National Handloom Day 2024| Handloom Sector in India UPSC

NATIONAL HANDLOOM DAY 2024

Source: PIB

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Context

Prime Minister Shri Narendra Modi on 7 August wished the people on occasion of National Handloom Day.

Details

The handloom sector in India holds significant cultural and economic importance.
It is one of the largest unorganized economic activities and a major source of livelihood, especially in rural and semi-rural areas.
The sector is rich with a variety of weaving traditions that reflect India's cultural diversity.

Historical Significance

Handloom weaving in India dates back to the Indus Valley Civilization and has been an integral part of Indian culture and heritage.
Each region has developed its unique style, such as Patola from Gujarat, Jamdani from Uttar Pradesh, and Pochampally from Telangana.
These handloom products are known for their intricate designs, vibrant colors, and use of natural fibers like cotton, silk, and wool.

Economic Significance

Employment Generation: The handloom sector is the second-largest employment generator in India after agriculture, providing jobs to over three million artisans, including a substantial percentage from marginalized communities like SC, ST, and OBC.
Export Driver: Indian handloom products are in demand globally, especially in developed countries and the Middle East. The sector's exports have consistently exceeded USD 300 million annually.
Sustainability: Handloom products are eco-friendly, made from organic materials, and involve minimal use of power, making them a sustainable choice.

Key Statistics

Total Handloom Workers: Approximately 35.22 lakh

Total Women Handloom Workers: Approximately 25.46 lakh (72.29% of total)

Major Handloom States: Assam, West Bengal, Manipur, Uttar Pradesh

Urban vs Rural: Majority (90%) of handloom workers are in rural areas

Education Levels: 25% of weavers have not received any formal education

Economic Contribution: Exports of handloom products stood at US$ 266.88 million in FY22

Export Trends

Major Products: Mats and mattings, carpets, rugs, bedsheets, and cushion covers.

Export Centers: Key centers include Karur, Panipat, Varanasi, and Kannur.

Export Figures: In 2022-23, India's export of handloom products like mats and mattings constituted 12.40% of the total handloom exports.

Challenges

Despite its rich heritage and economic significance, the handloom sector faces several challenges:

Market Demand: There is a lack of consistent market demand, which affects the income and sustainability of handloom weavers.
Access to Capital: Many weavers struggle with limited access to credit and capital, which hampers their ability to invest in quality raw materials and modernize their production processes.
Competition from Powerlooms: The handloom sector faces stiff competition from powerloom and mill-made textiles, which are often cheaper and produced in larger quantities.

Celebrating Handloom Heritage

National Handloom Day, observed on August 7, commemorates the Swadeshi Movement's launch in 1905, which played a crucial role in reviving the Indian handloom industry during the independence struggle.
The day highlights the contributions of the handloom sector to India's heritage and the importance of supporting weavers.
In 2024, National Handloom Day was marked by a special event, "Virasat," showcasing handloom products from various regions, workshops on natural dyes, design, and export, and cultural activities

State-wise Handloom

*State/UT*	*Major Handloom Products*
Andhra Pradesh	Kalamkari, Pochampally Ikkat
Arunachal Pradesh	Shawls, Jackets, Skirts
Assam	Assam Silk, Muga Silk
Bihar	Tussar Silk, Bhagalpuri Silk
Chhattisgarh	Kosa Silk
Delhi	Carpets, Rugs
Goa	Bedspreads, Tablecloths
Gujarat	Bandhani, Patola
Haryana	Durries, Furnishings
Himachal Pradesh	Kullu Shawls, Kinnauri Shawls
Jammu and Kashmir	Pashmina Shawls, Carpets
Jharkhand	Tussar Silk
Karnataka	Ilkal Sarees, Kasuti Embroidery
Kerala	Kasavu Sarees, Mundu
Ladakh	Woolen Shawls, Carpets
Madhya Pradesh	Chanderi Sarees, Maheshwari Sarees
Maharashtra	Paithani Sarees
Manipur	Phanek, Innaphi
Meghalaya	Shawls, Stoles
Mizoram	Puanchei, Puandum
Nagaland	Naga Shawls, Mekhela
Odisha	Sambalpuri Sarees, Ikat
Puducherry	Home Furnishings, Towels
Punjab	Phulkari, Shawls
Rajasthan	Kota Doria, Bandhani
Sikkim	Woolen Carpets, Blankets
Tamil Nadu	Kancheepuram Silk, Madurai Sungudi
Telangana	Pochampally Ikkat, Gadwal Sarees
Tripura	Risa, Rignai
Uttar Pradesh	Banarasi Sarees, Brocades
Uttarakhand	Woolen Shawls, Rugs
West Bengal	Baluchari Sarees, Tangail Sarees
Total	-

Schemes for the Handloom Sector in India

*Scheme/Initiative*	*Description*	*Key Features*	*Target Group*	*Funding/Support*
National Handloom Development Programme (NHDP)	Facilitates the sustainable development of handloom weavers.	Need-based assistance, product development, infrastructure support.	Handloom weavers and clusters	Government grants and technical support
Comprehensive Handloom Cluster Development Scheme (CHCDS)	Builds mega handloom clusters with at least 10,000 looms each.	Development plans, technology advancement, marketing complexes, dye houses.	Handloom clusters in select regions	Up to Rs. 30 crores per cluster
Handloom Weavers’ Comprehensive Welfare Scheme (HWCWS)	Provides social security and welfare benefits to handloom weavers.	Insurance coverage (life, accidental, disability), financial assistance for education.	Handloom weavers and their families	Various insurance schemes (PMJJBY, PMSBY, MGBBY)
Weavers Mudra Scheme	Supports the credit needs of the handloom sector.	Credit at 6% interest rate, margin money support, credit guarantee.	Handloom weavers	Margin money up to Rs. 10,000, 3-year credit guarantee
Yarn Supply Scheme (YSS)	Ensures availability of yarn at Mill Gate Price.	Freight reimbursement, 10% price subsidy on hank yarn for cotton, silk, wool, and linen.	Handloom weavers	Subsidized yarn through National Handloom Development Corporation
Handloom Marketing Assistance (HMA)	Promotes marketing of handloom products.	Development of domestic and export marketing channels, linkage between markets.	Handloom weavers and cooperatives	Financial assistance for marketing initiatives
Pradhan Mantri Credit Scheme for Powerloom Weavers	Facilitates credit access for powerloom weavers.	Credit at subsidized interest rates, margin money assistance.	Powerloom weavers	Margin money subsidy, interest subsidy
Export Promotion Scheme	Enhances the export potential of handloom products.	Assistance for participation in international fairs, exhibitions, and buyer-seller meets.	Handloom exporters	Financial assistance for participation and travel
Design and Technology Upgradation Scheme	Improves design and technological capabilities of handloom sector.	Support for modern looms, CAD/CAM systems, design workshops.	Handloom weavers and clusters	Financial support for technology and design upgrades
Bunkar Mitra Helpline	Provides assistance and information to handloom weavers.	Toll-free helpline for queries related to schemes, benefits, and grievances.	Handloom weavers and workers	Operational support from Ministry of Textiles
Mega Handloom Cluster Scheme	Focuses on holistic development of major handloom clusters.	Interventions like infrastructure development, skill upgradation, and marketing support.	Handloom clusters	Significant funding based on cluster needs
Handloom Reservation Act	Protects handloom weavers from competition from powerlooms and mill sector.	Reservation of certain textile items exclusively for production by handlooms.	Handloom weavers	Legal protection and enforcement
Research & Development Scheme	Promotes research in the handloom sector for innovation and development.	Funding for research projects, collaboration with textile research associations.	Research institutions and handloom organizations	Financial grants for approved research projects
Handloom Award Schemes	Recognizes outstanding contributions and promotes excellence in the handloom sector.	National Awards, Sant Kabir Awards, and other recognition for exemplary work.	Individual weavers, cooperatives, and organizations	Awards and cash prizes
PM-MITRA (Mega Integrated Textile Region and Apparel) Scheme	Aims to create world-class infrastructure for the textile industry.	Development of 7 Mega Textile Parks over 3 years, enabling infrastructure, skill development, and manufacturing.	Textile sector including handloom	Government investment up to Rs. 4,445 crore
SAMARTH (Scheme for Capacity Building in Textile Sector)	Enhances skills of the handloom workers.	Training programmes, skill development initiatives, employment linkages.	Textile workers including handloom weavers	Financial and technical support for training initiatives

Fourth All India Handloom Census (2019-2020)

*Category*	*Statistics*
Total Handloom Worker Households	31,44,839
Total Weaver Households	25,45,000
Total Handloom Workers	26,73,891
Total Allied Workers	8,48,621
Weaver Households by Income	- < ₹5,000: 67.1% - ₹5,001-₹10,000: 26.2% - ₹10,001-₹15,000: 4.5% - ₹15,001-₹20,000: 1.0% - > ₹20,001: 1.2%
Total States and UTs Covered	31
Total Looms	27,82,000
New Enumeration	Transgenders enumerated separately for the first time
Total Number of Female Weavers	72.3% of the total weavers
Handloom Cloth Production (2018-2019)	1,619 million square meters
Average Annual Income	₹43,727
Top States by Number of Weavers	Assam, West Bengal, Manipur, Tamil Nadu, Andhra Pradesh

State-wise Data (Top 5 States)

*State*	*Weaver Households*	*Allied Worker Households*
Assam	10,90,573	1,34,293
West Bengal	2,67,793	1,02,00
Tamil Nadu	2,86,267	54,100
Andhra Pradesh	53,660	45,000
Manipur	11,195	34,100

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Sources:

PIB

PRACTICE QUESTION

Q: Discuss the significance of the handloom sector in India’s socio-economic landscape. What are the major challenges faced by the handloom weavers, and how do government schemes aim to address these issues? Critically analyze the effectiveness of these schemes. (250 words)