yarn produced in the hank form. This is to ensure that the handloom sector is not starved of the raw material.

The government on their part have set up various agencies to render assistance to this sector covering the areas like - input support, textile design, working capital requirement etc. There are specific incentives for the exports of handloom productions. The Finance Minister recognising the role of this sector made a special mention while presenting Union Budget 2007-08 when he said that the cluster approach will be popularised for promotion and growth of this sector. There are about dozen schemes which are being regrouped for the assistance of this sector during the Eleventh Plan. There is an umbrella organisation functioning under the Development Commissioner for Handlooms with headquarters at Delhi. In terms of schemes as well as agency infrastructure, there seems to be enough on the paper and yet you ask Dr. Narasimha Reddy, Co-ordinator, Centre for Handloom Information and Policy, Chirala (A.P) and he says "it is time that government recognised the value of the handloom sector in achieving sustainable development of the country. On its own government would never be able to provide employment to such a large workforce. Government has to ensure a level playing field for this sector towards health competition among the different sub-sectors of textile industry." One could not agree less with Dr. Reddy. However, my personal belief is that it was the freedom movement and the Gandhian culture that set up institutions of khadi and handloom. There was a time when spinning and weaving khadi were symbolic with the national pride. Khadi symbolised commitment to the swadeshi and also willingness to sacrifice for the nation. It was a symbol of strength and character. This provided therefore a ready market of committed khadi supporters. Let us honestly agree that times have changed. There are certain things like Gandhi Jayanti Sales which are symbolic rather than anything else. The institutions which were once up on a time headed by people of high stature and commitment can not claim today a similar leadership. Perhaps because of this the voice of this sector is becoming increasingly low pitched with bureaucracy ruling the roost. I think, the basic problem lies here. The changed scenario and still changing times, in fact, must have a support of dynamic organisation which spearheads the development. Unfortunately, this is yet a far fetched dream. This sector needs to be reoriented with suitable training and skills inputs to get into value added products for a niche market. Their effort then should be supported by a dynamic marketing organisation both at home as well as in the global market. This can only answer the needs of this sector and help it survive.

Finally, one would be better placed to be guided by the wisdom which the most respected crystal gazer - thinker Elwin Toffler has stated somewhere. I vaguely remember having read him saying that every field of the activity will be dominated by technology. Those who adopt it would prosper and those who would not will disappear like Dinosaurs! I think, in this present era of fittest survival, this sector will have to develop intrinsic strengths answering the need of the hour. And there would like the difference between death and survival.