Khadi and Village
Industries Commission Generating Employment
Khadi and Village Industries Commission (KVIC) is a propagation of
the ideas imbibed by Mahatma Gandhi. The growth of the industry has been
symbolized in the simple charkha or the spinning wheel. Under the inspiration of Mahatma Gandhi, the national struggle
for India 's
political independence witnessed a concomitant struggle for the preservation,
protection and encouragement of rural industries. The unequal competition from
cheap mill-made products threatened employment and livelihood of the rural
artisans and craftsmen.
Gandhiji put a premium on simplicity in life style and
consumption. The Gandhian strategy for Indian development was linked to
enhanced utilization of the vast mass of surplus manpower and its active
involvement in production processes. In the Gandhian idiom, cottage and
village industries represent a support structure to a life style. The view,
that village industries and crafts are an important part of rural life and should
be vigorously protected to ensure sustenance to a self- reliant village, is
essentially an outcome of the traditionalist philosophy, articulated so
forcefully by Gandhi. It was infact, a reactive approach --- a defence
mechanism against the onslaught of the British industry.
The real India resides
in Rural India. Large portion of the rural population of India acting as one of the major sources of its
economy is supported by Cottage Industries which is responsible for having
hugely preserved the cultural heritage of India .
The
Khadi and Village Industries Commission is implementing major employment
generation schemes in the country. The sector has been able to provide
employment opportunities to 16.07 lakh number of persons during the XI Five
Year Plan Period.
The Prime
Minister’s Employment Generation Programme (PMEGP) scheme has been a major tool
to generate employment opportunities through setting up of micro enterprises in
the country. It is a
credit-linked subsidy programme where the General category beneficiaries can
avail of margin money subsidy of 25% of the project cost in rural areas and 15%
in urban areas and for beneficiaries belonging to special categories such as
scheduled castes, scheduled tribes, OBCs, minorities, women, ex-servicemen, physically
handicapped, beneficiaries belonging to North
Eastern Region, hill and border areas, etc., the margin money subsidy is 35% in
rural areas and 25% in urban areas. The maximum cost of project is Rs. 25 lakh
in the manufacturing sector and Rs. 10 lakh in the service sector.
The scheme
has received very encouraging response from unemployed masses as well as the
major implementing partner viz. banks in the country especially in the North Eastern
States as well as state
of Jammu & Kashmir. During 2011-12 against the stipulated Margin money
target of Rs. 80.00 Crore
set for North Eastern Region the actual disbursement upto 31st March 2012 reached a figure of Rs.
101.00 Crore i.e. 126% of the target.
The Scheme
of Fund for Regeneration of Traditional Industries (SFURTI) for cluster
development has also played an important role in regenerating the traditional
industries and increasing the wages of artisans. Under the scheme 2 khadi, 11
village industries and 02 coir clusters have been made functional in the North Eastern Region by providing them with improved
equipment, common facilities centres, business development services, training,
capacity building and design and marketing support.
New
Initiatives of KVIC
KVIC has been accorded Deemed “Export
Promotion Council” status by the Ministry of Commerce for promoting exports of
KVI products. This will become a major step in creating export opportunities
for KVI sector.
To avail of professional expertise in the
area of Design and Fashion Technology, KVIC has developed linkage with NIFT,
Mumbai for convergence and an MoU has
been signed. NIFT will also
assist KVIC in setting up Design Cell which would be used by Khadi Institutions
to produce marketable products.
With a view to develop exports, KVIC is
working out modalities for an MoU with Indian Institute of Foreign Trade which
will bring professional
expertise in harnessing capacity building to KVI Institutions and units in the
field of exports and also to create export market for Khadi and Village
Industries sector.
A number of Khadi Plaza are being set up
at Bangalore, Guwahati,
Nagaland by KVIC to support marketing of Khadi and Village Industries products
produced in this sector.
Special package for providing grant
assistance for transportation travel, lodging and boarding for artisans,
spinners and weavers and workers of Khadi and Village Industries institutions
and units of North Eastern Region, Jammu & Kashmir, Andaman Nicobar Board
for participating in exhibition outside the Region/State has been introduced.
This will motivate institutions and units from these areas to actively
participate in major exhibitions to market their products and enhance their
viability.
In Offing
During 2012-13 the thrust will be in
the areas of Brand Promotion, Product Development, Streamlining of Departmental
Sales Outlets, Government Supplies and Exports. This will be achieved by way of
convergence with professional agencies like IIFT, CII, NIFT, etc. as well as
activities like Domestic and International exhibitions, Buyer-Seller Meet,
Workshops, Seminars, Training Programmes, etc.
To develop Export Market through participation in
International Exhibition and Buyer Seller Meets. To encourage KVI Institutions
and PMEGP units to boost the export of KVI products.
To promote export consortium of Export Oriented KVI
Institutions and REGP/PMEGP units which can play a major role in developing
export and support institutions/units to become export worthy.
To develop linkage with IIFT, ITPO, FIEO, CII and NIFT to
get expert input for export promotion product development and developed
strategy and action plan for exports with deliverables and targets.
Renovation and modernization of departmental and
institutional sales outlets.
Developing captive market available in form of Government
supplies to Defence Railways and other agencies.
Streamlining domestic exhibitions and make them more cost
effective with uniform designs layout and proper monitoring system with checks
and balances including centralized billing and cash counter and provision for
feedback from customers as well as create data base of producing units with
special capacity etc.
Streamlining the DSOs and work out turnaround strategy for
loss making units and also involve effective monitoring system online for damaged
stock and inventory control, purchase, payment etc.
Impart training in the areas of inventory control
salesmanship, exports for sales staff and officers of DSOs and institutional.
Market promotion is coming in a big way through the
intervention of Asian Development Bank, wherein private sector partners will be selected to ‘Partner with KVIC’ or initiate
massive marketing effort throughout India.
BIRDS EYE VIEW
OF PERFORMANCE OF KVIC
DETAILS
|
2010-11
|
2011-12
|
PRODUCTION (RS. IN CRORE)
|
Rs. 19,871.86
|
21,852.00
|
SALES (RS. IN CRORE)
|
Rs. 25,792.99
|
26,797.13
|
EMPLOYMENT
(IN LAKH PERSONS)
|
113.80
|
119.10
|
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