Ministry of Textiles11-March, 2013 16:36 IST
Incentives to Handloom Sector

 

 

 

 

As per all India handloom census 2009-10, there are 43.31 lakh handloom weavers and allied workers in the handloom sector. State wise details of the handloom workers are given in Annexure-I.  For the overall development of handloom sector including employment generation, Govt. of India has taken up various policy initiatives and scheme interventions through schemes such as cluster approach, technological upgradation, marketing assistance, revival of viable and potentially viable societies, availability of subsidized yarn and credit, besides providing health and life insurance cover to the handloom weavers.  During 2011-12, a new scheme Integrated Skill Development Scheme (ISDS) has been introduced to upgrade the skills and employability of the handloom weavers.

 

The Government is aware of various constraints/problems that weavers are facing across the country including cases of their miserable conditions and disparity in the prices of yarn.  To address the issue of yarn supply at mill gate price, the Government has been implementing Mill Gate Price Scheme through the National Handloom Development Corporation (NHDC) to the eligible handloom weavers.  Further, to provide the subsidized yarn only to handloom weavers in order to enable them to compete with powerloom and mill sector, a new component of 10% price subsidy on hank yarn has been incorporated in the Mill Gate Price Scheme w.e.f. 6.1.2012.  Cotton and domestic silk required for production of handloom items are covered under the 10% price subsidy scheme.

 

Following schemes are being implemented by the Government for handloom sector:-

(i)     Integrated Handlooms Development Scheme (IHDS).         

(ii)    Marketing & Export Promotion Scheme (MEPS).

(iii)  Handloom Weaver’s Comprehensive Welfare Scheme.

(iv)   Diversified Handlooms Development Scheme (DHDS).

(v)    Mill Gate Price Scheme (MGPS).

(vi)   Revival, Reform and Restructuring (RRR) package as well as Comprehensive Package for handloom sector.

 

Funds allocated /released and utilized under various schemes during the last two years and the current year for all the schemes are given at Annexure-II to VII.

 

The Government provides loan to the handloom weavers at concessional rates. Under Institutional Credit component of IHDS, individual weavers are eligible to get margin money @ Rs.4200/- per weaver, interest subvention @ 3% for three years and credit guarantee cover of loan under CGTMSE scheme. Further, a interest subvention for loan to handloom sector at interest rate of 6% has now been announced in the budget of 2013-14.

 

The Government is also implementing Revival, Reform and Restructuring (RRR) package for handloom sector for loan waiver of handloom cooperatives and individual weavers eligible for waiver under the scheme. The RRR package aims at waiving the overdue loans and interest of eligible handloom cooperative societies and individual weavers and provides fresh credit with interest subsidy of 3% for 3 years with credit guarantee to the societies and weavers which are covered under the RRR package.  Further, interest subvention for fresh credit at interest rate of 6% is applicable to this component also as per the Budget announcement. State-wise list of cooperatives societies and handloom weavers benefitted from the scheme is at Annexure-VII.

 

(The Government of India provides financial support to the State Governments and other eligible organizations to organize trade fairs and exhibitions all over the country including metro cities to provide marketing platform to the handloom weavers and their cooperative societies.  The state-wise financial assistance provided including to the state of Bihar for the last two years and the current year is enclosed in Annexure IV.

 

 

 

Annexure-I

 

State-wise total numbers of Handloom workers as per Handloom Censuses

1995-96 and 2009-10

 

Sl. No.        State                                   No. of Handloom workers

                                                                 

1.                  Andhra Pradesh           355838

2.                 Arunachal Pradesh     33041

3.                 Assam                                1643453

4.                 Bihar                                 43392

5.                 Chhattisgarh                  8191

6.                 Delhi                                  2738

7.                 Goa                                     0

8.                 Gujarat                             11009

9.                 Haryana                           7967

10.               Himachal Pradesh      13458

11.                Jammu & Kashmir      33209

12.               Jharkhand                      21160

13.               Karnataka                       89256

14.               Kerala                               14679

15.               Madhya Pradesh          14761

16.               Maharashtra                  3418

17.               Manipur                           218753

18.               Mizoram                           43528

19.               Meghalaya                       13612

20.              Nagaland                         66490

21.               Odisha                              114106

22.               Puducherry                     2803

23.               Punjab                              2636

24.               Rajasthan                        31958

25.               Sikkim                               568

26.               Tamil Nadu                     352321

27.               Tripura                             137177

28.              Uttar Pradesh                257783

29.               Uttarakhand                   15468

30.              West Bengal                    779103

                     Total                                  43,31,876

 

                                                                                                                                                                     

 

 

 

Annexure -II

Integrated Handloom Development Scheme

 

Statement showing State-wise funds released and UCs received for the last two year and current year under Integrated Handlooms Development Scheme (IHDS)  during 2010-11 to 2012-13

 

(Rs.in lakh)

Sl. No.                       State                                         2010-11                                       2011-12           2012-13

General State        Amount released                Amount utilized
(upto January 2013)              Amount released                Amount utilized
(upto January 2013)              Amount released (as on 6.3.2013)

                                    General                                                                                            

1.                                  Andhra Pradesh                      1392.77      669.79                       958.06  0          890.87

2.                                 Bihar         178.30                    0                 104.93                       0            0

3.                                 Chhattisgarh                           259.08       78.67                         93.90    15.86   82.98

4.                                 Delhi          301.47                    0                 26.83                         0            20.19

5.                                 Gujarat      77.06                      77.06          200.13                       193.55   133.67

6.                                 Haryana    46.56                      0                 7.63                            0            0

7.                                 Himachal Pradesh                  244.09       235.49                       343.44  217.56 159.54

8.                                 Jammu & Kashmir                 191.64        90.04                         71.20     0          40.79

9.                                 Jharkhand                               384.32       277.02                       890.03 75.00  0

10.                               Karnataka 172.56                    172.56        562.05                       196.44   73.25

11.                                Kerala        124.32                    124.32        916.60                       239.58  0.00

12.                               Madhya Pradesh                     308.56       272.31                        279.62  163.71 394.52

13.                               Maharashtra                            310.52        196.68                       221.79   43.53  62.41

14.                               Odisha       712.54                    491.94        1410.12                      798.01  637.83

15.                                Punjab       0                             0                 15.35                          0            0

16.                               Rajasthan 171.93                     98.57          49.92                         19.78     0

17.                                Tamilnadu                               4867.84     4792.58                     4455.74 3251.62 1058.35

18.                               Uttar Pradesh                          1305.56      1305.56                     1201.16 633.53 1638.96

19.                               Uttarakhand                            306.04       162.89                       109.74   0          33.91

20.                               West Bengal                            901.67        750.26                       1594.45 1034.83 276.89

21.                               Other Organizations              1033.73      1033.73                     1655.00            1402.53 3047.75

Total (A)                 13290.54 10829.47             15167.69  8285.53                  8551.90

NER State                                                                                                                           

1.                                  Arunachal Pradesh                187.54        187.54                        471.62   358.41            0

2.                                 Assam        1024.58                 727.17         1096.52                     0            739.88

3.                                 Manipur    616.76                    616.76        1915.93                      459.90  347.37

4.                                 Meghalaya                                260.73       260.73                       546.01   150.08 32.14

5.                                 Mizoram   197.50                    15.58          60.22                         39.33    50.05

6.                                 Nagaland   802.34                   802.34       1918.66                     1883.08           463.47

7.                                 Sikkim       47.12                      47.12          67.24                         59.48    0.00

8.                                 Tripura      298.56                   298.56       704.83                       0            11.42

9.                                 Other Organizations              74.15           74.15                          0            0          0.00

                                    Total (B)                                3509.26   3029.94                   6781.04          2950.28 1644.33

Grand Total (A + B)                16799.80             13859.42 21948.73                 11235.81         10196.23

 

 

 

Annexure-III

 

 Details of funds allocated and released under the Handloom Weavers comprehensive Welfare Scheme during last two years and current year:-

 

Year    Funds allocated

(Budget allocation)                      Funds released & utilized

                                                         HIS                                           MGBBY

2010-11      Rs.170.00 Cr.             Rs.101.11 Cr.                            Rs.14.37 Cr.

2011-12      Rs.104.50 Cr.              Rs.57.63 Cr.                             Rs.09.33 Cr.

2012-13      Rs.150.00 Cr.             Rs.87.87 Cr.                            Rs.17.15 Cr.

Total           Rs.424.50 Cr.             Rs.246.61 Cr.(upto Feb.,13)  Rs.40.85  Cr. (upto Feb.,13)

                                                         HIS + MGBBY = Rs.287.46 Cr.

Under both the schemes funds are released directly to the implementing agencies i.e. ICICI Lombard General Insurance Company Ltd., for enrolment of weavers under HIS and to the Life Insurance Corporation for coverage under MGBBY

 

Annexure- IV

 

State-wise funds released and utilized for the last two years and in the current year under the Marketing and Export Promotion scheme (As on 28.02.2013):-

( Rs. in crore)

Sl.No.                              Name of States        2010-11                           2011-12  2012-13

                                         Amt. released          Amount utilized           Amt. released  Amount utilized          Amt. released      Amount utilized

1.       Andhra Pradesh 2.04      1.97              3.26            1.70               0.32              0.20

2.      Arunachal  Prd.  1.75       1.75               0.38           0.38              -                     -

3       Assam                   5.73       5.73              4.60           4.60              3.43              0.98

4.      Bihar                     0.04      0.04             0.39           0.27              0.43              0.04

5.       Chhattisgarh       1.12       1.12               2.07            0.73              0.96              0.48

6.      Delhi                     0.16       0.16              0.09           0.03              0.06              -

7.       Goa                        0.00      -                    0.00           -                     -                     -

8.      Gujarat                 0.27      0.27              0.89           0.18              0.03              -

9       Haryana               0.33      0.24             0.15            0.15               -                     -

10     Himachal Pradesh           0.61              0.61            0.58              0.58              0.27          0.03

11.     J&K                       0.28      0.28             0.35            0.02              0.32              -

12      Jharkhand           0.18      0.05             0.00           -                     -                     -

13      Karnataka            1.37       1.37              1.86            1.11                1.03               -

14      Kerala                   0.00      -                    0.21            0.02              0.19               -

15.     Madhya Pradesh 0.93      0.89             0.74            0.46              0.77               0.02

16.     Maharashtra       0.99      0.99             1.84            1.11                1.46               0.35

17      Manipur               1.64       1.64              1.72            1.72               1.05               0.27

18.    Meghalaya           0.42      0.42             0.58           0.58              0.05              -

19      Mizoram              0.05      0.05             0.14            -                     -                     -

20     Nagaland                 2.33   2.33              2.37            2.25               1.76               1.10

21      Odisha                  1.09       0.97              0.59            0.20              0.23              -

22     Puducherry         0.00      -                    0.00           -                     -                     -

23     Punjab                  0.00      -                    0.00           -                     -                     -

24     Rajasthan             0.38      0.09             0.11            0.08              0.53              -

25     Sikkim                  0.13       0.13              0.52            0.52              0.47              0.41

26     Tamil Nadu         1.44       1.32              1.70            0.40              -                     -

27     Tripura                 0.44      0.44             1.10            1.10               0.30              -

28     Uttar Pradesh     2.09      2.09             2.49            0.91               1.66               0.07

29     Uttarakhand           0.43   0.22             0.38           0.08              0.28              0.06

30     West Bengal           1.80   0.75              0.46           0.23              0.25              -

          Total                    28.04  25.92          29.57        19.41            15.85           4.01

 


 

Annexure-V

Diversified Handloom Development Scheme (DHDS):

          (Rs. in Crores)

Year                           Allocated           Utilized

2010-11                      20                        17.78

2011-12                      24.10                   13.34

2012-13                     20                        16.49 ( up to Feb 2013)

 

Funds under this schemes are provided for   infrastructure for WSCs and IIHTs, R&D activities and training/ workshops etc.  and released directly to these institutions.

 

Annexure-VI

 

The funds allocated/released under MGPS during last two years and current year is as under:-

Year                                                        Funds allocated/released (Rs. In crore)

2010-11                                                   54/65.00

2011-12                                                   55.60/54.27

2012-13(upto February 2013)            385/109.07

Under MGPS funds are released only to NHDC and not to any State Government.

 

 

Annexure-VII

Revival Reform and Restructuring Package

 

State-wise handloom cooperatives and individual weavers benefitted under RRR Package.

 

 

            State                            Details of beneficiaries

                                                  handloom cooperatives           

                                                  Apex               Primary                Individual

1          2                                    3                       4                              5

1.         Andhra Pradesh         1                        322                          8458

2.         Assam                          1                        8                              2483

3.         Bihar                            0                       0                              1593

4.         Chhattisgarh              0                       80                            137 

5.         Delhi                            0                       61                             0

6.         Gujarat                        2                       172                           419

7.         Haryana                       0                       2                               69

8.        Himachal Pradesh     1                        64                            371

9.         Jammu & Kashmir    0                       0                              0

10.       Jharkhand                  0                       27                             369

11.       Karnataka                   1                        142                           377

12.       Kerala                          0                       124                           1112

13.       Madhya Pradesh        0                       43                            75

14.       Maharashtra               0                       1                               0

15.       Manipur                      1                        0                              1614

16.       Mizoram                      1                        69                            79

17.       Odisha                         1                        38                            10256

18.       Punjab                         1                                                     0

19.       Rajasthan                    0                       24                            216

20.      Sikkim                         0                       1                               0

21.       Tamil Nadu                 1                        764                          520

22.      Uttarakhand               0                       2                               46

23.      Uttar Pradesh             12                      929                          21620

24.      West Bengal               0                       438                          1407

            Total                           23                     3311                        51084

 

This information was given by the Minister of State Textiles, Smt. Panabaaka Lakshmi in a written reply in the Lok Sabha today.

 

   

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DS/RK

 

 

 


(Release ID :93426)