Lok Sabha Question No. 2014 (UNSTARRED), answered on 2022-07-28
Subject: Khadi Garments
Ministry: MICRO,SMALL AND MEDIUM ENTERPRISES
Asked by: Vivek Narayan Shejwalkar

## GOVERNMENT OF INDIA

## MINISTRY OF MICRO, SMALL AND MEDIUM ENTERPRISES

## LOK SABHA UNSTARRED QUESTION NO. 2014 TO BE ANSWERED ON 28.07.2022

## KHADI GARMENTS

## 2014. SHRI VIVEK NARAYAN SHEJWALKAR:

Will the Minister of MICRO, SMALL AND MEDIUM ENTERPRISES be pleased to state:

- (a) the details of the schemes being implemented to promote the use of Khadi garments; and
- (b) whether the Government has made any scheme for the marketing of Khadi garment, if so, the details thereof?

## ANSWER

## MINISTER OF STATE FOR MICRO, SMALL AND MEDIUM ENTERPRISES (SHRI BHANU PRATAP SINGH VERMA)

(a) & (b): Ministry  of  MSME,  through  Khadi  and  Village  Industries  Commission  (KVIC), implements the following schemes/programmes for promotion of Khadi, including Khadi garments, under Khadi Vikas Yojana (KVY) in the country:

- i)        Modified  Market  Development  Assistance  (MMDA):  under  this  sub-scheme  of  KVY, KVIC provides Market Development Assistance to the Khadi Institutions for infrastructure development  and  for  marketing  support.  The  propaganda,  Publicity  and  Exhibitions  are also  organized  by  KVIC  to  help  in  marketing  of  products  manufactured  by  the  Khadi Institutions  and  entrepreneurs  promoted  by  the  KVIC.  An  amount  of  Rs.  268.64  crore financial assistance was disbursed to 1175 Khadi institutions during financial year 202122.
2. ii)  Interest Subsidy Eligibility Certificate (ISEC): under this sub-scheme Khadi Institutions can avail  loan  from  Banks  to  cater  to  their  Working  Capital  needs  and  are  to  pay  only  4% interest and remaining part of the interest charged by the Bank is borne by the Govt. of India.  An  amount  of  Rs.  34.11  crore  was  disbursed  to  1421  Khadi  institutions  during financial year 2021-22.
3. iii)  'Strengthening of Infrastructure of Weak Khadi Institutions and Assistance for Marketing Infrastructure':  under  this  sub-scheme  financial  assistance  is  provided  to  existing  weak Khadi Institutions for strengthening of their infrastructure and for renovation of selected Khadi  sales  outlets.  An  amount  of  Rs.  3  crore  has  been  disbursed  on  infrastructure development  to  28  Khadi  institutions.  Under  the  marketing  assistance  component,  an amount of Rs. 4.02 crore was disbursed to 30 Khadi institutions for modernization of sales outlets.

A number of steps/initiatives have been taken by the Ministry of MSME, through Khadi & Village Industries Commission (KVIC), to encourage the use of Khadi.  Details are at Annexure.

* * * * *

## Annexure referred to in reply to part (a)&(b) of the Lok Sabha Unstarred Question No. 2014 for answer on 28.07.2022

The steps/initiatives taken by the M/o MSME to encourage the use of Khadi is as follows:

1. To ensure genuineness of Khadi 'Khadi Mark' has been notified by Government of India.
2. Ministry  of  Commerce  and  Industry,  Govt.  of  India  has  extended  Khadi  and  Village Industries Commission (KVIC), the status of Deemed Export Promotion Council (EPC), for supporting promotion of Khadi and Village Industries (KVI) products in international market. As on date, 2890 Khadi Institutions have taken its membership to enter the field of export. KVIC through its assisted institutions and units participates in various international exhibitions.
3. Tie up arrangements with premier institutions like Federation of Indian Export Organization (FIEO), World Trade Centre (WTC), Indian Trade Promotion Organization (ITPO), Trade Promotion Council of India etc., for invigorating business opportunities in the overseas market by conducting exhibitions and workshops for Khadi Institutions.
4. To  promote  the  Khadi  Sector,  KVIC  is  establishing  Centre  of  Excellence  for  Khadi (CoEK) with the technical support of NIFT, New Delhi at NIFT Delhi (Hub Centre) and its four spokes at Gandhinagar, Kolkata, Shillong, Bangalore to help Khadi Institutions to effectively design,  produce and market high quality differentiated Khadi  products in the Indian and global market. Under the project, CoEK has created a Khadi Knowledge Portal (KKP)  in  which  designs,  specifications  with  sketches  uploaded  for  viewing  by  Khadi Institutions for replication.
5. To  create  unique  identity  of  'Khadi',  Ministry  of  Commerce  &  Industry  conveyed  the allocation of separate HS Code for 11 numbers of Khadi products on 4.11.2019 so that the brand is protected and the international trades of our heritage products are tracked.
6. KVIC  has  engaged  fashion  designer  of  national  and  international  repute  for  Fashion Designing to make Khadi products more competitive and appealing in the domestic as well as overseas market segment.
7. KVIC  participated/exhibited/promoted  Khadi  products  in  various  exhibitions during different occasions which gives an opportunity and a strong platform to showcase quality of KVI products.
8. Considering the need of present generation and the effect of COVID-19 pandemic, KVIC has started online selling of all KVI products. KVI products are available to every Indian's door step through www.ekhadiindia.com, www.khadiindia.gov.in.
9. MoU has been signed  with  the  Ministry  of  Tribal  Affairs,  Govt.  of  India  for  supply  of Khadi Polyvastra fabric for making uniforms for its 75,000 students worth Rs. 14.77 crore.
10. MoU  has  been  signed  with  the  Central  Armed  Police  Forces  (CAPFs)  canteens  under clarion call of our Hon'ble Prime Minister for 'Atmanirbhar Bharat' for supply of KVI products.
11. Marketing  tie-ups  with  Railways,  Department  of  Posts,  Air  India,  ONGC  and  other Government organizations.
12. Tie-ups  with  Corporates  namely  Raymond,  Aditya  Birla  and  Arvind  Mills  to  enhance visibility and sales of Khadi products
13. KVIC has launched 'franchise scheme' to expand the sales distribution network.
14. KVIC has taken up production of Khadi Masks as an income generation activity for the COVID-19 pandemic affected artisans of Khadi Institutions. So far, supply of more than 25.86 lakhs Khadi masks worth Rs 7.02 crore was made to different Government Offices. They are also available through GeM Portal and online sale for end-users.