Lok Sabha Question No. 137 (UNSTARRED), answered on 2019-06-21
Subject: Development and Restoration of Handloom Units
Ministry: TEXTILES
Asked by: Hibi Eden

## LOK SABHA UNSTARRED QUESTION  NO.137 TO BE ANSWERED ON 21.06.2019

## DEVELOPMENT AND RESTORATION OF HANDLOOM UNITS

## 137. SHRI HIBI EDEN:

## Will the Minister of TEXTILES वस्त्र मंरी

be pleased to state:

- (a) whether  the  Government  is  providing/  proposes  to  provide  any  special  package  for  the development and restoration of the handloom industry; if so, the details thereof;
- (b) whether  the  Government  has  taken  note  of  the  hardships  of  the  female  workers  in 'Chendamangalam' handloom weaving cluster in Kerala which suffered destruction in the recent floods in Kerala;
- (c) if so, the details thereof; and
- (d) whether the Government has any concrete plan to revive the weaving clusters and mitigate the  hardships  of  the  'Chendamangalam'  women  handloom  weavers  and  if  so,  the  details thereof?

## उत्तर

## ANSWER

## वस्त्र मंरी ( श्रीमती स्मृ तत ज़ूबिन इरानी )

MINISTER OF TEXTILES (SMT. SMRITI ZUBIN IRANI)

- (a) For holistic development of handloom sector, Ministry of Textiles is implementing  the following schemes across the country :
- (i) National Handloom Development Programme (NHDP);
- (ii) Comprehensive Handloom Development Scheme (CHCDS);
- (iii) Handloom Weavers Comprehensive Welfare Scheme (HWCWS) ; and
- (iv) Yarn Supply scheme

Under the above schemes, financial assistance is  provided  for  raw  materials,  purchase  of looms and accessories, design innovation, product diversification, infrastructure development, skill upgradation, marketing of handloom products, loans at concessional rates etc.

## A. National Handloom Development Programme (NHDP)

- (i) Block Level Cluster: Introduced in 2015-16 as one of the components of National Handloom Development Programme (NHDP).   Financial  assistance  upto  Rs.  2.00 crore  per  BLC  for  various  interventions  such  as  skill  upgradation,  Hathkargha Samvardhan  Sahayata,  product  development,  construction  of  workshed,  project management cost, design development, setting up of common facility centre (CFC) etc. is provided. Besides, financial assistance upto Rs. 50.00 lakh is also available for setting up of one dye house at district level.
- (ii) Handloom Marketing Assistance is one of the components of National Handloom Development Programme.  In order to provide marketing platform to the handloom agencies/weavers to sell their products directly to the consumers, financial assistance is provided to the States/eligible handloom agencies for organising marketing events in domestic as well as overseas markets.
- (iii) Weavers'  MUDRA  Scheme: Under  the  Weavers'  Mudra  Scheme,  credit  at concessional  interest  rate  of  6%  is  provided  to  the  handloom  weavers.    Margin money assistance to a maximum of Rs. 10,000 per weaver and credit guarantee for a period  of  3 years  is  also  provided. MUDRA  portal has  been  developed  in association with Punjab National Bank to cut down delay in disbursement of funds for margin money and interest subvention.

## B. Handloom Weavers' Comprehensive Welfare Scheme

Weavers Comprehensive Welfare Scheme (HWCWS) is providing life, accidental and disability insurance coverage under the components Pradhan Mantri Jivan Jyoti Bima  Yojana  (PMJJBY),  Pradhan  Mantri  Suraksha  Bima  Yojana(PMSBY)  and Converged Mahatma Gandhi Bunkar Bima Yojana(MGBBY).

## C. Yarn Supply Scheme:

Yarn Supply Scheme is being implemented throughout the country to make available  all  types  of  yarn  at  Mill  Gate  Price.  The  scheme  is  being  implemented through National Handloom Development Corporation.  Under the Scheme freight is reimbursed and depot operating charges @2% is given to depot operating agencies. A component of 10% price subsidy also exists on hank yarn, which is applicable on cotton, domestic silk and woollen yarn with quantity caps.

## D. HATHKARGHA SAMVARDHAN SAHAYATA (HSS):

Hathkargha Samvardhan Sahayata (HSS) was introduced on 1st December 2016 with an objective to provide looms/accessories to the weavers to enhance their earnings through  improved  productivity  and  quality  of  the  handloom  products.  Under  the scheme,  90%  of  the  cost  of  loom/accessory  is  borne  by  the  Government  of  India while remaining 10% is borne by the beneficiary. The Government of India's share is  released  directly  in  the  Bank  account  of  the  beneficiary  through  designated agency.

## E.       EDUCATION OF HANDLOOM WEAVERS AND THEIR CHILDREN:

Ministry  of  Textiles  has  signed  Memoranda  of  Understanding  with  Indira  Gandhi National  Open  University  (IGNOU)  and  National  Institute  of  Open  Schooling (NIOS)  to  secure  educational  facilities  for  the  weavers  and  their  families.    NIOS offers Secondary and Senior Secondary level education with specialized subjects on design,  marketing,  business  development,  etc.  through  distance  learning  mode  for handloom weavers, whereas IGNOU offers continuing education programs through accessible and flexible learning opportunities relevant to the aspirations of handloom weavers and their children for career progression.

Ministry  of  Textiles  is  providing  reimbursement  of  75%  of  the  fee  towards admission to NIOS/IGNOU courses in case of SC, ST, BPL, and Women learners belonging to handloom weavers' families.

- F. ' India Handloom' Brand - During the celebration of 7th August 2015 as National Handloom Day, 'India Handloom' Brand was launched by Hon'ble Prime Minister for  branding  of  high  quality  handloom  products.  It  promotes  production  of  niche handloom products with high quality, authentic traditional designs with zero defect and zero effect on environment. Since its launch, 1232 registrations have been issued under 122 product categories and sale of Rs. 689.72 crore as reported on 31-03-2019.
- G. e-commerce - In order to promote e-marketing of handloom products, a policy frame work was designed  and  under  which  any  willing  e-commerce  platform  with  good track record can participate in online marketing of handloom products. Accordingly, 23  e-commerce  entities  have  been  engaged  for  on-line  marketing  of  handloom products. A total sales of Rs. 34.72 crore has been reported through the online portal as on 31-03-2019
3. (b)to(d)   To overcome hardships due to destruction in the recent flood in Kerala, State Government of  Kerala  has  requested  'Chendamangalam'  Handloom  Societies  to  submit  a  revival project  for  extending  financial  assistance.    The  following  are  the  details  of  the  project under consideration of State Government of Kerala, submitted by the 'Chendamangalam' Handloom Societies:

| Sl.No.                                                                 | Components                                                                           | Approx. estimate   |
|------------------------------------------------------------------------|--------------------------------------------------------------------------------------|--------------------|
| 1.                                                                     | Building (ground&1 st floor)                                                         | Rs.93,60,199.00    |
| 2.                                                                     | Shed for Natural Drying Unit (PVC water tank with 5000 ltrs. Capacity with pump set) | Rs.42,10,008.00    |
| 3.                                                                     | Machinery and utilities                                                              | Rs.30,01,184.00    |
| 4.                                                                     | Electrical installations and panel boards                                            | Rs.10,00,000.00    |
| 5.                                                                     | Cost of Diesel Generator 125 KV                                                      | Rs.13,00,000.00    |
| 6.                                                                     | Effluent Treatment Plant                                                             | Rs.30,00,000.00    |
| 7.                                                                     | Furniture                                                                            | Rs.05,00,000.00    |
| Total cost                                                             | Total cost                                                                           | Rs.2,23,71,391.00  |
| Contingency @ 5% of project cost to cover the price escalation, if any | Contingency @ 5% of project cost to cover the price escalation, if any               | Rs.11,18,570.00    |
| Total capital investment required for the project                      | Total capital investment required for the project                                    | Rs.2,34,89,961.00  |

Also,  a  Common Facility Centre has  been approved by the State Government of Kerala for 'Chendamanglam' in Ernakulam District.

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