Textile Cover job no 621 date : 05-07-14 Indian Xith Plan TEXTILES Technology MissionPOWOERLOOMS PROCESSING & FINISHING CLOTHING Madeups Organised HandloomsHANDICRAFTSJute R&D Performance Projection TEXTILES RFD SIRICULTURE Clothing th JUTE APPAREL XII Plan Raw Materials Organised TUFS HRD Sericulture Jute TH EXPORTS Exports XII Plan MILL Textiles Engineering Industry Mills SITP Processing & FINISHING POWERLOOMS R&DDatabaseRaw MATERIALS Textiles Engineering Industry Technical FOR GROWTH CHALLENGESJUTESITP STRATEGY Government (2013-14) Ministry Annual Report Annual

Indian Xith Plan TEXTILES Technology MissionPOWOERLOOMS PROCESSING & FINISHING CLOTHING Madeups Organised HandloomsHANDICRAFTSJute R&D Performance Projection TEXTILES RFD SIRICULTURE Clothing th JUTE APPAREL XII Plan Raw Materials Organised TUFS HRD Sericulture Jute TH EXPORTS Exports XII Plan MILL Textiles Engineering Industry Mills SITP Processing & FINISHING POWERLOOMS R&DDatabaseRaw MATERIALS Textiles Engineering Industry Technical FOR GROWTH CHALLENGESJUTESITP STRATEGY 1 91 69 63 57 45 19 31 111 No. 133 143 163 101 169 181 185 201 217 223 227 231 235 249 253 257 261 263 Page Contents I N D E X I N Handicrafts Public Sector Undertakings Textile Research Associations Associations Research Textile DecentralisedPowerloom Sector Handloom Industry Citizens’/Clients’ Charter Citizens’/Clients’ Wool & Woollen Textile Industry Textile & Woollen Wool Welfare of Scheduled Castes, Scheduled Tribes and Women Tribes Scheduled Castes, Scheduled of Welfare Sericulture and Silk Industry Textiles in North East Region Textiles The Jute and Jute Textiles Industry Textiles The Jute and Jute Human Resource Development Gender Justice & Gender Budgeting Cotton Information and Communication Technology in Textiles in Technology Information and Communication Exports Vigilance Activities Vigilance Highlights set-up Functions & Organizational Mill Industry Textiles The Organized Persons with Disabilities Goals Set-up for Procurement from Micro and Small Enterprises Goals Set-up for Procurement from Micro and Small Enterprises Achievements. and Observations of the Comptroller and Auditor General of India Observations of the Comptroller and Results Framework Document Annexure-I Annexure-II Annexure-III I II X V III XI IX VI IV XII VII XV XX XIII VIII XIV XVI XIX No. XXI XVII XXII XVIII XXIII XXIV Chapter

CHAPTER I HIGHLIGHTS

1

Annual Report 2013-14 CHAPTER I HIGHLIGHTS Indian Textiles Industry has an GROWTH RATE OF TEXTILES AND overwhelming presence in the economic WEARING APPAREL life of the country. Apart from providing one of the basic necessities of life, the During the year, the Ministry of Textiles textile industry also plays a pivotal role has given the required policy and through its contribution to industrial financial support to the sector through its output, employment generation and various schemes and as a result, there the export earnings of the country. It has been a significant improvement in textiles production inspite of slowdown in contributes about 14% to the industrial demand, high raw material prices etc. As production, 4% to the GDP and 11% to per the Index of Industrial Production data the country’s export earnings. The textile (IIP) (Base: 2004 – 05) =100) during the sector is the second largest provider of year 2013 – 14 (Apr – Mar), Textiles and employment after agriculture. Wearing apparel; dressing and dyeing The Indian textiles industry is extremely of fur have registered a growth rates of varied, with the hand-spun and 4.2% and 22.6% respectively over the corresponding period of the previous handwoven sector at one end of the year. spectrum, and the capital intensive sophisticated mill sector at the other. NEW SCHEMES The decentralized powerlooms/ hosiery and knitting sector form the largest The following new schemes shall be section of the Textiles Sector. The close implemented during the 12th Plan period: linkage of the Industry to agriculture and  the ancient culture, and traditions of the COMPREHENSIVE HANDLOOMS country make the Indian textiles sector DEVELOPMENT SCHEME (CHDS) unique in comparison to the textiles CHDS has been formulated by merging industry of other countries. This also the components of Integrated Handlooms provides the industry with the capacity Development Scheme (IHDS), Marketing to produce a variety of products suitable & Export Promotion Scheme (MEPS), to the different market segments, both Diversified Handlooms Development within and outside the country. Scheme (DHDS), implemented during the 11th Plan. Sub-components of the CHDS The major sub-sectors that comprise are as follows: the textiles sector include the organized 1. Cluster development programme Cotton/Man-Made Fibre Textiles Mill Industry, the Man-Made Fibre/Filament 2. Handloom marketing assistance Yarn Industry, the Wool and Woollen 3. Development and strengthening of Textiles Industry, the Sericulture and the handloom institutions Silk Textiles Industry, Handlooms, 4. Handloom census Handicrafts, the Jute and Jute Textiles Industry, and Textiles Exports. 5. Implementing innovative ideas

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6. Publicity, advertisement, monitoring, craftsmanship supported by a strong training and evaluation of the domestic market. With the declining scheme Chinese production and export, India is poised for a quantum jump in silk production CHDS has been approved by competent and is set to become a key player in the authority on 13th November 2013. Prior international market. Generic promotion of to the approval, IHDS, M&EPS & DHDS Indian silk needs to be taken up to create were implemented. a mental picture of the uniqueness and comforts of Indian silk and the mindset  INFRASTRUCTURE TECHNOLOGY that the Indian silk has no real substitute DEVELOPMENT SCHEME and it enjoys the status that is exclusive The scheme aims at the development of and rich in Indian traditional designs. This world class infrastructure in the country kind of brand image can create a market to support handicraft production, and niche for Indian Silk in domestic and global enhance the product quality and cost to markets, developing a knowledge base enable it to compete in the world market. about Indian Silk in domestic and global platforms. Brand building process of The objectives of the scheme are as Indian Silk should include various publicity follows: and promotion programmes in the form of 1. To develop infrastructure in an Exhibitions, Road Shows, Mass Media equitable manner to support Campaigns covering print and electronic handicraft industry in the country media, by participation in the Domestic and International Exhibitions, Trade 2. To ensure availability of required Fairs, Promotional Schemes, Seminars, technology, product diversification, Workshops etc. design development, raw material banks, and marketing & promotion \With the above objective scheme of facilities in nearest vicinity possible Brand promotion of Indian Silk, has been conceptualized, formulated and 3. To enhance the competitiveness of designed in 2013-14 and approved with the products in terms of increased an outlay of 5.02 crores on 07.01.2014 to market share and ensuring increased be implemented through SMOI & ISEPC productivity by higher unit value under monitoring of CSB. realization of the products  PILOT SCHEME OF IN-SITU 4. To improve the resource pool of UPGRADATION OF PLAIN skilled persons in the country by POWERLOOMS developing high class institutes that provide certified courses and degrees The scheme aims to improve quality and in Handicraft field – enhancing skill productivity of the fabric being produced development in the country by upgrading their existing plain looms with certain additional attachments which  EXPORT PROMOTION, enable them to face the competition in BRAND PROMOTION AND domestic and international markets. It TECHNOLOGICAL UPGRADATION aims at covering 99,000 looms during 12th BY ISEPC & SMOI Plan. India has a rich heritage in silk weaving, Financial assistance of Rs.15,000/- per dyeing, printing, embroidery and loom will be given to the powerloom units

4 Annual Report 2013-14 for upgrading ordinary loom by installing (i) Common Facility Centre (CFC) specific/ identified attachments (kits) into semi-automatic. A maximum of 8 The aim of setting up CFC is to provide looms per weaver are eligible under this infrastructure support to the Powerloom scheme. The scheme has been approved Weavers associated in a group and initially for eight clusters at Siricilla (A.P), willing to set up Common Facility Centre. Malegoan, Nagpur, Ichalkaranji (MH), It includes house design centre / studio, Tanda, Mau (UP), Burhanpur (MP) and testing facilities, training centre, information Bhagalpur (Bihar).The scheme has cum trade centre and common raw material already been launched in Siricilla (A.P) / yarn / sales depot, water treatment plant and Mau (UP). for industrial use and common pre-weaving facilities viz. warping, sizing etc. under the  HEALTH INSURANCE SCHEME FOR projects in PPP mode for backward and POWERLOOM WEAVERS forward integration as per the need of the cluster. GOI Share for CFC is Rs. 2.00 The Health Insurance Scheme for crore per cluster. powerloom weavers has been approved for implementation in the 12th Plan. The (ii) Corpus for Yarn Bank scheme is initially launched in the State Small weavers do not have enough re- of . The scheme provides sources to purchase yarn in bulk quan- the powerloom weavers and ancillary tity from the open market and depend workers comprehensive (IPD and OPD) on local yarn dealers. The local dealers healthcare assistance for a wide range sell the yarn at higher price than the of ailments including all pre-existing/new mill price and take undue advantage of diseases. market situation. Therefore, to help the weavers, 4 Yarn Banks are proposed to  HIRE-PURCHASE SCHEME FOR be set up during 12th Plan period. Gov- POWERLOOM SECTOR UNDER ernment shall provide interest free cor- TECHNOLOGY UPGRADATION pus fund maximum of Rs.1.00 crore per FUND SCHEME (TUFS ) Yarn Bank. This scheme has been approved under Revised Restructured Technology (iii) Pilot Scheme of Tex-Venture Capital Upgradation Fund Scheme (RR-TUFS). Fund Under the Scheme, the hirer (SPV) would Tex Venture Capital Fund will be a procure the machines and then provide dedicated fund with a corpus of Rs.35 them on hire-purchase basis to the crore for investing primarily in companies weavers. The risk and rewards incidental engaged in manufacturing and services to the ownership of the asset is transferred activities in the powerloom industry. to purchaser but not the actual ownership Government of India will provide Rs.24.50 until end of the period. Ultimate ownership crore and Rs.11.50 crore will be provided will transfer only at the end of the term of by SIDBI. hire-purchase.  INTEGRATED PROCESSING  NEW COMPONENTS OF DEVELOPMENT SCHEME (IPDS) INTEGRATED SCHEME FOR POWERLOOM SECTOR CCEA in its meeting held on 30th DEVELOPMENT October, 2013 approved implementation

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of Integrated Processing Development 10 per cent of the total plan budget of Scheme (IPDS) at a total cost of Rs.500 ministries for the North East and raising crore during the 12th Five Year Plan. The the share of Central assistance upto objective of the Scheme is to facilitate 90 percent for all Centrally Sponsored the textiles industry become globally Plan Schemes. Apart from the regular competitive using environment friendly schemes, Government has recently processing standards and technology, to launched North Eastern Region Textile create new processing clusters/ centres Promotion Scheme (NERTPS), a project- specifically in the area of water and based strategy exclusively for the North waste management and to encourage Eastern States. The scheme is expected research and development work in to provide the necessary flexibility in textiles processing sector. The scheme implementing need- based textile sector will provide Government support for projects. establishing common infrastructure to catalyse private sector investments in the  SCHEME FOR INCUBATION IN major processing clusters. APPAREL MANUFACTURING (SIAM)  NER TEXTILE PROMOTION SCHEME The proposal for Scheme for Incubation in Apparel Manufacturing (SIAM) during The decentralized Handlooms, the 12th Five Year Plan with fund outlay of Powerlooms, Sericulture, Handicrafts Rs.38.8 crore was approved in the SFC and Jute sub-sectors are the region’s meeting held on 23rd January, 2014. The main source of gainful employment and objective of the Scheme is to create an income generation. These sub-sectors integrated workspace and linkages based remain important due to their unique entrepreneurial ecosystem for the start- characteristics, exclusivity and flexibility ups. This integrated workspace and allied for smaller production levels and export services would allow the entrepreneurs potential, besides being the major to execute their ideas and deliver their source of employment after agriculture. products through a process that is The region’s silk fabrics, including the operationally and financially viable. The exclusive Muga/Eri silks as well as cane/ Budget Estimate for 2014-15 is Rs.10 bamboo based crafts, have now become crore. popular not only in the country, but also abroad on account of their uniqueness,  SCHEME FOR TEXTILE INDUSTRY quality and designs. WORKERS’ ACCOMMODATION

The Government, recognizing the The proposal for Scheme for Textile immense potential of the decentralized Worker’s Accommodation during the 12th sector is facilitating their promotion Five Year Plan with fund outlay of Rs.45 and development through various Plan crore was approved in the SFC meeting schemes. These schemes / programmes held on 23rd January, 2014. The objective provide the requisite impetus for of the Scheme is to promote availability of their preservation/ continuation and safe, adequate and conveniently located prepare them to face the challenges of accommodation for textile and apparel globalisation. Special policy incentives industry workers in the form of workers’ are also being given to the North Eastern hostels, within the proximity of areas with States. These include earmarking of high concentration on textile and apparel

6 Annual Report 2013-14 industries. The Budget Estimate for 2014- scheme was launched in December 2012 15 is Rs.14 crore. and is at its initial stage.

 JUTE TECHNOLOGY MISSION  SCHEME FOR USAGE OF GEOTEXTILES IN NORTH EASTERN The Jute Technology Mission is a major REGION component of the National Jute Policy and is the vehicle for implemenation of Scheme for promoting usage of Geotextiles multifarious programmes in the jute sector, in North Eastern Region on a pilot basis in both present and future. Pursuant to the infrastructure projects of North East was National Jute Policy, 2005, the CCEA announced by Hon’ble Finance Minister approved the Jute Technology Mission in his Budget Speech 2012 and is at (2006-07 to 2010-13) with a total outlay approval stage. The ultimate objective of Rs.355.55 crore. Since inception of of the scheme is to encourage adoption the scheme (upto 31.03.2013), 9 market of modern, cost effective technology yards developed and 25 Departmental by utilizing Geotextiles in development Purchase Centre (DPC) & 39 Retting of the infrastructure in North East, Tank were constructed. A total investment while improving the durability, function of Rs.373.70 crore for Modernization and and life of infrastructure. The scheme Upgradation of Technology in Jute Mills will cover pilot scale demonstration of was made under the Capital Subsidy usage of Geotechnical textile material in Scheme in 102 units all over India. following central, as well as, state-level infrastructure projects:  SCHEME FOR PROMOTING USAGE OF AGROTEXTILES IN NORTH- a. Road construction EASTERN REGION b. Slope/Hill protection Government of India has approved the c. Lining of water reservoir scheme with a total outlay of Rs.55 crore. The aim of the scheme is to encourage EXISTING SCHEMES: utilization of Agrotextiles in improving o TECHNOLOGY UPGRADATION the agriculture, horticulture, floricultural & sericulture produce of the N-E states FUND SCHEME (TUFS) through awareness programmes, The Technology Upgradation Fund development of Agrotextile products Scheme (TUFS) was launched on April 1, suitably customized for use in the North- 1999, for a period of five years, and was Eastern region, creating demonstration subsequently extended upto March 31, set-up depicting the benefit of usage 2007. The Scheme provides for interest of Agrotextile products suitable for the reimbursement/capital subsidy/Margin region, distribution of Agrotextile kits Money subsidy and has been devised to farmers in the local communities to bridge the gap between the cost of etc. With increasing acceptability of interest and the capital component to Agrotextiles, entrepreneurship in the area ease up the working capital requirement of agrotextiles production in the country and to reduce the transaction cost etc. will get an impetus. The growth of usage The Scheme is an important tool to infuse of Agrotextile products in the country will financial support to the textiles industry thus benefit both agriculturists as well as and helps it to capitalize on the vibrant textile entrepreneurs in the country. The and expanding global and domestic

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markets, through technology upgradation, class infrastructure facilities for setting up cost effectiveness, quality production, their textile units by merging the erstwhile efficiency and global competitiveness. ‘Apparel Parks for Exports Scheme (APES) and Textile Centre Infrastructure The Scheme was approved on 29.08.2013 Development Scheme (TCIDS). for continuation till 2017 with modified financial and operational parameters The scheme targets industrial clusters/ and major focus on modernization of locations with high growth potential, powerlooms sector. Interest reimbursement which require strategic interventions and capital subsidy for brand new shuttle by way of providing world-class less looms have been increased from 5% infrastructure support. The project to 6% and 10% to 15% respectively. In cost will cover common infrastructure addition, a pilot project for financing high and buildings for production/support tech shuttle less looms on hire purchase activities (including textiles engineering, basis for decentralized powerlooms sector accessories. packaging), depending has also been introduced. Margin Money on the needs of the ITP. There will be Subsidy in lieu of interest reimbursement flexibility in setting up ITPs to suit the and capital subsidy has also been increased local requirements. from 20% to 30% and subsidy cap from Rs. 1 crore to Rs. 1.5 crore for brand new Forty Textiles Parks were sanctioned shuttle less looms. Sectoral cap of 26% in 10th and 11th Five Year Plan in the is applicable only for spinning sector and following States: there is no cap on other sectors. Capital subsidy is also increased from 25% to 30% i. Andhra Pradesh (5), in respect of Handloom and Silk Sectors. ii. (7), Margin Money Subsidy cap for MSME and Jute Sector has also been increased from iii. (9), Rs. 45 lakh to Rs. 75 lakh and 10% of the approved outlay for new sanctions has iv. Tamil Nadu (7), also been earmarked for MSME units. The v. (6), scheme is administered through 3 nodal agencies, 36 nodal banks and 108 co-opted vi. (1), PLIs. The scheme, since its inception, has vii. Punjab (3), propelled investment of more than Rs. 2,50, 000 crore till 31.03.2014. An amount viii. (1) of Rs. 18579.40 crore has been released towards subsidy under the Scheme as on ix. (1). 31.03.2014. Planning Commission has Twenty one new parks were sanctioned in approved an allocation of Rs. 11952.80 November 2012, in the following States;- crore under TUFS for the 12th Five Year Plan. i. Andhra Pradesh (2),

o SCHEME FOR INTEGRATED ii. Gujarat (1), TEXTILE PARKS (SITP) iii. (1),

The Scheme for Integrated Textile Parks iv. J&K (1), (SITP) was approved in the 10th Five Year Plan to provide the industry with world- v. Karnataka (1),

8 Annual Report 2013-14 vi. Maharashtra (6), the Scheme is payable to eligible workers only for the purpose of enabling them vii. Rajasthan (4), to settle in another employment. Such viii. Tamil Nadu (2), assistance is not heritable, transferable or capable of being attached on account ix. (1), of any other liabilities of the worker. The worker’s eligibility shall cease if he takes x. (1), up employment in another registered or xi. West Bengal (1). licensed undertaking. The rehabilitation assistance will not be curtailed if the Nine Parks in the States of Rajasthan (3), worker fixes himself in a self-employment Andhara Pradesh (2), Tamil Nadu (1) and venture. Maharashtra (3) have been cancelled due to various reasons. • INTEGRATED SKILL DEVELOPMENT SCHEME (ISDS) • ADDITIONAL GRANT FOR APPAREL MANUFACTURING UNITS UNDER India is poised to become a significant SITP player in the global textile economy both as a consumer and as a producer The Finance Minister, in his Budget of textiles. The Indian domestic textiles Speech 2013-14 proposed to set up and apparel market is one of the Apparel Parks within the SITPs to fastest growing market in the world. house apparel manufacturing units. The most important growth driver is the To incentivize such apparel parks, the robust economic growth that has been Finance Minister proposed to allocate witnessed in the country. The textile Rs.50 crores to the Ministry of Textiles to industry as a part of manufacturing sector provide an additional grant of upto Rs.10 has been one of the important sectors crore to each park. to contribute towards and maintain GDP CCEA in its meeting held on 3rd October, growth. A series of steps taken by the 2013 approved Rs.50 crore for setting up Government over a period of time has 5 Apparel Manufacturing Units with a grant helped the industry to grow and sustain of Rs.10 crore each within the existing ITPs growth momentum. These include many in accordance with Budget Announcement schemes which are directly or indirectly 2013-14 and the Guidelines for setting sponsored by Central Government. The up an apparel manufacturing unit with a Integrated Skill Development Scheme textile park. (ISDS) is one of them. It was introduced as a pilot scheme in the last two years of th • TEXTILE WORKERS’ the 11 Five Year Plan with an outlay of REHABILITATION FUND SCHEME Rs. 272 crore including Rs. 229 crore as (TWRFS) Government contribution with a physical target of 2.56 lakh persons. The scheme The Textile Workers’ Rehabilitation Fund is part of a Government wide focus on Scheme came into force with effect from creating skill that is needed to enhance 15.09.1986 with the objective to provide the competition advantage of India in the interim relief to textile workers rendered manufacturing and textile sector. The unemployed as a consequence of Scheme has been scaled up during 12th permanent closure of any particular portion Plan with an allocation of Rs. 1900 crore or entire textile unit. Assistance under to train 15 lakh persons.

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• NATIONAL FIBRE POLICY bales in 2010-20; Cotton consumption is envisaged to increase to 413 lakh The National Fibre Policy has been bales by 2010-20 with 70 lakh bales designed with a decadal perspective of being surplus. 2010-20 and seeks to place India firmly on the World Fibre map by strengthening the (iii) Man Made Fibres and Speciality existing policy framework and providing Fibres domestic demand will rise at institutional and technological support growth rate of 8% per annum from tor rapid fibre growth in the country in the 3.9 billion kgs in 2015 to 6 billion coming decade. The fibre neutral policy kgs in 2020. Man-made fibres and seeks to balance the existing disparities speciality fibres are showing an within the complete range of fibres by increase inproduction of 8% and total providing additional fiscal and non- production has reached 1400 million fiscal incentives for sustainable growth kgs. of all fibres and be competitive in the international market. • COTTON

The key targets of the National Fibre Cotton is one of the principal crops of Policy thus include the following: the country and is the major raw material for domestic textile industry. It provides (i) It is estimated that the Textiles sustenance to millions of farmers as also Industry would require investments the workers involved in cotton industry, worth Rs. 1,88,000/- Crores during right from processing to trading of cotton. FY 2010-20120 for creating the The Indian Textile Industry consumes required capacity along the textile a diverse range of fibres and yarn, but value chain on the basis of estimate is predominantly cotton based. Cotton of the increased fibre production. accounts for more than 75 % of the total (ii) Cotton production is envisaged to fibre consumption in the spinning mills rise at a growth rate of 4.7 % from and more than 54 % of the total fibre 319 lakh bales in 2010-11 to 483 lakh consumption in the textile sector.

Table 1.1 Cotton Year: October to September (In lakh bales of 170 kg. each)

Particulars 2012-13 2013-14 (P) ** SUPPLY Opening Stock *40.00 35.00 Crop 365.00 375.00 Import 14.59 17.00 TOTAL SUPPLY 419.59 427.00 DEMAND Mill Consumption 250.14 258.00 S.S.I. Consumption 23.02 24.00

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Particulars 2012-13 2013-14 (P) ** Non Textile Consumption 10.00 15.00 Export 101.43 90.00

TOTAL DEMAND 384.59 387.00 Closing Stock. 35.00 40.00

* Upward revision in opening stock to 40.00 lakh bales for 2012-13 has been made considering adjustment in spill-over stock over the year and it is one time revision P-Provisional ** As estimated by Cotton Advisory Board in its last meeting held on 01-11-2013. NOTE: From the year 2011-12, the “Non-Mill Consumption” has been referred to as “Non Textile Consumption”.

Government of India announces 09-2013, there was a reverse trend Minimum Support Price (MSP) for two with the domestic prices prevailing basic staple groups viz., medium long higher than the international prices. staple (staple length 24.5 mm to 25.5 The cotton year 2013-14 started from mm and micronnaire value 4.3 to 5.1) 1st October, 2013. The MSP fixed for and long staple cotton (staple length Cotton Season 2013-14 for two basic 29.5 mm to 30.5 mm and micronnaire staple groups viz., medium long staple value 3.5 to 4.3). and long staple cotton is Rs. 3700/- and Rs. 4000/-, respectively. Cotton export Cotton Corporation of India (CCI) is one of reached 90.24 lakh bales till the end of the nominated agencies of Government of March, 2014 as compared to 81.32 lakh India for undertaking MSP operations in the bales during the same period in Cotton event of prevailing kapas price touching Season 2012-13. the MSP level. As per the mandate, in MSP operations, CCI purchase the entire THE JUTE & JUTE TEXTILES quantity offered to it by the cotton farmers INDUSTRY at APMC market yards, without any quantitative restrictions. Raw jute crop is an important cash crop to the farmers. Cultivation of raw jute During cotton season 2012-13, the crop provides not only fibre which has Government of India increased the industrial use, but jute stick which is MSP by 18% to 29% as compared to used as fuel and building material by the 2011-12. For 2013-14, Government of farming community. Raw jute is produced India has further increased the MSP mainly in the state of West Bengal, by Rs.100/- for each variety. During Bihar, , Orissa, Andhra Pradesh, st the Cotton Season 2013-14 as on 31 Tripura and Meghalaya. The meeting of March, 2014, CCI had procured 40,813 Jute Advisory Board was held under the bales of cotton under Minimum Support Chairpersonship of Secretary (Textiles) Price operations, out of which it has sold on 07-06-2013 at Kolkata. After hearing 3500 bales. the views of all participants, the Jute From January to middle of August, Advisory Board arrived at the projected 2013, the global prices of cotton were supply-demand position of raw jute and ruling higher than the domestic prices. mesta during 2013-2014 season as given From the end of August, 2013 till 30- at Table 1.2.

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Table 1.2 (Quantity: In lakh bales of 180 Kg. of each bale)

2012-13 2013-14 (A)SUPPLY i) Opening stock 31.00 29.00 ii) Jute and Mesta crop 93.00 95.00 iii)Import 9.00 9.00 Total : 133.00 133.00 (B)DISTRIBUTION iv)Mill consumption 94.00 95.00 v)Domestic/industrial consumption 10.00 10.00 vi)Export Nil Nil Total: 104.00 105.00 (C)CLOSING STOCK 29.00 28.00

Source: Jute Advisory Board

Minimum Support Price for raw jute and India is the leading jute goods producing mesta is fixed every year to protect the country in the world, accounting for about interest of farmers. While fixing prices of 70% of estimated world production. different grades, the issue of discouraging Bulk of the manufactured jute goods is production of lower grade jute and predominantly being used in packaging encouraging production of higher grades purposes in domestic market. jute are taken into consideration so as to motivate farmers to produce higher grade • MILL SECTOR jute. The Minimum Support Price (MSP) Total number of organised Mills in for raw jute is fixed at Rs.2300/- per quintal Textile sector is 1969 out of which 1771 for the Jute Year 2013-14. are Spinning, 198 are Composite Mills. Number of looms in organised sector is Jute Corporation of India (JCI) is the 66,000 producing 4 % of fabric production Price Support Agency of the Govt. of in the country. Spindles installed are 44.17 India for jute. JCI is conducting MSP milion and 546,000 rotors producing 4868 operation as and when required. Raw million Kg. yarn. 9, 52,000 people are jute is transacted in over 500 centres employed in the mill sector. countywide. Presently, JCI is operating only at 171 Departmental Purchase • MAN MADE FIBRES Centres. Co-operatives operate at about Man Made Fibres and Speciality Fibres 40 centres. JCI in turn purchases the jute domestic demand will rise at a growth rate procured by these Co-operatives. During of 8% per annum from 3.9 billion kgs. in the jute year 2013-14 (as on 28.02.2014), 2015 to 6 billion kgs in 2020. Man-made JCI in association with the State Co- fibres and speciality fibres are showing operatives purchased 1.38 lakh bales an increase in production of 8% and total of raw jute worth Rs. 53.91 crore. production has reached 1400 million kgs.

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• TECHNICAL TEXTILES • The import substitute Bivoltine silk production has increased from 1984 Technical Textiles are defined as MTs to 2559 MTs registering an Textile material and products that are increase of 29%. manufactured primarily for technical performance and functional properties • Vanya silk production has increased rather than aesthetic properties and from 4964 MTs to 7004 MT showing decorative characteristics. These products an increase of 41.1%. have a presence in major areas of activity • Muga silk has recorded highest ever such as aerospace, shipping, sports, production of 148 MTs and has set a agriculture, defence, medicine/ health, new momentum of growth. manufacturing, etc. • Employment has increased from New initiatives with special focus on 76.53 lakh persons in 2012-13 to the North East Region have also been 78.50 lakh persons in 2013-14. envisaged with an overall outlay of Rs. • Silk yarn production has increased 482 crores during 12th Five Year Plan from 1155 MTs in 2012-13 to 1280 for promoting Geotechnical Textiles and MTs in 2013-14 (Provisional). Agrotextiles. • Silk fabric production has increased • SILK & SERICULTURE INDUSTRY from 4639 (lakh square mts) in 2012- 13 to 4723 (lakh square mts) in 2013- India continues to be the second largest 14 (Provisional). producer of silk in the world. Among the four varieties of silk produced as in 2012- • DECENTRALISED POWERLOOM 13, Mulberry accounts for 79% (18715 SECTOR MT), Tasar 7.3 % (1729 MT), Eri 13.2% The decentralised powerloom sector (3116 MT) and Muga 0.5% (119 MT) of is one of the most important segments the total raw silk production of 23,679 MT. of the Textile Industry in terms of fabric This is against the production of 23.060 production and employment generation. MT Silk by the end of XI Plan (2011-12) in It provides employment to 59.20 lakh the country. persons and contributes 62 % to total cloth production in the Country. 60% of the The silk production has shown remarkable fabrics produced in the powerloom sector progress during the year 2013-14 in-spite are of man-made fibre. More than 60% of drought, un-seasonal rain, cyclone of fabric meant for export is also sourced etc. The target set for the year has been from powerloom sector. The readymade fully achieved. Salient features of silk garments and home textile sectors are production during 2013-14 are given heavily dependent on the powerloom sector to meet their fabric requirement. below There are approximately 5.30 lakh • The silk production in the country powerloom units with 23.68 lakh increased to 26,480 MT by the end of powerlooms as on 28.02.2014. The 2013-14 from the level of 23,679 MTs technology level of this sector varies during the year 2012-13, registering from plain loom to high tech shuttleless an all time increase of 11.8% growth, looms. There are approximately 1.25 when compared to 4.8% annual lakh shuttleless looms in this sector. It growth rate of XI Plan. is estimated that more than 75% of the

13 Ministry of Textiles

shuttle looms are obsolete and outdated In the cluster approach, efforts have been with a vintage of more than 15 years and made to cover 300 to 25000 handlooms have virtually no process or quality control through different cluster sizes for their devices / attachments. However, there integrated and holistic development. The has been significant up-gradation in the yarn supply under Mill Gate Price Scheme technology level of the powerloom sector (MGPS) has also increased. Aggressive during the last 6 - 7 years. marketing initiative through marketing events has helped weavers and their • HANDLOOM INDUSTRY cooperative societies to understand the market trend and consumer choice, Handloom weaving is one of the largest besides selling products directly to the economic activity after agriculture customers. For a focused attention on the providing direct and indirect employment sector, the Ministry has started celebrating to more than 43 lakh weavers and allied ‘Handloom Week’ every year. workers. This sector contributes nearby 11% of the cloth production in the country As an economic activity, handloom is the and also contributes to the export earning one of the largest employment providers of the country. 95% of the world’s hand after agriculture. The sector provides woven fabric comes from India. employment to 43.31 lakh persons engaged on about 23.77 lakh handlooms, The handloom sector has a unique place of which 10% are from scheduled castes, in our economy. It has been sustained by 18% belong to scheduled tribes, 45% transferring skills from one generation to belong to other backward classes and another. The strength of the sector lies 27% are from other castes. Production in in its uniqueness, flexibility of production, the handloom sector recorded a figure of openness to innovations, adaptability to 6952 million sqr. meters in the year 2012- the supplier’s requirement and the wealth 13. During 2013-14, cloth production in of its tradition. the handloom sector is reported to be The Government of India has since 7116 million sqr. Meters. independence been following a policy of promoting and encouraging the handloom Handloom Mark sector through a number of programmes The Handloom Mark has been launched and schemes. Due to various policy to serve as a guarantee to the buyer initiatives and scheme interventions like that handloom product being purchased cluster approach, aggressive marketing is a genuine handwoven product and initiative and social welfare measures, not a powerloom or mill made product. the handloom sector has shown positive Handloom Mark is promoted and growth and the income level of weavers popularized through advertisements in has improved. The handloom fabric newspapers and magazines, electronic production has been very impressive media, syndicated articles, fashion and growth has been at the rate of 6% shows, films etc. The Textiles Committee th to 7% in the beginning of the 11 Plan. is the implementing agency for promotion The subsequent economic downturn of handloom mark. As on 31st March, has affected all the sectors in India and 2014, 4.27 crore (cumulative) handloom handloom sector was no exception. The mark labels have been sold to 12686 production had declined nominally in stakeholders. 815 retail outlets are 2008-09. Now, there is a positive sign and selling handloom goods with handloom production has shown upward growth. mark label.

14 Annual Report 2013-14

• HANDICRAFTS in world trade provided a supportive policy framework is put in place. Hence, The Handicrafts Sector plays a significant the Government aims to formulate a and important role in the country’s economy. new improved Textile Policy to address It provides employment to a vast segment concerns of adequate skilled work force, of craft persons in rural & semi urban labour reforms, attracting investments in areas and generates substantial foreign the Textile Sector, as well as providing a exchange for the country, while preserving future road map for the textile and clothing its cultural heritage. Handicrafts have industry. great potential, as they hold the key for sustaining not only the existing set of An Expert Committee under Shri Ajay millions of artisans spread over length Shankar, Chairman, NMCC, has been and breadth of the country, but also for constituted to formulate the New National the increasingly large number of new Textile Policy 2013 with the following entrants in the crafts activity. Presently, objectives: handicrafts contribute substantially to i. To develop a vision statement of the employment generation and exports. textile sector for the next decade The Handicraft sector has, however, to treble our market share from the suffered due to its being unorganized, current 4% in the next decade; with the additional constraints of lack of education, low capital, poor exposure to ii. To formulate a stable and fibre neutral new technologies, absence of market raw materials policy to benefit the intelligence and a poor institutional entire value chain; framework. iii. To address modernization and mechanization needs of the textile The sector is estimated to employ 68.86 industry; lakh artisans at present and the export of handicrafts including handmade carpets iv. To formulate recommendations for upto March, 2014 has been Rs. 31909.24 development of a skilled work force; crore which shows an increase of 33.80% v. To formulate recommendations for over the same period in financial year creating world class infrastructure 2012-13. The Plan allocation during 2013- for Textile Parks and conducive 14 is Rs. 191.00 crore. investment environment; • NEW NATIONAL TEXTILE POLICY vi. To formulate recommendations for developing and modernizing the The existing National Textile Policy 2000 powerloom and handloom sector; was framed about 13 years ago and since then the industry has undergone various vii. To address the proliferation of changes on the domestic and international environmental concerns; fronts. The domestic textile industry has viii. To address inter-segmental seen large scale modernization and inconsistencies in policy in respect technological up-gradation in the last of fiscal arrangements and formulate decade and faces new challenges. In the recommendations for balanced international trade scenario, while the growth of the sector; export quota regime has been removed in 2004, recent trends in the global textile ix. To suggest measures to enable the industry offer an enormous opportunity Textile Industry to attain and sustain to Indian industry to enhance its share a pre-eminent global standing in the

15 Ministry of Textiles

manufacture and export of textile to treble our market share from the products; current 4 percent in the next decade;

x. To formulate recommendations to ii. To formulate a stable and fibre neutral address credit requirements of the raw materials policy to benefit the textile sector; entire value chain;

xi. To formulate recommendations iii. To address modernization and for addressing issues relating to mechanization needs of the textile marketing strategies; industry; xii. To evolve the Textile Policy 2013 to iv. To formulate recommendations for give a direction to the sector as a development of a skilled work force; whole and to address the needs of st the textile industry for 21 century v. To formulate recommendations for trade operations. creating world class infrastructure for Textile Parks and conducive • New National Textile Policy investment environment; The existing National Textiles Policy 2000 vi. To formulate recommendations for was framed about 13 years ago and developing and modernizing the since then the industry has undergone various changes on the domestic and powerloom and handloom sector; international fronts. The domestic vii. To address the proliferation of textile industry has seen large scale environmental concerns; modernization and technological up- gradation in the last decade and faces viii. To address inter-segmental new challenges and opportunities. In inconsistencies in policy in respect the international trade scenario, while the of fiscal arrangements and formulate export quota regime has been removed recommendations for balanced in 2004, recent trends in the global textile growth of the sector; industry offer an enormous opportunity to Indian industry to enhance its share in ix. To suggest measures to enable the world trade provided a supportive policy Textile Industry to attain and sustain framework is put in place to make it more a pre-eminent global standing in the competitive & promote value addition. manufacture and export of textile Hence, the Government aims to formulate products; concerns of adequate skilled work force, labour reforms, attracting investments in x. To formulate recommendations to the Textile Sector, as well as providing a address credit requirements of the future road map for the textile and clothing textile sector; industry. xi. To formulate recommendations An Expert Committee under Shri for addressing issues relating to Ajay Shankar, Chairman, NMCC, has marketing strategies; been constituted to formulate the New National Textile Policy with the following xii. To evolve the Textile Policy to give objectives: a direction to the sector as a whole and to address the needs of the i. To develop a vision statement of the textile industry for 21st century trade textile sector for the next decade operations.

16 Annual Report 2013-14

The Committee has had wide provided on all the computers in the consultations with all sections of the Ministry to work in Hindi. industry and has submitted interim Committees recommendations pertaining to Labour Reforms. The recommendations of the The Departmental Official Language Committee are expected to be submitted Implementation Committee in the Ministry by June 2014. of Textiles has been constituted under the chairmanship of Joint Secretary (In- • ACTIVITIES RELATED TO charge Hindi). Quarterly meetings of PROGRESSIVE USE OF OFFICIAL the committee were organized regularly LANGUAGE and follow up action were taken up for compliance of decisions for use of Hindi Hindi is the Official Language of the Union of India and the policy of the Government in official work. aims at progressive use of Hindi in official Besides, 19th meeting of Hindi Salahkar work. Effective steps have been taken Samiti of the Ministry was held on during the year to ensure compliance 24th February, 2014 in Goa under the with the Official Language Policy of the Chairpersonship of Minister of State Government; implementation of the for Textiles. In the said meeting, a wide annual programme and compliance with discussion was held on various issues to the various orders of the Government of India on the recommendations of the promote the progressive use of Hindi and Committee of Parliament on Official for this, valuable suggestions were given Language. to the Ministry and the offices under its administrative control by Members of the Compliance with the provisions of the committee. Official Language Act, 1963 All documents such as resolutions, general Hindi Workshop orders, rules etc., under Section 3(3) of the Official Language Act and all papers A workshop on typing in Unicode laid on the Table of both the Houses of fonts was organised in the Ministry th Parliament were issued bilingually, i.e. in on 24 September, 2013. A number of Hindi and English. officials of Ministry took part in this workshop. Monitoring and inspections In order to ensure compliance with the Hindi Fortnight Official Language Policy, monitoring is Hindi Fortnight was celebrated during done through reviewing the quarterly progress reports. During the year, apart 16-30 September, 2013 in the Ministry. from the Sections of the Ministry, 1 head Various competitions like Hindi Essay, office and 2 sub-offices of organizations Hindi Noting & Drafting, Hindi Debate, under the control of the Ministry were Hindi Poetry Recitation, Dictation inspected to ensure progressive use of and Hindi Typing were organized to Hindi and compliance with the Official encourage and motivate the employees Language Policy. for doing more official work in Hindi. Use of Mechanical aids A large number of officers and staff As per the provisions of the Official participated in these events with Language Act, facilities have been enthusiasm. Messages from Minister

17 Ministry of Textiles

of Textiles, Minister of State for Textiles Ministry of Textiles as well as in its and Secretary (Textiles) were circulated Attached/ Subordinate offices and PSUs on the occasion of Hindi Diwas in the etc. for doing maximum work in Hindi.

18 Annual Report 2013-14

CHAPTER II FUNCTIONS & ORGANISATIONAL SET-UP

19

Annual Report 2013-14 CHAPTER II FUNCTIONS & ORGANISATIONAL SET-UP

The Ministry of Textiles is responsible for opportunities and development of policy formulation, planning, development, new designs to make these sectors export promotion and trade regulation economically sustainable. of the Textiles Industry. This includes all natural and manmade cellulosic fibres • To ensure proper working environment that go into the making of textiles, clothing, and easy access to health care and handicrafts. The Ministry maintains facilities and insurance cover to an interactive website: www.texmin.nic. weavers and artisans to achieve in. The Ministry is headed by a Secretary, better quality of life. who is assisted in the discharge of duties • To promote exports of all types of by four Joint Secretaries, an Economic textiles and clothing and handicrafts Advisor, the Development Commissioners and increase India’s share of world for Handlooms and Handicrafts, the exports in these sectors. Textiles Commissioner and the Jute Commissioner. OBJECTIVES

VISION • To make available adequate raw material to all sectors of the Textiles To build state of the art production Industry. capacities and achieve a pre-eminent global standing in manufacture and • To augment the production of fabrics at export of all types of textiles including reasonable prices from the organised technical textiles, jute, silk, cotton and and decentralised sectors. wool and develop a vibrant handlooms • To lay down guidelines for a planned and handicrafts sector for sustainable and harmonious growth of various economic development and promoting sectors with special emphasis on and preserving the age old cultural the development of the handlooms heritage in these sectors. sector due to its large employment potential. MISSION • To monitor the techno-economic • To promote planned and harmonious status of the industry and to provide growth of textiles by making available the requisite policy framework for adequate fibres to all sectors. modernization and rehabilitation. • To promote technological upgradation for all types of textiles including FUNCTIONAL AREAS technical textiles, jute, silk, cotton • The Textiles Policy & Coordination and wool. • Apparel Industry • To promote skills of all textile workers, handloom weavers and handicrafts • The Man-made Fibre/Filament Yarn artisans, creation of new employment Industry

21 Ministry of Textiles

• The Cotton Textiles Industry administers various schemes and functions to promote the development and export of • The Jute Industry handicrafts, and supplements the efforts • The Sericulture and Silk Textiles of State Governments by implementing Industry various developmental schemes. It has six regional offices at Mumbai, Kolkata, • The Wool & Woollen Textiles Lucknow, Chennai, Guwahati, and New Industry . • The Decentralized Powerlooms 2. SUBORDINATE OFFICES Sector

• Export Promotion (I) Office of the Textile Commissioner, Mumbai • International Trade The Office of the Textile Commissioner • Handicrafts (TXC) has its headquarters at Mumbai and eight regional Offices at Amritsar, • Handlooms Noida (with its sub- office at Kanpur also), • Skill Development Programme Indore, Kolkata, Bengluru, , Navi Mumbai and Ahmedabad. The • The Planning & Economic Analysis Textile Commissioner acts as the • Budget & Finance matters principal technical advisor to the Ministry. The office of Textiles Commissioner 1. ATTACHED OFFICES carries out techno-economic surveys and advises the government on the general (i) The Office of the Development economic health of the textiles industry. Commissioner for Handlooms, New The developmental activities of the Office Delhi of the Textiles Commissioner centre around planning for the parallel growth The Office is headed by the Development and development of the all segments of Commissioner for Handlooms. It the textiles & clothing industry. Of the forty administers various schemes for the four powerloom Service Centre (PSCs) promotion and development of the functioning throughout the country, fourteen handlooms sector and supplements the are functioning under the administrative efforts of State Governments, Societies, control of the Textiles Commissioner. NGOs, etc. Its subordinate organisations These PSCs cater the skilled manpower to include Weavers’ Services Centres the textile & clothing industry and technical (WSCs), the Indian Institutes of Handloom consultance/ services to the decentralised Technology (IIHT) and the enforcement Powerloom sector. The office of the machinery for the implementation of the Textile Commissioner also coordinates Handlooms (Reservation of Articles for and provides guidance to the remanining Production) Act, 1985. thirty Powerloom Service Centres, being (ii) The Office of the Development run by the various Textiles Research Associations and State Government Commissioner for Handicrafts, New Agenies. The Office also implements Delhi and monitors various developmental and The office is headed by the Development promotional schemes like the Technology Commissioner for Handicrafts. It Upgradation Funds Scheme (TUFS) for

22 Annual Report 2013-14 the modernization of the Textiles and Jute members and is headed by the Hon’ble industry, 20 % and 15 % Margin Money Union Minister of Textiles as the Chairman. Subsidy Schemes, Group Workshed For the period Jan, 2013 to March, 2014 Scheme, Inegrated Skill Development two meetings of Re-constituted AIPB Scheme, Group Insurance Scheme for were conducted on 12.07.2013 amd decentralized Powerloom Sections, the 18.02.2014 at . Textiles Workes’ Rehabilitation Fund Scheme (TWRFS), and the Technology (ii) All India Handloom Board Mission on Cotton (TMC), etc. The ALL India Handloom and Handicrafts Board (AIHHB) was first time constituted (II) Office of the Jute Commissioner, for a period of two years in July 1981. Kolkata Subsequently, a separate All India This office is headed by the Jute Handlooms Board was constituted on Commissioner and is entrusted with the 23rd January, 1992 with the aim to responsibility of implementing the policies advise the Government in formulating of the Government in the Jute sector. The policy for the overall development of the Jute Commissioner acts as the principal handloom sector under the Chairmanship technical adviser to the Government of of Union Minister of Textiles with official India, and gives technical advice to the members from the Central and state Ministry on matters relating to the jute Governments and non-official members industry, including the jute machinery from the handloom industry. Thereafter, industry. the All India Handloom Board has been reconstituted from time to time. 3. ADVISORY BOARDS Present AIHB was reconstituted on 2nd (i) All India Powerloom Board January, 2014 for a period of two years vide Notification No.1/27/2011-DCH/ The All India Powerloom Board was first Coordination/AIHB dated 2nd January, constituted as an Advisory Board to the 2014. The 1st meeting of re-constituted Government of India in November, 1981 All India Handloom Board was convened with the aim to advise the Government on 17th February, 2014 at New Delhi under generally on matters concerning the the Chairmanship of Hon’ble Minister of healthy development of Powerlooms Textiles. within the power operated weaving sector including measures to be taken (iii) All India Handicrafts Board to achieve better productivity, increased efficiency, improve welfare of workers and The All India Handicrafts Board is an locational dispersal of Powerlooms. The advisory body under the Chairmanship of Government of India reconstituted AIPB the Minister of Textiles. The Board was from time to time. reconstituted vide this office notification No. K-12012/5/5/2013-Planning dated The present AIPB has been reconstituted 27.12.2013 for a period of two years. for a period of two years vide Resolution The present strength of the Board is No.8/8/2007-PL dated 23.12.2013. It 114 Members comprising of Chairman, has representatives of the Central and Co-Chairperson, Vice-Chairperson, 14 State Govts., Bank/Financial Institutions, official Members, 8 Institutional Members Powerloom Federation/Associations including Member Secretary and 88 Non- of Powerloom / Textile Industry, as its official Members. It gives its advice to

23 Ministry of Textiles

the Government in formulation of the Other nominated members and now has overall Development Programmes in total 70 members in the committee. The Handicrafts Sector, keeping in view socio- Consultative Committee provides inputs Economic cultural and artistic perspective. regarding estimate of Cotton Production, In particular, the Board advises the Consumption, Import and Export. The Government regarding achievement of said inputs are then placed before the the following objectives : main committee.

1. To make handicraft sector an effective ii) Main Committee instrument of reducing unemployment and under-employment and Main Committee comprises of achieving higher standard of living for representatives from Central Govt., State Handicrafts artisans. Govt., State Co-op Cotton Growers’ Marketing Federation and Cotton 2. To advise the Government in the formulation of the overall development Research and Development and has total programmes in the handicrafts 18 members in the committee. The Main sector. Committee considers the inputs made available by the Consultative Committee 3. To preserve and promote the craft and arrives at State-wise area & production heritage. estimate and draws the Cotton Balance 4. To advise the Government in evolving Sheet. strategies for expanding markets for handicrafts in the country and (v) Cotton Yarn Advisory Board abroad. Cotton Yarn Advisory Board was 5. To take steps for effective coordination reconstituted vide Gazette Notification of the development efforts of various No. 9/4/2010-TUFS dated 25th June, Government agencies in the sector. 2012. Thereafter additional members were included in the CYAB vide further 6. To review the progress of development notifications. The Terms and Reference from time to time. of the Board has been extended upto 30th (iv) Cotton Advisory Board June, 2014. The Ministry of Textiles vide Resolution  The Board advises the Government No. 1/7/2012-Cotton dated 9th January, on matters pertaining to production, 2013 reconstituted the Cotton Advisory consumption and availability of Board (CAB) for a tenure of two years different types of cotton yarn and also w.e.f. 01.01.2013. the reconstituted provide a forum for liaison between CAB consists of two tier committee stakeholders i.e. spinners, weavers, viz. Consultative Committee and Main TRAs Government etc. committee.  The Board monitors the domestic i) Consultative Committee and international prices of cotton Consultative Committee comprises of yarn and suggest measures for representatives from Central Govt., increasing the availability of cotton State Govt., Textile Industry, Cotton yarn at reasonable prices for domestic Trade, Ginning & Pressing Sector and consumption.

24 Annual Report 2013-14

 The Board monitors the import and eighteen members, a Chairman and a export of cotton yarn and prepare the Vice-Chairman of the Institute comprising Cotton Yarn Balance Sheet. of representative of the Industry and eminent personalities from the field of The Board ordinarily meets once in a academics was reconstitutes on October quarter or as often as necessary. 15, 2013 for a period of three years.

(vi) Jute Advisory Board 5. STATUTORY BODIES The Jute Advisory Board headed by the Jute Commissioner advises the (i) National Jute Board, Kolkata Government on matters pertaining to jute National Jute Board (NJB) has been falling within the purview of Jute and Jute constituted by the Ministry of Textiles as Textiles Control Order 2002, including per the National Jute Board Act, 2008 [with production estimates of jute and mesta. merger of the erstwhile Jute Manufactures Development Council (JMDC) & National 4. REGISTERED SOCIETIES Centre For Jute Deversification (NCJ). The Board is in place with effect from 1st (i) Central Wool Development Board, April, 2010. The National Jute Board is the Jodhpur apex organisation for coordinating and The Central Wool Development Board synergising the functions of all jute related (CWDB), Jodhpur was constituted by the Organisations and a focal point for all jute Government of India, Ministry of Textiles related activities. The National Jute Board in 1987 under the Rajasthan Societies is also responsible for implementation Registration Act, 1958 to promote the of the Jute Technology Mission in a growth and overall development of wool centralozed and coordinated manner and and the woolen textiles industry in the helps in speedily resolving the ills of Jute Country. The Board administers various Industry in the matters of diversification projects and programmes through the and marketing of Jute Products as well as State Governments and Non-Government modernisation of Jute Mills. National Jute Organisations (NGOs). The terms of Board have membership of 34 persons, Board expired on November, 21, 2012. of which 15 will be Government and State The Board was reconstituted on 22nd Governments having stake in production November, 2012 for a period of two years. and promotion of Jute Products and The term of present Board expires on 19 Members from private jute related November, 21, 2014. sector i.e. jute farmers, growers, research association, small and medium (ii) Sardar Vallabhbhai Patel International enterprises as well as here Members School of Textiles & Management of Parliament. The Headquarters of the (SVPISTM), Coimbatore National Jute Board is in Kolkata, with regional representations in Jute growing SVPISTM was set-up on December areas and in other areas for marketing of 24,2002, as a premier National level the jute products. Institute for Textiles Management at Coimbatore, Tamil Nadu, to prepare (ii) The Central Silk Board (CSB), the Indian textiles industry to face the Bangalore challenges of post-Multi Fibre Agreement era and establish it as a leader in the The Central Silk Board is a statutory global textiles trade. The Board consists body, and it was constituted by an Act of

25 Ministry of Textiles

Parliament (LXI of 1948), with the objective 17(1) of the Sick Textiles Undertakings of promoting the growth and development (Nationalisation) Act, 1974, Section 15(1) of Sericulture in the country. These of the Swadeshi Cotton Mills Company Ltd. programmes are primarily formulated and (Acquisition and Transfer of Undertakings) implemented by the State Sericulture/ Act, 1986, and also under Section 17(1) of Textiles Departments. However, the the Textiles Undertakings (Nationalisation) Central Silk Board supplements the efforts Act, 1995. The Commissioner of Payments of the States by providing necessary disburses the amount placed at his support for research and development, disposal to the owners of each textiles and extension and training through its undertaking nationalized by the aforesaid countrywide network of centres. Besides, three Acts. the Central Silk Board organises the production and supply of quality silkworm (v) National Institute of Fashion seeds, Mulberry cuttings, etc., and also Technology (NIFT), New Delhi implements various Sericulture projects The National Institute of Fashion of the Government of India directly, as Technology was set up in 1986 as an well as, jointly with the State sericulture autonomous Society in collaboration Departments. The Board constitutes of with the Fashion Institute of Technology 39 members including a chairman & ex- (FIT), New York, to prepare and train officio vice chairman and 2 permanent professionals to meet the requirements invitees. of the textiles industry. The Government brought into force the National Institute (iii) Textiles Committee, Mumbai of Fashion Technology Act, 2006 The Textiles Committee was established on July 14, 2006. This Act provides in July, 1964 under the Textiles Committee statutory status to the Institute, and Act, 1963, with the objective of ensuring formally recognizes its leadership in the quality of textiles from both the internal the fashion technology sector. The Act and export markets. Its functions include empowers NIFT to award degrees to the promotion of textiles, textiles exports, its students from 2007 onwards. The research in technical and economic is the Visitor of the fields, establishing standards for textiles Institute. The Institute has pioneered and textiles machinery, setting up of the evolution of the fashion business laboratories, and data collection located education across the country through throughout the country. The Textiles centres at New Delhi, Bangalore, Committee, in addition to its headquarters Chennai, Gandhinagar, Hyderabad, at Mumbai, has 28 Regional Offices , 17 Kolkata, Mumbai, Kannur, Patna, of them with laboratories, including 9 eco Shillong, Kangra, Bhopal, Rae Bareli, parameters testing laboratories. Bhubneshwar and Jodhpur.

(iv) Commissioner of Payments (COP), 6. THE RIGHT TO INFORMATION New Delhi ACT, 2005

The Office of Commissioner of Payments To promote openness, transparency with its headquarters at Delhi, is a and accountability in administration statutory authority, set up under Section and provide the right to every citizen to

26 Annual Report 2013-14 secure access to information under the Committee under the Chairmanship of control of Public Authorities, the Right to a Joint Secretary has been formed to Information Act has come into effect for monitor the functioning of CPGRAMS in implementation w.e.f. October 12, 2005. the Ministry, as well as in attached and The Act marks the beginning of a new subordinate organizations. If need be, era in the approach of the Government the files relating to pending grievances where openness shall now be the are called and cases are settled by rule and secrecy an exception. Every the Committee in its meetings. The Citizen can obtain the information they Ministry has taken, the following steps to desire by submission of an application strengthen the CPGRAMS and by paying a nominal charge as an • Time Norms for the disposal of application fee, to the Central Public grievance cases have been fixed, Information Officer designated by the and the same have been circulated public authority for the purpose under the and displayed at prominent places of Act. This Ministry has designated officers the building: as Central Public Information Officers (CPIOs) and Appellate Authorities. The  Acknowledgement of the Ministry of Textiles, as well as, its Attached complainant within seven days; & Subordinate Offices, Autonomous & Statutory Bodies and Public Sector  Final disposal within two Undertakings have completed the months. action for setting up of the necessary • Publicity about the CPGRAMS in the infrastructure for implementation of the media. Act. Ministry monitors the implementation of the Act by the organizations under the • The Citizens Charter has been Ministry of Textiles. formulated and hosted on the Website. 7. PUBLIC GRIEVANCE REDRESSAL MACHINERY IN • Details about the CPGRAMS have THE MINISTRY also been placed on the Website of the Ministry (texmin.nic.in). The Department of Administrative Reforms and Public Grievances issues • An Information & Facilitation Counter instructions and guidelines to establish, has been established at Gate No.14, activate, and strengthen the Centralized Udyog Bhawan, New Delhi, to make Public Grievances Redressal and information readily available to the Monitoring system (CPGRM) in the public. Ministries, Departments, and other Organisations of the Government of • A complaint box has been kept at the India. In pursuance of these instructions/ Information & Facilitation Counter. guidelines, online CPGRAMS has The list of Officers handling Public/ been introduced in the Ministry. Similar Staff Grievances in the Ministry of arrangements are also being made in Textiles and its Attached/Subordinate each of the attached/subordinate offices Offices is available at the website of of the Ministry of Textiles. A Grievance the Ministry.

27 Ministry of Textiles

Table 2.1 List of Officers handling public/staff grievances in the Ministry of Textiles and its Attached/ Subordinate Offices S.No. Offices Public/Staff Grievances Officer 1. Ministry of Textiles Ms.Sunaina Tomar Joint Secretary/ Director (PG) Room No. 271, Udyog Bhawan New Delhi-110011 Phone - 23061826 2. Office of the Development Shri S.S. Gupta, Development Commissioner (Handicraft) Commissioner (Handicraft) West Block-7, R.K. Puram New Delhi-110066 Phone- 011-26109895 3. Office of the Development Shri Dinesh Kumar Commissioner (Handloom) Development Commissioner (Handloom) Office of DC (Handloom) Udyog Bhawan, New Delhi 110011 Phone- 011 23062238 4. Office of the Textile Mrs. Kiran Soni Gupta Commissioner Textile Commissioner New CGO Building , 48 Marine Line Mumbai-400020 Phone- 022-22001050 5. Office of the Jute Commissioner Mrs. Chandrani Gupta Deputy Director C.G.O. Complex,3rd MSO Building 4th Floor, DF Block, Salt Lake City Kolkata - 700 064 Phone – 033-23376973/75

Table 2.2 List of Organisations Under The Ministry of Textiles (Except Attached/Subordinate Offices)

Public sector Textliles Reasearch Advisory Registered Statutory Bodies Undertakings Associations Bodies Societies 1. Birds Jute Export 1. Ahmedabad All India 1. Central Wool 1. Central Silk Ltd. (BJEL), Textiles Industries Handloom Development Board (CSB), Kolkata Research Board Board, Bangalore Association (CWDC) (ATIRA), Jodhpur Ahmedabad

28 Annual Report 2013-14

Public sector Textliles Reasearch Advisory Registered Statutory Bodies Undertakings Associations Bodies Societies 2. British India 2.Bombay Textiles All India 2.Sardar 2.Commossioner Corporation (BIC) Research Association Handicrafts Vallabhbhai Patel of Payment, along with its (BTRA), Mumbai Board International (COP), New Delhi sudsidiaries School of Textiles and Management, (SVPITM) Coimbatore 3. Central Cottage 3. Indian Jute All India 3. National Jute Industries Industries Powerloom Board, Kolkata. Corporation Research Board of India Ltd, Association (CCIC),New (IJIRA), Kolkata Delhi 4. The Cotton 4. Man-Made Coordination 4. Textile Corporation of Textiles Research council for Committee, India Ltd,(CCI) Association Textiles Mumbai Mumbai (MANTRA), Surat Research Associations 5. The Handicrafts 5. Northern India Cotton advisory 5. National & Handlooms Textile Research board Institute of Exports Association Fashion Corporation (NITRA), Gaziabad Technology, of India Ltd. (NIFT) New (HHEC), New Delhi Delhi 6. The Jute 6. South India Jute Advisory Corporation of Textiles Research Board India Limited, Association (JCI), Kolkata (SITRA), Coimbatore 7. National 7. Synthetic and Art Handloom Silk Mills Research Development Association Corporation (SASMIRA) (NHDC), Lucknow 8. National Jute 8. Wool Research Manufactures Association Corporation (WRA), Thane (NJMC), Kolkata 9. National Textiles Corporation Ltd. (NTC), New Delhi

29 Ministry of Textiles

• An Information & Facilitation Counter 2. The Cotton Textiles Export Promotion has been established at Gate No. 14, Council (TEXPROCIL) Udyog Bhawan, New Delhi, to make 3. The Synthetic & Rayon Textiles Export information readily available to the Promotion Council (SRTEPC) public. 4. Wool & Woollen Export Promotion • A complaint box hass been kept at the Council (S&WEPC) Information & Facilitation Conter. The list of Officers handling Public/ Staff 5. Wool Industry Export Promotion Grievance in the Ministry of Textiles Organization (WOOLTEXPRO) and its Attached/ Subordinate Offices 6. Indian Silk Export Promotion Council is available at the website of the (ISEPC) Ministry. 7. Carpet Export Promotion Council There are eleven textiles Exports (CEPC) Promotion Councils representing all 8. Export Promotion Council for segments of the Textiles & Clothing Handicrafts (EPCH) sector, viz. readymade garments, cotton, silk, jute, wool, powerloom, handloom, 9. Powerloom Development & Export handicrafts, and carpets. These Councils Promotion Council (PDEXCIL) work in close cooperation with the Ministry 10. Handloom Export Promotion Council of Textiles and other Ministries to promote (HEPC) the growth of their respective sector in the global export markets. 11. Jute Product Development Export Promotion Council (JPDEPC) The Textiles Export Promotion Councils are: The Central Wool Development Board was reconstituted on November 22, 2012 1. Apparel Export Promotion Council and the term of present Board expires on (AEPC) November, 21, 2014.

30 Annual Report 2013-14

CHAPTER III THE ORGANIZED TEXTILES MILL INDUSTRY

31

Annual Report 2013-14 Chapter – III THE ORGANIZED TEXTILES MILL INDUSTRY

(1) TECHNOLOGY UPGRADATION decentralized powerlooms sector has also FUND SCHEME (TUFS) been introduced. Margin Money Subsidy in lieu of interest reimbursement and The Technology Upgradation Fund capital subsidy has also been increased Scheme (TUFS) was launched on April 1, from 20% to 30% and subsidy cap from 1999, for a period of five years and was Rs. 1 crore to Rs. 1.5 crore for brand new subsequently extended upto March 31, shuttle less looms. Sectoral cap of 26% 2007. The Scheme provides for interest is applicable only for spinning sector and reimbursement/capital subsidy/Margin there is no cap on other sectors. Capital Money subsidy and has been devised to subsidy is also increased from 25% to 30% bridge the gap between the cost of interest in respect of Handloom and Silk Sectors. and the capital component to ease up the Margin Money Subsidy cap for MSME working capital requirement and to reduce and Jute Sector has also been increased the transaction cost etc. The Scheme is an from Rs. 45 lakh to Rs. 75 lakh and 10% important tool to infuse financial support of the approved outlay for new sanctions to the textiles industry and helps it to has also been earmarked for MSME units. capitalize on the vibrant and expanding The scheme is administered through global and domestic markets through 3 nodal agencies, 36 nodal banks and technology upgradation, cost effectiveness, 108 co-opted PLIs. The scheme, since quality production, efficiency and global its inception, has propelled investment competitiveness. of more than Rs. 2,50,000 crore till The Scheme was approved on 29.8.2013 31.03.2014. An amount of Rs. 18579.40 for continuation till 2017 with modified crore has been released towards subsidy financial and operational parameters under the Scheme as on 31.03.2014. and major focus on modernization Planning Commission has approved an of powerlooms sector. Interest allocation of Rs. 11952.80 crore under th reimbursement and capital subsidy for TUFS for the 12 Five Year Plan. brand new shuttle less looms have been Progress of TUFS increased from 5% to 6% and 10% to 15% respectively. In addition, a pilot The progress of TUFS is steadily going up project for financing high tech shuttle which is evident from the data given in less looms on hire purchase basis for Table 3.1. Table 3.1 (Rs. in crore)

Period Received Sanctioned Disbursed No. of Project No.of Project Amount No. of ap- Amount Subsidy applica- Cost applica- Cost plications tions tions 1999-2000 407 5771 309 5074 2421 179 746 1

33 Ministry of Textiles

Period Received Sanctioned Disbursed No. of Project No.of Project Amount No. of ap- Amount Subsidy applica- Cost applica- Cost plications tions tions

2000-2001 719 6296 616 4380 2090 494 1863 70

2001-2002 472 1900 444 1320 630 401 804 198.89

2002-2003 494 1835 456 1438 839 411 931 202.59

2003-2004 867 3356 884 3289 1341 814 856 249.06

2004-2005 986 7941 986 7349 2990 801 1757 283.60

2005-2006 1086 16194 1078 15032 6776 993 3962 485

2006-2007 12336 61063 12589 66233 29073 13168 26605 823.92

2007-2008 2408 21254 2260 19917 8058 2207 6854 1143.37

2008-2009 (P) 6113 56542 6072 55707 24007 6111 21826 2632.00

2009-2010 2384 28005 2352 27611 6612 2361 8140 2886

2010-2011 256 397 256 397 254 240 282 2784.18

As on 28528 210554 28302 207747 85091 28180 74627 11759.61 30.06.2010(P)

Segment-wise progress of Restructured TUFS as on 05.03.2014 (Rs. in crore) Category No. of Project Sanc- Loan un- CAP Sub- CAP for Subsidy claimed Appli- Cost tioned der TUFS for sidy Subsidy cation Loan Project for All Amount No. of Amount amount Cost Applica- tions

Spinning 282 9642.78 5965.09 5414.83 12194 1093.02 210 268 213.07

Weaving 946 3572.16 2656.50 2527.54 6097 712.29 225 830 187.11

Processing 507 4840.79 2367.07 2239.81 9849 662.92 424 462 167.97

Garmenting 585 1096.09 698.25 642.71 3752 175.31 200 543 75.55

Others 1644 18460.26 10266.77 9399.71 15008 2503.74 799 1572 687.24

Total 3964 37612.08 21953.69 20224.61 46900 5147.29 1858 3675 1330.94

34 Annual Report 2013-14

Progress of Restructured Revised TUFS (RR-TUFS) as on 30.4.2014 (Rs. in crore)

Category Type of Numbers Project Term Loan Term Subsidy Subsidy Available unit of UIDs Cost sanctioned loan cap limit utilized in subsidy issued eligible earmarked 12th plan cap under (for UIDs TUFS approved)

Standalone MSME 29 88.08 52.62 51.26 47.48 2.81 44.67 spinning Non-MSME 140 2903.91 2022.31 1855.86 427.32 111.82 315.50

Total 169 2991.99 2074.93 1907.12 474.80 114.63 360.17

Others MSME 816 2255.51 906.54 829.57 188.77 194.09 -5.31

Non-MSME 273 3827.72 2965.62 2709.68 1698.97 598.04 1100.93

Total 1089 6083.23 3872.16 3539.25 1887.74 792.13 1095.61

Overall MSME 845 2343.60 959.16 880.84 236.25 196.90 39.35

Non-MSME 413 6731.63 4987.93 4565.54 2126.29 709.86 1416.42

Total 1258 9075.23 5947.09 5446.37 2362.54 906.76 1455.78

Progress of (20% CLCS) November 2003. Under the scheme, Rs. 350.38 crores has been disbursed 20% Credit Linked Capital Subsidy to 4078 cases as per details given in Scheme under CLCS-TUFS for power Table 3.2. loom units had been launched on 6th

Table 3.2

Sr. Year No. of units Amount of subsidy released No (Rs. in crore) 1 2003- 2004 004 00.10 2 2004-2005 150 06.00 3 2005-2006 368 23.00 4 2006-2007 958 68.89 5. 2007-2008 436 35.92 6 2008-2009 404 32.48 7 2009-2010 363 30.57 8 2010-11 233 17.72 9 2011-12 296 24.32 10 2012-13 533 63.63 11 2013-14 333 47.75 Total 4078 350.38

35 Ministry of Textiles hand nd Benefits during 2012-17 2% IR or 8% MMS on 2 2% IR for replacement/modernization new of standalone/ spinning machinery. 5% IR with for matching spinning weaving/ capacity units knitting/processing/ garmenting. in Margin 30% or 15%CS + IR 6% Money Subsidy machinery. specified compatible on Capital TUFS ceiling is Rs. 5 crores and capital subsidy is Rs. 60 lakh for brand new shuttleless looms, MMS subsidy cap to be Rs. 1.5 crore. imported shuttleless with10 years” vintage and with looms a residual life of minimum 10 years Independent preparatory units are covered under 30% MMS with Capital ceiling of crores and Rs. subsidy cap 5 of Rs. 1.5 crore. Benefits during 2011-13 Scheme cover shuttleless looms of 10 years” automatic vintage and with a residual life of minimum 10 years. Value TAMC. Cap will be decided by 4% IR for replacement/modernization new of standalone/ spinning machinery. 5% IR with for matching spinning weaving/ capacity units knitting/processing/ in garmenting. 5% IR + 10%CS or 20% Margin Money Subsidy compatible specified machinery. on Capital ceiling TUFS is raised to 5 Rs. crores from Rs. 2 crores and capital subsidy to be increased to Rs. 60 lakh from Rs. 20 lakh; for brand new shuttleless looms, subsidy cap to be Rs. 1 crore. Independent preparatory units are also covered under 20% Rs. of ceiling Capital with MMS Rs. of cap subsidy and crores 5 60 lakhs.

nd Table 3.3 Table Benefits during 2007-10 hand automatic looms with machine a per lakh 8 of cap value and 10 years’ vintage and with a residual life of minimum 10 years is eligible. 4% IR for spinning and upgradation modernisation of 5% IR or 20% Margin Money Subsidy on TUFS compatible specified machineryto a subject capital ceiling of 200 lakh and ceiling on margin money subsidy of 20 lakh. Independent preparatory units covered under 5% IR. Only imported shuttleless 2 hand nd Progression in benefits under TUFS since its inception 5% IR excluding spinning units stand alone 5% IR and 20% Capital subsidy Capital ceiling is raised to Rs. 1 crore from Rs. 60 lakh machinery permitted Benefits during 2004-07 Certain imported 2 during 5% IR excluding stand spinning units alone 5% IR initially. 5% IR and Capital 20% w.e.f. subsidy subject 6.11.2003 to capital ceiling of Rs. 60 lakh Benefits 1999-2004 Sector Spinning Weaving The progression in benefits under TUFS since its inceptions is given in Table 3.3: TUFS since its inceptions is given in The progression in benefits under

36 Annual Report 2013-14 Benefits during 2012-17 6% IR and 15% capital subsidy on brand looms. new shuttleless from raised is ceiling MMS 15% Rs. 45 lakhs to 75 lakhs. 5% IR and 10% capital subsidy on processing units. 5% subsidy IR on and garmenting Investments 10% units capital building, like expenses and factory margin money for working capital are eligible pre-operative for benefit ofunder reimbursement the scheme for apparel and handloom sector with 50% cap. Investment on not Land entitled for is support under TUFS. 5% IR and 10% capital subsidy Textiles Technical on 5% IR or 30% capital subsidy on benchmarked machinery at par with handloom sector. Capital ceiling is Rs. 5 crore and subsidy cap is Rs. 75 lakh. Benefits during 2011-13 15% MMS ceiling is raised from raised is ceiling MMS 15% Rs. 15 lakhs to 45 lakhs. subsidy capital 10% and IR 5% on processing units. 5% IR and 10% capital subsidy Investments units garmenting on pre-operative building, factory like expenses and margin money for working capital are eligible for benefit ofunder the reimbursement scheme for apparel and handloom sector with 50% cap. Investment on Land is not TUFS. entitled for support under subsidy capital 10% and IR 5% Textiles Technical on 5% IR or 25% capital subsidy on benchmarked machinery at par with handloom sector. Capital ceiling is raised to Rs. 5 crore from Rs. 2 crore in line with SSI units and subsidy cap increased from Rs. 15 lakh to Rs. 45 lakh. 5% IR and 10% capital subsidy capital 10% and IR 5% on brand looms. new shuttleless 5% IR and 10% capital subsidy on processing units. 5% IR subsidy and 10% units on Investments capital like factory building, land, pre-operative garmenting expenses and margin money for working capital are eligible for benefit of reimbursement under the scheme for apparel and handloom sector only with 50% cap. 5% IR and 10% capital subsidy Textiles Technical on 5% IR Capital ceiling is 2 crore in and subsidy cap is 15 lakh. Benefits during 2007-10 Warping/sizing machines are given 5% IR. 5% IR and 10% capital subsidy 20.4.2005 w.e.f. 5% IR 5% IR or 15% capital to subject w.e.f.13.01.2005 Capital subsidy ceiling of Rs. 100 lakh and capital subsidy of Rs. 15 lakh Benefits during 2004-07 during 5% IR 5% IR initially 5% IR Capital or 12% w.e.f.18.12.2001 subsidy Benefits 1999-2004 Processing Garmenting Technical Textiles Silk Sector 15% MMS for SSI Sector Sector

37 Ministry of Textiles Existing benefit may continue Benefits during 2012-17 No special provision. Other investments like, CETP, energy saving land devices, in-house R&D, of adoption including TQM ERP, IT including ISO / BIS standards, CPP and electrical installation etc. TUFS not eligible under are Repayment period is reduced to 7 years including 2 years of moratorium/implementation. Subsidy in restructured cases quantum the to restricted be will as approved in the initial loan repayment schedule. Existing benefit may continue Benefits during 2011-13 No special provision. Other investments like, CETP, energy land saving devices, in-house R&D, IT ERP, TQM including adoption including of ISO / BIS standards, CPP and electrical installation etc. TUFS are not eligible under Subsidy in restructured cases quantum the to restricted be will as approved in the initial loan repayment schedule. Repayment period is reduced to 7 years including 2 years of moratorium/implementation. Benefits during 2007-10 No special provision Other investments like, energy saving treatment plant, in-house R&D, devices, including TQM ERP, including IT effluent adoption of ISO/BIS standards, CPP and electrical installation etc from TUFS are eligible for benefits only upto 25% of the cost of machinery. Repayment period moratorium/ of 10 years 2 including years implementation Coverage of wind turbines flexibility in the list of and machineries for additional 10% upfront capital subsidy 25% capital subsidy on purchase of the equipments for new the pre-loom handlooms/ operations, post-loom machinery & and upgradation and of Testing & Equipments Quality Control handlooms 24.7.2006 production units w.e.f. for handloom Coverage of synthetic fibre/yarn segment for the machinery benchmarked required polymerization stage in respect of at PSF, PFY, NFY, Nylon Tyre Cord post and for acrylic staple Benefits during 2004-07 during 5% IR Benefits 1999-2004 Other segments Sector Benefits for Units in Textile NE States/J&K Other Investments Cotton Ginning & Pressing Restructured/ rescheduled cases Repayment Period

38 Annual Report 2013-14

(2) SCHEME FOR INTEGRATED facilities, marketing support system TEXTILE PARK (SITP) (backward / forward linkages) etc. The ‘Scheme for Integrated Textile Parks (d) Group D – Factory buildings for (SITP)’ was approved in the 10th Five Year production purposes. Plan to provide the industry with world- (e) Group E- Plant & machinery. class infrastructure facilities for setting up their textile units by merging the erstwhile (f) Group F - Work space for textile ‘Apparel Parks for Exports Scheme units and workers hostel which may (APES) and Textile Centre Infrastructure be made available on rental/hire Development Scheme (TCIDS)’. purchase basis.

2. Scope of the Scheme: 2.3 The items covered under each of the above Groups are illustrative only and 2.1 The scheme targets industrial every ITP may be developed to suit clusters/locations with high growth the specific production and business potential, which require strategic requirements of members of ITP. The interventions by way of providing Project Approval Committee (PAC) world-class infrastructure support. will recommend on merit the inclusion The project cost will cover common or otherwise of a component in the infrastructure and buildings for project cost on case to case basis. production/support activities (including textiles engineering, 2.4 The total Project Cost for the purpose accessories. packaging), depending of this Scheme includes the cost on on the needs of the ITP. There will be account of components of ITP, as flexibility in setting up ITPs to suit the listed under Groups B, C, D and F local requirements. above, provided the ownership of the factory buildings vests with the 2.2 An ITP will have the following SPV. The technical fee shall not be components: covered in the project cost.

(a) Group A - Land. 2.5 The SPV will, however, have the option of seeking financial support (b) Group B – Common Infrastructure like compound wall, roads, drainage, from Government of India for water supply, electricity supply components under Groups B, C including captive power plant, effluent and F only, if factory buildings are treatment, telecommunication lines individually owned. etc. 2.6. The Parks with Processing Unit should necessarily have a CETP. (c) Group C – Buildings for common facilities like testing laboratory 3. Funding Pattern: (including equipments), design center(including equipments), training 3.1 The Government of India’s (GOI) center(including equipments), trade support under the Scheme by way of center/display center, ware housing Grant or Equity is limited to 40% of facility/ raw material depot, one the project cost subject to a ceiling of packaging unit, crèche, canteen, Rs. 40 crore. GOI support under the workers hostel, offices of service Scheme will be generally in the form providers, labour rest and recreation of grant to the SPV unless specifically

39 Ministry of Textiles

decided to be equity. However, Park, Mundra SEZ, RJD Textiles the combined equity stake of GOI/ Park, Surat Super Yarn Ltd. – State Government/State Industrial Gujarat, Palladam Hi-tech Weaving Development Corporation, if any, Park, Karur Textiles Park – Tamil should not exceed 49%. Nadu. Islampur, Baramati Hi-Tech Textile Park & Latur Integrated Textile 3.2 However, GOI support will be Park, Maharashtra. Lotus Integrated provided @90% of the project cost Textiles Park, Punjab. Dodballapur subject to a ceiling of Rs. 40 crore Textile Park, Karnataka. Jaipur for first two projects in the States of Integrated Texcraft Park Pvt Ltd. – Arunachal Pradesh, Assam, , Jaipur. Production has been started Meghalaya, Mizoram, Nagaland, in 27 out of 40 projects. Tripura, Sikkim and Jammu & Kashmir. • 21 new parks were sanctioned in October 2012 with project cost of 4. Status of Implementation: Rs. 2329.06 crore and Government of India contribution is Rs. 819 crore 4.1 Scheme for Integrated Textile Parks in the following States;- Andhra (SITP) Pradesh (2), Gujarat (1), Himachal • Forty Textiles Parks have been Pradesh (1), J&K (1), Karnataka sanctioned during 10th and 11th Five (1), Maharashtra (6), Rajasthan (4), Year Plan. Tamil Nadu (2), Tripura (1), Uttar Pradesh(1), West Bengal (1). • Estimated project cost (for common infrastructure and common facilities) • An amount of Rs. 106.48 crore has of the 40 sanctioned projects is Rs. been released towards 21 new parks 4141 crore, of which Government of up to 31.03.2014. India assistance under the scheme would be Rs. 1428 crore. • State wise release of GoI grant under SITP in 2013-14 is given in Table • An amount of Rs. 1111.74 crore has 3.4. been released under SITP. Table 3.4 • 2292 entrepreneurs will put up their S.No. Name of the State Amount units in these parks covering an (in Rupees) area of 4307.97 acre. The estimated investment in these parks will be Rs. 1. Rajasthan 20,60,32,049 19,456.90 crore and estimated annual 2. Maharashtra 22,09,55,833 production will be Rs 33,568.50 crore. 3. Himachal Pradesh 11,62,80,000 4. Tamil Nadu 7,30,24,000 • These Parks are in Andhra Pradesh (5), Gujarat (7), Maharashtra (9), 5. Jammu & Kashmir 23,82,00,000 Tamil Nadu (7), Rajasthan (6), 6. West Bengal 2,80,00,000 Karnataka (1), Punjab (3), West Bengal (1), Madhya Pradesh (1). 7. Andhra Pradesh 7,68,00,000

• Fourteen projects have been 8. Punjab 12,00,00,000 completed, Brandix & Pohampally - Total 107,92,91,882 Andhra Pradesh, Gujarat Eco Textile

40 Annual Report 2013-14

5. Future Programme: processing standards and technology, to create new processing clusters/ centres Considering the overwhelming response specifically in the area of water and to the scheme and opportunities for waste management and to encourage growth of the textiles industry and in research and development work in view of the consistent requests from textiles processing sector. The scheme State Governments, industry groups will provide Government support for and entrepreneurs for setting up of new establishing common infrastructure to textile parks, the CCEA has approved catalyse private sector investments the proposal submitted by the Ministry of in the major processing clusters. The Textiles for sanction of new projects under Budget Estimate for 2014-15 is Rs.50 SITP to utilize the balance Rs. 717 crore crores. in the 12th Five Year Plan. Construction of Workers Hostels has been specifically Scheme for Incubation in Apparel in included the scope of the scheme. Manufacturing (SIAM) Additional Grant for Apparel The proposal for Scheme for Incubation Manufacturing Units under SITP in Apparel Manufacturing (SIAM) during the 12th Five Year Plan with fund outlay of The Finance Minister, in his Budget Rs.38.8 crore was approved in the SFC Speech 2013-14 proposed to set up meeting held on 23rd January, 2014. The Apparel Parks within the SITPs to objective of the Scheme is to create an house apparel manufacturing units. integrated workspace and linkages based To incentivize such apparel parks, the entrepreneurial ecosystem for the start- Finance Minister proposed to allocate ups. This integrated workspace and allied Rs.50 crore to the Ministry of Textiles to provide an additional grant of upto Rs.10 services would allow the entrepreneurs crore to each park. to execute their ideas and deliver their products through a process that is CCEA in its meeting held on 3rd October, operationally and financially viable. The 2013 approved Rs.50 crore for setting up Budget Estimate for 2014-15 is Rs.10 5 Apparel Manufacturing Units with a grant crore. of Rs.10 crore each within the existing ITPs in accordance with Budget Announcement Scheme for Textile Industry Workers’ 2013-14 and the Guidelines for setting up Accommodation an apparel manufacturing unit within a textile park. The proposal for Scheme for Textile Worker’s Accommodation during the 12th Integrated Processing Development Five Year Plan with fund outlay of Rs.45 Scheme (IPDS) crore was approved in the SFC meeting held on 23rd January, 2014. The objective CCEA in its meeting held on 30th of the Scheme is to promote availability of October, 2013 approved implementation safe, adequate and conveniently located of Integrated Processing Development accommodation for textile and apparel Scheme (IPDS) at a total cost of Rs.500 industry workers in the form of workers’ crore during the 12th Five Year Plan. The hostels, within the proximity of areas with objective of the Scheme is to facilitate high concentration on textile and apparel the textiles industry become globally industries. The Budget Estimate for 2014- competitive using environmental friendly 15 is Rs.14 crore.

41 Ministry of Textiles

(3) TECHNICAL TEXTILES Sl. Particulars Achievements Technical Textiles are defined as Textile No material and products are manufactured 3. No. of Prototypes 72 primarily for technical performance and developed functional properties rather than aesthetic 4. No. of Incubation 138 properties and decorative characteristics. activities These products have a presence in major areas of activity such as aerospace, 5. Accreditations with 9 shipping, sports, agriculture, defence, National and International institutes medicine/ health, manufacturing, etc. 6. No. of technical 115 Table 3.5 gives details about the consultancy assignments achievements of eight Centre of Excellence established under Technology 7. No. of standards 101 Mission on Technical Textiles submitted for formulation Table 3.5 8. No. of awareness 51 programs organised Sl. Particulars Achievements No The following, new initiatives with special focus on the North East Region have also 1. No. of persons trained 4850 been envisaged with an overall outlay of 2. Revenue generated (Rs 645.92 Rs. 482 crores during 12th Five Year Plan in lakh) for promoting Geotechnical Textiles and Agrotextiles.

Technotex 2014 - International Conference & Exhibition on Technical Textiles held on 20th – 22th March 2014, Mumbai

a. Scheme for promoting usage of b. Scheme for promoting usage of Agrotextiles in NER with an outlay Geotechnical Textiles in NER with an of Rs 55 crores was operationalized. outlay of Rs. 427 crore was appraised Implementation of the scheme has by Expenditure Finance Committee been initiated, and establishment and Cabinet Note for approval of of 2 demonstration centres each Cabinet Committee on Economic in Manipur and Mizoram has been Affairs (CCEA) is under process for approved. seeking the approval of CCEA.

42 Annual Report 2013-14

(4) TEXTILE WORKERS’ activity (like weaving or processing) REHABILITATION FUND is scrapped as a part of rehabilitation SCHEME (TWRFS) package for a sick/weak mill (as per the RBI definition) approved by the The Textile Workers’ Rehabilitation Fund Nodal Agency/BIFR provided the Scheme came into force with effect from scrapped capacity is surrendered 15.09.1986 with the objective to provide for cancellation and endorsement is interim relief to textile workers rendered made on the License / Registration unemployed as a consequence of certificate to this effect. permanent closure of any particular portion or entire textile unit. Assistance under the Eligibility Scheme is payable to eligible workers only Any worker would be eligible provided he/ for the purpose of enabling them to settle in she has been engaged in a closed textile another employment. Such assistance is not unit on the date of its closure continuously heritable, transferable or capable of being for five years or more and earning a wage attached on account of any other liabilities equivalent of Rs. 2500 per month or less of the worker. The worker’s eligibility for the mills closed between 06.06.1985 shall cease if he takes up employment in to 01.04.1993 and Rs.3500 or less another registered or licensed undertaking. thereafter. They should be contributing The rehabilitation assistance will not be to provident fund maintained by the curtailed if the worker fixes himself in a self- Regional Provident Fund Commissioner employment venture. of the State concerned.

Closed Textile Unit Period and Quantum of Relief For the purpose of this scheme, closed Relief under the Scheme is available textile unit means: only for three years on a tapering basis but will not extend beyond the date of (i) a unit licensed or registered under superannuation of any worker. The worker the Industries (Development & is entitled to get relief: Regulation) Act, 1951 or with the Textile Commissioner as a medium  to the extent of 75% of the wage scale unit on the day of its closure; equivalent in the first year of the closure of the unit; (ii) it has obtained the requisite permission for closure from the appropriate State  to the extent of 50% of the wage Government under Section 25(O) of equivalent in the second year; and the Industrial Disputes Act, 1947 or alternatively an Official Liquidator  to the extent of 25% of the wage was appointed under Companies equivalent in the third year. Act, 1956 for the purpose of winding up of the unit. Operation of the Scheme (iii) The unit was closed down on or after The office of the Textile Commissioner, 06.06.1985. Mumbai administers the scheme, through its Regional offices and in coordination (iv) This also includes partially closed with State Government, Official Liquidator, units wherein the State Governments Provident Fund Authorities, concerned recommend that an entire uneconomic designated Trade Union and designated

43 Ministry of Textiles

Banks. The State Government will collect Commissioner examines the proposals the details of the workers etc. from the and assesses the fund requirement and management/official Liquidator/provident reports to the Head quarter Office of the fund authority etc. and prepare a list of Textile Commissioner for releasing fund. eligible workers and forward the same On receipt of fund allocation, necessary to the concerned Regional Office of the fund is allotted to the Regional Office in Textile Commissioner in the prescribed the form of Letter of Credit opened by the Proforma. Regional Office of the Textile Pay & Accounts Officer (Textiles) Mumbai. Commissioner scrutinizes the list and the On receipt of funds, Regional Office of list of eligible workers with eligible relief is the Textile Commissioner disburses the sent to State Government and designated relief by sending a consolidated cheque trade union, besides keeping on a notice in favour of the designated Bank along board. with the list of eligible workers and the amount of relief to be paid to each of the The individual eligible workers are eligible workers. required to open a separate Savings Bank Account in the designated nationalized Progress of the Scheme Bank and forward a certificate to the effect along with his relief claiming Till 31.03.2014, 115984 workers out of application to the Regional office of 147195 workers on the rolls of 92 mills the Textile Commissioner through have been disbursed relief of Rs. 313.42 the State Government. In the mean crore. The State-wise cumulative position time the Regional office of the Textile is given at Table 3.6.

Table 3.6

S. State No. of mills No. of No. of workers benefited Disbursed No identified workers on (as on 31.03 .2014) amount roll (Rs. in crores) No. of Workers mills received relief 1 2 3 4 5a 5b 6 1. Gujarat 43 80749 43 63701 159.88 2. Maharashtra 6 9958 6 7993 23.61 3. Madhya Pradesh 5 19800 5 19033 53.08 4. Tamil Nadu 7 7225 7 5615 10.73 5. Karnataka 11 10378 11 6126 22.32 6. Delhi 1 5187 1 5170 11.93 7. West Bengal 3 2072 3 2042 5.33 8 Kerala 1 500 1 437 2.47 9. Punjab 5 7582 5 2973 11.42 10. Andhra Pradesh 10 3744 10 2894 12.65 Total 92 147195 92 115984 313.42

44 Annual Report 2013-14

CHAPTER IV EXPORTS

45

Annual Report 2013-14 Chapter–IV EXPORTS

The share of textiles export in the Indian report of the Working Group constituted Export Basket significantly increased from by the Planning Commission on boosting 11.63% to 12.58% during 2013-14. While India’s manufacturing exports during overall Indian export had a growth of 4%, 12th Five Year Plan (2012-17) envisages Textiles export grew to 13% in US$ terms India’s exports of Textiles and Clothing during 2013-14. at US$ 64.41 billion by the end of March, 2017. The textiles industry accounts for Textiles (including handicrafts, coir & jute) 14% of industrial production, which is 4% exports during 2013-14 has registered of GDP; employs 45 million people and a growth of 13% in US$ terms and accounts for 12% share of the country’s 26% in Rupee terms. Textiles (including total exports basket. India is major handicrafts, coir & jute) exports have exporting country as far as textile sector touched US$ 39.31 billion in 2013-14 is concerned and not dependent on as against US$ 34.93 billion 2012-13. import. Majority of import takes place for In Rupee terms, it is 238422.87 crore in re-export or special requirement. In the 2013-14 against 189940.65 crore in 2012- global exports of clothing, India ranked 13. Readymade Garments registered as the ninth largest exporter as per WTO a growth of 16% Cotton Textiles 11% data – 2012, with China, EU and Hong man-made textiles 13% in US$ terms. A Kong occupying first three slots. In the statement showing principle commodity- global exports of Textiles, India ranked as wise exports is at Annexure-I. the third largest exporter, trailing China and EU. India’s textiles and clothing industry is one of the mainstays of the national economy. The Export and Import of Textiles & It is also one of the largest contributing Clothing (T&C) during 2013-14 was as sectors of India’s exports worldwide. The under:

Table 4.1

Export 2012-13 2013-14* Growth in percentage Crore US$ Mn ` Crore US$ Mn ` Crore US$ Total Textile & Clothing 171970.53 31625.15 214918.45 35425.97 25% 12% Handicrafts (EPCH Data) 17970.12 3304.90 23504.42 3884.91 31% 18% Total T&C including 189940.65 34930.05 238422.87 39310.88 26% 13% Handicrafts % Textile Exports of 11.63% 11.63% 12.59% 12.58% overall exports India’s overall exports 1633634.81 300400.68 1894181.95 312610.30 16% 4%

* Provisional Source: DGCI&S Note: DGCIS data takes into account only a limited handicrafts items (24 items) whereas the Export Promotion Council for Handicrafts (EPCH) considers comprehensive Handicrafts items (about 200 items).

47 Ministry of Textiles

Import April - December, 2014 (as per DoC data) Total Textile and Clothing Import US$ 4075.19 million

Source: DGCI&S Milestones Exports of Cotton Textiles was of the order of US$ 8.70 billion in 2010-11 which i) Exports of textiles and clothing drastically increased to US$ 11.14 billion products from India have increased in 2011-12 and was US$ 11.27 billion in over the last few years, particularly 2012-13. However, during 2013-14, the after 2004 when textiles exports exports of Cotton Textiles appreciated to quota stood discontinued. US$ 12.50 billion registering a growth of ii) India’s textiles products, including 11%. handlooms and handicrafts, are Textiles Exports performance during exported to more than a hundred 2013-14: countries. USA and the EU, are the largest market for India’s textiles Textiles (including Handicrafts) exports exports. The other export destinations during 2013-14 registered a growth of 13 are China, U.A.E., Sri Lanka, % in US$ terms and 26% in Rupee terms. Saudi Arabia, Republic of Korea, Total Textile and clothing (DGCIS data) Bangladesh, Turkey, Pakistan, Brazil, Including and Handicraft (EPCH data) Hong-Kong, Canada and Egypt etc. exports during 2013-14 was US$ 39310.88 million as against US$ 34930.05 million in iii) Global exports of Ready Made 2012-13. In Rupee terms, it is 238422.87 Garments (RMG) (Principal crore in 2013-14 against 189940.65 commodity wise). crore in 2012-13. Readymade Garments a) India’s Global exports of RMG during registered a growth of 16%, man-made the Financial Year 2011-12 was of the textiles 13% and Cotton Textiles 11 % in order of US$ 13.09 billion. However, US$ terms. A statement showing principle exports of RMG declined by -5.32% commodity-wise exports data (Provisional) to reach US$ 12.39 Billion in the during 2013-14 is at Annexure-I. Financial Year 2012-13. During 2013- The year 2013-14 began with a challenging 14, Readymade Garments exports note for export of Indian T&C products has bounced back and registered a in a difficult economic backdrop as the growth of 16% in US$ terms. world was emerging from the shadows of b) During the 2012-13, USA (US$ 3.09 a grim recessionary period as in 2012-13 billion) was the biggest destination and textiles exports had witnessed a (-) 2.01% decline in US$ terms in 2012-13. for RMG exports followed by UK However, concerted efforts were made (US$ 1.49 billion) and UAE (US$ 1.43 to reverse the trend in 2013-14. The billion). USA (US$ 2.41 billion) is the Ministry of Textiles remained conscious of biggest destination for RMG exports the fact that textile export is not just an followed by UAE (1.31 billion) and end itself but means of providing gainful UK (US$ 1.16 billion) (Source : Commerce website) employment to millions of people in the country. To address these issues and v) Global exports of Cotton Textiles reverse the trend of declining exports, (Principal commodity wise). a multi-pronged strategy was adopted

48 Annual Report 2013-14 by the Ministry of Textiles. The Ministry Intent on the implementation framework significantly stepped up external economic of the Commerce, Industry and Textiles engagement with the other information Minister announcements in Port Louis, and negotiated a number of bilateral 5 MoUs on collaboration between agreements to gain significant market Institutions were finalized on January 29, access. Various procedural bottlenecks 2013. These documents were signed in in exports were also addressed while the presence of Minister of Commerce, supporting the textiles exports sector Industry and Consumer Protection on through various provisions of the Foreign January 30, 2013. Trade Policy and the other policy initiatives to enable the sector to increase market The 3rd meeting of the Joint Committee share in the global textiles markets. As on cooperation about the textile and a result of focused efforts made by the clothing industry constituted under the Ministry of Textiles, not only the declining Memorandum of Understanding for trend of textile exports was arrested but a Cooperation between the Ministry of significant growth in export was witnessed Textiles of the Republic of India and during 2013-14. the Ministry of Industry, Commerce and Consumer Protection of the Republic of Import Scenario Mauritius was held on January 31, 2014 at New Delhi. In the Joint Committee meeting The total imports of T&C products by India various bilateral issues on cooperation in during the Financial Year 2012-13 was of textile sector were discussed. the value of US$ 5.35 billion. Cotton was the biggest import amongst T&C items Tehran with a share of US$ 0.78 billion followed by Man-Made Filaments (US$ 0.76 A 16 member Textile delegation led by billion) and Impregnated Textile Fabrics Joint Secretary (Exports) visited Tehran (US$ 0.73 billion). India’s imports of T&C from 31 January to 3rd February, 2013. during 2013-14 (Apr-Dec) has been of the The delegation also included a spectrum order of 4.07 billion. A statement showing of textile industry representatives from import of Textiles and Clothing products TEXPROCIL, SRTEPC, CITI as well as during 2012-13 and 2013-14 (Apl-Dec) is individual companies. The Mission had at Annexure-II. arranged delegation’s meetings with Iranian Textile Industry and different Bilateral Negotiations Chambers of Commerce. The delegation met 3 industry associations in Tehran, Mauritius apart from visit to Kashan, where they had a buyer-seller meeting under the aegis of An 8 member Indian delegation led by Kashan Chamber of Commerce. Joint Secretary (Exports) visited Mauritius duringJanuary 28-30, 2013 for the 2nd Secretary (Textiles) led an Indian textiles meeting of the Joint Working Group. The delegation to Tehran, Iran during 19- 2nd meeting of the Joint Working Group at 21 May’2013 to inaugurate INTEXPO, the level of Joint Secretary (Textiles) and Iran 2013 and had bilateral talks with Permanent Secretary to Government, the Iranian authorities. The INTEXPO Ministry of Commerce, Industry and succeeded in creating an awareness Consumer Affairs Republic of Mauritius about the Indian textile industry and its met on January 28, 2013. The Protocol wide range of products, which can cater of the Joint working Group, the Letter of to the needs of Iran.

49 Ministry of Textiles

The main objective of the textiles trade 1900 buyers and generated business of show was to create awareness about USD 35.5 million. India’s offer in the textiles value chain. The overwhelming response indicated that During the visit, Smt. Zohra Chatterji this objective was achieved. INTEXPO held delegation level talks with the Vice 2013 generated USD 22.56 million dollars Minister of METI, Mr. Norikiho Ishiguro of business with USD 3.56 million of spot covering a wide range of issues including orders and USD 19 million orders under enhancement of textiles trade between negotiation. the 2 countries following the conclusion of CEPA in 2011 and reduction of tariffs Japan and business to business collaboration between Indian and Japanese companies A delegation from Japan, led by Mr Akikzu in investments in manufacture of sewing Shimomura, President JTF visited India machines and shuttle-less looms in on 18th Feb., 13 to discuss the greater India. Secretary (Textiles) urged that an market access for the India-Japan MOU between NIFT and Bunka Fashion CEPA and a Zero for Zero approach in Institute pending finalization may be respect of textiles products. As per the signed soon. Vice Minister METI said developments; that Japan looks forward to cementing partnerships further. a) An ATDC-JUKI Skill Development Centre in New Delhi has been set up Secretary (Textiles) Smt. Zohra Chatterji with state of the art sewing machines also held wide ranging talks with captains of for skill building initiatives. Japanese industry including the President of the Japan Textiles Federation, the b) TORAY Corporation delegation of 7 President of the Japan Apparel Importers members has visited Brandix India Association, the President of the JUKI Apparel city Visakhapatnam and Corporation and the representative, Toray Ministry of Textiles for investment Industries Corporation. JUKI Corporation opportunities in Apparel sector. assured extension of cooperation with ATDC and Toray Industries assured c) SRTEPC is being encouraged to establishment of JV project on Technical engage with UNIQLO Corpn having Textiles in Gujarat shortly. their predominant strengths in synthetic and polyester fabrics. The visit was cordial and constructive and paved the way for significant enhancement Secretary (Textiles) Smt Zohra Chatterji of trade ties. led an Indian delegation to Japan from July 16-17, 2013 for inauguration of the India An Indian delegation led by Dr. K.S. Rao, Pavilion at the International Fashion Fair, Hon’ble Minister of Textiles visited Tokyo Tokyo and to hold bilateral meetings with (Japan) during 24th -27th November, 2013. Japanese authorities. On July 16, 2013 The delegation had meetings with various Smt. Zohra Chatterji inaugurated the India industries/ industry associations including Pavilion at the International Fashion Fair Indian Chamber of Commerce and Industry Tokyo which is the largest textiles trade in Japan (ICCJ), Japan Textile Machine show held by India in the world. The show Manufacturing Association (JTMA), was coordinated by AEPC as lead council Textile Products Quality and Technology and had 144 participants from AEPC, Center (QTEC), M/s. UNIQLO, Japan Texprocil and ISEPC. The show attracted Textile Federation, Japan Textile Importers

50 Annual Report 2013-14

Association (JTIA) to explore the avenues A delegation under the leadership of of bilateral collaboration in Textiles Sector. Secretary (Textiles) visited Uzbekistan The meetings were very meaningful, from 15th to 19th October, 2013 to participate interactive and provided an insight into in the 9th International Uzbek Cotton and Japanese market. Broad understanding Textile Fair held at Tashkent and to interact was reached on various issues including with Uzbek Government officials engaged testing, training, designing etc.. The CEPA in cotton and textile industry. Addressing and related issues were also discussed the gathering at the Fair, Secretary and views exchanged. During the visit (Textiles) emphasized upon the strong two MoUs between (i) NIFT and BUNKA historical and cultural bond between both GAKUEN and (ii) JUKI and AEPC were the countries and reiterated engagement signed. The MOU between NIFT and of both the countries in the area of cotton, BUNKA GAKUEN would help NIFT to textile, sericulture, silk industries and further the interest of students and faculty apparel & fashion technology. In her of NIFT. Under the MoU between JUKI and speech she congratulated agricultural AEPC, the “Product Speciality Training scientist and technologists and efforts Programmes” and “Product Development of the Government of Uzbekistan due to and Innovation Centre” will help the which productivity of cotton in Uzbekistan apparel industry substantially to absorb has increased in the recent past. State-of-Art technology and production techniques. The delegation visited cotton terminal, ginning and pressing units and cotton Uzbekistan mills in Uzbekistan to have a practical exposure of the infrastructure facilities The 2nd meeting of the India-Uzbekistan available there. The delegation also visited Joint Working Group was held on 21st cotton growing areas in Samarkand and February, 2013 in New Delhi in a cordial Bukhara to have at hand exposure of and constructive atmosphere. It was cotton cultivation in Uzbekistan. During the decided that Central Silk Board (CSB) discussion with Uzbek representatives, and the Uzbek Research Institute would it was agreed that both the country will jointly formulate research projects in the proceed further to get the MoU signed areas of silkworm & mulberry breeding, between the Central Sericulture Research pest and nutrient management, silkworm and Training Institute, Mysore and Uzbek seed technology, and cocoon & yarn Research Institute of the Natural Fibres. processing technology. Collaborative project on plantation development, Romania disease management and seed (a) An MoU was signed on 23rd April, production would be taken up. Both sides 2013 in New Delhi by Secretary agreed on collaboration in the sharing of Textiles between Ministry of market information, price forecasts and Textilesand the M/o Economy of trends in Cotton trade. For exchange Romania on cooperation in the field of information, it was agreed that the of Textiles, Clothing and Fashion Chairman Cotton Corporation of India Industries. The MoU will facilitate and the Representative of the State Joint cooperation in the areas of Textiles, Stock Foreign Trade Company would Clothing and Fashion Industries, be communicating with each other on a which in turn is likely to increase trade regular basis. and commerce between India and

51 Ministry of Textiles

Romania and would promote growth European Union (EU) in the economy and also revenues in the long run. Romania holds promise An Indian delegation led by Joint Secretary as a potential investment destination (Exports) visited Brussels during May 28- th for Indian textile and garment 29 2013 for attending the 7 Meeting of manufacturing as a gateway to the India-EU Joint Working Group on T&C in EU Market. Brussels. During the meeting, follow up discussions were held on India’s Cotton/ (b) An Indian delegation led by Joint Cotton Yarn production and export policy, Secretary (Exports) visited Bucharest including the Cotton Distribution Bill. during June 20-21, 2013 for bilateral The other issues discussed during the discussions and for attending the meeting were conformity assessment first meeting of the India-Romania procedures for azo dyes, update on the Joint Working Group. The significant Indian Labelling Legislation, discussion agreements reached during the first on developments in EU/Indian textiles meeting of the JWG are as follows: markets, GSP benefits/Rules of Origin and DISHA programme of AEPC. a. a framework of collaboration between the Central Silk Board Bangladesh of India and the collaborating Institutes of Romania; (a) A bilateral meeting of India- b. feasibility of further collaboration Bangladesh Textiles Ministers was th in the flax and hemp; held on 19 August, 2013 in New Delhi. The Indian delegation was led c. the possibility of entering Cotton by Dr. K. S. Rao, Hon’ble Minister Textiles Export Promotion of Textiles, and the Bangladesh Council (TEXPROCIL) and Delegation was led by Mr, Abdul Latif Synthetic Rayon and Textiles Siddiqui, Hon’ble Minister for Textiles Export Promotion Council and Jute. The major deliverable of (SRTEPC) into cooperation the discussions were: with the Federation of Textiles, Garments and Leather Industry a. The MoU between the Ministry of of Romania (FEPAIUS); Textiles of the Republic of India d. Apparel Export Promotion and the Ministry of Textiles and Council of India’s collaboration Jute of the People’s Republic with appropriate institutions of Bangladesh for Cooperation in Romania to address the in Textile Sector was signed compliance standards and by Secretary Textiles and productivity enhancement representative of Bangladesh. requirements of the Apparel Industry; and b. Hon’ble Minister of Textiles assured the Bangladesh e. Apparel Training and Design delegation that Bangladesh Center’s possibility for entering Textiles Mills would not face any into a collaboration in the field restriction in sourcing cotton from of skill demands of the Apparel India. Sector with the professional associations of Romanian c. A similar reciprocal arrangement Textiles Clusters. on supplies of raw jute from

52 Annual Report 2013-14

Bangladesh was confirmed Finance Minister. The Government by Hon’ble Textiles Minister of of India has now taken several Bangladesh. measures to facilitate bilateral trade between India and Bangladesh d. Within a period of one month including extended working hours India will support the extension for the functioning of Customs as of IJSG through a demarche and Petrapole, aligning the weekly holiday both the countries would jointly with Bangladesh so as to provide move to UNCTAD to strongly more working days to the trade, present their case for the allowing movement of trucks carrying extension of IJSG or formation export cargo up to the LCS of the of a new organization in place of importing country for discharge of IJSG. cargo and regular meeting between (b) Textile exporters had brought to the the jurisdictional commissioners of notice of the Ministry the problems Customs of India and Bangladesh faced due to congestion at the as well as meetings with trade at the Bangladesh border. The matter was border to address issues of concern taken up by Minister of Textiles with to the trade

The signing of MOU between India and Bangladesh for coopration in Textile Sector in August 2013

Sri Lanka 2013 in Colombo by Secretary Textiles. The MoU seeks to enhance the economic A Memorandum of Understanding relations by expanding business and between the Ministry of Textiles of cooperation in the development of the Republic of India and the Ministry SMEs in Handloom, Powerloom and of Industry and Commerce of the Textiles including Trade Relations, Skill Democratic Socialist Republic of Sri Development, Fashion Technology, and Lanka for cooperation in the development development of compliance standards. of SMEs in Handloom, Powerloom and A Joint Working Group is being set up for Textiles was signed on 9th September, taking the cooperation further.

53 Ministry of Textiles

The signing of MOU between India and Sri Lanka for coopration in develoment of SMEs in Handloom, Powerloom and Textiles in September 2013

Myanmar Cooperation in the field of Textile Sector. The MoU seeks to enhance the trade & On the request of MEA, an Indian economic relations by expanding business delegation led by Joint Secretary (Exports) and cooperation in the sphere of their visited Myanmar form November 6-8, 2013 Textiles, Clothing and Fashion Industries for discussion on the broad Memorandum between India and Kyrgyz Republic. of Understanding between Economy, The Cabinet on 13.8.2013, approved Trade and Industry of Myanmar and the Ministry of Textiles, MoU on Handloom the Memorandum of Understanding with Sector, funding of Skill development for Belarus. The MoU seeks to enhance the 250 apparel factory workers. Discussions trade & economic relations by expanding were formulation of Common Compliance business and cooperation in the sphere Code (DISHA Myanmar). of their Textiles, Clothing and Fashion Industries between India and Belarus. Other bilateral negotiations DGFT issued a Notifications No.43 (RE- In addition processing of several bilateral 2013) 2009-2013 dated 25th September, agreements was taken forward. The 2013 putting export of cotton yarn in the Cabinet, on 13.8.2013, approved the category of ‘Ineligible export category/ Memorandum of Understanding between sector for FMS’. As a result, cotton yarn the Ministry of Textiles of the Republic was rendered ineligible for the benefits of India and the Ministry of Energy and under Incremental Export Incentivisation Industry of the Kyrgyz Republic for Scheme (IEIS). The Ministry of textiles

54 Annual Report 2013-14 took up the matter with Department of will create difference of prices. Ministry Commerce for restoration of benefits had received representation to grant of Incremental Export Incentivisation fiscal incentives to the Indian exporters to Scheme (IEIS) on export of Cotton Yarn minimize the effect of EU’s extension of and DGFT subsequently restored the “Zero duty” benefits under the GSP Plus benefits of IEIS on export of cotton yarn Scheme. The matter was taken up with during 2013-14 by Notification No.88 Department of Commerce for granting 5% (RE-2013/2013)/2009-2014 dated 23rd bonus on export of certain textile items to January, 2014. EU and DGFT has issued a notification in February, 2014 granting 2% bonus on Ministry of Textiles had received a export of Cotton Yarn, Fabrics and Made representation from Texprocil indicating ups to the EU in view of zero duty benefit problems due to the requirement of given to Pakistan for all these products submission of hard copies of documents under the GSP plus scheme. for issuance of Registration Certificate for Cotton and Cotton Yarn to the Regional These efforts have been simplifying the Office of DGFT as a system of online procedures for textile exporters thereby issuance of Registration Certificate had helping in boosting exports. already been put in place on the DGFT website. Ministry of Textiles requested EXPORT PROMOTION COUNCILS Department of Commerce for procedural (EPCs) simplifications and dispensing with the There are eleven textiles Exports requirements of submission of the hard Promotion Councils representing all copies of various documents for issuance segments of the Textiles & Clothing of Registration Certificate for export of sector, viz. readymade garments, cotton, cotton and cotton yarn. Subsequently, silk, jute, wool, powerloom, handloom, DGFT has issued a notification No 63 handicrafts, carpets. These Councils work (RE 2013)/2009-14 dated 3.1.2014 in in close cooperation with the Ministry of the matter which has given relief to the Textiles and other Ministries to promote exporters by saving their time, money and the growth of their respective sector in energy and enabled them to concentrate the global export markets. The Councils on market development programme which participate in textiles and clothing fairs has contributed to the growth of textiles and exhibitions in India and abroad as export. well as mount standalone shows in India EU has extended “Zero duty” benefit to and abroad to enhance the markets of Pakistan under the Generalized System their respective sectors. These councils of Preference Plus (GSP+) Scheme w.e.f. are:- from 01.01.2014. This would result into i) Apparel Export Promotion Council duty free export from Pakistan to the (AEPC) 27 countries of the EU, while imports of yarn & fabrics from India will continue ii) The Cotton Textiles Export Promotion to pay 4% to 8% and Home textiles will Council (TEXPROCIL) pay 9.6%. The extension of “Zero duty” iii) The Synthetic & Rayon Textiles Export benefits to Pakistan under the GSP Plus Promotion Council (SRTEPC) Scheme will affect the Indian export of Home Textiles, Fabrics and Yarn to the iv) Wool & Woollen Export Promotion EU countries since the duty differential Council (S&WEPC)

55 Ministry of Textiles

v) Wool Industry Export Promotion Export Promotion Activities of EPCs Organization (WOOLTEXPRO) During the year 2013-14, the EPCs vi) Indian Silk Export Promotion Council continued export promotion activities (ISEPC) of textiles exports. These included participation in overseas exhibitions/fairs, vii) Carpet Export Promotion Council organisation of Buyer-seller-Meets (BSMs) (CEPC) abroad and, sponsoring trade delegations viii) Export Promotion Council for for consolidating the existing markets and Handicrafts (EPCH) exploring new markets. Major textiles fairs like India International Garment Fair and ix) Powerloom Development & Export Indian Handicrafts & Gifts Fair attracted Promotion Council (PDEXCIL) large number of buyers from all over the world. The EPCs participated in all major x) Handloom Export Promotion Council fairs & exhibition world-wide, and Textiles (HEPC) Mega Shows were jointly put up in Japan, xi) Jute Product Development Export South Africa, Latin America and Australia Promotion Council (JPDEPC) with the support of the Government.

56 Annual Report 2013-14

CHAPTER V COTTON

57

Annual Report 2013-14 CHAPTER V COTTON

Cotton is one of the principal crops of From January to middle of August, 2013 the country and is the major raw material the global prices of cotton were ruling for domestic textile industry. It provides higher than the domestic prices. From sustenance to millions of farmers as also the end of August, 2013, till the end of the workers involved in cotton industry, September, i.e, till 30-09-2013, there was right from processing to trading of cotton. a reverse trend with the domestic prices The Indian Textile Industry consumes prevailing higher than the international a diverse range of fibres and yarn, but prices. The cotton year 2013-14 started is predominantly cotton based. Cotton from 1st October, 2013. The MSP fixed accounts for more than 75 % of the total for Cotton Season 2013-14for two basic fibre consumption in the spinning mills staples groups viz., medium long staple and more than 54 % of the total fibre (staple length 24.5 mm to 25.5 mm and consumption in the textile sector. micronnaire value 4.3 to 5.1) and long staple cotton (staple length 29.5 mm to The important activities performed during 30.5 mm and micronnaire value 4.3 to 5.1) the year are mentioned below :- is Rs. 3700/- and Rs. 4000/- respectively. Cotton exports reached 73.99 lakh bales Price of Kapas (seed cotton) till the end of February, 2014. Government of India announces Minimum Support Price (MSP) for two basic Minimum Support Price Operations staples groups viz., medium long staple Cotton prices operated below MSP in (staple length 24.5 mm to 25.5 mm and 2012-13 Cotton Season in certain areas micronnaire value 4.3 to 5.1) and long only and 22.65 lakh bales of cotton were staple cotton (staple length 29.5 mm to purchased by CCI during 2012-13 at a 30.5 mm and micronnaire value 4.3 to total cost of Rs.5807 crores under MSP 5.1). operations, with maximum procurement Cotton Corporation of India (CCI) is one of in the State of Andhra Pradesh. Of this, the nominated agencies of Government of CCI has already sold 21.28 lakh bales of India for undertaking MSP operations in the MSP cotton. event of prevailing kapas price touching On the request received from CCI (when the MSP level. As per the mandate, in the differentials between the domestic MSP operations, CCI purchase the entire cotton prices and global prices stood quantity offered to it by the cotton farmers around 6-7 cents), this Ministry had at APMC market yards, without any quantitative restrictions. approached DGFT on March 8, 2013, for allocation of export quota for CCI During cotton season 2012-13, the by relaxing certain conditionalities of Government of India increased the MSP registration. DGFT, on 2nd August, 2013, by 18% to 29% as compared to 2011-12. allocated an export quota of 50,000 bales For 2013-14, Government of India has to CCI by relaxing certain conditionalities further increased the MSP by Rs.100/- for of registration. CCI may only export 2851 each variety. bales of cotton as the domestic prices had

59 Ministry of Textiles

risen sharply above international prices Cultivation at 115.53 lakh hectares, making exports unviable. Production at 375 lakh bales and Yield at 551.80 kg/hectares and Exportable During the Cotton Season 2013-14 as on Surplus at 90 lakh bales for the Cotton 31.03.2014, CCI has procured a total of Season 2013-14. 40,813 bales under MSP operations out of which it has sold a total of 3500 bales Cotton Yarn Advisory Board (CYAB) (including exports). The tenure of the Cotton Yarn Advisory rd th During its 43 AGM held on 5 December, Board (CYAB) which was originally 2013, CCI has declared a dividend of constituted on 13th September, 2010 Rs.6,55,00,000/- (Six crore fifty five lakhs and last reconstituted on 25th June, only). 2012 has been extended upto 30th June, 2014. Technology Mission on Cotton (TMC) The Technology Mission on Cotton (TMC) Note for the Cabinet Committee on was launched on 21st February, 2000 to Economic Affairs (CCEA) address the issues of raising productivity, a) Note on reimbursement of losses to improving quality and reducing the cost the Cotton Corporation of India Ltd. of production. The Scheme continued (CCI) on sale of cotton procured st till 31 March, 2009. This Ministry has under Minimum Support Price (MSP) proposed for the continuation of the TMC operations was placed before the th as an independent Scheme during the 12 Cabinet Committee on Economic Five Year Plan. However, the Planning Affairs (CCEA) on 27th June, 2013. Commission has informed that a new The CCEA approved the sales plan Centrally Sponsored Scheme (CSS) may of CCI for cotton procured under MSP ordinarily be considered only at the stage operations and reimbursement of th of mid-term appraisal of the 12 Five Year losses of Rs.719.41 crores. However, Plan. actual loss being less, Rs.205.68 crore has been so far reimbursed to Cotton Advisory Board (CAB) CCI till 31.3.2014. The Cotton Advisory Board (CAB) is b) Note on Cotton Distribution Policy was a representative body of Government placed before the Cabinet Committee agencies, growers, industry & trade. on Economic Affairs (CCEA). The It advises the Government generally CCEA decided that the matter may, on matters pertaining to production, in the first instance be considered by consumption and marketing of cotton, Group of Ministers (GOM). A meeting and also provides a forum for liaison of the GOM on Cotton Distribution among the cotton textile mill industry, the Policy was held on 24th October, 2013 cotton growers, the cotton trade and the under the Chairmanship of Hon’ble Government. The tenure of the CAB is Minister of Agriculture in which it was two years. The first meeting of the Cotton decided that :- Advisory Board which was reconstituted on 9th January, 2013 was held on 1st I. Declaration of exportable November, 2013 at Mumbai. surplus clearly contravenes the position under the Agricultural In its meeting held on 01st November, Trade Policy that quantitative 2013 CAB estimated Area Under Cotton

60 Annual Report 2013-14

restrictions on import and export to collect information from the cotton of agricultural commodities value chain on a real time basis as also other than food grains should to ensure uniformity in quality practices. be removed. Levy of export The Bill was circulated on 06-07-2012 duty is opted only to mop up along with a draft Cabinet Note to the super profits and not to impose concerned Ministries for inter-Ministerial quantitative restrictions. consultation. Based on the comments Therefore, the proposal is received from various Ministries the not acceptable and Ministry Textile Commissioner was notified as of Finance will exercise such Statistical Officer for Ministry of Textiles an option depending on level to liaison with the Nodal Officer of of profitability of the industry. Ministry of Statistics in accordance The proposal of levy of export with the provisions of Section-4 of the duty after exportable surplus is Collection of Statistics Act. breached may not be agreed to. Setting-up of Ginning & Pressing Factories and Cotton Terminals in II. The proposal of CCI for Andhra Pradesh maintaining buffer stocks and Government to fully reimburse During the visit of a delegation to CCI for any losses it may incur Uzbekistan led by Secretary (Textiles) in the process is not acceptable. and including Textile Commissioner and Even losses incurred by CCI in CMD, CCI, it was suggested to explore its MSP interventions should the feasibility of setting up a state of be covered through prudent the art Cotton Terminal in the Country commercial operations as far with modern ginning, processing and as possible. CCI would not be packaging facility alongwith rail terminal required to maintain a buffer to economically evacuate cotton from stock out of the stock purchased the far flung cotton growing heartlands under MSP operations and and achieve economies of scale, value would be free to sell its stock addition and improvement of quality so as to minimize losses. through contamination free cotton. III. An inter-Ministerial Group CCI conducted a feasibility analysis consisting of Ministries of and identified Adoni District in Andhra Agriculture, Commerce, Textiles Pradesh for setting up of Cotton and Finance (Revenue) will Terminal. review the Cotton position from time to time and make Other Important Activities appropriate recommendations as and when required. • A Comfort letter to CCI was issued for Minimum Support Price Operation in The GOM is since wound up. Cotton Season 2013-14, if and when need arises. Cotton Distribution (Collection of Statistics) Bill, 2012 • The subject “Development of Cotton Sector” was examined by the The Cotton Distribution (Collection of Parliament Standing Committee on Statistics) Bill, 2012 was drafted in order Labour (2013-14).

61 Ministry of Textiles

Important Meetings Participation in Cotton Fair etc. abroad • Meeting regarding Cotton Exports • A four member delegation led by was chaired by Hon’ble Minister Joint Secretary (Cotton), Ministry of of Textiles on 22nd March, 2013 in Textiles attended the 72nd Plenary Udyog Bhavan New Delhi. Meeting of the International Cotton Advisory Committee (ICAC) held • Meeting of the Stakeholders to review in Cartagena, Colombia during 28th the Cotton Yarn situation was held on th th September - 5 October, 2013 to 9 April, 2013 in Udyog Bhavan, New discuss various issues concerning Delhi. Cotton and allied sectors.

• Hon’ble Minister of Textiles held a • A four member delegation led by meeting with the Chinese Delegation th Secretary (Textiles) attended the on 11 November,2013 which 9th International Uzbek Cotton and included issues related to Cotton/ Textile Fair during 14-18th October, Cotton Yarn Exports to China. 2013.

62 Annual Report 2013-14

CHAPTER VI THE JUTE & JUTE TEXTILES INDUSTRY

63

Annual Report 2013-14 CHAPTER VI THE JUTE & JUTE TEXTILES INDUSTRY

Raw jute crop is an important cash crop Tripura and Meghalaya. The meeting of to the farmers. Cultivation of raw jute Jute Advisory Board was held under the crop provides not only fibre which has Chairpersonship of Secretary (Textiles) on industrial use, but jute stick which is 07-06-2013 at Kolkata. After hearing the used as fuel and building material by the views of all participants, the Jute Advisory farming community. Raw jute is produced Board arrived at the following projected mainly in the state of West Bengal, supply-demand position of raw jute and Bihar, Assam, Orissa, Andhra Pradesh, mesta during 2013-2014 season is given at Table 6.1. Table 6.1 (Quantity : In lakh bales of 180 Kg each bale)

2012-13 2013-14 (A) SUPPLY i) Opening stock 31.00 29.00 ii) Jute and Mesta crop 93.00 95.00 iii) Import 9.00 9.00 Total : 133.00 133.00 (B) DISTRIBUTION iv) Mill consumption 94.00 95.00 v) Domestic/industrial consumption 10.00 10.00 vi) Export Nil Nil Total: 104.00 105.00 (C) CLOSING STOCK 29.00 28.00 Source: Jute Advisory Board

MINIMUM SUPPORT PRICE (MSP) Jute Corporation of India (JCI) is the FOR RAW JUTE AND MESTA Price Support Agency of the Govt. of India for jute. JCI is conducting MSP Minimum Support Price for raw jute and operation as and when required. Raw mesta is fixed every year to protect the jute is transacted in over 500 centres interest of farmers. While fixing prices of countywide. Presently, JCI is operating different grades, the issue of discouraging only at 171 Departmental Purchase production of lower grade jute and Centres. Co-operatives operate at about encouraging production of higher grades 40 centres. JCI in turn purchases the jute jute are taken into consideration so as to procured by these Co-operatives. During motivate farmers to produce higher grade the jute year 2013-14 (As on 28.2.2014), jute. The Minimum Support Price (MSP) JCI in association with the State Co- for raw jute is fixed at Rs.2300/- per quintal operatives purchased 1.38 lakh bales of for the Jute Year 2013-14. raw jute worth Rs. 53.48 crore.

65 Ministry of Textiles

PRODUCTION OF JUTE GOODS Bulk of the manufactured jute goods is predominantly being used in packaging India is the leading jute goods producing purposes in domestic market. The trend country in the world, accounting for about in production of jute goods during 2012- 70% of estimated world production. 13 and current year is given at Table 6.2.

Table 6.2 Qty:”000” M.T. Tonnes. April-March Hessian Sacking C.B.C. Others Total % Change 2012-13 220.2 1218.5 2.1 150.5 1591.3 0.01 2013-14 202.5 1153.3 3.6 172.2 1531.6 -3.80

DOMESTIC CONSUMPTION OF vast domestic market. Average domestic JUTE GOODS consumption out of total production has been around 90%. Trend in domestic India is the major producer of jute consumption of jute goods during products in the world primarily due to its 2012-13 is given at Table 6.3.

Table 6.3 Qty:”000” M.T. Tonnes April-March Hessian Sacking C.B.C. Others Total 2012-13 167.0 1118.9 0 114.5 1400.4 2013-14 157.4 1043.3 0 127.1 1327.8

EXPORT PERFORMANCE The Exports trends during the year 2012-13 and current year is given at Table 6.4.

Table 6.4 (Quantity in’000’MT/Value in Rs crore)

April-March 2012-13 2013-14 (April-February) Item Quantity Value Quantity Value Hessian 51.20 313.21 40.5 282.1 Sacking 103.80 613.76 88.4 554.7 Yarn 51.40 258.76 33.3 197.5 JDP 0.00 349.76 0.00 420.9 Others 7.60 62.55 7.5 94.1 TOTAL 214.0 1598.04 169.7 1549.3

(Source: National Jute Board IMPORT OF RAW JUTE AND JUTE GOODS The Exports trends during the year 2012-13 and current year is given at Table 6.5.

66 Annual Report 2013-14

Table 6.5 (Quantity in’000’MT/Value in Rs crore)

April-March 2012-13 2013-14 (April-February) Item Quantity Value Quantity Value Raw Jute 160.09 384.10 53.0 143.6 Jute Products 141.87 655.50 90.3 412.8 TOTAL 301.96 1039.6 143.3 556.4

Source: National Jute Board

JUTE TECHNOLOGY MISSION of India. Training was imparted to 24131 (JTM) workers in 39 jute mills for sustainable human resource development. Under The Jute Technology Mission is a major schemes for assisting NGOs and Women component of the National Jute Policy Self Help Groups (WSHGs) in developing and is the vehicle for implemenation of jute diversified products, 57 NGOs in multifarious programmes in the jute sector, 428 clusters involving 2106 Women Self both present and future. Pursuant to the Help Groups in 121 districts of 19 States National Jute Policy, 2005, the CCEA benefitted 28,170 artisans. Moreover, approved the Jute Technology Mission 1971 training programmes benefiting (2006-07 to 2010-13) with a total outlay 37750 artisans were organized and 828 of Rs.355.55 crore. Since inception of JDP-SHG units were setup. The setting the scheme (upto 31.03.2013), 9 market up of 4 Jute Parks are also in progress. yards developed and 25 Departmental Purchase Centre (DPC) & 39 Retting Jute Packaging Materials (Compulsory Tank were constructed. A total investment use in Packing Commodities) Act, 1987 of Rs.373.70 crore for Modernization and Upgradation of Technology in In exercise of the power conferred by Jute Mills was made under the Capital Sub-section(1) of section 3 of the Jute Subsidy Scheme in 102 units all over Packaging Materials (Compulsory use in India. Productivity improvement & TQM Packing Commodities) Act, 1987, Ministry facilitation exercises were undertaken of Textiles issued Notification S.O. 294(E) and implemented in 12 mills as processes dated 31.01.2014 stipulating that minimum for good governance. 21 markets driven of 90% of foodgrain and 20% of sugar to R&D Studies for development of new be compulsorily packed in jute packaging processes and new diversified products materials for the Jute year 2013-14, which were conducted by reputed institutions is valid upto 30.06.2014.

Jute Week from 30th May to 5th June 2013 at Shimla, Himachal Pradesh

67

Annual Report 2013-14

CHAPTER VII SILK & SERICULTURE INDUSTRY

69

Annual Report 2013-14 CHAPTER VII SILK & SERICULTURE INDUSTRY

India continues to be the second largest the country. There has been a significant producer of silk in the world. Among the increase in raw silk production in 2013- four varieties of silk produced, as in 2012- 14, as indicated in the Table below: 13, Mulberry accounts for 79% (18715 MT), Tasar 7.3 % (1729 MT), Eri 13.2% a) PHYSICAL PROGRESS (3116 MT) and Muga 0.5% (119 MT) of The Physical Targets and achievements the total raw silk production of 23,679 MT. during XI Plan 2012-13 & 2013-14 of XII This is against the production of 23.060 Plan are given at Table 7.1. MT Silk by end of XI Plan (2011-12) in

Table 7.1 Sl. Particulars XI Plan XI Plan XII Plan Achievements No Targets Achievements (2012-17) (2007-12) (2007-12) Targets 2012-13 2013-14 Provisional I Mulberry 2.18 1.81 2.40 1.86 2.03 Plantation (Lakh ha.)

II Raw Silk Production a Mulberry BV 5000 1685 5000 1984 2462 CB 18000 16587 18000 16731 16917

Sub Total 23000 18272 23000 18715 19476 b Vanya Tasar 420 1590 4562 1729 2619 Eri 2390 3072 4238 3116 4237 Muga 190 126 200 119 148

Sub Total 3000 4788 9000 4964 7004

Grand Total (a+b) 26000 23060 32000 23679 26480 (I) III Cumulative 78.50 Employment 77.04 75.6 92.42 76.53 (Lakh persons)

Source: DoSs of States

71 Ministry of Textiles

Area under Mulberry during last two year

203023

200000

195000 18605 190000

hectares 185000

180000

175000 2012-13 2013-14 (P) Mulberry Area 18605 203023 Year

Production of Mulberry Silk during last two years Employment generation in Sericulture during 2012-13 and 2013-14 (Target) 19476 79.56 18800 18715 80

79 18700 78 76.53

77

M. Tonss 18600 Lakh persons 76

75 2012-13 2013-14 (Target) 18500 2012-13 2013-14 (P) Employment generation 76.53 79.56 Mulberry Silk 18715 19476 (lakh persons) Year Year

The silk production has shown remarkable • Vanya silk production has increased progress during the year 2013-14 in-spite from 4964 MTs to 7004 MT showing of drought, un-seasonal rain, cyclone an increase of 41%. etc. The target set for the year has been fully achieved. Salient features of silk • Muga silk has recorded highest ever production during 2013-14 are given production of 148 MTs and has set a below new momentum of growth

• The silk production in the country • Employment has increased from increased to 26,480 MT by the end of 76.53 lakh persons in 2012-13 to 2013-14 from the level of 23,679 MTs 78.50 lakh persons in 2013-14. during the year 2012-13, registering • Silk yarn production has increased an all time increase of 11.8% growth, from 1155 MTs in 2012-13 to 1280 when compared to 4.8% annual MTs in 2013-14 (Provisional). growth rate of XI Plan .

• The import substitute Bivoltine silk • Silk fabric production has increased production has increased from 1984 from 4639 (lakh square mts) in 2012- MTs to 2559 MTs registering an 13 to 4723 (lakh square mts) in 2013- increase of 29%. 14 (Provisional).

72 Annual Report 2013-14

CENTRAL SILK BOARD and advising the Union Government on all matters concerning sericulture and Central Silk Board (CSB) is a statutory silk industry. These mandated activities body under the administrative control of Central Silk Board are being carried of the Ministry of Textiles. Established out by the 325 units of CSB located in 1948, by an Act of Parliament, (Act in different States under the 3 Central No.LXI of 1948), the CSB has been Sector Schemes viz. i) Research & entrusted with the overall responsibility Development, Training & IT initiatives, ii) of developing silk industry covering Seed Organisation/ HRD and iii) Quality the full gamut of sericulture activities in Certification Systems. the country from development of food plants to silk cocoons for production of Apart from this, CSB has also been silk yarn including formulation of policies implementing a Centrally Sponsored governing Import & export of silk. CSB is Scheme viz Catalytic Development basically a Research and Development Programme (CDP) with the aim Organization. One of the important of synergizing and disseminating activities of the CSB is undertaking, technologies, innovations developed by its assisting and encouraging scientific, R & D units and incentivizing investments technological and economic research in among the stakeholders to enhance the Silk Sector. The programmes for the production, productivity and quality of development of the sericulture and silk silk. textiles industry are primarily formulated As recommended by the National and implemented by the State Sericulture/ Productivity Council (NPC) which has Textile Departments. However, the Central undertaken third party evaluation study Silk Board supplements the efforts of the (from June to September, 2012) of the States by providing necessary support Central Sector Schemes and CDP for research and development, extension implemented during XI Plan, these and training through its countrywide schemes are continued during XII network of centres. Besides, the Central Plan with certain modifications. The Silk Board organizes production and study revealed that the Central Sector supply of quality silkworm basic and Schemes implemented by the CSB has commercial seeds, and also supports been instrumental in enhancing the States to implement various sericulture production, productivity and quality of projects. Central Silk Board also collects silk in the country. The study strongly and compiles sericultural statistics both at advocated for the continuation of these national and global level. schemes for the sustained growth of SCHEMES/PROGRAMMES the sericulture as the State Sericulture Department do not have the facilities and The mandated activities of CSB are expertise to undertake the programmes Research and Development, Research covered under the CSB schemes. In Extension, maintenance of four tier so far as CDP is concerned, the NPC silkworm seed production network, recommended that the CDP scheme leadership role in commercial silkworm needs to be continued under XII Five seed production, standardizing and Year Plan with certain modifications in instilling quality parameters in the various the existing components and by adding a production processes, promotion of Indian few new components, besides adopting Silk in domestic and international markets certain flexibility options.

73 Ministry of Textiles

The details of scheme-wise approved 2013-14 and approved outlay for 2014-15 outlay for XII Plan, expenditure during are given at Table 7.2. 2012-13, outlay and expenditure for

Table 7.2

# Plan schemes CSB Outlay Expenditure Outlay Expendi- Approved for XII Plan during 2012-13 for 2013- ture during Outlay 14 2013-14 2014-15

A Central Sector Schemes

1 Research and Development, 203.71 30.25 34.00 37.97 44.50 Training, Transfer of Technology and IT Initiatives

2 Seed Organisation, 159.44 19.54 18.00 33.82 39.58 Coordination and Market Development (HRD)

3 Quality Certification Systems 11.85 3.05 7.00 7.00 0.42 4 Export / Brand Promotion & 5.00 00 2.00 0.66 1.00 Technology up gradation

B Centrally Sponsored Scheme 5 Catalytic Development 889.00 205.16 291.00 295.75 213.00 Programme

Total 1269.00 258.00 352.00 375.20 298.50

(b) EXPORT PROMOTION / BRAND kind of brand image can create a market PROMOTION & TECHNOLOGY niche for Indian Silk in domestic and global UP-GRADATION SCHEME markets, developing a knowledge base about Indian Silk in domestic and global India has a rich heritage in silk weaving, platforms. Brand building process of dyeing, printing, embroidery and Indian Silk should include various publicity craftsmanship supported by a strong and promotion programmes in the form of domestic market. With the declining Exhibitions, Road Shows, Mass Media Chinese production and export, India is Campaigns covering print and electronic poised for a quantum jump in silk production media, by participation in the Domestic and is set to become a key player in the and International Exhibitions, Trade international market. Generic promotion of Fairs, Promotional Schemes, Seminars, Indian silk needs to be taken up to create Workshops etc. a mental picture of the uniqueness and comforts of Indian silk and the mindset With the above objective scheme of that the Indian silk has no real substitute Brand promotion of Indian Silk, has and it enjoys the status that is exclusive been conceptualized, formulated and and rich in Indian traditional designs. This designed in 2013-14 and approved with

74 Annual Report 2013-14 an outlay of 5.02 crores on 07.01.2014 to b. Appropriate theme will be developed be implemented through SMOI & ISEPC under monitoring of CSB. c. Clusters will be identified from which silk products will be procured. The following steps are being taken for implementation during the F. Y. 2013-14 (iv) Up-gradation of testing Laboratories and 2014-15 through ISEPC and SMOI: at Kolkata, Mumbai, New Delhi and Chennai with the following (i) Design Centre cum Design Training objectives: Centre in New Delhi a. Facilitate consumers to ascertain a. Engagement of Consultant- Designer the purity of silk which is the core for conceptualizing a strategic action objective of Silk Mark. plan for developing prototypes/ samples and providing information b. Help in testing different varieties of to the exporters on trend in various silk overseas markets., c. Provide testing support to exporters b. Access to the WGSN to view various to maintain & improve the quality international trade shows as well as standards of the export products the products in fashion, d. Aid the Authorized Users to develop c. Realizing color forecast for the new range of products as per the coming years based on the inputs market needs. obtained from various sources, Research and Development (R&D) d. Holding workshop with the exporters The main Research & Training Institutes to develop samples for putting up of the CSB provide scientific and different overseas exhibition. technological support for enhancing (ii) Website for promotion of Silk Mark production and productivity for sustainable sericulture through innovative approaches. a. Information on Indian silk The main institutes at Mysore (Karnataka) Berhampore (West Bengal) and Pampore b. Online expos, stores, catalogues, (J&K) deal with Mulberry sericulture virtual fashion shows etc. whereas Ranchi (Jharkhand) deals with c. Information on Silk Clusters and Tasar culture and Lahdoigarh, Jorhat Cluster Deveopment, (Assam) deals with Muga and Eri culture. Regional Sericulture Research Stations d. Ecommerce facilitation, (RSRS/RTRS/RMRS) for Mulberry and e. Trade enquiry management systems Vanya sericulture have been functioning etc. for the dissemination of research findings as per regional needs. Besides, a (iii) Ethnic Product Display in network of Research Extension Centre International Silk/ Textile Museums (RECs) & its sub units for Mulberry and Vanya silk are also functioning to provide a. It is planned to display Indian silk extension support to sericulturists. In products in the famous museums order to provide R&D support in post of the world ( at least one in each cocoon sector, the Board has established continent) a Central Silk Technological Research

75 Ministry of Textiles

Institute (CSTRI) at Bangalore. In Captive areas to produce remaining addition, the CSB has also set up 1700 MT. The Directors of CSRTI, Silkworm Seed Technology Laboratory Mysore/ Berhampore/ Pampore/ NSSO, (SSTL) in Bangalore (Karnataka), Central Bangalore have been entrusted to Sericultural Germplasm Resource Centre monitor the implementation of those (CSGRC) at Hosur (Tamil Nadu) and Seri- clusters in close coordination with Biotech Research Laboratory (SBRL) at respective State DoSs. Bangalore. During the year 2013-14, based on During 2013-14, 79 Research Projects benchmark survey and response received in Mulberry Sector, 27 projects in Vanya from the State Govts. 172 clusters have Sector and 19 projects in Post cocoon been organised with a target to produce sector have been carried out, in which about 1400 MT of raw silk. CSB and 42 projects have been concluded as per the State DoSs have posted Cluster the target and the remaining projects are Development Facilitators (CDFs) to work carried forward to 2014-15. in harmony and ensure to achieve the set target. All the CDFs have enriched Transfer of Technology. (ToT) their technology level through training. Necessary backward and forward linkages The technologies emanated out of the are established in the identified Cluster concluded projects have been effectively areas. transferred to the field through various extension communication programmes The CPP is regularly reviewed /monitored viz, Krishimelas, Group Discussions, through Crop Review Meeting, Joint Enlightenment programmes, Field Coordination Committee Meeting by CSB Days, Farmers’ Meet, Audio Visual and established effective coordination programmes, Technology demonstrations with different stake holders. With the etc. During the year 2013-14, a total 3863 joint concentrated efforts, 2462 MTs of ToT programmes have been organized Bivoltine raw silk has been produced to transfer the technologies effectively against a target of 2480 MTs during 2013- at the users’ level. A total number of 69 14, of which 1415 MTs of raw silk has technologies were transferred effectively been produced through 172 clusters. It is to the user level during 2013-14. expected to produce 1924 MTs of BV Raw silk through clusters and remaining 1456 Implementation of Cluster Promotion Mts through Non-Captive areas during Programme for Bivoltine Silk 2014-15. During XII Plan, the foremost thrust would Implementation of Cluster Promotion be to augment the import substitute Programme for Vanya Silk silk in the country and to increase the production of BV silk to 5000 MT from XII Plan has envisaged production of 9,000 the current production level of 2462 MT for Vanya silk and emphasized need MT (2013-14). To achieve the target, for proper intervention in critical areas for Central Silk Board in association with attaining better results. To achieve the State Sericulture Departments has target, Central Silk Board in association initiated action to organise 197 Bivoltine with State Sericulture Departments has Clusters to produce about 3300 MT of planned to organise 50 Vanya Clusters Bivoltine Silk during XII Plan through to produce about 400 MT of Vanya Silk clusters besides concentrating in Non- during XII Plan through clusters besides

76 Annual Report 2013-14 concentrating in Non-Captive areas to (BACSA) to attend 6th Conference and also produce remaining 8600MT. visited Brazil at the invitation of University of Maringa, and Ministry of Agriculture and Based on response received from the Rural Development, Brasilia to explore the States, 50 clusters (45 clusters in pre- possibility of forging bilateral programmes cocoon and 5 clusters in post cocoon among both the countries. The visits were sectors) have been identified and extremely fruitful for the development of silk benchmark survey and diagnostic studies industry in India. A reputed R&D institute have been initiated. in Bulgaria has agreed to collaborate with During 2013-14, CSB and the State DoSs India to develop superior bivoltine breeds have identified and posted required CDFs to of high silk content. The University of work in harmony and ensure completion of Maringa, Brazil has agreed to share rare benchmark survey and diagnostic studies silkworm genetic resources with India and in the clusters & preparation of cluster also exchange advancements made in projects with need based interventions. silkworm biotechnology. Suitable Projects The full fledged implementation of the for the purpose have been prepared and clusters shall commence from the year exchanged with them. 2014-15 by augmenting the technology level of all the CDFs through organising TRAINING workshop and training and establishing Central Silk Board conducts mainly three necessary backward and forward linkages types of training courses namely, Long- in the Cluster areas. term Structured courses (3-15 months), Short-Term Capsule courses (2–45 days) Liaison with International Agencies and Adhoc courses of different duration, Involved with Sericulture & Silk conducted on specific request of the CSB continues to engage with the sponsoring agencies on cost basis. The International Sericultural Commission pre-cocoon training programs in Mulberry (ISC) for the development of sericulture sector are mostly conducted at Central and silk industry in the country. The Sericultural Research & Training Institutes, shifting and locating the office of ISC Mysore, Berhampore and Pampore. from Lyon (France) to Bangalore, India, The non-mulberry sericulture training is has significantly benefited the CSB to conducted at Central Tasar Research engage with many other international & Training Institute, Ranchi and Central organizations, Governments, and Muga, Eri Research & Training Institute, reputed institutions for the development Lahdoigarh. The post-cocoon training of sericulture and silk industry. As an courses are conducted mainly at Central outcome of this, action has been initiated Silk Technological Research Institute., to forge bilateral collaborative programmes Bangalore. Training courses on Mulberry with institutions in countries like; Bulgaria, Silkworm Seed sector are conducted at Brazil, Uzbekistan, Bangladesh, Italy, Silkworm Seed Technological Laboratory, Australia, Myanmar, and Romania. Special Kodathi, Bangalore. initiatives have also been taken to source In addition to this, other training courses assistance from international agencies like are also conducted at Regional Sericultural SAARC, ITC, UNIDO, ESCAP, FAO, etc. Research Stations and Demonstration- Member Secretary, CSB visited Italy at the cum-Training Centres. During the year invitation of an international organization 2013-14, 9643 persons have been trained

77 Ministry of Textiles

under various courses, covering both pre- collaboration with Indira Gandhi National cocoon and post-cocoon sectors under Open University (IGNOU), New Delhi mulberry and non-mulberry disciplines. targeting rural youths, matriculates, school Post Graduate Diploma in Sericulture drop-outs, entrepreneurs, in-service Courses of 15 months duration in Mulberry personnel working in various states, and Non-Mulberry Sector are conducted NGOs and persons working with other at CSR&TI, Berhampore, West Bengal establishments like financial Institutions and CTR&TI, Ranchi (Jharkhand) and are etc, This basic program called “Certificate affiliated to Kalyani University, Kalyani, in Sericulture” is of Six months duration. West Bengal and Ranchi University, Ranchi, Jharkhand respectively. Table 7.3 shows details of training programs organized by the Research & CSB has also developed training Training Institutes of CSB during the year programs, under Distance Education in 2013-14.

Table 7.3 # Particulars Achievement during 2013-14 (Nos.)

1 Structured Course 45

2 Capsule Courses 1,157

3 Adhoc Courses 2,920

4 Skill Development Programmes 1,912

5 Technology up-gradation Programme 2,340

6 Other Programmes 1,269

TOTAL 9,643

Integrated Skill Development Scheme different courses and covering all the four (ISDS): Silk sub-sectors (Mulberry, Tasar, Eri & Muga) and skill sets required to produce Central Silk Board has been implementing quality silk. a comprehensive skill development project with focus on ‘skill seeding’ During the year 2013-14 CSB trained a and ‘skill up-gradation’ funded under total of 8,306 beneficiaries against a target Ministry’s flagship initiative ‘Integrated of 8,000 covering all silk sub-sectors and Skill Development Scheme (ISDS)’. The activities falling on the silk value-chain total project outlay is Rs.39.77 crores (Silkworm seed sector, cocoon/farm and a physical target to cover 34,553 sector and post cocoon sector). beneficiaries in five years. During the During the year, CSB has also initiated year 2013-14, CSB has successfully the process of establishing a ‘Centre of implemented the ISDS project through Excellence’ under this project, focusing ten implementing agencies (including an on the post cocoon sector in the premises NGO – M/s Pradan, Deoghar) in around of Central Silk Technological Research 20 different States, offering more than 60 Institute, CSB, and Bangalore.

78 Annual Report 2013-14

Convergence of Sericulture Programme between CSB Head Office and other units, with the support of RKVY/MGNREGA State departments at a time, thereby etc. improving the administrative efficiency while saving both time and cost. Joint Guidelines for convergence of CDP and MGNREGA have been issued by Some of the other important initiatives of Ministry of Rural Development and Ministry CSB during 2013-14 are: of Textiles on 08.10.2013 for dovetailing  Obtaining information by ‘SMS funds available under MGNREGA for service’ through mobile phone on development of Silk and Sericulture day-to-day market rates of Silk and Sector. Ministry of Textiles has also taken Cocoons was launched during Oct- up with other Ministries for convergence 2013 for the use by the farmers and of similar schemes with the CDP Scheme other stakeholders of the industry. of MoT for Silk Sector.  SERI-15K database has been Rs. 392 crore have been sanctioned designed and developed to maintain through convergence of schemes of and manage Bivoltine cluster farmers other Ministries like Krishi throughout the country. Vishesh Yojana (RKVY), MGNREGA etc. for the silk and sericulture sector which is  SILKS Portal: Sericulture Information more than the annual outlay of Ministry of Linkages and Knowledge System Textiles for the Silk Sector. It is expected portal has been developed in Rs. 700 crore will be sanctioned by association with North Eastern Space different Ministries under convergence of Application Centre, Dept. of Space sericulture schemes and during 2014-15, by capturing geographical images projects/ proposals are being formulated through satellite and used for analysis for the same. and selection of potential areas for promoting Sericulture activities in I.T. INITIATIVES: those areas. CSB concentrated on software SILKWORM SEED PRODUCTION development using contemporary technologies and networking of various AND SUPPLY: Research Institutes under its control for Under National Silkworm Seed smooth exchange of information such as Organization (NSSO), a network of 19 availability of raw material, market trends Basic Seed Farms (BSF) produce and etc. supply the basic seed for production of commercial silkworm seed in the seed CSB has hosted a bi-lingual website production centres functioning under (www.csb.gov.in) with the details of CSB CSB and State Departments. Besides, activities, organizational setup, status of 19 Silkworm Seed Production Centres silk industry etc., with facilities for web (SSPCs) are functioning under NSSO in enabled information required for the different States to support the industry. traders, buyers and other stake holders of Emphasis was given towards production the silk industry. of quality dfls by adopting Quality Established Video Conferencing facility to Management System in seed production organize meetings with farmers/reelers/ under ISO 9001:2008 certification in all weavers across the country, conferences SSPCs.

79 Ministry of Textiles

During the year 2013-14, these commercial 1 oak Tasar grainage, for supply of oak SSPCs have produced of 337.24 lakh Tasar basic seed. Under Muga sector, 8 Disease Free Layings (DFLs) against the Basic Seed Farms and 1 Silkworm Seed target of 325.00 lakh and achieved 104%, Production Centre (SSPC) are functioning. which is all time high production. For production and supply of Eri seed, CSB has established 5 Silkworm Seed On the Tasar side, CSB has established Production Centres (SSPC). 21 Basic Seed Multiplication & Training Centres (BSM&TC) and one Central Table 7.4 indicates the details of Tasar Silkworm Seed Station (CTSSS) progress achieved by CSB units during for supply of tropical Tasar basic seed & 2013-14. (Dfls in lakh nos.) Table 7.4

# Achievements during 2013-14 Target for 2012-13 2014-15 Target Achieveme-nts Mulberry a. Basic Seed 12.41 13.72 15.37 14.67 b. Commercial Seed 308.48 325.00 337.24 350.00 1. Vanya Seed a. Basic seed i. Tasar (Basic & Nucleus) 39.11 33.26 37.89 39.00

ii. Oak Tasar 0.63 1.25 0.55 1.00 iii. Muga 3.85 4.44 4.23 4.92 iv. Eri 0.51 0.40 1.09 0.48 b. Commercial seed i. Muga 1.02 1.08 0.77 1.15 ii. Eri 3.70 3.20 2.52 3.62

Co-ordination and Market Development are being carried out by the Board (HRD) Secretariat.

CSB administration includes Board Tasar Raw Material Bank, Chaibasa: Secretariat, Regional Offices, Certification Centres and Raw Material Banks. The A Raw Material Bank for Tasar is Board Secretariat of CSB monitors the functioning at Chaibasa (Jharkhand) implementation of various schemes and along with 4 Sub-depots, one each coordinates with Ministry and States at Raigarh (), Bhagalpur in implementation of various projects (Bihar), Warangal (A.P) and Bhandara in sericulture sector. Several National (Maharashtra). The primary objective meetings, Board meetings & Review of RMB is to ensure economic and fair meetings and other high level meetings price to the primary Tasar growers. The

80 Annual Report 2013-14 details of procurement and sale of Tasar (2012-13 & 2013-14 of XII Plan are given cocoons made by RMB, Chaibasa and its at Table 7.5. sub-depots during first and second year

Table 7.5 (Unit: Qty. in lakh Nos. & Value in lakh Rs.) Year Procurement Sale Qty. Value Qty. Value 2012-13 247.64 177.36 222.87 159.99 2013-14 248.65 267.30 240.78 232.50

Muga Raw Material Bank, Sibsagar: the actual Muga cocoon producers. The details of purchase and sale of Muga A Muga Raw Material Bank is functioning cocoons made by MRMB, Sibsagar and at Sibsagar in Assam with 3 Sub-Depots, its Sub-Depots during first two years at Dhakuakhana, Sualkuchi (Assam) and 2012-13 & 2013-14 of XII Plan are given Coochbehar (W.B) with the objective at Table 7.6. of ensuring economic and fair price to

Table 7.6 Unit: Qty.in lakh Nos. & Value in lakh Rs.) Year Procurement Sale Qty. Value Qty. Value 2012-13 4.47 6.33 4.47 6.58 2013-14 6.47 10.11 6.47 10.49

QUALITY CERTIFICATION goods meant for export to ensure quality SYSTEMS: of silk goods exported from India. One of the main objectives of the Quality Besides, Central Silk Board is popularizing Certification System is to initiate suitable “Silk Mark”, for purity of silk products measures towards strengthening quality through Silk Mark Organization of India assurance, quality assessment and (SMOI). Silk Mark is an assurance quality certification. Under the scheme, label, Silk Mark protects the interests of two components viz. “Cocoon and Raw consumers who are being cheated by Silk Testing Units” and “Promotion of Silk traders by selling spurious products in the Mark” are being implemented. Quality name of silk. Three major clusters have of cocoons influences the performance been identified at Guwahati (Assam), during reeling and quality of raw silk Chanderi (MP) and Uppada (AP). Action produced. Cocoon Testing Centres which to conduct these programmes has been have been established in different Cocoon initiated and will be completed by May Markets with the support under CDP 2014. facilitate cocoon testing. The network of Certification Centres of Central Silk Board The progress achieved under the Quality attached to the Regional Office carryout Certification Systems(QCS) Scheme voluntary pre-shipment inspection of silk during 2013-14 is given at Table 7.7.

81 Ministry of Textiles

Table 7.7

Particulars 2013-14 Target Achievement Total No. of new Members enrolled 250 302 Total No. of Silk Mark Labels sold (Lakh nos.) 26 27.32 Awareness Programmes Exhibition/Fairs/ 345 537 Workshop/Road shows Cocoon testing centres (Nos.) 7 12 Raw Silk Testing centres (Nos.) 1 4

IMPLEMENTATION OF CENTRALLY Plan. In addition to the above, a component SPONSORED SCHEME (CSS) viz. ‘Special Initiatives (Flexi Fund)’, CATALYTIC DEVELOPMENT has also been introduced to address PROGRAMME (CDP) critical requirements for implementation of sericulture projects. There are 58 During XII Plan the core objective of components /sub-components for CDP the Catalytic Development Programme which are divided into 8 packages viz. is to scale up production particularly, 1) Mulberry Seed 2) Mulberry Cocoon production of quality bivoltine and 3) Mulberry Post Cocoon 4) Vanya Seed improved cross breed silk cocoons in 5) Vanya Cocoon 6) Vanya Post Cocoon the country through cluster approach. 7) Support Services and 8) Special The CDP has been redesigned to meet Initiatives. the sectoral requirements, and to ensure that the sector grows at a healthy pace. The implementation of CDP would While some of the existing components catalyze the efforts of States to achieve have been deepened / modified by total production of 32,000 MTs of silk taking up certain additional inputs /sub- (increase of 38.77 % over XI Plan components, certain new interventions production of 23,060 MTs), with a specific have also been proposed in order to meet target of achieving production of 5,000 the Zonal requirements. MT Bivoltine and 6,000 MT improved gradable cross breed mulberry silk (2A/3A CDP comprises 3 major sectors, viz. a) Grade and above silk for consumption in Mulberry Sector b) Vanya Sector and power loom) by the end of XII Plan. Direct c) Post Cocoon Sector. These 3 major and indirect employment to 9.24 million sectors are supported by support service persons is proposed to be generated by components, as has been done during XI the terminal year of XII Plan.

82 Annual Report 2013-14

Release of CDP Manuals during Conference of State Ministers on Oct 9, 2013 at Vigyan Bhawan, New Delhi

During the years 2012-13 and 2013-14, Achievements under CDP in respect of CSB has spent / released Rs.205.16 crores important components during 2012-13 and Rs.295.75 crore respectively under and 2013-14 are given at Table 7.8. CDP as against the approved outlays of Rs.201.89 crores and Rs.291 crore.

Table 7.8

# Programme Target for Achievement during Target for XII Plan 2014-15 2012-13 2013-14 Support to seed production units for mulberry 1 (nos.) 310 38 51 30 2 Private graineurs; Vanya (nos) 1810 749 994 1015 3 Mulberry plantation (Ha.) 15600 15388 6849 3242 4 Setting up irrigation facilities (Ha.) 10000 3549 5417 5712 5 Rearing House for Mulb. & Eri (Nos.) 56600 13534 17940 12569 6 Vanya food plantation (Ha.) 19400 12895 6284 4080 7 Setting up cottage basins (nos.) 50 42 11 6 8 Multiend reeling units (nos.) 225 6 61 6 9 Twisting units (400 spindles) 125 8 15 -- 10 Vanya spinning, reeling, twisting (nos) 7800 980 618 1220 11 Support for handlooms (nos.) 7000 1412 633 765 12 Support for CFCs (nos.) 105 22 27 19

83 Ministry of Textiles

CDP SUPPORT SERVICES: (7 programmes) on functional areas viz., Store Purchase system, Income tax i) Training programmes organized package, Competency Development in under CDP: noting drafting, documentation record keeping etc. were organised. During 2013-14, the Division had organized a total of 23 different training programmes A new initiative - a lecture series has been across the country to empower and train started during 2013-14 inviting eminent more than 850 industry stakeholders. This personalities, speakers for sharing their was around 142% achievement against experiences. Eminent persons like – Dr a set RFD physical target of covering Rajiv Puri, Life coach and trainer from 600 persons. These programmes have Pune and Mr Aswatha Ramaiah, an influenced three categories of Seri- International trainer & founder President, stakeholders: Unique Consultants, Bangalore were invited to address CSB officials. a) Existing / Prospective Entrepreneurs & stakeholders (ii) Beneficiaries Empowerment Programme (BEP): b) Extension agents representing DoS and NGO partners Under the Beneficiaries Empowerment Programme (CDP component), during c) In-house CSB Human Resource the year 2013-14 a total of 14703 For the benefit of the existing stakeholders/ farmers have been covered entrepreneurs, the Training Division in 22 States incurring a total expenditure had organized three Technology Up- of Rs.4.75 crore. gradation Programmes (TUP) covering EXTERNAL AIDED PROJECTS a total of 358 existing & prospective entrepreneurs & stakeholders engaged JICA assisted BIVOLTINE SERICULTURE in different activities of silk value-chain. PROJECT A total of eight Resource Development Under the Technical Cooperation Programmes were organized in seven programme of JICA, Central Silk Board is different States including NE region implementing a “Follow-up Cooperation during the period, covering around 175 Programme on Bivoltine Sericulture participants from DoS, NGOs, CSB etc. to Projects” since January 2013, for a period expose them to the latest silk technologies of one year. relevant for respective regions /zones and also to re-energize them for successfully The main objectives of the programme implementing Seri-development projects. are:

Conducted four focused programmes  To help conduct further survey and for the benefit of around 126 Cluster analysis of the present positions of development facilitators of different performance of the silkworm races Bivoltine Seri-Clusters representing CSB from breeding down to farmers’ level and DoS officers / officials in Assam, J&K, to identify the cause of deterioration Uttarakhand and West Bengal. in performance.

In an effort to refine in-house human  To conduct research to develop resource, a variety of refresher training indigenous small scale (120-200

84 Annual Report 2013-14

ends) automatic reeling machines. Keeping in view these objectives and the revised guidelines, the Ministry of  To help conduct research to develop Textiles has earmarked a provision of modified rotary mountage to reduce Rs. 41.21 crores (excluding NE States) cost. for sericulture sector from out of Rs. Outcome of the Programme: 291.00 crores approved for CDP, for implementation of Scheduled Castes • Successfully implemented JICA Sub-Plan (Rs. 32.21 crores) and Tribal follow-up Co-operation Programme Sub-Plan (Rs. 9.00 crores) during 2013- on refining the Bivoltine Sericulture 14. Accordingly, the State-wise break- Technology in India up of funds earmarked exclusively for • Co-ordinated & developed prototype SCSP and TSP from CDP have been indigenous Automatic Reeling worked out and communicated to the Machine (10 ends) Departments of Sericulture in States. During 2013-14 Rs. 32.21Crore and • Re-introduced one way multiplication Rs.9.00 Crore has been released under system to streamline Silkworm Seed CDP for implementation of Scheduled Production Technology for quality Castes Sub-Plan and Tribal Sub-Plan seed production in association with respectively. NSSO.

• Associated in development of cost- OTHER ISSUES effective mounting technology – use of Rotary Mountages Technology with Schemes/Policies Run by CSB for the Nylon net collection system to reduce Benefit of Persons with Disabilities: labour cost up to 50% in mounting. While the central sector programmes IMPLEMENTATION OF SCHEDULED like R&D, Seed support, Quality CASTES SUB-PLAN (SCSP) AND TRIBAL Certification Systems etc, of CSB are SUB-PLAN (TSP) UNDER CDP DURING mainly to supplement the efforts of 2013-14 State Govts., the Centrally Sponsored programme viz. Catalytic Development Planning Commission, Govt. of India Programme ( CDP) is aimed to ensure has formulated revised guidelines to coordinated effort to support sericulture ensure channelizing proportionate flow development at all stages from food of Plan Outlay from general sectors plant cultivation to production and for implementation of schemes which processing of silk. Though the CDP directly benefits the individuals or is being implemented jointly by CSB families belonging to Scheduled Castes and concerned State Govt., the task of and Scheduled Tribes commencing identification of beneficiaries under the from 2011-12. The objectives of the programme lies with the State Govt. programme include substantial reduction While there is no separate or specific of poverty & unemployment, creating productive assets, human resource scheme / programme under CDP for the development and arrest exploitation benefit of persons with Disabilities, the through physical and financial security benefit of the schemes / components among the Scheduled Castes and under CDP can also be availed by the Scheduled Tribes. persons with Disabilities.

85 Ministry of Textiles

Table 7.9 SERICULURE DEVELOPMENT IN # Group Persons Sanctioned NORTH EAST STATES with Strength Disability Sericulture in North East existed as a practice amongst people since long, 1 Group A 10 811 mostly as a subsidiary occupation. North 2 Group B 26 1495 East has the unique distinction of being 3 Group C 29 1551 the only region producing four varieties of Total 65 3857 silk viz., Mulberry, Oak Tasar, Muga and Eri. The North Eastern States contributes With regard to the sanctioned strength and almost 99.78% Muga silk production of the the number of persons with disabilities in country. 99% Eri silk production is from NE various posts in different Groups under region. While Oak Tasar silk production CSB, the details as on March 2014 are is 100%, Mulberry silk production is only given at Table 7.9. 1% as the strength of the NE Region is in Vanya silks, as a traditional produce. Public Grievance Redressal Machinery Overall NE Region contributes 16% of As per the instructions of Ministry of India’s total silk production. It is interesting Textiles, Senior Officers of the Central Silk to note that, even though NE share of Board holding independent charge need country’s raw silk production is only 16% rd to be nominated as Grievance Officers, as at end of 2013-14, Assam is the 3 in order to redress the grievances of the largest producer of silk in the country, staff of the Board and the public as well. after Karnataka and Andhra Pradesh.

As regards complaints relating to sexual Status of Silk Industry during XI Plan, harassment at work places received Achievements for 2013-14 in XII Plan from women employees / women Farm Presently (by end of 2013-14 up to Workers of CSB, Complaints Committees February), approximately 78,872 have been constituted at Central Office hectares of land is covered under different and also at the Institutes’ level to act varieties of silkworm food plants in North as the Inquiring Authority as regards Eastern States and 3,37,106 families are the Disciplinary Cases involving such directly involved in sericultural activities complaints. (Table 7.10).

Table 7.10.

Area under Food Plants (Hect.) Family State Engaged in Mulberry Muga Eri Oak Total Sericulture (Nos.)

Total 23,380 15,397 32,107 7,988 78,872 3,37,106

Table 7.11 gives a comparative 13 & 2013-14). NE contribution was picture of variety-wise raw silk 14% of country’s silk production at the production in the country at the end end of XI Plan. This has increased of XI Plan and the production of first to 16% by second year of XII and second year of the XII Plan (2012- Plan (2013-14).

86 Annual Report 2013-14

Table 7.11

# Particulars XI Plan 2012-13 2013-14 (Achievements) (Achievements) (Achievements) April to Feb (P)

Total NE States Total NE States Total NE States

Raw Silk Prod (M.T)

i) Mulberry 18,272 148 18715 207 16546 175

ii) Non-Mulberry

a Tropical Tasar 1,586 -- 1725 -- 2525 --

b Oak Tasar 3.78 3.78 3.78 3.78 3 3

c Eri 3,072 3,028 3116 3077 3287 3257

d Muga 126 126 119 118.9 128 127.70

Sub Total (NonMulberry) 4,788 3,157 4964 3199 5943 3388

NE share of Vanya Silk 66% 64% 57

Grand Total 23,060 3,305 23,679 3407 22489 3563

NE share of total Silk 14% 14% 16%

P: Provisional

North Eastern Region Textiles Promotion Commission has allocated a provision of Scheme (NER-TPS) for XII Plan Rs.1038.10 crore for NERTPS in the 12th Plan. The scheme was approved by the In order to boost the textile sector in the EFC on 8th April, 2013 and CCEA on 7th NE region, the Ministry of Textiles has November, 2013. proposed a project- based strategy for the North East Region under an umbrella For implementation of NER-TPS, Detailed scheme by name “North East Region Project Report (DPR) along with Executive Textile Promotion Scheme”. This umbrella summary, Standing Finance Committee scheme will be implemented in the North Note and Action Plan in respect of all the East Region in addition to the regular States of NE Region has been formulated schemes of the Ministry. The expenditure and submitted to Ministry for consideration under this scheme will be met from the 10 and approval for implementation from per cent budget outlay being earmarked 2013-14 to 2016-17. Details of the project for the North Eastern States. Planning costs proposed are given at Table 7.12.

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Table 7.12 (Rs. in lakh) State Catalytic Development Programme North Eastern Region Textile Total Promotion Scheme CSB State Benef. MOT share State Benef. Share Share Share Share share Assam 8439.05 1058.97 941.98 13701.30 1233.85 0.0 25375.20 BTC 4441.57 556.98 479.05 4795.53 21.75 21.75 10316.64 Arunachal. 1319.54 167.07 144.06 1842.22 0 0 3472.88 Pradesh Manipur - - - 12660 1294.7 1021 14975.80 Meghalaya 3814.13 475.49 415.88 4411.18 0 0 9116.68 Mizoram 3736.24 474.34 405.11 1512.55 0 0 6128.24 Nagaland 3876.14 495.37 418.97 3199.96 0 0 7990.45 Sikkim 729.12 91.82 77.49 1725.46 0 0 2623.89 Tripura 3224.67 411.09 367.86 3323.87 0 0 7327.49

Total 29580.00 3731.00 3250.00 47172.00 2550.00 1043.00 87327.00

In order to give a big push to the textile JSs/Member Secretary, CSB, Textile sector in the region, the scheme has been Commissioner, Jute Commissioner, approved for implementation from the representatives of DoNER, MS&ME, year 2013-14. The broad objective of the DIPP, Planning Commission, Deptt. of North East Textile Promotion Scheme is to Expenditure, representative of concerned develop and modernise the textile sector State Deptt. etc. as members. MoT has in the North East Region by providing the sent details of NER-TPS and guidelines required Government support in terms to Chief Secretaries of all NE States and of raw material, seed banks, machinery, Members of PAMC for necessary action. common facility centres, skill development, CSB has also circulated these guidelines design and marketing support etc. The to Sericulture Departments in all NE specific objectives of the scheme include States for necessary action. increase in the value of textile production, Project Approval and Monitoring technology upgradation, improvement Committee (PAMC) has approved the in design capability, diversification of projects in respect of mulberry part of product lines and value addition, better the project of Manipur (Rs.149.76 cr) access to domestic and export markets, and Arunachal Pradesh (Rs.18.42 cr), clusterisation and improvement in labour interalia, in a meeting held at New Delhi productivity, market access & market on 17-12-2013. The approval accorded is promotion. in respect of funding from NER-TPS. Ministry of Textiles has constituted While the Integrated Sericulture a Project Approval and Monitoring Development Projects under NERTPS Committee (PAMC) with Secretary in respect of Assam, BTC, Meghalaya, (Textiles) as Chairperson, and concerned Mizoram, Nagaland, Sikkim and Tripura

88 Annual Report 2013-14 are presently under consideration of normal targets for these States fixed for Govt. of India. The projects have been XII Plan. Out of the overall silk production formulated by converging NERTPS as target of 32,000 MT for the country during well as components under CDP, for XII Plan, the target for NE States is implementation from 2013-14 to 2016-17 4,869 MT, which is 15% of the country’s of XII Plan. The components of NERTPS production. With implementation of for Sericulture is aimed at development NERTPS with convergence of CDP, the and up-gradation of infrastructure at total silk production from NE is expected State level, and components under CDP to reach 5,803 MT which is 18% share are meant for plantation, rearing and post of country’s total silk production. For cocoon infrastructure development at additional silk production, CSB will be stakeholder’s level. Implementation of the gearing up for enhanced production projects is expected to give a major fillip to of quality basic silkworm seeds the financial constraints faced by NE State and supply of improved varieties of sericulture departments in upgrading and silkworm host plants to support the effective utilization of the infrastructure for States, besides organizing trainers’ enhancing production and productivity of training and beneficiary empowerment silk coupled with employment generation programme, supporting the States in in the rural areas along with product project implementation, monitoring and development and diversification. Since conducting evaluation. the allocation under CDP for NE States for XII Plan is limited, convergence with SILK EXPORTS NERTPS will ensure maximization of Year-wise silk goods export earnings benefits with focused approach. during the last three Financial Years i.e. Production of raw silk envisaged under 2011-12 2012-13 and 2013-14 (till feb., these projects are in addition to the 2014) is given at Table 7.13.

Table 7.13 Export earnings (Crore Rs.) # Items 2011-12 2012-13 2013-14 1 Natural Silk Yarn Fabrics, Made-ups 949.57 845.95 856.37 2 Readymade Garments 1270.78 1288.58 1453.85 3 Silk Carpets 20.08 21.03 15.65 4 Silk Waste 49.77 62.97 99.29 Total 2290.20 2218.53 2425.16

Source: DGCI&S

89

Annual Report 2013-14

CHAPTER VIII WOOL & WOOLLEN TEXTILE INDUSTRY WOOL SECTOR AT A GLANCE

91

Annual Report 2013-14 CHAPTER VIII WOOL & WOOLLEN TEXTILE INDUSTRY WOOL SECTOR AT A GLANCE

Woollen textiles and clothing industry is The woollen industry in the country is relatively small compared to the cotton broadly divided & scattered between the and man madefibre based textiles and organized and decentralized sectors: The clothing industry however the woollen organized sector consists of: Composite sector plays an important role in linking mills, Combing units, Worsted and non the rural economy with the manufacturing worsted spinning units, Kintwears and industry, represented by small, medium Woven Garments units and Machine made and large scale units. The product carpets manufacturing units. Decentralize portfolio is equally divergent from textile Sector includes Hosiery and knitting, intermediaries to finished textiles, Power-looms, Hand knotted carpets, garments, knitwears, blankets, carpets Druggets, Namadahs and Independent and an incipient presence in technical dyeing, Process houses and Woollen textiles. Wool industry is a rural based Handloom Sector. export oriented industry and caters to civil and defence requirements for warmer There are around 958 woollen units in the clothing. country, majority of which are in the small scale sector. The industry has the potential India is the 3rd largest sheep population to generate employment in far-flung and country in the world having 7.15 crores diverse regions and at present provides sheep producing 48.77 million kg of raw employment in the organized wool wool. Out of this about 85% is carpet grade sector to about 12 lakh persons, with wool, 5% apparel grade and remaining an additional 12 lakh persons associated 10% coarser grade wool for making in the sheep rearing and farming sector. rough Kambals etc. Average annual yield Further, there are 3.2 lakh weavers in the per sheep in India is 0.9 Kg. against the carpet sector. world average of 2.4 kg. per sheep per year. A small quantity of specialty fibreis WOOL PRODUCTION also obtained from Pashmina goats and Marginal growth have been observed in Angora rabbits (Table 8.1). wool production in last years and not Table 8.1. enough to meet the total requirement of Sheep Population raw wool for woolen industry. The bulk of Indian wool is of coarse quality and Year Sheep Population (Lakh) is used mostly in the hand-made carpet 2003 614.7 industry. Since Indigenous production of 2007 715 fine quality wool required by the organized mills and decentralized hosiery sector Note :Latest data as per 2012 Census has not been is very limited, India depends almost compiled till date. (Source: Ministry of Agriculture, Deptt. of Animal exclusively on import. Wool Production Husbandry) details are given at Table 8.2.

93 Ministry of Textiles

Table 8.2 • To sponsor, assist, co-ordinate & encourage scientific, technological Production of indigenous wool: & economical researches for Year Quantity (Mn Kg.) development of Wool Sector, and wool production processing with the 2012-13 46.05 view of improving the quality, yield & 2014-15 48.77 production thereof. (Source: Ministry of Agriculture, Deptt. of Animal • To advise the Central Government Husbandry) on matters relating to growth and development of wool sector including Central Wool Development Board import and export of wool and (CWDB) woollens.

Central Wool Development Board • To propagate information useful to (CWDB) was constituted in 1987 with its the growers and dealer of wool and head quarter at Jodhpur, Rajasthan with manufactures of woollen products. a view to harmonize various diversified interest among different sectors of SCHEMES FOR WOOL DEVELOPMENT woollen industry with an Integrated Policy Development. The CWDB has The Ministry of Textiles had approved been registered as Society under the 12th Plan Schemes for development Society Registration Act 1958. It works of Wool and Woollen Sector with total under overall guidance of Governing financial outlay of Rs. 96 Crore. Out of Body of Board and under control of the it, the MOT has allocated Rs. 16.00Crore Ministry of Textiles, Govt. of India. The to the Central Wool Development Board Board also functions as an Advisory (CWDB)during the financial year 2013-14 Body to the MOT on the matters relating to implement various Plan schemes and to growth and development of wool programmes for the holistic growth and sector. development of wool sector. The Board has utilized Rs. 16.00Crore under Plan The Ministry of Textiles has appointed Shri head till 31st March, 2014. K.L. Choudhary as Chairman of Board in Nov., 2012 for a period of two years and During 2013-14, the Central Wool the Jt. Secretary (Wool), MOT Ms Monika Development Board has undertaken the S. Garg is Vice-Chairperson of the Board. following activities till 31st March, 2014: There are total 29 members in Governing Body of the Board. 1. Integrated Wool Improvement and Development Programme (IWIDP) AIMS & OBJECTIVES OF THE BOARD The Integrated Wool Improvement and Development Programme (IWIDP), the • Formulation of schemes, their flagship Scheme of Wool Sector, provides implementation & evaluation to support to the Industry and wool growers increase wool production and to qualitatively upgrade product and improve wool quality with better wool technology to enable them to get better marketing/wool processing and to returns for their products by increasing promote the growth & development their share in the domestic and global of wool & woollen products. market.

94 Annual Report 2013-14

Under IWIDP, the CWDB is implementing breedable ewes) and ‘Creation of different schemes for improving quality Revolving Fund’ for marketing of raw and quantity of wool produced from wool and to revitalize the state wool Sheep, Angora rabbit, Pashmina goat marketing federations/corporations and and by providing training to wool growers, optimum utilization of infrastructure weavers, resource persons etc. along with available with them for this purpose. associated promotional and marketing One new component has also been activities. Following schemes are being incorporated under ongoing scheme implemented under this programme : namely‘State Specific Projects’ to make it inbuilt flexibility to consider State 1.1 Sheep & Wool Improvement Scheme: Specific demand other than prescribed (SWIS) components. The Board has taken up ‘Sheep and During Annual Plan 2013-14, total 18 lakh Wool Improvement Scheme’ (SWIS) sheep will be benefited through various to improve quality and toincrease components of SWIS schemes like- quantity of indigenous sheep wool in health care, establishing/strengthening the country. The Board is implementing of two Sheep Breeding Farms/Ram various projects under this scheme raising farm for breed improvement, in all major wool producing States Feed Supplement to 75,000 sheep of having components of ‘Health Care’ for region, creation of Revolving treatment, vaccination and medication to Fund for marketing of raw wool with total sheep, ‘Breed Improvement’ for genetic financial outlay of Rs. 3.19Crs. Out improvement of sheep and through of it, Rs. 3.19Crs have been utilized strengthening/establishment of Sheep till 31st March, 2014 and covered Breeding Farms for raising male lambs, 18.15 lakhs sheep under this scheme. distribution of stud Rams, Conducting The Board is presently implementing Training Programmes for wool growers various projects under this scheme in in latest techniques of sheep rearing all major wool producing States like J. & activities, provide ‘Feed Supplement’ K., H.P., Uttarakhand, U.P., Rajasthan, to eligible sheep (weak, pregnant/ Maharashtra, Karnataka, A.P. etc.

Ms Zohra Chatterji, Secretary ( Textiles) interacting with Pashmina Nomads during her visit to Leh.

95 Ministry of Textiles

1.2 Pashmina Wool Development • Feed supplement to eligible Pashmina Scheme: goats • Assistance for creating Pashmina Ladakh region of J. & K produces the goat pens to protect animals/flocks finest Pashmina wool in the world and due to excellent fiber properties, it falls under • Assistance for providing portable specialty fiber. The demand for Indian tents, gumboots, torch, goggles to Pashmina wool as well as its products nomads are very high in the international market. • Health Coverage (Medicines, Pashmina goat rearing is the only source vaccination, treatment & medical kit) of income for the nomads living in the • Development/Strengthening of far flug area of Ladhak region of J. & K. existing Pashmina Fodder Banks & State. Breeding Farms Keeping in view the potential of the • Provision of improved Pashmina Pashmina wool production in country and Combs for Efficient Harvesting of its demand in the international market, Pashmina wool CWDB has taken up this scheme on • R&D Project for Expansion of large scale during XII Plan to increase Pashmina Goat Rearing area in non- Pashmina Production, to increase income traditional areas from Pashmina wool to the Pashmina • Up-gradation of existing Pashmina rearers and to sustain their interest in this Dehairing Plant at Leh. activity as a reliable means of livelihood with following components: During 2013-14, the Board is providing benefits to800 pashmina wool growers • Buck Exchange Programme (Nomads) families by covering 2 lakh • Distribution of high quality Pashmina Pashmina goats of Leh&Kargil districts of bucks in non-traditional areas to Ladakh region through above mentioned enhance Pashmina production various components with total financial • Assistance for foundation stock in outlay of Rs. 5.90Crore. Out of it, the non traditional area Board has released total Rs. 5.90Crore to Ladakh Autonomous Hill Development • Training programmes \ Breeders Council (LAHDC), Leh and Kargil, till 31st orientation \ Health camps March, 2014.

Pashmina Goat rearing in Upsi Farm at Leh

96 Annual Report 2013-14

1.2 Angora Wool Development Scheme of Woollen products , seminar and workshops, etc.) The Board is implementing Angora Wool Development scheme in hilly areas of - Market Intelligenceand Publicity. country to support Angora rearing activity - Publication of quarterly news among farmers by distribution of Angora magazine ‘Wool Ways’. rabbit among rearers as foundation stock along with necessary training, feed & - Research, Study and Consultancy. nutrition support, supply of medicine etc. Apart from this CWDB also proposed - Training in shawl Weaving and to established an Integrated Angora Designing. Germplasm-cum-Processing and Training - Monitoring and Evaluation of Center to integrate the angora wool Scheme. production and processing activities to encourage the farmers to produce angora - Human Resource Development products so that they can get better and Training to farmers/ breeders/ returns for their product. The scheme weavers. has components like : (i) Establishment of Mini Angora rabbit Farm (ii) Angora - Strengthening and upgrading wool Rabbit Germplasm-cum-Processing and testing, wool grading and marketing TrainingCenter during XII Plan. facilities.

During Annual Plan 2013-14, 1100 During the financial year 2013-14, the angora rabbit will be covered under the Board has provided Rs. 5.00Crore for scheme with total financial allocation of above activities. During financial year Rs. 0.41Crore.The Board has sanctioned 2013-14, the Board has utilized Rs. three projects under this scheme and 5 Crore and provided training to 206 utilized Rs. 0.41 Croreupto 31st March, resource persons at Weaving & Designing 2014. Training Centre; Kullu and Sheep Breeding Farm; Hissar. Board has also decided 1.4 Human Resource Development & to organize/ participate in 11 Woollen Promotional activities: Expos (exhibition-cum-sale of woollen products), sanctioned 3 R&D Projects The Board had identified some areas for in favour of CSWRI & WRA, undertaken undertaking various training programmesin up-gradation works of 3 existing wool collaboration with various reputed testing laboratories with the help of Wool Organizations/ Institutions/Departments Research Association, Thane. on: Farm management for sheep; Angora & Pashmina rearing, sheep shearing by 2. Quality Processing of Wool Scheme machines, testing & report writing and quality control/assurance, wool grading The unorganized Woollen Sector suffers & marketing, processing of wool and from inadequate processing facilities. woolens products, latest weaving and The pre loom & post loom facilities designing techniques to weavers. The are outdated. The sector uses crude following activities are part of HRD & form of carding, which results in low Promotional Activities: productivity, besides affecting the health of workers. The spinning technology is - Marketing and Promotional activities primitive, which is urgently required to be (organizing fairs and Exhibitions upgraded through improved equipments/

97 Ministry of Textiles

machineries. The Scheme provides a life insurance coverage to them and comprehensive service package from their sheep flock by two plans (i) Sheep deburring to carding & spinning stage. The Breeders Insurance Scheme and (ii) setting up of modern plants will increase Sheep Insurance Scheme. wool-processing capacity, will provide value addition to Indian wool, will create 3.1. Sheep Breeders Insurance scheme more employment and will augments In India, the sheep breeders are from income to personnel engaged in these below poverty line, illiterate and living in decentralized activities. remote hilly and desert areas and most The Board is implementing a scheme of these lead migratory life in search of namely “Quality Processing of Wool” for suitable pastures for their sheep flocks. improving quality of raw wool, finishing During migration they are facing very of woolen products and value addition to adverse conditions as rains, cyclones, wool and woolens products. This scheme storms, snakebite attack of wild animal attracts the spinners to modernize their etc. Due to migration and illiteracy, they obsolete and small yarn-manufacturing could not get proper medical facilities units. The project beneficiaries are along with social and economic benefit State Wool Board/ Corporation/ Non- such as insurance. Governmental Organization/ Registered Societies/Private Entrepreneurs etc. The basic objective of the Sheep Breeders engaged in processing of wool and Insurance Scheme is to provide enhanced woolens. Under this scheme, the agency life insurance cover to sheep breeders has to bear the cost of land & building by in the case of natural death/ accidental their own resources. The CWDB provides death, total/partial disability. grant under Non-Recurring Expenses for purchase of machineries & plants only 3.2 Sheep Insurance scheme required for setting up the Common Facility The basic objective of the Sheep Centre (CFC). Recurring Expenditure Insurance scheme is to provide insurance shall be borne by the agency/association cover to Sheep in the case of accident out of its own resources. including fire, lightning, storm, tempest, A provision of Rs. 0.50 Crore has been flood, inundation, earthquake, famine made in 2013-14 to set up one new and diseases contracted or occurring Common Facility Centres like wool during the period of the policy. The Sheep scouring, carding, carbonizing, dyeing, Insurance Plan is based on Livestock spinning, knitting and carding of wool Insurance Scheme. and woollen items including shearing During the financial year 2013-14, the machines and strengthening wool testing Board made total financial provision facilities etc. During financial year 2013- of Rs. 1.00Crore to provide insurance 14, the Board has released Rs. 0.50crore cover to 35,000 sheep breeders and 1.00 under ongoing three CFCs in Uttarakhand lakh sheep under the schemes of Sheep and H.P. States. Breeders and Sheep Insurance Scheme, 3. Social Security Scheme for Sheep respectively from all wool producing Breeders States. The Board is implementing Sheep Breeders Insurance Scheme with the The CWDB is implementing this scheme help of Life Insurance Corp. Ltd. (LIC) to benefit sheep breeders by providing and about 37,834 sheep breeders have

98 Annual Report 2013-14 already been insured by utilizing Rs. 0.46 and Karnataka and covered 59,819 sheep crorestill 31st March 2014. The Board till 31st March 2014. has released Rs. 0.54 Crore under Sheep Annual Achievements 2013-14 of Central Insurance Scheme for insurance of sheep Wool Development Board are given at in States of Rajasthan, Andhra Pradesh Table 8.3.

Table 8.3 S. Name of Scheme Unit Achievements (upto 31-03- No. 2014) Physical Financial I Integrated Wool Improvement & Development Programme (IWIDP) Rs. in Crore A Sheep & Wool No. of sheep & Feed 18.15 lakh sheep, 3.19 Improvement Scheme Supplement (FS) FS to 75,000 (SWIS) sheep B Pashmina Wool No. of Pashmina & Feed 2 lakh pashmina & 5.90 Development Scheme Supplement (FS) FS to 40,000 goats

C Angora Wool No. of angora rabbits 1200 angora 0.41 Development Scheme rabbits D Human Resource Promotional Activities, 206 Trainees, 3 5.00 Development & training, Woollen Expo Labs up-gradation Promotional Activities & 11 Expos II Quality Processing of Wool A CFC for Integrated Wool Common Facility Centre 1 CFC 0.50 Processing Facilities (CFC) III Social Security Scheme A Sheep Breeders No. of sheep breeders 37834 0.46 Insurance Scheme B Sheep Insurance No. of sheep 59819 0.54 Scheme Grand Total 16.00

IMPORT of woollen items. The country which had strong position in quality carpet wool The production of wool in the country production is becoming dependent on is not sufficient to meet the demand of import, as requirement is growing at the wool industry particularly of apparel higher pace as compared to growth in sector and most of it is being imported production. from Australia, New Zealand and many other countries. The present requirement Besides Raw wool, we are also importing of different segments of Indian woollen woollen and cotton rags etc for the shoddy industry is likely to grow further because sector. The import figures of last years are of higher domestic as well as export need given at Table 8.4.

99 Ministry of Textiles

Table 8.4 Import of Wool & Woollen Rags Year Wool (Raw ) Woolen & Cotton Rags Quantity Value Value Quantity Value Value (Mn Kg) (Rs.Crs) (Mn $) (Mn Kg) (Rs.Crs) (Mn$) 2012-13 77.17 1801.90 330.93 186.35 341.24 61.53 2013-14 89.60 1967.72 325.22 187.00 373.00 61.25

(Source : DGCI&S, Kolkata)

EXPORT aggregate export of woollen items from wool tops to finished products like textiles, India exports various woollen products clothing, blankets and carpets is currently like tops, yarn, fabrics, Ready Made estimated around Rs. 9000 Crs. The Garments and carpets. Carpet enjoys export figures of last years are given at maximum share of total export. The Table 8.5.

Table 8.5

Export of Woolen Items Year Woolen Yarn, Ready Made Carpet (Excluding Total fabrics, Made Ups Garments Silk) Carpet (Rs.cr.) (Mn $) (Rs.cr.) (Mn $) (Rs.cr.) (Mn $) (Rs.cr.) (Mn $) 2012-13 659.03 121.00 1617.43 296.26 5340.77 981.96 7617.23 1399.22 2013-14 684.70 113.24 1888.66 310.35 6255.83 1034.58 8829.21 1458.17

(Source : DGCI&S, Kolkata)

100 Annual Report 2013-14

CHAPTER IX DECENTRALISED POWERLOOM SECTOR

101

Annual Report 2013-14 CHAPTER IX DECENTRALISED POWERLOOM SECTOR

The decentralised powerloom sector powerlooms as on 28.02.2014. The is one of the most important segments technology level of this sector varies of the Textile Industry in terms of fabric from plain loom to high tech shuttleless production and employment generation. looms. There are approximately 1.25 It provides employment to 59.20 lakh lakh shuttleless looms in this sector. It persons and contributes 62 % to total is estimated that more than 75% of the cloth production in the Country. 60% of shuttle looms are obsolete and outdated the fabrics produced in the powerloom with a vintage of more than 15 years and sector are of man-made. More than 60% have virtually no process or quality control of fabric meant for export is also sourced devices / attachments. However, there from powerloom sector. The readymade has been significant up-gradation in the garments and home textile sectors are technology level of the powerloom sector heavily dependent on the powerloom during the last 6 - 7 years. sector to meet their fabric requirement. Growth in the Powerloom Sector : There are approximately 5.30 lakh powerloom units with 23.68 lakh The year-wise growth in number of powerlooms installed is given at Table 9.1. Table 9.1

Year No. of powerlooms Growth percentage 2006-07 19,90,308 - 2007-08 21,06,370 5.8% 2008-09 22,05,352 4.7% 2009-10 22,46,474 1.9% 2010-11 22,82,744 1.61% 2011-12 22,98,377 0.68% 2012-13 23,47,249 2.08% 2013-14 (upto February, 2014) 23,67,662 0.86% Cloth production (in million sq.mtr): vis production by powerloom sector during the last five years are given at Table 9.2. The details of total cloth production vis-à- Table 9.2

Year Total Production on % age of powerloom % age increase over production Powerloom over total cloth previous year (mn. Sq. (mn. Sq. mtr.) production Total Powerloom mtr.) Production production 2008-09 54,966 33,648 61.22% - - 2009-10 60,333 36,997 61.29% 9.76% 9.95%

103 Ministry of Textiles

Year Total Production on % age of powerloom % age increase over production Powerloom over total cloth previous year (mn. Sq. (mn. Sq. mtr.) production Total Powerloom mtr.) Production production 2010-11 62,559 38,015 60.77% 3.69% 2.75% 2011-12 60,453 37,445 61.94% (-) 3.37% (-) 1.50% 2012-13 62,792 38,038 60.57% 3.87% 1.58%

2013-14 (up 59,094 34,676 58.68% (-) 6.25% (-) 9.69% to Feb, 2014)

Modernisation & Strengthening of workers in association with LIC from 1st Powerloom Service Centres July 2003. Out of 44 Powerloom Service Centres In accordance with the XIIth Five Year under the Textile Commissioner and Plan, the scheme was modified w.e.f. st1 other agencies, 43 Powerloom Service September, 2012. As per the modified Centre (PSCs) have been modernised Scheme, the total premium is Rs.470/- with modern machines and equipment out of which, Rs.290/- is to be borne by such as shuttleless looms of type Government of India and Rs.100/- is Projectile, Rapier, Air jet, Automatic Cop being paid by the LIC from the Social Changing Looms, Drop Box Looms, Security Fund of Government of India. Pirn Winders, Cone Winders, Sectional A premium of Rs.80/- only is to be paid Warping Machine, DG Sets etc. Out of by the powerloom weaver for getting the 44 PSCs, 14 PSCs are under the Office of the Textile Commissioner, 25 PSCs are benefits under this scheme. The coverage run by different TRAs, 4 PSCs are under of benefits under this Scheme is given at KSPDC, Bangalore and one PSC is run Ttable 9.3. by State Govt. of Madhya Pradesh. Table 9.3 Performance of Powerloom Service Natural Accidental Total Partial death Death Permanent Permanent Centers Disability Disability The achievement for the period 01.01.2013 Rs. Rs. Rs. Rs. to 31.03.2014 is as under:- 60,000/- 1,50,000/- 1,50,000/- 75,000/- No. of Trainees : 23357 No. of Samples Tested : 105715 In addition to the above, a worker under No. of Designs Developed : 5894 this scheme will also be entitled to the No. of Consultancy / Trouble Shooting : 5415 educational grant of Rs.600/- per child/ Total Revenue : Rs.199.13 lakh per half year for two children studying in IX to XII standard for a maximum period SCHEMES FOR THE DEVELOPMENT of 4 years under Shiksha Sahayog Yojana OF POWERLOOM SECTOR: (SSY).

1. Group Insurance Scheme for Under this Scheme, 2,05,322 powerloom Powerloom Workers (GIS) workers have been insured for the period Government of India launched this 01.01.2013 to 31.03.2014 involving GOI Scheme for the welfare of powerloom share of premium to the extent of Rs.5.95

104 Annual Report 2013-14 crore. During the period, 1360 claims exhibitions and Buyer Seller Meets (BSM), involving an amount of Rs.5.65 crore Seminar / Workshops, publicity and have been settled. awareness programmes etc. are being implemented in association with Powerloom 2. Group Workshed Scheme (GWS) Development & Export Promotion Council (PDEXCIL) and other agencies. During The Govt. of India introduced a Group January, 2013 - March, 2014, total 13 Workshed Scheme for powerloom Sector BSM have been conducted and Govt. has on 29.07.2003, during the Xth Five Year released Rs.1.97 crores for this purpose. Plan. The scheme aims at setting up of Powerloom Parks with modern weaving Total 18 Seminars and Workshops have machinery to enhance their competitiveness been conducted for which GOI released Rs.22,00,000/- during the period January, in the global market. The scheme was 2013 - March, 2014. subsequently modified in October, 2013. As per the modified Scheme, subsidy for (b) Exposure visits by powerloom construction of Workshed would be limited weavers to other clusters to 40% of the unit cost of construction The powerloom weavers in the clusters subject to a maximum of Rs.300/- per sq. using technology below par are not ft., whichever is less. Ordinarily, minimum exposed to other areas using higher 4 weavers should form a group with 48 level of technology to produce diversified modern looms of single width or 24 wider textile products or value added fabrics width looms and per person minimum 4 due to limited knowledge and financial looms will be allowed to be installed. constraints etc. Total 60 projects have been approved upto With a view to overcome such difficulties, March, 2014 for providing Government the powerloom weavers in different subsidy of Rs.25.42 crore on eligible clusters, are encouraged to visit other construction area of 18.81 lakh sq. ft. developed clusters to get familiarized Total subsidy of Rs.23.74 crore has been with the benefits of upgraded technology, released as on 31.03.2014. diversified products and the marketing techniques adopted in those clusters. The 3. Integrated Scheme for Powerloom concerned Regional Offices assist the Sector Development (ISPSD) powerloom weavers during the exposure In order to achieve the overall development visits and facilitate effective and meaningful of the powerloom sector, Govt. had interaction. The financial assistance is announced the Integrated Scheme for provided by the Government of India to meet the expenditure arising out of these Powerloom Sector Development during visits. During January, 2013 - March, 2014, 2007 – 08. The scheme has following total 167 workers visited the developed components:- powerloom clusters for which the Govt. (a) Marketing Development Programme reimbursed Rs.6, 00,000/- towards for Powerloom Sector (BSM and travelling and incidental expenditure. Seminars / Workshops) (c) New components launched in Marketing Development programme has a October 2013 under ISPSD vital role in powerloom sector. Therefore, an activity for promotion and marketing (i) Common Facility Centre (CFC) of powerloom products through different The aim of setting up CFC is to mechanisms such as organization of provide infrastructure support to the

105 Ministry of Textiles

Powerloom Weavers associated in a provide Rs.24.50 crore and Rs.11.50 group and willing to set up Common crore will be provided by SIDBI. Facility Centre. It includes house 4. Newly launched Schemes during design centre / studio, testing facilities, the period 01.01.2013 to 31.03.2014: training centre, information cum trade centre and common raw material / yarn (i) Pilot Scheme of In-Situ Upgradation / sales depot, water treatment plant of Plain Powerlooms for industrial use and common pre- The scheme aims to improve quality weaving facilities viz. warping, sizing and productivity of the fabric being etc. under the projects in PPP mode produced by upgrading their existing for backward and forward integration plain looms with certain additional as per the need of the cluster. GOI attachments which enable them to Share for CFC is Rs. 2.00 crore per face the competition in domestic cluster. Levels of assistance from the and international markets. It aims at Government on the basis of grading of covering 99,000 looms during 12th powerloom clusters i.e.: Plan.

 Grade ‘A’ - upto 60% of project Financial assistance of Rs.15,000/- per cost. loom will be given to the powerloom  Grade ‘B’ - upto 70% of project units for upgrading ordinary loom cost. by installing specific/ identified  Grade ‘C’ - upto 80% of project attachments (kits) into semi-automatic. cost. A maximum of 8 looms per weaver  Grade ‘D’ & clusters in NER/J&K are eligible under this scheme. The upto 90%. scheme has been approved initially for eight clusters at Siricilla (A.P), (i) Corpus for Yarn Bank Malegoan, Nagpur, Ichalkaranji (MH), Small weavers do not have enough Tanda, Mau (UP), Burhanpur (MP) resources to purchase yarn in bulk and Bhagalpur (Bihar).The scheme quantity from the open market and has already been launched in Siricilla depend on local yarn dealers. The local (A.P) and Mau (UP). dealers sell the yarn at higher price than (i) the mill price and take undue advantage Health Insurance Scheme for of market situation. Therefore, to help Powerloom Weavers the weavers, 4 Yarn Banks are proposed The Health Insurance Scheme for to be set up during 12th Plan period. powerloom weavers has been approved th Government shall provide interest free for implementation in the 12 Plan. corpus fund maximum of Rs.1.00 crore The scheme is initially launched in the per Yarn Bank. State of Andhra Pradesh. The scheme provides the powerloom weavers and (ii) Pilot Scheme of Tex-Venture Capital ancillary workers comprehensive (IPD Fund and OPD) healthcare assistance for Tex Venture Capital Fund will be a wide range of ailments including all a dedicated fund with a corpus of pre-existing/new diseases. Rs.35 crore for investing primarily in companies engaged in manufacturing Benefits: and services activities in the powerloom  Powerloom weavers and their family industry. Government of India will members including two children are

106 Annual Report 2013-14

covered for IPD and OPD treatment loading of instalments due to extended upto maximum of Rs.30,000/- and tenure of Hire-Purchase i.e. 10 years Rs.7,500/- respectively. than the loan repayment period of 7 years.  Premium Rs. 750/- is borne by Govt. of India and State Govt. in the ratio of 5. Coverage of Powerloom Sector in 75:25. (GOI Rs. 565 and State Govt. other ongoing schemes Rs. 185/-).  The premium funding pattern for North i) 20% Margin Money Subsidy Scheme East & J&K 90:10. under TUFS  Beneficiary pays only Rs.30/- as The Govt. has implemented 20% Registration Fee. Credit Linked Capital Subsidy Scheme  GOI bear the cost of Smart card under the TUFS, especially to help the (present rate Rs.60/- per card). Powerloom Sector. The scheme was announced on 06.11.2003 by Ministry (ii) Hire-Purchase Scheme for of Textiles (MOT) and is applicable Powerloom Sector under TUFS to SSI powerloom units only. The This scheme has been approved under scheme has been re-named as 20% Revised Restructured Technology MMS since 01.04.2007 Under the Upgradation Fund Scheme (RR- scheme Rs.73.95 crore subsidy has TUFS).Under the Scheme, the hirer been disbursed towards 551 claims (SPV) would procure the machines and during the period Jan, 2013 to March, then provide them on hire-purchase 2014. basis to the weavers. The risk and rewards incidental to the ownership of ii) 15% Margin Money Subsidy Scheme the asset is transferred to purchaser under TUFS but not the actual ownership until end iii) Govt. has introduced 15 % CLCS( of the period. Ultimate ownership will MMS)- TUFS applicable to Textile transfer only at the end of the term of MSME Sector on 01.04.2007. Under hire-purchase. the Scheme Rs.34.36 crore subsidy The SPV will be given the following has been disbursed towards 714 benefits; claims during Jan, 2013 - March, 2014.  30% subsidy on machinery under RR- TUFS. iv) 30% MMS under RR-TUFS

 3% additional upfront credit risk cover The TUFS has been continued for where the beneficiary provides at least the 12th Five Year Plan with major 50% collateral security to the SPV. modifications. Main focus has been on Else this 3% benefit will be passed installation of high speed shuttleless on to the SPV, where no collateral looms for which increased Margin security is offered, to create a debt Money Subsidy of 30% is provided security pool. w.e.f 1st April,2013 under RR-TUFS. Imported second hand shuttleless  2% extra cost towards additional looms with the vintage less than 10 interest and administrative expenses year is also considered with 8% margin to enable the SPV to meet initial money subsidy.

107 Ministry of Textiles

Brand new Shuttleless looms setup with assistance under TUFS

6. Comprehensive Powerloom Cluster The Scheme provides requisite support / Development Scheme linkages in terms of adequate infrastructure, technology, product diversification, The Comprehensive Powerloom Cluster design development, raw material banks, Development Scheme was formulated in marketing & promotion, credit, social the year 2008-09 to enable implementation security and other components that are of the announcement made by the Finance vital for sustainability of weavers engaged Minister in his Budget Speech of 2008-09 in the decentralized powerloom sector. to develop Powerloom Mega Clusters at Bhiwandi (Maharashtra) and Erode (Tamil The modified Comprehensive Powerloom Nadu). Subsequently, the Finance Minister Cluster Development Scheme (CPCDS) in his budget speeches of 2009-10 was approved by the Cabinet Committee and 2012-13 announced development on Economic Affairs (CCEA) in October, of Powerloom Mega Clusters at Bhilwara 2013 for implementation during 12th (Rajasthan) and Ichalkaranji (Maharashtra) Plan period with a Budget Outlay of Rs. respectively. 110 crore. Under the modified scheme, Government assistance for a Mega Cluster The guidelines/principles underlying the design of clusters is to create world- is limited to 40% of the project cost subject class infrastructure and to integrate the to a maximum of Rs.50 crore. production chain in a manner that caters Four Powerloom Mega Clusters have been to the business needs of the local Small approved under the scheme as under: and Medium Enterprises (SMEs) to boost production and export. The broad objective Powerloom Mega Cluster at Erode: of the Mega cluster approach Scheme is to enhance the competitiveness of the Under the project, an Integrated Textile clusters in terms of increased market share Market Complex consisting of two main and to ensure increased productivity by components namely, Wholesale Market higher unit value realization of the products. Complex (Daily Market) and Weekly Textile

108 Annual Report 2013-14

Shandy Market will be constructed. The Marketing Centre & Industrial Estates was Weekly Market will commence from April, approved by the PAMC in its meeting on 2014. The Wholesale Market Complex 27.02.2014. The PAMC directed CMTA to will be completed by December, 2014. submit DPR within two months. The CMTA will submit a fresh proposal for setting up of Warehouse and Dormitory. 7. Other Activities: All India Powerloom Board (AIPB): Powerloom Mega Cluster at Bhiwandi: The All India Powerloom Board was first A diagnostic study of the project is underway constituted as an Advisory Board to the after which project report will be submitted Government of India in November, 1981 for setting up facilities as per requirement with the aim to advise the Government of the weavers which will include Common generally on matters concerning the Facility Centre, Pre-weaving Testing and healthy development of powerlooms Training Facilities, Marketing Complex and within the power operated weaving Group Workshed for shutteleless looms. sector including measures to be taken The CMTA was expected to submit DCR to achieve better productivity, increase by 31.03.2014 which is still awaited from efficiency, improve welfare of workers and them. locational dispersal of Powerlooms. The Government of India reconstitutes AIPB Powerloom Mega Cluster at Bhilwara: from time to time. The PAMC in its meeting held on 27.02.2014 had directed the CMTA to submit revised The present AIPB was reconstituted for DPR as per the modified guidelines by a period of two years w.e.f. 23.12.2013. 01.04.2014 which is still awaited. It has representatives of the Central and State Govts., Powerloom Federation/ Powerloom Mega Cluster at Associations of Powerloom / Textile Ichalkaranji: Industry, as its members and is headed by the Union Minister of Textiles as the The DCR for setting up of Mega Cluster Chairman. During January, 2013 - March, consisting of Common Facility Centres, Mini 2014, two meetings of Re-constituted Industrial Park with Ready to use Common AIPB were conducted on 12.07.2013 and Work Sheds, and Strengthening of Existing 18.02.2014 at New Delhi.

109

CHAPTER X HANDLOOM INDUSTRY

111

Annual Report 2013-14

CHAPTER X HANDLOOM INDUSTRY

Handloom weaving is one of the largest in India and handloom sector was no economic activity after agriculture exception. The production had declined providing direct and indirect employment nominally in 2008-09. Now, there is a to more than 43 lakh weavers and positive sign and production has shown allied workers. This sector contributes upward growth. nearby 11% of the cloth production in the country and also contributes to the In the cluster approach, efforts have been made to cover 300 to 25000 handlooms export earning of the country. 95% of through different cluster sizes for their the world’s hand woven fabric comes integrated and holistic development. The from India. yarn supply under mill gate price scheme The handloom sector has a unique place (MGPS) has also increased. Aggressive in our economy. It has been sustained by marketing initiative through marketing transferring skills from one generation to events has helped weavers and their another. The strength of the sector lies in cooperative societies to understand its uniqueness, flexibility of production, the market trend and consumer choice, openness to innovations, adaptability besides selling products directly to the to the supplier’s requirement and the customers. For a focused attention on the wealth of its tradition. sector, the Ministry has started celebrating ‘Handloom week’ every year. The Government of India, since independence, has been following a As an economic activity, handloom is the policy of promoting and encouraging one of the largest employment providers the handloom sector through a number after agriculture. The sector provides of programmes and schemes. Due to employment to 43.31 lakh persons various policy initiatives and scheme engaged on about 23.77 lakh handlooms, interventions like cluster approach, of which, 10% are from scheduled castes, aggressive marketing initiative and 18% belong to scheduled tribes, 45% social welfare measures, the handloom belong to other backward classes and sector has shown positive growth and the 27% are from other castes. Production income level of weavers has improved. in the handloom sector recorded a figure The handloom fabric production has been of 6952 million sqr.meters in the year very impressive and growth has been at 2012-13. During 2013-14 production in the rate of 6% to 7% in the beginning of the handloom sector is reported to be the 11th Plan. The subsequent economic 7116 million sqr. meters and details are downturn has affected all the sectors given under Table10.1

113 Ministry of Textiles

Table 10.1 Cloth Production by Handloom Sector (Mn. Sq. Mtrs) Year Cloth production Share of handloom Ratio of handloom Total cloth by handloom in the total cloth to powerloom (in production* sector production terms of cloth) 2008-09 6677 15.9 1:5.04 42121 2009-10 6806 14.9 1:5.41 45819 2010-11 6900 14.6 1:5.59 47083 2011-12 6901 14.8 1:5.42 46600 2012-13 6952 14.6 1:5.47 47408 2013-14 7116 (P) 15.01 1:5.29 47388

* The total cloth production includes handloom, powerloom and mill sector excluding hosiery, khadi, wool and silk.

Development Commissioner (Handlooms) inaugurating the “Benaras Weaves” Exhibition on 25th October, 2013 at CCIC, JVB showroom, New Delhi.

During 11th plan & 2012-13, the Office Promotion Scheme; (iv) Mill Gate Price of the Development Commissioner for Scheme; (v) Diversified Handloom Handlooms has been implementing Development Scheme, and (vi) ‘Revival, six schemes which are – (i) Integrated Reform and Restructuring (RRR) Handloom Development Scheme; (ii) Package for Handloom Sector’. Now, Handloom Weavers Comprehensive IHDS, MEPS and DHDS have been Welfare Scheme; (iii) Marketing & Export merged into Comprehensive Handloom

114 Annual Report 2013-14

Development Scheme (CHDS). Further, 3. Development and strengthening of RRR package & CHDS have been merged the handloom institutions into a single centrally sponsored scheme 4. Handloom census viz. National Handloom Development Programme. Mill Gate Price scheme 5. Implementing innovative ideas has also been renamed as Yarn Supply 6. Publicity, advertisement, monitoring, Scheme. The scheme-wise progress is training and evaluation of the detailed below:- scheme

1. NATIONAL HANDLOOM CHDS has been approved by competent th DEVELOPMENT PROGRAMME authority on 13 November 2013. Prior to the approval, IHDS, M&EPS & DHDS National Handloom Development were implemented. Scheme-wise details Programme (NHDP) is being implemented are given below:- as a single centrally sponsored programme for development of handlooms, having (i) INTEGRATED HANDLOOMS following components:- DEVELOPMENT SCHEME.

a. Revival, Reform & Restructuring • Integrated Handlooms Development (RRR) package for the handloom Scheme (IHDS) was introduced sector. in 2007-08 for its implementation b. Comprehensive Handloom in XI Five Year Plan as a centrally Development scheme (CHDS) sponsored plan scheme for the a. RRR package covers waiver of development of handloom sector and overdue loan (100% principal and welfare of handloom weavers. The 25% of interest) as on 31/3/2010 scheme aims to focus on formation and recapitalization assistance to of weavers group as a visible entity, eligible apex and primary weavers develop the handlooms weavers cooperative societies & individual groups to become self-sustainable, weavers and also provides fresh inclusive approach to cover loan at 6% interest rate alongwith weavers both within and outside the credit guarantee for 3 years. The cooperative fold, skill up-gradation scheme has been implemented upto of handlooms weavers/workers to 28.02.2014. produce diversified products with b. CHDS has been formulated by improved quality to meet the market merging the components of Integrated requirements, provide suitable Handloom Development Scheme workplace to weavers to enable (IHDS), Marketing & Export Promotion them to produce quality products Scheme (MEPS), Diversified & with improved productivity etc. Handloom Development Scheme • Under the scheme, cluster having (DHDS), implemented during the 11th about 300 - 500 looms, were taken Plan. Sub-components of the CHDS up for development in a time frame are as follows:- of 3 years at an upper cost of 1. Cluster development programme Rs.60.00 lakh per cluster. Handloom 2. Handloom marketing assistance weavers, who were not covered

115 Ministry of Textiles

by the clusters, were supported the projects sanctioned in 11th plan, through a 'Group Approach", which consolidation of existing clusters was implemented in a project mode. and new clusters. Under marketing A group, consisting of 10 weavers incentive component, a sum of or more, was provided financial Rs.34.61 crore was sanctioned to assistance for (i) basic inputs; (ii) various State Governments/UTs. training in weaving, dyeing, designing • Year-wise number of clusters taken and managerial disciplines; and (iii) upto 2013-14 is given in Table 10.2. construction of work-sheds. Table 10.2 • During 2013-14, budget provision under “Comprehensive Handlooms Year No. of clusters sanctioned Development Scheme (CHDS)” 2006-07 20 was Rs.117.00 crore, out of which 2007-08 251 Rs.62.00 crore had been earmarked 2008-09 131 for clusters, group approach projects 2009-10 52 and marketing incentive, which was 2010-11 107 reviseted to Rs.81.35 crore (Rs.56.36 2011-12 69 crore General States and Rs.24.99 2012-13 02 crore for NER). Out of Rs.81.35 2013-14 19 crore, a sum of Rs.62.87 crore was Total 651 sanctioned as committed liabilities of

State-wise number of clusters sanctioned during 2006-07 to 2013-14 is given in Table 10.3.

Table 10.3

Sl. Name of the No. of clusters sanctioned No. State 2006- 2007- 2008- 2009- 2010- 2011- 2012- 2013-14 Total 07 08 09 10 11 12 13 No. of clusters sanc- tioned General 1 Andhra 2 26 11 2 13 1 14 69 Pradesh. 2 Bihar 1 9 5 1 16 3 Chhattisgarh 5 3 2 10 4 Delhi 0 1 1 5 Gujarat 5 4 9 6 0 1 1 7 Himachal 1 2 2 3 1 9 Pradesh

116 Annual Report 2013-14

Sl. Name of the No. of clusters sanctioned No. State 2006- 2007- 2008- 2009- 2010- 2011- 2012- 2013-14 Total 07 08 09 10 11 12 13 No. of clusters sanc- tioned General 8 Jammu & 0 8 2 2 12 Kashmir 9 Jharkhand 10 11 5 9 35 10 Karnataka 1 13 5 5 24 11 Kerala 1 19 5 25 12 Madhya 1 10 1 4 2 18 Pradesh 13 Maharashtra 0 6 1 7 14 Orissa 2 16 7 8 5 4 42 15 Punjab 0 0 16 Rajasthan 2 0 1 3 6 17 Tamilnadu 3 27 10 12 52 18 Uttar Pradesh 4 21 14 8 7 54 19 Uttarakhand 5 1 2 1 9 20 West Bengal 2 25 9 5 41 Total 18 195 94 31 77 4 421 NER 1 Arunachal 8 4 3 7 22 Pradesh 2 Assam 1 10 5 12 24 52 3 Manipur 1 19 14 6 27 67 4 Meghalaya 4 1 2 2 9 5 Mizoram 1 1 2 6 Nagaland 5 9 10 5 5 34 7 Sikkim 0 0 8 Tripura 10 4 5 6 25 Total 2 56 37 21 30 65 211 Grand Total 20 251 131 52 107 69 2 19 651

Institutional Credit for Handloom not be covered under RRR package, Sector the Cabinet Committee of Economic Affairs (CCEA) on 18th December, 2011, To ensure easy access to subsidized approved a new component “Institutional credit from banks to those handloom weavers and PWC societies, which would Credit for Handloom Sector” by modifying

117 Ministry of Textiles

the existing plan scheme of Integrated provide marketing platform to the weavers Handlooms Development Scheme and handloom organisations to sell their (IHDS). products directly to the consumers. The main activities under the components During 2012-13, around 53600 WCCs are: were issued, loan of Rs.169.70 crore sanctioned and Rs.79.57 crore was i. Organization of expos, events, and disbursed. craft melas Finance Minister, in the budget of ii. Development of web portal for 2013-14, announced loan to handloom e-marketing sector at 6% interest rate which was iii. Publicity, awareness and brand a long standing demand of the sector. building To implement the budget announcement, iv. Promotion of handloom mark Cabinet Committee on Economic Affairs (CCEA) has approved modifications v. Implementation of Geographical in Revival, Reform & Restructuring Indications of Goods (Registration (RRR) package, to provide subsidized &Protection) Act 1999. loan to handloom sector at the interest vi. Setting up of urban haats, rate of 6% for a period of three years. vii. Setting up of retail stores; The quantum of interest subsidy to be borne by the Government of India will viii. Marketing complex at Janpath, New be for three years and limited to the Delhi; difference between the actual rate of ix. Setting up of display-cum- CFC and interest as applicable and charged quality testing unit; by the banks and 6% to be borne by x. Designer intervention/ marketing the borrower, subject to maximum 7% support; interest subvention. The margin money assistance has been enhanced to 20% xi. Engagement of top end designers for of loan amount or maximum Rs.10,000/- domestic niche market /international per weaver from existing assistance of market and brand building; Rs.4200/- per weaver. During 2013-14, xii. Export projects; and 71643 WCCs have been issued, loan xiii. International fairs & exhibitions . amounting to Rs.194.28 crore have been sanctioned and Rs.146.79 crore Marketing Events: has been disbursed. During the year 2012-13, 438 domestic (ii). MARKETING & EXPORT marketing events had been sanctioned PROMOTION SCHEME to State Govenrnments and other implementing agencies. During the year The erstwhile Marketing & Export 2013-14, 376 domestic marketing events Promotion Scheme has been merged have been sanctioned for organization by into CHDS and Handloom Marketing implementing agencies. Assistance, as one of the components of Comprehensive Handloom Development Handloom Mark: The handloom mark has Scheme has been introduced during the been launched to serve as a guarantee 12th Plan. The main objectives of the to the buyer that handloom product being handloom marketing assistance is to purchased is a genuine handwoven

118 Annual Report 2013-14 product and not a powerloom or mill made The Geographical Indications of product. Handloom mark is promoted Goods: The Geographical Indications and popularized through advertisements of Goods (Registration & Protection) in newspapers and magazine, electronic Act 1999 provides legal protection to media, syndicated articles, fashion Geographical Indications of goods etc. shows, films etc. The Textiles Committee and prevents unauthorized use of these is implementing agency for promotion by others. Financial assistance to register of handloom mark. As on 31st March, 35 items has been provided by this office 2014, 4.27 crore (cumulative) handloom so far to various States/agencies, out of mark labels have been sold to 12686 which 21 items have been registered. stakeholders. 815 retail outlets are selling The financial assistance for registration handloom goods with handloom mark of handloom items under the G I Act has label. been increased from Rs.1.50 lakh to Rs.3.00 lakh, out of which, Rs.1.50 lakh National Award: Every year upto 20 will be for registration and Rs.1.50 lakh for national awards and 20 national merit training and dissemination of information certificate is given to the outstanding etc. handloom weavers. The national award consists of a certificate, angavastram, Handloom Marketing Complex, Janpath, copper plaque and cash award of Rs. New Delhi: Construction of handloom 1.00 lakh. National merit certificate marketing complex at Janpath, New Delhi consists of certificate and cash award of with the objective to provide infrastructure Rs. 50,000. 34 National awards for the support to handloom agencies to augment year 2009 & 2010 have been conferred their sales has been completed and the to 46 handloom weavers by the Hon’ble stalls have been allotted to handloom President of India in a function held on 9th agencies etc. This handloom marketing November, 2012 at Vigyan Bhawan, New complex will showcase the exquisite Delhi. For the year 2011, 20 National varieties of handlooms produced all over Awardees have been identified. the country and will also act as a forum for the promotion of handloom products Sant Kabir Award: This award is in the domestic as well as international conferred from 2009 onwards to markets. outstanding handloom weavers who have made valuable contribution in keeping Export Promotion: The objective of the alive the handloom heritage and also handloom export promotion is to assist for the dedication in building up linkages the handloom cooperative societies, between the past, present and the future corporations/apex and handloom through dissemination of knowledge exporters to participate in international on traditional skills and designs. Each events, buyer-seller meets etc. and award consists of one mounted gold to make available the latest designs, coin, tamrapatra, one shawl and a trends, colour forecasts etc. Under this citation. In addition, financial assistance component, assistance is given for to the extent of Rs. 6.00 lakh is also (i) export projects (ii) participation in given to each of the Sant Kabir awardee international fairs & exhibitions, and (iii) to innovate and create 10 new products setting up of design studios. During the of high level of excellence. Two Sant year 2012-13 various handloom agencies/ Kabir Awardees have been identified for exporters participated in 09 international the year 2011. fairs/exhibitions. During the year 2013-14

119 Ministry of Textiles

participation in 19 international exhibitions of Rs. 11.84 crore has been incurred and 3 buyers sellers meet have been against the approved outlay Rs.15.00 approved. The export of handloom items crore. during 2012-13 was Rs.2811.97 crore as compared to Rs.2653.95 crore during In pursuance of budget announcement 2011-12. During 2013-14, the export of 2012-13, three new WSCs have been handloom items was Rs 2233 crore (p). approved to be set up in the States of Jharkhand, Mizoram and Nagaland. (iii) DIVERSIFIED HANDLOOMS Weavers Service Centres (WSCs) DEVELOPMENT SCHEME (DHDS) Presently, twenty five Weavers Service The Central Sector Diversified Handloom Centres (WSCs) are functioning across Development Scheme (DHDS) which the country. These WSCs play a vital role was one of the Scheme in operation in skill up-gradation and capacity building during 11th Plan, aimed at providing of the Weavers to improve productivity and technical and institutional support to the earning of the Weavers. They also render handloom sector for skill up-gradation, extension services which involve transfer capacity building and dissemination of design inputs, skills and technology of technological interventions to the to the weavers, providing direct market handloom weavers. Main component linkage by sponsoring weavers in various of the scheme were ‘Strengthening of fairs, expos, exhibitions etc. All these Weavers Service Centres (WSCs) / WSCs are functioning under non-plan. Indian Institutes of Handloom Technology An amount of Rs..3198.30 lakh has been (IIHTs), setting up of new WSCs/IIHTs, incurred during 2013-14 by WSCs against National Centre for Textile Design the budget provision of Rs.3505.68 lakh. (NCTD), Research & Development (R&D) and conducting Handloom Census etc.’. Indian Institutes of Handloom Technology During the 12th Plan period, it has been (IIHTs) merged in the ‘Comprehensive Handloom The Indian Institutes of Handloom Development Scheme (CHDS) and Technology (IIHTs) provide professionally renamed as ‘Strengthening of Handloom qualified and trained manpower to organizations/institutions’ which inter alia the handloom sector and undertake includes setting up of new WSCs/IIHTs in experimental and research programmes central Sector, continuation of the activities on all aspects of the handloom industry. of IIHT Bargarh and NCTD, introduction Presently there are five central IIHTs of degree course in IIHTs. R&D activities located at Varanasi (Uttar Pradesh), including revival of languishing crafts, Salem (Tamil Nadu), Jodhpur (Rajasthan), release of committed central assistance Guwahati (Assam) and Bargarh (). for setting up IIHT under state sector, J&K Every year, 270 students are offered Wool project, conducting of Handloom admission in three years diploma course census, innovative ideas, major works in handloom and textile technology in all (construction of buildings for WSCs/ these five IIHTs. IIHT Salem and IIHT IIHTs) etc. Varanasi also offer one and a half year Against the approved outlay of Rs.20.00 post diploma course in textile processing. crore, a sum of Rs.17.08 crore has been One more IIHT in Central Sector in the incurred under the DHDS during 2012- State of West Bengal has been approved 13. During the FY 2013-14, an amount under the XII Plan. The construction of

120 Annual Report 2013-14 own building of IIHT Bargarh in a sprawling 2. REVIVAL, REFORM AND 27 acres of area has been completed and RESTRUCTURING PACKAGE IIHT has been shifted to its own building FOR HANDLOOM SECTOR in September, 2012. A total amount of Rs.36.09 crore has been released to Acknowledging the financial distress faced CPWD towards said construction work. by handloom weaver and cooperatives due to their inability to repay debts, the Apart from the above Central Sector Finance Minister had announced the IIHTs, four IIHTs are also functioning in financial package of Rs.3000 crore for the State Sector at Venkatagiri (Andhra the handloom sector on 28.2.2011. To Pradesh), Gadag (Karnataka), Champa give effect to the announcement, the (Chhatisgarh) and Kannur (Kerala). scheme named ‘Revival, Reform and During the FY 2013-14, an amount of Restructuring Package for Handloom Sector’ was approved by the Government Rs.860.76 lakh was incurred by these IIHTs st against the budget provision of Rs.944.87 on 24.11.2011 to be implemented by 31 lakh. Similarly, an amount of Rs.176.21 December, 2012 through NABARD. lakh was incurred by IIHT, Bargarh during The RRR package included (a) one time 2012-13 against the budget provision of waiver of overdue loans and interest Rs.182.70 lakh (Plan). So far as IIHT, (100% principal and 25% of interest) of Bargarh is concerned, an amount of eligible handloom cooperative societies Rs.151.80 lakh has been incurred by and individual weavers as on 31st March, Bargarh Institute during 2013-14 against 2010, (b) recapitalization of viable and the budget provision of Rs.189.70 lakh. potentially viable handloom cooperative societies, (c) provision of fresh subsidized National Centre for Textile Designs credit to handloom cooperative societies (NCTD) and weavers covered by waiver by NCTD has been set up in 2001 to providing interest subsidy of 3% for a promote traditional and contemporary period of 3 years for fresh loan with credit designs so as to make handloom sector guarantee and (d) carrying out legal more responsive to the rapidly changing and institutional reforms for cooperative market demand. The primary objective societies. of NCTD is to give weavers, workers and Altogether 44 Apex and 15926 primary designers greater exposure and access weavers Cooperative (PWC) societies, to national and international markets. which were functional, were considered Presently, NCTD is functioning from under the package. NABARD after the premises of WSC, Delhi. The NCTD carrying out special audit of 26 apex and provides its services to the weavers, 7079 societies, assessed an amount of designers, exporters etc. through its Rs.527.52 crore towards loan waiver and website www.designdiary.nic.in. During recapitalization of 25 apex, 4073 PWC the Financial year 2013-14, 24000 societies, 50403 individual weavers and visitors visited NCTD’s website from weavers of 5462 self help groups (SHGs) India and 7500 from foreign countries. which were found eligible as per the norms Total 1040 Nos. of Designs (Furnishing of RRR package. 130, Stole/Shawl 50, Dress material 275, Saree 326, Shirting 125 and Heritage Keeping in view the limited coverage Design 134) have been uploaded on the of handloom cooperatives under RRR website of NCTD. package, the Government on 24th

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September, 2013 approved modified Insurance Scheme’ for providing health RRR package by relaxing the eligibility care facilities to the handloom weavers norms particularly, the condition of net in the country and the ‘Mahatma Gandhi worth i.e. the cooperatives even with Bunkar Bima Yojana’ for providing life negative net worth could be considered insurance cover to handloom weavers in potentially viable provided its net worth case of natural / accidental death, total / becomes positive after loan waiver partial disability due to accident. During and recapitalization and extended the the 11th plan, both schemes have been scheme upto 31.12.2013. The modified amalgamated into one scheme namely scheme also facilitated cheaper credit @ Handloom Weavers’ Comprehensive 6% interest rate to the handloom sector Welfare Scheme. The details of the in line with the budget announcement of scheme are as under: 2013-14. The statutory audit of apex and PWC societies was to be completed upto (i) Health Insurance Scheme (HIS) 2011-12 (instead of 2009-10 as specified is implemented through ICICI Lombard in the earlier guidelines) and eligibility of General Insurance Company Ltd. The cooperative societies was to be decided HIS covers not only the weaver but his on the basis of statutory audit report upto wife and two children also. The ancillary 2011-12 instead of 2009-10. However, handlooms workers like those engaged the waiver amount of overdue loan and in warping, winding, dyeing, printing, recapitalization assistance was as on finishing, sizing, Jhala making, jacquard 31.3.2010. The period of implementation cutting etc. are also eligible to be covered of RRR package was further extended for under the scheme. The scheme covers two months beyond 31.12.2013 i.e. upto all pre-existing diseases as well as new 28.2.2014. As a result, 14 apex , 5615 diseases and a substantial provision has PWCs and 2536 individual weavers have been kept for outdoor patients (OPD). been covered additionally. The annual limit per family is Rs.15,000/- out of which OPD cover will be Rs.7500/-. In all, 39 Apex, 9788 PWCs, 52939 1749452 weavers (1223239 General and individual weavers & 5462 SHGs have been 526213 NER) have been enrolled for the covered & loan waiver & recapitalization period 1.04.2013 to 31.03.2014. assistance has been approved Rs.1096.74 crore till 28.2.2014. In 12th plan, the Government has approved implementation of HIS on the An amount of Rs. 291.03 crore was pattern of Rashtriya Swasthya Bima released to NABARD during the FY Yojana (RSBY) pattern with an added 2012-13 & Rs.250 crore during 2013- facility of OP treatment which has been 14 respectively for implementing RRR added to the RSBY for handloom weavers package. Total Rs 741 crore has been by Ministry of Labour & Employment released to NABARD under the RRR (MoLE). However, Mahatma Gandhi package. Bunkar Bima Yojana (MGBBY) would 3. HANDLOOM WEAVERS continue to be implemented directly by the office of Development Commissioner COMPREHENSIVE WELFARE for Handlooms. At present, the HIS SCHEME provides coverage of Rs.15000/- per Since 2005-06 and 2006-07 the annum (out of which Rs.7500/- is for Government of India was implementing OPD) for a family of four members, while two separate schemes namely the ‘Health in RSBY the total coverage per family

122 Annual Report 2013-14 would be of Rs.37500/- (Rs.7500/- and the eligible handloom weavers at Mill Gate Rs.30000/- for OP & IP treatment resp.) Price. National Handloom Development for a family of five members. The scheme Corporation (NHDC), a Government of would be implemented incorporating OP India undertaking, is the implementing treatment facility, by MoLE for Ministry of agency of the scheme. Under the scheme, Textile except in Andhra Pradesh & Tamil the Government of India reimburses the Nadu, as RSBY is currently not being transportation expenses involved in the implemented in these states by MoLE. supply of yarn. There is also a provision for Therefore, for Andhra Pradesh and Tamil supply of yarn through yarn depots. 788 Nadu, the scheme will be implemented yarn depots are functioning throughout by the office of D.C. for Handlooms on the country at present. Under Mill Gate the lines of RSBY. The modified HIS is Price scheme, the yarn is supplied to the proposed to be merged with RSBY of following eligible agencies:- MoLE after a period of two years i.e. after 2014-15. a) All handloom organizations of National /State/Regional/Primary (ii) Mahatma Gandhi Bunkar Handloom level. Bima Yojana(MGBBY): The scheme is b) Handloom Development Centers. implemented through LIC of India. The scheme aims to provide insurance cover c) Handloom producers/ exporters/ to the handloom weavers in the case manufacturers registered with HEPC/ of natural as well as accidental death. any other export promotion council During 2013-14, 574818 weavers (471026 under Ministry of Textiles/Director of General & 103792 in NER) have been Industries/Handlooms of State/U.T. covered under MGBBY. The provision are d) All approved export houses/trading as mentioned in Table 10.4 houses/star trading houses for Table 10.4 production of handloom items. Benefits e) The Consortium/producers Company formed in the handloom clusters Natural Death Rs.60,000/- sanctioned under IHDS/IHCDS.

Accidental Death Rs.1,50,000/- f) Members of recognized/approved handloom associations. Total Disability Rs.1,50,000/- g) NGOs fulfilling CAPART norms. Partial Disability Rs.75,000/- h) Self Help Groups/ Joint liability A Scholarship of Rs.300/- per quarter per Groups. child is available to students studying in i) Individual weavers and Weavers standard IX to XII. The benefit is restricted entrepreneurs. to two children of the member covered. j) Any other agency approved by 4. MILL GATE PRICE SCHEME (MGPS)/ the Office of the Development YARN SUPPLY SCHEME (YSS) Commissioner (Handlooms), Ministry of Textiles, Government of India. The Mill Gate Price Scheme (MGPS) was introduced during 1992-93 with the Under the Mill Gate Price Scheme, objective of providing all types of yarn to following assistance is provided by the

123 Ministry of Textiles

Government of India as given below: 3. For domestic silk, the quantity restriction will continue to be 4 kg per (i) Freight reimbursement for loom/month transportation of yarn. Along with hank yarn and domestic silk, (ii) Expenses of operating the yarn 10% subsidy will also be applicable to depots. wool for individual weavers and weaver’s (iii) Service Charges to NHDC, the cooperative societies only with the implementing agency. following quantity limitation/maximum limit as given in Table 10.5 Further, to provide the subsidized yarn to handloom weavers in order to compete Table 10.5 with powerloom and mill sector, 10% price subsidy on hank yarn is also extended Woollen yarn (below 10s 50 kgs. per under Mill Gate Price Scheme w.e.f. NM) loom/month. 6.1.2012. Woollen yarn (10s to 10 kgs. per 39.99s NM) loom/month. Mill Gate Price Scheme has been approved by CCEA with its new title Yarn Woollen yarn (40s NM 4 kgs. per Supply Scheme for its implementation and above) loom/month. during the remaining period of 12th five year plan. Main features incorporated • Yarn supplies made under 10% Yarn in the new scheme with other already Subsidy Component during 2013-14 available benefits are as follows: are given in Table 10.6.

(i) NHDC will open 10 yarn depots- Table 10.6 cum-warehouses in 12th plan so as i) Qty. (in lakh kg) 222.789 to ensure timely supplies to the users on cash basis, besides taking care of • individual weavers who need yarn in Yarn supply during XII Plan are small quantity. indicated in Table 10.7.

(ii) The service charges to NHDC have Table10.7 been enhanced to 2% as against Year Quantity Value (Rs. 1.5% in plain region, 1.5% against 1% (lakh kg) In crores) in hills and 1.25% against 0.75% in NER and further the depot operating 2012-13 1070.78 1318.56 charges to agencies/corporation has 2013-14 1225.00 1750.00 been reduced from 2.5 to 2%.

(iii) Presently 10% subsidy is applicable 5. MEGA HANDLOOM CLUSTER: only on cotton and Domestic silk yarn. The Comprehensive Handloom Cluster It has now been extended on woollen Development Scheme (CHCDS) was yarn also with quantity limitation. introduced in 2008-09 for development Under the new scheme the restriction of 2 Mega Clusters i.e. Varanasi (Uttar for cotton yarn will be as follows : Pradesh) & Sivasagar (Assam) for their 1. up to and including 40s – 30 kg per integrated and holistic development. loom/month Under the scheme, each cluster will cover atleast 25,000 handlooms and will 2. above 40s – 10 kg per loom/month. be developed at an upper GoI share of

124 Annual Report 2013-14

Rs.70.00 crore in a period of 5 years. funded by Government of India, while the The scheme will be implemented as a components like technology up-gradation, Central Sector Scheme. During the year design studio, including the computer 2009-10, two additional mega handloom aided design system, marketing complex, clusters i.e. Virudhanagar (Tamil Nadu) value addition (setting up of garment and Murshidabad (West Bengal) were unit), dye house, common infrastructure, announced in the Budget. Further, in publicity etc., are funded by the GOI to the budget 2012-13, two more mega the extent of 80%.For implementation of handloom clusters were announced, these mega handloom clusters, Cluster one at Prakasam & Guntur districts in Management and Technical agencies Andhra Pradesh and other at Godda & (CMTAs) have already been appointed. neighbouring districts in Jharkhand. In addition, project proposals of Special Under the cluster programme, components Purpose Vehicles (SPVs) have also been like conducting diagnostic study, engaging taken up in respect of Varanasi, Sivasagar, designer, product development, corpus Murshidabad and Virudhunagar Mega for raw material, worksheds (for BPL Handloom Clusters. Cluster-wise funds weavers), skill up-gradation etc. are fully released so far are given in Table 10.8.

Table 10.8 (Rs. in lakh) Name of the Cluster 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Varanasi 7.87 970.51 274.34 360.72 34.37 980.87 (Uttar Pradesh) Sivasagar (Assam) 156.97 383.12 - 0 246.12 Murshidabad (West 11.58 23.16 266.26 101.05 281.97 Bengal) Virudhunagar (Tamil 605.79 911.37 88.17 1199.46 Nadu) Prakasam & Gun- 5.00 7.18 tur Districts (Andhra Pradesh) Godda & neighbouring 5.00 8.76 districts (Jharkhand) Total 7.87 1139.06 1286.41 1538.35 233.59 2724.36

CHCDS has been approved for its 6. SPECIAL PROJECT FOR implementation in the XII Plan with DEVELOPMENT OF TRIPURA an outlay of Rs.160.00 crore. As per HANDLOOMS. the revised guidelines of the scheme, There are more than one lakh handlooms minimum number of handlooms required in Tripura, of which about 25% are for a mega cluster is 15,000 & upper limit commercial and rest are non-commercial of GoI share is Rs.40.00 crore. This will or domestic belonging to ethnic tribes/ be effective on prospective basis. Bengali/Manipuri weavers.

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Presently, due to irregular supply of 7. IMPLEMENTATION OF HANDLOOMS raw material, lack of innovative designs (RESERVATION OF ARTICLES FOR and products, outdated technology in PRODUCTION) Act, 1985. production process and poor marketing The Handlooms (Reservation of linkages, the handloom sector in the Articles for Production) Act, 1985 aims State is passing through hard times and at protecting handloom weavers and many skilled weavers mainly located rich cultural heritage of India from the in and around cities and towns have encroachment on their livelihood by switched over to other professions. The powerlooms and mill sector. As per the proposed special project for development latest amendment vide No. S.O. 2160 of Tripura handlooms is likely to benefit dated 3.9.2008, eleven categories of textile articles with technical specifications 960 handloom weavers and ancillary are reserved under the Act. The physical workers because it proposes an overall progress of powerloom inspection under development of the dispersed units the Handloom Reservation Act, 1985, spread across the remote interiors of as on 31.03.2014 is given in Table 10.9. the hilly terrain The central assistance released to set up enforcement machinery in the States is given in Table 10.10.

Table 10.9 Physical Progress of Handloom Reservation Act, 1985

Sl. Physical progress 2009-10 2010-11 2011-12 2012-13 2013-14 No. tentative 1. Targets for powerloom inspection 229040 252103 259000 272013 290420 2. No of powerlooms inspected 197210 264375 278276 276011 210113 3. No. of FIRs lodged 12 11 29 97 113 4. Convictions 14 9 10 39 37

Table 10.10 Central Assistance Released to States Sl. Name of the State Year wise amount released No. 2009-10 2010-11 2011-12 2012-13 2013-14 Tentative 1. Andhra Pradesh 96.27 35.32 69.62 63.08 69.61 2. West Bengal 7.88 27.98 17.14 19.78 15.57 3. Gujarat 57.82 23.83 35.07 27.99 30.92 4. Rajasthan 26.06 13.03 13.03 13.03 - 5. Madhya Pradesh 13.09 8.24 11.16 16.15 - 6. Haryana 16.10 13.78 11.45 - 16.89 7. Tamil Nadu 132.78 142.33 167.92 116.2 93.8 8. Uttar Pradesh - 28.98 - - 87.23 9. Kerala - 56.51 24.61 14.29 14.06 Total Exp. 350.00 350.00 350.00 270.52 328.08

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Association of Corporations Cooperative Society registered under the and Apex Societies (ACASH) Multi-State Cooperative Societies ( MSCS) Act and comes under the jurisdiction The Association of Corporations and of the Central Registrar of Cooperative Apex Societies of Handlooms (ACASH) is Societies, New Delhi. The main activities a national level apex organization of the of the All India Society are to procure national level, state level and inter-state handloom products from the members level handloom development corporations apex/primary cooperative societies and and apex handloom cooperative societies. marketing both within the country and ACASH was registered in June 1984 as a abroad. Towards these objectives, the All society under the Societies RegistrationAct, India Society has set up 23 retail outlets 1860 to coordinate and promote marketing known as Handloom Houses positioned in the handloom sector. Government of in different parts in India. The society has India has appointed ACASH as a nodal its export houses at NOIDA, Karur and agency for supply of handloom goods Chennai. The All India Society has also to be purchased by Central Government showroom at Mauritius for marketing of Departments/Agencies /PSUs under Indian handloom goods. single tender system. The national and state level handloom corporations and The membership of All India Society shall apex societies, whose names were consist of registered apex handloom notified by the office of the Development weavers co-operative societies having Commissioner for Handlooms, Ministry at least 50 (fifty) primary handloom of Textiles for production and supply of weavers cooperative societies as ‘A’ handloom goods through ACASH, are class members, registered primary/ members of ACASH. ACASH is also district level handloom weavers’ co- involved in helping the promotion and operative societies as ‘B’ class members marketing of handloom items. During the and Ç’ class members consisting of current financial year 2013-14, ACASH (a) state governments; (b) government has executed orders worth Rs. 6.59 crores owned/controlled corporations engaged under Single Tender System. in production and sale of handloom products; and (c) such class or classes One of the activities of ACASH is also of persons or association of persons to facilitate the direct marketing of as may be permitted by the Central the handloom products by organizing Registrar under the provisions of MSCS handloom exhibitions in various parts of Act. During the year under review, the the country. During the financial year 2013- society had a total of 1103 members 14, ACASH has organised 21 exhibitions comprising 23 (‘A’ class), 1047 (‘B’ wherein the sales of handloom products class) and 33 (‘C’ Class) members. The valuing approx. Rs 21.32 crores were society had a paid-up share capital of generated. Rs.7,64,07,000/- consisting of 141246 shares as on 31st March, 2013. All India Handloom Fabrics Marketing Cooperative As per the bye-laws, the ultimate authority Society Ltd. (AIHFMCS): in all the matters relating to affairs of the society is the General Body of the The All India Handloom Fabrics Marketing members, who shall meet from time to time Cooperative Society Ltd. (to be read as All and at least once in a year to conduct the India Society) is a National level Handloom business of the All India Society. Under the

127 Ministry of Textiles

proviso of the bye-laws of the Society, the accessories, items of everyday life, wood Board consists of 22 (twenty two) Directors, carvings, painted wood and paper mache, including one nominee of Government dolls, toys, puppets, masks, folk and tribal of India and Secretary, who is the Chief paintings and sculptures, terracotta, folk Executive of the Society, is the ex-officio and tribal jewellery and an entire section member of the Board of Directors. of traditional Indian textiles. They are exhibited in the folk and tribal art gallery, During the year 2012-13, the society’s temple gallery, court craft gallery and sales turn-over was Rs. 35.99 crores textile gallery and the rest are kept in the as against Rs. 45.16 crore during the museum collection store. previous year. The domestic sales during the year 2013-14 amounted to Rs. Crafts Demonstration Programme : 3032.61 lakh. The society’s exports during The museum attempts to support the year 2012-13 were of the order of traditional handicrafts and handlooms Rs. 566.37 lakh as against the figure through its regular craft demonstration of Rs. 570.80 lakh in the previous year. programme (CDP) organized through the The society reportedly has recorded a year. Craftsmen are invited for the crafts net profit of Rs. 62.23 lakh during the demonstration programme to demonstrate year 2013-14 and the society has been their skills and to sell their products. 292 working in profit consecutively for the craftsmen from various States participated last 53 years. for the CDP and 16 performers also NATIONAL HANDICRAFTS & participated during 2013-14. HANDLOOMS MUSEUM (NHHM): Research and Documentation: The National Handicrafts and Handlooms The research and documentation work Museum also known as Crafts Museum is consists of two activities i.e. field research located at Pragati Maidan, New Delhi. It is and documentation of craftspersons. a subordinate office of the Development Commissioner for Handlooms, Ministry The research and documentation of Textiles. Its main objectives are: to of traditional Indian handicrafts and increase public awareness about India’s handlooms is an important activity of ancient traditions of handicrafts and the Crafts Museum. Under this scheme, handlooms, provide an interactive forum the museum provides funds to scholars for craftspersons, designers, exporters, to undertake fieldwork to document the scholars and the public, help craftspersons traditions of handicrafts and handlooms, find a platform for marketing without including folk and tribal arts. middlemen and serve as a resource The documentation of 292 craftspersons, centre for Indian handicraft and handloom who have participated in the crafts traditions. collection, conservation and demonstration programme of the museum, preservation of craft specimens and the was completed during 2013-14. revival, reproduction and development of Village Complex : art and craft are the activities of the Crafts Museum. The Museum’s village complex is a reminiscence of rural India with typical Museum Collection: village structures from various parts of The Museum has a collection of over country. Set up in 1972 as the Rural India 32,000 artifacts consisting of metal Complex, it comprises huts and dwellings, icons, lamp and incense burners, ritual walls and courtyards, characteristic of

128 Annual Report 2013-14 various regions of the country, built in display objects, preventive conservation, facsimile and decorated with traditional were carried out in the village complex, folk art forms of the area. The complex store, galleries, museum courtyard and includes: library, 362 miscellaneous objects have been chemically treated. 59 textiles of Kulu Hut (Himachal Pradesh); Mehar different kinds have been conserved Hut (Saurashtra, Gujarat); Gadba Hut for display in the textile museum in (Odisha); Banni Hut (Gujarat); Madhubani Cambodia. Courtyard (Bihar); Adi Hut (Arunachal Pradesh); Nicobar Hut (Andaman & Exhibition and Workshops: Nicobar Islands); Courtyard (Jammu & Kashmir); Rabha Hut (Assam); Naga Hut 1. Creativity workshop in conjunction (North Nagaland); Toda Hut (Tamil Nadu); with the exhibition, ‘Masks’, Other st Gond Hut (Madhya Pradesh); Shrine Worlds’ was organized from 1 April th of Devanarayan (Rajasthan); Bengal to 30 April 2013. Courtyard (West Bengal). 2. Jewellery design workshop was organized from 7 April to 22 April Four open-air theatres have also been 2013. Ms Esther Brinkmann, was developed in the complex, namely: invited to plan, guide and conduct the workshop. Visiting craftspersons • Kadambari theatre working on jewellery and in different • Saranga amphitheatre media, as well as teachers and • Angan manch students of jewellery design institutes • Pilkhan manch in Delhi participated in the workshop. 3. Integrated design development Library: workshop on metal crafts was The museum has a specialized reference organized by Central Cottage Industries library with more than 20,000 reference Corporation on 26-09-2013. books and other periodicals on traditional 4. Shilpa Kuteer, the newly refurbished Indian arts, crafts, textiles and major dormitory for visiting craftspersons anthropological works on Indian tribes etc. was made functional on 29.05.2013. Research scholars and students from 5. The newly furbished Lota Shop and various institutions regularly visit the Café Lota have been opened to museum. public. 6. Crafts Museum celebrated 2013- Conservation and Preservation: 14 as ‘Year of Indian Textiles’ The main function of the conservation and in which a special exhibition on preservation section is preventive and Traditional Kantha Embroidery from curative care of different types of materials/ Murshidabad, West Bengal. objects. This work is carried out round the year. HANDLOOM EXPORT PROMOTION COUNCIL (HEPC) The Museum has chemically treated 955 objects, lining and darning of Handloom Export Promotion Council 252 textiles. Besides these activities (HEPC) is a nodal agency set up by insecticide spray, cleaning and chemical Ministry of Textiles, Government of India treatment fumigation, covering of open to promote exports of all handloom

129 Ministry of Textiles

products like fabrics, home furnishings, 4. Providing impetus to modernization carpets and floor coverings, etc. HEPC of handlooms for the export market. was set up in the year of 1965 with 96 5. Provision of design inputs to promote members and its present membership is exports of handloom products. around 1300 spread all over the country. HEPC has its head office at Chennai and 6. Organizing business mission/buyer regional office at New Delhi. seller meet and participation in trade fairs abroad. The primary objective of HEPC is 7. Consultancy and guidance services to provide all support and guidance to Indian handloom exporters and for handloom exporters. international buyers for trade promotion 8. Liaison with the Government of India and international marketing. on all procedural and policy matters relevant to the handloom export The major handloom clusters of exports trade. are Karur & Madurai in Tamilnadu, Kannur in Kerala and Panipat in Haryana. 9. Dealing with trade complaints While the exportable handloom products pertaining to handloom exports. like tablemats, placemats, embroidered 10. Liaison with import promotion and textile materials, curtains, floor mats, commercial agencies abroad for the kitchenwares etc are produced in Karur, benefit of handloom exporters. Madurai & Kannur, Panipat is famous for durries and other heavy varieties where Export Targets and Achievements: handspun yarn are increasingly used. (In Rs. In Crores) Besides this, other centres like Kekra, Achievement % Varasani, Bhagalpur, Shantipur, Jaipur, growth Year Target In Rs. In Ahmedabad, Warrangal, Chirala, Crores US $ Poochampally, and Sampalpur also (mn) contribute significantly to the handloom 2009-10 NA 1252.79 278 - exports. Chennai, Delhi, Mumbai and Kolkata are having large number of 2010-11 1350.00 (US 1574.96 350 116.59 $ 300 mn.) merchant exporters who source their products from these centres. 2011-12 2250.00 (US 2623.98 535 116.62 $ 500 mn.) Objectives of HEPC: 2012-13 2200,00 (US 2811.97 520 127.82 $ 400 mn.) The following are the objectives of the Council; For the year 2013-14, Govt. of India has fixed a target of US $ 602 million for 1. Dissemination of trade information handloom exports. and intelligence to the member exporters. 1. Export Promotion Activities of HEPC 2. Publicity abroad for Indian handloom during the year 2013-14 are: products. (i) HEPC has participated in 14 3. Facilitating product diversification and International fairs held abroad during adaptation to meet modern market 2013-14. requirements. (ii) Encouraged by the success of the first

130 Annual Report 2013-14 three editions of India International member exporters participated in Handwoven Fair (IIHF), HEPC this fair to showcase their handloom organized the fourth edition of the fair products. at Chennai Trade Centre, Chennai (iii) In order to sensitise the handloom th th from 12 to 14 March, 2014 This Industry about the intricacies involved fair was organized under the MAI in export trade HEPC has been Scheme of Ministry of Commerce organizing awareness seminars and Industry with the component of across the country periodically. reverse buyer seller meet by inviting During 2013-14, HEPC has organized 150 foreign buyers. Nearly 200 6 Seminars.

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Annual Report 2013-14

CHAPTER XI HANDICRAFTS

133

Annual Report 2013-14 CHAPTER XI HANDICRAFTS The Handicrafts Sector plays a The Handicraft sector has, however, significant & important role in the suffered due to its being unorganized, country’s economy. It provides with the additional constraints of lack of employment to a vast segment of craft education, low capital, poor exposure to persons in rural & semi urban areas and new technologies, absence of market generates substantial foreign exchange intelligence, and a poor institutional for the country, while preserving its framework. cultural heritage. Handicrafts have great potential, as they hold the key for The sector is estimated to employ Rs 68.86 sustaining not only the existing set of lakh artisans at present and the export millions of artisans spread over length of handicrafts including handmade carpet and breadth of the country, but also for upto March, 2014 has been Rs. 31909.24 crores which shows an increase of 33.80 the increasingly large number of new % over the same period in financial year entrants in the crafts activity. Presently, 2012-13, and the plan allocation during handicrafts contribute substantially to 2013-14 is Rs. 191.00 crores. employment generation and exports.

Brand Image Promotion Programme at Santiago, Chile 12 November 2013

SCHEMES ON HANDICRAFTS seven Central Sector Schemes for holistic DEVELOPMENT growth and development of handicrafts sector in the country. Brief highlights of During the period 1.1.2013 to 31.3.2014, the schemes are as under: the Government of India implemented

135 Ministry of Textiles

1. BABA SAHEB AMBEDKAR iii. Setting up of Handicrafts emporia HASTSHILP VIKAS YOJANA in own/rented/outright purchase of building and renovation This scheme aims to promote Indian handicrafts by developing artisans’ iv. Market assessment, product clusters into professionally managed assessment study and Study cum and self-reliant community enterprise exposure tours for artisans and other on the principles of effective member stake holders tour participation and mutual cooperation. The thrust of the scheme is on a project v. Establishment of warehousing cum based, need based integrated approach Common work shed for sustainable development of handicrafts through participation of craftspersons. vi. Entrepreneurship Development The components of the scheme are as Programme. under: D. Financial interventions A. Social interventions i. Margin Money support i. Diagnostic Survey and formulation of ii. Wage compensation to cluster Project Plan manager ii. Community empowerment for mobilization of artisans into Self Help iii. Service charges for Implementing Groups Agencies iii. Issuance of Identity cards to the iv. Engagement of experts/ consultants/ artisans(Departmental activity) institutions, etc., for providing need based assistance including guiding B. Technological interventions and monitoring.

i. Development and supply of improved v. Credit Guarantee (Departmental modern tools activity) ii. Design and Technical Development Workshops E. Cluster specific infrastructure iii. Integrated Design and Technical related interventions. Development workshops. i. Establishment of Resource Centre iv. Training of artisans for major crafts v. Organizing Seminars & ii. Establishment of E-kiosks Symposiums. iii. Creation of Raw Material Banks vi. Technological status and need based iv. Setting up of Common Facility study and research provision. Centre. C. Marketing interventions v. Technological assistance by setting up of Facility Centres by Exporters/ i. Organizing Exhibitions Entrepreneurs, etc. ii. Publicity through printing and electronic mode and brand building Under Baba Saheb Ambedkar Hastshilp campaign Vikas Yojana Scheme, an amount of

136 Annual Report 2013-14

Rs. 7.11 Crore has been sanctioned for activities viz Design Workshops/projects/ 117 clusters during the period 1.1.2013 Assistance to Shilp persons etc. to 31.3.2014 for ongoing projects and reimbursement cases. 3. MARKETING SUPPORT AND SERVICES SCHEMES 2. DESIGN & TECHNICAL UP- The scheme has following three broad GRADATION components: The scheme aims to upgrade artisan’s skills through development of innovative i) Domestic Marketing designs and prototype products for • Marketing Events covering Crafts overseas market, revival of languishing Bazaar/Gandhi Shilp Bazar ; crafts and preservation of heritage etc. The Exhibitions ;Sourcing Shows & Travel scheme has the following components: & transportation assistance.

I. Skill up-gradation. • Marketing Infrastructure covering ;Urban Haat ;Emporia ;Marketing a) Departmental activities of Regional Hub in Metros ;Sourcing Hub in major Design & Tec. Dev. Centres. clusters & Ware-housing facilities b) Assistance for training the trainers. • Marketing Services covering c) Assistance to Shilp Gurus.(heritage Workshops/Seminars & Marketing masters) Studies within the country.

II. Assistance for Design and ii) International Marketing Technology Upgradation. • Marketing Events covering Cultural a) Design & Technology Development Exchange Programmes; Fairs & Workshop. Exhibitions ; Thematic Shows; Reverse Buyer Seller Meet & b) Integrated Design and Technology Participation of Entrepreneurs/ SHGs Development Project. Federations/National Awardees.

III. Documentation Preservation and • Social and Welfare Measures covering revival of rare and Languishing Initiatives to counter problems arising crafts. out of National/International laws,

IV. National Award for outstanding iii) Publicity contribution in Handicrafts Sector. • Publicity through print and electronic V. Financial Assistance to Central media. Govt. sponsored Institutions. • Publicity through maps, folders, brochures catalogues and pamphlets, VI. Product Development programme etc. for exporters. • Publicity through Website, CD ROMs Under Design & Technical Upgardation etc. Scheme an amount of Rs. 35.02 crore has been sanctioned during the period • To create Brand image for Indian 1.1.2013 to 31.3.2014 for the 330 different Handicrafts.

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Under Plan scheme of Marketing & of Handicrafts in order to generate Support Services Scheme an amount useful inputs to aid policy planning and of Rs. 33.59 crore has been sanctioned fine tune the ongoing initiatives; and during the period 1.1.2013 to 31.3.2014 to have independent evaluation of the for 475 Marketing activities like Gandhi schemes implemented by this office. The scheme has been continued for Shilp Bazaar, Craft Bazaars, Exhibitions, implementation during the Twelveth five sourcing shows including activities year plan. Following activities are being undertaken under International marketing undertaken. component, hiring of Stalls by various regions, participation in International 1. Survey & Studies on different events and various advertisement. topics : i. Survey/Studies of specific crafts 4. HUMAN RESOURCE for which adequate information DEVELOPMENT SCHEME is not available. The Human Resource Development ii. Problem relating to availability of Scheme has been formulated to provide raw material, technology, design, qualified and trained workforce for common facilities, etc. establishing a strong production base coupled with improvement in quality and iii. Living and working conditions use of appropriate techniques, processes of artisans in specific areas of and innovative design to meet present crafts. day market requirement. iv. Market evaluation studies of (i) Training Through Established specific crafts for either domestic Institutions. or overseas markets.

(ii) Training in Innovative Designs for the v. Techno-economic feasibility persons involved in Pattern making/ studies and post evaluation of Talim writing/Plaster/Rubber Moulds/ the various promotional projects Block making etc. programmes under taken in the handicrafts sector. (iii) Training of Artisans/SHG leaders/ NGO in capacity building. vi. Areas requiring special study for uplift of the weaker sections Under Plan scheme of Human Resource viz. scheduled Castes and Development Scheme an amount of Rs. Scheduled Tribes. 12.00 Crore have been sanctioned during the period 1.1.2013 to 31.3.2014 for 414 2. Financial Assistance for preparation ongoing projects and reimbursement of legal, para legal, standards, audits cases. and other documentation leading to labeling/certification. 5. RESEARCH & DEVELOPMENT 3. Financial assistance to organization SCHEME for evolving, developing a mechanism Research and Development scheme was for protecting crafts including introduced to conduct surveys and studies languishing crafts, design, heritage, of important crafts and make in-depth historical knowledge base, research analysis of specific aspects and problems and implementation of the same

138 Annual Report 2013-14

enabling the sector/segment to face of healthcare facilities in the country. This challenges. scheme covers not only the artisans but also any four members out of spouse, 4. Conducting Census of handicraft dependent parents and children. artisans of the country.

5. Registration of Crafts under B. Bima Yojana for Handicrafts Geographical Indication Act & Artisans. necessary follow up implementation. The objective of “Bima Yojana For 6. Assisting handicrafts exporters in Handicrafts Artisans” is to provide life adoption of GSI global standards and insurance protection to the Handicrafts for bar coding, including handicrafts Artisans, whether male or female, between mark for generic products. the age group of 18-60 years.

7. Financial Assistance for taking up Under Plan scheme of Handicrafts problems/issues relating to brand Artisans Comprehensive Welfare Scheme building and promotion of Indian an amount of Rs. 26.41 crore has been handicrafts. sanctioned during the period 1.1.2013 to 31.3.2014 for coverage of 1.86 lakhs 8. Conducting of workshops/seminars Handicrafts artisans (including NER) on issues of specific nature relating under Bima yojana and no coverage to handicrafts sector. could be undertaken under Rajiv Gandhi Shilpi Swasthya Bima Yojana due to non Under Research & Development Scheme approval of the Scheme in time. an amount of Rs. 7.35 crore has been sanctioned from 1.1.2013 to 31.3.2014 7. INFRASTRUCTURE AND for 150 ongoing studies/workshops TECHNOLOGY DEVELOPMENT and reimbursement cases like studies, SCHEME (NEW SCHEME) Seminar-cum-workshops & number of registration under GIA/Logo Mark under The scheme aims at the development of IPR ACT. Census of Handicrafts Artisans world class infrastructure in the country in the whole country is under operation. to support handicraft production, and enhance the product quality and cost to 6. HANDICRAFTS ARTISANS enable it to compete in the world market. COMPREHENSIVE WELFARE SCHEME. The objectives of the scheme are as follows: The scheme has been included in the 1. To develop infrastructure in an 12th Five Year Plan as one of the major equitable manner to support schemes with the following two main handicraft industry in the country components, aimed at Insurance Cover and Health Care of Handicrafts Artisan 2. To ensure availability required and his family: technology, product diversification, design development, raw material A. Rajiv Gandhi Shilpi Swasthya Bima banks, and marketing & promotion Yojana. facilities in nearest vicinity possible Rajiv Gandhi Shilpi Swasthya Bima 3. To enhance the competitiveness of Yojana aims at financially enabling the the products in terms of increased artisans community to access to the best market share and ensuring increased

139 Ministry of Textiles

productivity by higher unit value 12. Integrated Handicraft park realization of the products 13. Craft and design schools 4. To improve the resource pool of 14. Craft Village skilled persons in the country by developing high class institutes that 15. Restructuring of DC (H)field provide certified courses and degrees formations including Regional Design in Handicraft field – enhancing skill and Technical Dev. Centres and any development in the country other infrastructure to be created departmentally Scheme components: The scheme will comprise of following components. 16. Looms for J&K artisans 1. Establishment of craft based resource Under the scheme an amount of Rs. 9.79 centre crore has been sanctioned during the period 1.1.2013 to 31.3.2014 for construction 2. Urban Haat of International craft Complex, Vasant 3. Setting up of Raw Material Bank Kunj, New Delhi, construction of Regional 4. Setting up of Common Facility Design & Technical Development Centre, Centre Okhla, Construction of Crafts Museum and M&SEC, Jaipur, Urban haat, at Eluru 5. Handicraft Museum (A.P.) 6. Setting up of Design Bank. EXPORT OF HANDICRAFTS 7. Emporia A target of Rs. 28930.40 crores (Handicraft 8. Setting up of marketing hubs in Urban – 22283.60 + 6646.80 Carpet) has been areas fixed for export of handicrafts during the 9. Setting up of testing laboratories year i.e. 2013-14. 10. Mini Urban Haat Details of export of both Handicrafts & 11. Technological Upgradation Carpet are given in Table 11.1. Assistance to exporters/ entrepreneurs. Table No. 11.1 (Rs. in crores)

Item 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 A. Carpet & other floor 2708.73 2505.33 2992.70 3876.02 5841.37 7071.76 covering B. Other Handicrafts 8183.12 8718.94 10533.96 12975.25 17970.12 24837.48

Grand Total (A+B) 10891.85 11224.27 13526.66 16851.27 23811.49 31909.24

8. Other Organisation Under A. NATIONAL CENTRE FOR DESIGN Development Commissioner & PRODUCT DEVELOPMENT (Handicrafts) (NCDPD) National Centre for Design & Product Development (NCDPD) has been set up

140 Annual Report 2013-14 with an objective to fill up the gap in the and handloom products (including hand areas of Design and Product Development. knotted woolen carpets and ready- made The other objectives of the centre are garments) besides undertaking export of to build and create design oriented gold and silver jewellery / articles. The excellence in the handicraft sector and Corporation was nominated in the year withstand global competitiveness. 1997-98 for import of bullion and sale in the domestic market. An independent society has been set up and the members of the Managing The Corporation has ended the year with Committee include eminent handicraft a Net Profit after tax of Rs. 2.49 crore as exporters and policy makers. Development against Net Profit after tax Rs 2.16 crore Commissioner (Handicrafts) is ex- officio last year. The increase is due to increase Chairman of NCDPD. Besides providing in turnover in core group exports and design & product development services, retail sales compensating the downfall in the activities of NCDPD have also been Bullion diversified into different areas such as Skill/Capacity Development, creating 9. Setting up of Hastkala Infrastructure support at clusters such as Academy setting up of Common Facility Services, Raw Material Banks, Resource Center, In terms of the recommendations of Design Center, Design Bank, Supply Chain Working group on 12th Five Year Plan for Management, Market linkages by setting handicrafts Sector, a Hastkala Academy up Marketing Outlets etc. Presently more is proposed to be set up with the objective than 50 international & national designers to support preservation, revival, and and marketing consultants / experts are documenting of the handloom/handicraft working full time and equal number on crafts under Public Private Partnership part time basis at NCDPD so as to run the affairs of NCDPD on purely commercial (PPP) Mode with the following aims and and business lines. objectives inter alia :  To encourage and promote study, B. THE HANDICRATFS & HANDLOOMS research and awareness of the EXPORTS CORPORATION OF INDIA cultural traditions, histories and LIMITED practices in the fields of traditional The Handicrafts & Handlooms Exports arts, handicrafts & handloom Corporation of India Ltd. is a Government of sector. India Undertaking under the administrative control of Ministry of Textiles. It was  To support preservation, revival, established in the year 1958, as “Indian archiving and documentation of Handicrafts Development Corporation heritage handloom and handicrafts Ltd” with the twin objective of (i) export and traditional arts, which may be promotion and (ii) trade development under threat of exhibition. of handicraft and handloom products.  To encourage the establishment In the Year 1962, it was renamed as of small art and craft museums “The Handicrafts & Handlooms Exports Corporation of India Limited”. The presenting artistic and cultural Corporation presently is a two star export knowledge along-with artifacts in house engaged in exports of handicraft different regions of the country.

141 Ministry of Textiles

 To promote cooperation and persons andtheir associations and collaboration among artists, crafts assist the deelopment of such asociatio.

Smt. Panabaaka Lakshmi, Union Minister of State for Textiles inaugurating the Pavilion. Also in the pics are Mrs. Zohra Chatterji, Secretary (Textiles), , Mr. S.S. Gupta, Development Commissioner (Handicrafts).

142 CHAPTER XII PUBLIC SECTOR UNDERTAKINGS

Annual Report 2013-14 CHAPTER XII PUBLIC SECTOR UNDERTAKINGS

NATIONAL TEXTILE CORPORATION original Sanctioned Scheme (SS-02) of LTD. (NTC) 2002-03 was to be implemented at a total cost of Rs.3937 crores with a component National Textile Corporation Ltd. (NTC), a of Rs.736 crores allocated towards Central Public Sector Undertaking under modernization of 53 mills. This scheme the Ministry of Textiles, was established was modified twice – first in the year 2006 in the year 1968. The Company was (MS-06) at a revised total cost of Rs.5267 established primarily to manage the crores which included a component of affairs of the sick textile undertakings Rs.530 crores for modernization of 22 taken over by the Govt. of India in three mills and for the second time in the year Nationalization Acts in the years 1974; 2008 (MS-08) at a revised total cost of 1986; and 1995. On account of obsolete Rs.9102 crores with a component of technology; excess manpower; poor Rs.1155 crores towards modernization productivity, etc. 8 of its 9 subsidiaries of 22 mills with a extended capacity were referred to BIFR in the year 1992-93. including setting up of 4 new mills. This The BIFR approved Revival Schemes for scheme was extended up to 31.03.2012 all the 9 subsidiaries – 8 of them in the by BIFR. As per directions of BIFR, NTC year 2002-03 and 9th in the year 2005. is in the process of formulation of a The Company has been implementing modified revival scheme. the Revival Scheme since then. The

The Model store of NTC “Brand India” at Crafts Museum which was inaugurated on 20.02.2014.

Under the Scheme, the mill which have were to be closed. NTC has so far closed been found as viable, after a Techno- 78 mills. As on 1st October, 2013, 63284 Economic Viability Study, were proposed employees have gone under MVRS from for revival and those mills found unviable April, 2002 onwards and it has paid Rs.

145 Ministry of Textiles

2351.07 crores by way of compensation budgetary support from its inception, there to these employees. NTC has reduced is no budgetary support for its wages from the manpower from 90,000 to about the year 2009-10 onwards. 8152 employees. It has also closed The Company has a Board of Directors 193 unviable showrooms of the Retail with 9 members; 4 of whom are whole Marketing Division. time Directors; 1 Special Director from The Company has modernization of 21 BIFR; 2 Independent Directors besides units fully and 2 units partially. The 24th 2 nominee Directors from the Ministry of unit is slated as a Technical Textile Unit. Textiles, in addition to full time CMD which post fell vacant on 1st ISO 9001-2008 certifications have been June 2013. awarded to 21 textile mills and 1 Regional The first ever e-auction in the history Office of NTC. of Indian CPSU was conducted by the Company during July/August, 2010. NTC will be focusing effectively on branding and retailing of its fabrics 1. CAPITAL STRUCTURE through Retail Marketing Division and increase its volume of institutional sales in Initially NTC Ltd. had an Authorized Capital the coming days. Technical Textiles is an of Rs.10.00 Crores which is now Rs.5000 area where there is a tremendous scope Crores as on 31st March, 2014 with the for the company to improve its turnover paid up capital of Rs.3062.16crores. and profitability. 1. PERFORMANCE DURING 2012-13 & Initially the funds required for payment 2013-14 of MVRS compensation was mobilized by private placement of bonds from the (a) Financial Results market to the extent of Rs. 2028 crores. The Company has already paid on time The net profit (loss for the year 2012- Rs. 2028 crores on redemption of bonds 13 (audited), 01.01.13 to 31.3.14 and Rs. 789 crores as interest and Rs. (Provisional) and 2013-14 (Projected 89 Crores as 1% per annum guarantee upto March, 2014) has been Rs.85.12 commission to MOT on these bonds, in Crs. Rs. (35.45) Crs. and RS. (176.49) addition to paying Rs. 294 crores as one- Crs. respectively and the detail is at the time settlement to banks and financial table annexed herewith. institutions. The entire funds required for (b) Production the implementation of the Revival Scheme is generated through sale of assets of the The production of Yarn & Cloth in closed mills and surplus assets of the NTC mills during 2012-13, 01.01.13 to viable mills. NTC has so far generated 31.03.14(Provisional and expected for Rs. 6584.08 Crores by sale of assets by the year 2013-14 is at table annexed an Asset Sale Committee, constituted by herewith. BIFR/MOT. (c) Turnover The Company has plans to transform itself into an integrated textile company The sales of Yarn and Cloth in with spinning, weaving, processing, NTC mills during 2012-13(audited) garmenting, besides diversifying into 01.01.13 to 31.03.14 (Provisional) and technical textiles. 2013-14 has been Rs.1025.88Crs. While the Company has been receiving RS.1417.27 Crs. and Rs.1122.51Crs.

146 Annual Report 2013-14 respectively. Details are at table from time to time, are being circulated to annexed herewith. all the concerned officials for information and strict compliance. Further, necessary (d) Employment of Women action taken from the identification of At the closing of year 2013-14, in NTC sensitive jobs, at three-tier level, for Group there were 32 women employees periodically carrying out job rotation of the of the rank of Assistant Manager and officials posted on such sensitive posts, above against a total of 356 officers. The from time to time. percentage representation of women The ‘vigilance corner’ of NTC website employees comes to 8.99 %. has regularly being upgraded, providing (e) Vigilance Activities information about vigilance activities. The Vigilance Division of the Corporation The ‘Complaint Management System is playing a crucial role in achieving the (CMS)’ implemented for monitoring of on goals of the organization nu safeguarding line complaints. and protecting the interest of the The complaints received from various Corporation. sources are being looked into and The Vigilance Wing of NTC Limited and processed promptly as per the guidelines its Regional/Sub Offices, situated at issued by the CVC. The regular/surprise various places all over India have created visits are being made by the vigilance awareness amongst the employees of officials in different units /offices of issues relating to combating the menace the Corporation. The Annual Property of corruption. Returns etc. are being scrutinized. As a preventive step, guidelines issued Agreed List and ODI list are being by the Central Vigilance Commission prepared regularly.

FINANCIAL RESULTS (Rs. In Crores) S. Particulars 2012-13 1.1.2013 to Provisional No. (Audited) 31.03.2014 01.04.2013 to 31.03.2014 A. Net Income from Operation before Depre- 80.62 9.73 (10.92) ciation, Interest & Tax) B. Depreciation 92.63 124.49 101.31 C) Interest : a) Interest on Govt. of India Loan 44.76 61.16 50.00 b) Other Interest 5.00 6.73 4.10 E) Cash Profit or (Loss) from Operations for the 121.62 55.96 5.51 year before extra Ordinary

F) Prior period Adjustment 45.81 45.81 - F) Tax : IncomeTax Deferred Tax Assets 1.13 1.13 - G) Extra-Ordinary Items : i) Income from Sale of Assets etc. 22.77 15.36 - ii) Expenditure on MVRS etc. (17.88) (10.15) (10.15)

147 Ministry of Textiles

S. Particulars 2012-13 1.1.2013 to Provisional No. (Audited) 31.03.2014 01.04.2013 to 31.03.2014 iii) Provisions Written Back 1.89 1.89 - iv) Debt/Assets written off (1.30) (1.30) - v) Compensation / Right of Surrender / 2.17 2.17 - Commissioner of Payment vi) Back Wages Liabilities written off 47.05 47.05 - vii) Reversal of Provision of Claim receiv- 47.51 47.51 - able from Central Govt./others H) Net Profit/(Loss) after Extra-Ordinary & Tax 85.12 (35.45) (176.49) items PRODUCTION S.No. Particulars Yarn Lakh Kgs. Cloth Lakh Mtrs. 1. Actual for 2012-13 427.98 127.29 2. 01.01.2013 to 31.03.2014 605.76 181.39 (Provisional) 3. 2013-14 (Provisional) 488.93 146.68

TURN OVER (Rs. In Crores)

S.No. Particulars Yarn Cloth TOTAL 1. Actual for 2012-13 840.85 185.03 1025.88 2. 01.01.2013 to 31.03.2014 1147.26 270.01 1417.27 (Provisional) 3. 2013-14 (Provisional) 942.95 179.56 1122.51

2. HANDICRATFS & HANDLOOMS house engaged in exports of handicraft EXPORTS CORPORATION OF INDIA and handloom products (including hand LIMITED knotted woolen carpets and ready- made garments) besides undertaking export of The Handicrafts & Handlooms Exports gold and silver jewellery / articles. The Corporation of India Ltd. is a Government of Corporation was nominated in the year India Undertaking under the administrative 1997-98 for import of bullion and sale in control of Ministry of Textiles. It was the domestic market. The performance of established in the year 1958, as “Indian the Corporation in 2012-13 in relation to Handicrafts Development Corporation major indicators is given below:- Ltd” with the twin objective of (i) export promotion and (ii) trade development Turnover - 4157.40 Crores of handicraft and handloom products. Profit/ (Loss) after Tax - 2.49 Crores In the Year 1962, it was renamed as “The Handicrafts & Handlooms Exports The Corporation has ended the year with Corporation of India Limited”. The a Net Profit after tax of Rs. 2.49 crores as Corporation is presently is a two star export against Net Profit after tax Rs 2.16 crores

148 Annual Report 2013-14 last year. The increase is due to increase crores), increase due to implementation in turnover in core group exports and of revised pay scales. retail sales compensating the downfall The Operating profits have decreased in Bullion imports, improvement of profit to Rs.2.65 crores during the year as margin in core group, optimum utilization compared to Rs. 8.47 crores in the of the idle assets. previous year, a decrease of Rs.5.82 crores (68.71%) as there is a decrease in CAPITAL turnover in the bullion imports. The Authorized and Paid up Capital of Although, the increased margins earned the Corporation remained unchanged at from increased core group turnover have Rs. 20.00 Crores and Rs. 13.82 Crores compensated the downfall in margins of respectively during the year 2012-2013. Bullion Imports. Thus, resulting in the net The entire Paid up Capital has been profits for the year amounts to Rs. 2.49 subscribed by the Hon’ble President of crores as against net profits of Rs. 2.16 India. crores in the previous year.

WORKING RESULTS CORPORATE SOCIAL ESPONSIBILITY: The total turnover of the Corporation has The Corporation endeavors to contribute decreased from Rs 12126.23 crores in suitably to the society both directly and 2011-12 to Rs. 4157.40 crores during indirectly through various means, viz. the year, a decrease of 7968.83 (65.72 generating employment for the artisans %). The decrease is mainly due to:- and weavers who mainly belongs to Below Poverty Line, providing exposure to their • Bullion Business is an opportunity ethnic arts and crafts at international driven business. During the year level and providing free space to artisans Bullion Imports decreased by and weavers in the events organized at Rs.7978.21 crores (66%) as it was Noida Complex for display and sale of pre-decided Rs. 3700.00 Crores as their products. The Corporation has been per MOU signed with Government for always emphasizing on empowerment of Bullion turnover so as to concentrate weaker section of artisans and weavers and boost up the Core Business of by promoting and providing a platform the Corporation. to market their products and sourcing procurement from the textiles and • Increase in Core Group Exports by craft clusters through its procurement Rs. 5.13 Crores (16.73%) as a result centers. of aggressive Marketing initiative taken during the year. During the year 2012-13, the Corporation had successfully undertaken two • Increase in Retail Business by Rs. distinctive projects through Sulabh 4.25 crores (56.59 %) due to opening Sanitation Mission Foundation with a total of new retail outlets and Corporate expenditure of Rs. 11.74 lakhs: institutional sales and other Domestic • Marketing Strategies adopted. Creation of Sanitation Facility by constructing Toilet Complex with an Overheads for the 2012-13 amounts to expenditure of Rs. 6.46 lakhs in Block Rs. 23.78 crores (previous year Rs. 17.93 Pakridayal, Bihar and

149 Ministry of Textiles

• Creation of Drinking Water facilities • Cluster based new Samples by installation of 9 Mark II Hand- Development / Supplies for Market pumps with an expenditure of Rs. Testing amounting to Rs. 57.24 5.28 Lakhs in Block Pakridayal, in Lakhs. Bihar. • Study on registration of “FAIR TRADE Further, during Current Financial Year LABELLING” conducted by Textile 2013-14, the Corporation is going to Committee. continue to undertake the same projects of creation of Drinking Water Facility a. EXPORT PROMOTION AND TRADE & Sanitation Facility at the Cluster of DEVLEOPMENT Bihar. 1. The Corporation has participated SUSTAINABLE DEVELOPMENT in various exhibitions in India and Appreciating the need to contribute abroad to showcase the new samples suitably to the society both directly and developed from traditional crafts indirectly through various means, viz. and textiles clusters as well as to generating employment for the artisans upgrade knowledge on designs and and weavers who mainly belongs to Below fashions abroad. During the year, the Poverty Line, providing exposure to their Corporation participated in a number ethnic arts and crafts at international level, of International Fairs viz., 23rd India conservation and sustainability of natural Home Furnishing Fair (Japan ), 33rd resources, the Corporation undertook the India Garment Fair (Japan) , Heimtexil following initiatives during the year in line (Frankfurt), Hong Kong International with the DPE guidelines on Sustainable Home Textiles &Furnishing Fair (Hong Development (SD): Kong), New York International Gift • Development of 23 new Eco-friendly Show (New York) , Inter Gift Show products made from Soya beans/ (Madrid, Spain) , Combined Textile & Banana/Pine Apple/Elephant Grass Clothing Fair (Sydney), International etc with an expenditure of Rs. 37.80 Spring Fair (Birmingham, U. K.) 4th Lakhs, International Yarn & Fabric show • Water Treatment Plant at the (Colombo, Sri Lanka) Musiad Chenkumar Weavers’ Co-operative International Fair Istanbul (Turkey), Production and Sale Society Intermoda (Mexico), House ware ltd., Chennimalai, Tamil Nadu and Kazgift Exhibition (Kazakhstan), recommended and evaluated by Participation in domestic fairs Handlooms Exports Promotion includes IHGF (Autumn) Greater Council (HEPC). Noida, IHGF (Spring) Greater Noida, RESEARCH & DEVELOPMENT SAARC Exhibition (New Delhi), HGH India 2012, India International In compliance with the guidelines on Handwoven Fair, Chennai . In addition Research & Development (R&D) notified to that HHEC has participated two by the Department of Public Enterprises new domestic fairs viz IFFTEX requiring all CPSEs to undertake R&D 2012 (Greater Noida) and VASTRA activities. The Corporation undertook the following projects: (Jaipur).

150 Annual Report 2013-14

2. HHEC has been awarded with participation in various Fairs and following two awards by India Trade exhibition and also in countries like promotion Organisation (ITPO): Panama, Maldives, Singapore and Mexico etc.  Award for “REGULAR PARTICIPATION in India Garment  Quality Management Systems: Fair & INDIA Home furnishing Fair, HHEC has initiated new initiative for Osaka Japan implementing Quality Management System for which feasibility study  The first place in the,Design “ and was conducted by Textile Committee Display” for the 24th Home Furnishing in Financial Year 2012-13. During the Fair, Osaka Japan. current year i.e. Financial Year 2013- 14, the Corporation has planned to 3. HHEC has planned to continue take approvals of the execution plan focusing on Core Group activities and and implementation thereof in near undertake aggressive International future. and domestic Market Strategies 4. In order to increase our presence in  Opening New outlets abroad: To Domestic Market, HHEC is taking up increase the visibility of HHEC & the following aggressive Marketing to strengthen the core business it Strategies:- has been envisaged to have retail outlets abroad and accordingly, the  Opening new Retail outlets: During Corporation has prepared a plan the year two new retails outlets have for a permanent visibility of our been opened in Salarjung Museum, handicrafts and handlooms products Hyderabad and Patna Museum, at various important markets of Patna, Bihar and renovated and globe. This will not only provide a rejuvenated the existing Shop at marketing platform to the artisans & Craft Museum and named as “Lota craftsmen of India but also increase Shop”. Further in the current year, our buyer base and presence which retail outlet has been opened at will lead to increased business.It is Rajiv Gandhi HastshilpBhawan, also important to have a brand image Baba Kharak Singh Marg, Delhi, in to survive in cut throat competition continuation to that the Corporation is so that buyer can relate with us and also planning to open few more retail HHEC can sustain the business, outlets in Shilparamam, Hyderabad, thus, these foreign outlets will help Gaya, Bihar, Kolkata Museum, and in this regard. Sarnath Museum.   New Market Intervention: To expand Corporate institutional Sale: The Corporation has planned keep our horizon and maintain whole time focusing on corporate institutional presence in the International Market sales with an eye on big organizations and further development of business like ASI, ONGC, NTPC, IRCTC in potential global markets, General and other Corporations in Private Sales Agents have been engaged Sector. during the year. In addition to that HHEC is planning to tap new markets  E-Marketing: The Corporation in LAC & CIS Countries through would like to add new dimensions by

151 Ministry of Textiles

positioning for brand imaging, SEO demolishing the existing building for up-gradation, adding new product which government support will also line, introduce user interface, social be sought for financial assistance. media partnerships etc. The sub committee for implementing, monitoring and supervising the  The Capacity Expansion: project has been formed and Architect Corporation has planned to further selection is in process. expand our Garment factories in Chennai and Noida by adding new 3. NATIONAL HANDLOOM machine line to cater specific buyers’ DEVELOPMENT CORPORATION demands and to meet international standards and technology and in National Handloom Development turn increasing buyers & demand for Corporation (NHDC) Ltd., Lucknow Ready-to- Wear. was set up in February, 1983 by the Government of India as a public sector  SAARC Museum: HHEC will be undertaking under the companies Act, initiating the work for construction 1956. The authorized Capital of NHDC and display work of SAARC museum Ltd. is Rs.2000 lakh and its paid up capital this year. is Rs.1900 lac. The main objectives of 5. With changing fashion, usages and NHDC are: concerns of buyers, HHEC has • Carry on the business of supplying introduced a new diverse Range of all types of yarn for the benefit of the “Natural Products” which are made handloom sector. from Banana Fiber, Jute, Sabaii grass,and Sea grass, Soya-bean / • Organize supply of quality dyes and Banana / Pineapple /Elephant Grass, related materials needed by the Istra Grass. Further, it is also planned handloom sector. to strengthen existing eco-friendly • Promote marketing of handloom product line with adding new fruit fabrics. fibers/grass. Fusion of fiber with fruit fiber will be explored. • Aid, assist and implement the projects connected with the production of 6. HHEC has also planned to inter in to handloom fabrics including taking the untapped sector of Handicrafts up modernization programme, & Handlooms Industry i. e. Carpet technology for the handloom sector. sector. In the past HHEC had performed well in carpet sector and In pursuance of the above objectives, again it is planned to revive and re- NHDC is undertaking the following capture the Carpet Business of the activities: Corporation. 1. Mill Gate Price Scheme (MGPS) is an 7. HHEC Chennai Branch is set up at a important scheme of the Government plot area of approx 2 acres with existing of India under which yarn is supplied crèche building, office building. Now, to the handloom weavers all over the HHEC has planned to modernize country at the mill gate price by the the Chennai Branch by utilizing the NHDC. The details of yarn supplied vacant land and constructing a new under this scheme during the last 5 building in the IST phase without years are as under:

152 Annual Report 2013-14

exhibitions during the last 5 years are Year Supply of Yarn as under: Quantity Value (in lakh (Rs. in crores) Year No.of No.of Total sale kg.) events stalls (Rs.in crore) 2009-10 1081.21 987.32

2010-11 1105.96 1195.55 2009-10 15 1123 44.89

2011-12 967.068 1081.12 2010-11 18 1268 60.74

2012-13 1070.78 1318.56 2011-12 21 1855 85.99 2013-14 1225.00 1750.00 2012-13 19 1834 84.25 Under MGPS, NHDC is operating “Depot 2013-14 23 2168 101.00 Scheme” of the Government of India, wherein, 788 depots have been made Besides, corporation has set up 8 operational. NHDC is also supplying marketing complexes at Jaipur, Kolkata, quality dyes and chemicals to the Ahmedabad, Hyderabad, Kanpur, Indore, handloom sector at competitive prices. Navi Mumbai and New Delhi, where the The details of supplies made during last 5 handloom agencies from different parts years are as under: of the country display and sell their handloom products to the discerned Year Dyes & chemical customers.

Quantity Value 3. NHDC also undertakes the following (in lakh kg.) (Rs. in lakhs) programmes to educate the weavers 2009-10 53.23 3107.04 about the latest dyeing techniques and also about the on-going 2010-11 33.88 2461.92 schemes of Government of India for development of handloom sector 2011-12 29.29 1833.13 and awareness of the weavers:

2012-13 27.62 2090.33 1. Quality dyeing training programmes. 2013-14 34.40 3410.02 2. Buyer-seller meets. 2. In order to promote marketing of 3. One day sensitization programmes. handloom fabrics, the corporation organizes special exhibitions like Silk 4. Programmes on development of Fabs & Wool Fabs. The Government new products by using different kind of India reimburses the expenses of yarns. incurred by the corporation in these exhibitions. The details like number The details of turnover, profit dividend of exhibitions, participating agencies issued rating etc. of NHDC during the and total sales generated at these last 5 years are as under:

153 Ministry of Textiles

(Rs.in lakhs) During its 43rd AGM held on 5th December, 2013, CCI has declared a dividend of Year Turnover Net Divi- MOU Rs.6,55,00,000/- (Six crore fifty five lakhs Profit dend rating only). 2008- 82948.34 393.84 80.00 Execellent 09 5. CENTRAL COTTAGE INDUSTRIES CORPORATION OF INDIA LTD. NEW 2009- 102078.03 303.51 61.00 Execellent DELHI 10 2010- 122674.71 431.97 87.00 Execellent The Central Cottage Industries Emporium 11 was established in Delhi in the year 1952 under the management of Indian 2011- 110106.93 282.24 57.00 Good Cooperative Union and was later on 12 taken over by Central Cottage Industries 2012- 137546.57 697.39 141.00 Execellent Association in 1964 and was incorporated 13 as Central Cottage Industries Corporation of India Ltd(CCIC) on February 4, 1976. 4. COTTON CORPRATION OF INDIA CCIC is under the administrative control (CCI) of Ministry of Textiles. The role assigned to the CCI under the The main objective of CCIC is to be Textile Policy of June 1985 was: a dealer, exporter, manufacturer and 1. To undertake price support operations agent of quality Indian handicrafts and whenever the market prices of kapas handlooms and to develop markets for touch the support prices announced these products in India and abroad. The by the government of India without Corporation has showrooms at Delhi, any quantitative limit Kolkata, Mumbai, Bangalore, Chennai and Hyderabad. 2. To undertake commercial operations only at CCI ‘s own risk; and Capital

3. To purchase cotton to fulfil export The authorized capital of the Corporation quotas given to CCI isRs.1200 lakhs and the paid-up capital is Rs.1085 lakhs. The above role of the CCI continued under the New Textile Policy of 2000. WORKING RESULTS However, the last stated function no a) Turnover longer is relevant as export of cotton is now free and the Government is releasing The turnover of the Corporation for the no quotas. Nevertheless CCI purchases year under report isRs.8163.34lakh as cotton even now to undertake export of against Rs.7776.33lakh in the previous cotton. year i.e. 2012-13.

During the Cotton Season 2013-14 as on b) Exports 31.03.2014, CCI has procured a total of The total exports of the Corporation during 40,813 bales under MSP operations out 2013-14 isRs.261.32 lakh as compared to of which it has sold a total of 3500 bales (including exports). Rs.302.08 lakh in the previous year.

154 Annual Report 2013-14 c) Profitability tax profit shall be Rs.15.00lakh as against corresponding profit of Rs.51.64 lakh in The likely Gross Profit during the year the previous year. 2013-14 increased from Rs. 3870.03 lakh in the previous year to Rs.4121.00 lakh. Statistics The likely overheads of the Corporation increasedfrom Rs. 3818.39 lakh in the Summarized working results for the last previous year to Rs.4106.00 lakh in the three years are given in table below: current year. The likely current year pre-

(Rs. in lakhs)

2010-11 2011-12 2012-13 2013-14 Provision- (B.E.) al Actuals 2013-14 Turnover* 6334.67 7249.10 7776.33 9150.00 8163.34 Exports 219.72 321.00 302.08 223.00 261.32 Net Profit (+) / Loss (-) Before tax (-)99.31 66.66 51.64 50.00 15.00 Net Profit (+) / Loss (-) after tax (-)88.13 49.21 24.57 34.00 9.00 Dividend Nil 10.00 4.92 6.80 1.80

*includes exports also.

Development of Designs/ Exhibitions and pottery which are highly in demand as Diwali Gifts in new attractive packaging During the year 2013-14, CCIC organized were also launched in all showrooms of various in-house thematic exhibitions CCIC. and exhibitions outside CCIC emporia wherein newly designed products were With a view to upgrade the shopping displayed by the Corporation to expand experience of customers, CCIC undertook the patronage of Corporation. major improvements in the layout, visual display, lighting and interiors of the With a view to develop exclusive new New Delhi showroom. Further the air- designs and new products for sales conditioning plant has been replaced. through showrooms, during the year, CCIC, with Financial Assistance from On line Shopping office of Development Commissioner (Handicrafts), undertook ten Technical CCIC launched its enhanced online Design Development Workshops in the shopping website i.e. www.thecottage. areas of Metal craft, wood craft, hand in for its valued customers. The website block printing, ChambaRumal, Cane displays about 1000 Handloom and craft, jewellery etc. The new products Handicraft products with description for were launched in an exhibition held in online shopping. The products can be CCIC New Delhi showroom. Further, new purchased through Secured payment and exclusively designs in silver articles, gateway by credit card which is verisign brass and white metal ware, wood craft certified. The products purchased can be

155 Ministry of Textiles

shipped to any country all over the world. (2) Cawnpore Textiles Limited, Kanpur It has order tracking mechanism and links (CTL) – The winding up order has to various Govt. websites, Incredible India been confirmed by the High Court. etc. No appeal was filed by the Govt. All the assets of the Company has been Manpower Strength & Training taken over by the OL appointed by As on 31st March, 2014 the Corporation the High Court, who is taking steps had strength of 296 employees as for the valuation of the assets of the compared to 304 in the previous year. company. There are 2 employees at present. 6. BRITISH INDIA CORPORATION (3) Brushware Limited, Civil Lines, LIMITED (BIC) Kanpur- It has been closed long back The British India Corporation Limited under the provisions of Industrial (BIC) was incorporated as a Public Dispute Act. No employee at Limited Company in 1920. All the private present. shares of the Company was acquired by The BIC Ltd. referred to BIFR in the the Government of India in 1981 under year 1992,declared sick and scheme for the BIC (Acquisition of Shares) Act. It has rehabilitation of BIC was approved by 2 units viz. BIFR on 18-12-2002 at a total cost of (1) Cawnpore Woolen Mills Branch, Rs.210.51 crores, but could not be fully Kanpur - “Lalimli” implemented as BIC could not generate funds from the sale of its assets on (2) New Egerton Woolen Mills Branch, account of non-receipt of permission from Dhariwal, Punjab - “Dhariwal” Govt. of Uttar Pradesh for sale/conversion of surplus lease hold land into freehold. The total number of employees with BIC are approx. 1650. BIC put for sale its 27 properties between 2003-2007 out of them 19 properties could BIC has 3 subsidiary companies not be sold finally being the leasehold (1) Elgin Mills Co. Limited (EMC)– BIFR properties, only 25% of sale consideration has recommended its winding up, was received. The remaining sale which was subsequently confirmed consideration can be received at the final by the High Court . The winding up stage of the sale which can be possible only after conversion of these lands into order was put in abeyance for a short freehold. while subject to filing of a revival plan of the Company by the Govt. which After the failure of 2002 revival scheme was not filed. Govt. has settled the another scheme of BIFR was approved in dues of the secured creditors except 2008, which was modified by BRPSE, and two (IFCI and Kotak Mahindra Bank). subsequently approved by Union Cabinet Most of the assets of the Company in-principle on 09.06.2011 subject to the are with the OL appointed by High condition, that permission is first obtained Court. There are 26 employees at for sale of the surplus land from the present. Government of Uttar Pradesh.

156 Annual Report 2013-14

Attempts are at vigorous pace for obtaining In view of the stand taken by the Govt. permission of UP Govt. through various of UP, Ministry submitted a Cabinet communications/meetings at senior levels note dated 23.10.2013 on the status of of MOT and Govt. of UP. the revival of BIC and its subsidiaries for consideration and further direction For the implementation of scheme and to including the closure of the Company. infuse funds for the same, the permission of Govt. of UP for conversion of leasehold/ Cabinet on 28.11.2013 decided that nazul land into freehold is essential for Minister of Coal and HMOT will discuss BIC to sale the assets. the matter again with Chief Minister of UP and find a solution. The earlier applications for conversion in respect of 7 properties out of 19 earlier In consequence of this decision HMOT transacted filed by BIC has been rejected written D.O letters to the Minister of Coal by the Distt. Administration/Competent and Chief Minister of UP to hold a meeting Authority.Govt. of UP had permitted to of committee constituted for the purpose apply for conversion of leasehold land to resolve the matter. No meeting has into freehold. BIC Ltd had applied for taken place. conversion of 8 unsold properties. Govt. of UP has not yet taken any decision after The cost of revival scheme is increasing a vigorous and high level deliberations every month by Rs.3 crore only on discussions, correspondences and account of salary & wages and other meetings with Ministry of Textiles and running expenses. Company is not in a Govt. of Uttar Pradesh position even to buy a raw material and the production of the activities are stand The PIL have been filed before Allahabad High Court in which financial irregularities still. have been alleged in transaction of 27 There is no production activities in the properties (8 fully sold 19 partially sold) Company, Govt. had to make a payment during 2003-2007. of more than Rs.60 crores additionally After the “in-principle” approval of the for the payment of arrears of revision Cabinet dated 09.06.2011 Govt. of UP was of pay scales to the officers/supervisor requested severally for the permission categories of employees in two years of conversion of land of BIC.During this with the revision of pay scales as per the periodBIC has exhausted Rs.78 crores orders of Hon’ble Supreme Court from provided in the scheme for the salary and the CFI. wages for two years 2011-12 & 2012-13. The revival scheme approved by BIFR in Govt. of Uttar Pradesh through an 2002 and 2008, subsequently approved affidavit filed before the Hon’ble Supreme by the Union Cabinet could not be taken Court of India in a Contempt petition no. off for implementation as the scheme was 408/2011 has disclosed that there is no self- financed and the means of finance conversion policy existing at present as for the scheme is sale proceeds of the there is an stay of Allahabad high Court surplus land of the company which could for the conversion of the land and shown not be materialized on account of not its inability for the same. granting permission of Govt. of UP for

157 Ministry of Textiles

conversion of leasehold/nazul land into situated in rural areas, purchases raw jute freehold. directly from the farmers. JCI has around 171 DPC’s of which 101 are in West As there is no scheme as of now, Ministry Bengal, 26 in Assam, 20 in Bihar and the moved a Cabinet note for salary and rest in the three other jute growing states wages for 2013-14. The Cabinet has of Andhra Pradesh, Orissa and Tripura. approved the Cabinet note and accorded sanction of Rs.46 crores for the salary The authorized and paid up capital of the of BIC employees for the financial year Corporation is ` 5 Cr & the net worth is ` 2013-14. 76.50 Cr. as on 31.03.2013. The entire The salary for the year 2013-14 to the authorized capital has been subscribed employees of BIC could be managed by by the Government of India. diversion of VRS funds Rs.17.10 crores, Mission/Vision a loan from NTC which is to be recouped from the amount of Rs.46 crores approved To act as the Price Support Agency of the by the Cabinet. Govt. of India and to undertake Minimum Support Price (MSP) Operation to provide There is no provision or sanction of Cabinet remunerative price of raw jute to the jute for the amount of salary and wages for growers and gradually increase its market the year 2014-15.The employees have share in the domestic trade. not been allowed the salary for the month of April onwards. Main Functions

7. Jute Corporation of India (JCI) 1. To take up Price Support Operation Ltd., Kolkata on behalf of the Government as and JCI is a GoI enterprise set up in 1971. JCI is when the raw jute prices touch the the official agency of the Ministry of Textiles level of the Minimum Support Price (MoT) responsible for implementing the fixed by the Government of India MSP policy for jute producers and serves without any quantitative limit. as a stabilising agency in the raw jute 2. To undertake commercial operations market. JCI also undertakes commercial for jute mills of NJMC on for other operations, procuring jute at prices above purpose as and when required. the MSP on commercial consideration to generate profits. JCI’s price support 3. To undertake distribution of certified operations involve procuring raw jute from jute seeds under subsidy scheme small and marginal farmers at MSP without of NJB and gradually increase the any quantitative limit as and when the quantity with an objectives to make prevailing market price of jute falls below available certified jut seeds to the MSP. These operations help create a farmers. notional buffer in the market by siphoning off excess supply, in order to arrest inter- 4. To conduct other extension activities seasonal and intra-seasonal fluctuations like, demonstration of new retting in raw jute prices. JCI’s Departmental techniques and display of daily Purchase Centres (DPCs), which are market rate by allocating centres

158 Annual Report 2013-14

under JTM MM III and NJB schemes support on activities of Mini Mission for the benefit of the jute growers. IV and other Mini Mission of the Jute Technology Mission. 5. To carry out the role of the implementing Agency for Mini Mission 6. To plan and implement schemes under III and also provide necessary Corporate Social Responsibility.

Performance of Jute Corporation of India Ltd is highlighted below:

Particulars 2010-11 2011-12 2012-13 Projected Quantitative (Bales/Lakh): 2013-14 Procurement of Raw Jute 0.34 1.56 3.63 2.11

Sales of Raw Jute 0.10 1.34 2.39 1.10

Closing Stock 0.26 0.47 1.74 0.44

Financial (Rs./Lakh)

Sale of Raw Jute 566.08 5599.39 11135.57 10050.00

Sale-Jute Seed 625.09 546.42 132.65 350.00

8. Birds Jute & Exports Ltd. The proposal for revival of BJEL prepared (BJEL) by IDBI was considered by BRPSE on April, 2008 and granted in principle approval Birds Jute & Exports Ltd (BJEL) a processing with certain observation. Accordingly unit of Jute fabric was a subsidiary of Bird & IDBI revised the revival proposal. A draft Co. established in 1904. Bharat Process cabinet note was also circulated by the & Mechanical Engineers Ltd.( BPMEL) MOT in view of comment raised by the under the Ministry of Heavy Industry took ministry of Finance. MOT decided to place over the assets on nationalization in 1980 the updated revival scheme to BRPSE for and became a holder of 58.94% of BJEL’s its recommendation. Accordingly, BJEL equity shares.. Thereafter the GoI decided resubmitted the revised revival proposal to transfer shares of BJEL to NJMC in with a total Cost of Scheme of Rs.137.88 1986. Crore to be financed mainly from sale of BJEL operated as a processing unit for surplus land of the BJEL and interest free bleaching, dyeing & printing of jute and GOI loan .The entire GOI loan and holding blended fabrics. It was declared sick company loan together with accrued by BIFR u/s 3(1)(0) of Sick Industrial interest at a normal rate has been proposed Companies (Special Provisions) Act, 1985 to be refunded from sale of surplus land (SICA) in the year 1999 due to continuous of BJEL. The proposals also include losses and negative net worth. Of late IDBI modernization & renovation of its existing Bank Ltd. was appointed as operating plant with capital expenditure including agency for preparation Rehabilitation working capital of Rs. 30.57 Crore. The Scheme under section 17(3) of the said above proposal was forwarded to BIFR. Act. BIFR accepted the revised DRS of BJEL

159 Ministry of Textiles

with in principal approval from Ministry and the company has given VRS to all its of Textiles to provide start up expense workmen and staffs in the year 2003 and amounting to Rs 21.20 crore as bridge 2004. The Financial performance for the loan and directed to circulate to the stake year 2010-11, 2011-12 and 2012-13 is holder on 3.11.2011. tabulated below:

The production activity of the company has been suspended from October, 2002

Physical 2010-11 2011-12 2012-13 Production ------FINANCIAL RESULT (Rs.in Lakh) (Rs.in Lakh) (Rs.in Lakh) Other Income 8.38 8.61 8.76 Total 8.38 8.61 8.76 Salary & Wages 13.02 191.98 - VRS Expenditure ------Administrative &other Overheads 42.65 57.46 75.02 Interest on GOI &NJMC loan 726.46 815.30 778.72 Depreciation 1.26 1.17 1.09 Total 783.39 1065.91 854.83 Net Loss 775.01 1057.30 846.07 Loss before Tax 771.41 1109.00 865.57 Cumulative Net Loss 8633.76 9742.76 10608.33

9. National Jute Manufactures of net worth. The operations of these mills Corporation Ltd. (NJMC), Kolkata were suspended in the year 2003-04. However, at the intervention of the Ministry National Jute Manufactures Corporation of Textiles BIFR has finally approved Ltd. was registered and / or incorporated the revival proposal of the company in rd on 3 . June, 1980 as a wholly owned its meeting held on 31.03.2011 to run its undertaking of the Government of India three mills ( Kinnison, Khardah in West comprising of following six Jute Mills viz Bengal and Unit:RBHM in Katihar, Bihar) National, Kinnison, Khardah, Alexandra, by NJMC itself out of six jute mills in view Union in West Bengal and Unit RBHM of cabinet decision on March, 19th 2010 in Katihar, Bihar. The main objectives of and 25th November 2010. The operations the Company are to carry on business of of these mills were suspended in the year manufacturing of Jute Goods (Sacking) 2003-04 and all the workers and staff was for supply to food processing agencies given VRS as per the sanctioned scheme of the Government. The Company was prior to this year. Full efforts were taken referred to BIFR in the year 1992 due to its to restore HT power line, repair of Factory continuous loss since inception and erosion sheds, godowns, offices and repair and

160 Annual Report 2013-14 renovation plant & machineries and other to all employees Rs.645.07 Cr. , infrastructure to start production during the payment of liabilities and provisions year by engagement of contract labour and for funds for implementation of Rs. it is happy to note that regular production 702.21 Cr. and Modernizations and has been started in all the above three mills start up Expenses of Rs 215.70 Cr. during the year. The NJMC is procuring raw ii) NJMC will get fresh interest free loan jute from JCI and manufactures Sackings (Jute Bags) which are being supplied to food of Rs. 483.60 Cr. from GOI, to be procuring agencies of the Governments refunded through sale of assets of 3 against the PCOs time to time issued by (three) mills of NJMC (National, Union office of the Jute Commissioner. More & Alexandra) and surplus assets of than 2000 contract workers are getting Kinnison & Khardah and RBHM the the employment where in their wages are three revival mills. time to time fixed, based on production iii) The installed capacity will be 305 MT/ and productivity, in consultation with day after complete modernization at a representatives of all the unions and paid cost of Rs 215.70 Cr. through contractor in transparent manner with PF, ESI and other benefits. iv) Net worth is expected to be positive in the 6th year i.e. 2015-16. Sacntion of Revival Scheme by BIFR v) Settlement of Officers’ VRS under Board for Industrial and Financial composite package. Reconstruction (BIFR) on March 31, 2011 vi) Engagement of workforce under sanctioned the Revival Scheme of the contract basis initially till the company after prolonged hearing. Salient modernisation is complete. features of the Scheme are : The average production is gradually i) NJMC shall run 3 mills (Kinnison & increasing in all 3 Revival Mills which is Khardah in W.B. and RBHM in Bihar) restarted after a gap of 8 years.The present by itself and close 3 mills ( National, level of employment would rise with the Alexandra & Union in W.B.) at a total cost of Rs 1562.98 Cr. comprising of increase in production and modernization payment of VRS and arrear liability as per the revival scheme.

PARTICULARS 2010-11 2011-12 2012-13 Production (MT) 714 4886 9380 Rs. in crore Rs. in crore Rs. in crore Sales -- 15.76 49.73 Other Income 18.66 16.42 17.67 Total 18.66 32.18 67.40 Accretion of stock -4.06 -8.00 -1.51 Raw Material & Stores 6.08 18.56 29.27 Power & Fuel 2.00 2.89 4.71

161 Ministry of Textiles

PARTICULARS 2010-11 2011-12 2012-13 Wages through contractor 1.69 7.37 20.75 Salaries & benefits 80.32 15.31 1.09 VRS Expenditure 40.68 2.07 0.00 Other Expenses 20.94 31.60 25.20 Interest 0.30 0.30 0.30 Depreciation 0.15 0.29 0.57 TOTAL 148.10 70.39 80.38 Net Profit/Loss (-) (-)129.44 (-) 38.21 (-)16.00 Cash Profit/Loss (-) (-)129.29 (-) 37.92 (-) 15.70

162 Annual Report 2013-14

CHAPTER XIII TEXTILE RESEARCH ASSOCIATIONS

163

Annual Report 2013-14 CHAPTER XIII TEXTILE RESEARCH ASSOCIATIONS

Ministry of Textiles has been providing the Industry partner/partners who have financial support to the Textile contributed 25% of the Project cost, Research Associations (TRAs) having can be given some special rights such infrastructure in terms of space, in house as exclusive use of the technology/ expertise and experience in product process/products developed through development related to textiles. the research for a fixed period; and/or use of the technology/process/products There are eight TRAs engaged in the developed at a special discounted rate. work of research and development: - As per the guidelines formulated under 1. Ahmedabad Textile Industry’s the R&D Scheme, all research projects Research Association (ATIRA) are initially submitted in the office of Textile Commissioner.To examine the 2. Bombay Textile Research research projects, two tier mechanisms Association (BTRA) have been provided. All projects have to 3. South India Textile Research be technically and financially evaluated Association (SITRA) initially by the Project Appraisal & Monitoring Committee (PAMC) and 4. Northern India Textile Research then approved by the Project Approval Association (NITRA) Committee (PAC).

5. Man-Made Textiles Research Based on the experience of implementing Association (MANTRA) the scheme during the XI Plan the scope 6. Synthetic and Art Silk Mills Research and coverage of the scheme is proposed Association (SASMIRA) to be expanded horizontally and vertically to cover R&D in certain critical 7. Indian Jute Industries Research areas such as Jute and other allied Association (IJIRA) sectors. A special focus on ‘green’ R&D initiatives which would support inter-alia 8. Wool Research Association (WRA) Research innovation, benchmarking Under the R&D Scheme, Ministry of studies, dissemination, and compliance Textiles support upto a maximum of with identified best practices and other 75% of the project cost and to ensure related activities to encourage the the stakeholders commitment, the adoption of green initiatives. The thrust balance 25% has to be arranged by the would be on ensuring contract research, Implementing Agencies. Further in order dissemination and commercialization of to ensure sustainability and commercial the R&D projects which are taken up. A viability of the research efforts, and to budget line was created for this scheme encourage creation of IPRs/patents, in Demand for Grants 2013-14 under

165 Ministry of Textiles

“Research& Development” (Major head known as Inspectorate is the first 2852)” with token provision of Rs. 47.93 functional division of Textiles Committee assigned with the following functions crore. and performance during 2013-14 are The draft EFC note and a concept note mentioned within brackets against each for the proposed schemes has been activity. sent to the Planning Commission for Issuance of Preferential Certificate of in principal approved for the proposed Origin under Generalized Systems of scheme and comments on the EFC note Preferences (GSP), Non-Preferential so that EFC meeting may be convened. Certificates of Origin, Trade Classification of Textiles and Clothing - HS & ITC etc., Ministry of Textiles formulated its R&D Quality Inspection of Textiles & Clothing’s policy in the year 2011 to assist TRAs and Inspection under various Bilateral and others for projects funding. Under Agreements viz. EU, USA, Switzerland, the scheme, 15 such projects were Australia etc. for determining Handloom sanctioned with Govt. assistance of origin to avail import duty benefits. Textiles Committee also monitors endorsement Rs.989.718 Lakhs for the year 2013-14. of Tariff Rate Quota (TRQ), Certificate of During the Period under report, grants- goods imported under 3 FTAs viz. Indo-Sri in-aid amounting to Rs. 3.73 crore was Lanka, Indo-Nepal & Indo-Bangladesh, sanctioned to all TRAs for meeting its Assessment & Rating of Modernized plan expenditure. Ginning & Pressing Factories under Star Rating scheme floated by the Government TEXTILES COMMITTEE of India. So far 950 units have been assessed and graded. The Textiles Committee, established by the Textiles Committee Act, 1963, has Laboratories are catering to the needs the primary objective of ensuring quality of the exporters, manufacturers, traders of textiles both for internal marketing and and other agencies dealing in textiles by exports. Its functions include promotion testing their samples for quality evaluation of quality of textiles and textile exports, and for improvement of quality of the research in the technical and economic textiles mainly under the Commercial fields, establishing standards for Testing Regulation of Textiles Committee. textiles and textile machinery, setting The laboratories have implemented up of laboratories, data collection web based Laboratory Information Management Systems (LIMS) at its head etc. The Committee has its Head office, Mumbai. Implementation at other Quarters at Mumbai with 28 Regional Laboratories is in process. Laboratories Offices, 17 of them with laboratories, provide training program to personnel including 9 eco-parameters testing from industry and educational institutes. laboratories. One laboratory at Madurai Training programmes provided during is under Public Private Partnership with 2013-14 have generated 207 trained Madurai Spinners Association. Textiles personnel. Fourteen out of 16 laboratories Committee has completed 50 Golden of the Textiles Committee have been Years of its existence in 2013. accredited by NABL for ISO/IEC 17025. Laboratories also extend consultancy The Export Promotion and Quality services in the field of implementation Assurance Division which was formerly

166 Annual Report 2013-14 of Laboratory quality system as per ISO/ Cotton Textiles” has been published. IEC 17025 and 20 laboratories across Competitiveness studies in different India have availed this services from export destinations like US, EU, Middle Textiles Committee. The Laboratories East, emerging destinations like ASEAN, also provide Inter Laboratory Proficiency China, Latin American countries, SAFTA Testing Program in the field of Textiles in etc are underway. South-Asia region. Fifty eight laboratories from India and overseas have participated Textiles Committee facilitates the in a Proficiency Testing scheme each for registration of unique textile products chemical & mechanical field conducted of the country under the Geographical during 2013-14. Indications (GI) Act. It has initiated a nationwide campaign for creating The Market Research Wing of Textiles awareness amongst the stakeholders at Committee has rich experience in all levels and also facilitating them for organising research and studies on registration of the products and post-GI domestic demand estimates and initiatives. So far Committee has facilitated international trade pertaining to the the GI registration of unique textile textiles and clothing sector. The division products of Andhra Pradesh, Odisha, is manned by reputed researchers & Kerala, Utter Pradesh, Maharashtra, statisticians having expertise in research Gujarat and Tamil Nadu. on textile trade, globalisation, Intellectual Property Rights (IPR), Competitiveness, TQM Division of the Textiles Committee is issues on World Trade Organisation engaged in offering consultancy services (WTO), supports the state governments for the multi management systems to develop textile policies, etc. such as ISO-9000 quality management systems, ISO-14000 Environmental The major research project organized Management systems, SA-8000 (Social by Textiles Committee is the longitudinal Accountability Management Systems), study, “National Household Survey: Market OHSAS 18000 (Occupational Health for Textiles and Clothing (MTC)” which and Safety Assessment Series), Codes brings out the domestic consumption compliances, such as SEDEX, BSCI, pattern of textiles in the Household sector CTPAT etc to the aspiring textile units on of India. The Annual Report depicts the chargeable basis. During the year 2013- demand pattern of textiles on the basis of 14, a total of 14 units came forward to key variables like per capita consumption, avail the consultancy services. The total aggregate purchase, sectoral and number of units under consultancy has regional preferences, market size etc. gone upto 667 units so far. During the This is the only report of its kind for the course of consultancy, it has trained 393 sector available in the county. The report industry persons in the area of concern. for 2013 has been published. Textiles Committee has been appointed In order to analyse the Competitiveness of as implementing agency (IA) by the Indian Textile products in different export Office of the Development Commissioner destinations and study the cost bench (Handlooms). The Handloom Mark was marking amongst the various segments launched on 28.06.2006. During the of the industry, the Committee has taken year 2013-14, the Textiles Committee up new initiatives, “Market Intelligence has registered 2295 stakeholders under in Textiles (MIT)”. The first of the series, the Handloom Mark Scheme. The “Competitiveness Analysis of the Global

167 Ministry of Textiles

number of labels sold in the year stands colours developed for Denim Club India. A at 1,01,58,822. As on 31.3.2014, the total of Rs 289.53 lakhs sales revenue has number of cumulative registrations under been generated from various exhibitions. the Handloom Mark have gone upto 12686 and the cumulative label sales SHANTIPUR (West Bengal) : Design have reached 4,26,55,270. Studio, Common Facility Centre (CFC) & Dye house completed and The Cluster Development Cell is one of the commissioned. 14 Consortia evolved functional cells of the Textiles Committee & Capacity Building of 185 SHGs at its Headquarters in Mumbai. As covering more than 5000 weavers implementing Agency, it has successfully in the cluster. Rs. 50.26 lakhs credit completed approved activities under the linkages for 62 SHG groups extended. Action plans. The salient achievements 73 cycles of yarn worth Rs. 120.99 are as under: lakhs has been supplied for the benefit of 675 weavers. A total of 75 designs BIJNORE (Uttar Pradesh) : Common developed in addition to 110 Prototypes Facility Centre (CFC) & Dye house & 10 motifs. A total of Rs.207.86 lakhs completed and commissioned, 40 Self has been generated from various Help Groups (SHGs) formed. Rs. 82.00 exhibitions. Further, a leading retail lakhs worth yarn supplied completing 17 chain has placed order of Rs.45 lakh for cycles and 450 weavers from four pockets stoles and dress material of traditional benefited. designs. Implemented Weavers’ Credit Handloom denim in various GSMs and Card Scheme as well.

168 Annual Report 2013-14

CHAPTER XIV CITIZENS’ / CLIENTS’ CHARTER (CCC)

169

Annual Report 2013-14 CHAPTER XIV CITIZENS’ / CLIENTS’ CHARTER (CCC)

1. Vision: persons in 5 years; to ensure proper working environment and easy access (a) To create a modern, vibrant, to health care facilities and insurance integrated and world-class textiles sector cover to weavers and artisans to achieve including handlooms and handicrafts to better quality of life; to promote exports produce cost efficient and high quality of all types of textiles and handicrafts textiles, apparels and handicrafts for so as to achieve annual average growth domestic and export sectors. rate of 15 % in exports and to increase 2. Mission: India’s share of world exports of textile & apparels. (b) To promote planned and harmonious growth of textiles by making 3. Main Services / available adequate fibres to all sectors Transactions and Service so as to achieve a CAGR of 11.5 % Standards in Textiles & Apparel production; to i. The Ministry of Textiles provides promote technological up-gradation for policy support and implements all types of textiles including technical programmes and schemes for the textiles, jute, silk and wool; to promote development and growth of Textiles skills of all textile workers, handloom Industry. We commit to the following weavers and handicrafts artisans, with a services: target of imparting training to 26.75 lakh

171 Ministry of Textiles to Nil Nil Nil Nil be NA Fee paid - - - http://min - http://min - Required Documents As per the checklist available at n istryoftextiles.gov.i As per the checklist available at http://min istryoftextiles.gov.in As per the checklist available at http://min istryoftextiles.gov.in As per the checklist available at n istryoftextiles.gov.i As per the checklist available at http://min istryoftextiles.gov.in ------Process involved i) Initiation of process by the NIFT. ii) Receipt of the proposal, fully completed in all respect with ap provals. i) Initiation of process by the CCIC / SVPISTM ii) Receipt of the proposal, fully completed in all respect with ap provals. Textile i) Initiation of process by the Committee. ii) Receipt of the proposal, fully completed in all respect with ap provals. i) Initiation of process by the Cen tral Silk Board. ii) Receipt of the proposal, fully completed in all respect with ap provals. i) Initiation of process by the Ministry ii) Receipt of the proposal, fully completed in all respect with ap provals. No.) Mobile (Phone 011- 23063310 011- 23060494 011- 23063446 011- 23063728 011- 23063625 n n Email [email protected] [email protected] [email protected] Singh.inderjit@ nic.i n - - tion ficer & Designa Responsible Of Shri Prathvi Raj Meena, Deputy Secretary Shri S.S. Das Director Smt. Geeta Narayan Director Shri Indrajit Singh, Director Shri Keshav Kumar, Deputy Secretary (%) tage Weigh 4.0 2.0 2.0 2.0 2.0 - - i) Constitution / Reconstitution of Board / Committees of Direc - tors of CCIC / SVPISTM. Appointment of Director General / (ii) CVO / Managing Director Secretary / officers within the purview of CCIC / SVPISTM i) Constitution / Reconstitution of Board / Committees of Direc - Committee. Textile tors of Appointment of Director General / (ii) CVO / Managing Director Secretary Textile / officers within the purview of Committee. Services / Transactions (i) Constitution / Reconstitution of Board/Committees/Board of Gover nors (BOG), NIFT/Board of Directors of NIFT. Appointment of Director General (ii0) / CVO Managing Director Secre - tary / officers within the purview of NIFT. Appointment of officers within the Textiles. purview of the Ministry (i) Constitution / re-constitution of Central Silk Board. Appointment of Chairman / Direc (ii) tor (Finance) / officers within the purview of the Central Silk Board. Main Services / Transactions 3 4 1 2 5. Sl No (i)

172 Annual Report 2013-14 to Nil Nil Nil Nil Nil Nil be Fee paid - - - - Required Documents Proposal from Depart ment of Food & Public Distribu tion. Receipt of proposals from SPVs. As per the checklist available at http://min istryoftextiles.gov.in Receipt of the pro - posal, fully completed in all respect with approvals. As per the checklist available at http://min istryoftextiles.gov.in As per the checklist available at http://min istryoftextiles.gov.in - - - Process involved (i) Obtaining Comments / inputs from the Jute Commissioner (ii) Examination of Proposal (iii) Issuing of Order. i) Processing of application in Advertisement response to ii) Issue of sanction approved proposals i) Initiation of process by the BIC. ii) Receipt of the proposal, fully completed in all respect with ap provals. Issue of Sanction Order after concurrence of IFD for release funds. i) Initiation of process by the JTM. ii) Receipt of the proposal, fully completed in all respect with ap provals. i) Initiation of process by the BIC. ii) Receipt of the proposal, fully completed in all respect with ap provals. No.) Mobile (Phone 011- 23061142 011- 23063310 011- 011- 23063446 23063192 011- 23061142 011- 23060494 n n Email sp.katnauria @nic.i in [email protected] [email protected] [email protected] sp.katnauria @nic.i in - - tion ficer & Designa Responsible Of Smt. Geeta Narayan Director Shri S.P. Katnauria Shri Sujit Gulati Joint Secreatary Shri S.P. Katnauria Shri Prathvi Raj Meena, Deputy Secretary Shri S.S. Das, Director (%) tage Weigh 10.0 10.0 2.0 2.0 1.0 1.0 - - - (i) Processing of applications in Advertisement. response to (ii) Issue of sanction approved proposals under the Scheme for Integrated Parks (SITP) Textile Dilution Order under Jute Packaging Materials (Compulsory Use in Pack ing Commodities) Act, 1987 (JPM ing Commodities) Act) Release of Grants-in aid to grantees Services / Transactions (i) Constitution/ Re-constitution of Board of Directors Jute sector. Appointment of CMD in NJMC / (ii) officers within the purview of JTM. Appointment of Chairman & Manag ing Director / Directors -(Technical) / (Marketing) (Finance) (HR) CVO and other Directors within the purview of BIC. Appointment of Chairman & Manag ing Director / Directors -(Technical) / (Marketing) (Finance) (HR) CVO and other Directors within the purview of NTC 9 6 7 8 Sl 11 10 No

173 Ministry of Textiles to Nil Nil Nil Nil Nil be Fee paid - - - - - Required Documents Receipt of the pro posal, fully completed in all respect with approvals. As per the instructions issued by Planning Commission, Ministry of Finance and Cabi net Secretariat from timr to time Proposal from the from (i) Proposal stakeholders such as Committee, Textile COEs, Industry play ers etc. Receipt of the pro posal, fully completed in all respect with approvals. Receipt of the pro posal, fully completed in all respect with approvals. - Process involved Scrutiny of bills issue cheques / Demand Drafts ing of deficiency queries if any. Receipt of proposals from Admn. Receipt of proposals from Division. Scrutiny of proposals in Integrated Finance Wing and rais (i) Consideration of proposal by HSN Sub-Committee under the chairpersonship of Joint Secretary which approves and recognize the list of HS code and recommend for recognition the codes to DGFT for monitoring trade data purpose. (i)Processing of claims received TXC. from O/o (ii)Issue of sanction to Banks (iii)Sending Bills to P&AO of funds through Transfer (iv) RTGS i) Maximum time taken for processing of application for skill Centres. Training ii) Issue of sanction approved courses. time taken to conduct Average iii) the awareness programme. No.) Mobile (Phone 011- 23062610 011- 23061537 011- 23063446 91-22- 22004510 / 22014446 011- 23061003 Email [email protected] [email protected] Prerna.sood@ nic.i n - - - tion ficer & Designa Responsible Of Shri Jeetendra Jha Controller Kr. Accounts of Shri A.K. Sharma Shri Deputy Secretary Shri S.S.Das, Director Shri A.B. Joshi, Shri Commis Textile sioner Ms. Prerna Sood Director (%) tage Weigh 2.0 10.0 10.0 10.0 10.0 - - Payment of Bills by PAO Views on SFC/EFC Notes / Cabinet Views Notes to the Concerned Ministries Forwarding of HS Codes to DGFT to Forwarding of HS Codes to DGFT Textile Technical be recognized as products. Release of subsidy under TUFS to Release of subsidy under Banks after communicating sanc tion. Maximum time taken for process ing of application under Integrated Skill Development Schemes (ISDS) Approved and Issue of Sanction Courses. Services / Transactions Sl 16 15 14 13 12 No

174 Annual Report 2013-14 to Nil Nil Nil be Fee paid - - Required Documents Receipt of the griev ance proposal fully completed in all re spect with approvals. - Service Book, clearance, Vigilance Pension papers etc. - - - - Process involved ment of grievances received through centralized Public Griev ance Refdress and Monitoring system (CPGRAMS) taken to forward grievance Time iii) to the concerned officer for neces sary action taken to reply the ap - Time iv) plicant i) Time taken for acknowledgement Time i) of grievances; taken for acknowledge Time ii) Schedule posting, Interest Calcula tion, preparation and issue of Annual Statements Scrutiny of Service Book, Pension Calculation, Preparation and issue of PPO No.) Mobile (Phone 011- 23061537 23063192 011- 23062610 Email [email protected] - - tion ficer & Designa Responsible Of Shri A.K. Sharma Shri Deputy Secretary Shri Sujit Gulati Joint Secreatary Shri Jeetendra Jha Controller Kr. Accounts of (%) tage Weigh 16.0 2.0 2.0 Redressal of Grievances received in the Ministry Issue of Annual statement of GPF Issue of Account Despatch of Pension Authority to the Despatch of Pension CPAO Services / Transactions Sl 19 18 17 No

175 Ministry of Textiles Section Diary / Despatch Register Data source Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register 2.0 4.0 1.0 1.0 2.0 1.0 0.50 0.50 Weight

Unit Days Days Days Days Days Days Days Days 15 30 30 60 60 30 180 180 dards Service Stan ------Success indicators i) Initiating process of reconstitu / Commit tion of various Board’s tees 6 months before expiry of the existing Board / Committee. ii) Maximum time taken from the date of receipt the proposal, fully completed in all respect with approvals. i) Initiation of process by the Ministry ii) Initiation of process for appoint ments. iii) Maximum time taken from the date of receipt the proposal, fully completed in all respect with approvals. i) Initiating process of reconstitu / Commit tion of various Board’s tees 6 months before expiry of the existing Board / Committee. iii) Maximum time taken from the date of receipt the proposal, fully completed in all respect with approvals. ii) Initiation of process for appoint ments. 8.0 2.0 2.0 Weight - - (i) Reconstitution of Board’s / Com (i) Reconstitution of Board’s mittees / Board of Governors (BOG) / Board of Directors CCIC NIFT Committee / SVPISTM. Textile Appointment of officers within the Textiles purview of the Ministry Services / Transactions (ii) Appointment of Director General / (ii) CVO / Managing Director Secretary / / officers within the purview of NIFT Committee / SVPISTM Textile CCIC / (i) Constitution / re-constitution of Central Silk Board. (ii) Appointment of Chairman / Direc (ii) tor (Finance) / officers within the purview of the Central Silk Board. Service Standards 3 1 2 Sl No. (ii)

176 Annual Report 2013-14 Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Data source Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register 5.0 1.0 1.0 1.0 2.0 10.0 0.50 0.50 Weight

Unit Days Days Days Days Days Days Days Days 40 15 60 30 60 30 30 180 dards Service Stan - - - - - i) Processing of application in Advertisement. response to Success indicators Maximum time taken from the date of the receipt proposal complete in all respect. ii) Maximum time taken from the date of receipt the proposal, fully completed in all respect with approvals. i) Initiation of process for appoint ments. i) Initiating process of reconstitu / Commit tion of various Board’s tees 6 months before expiry of the existing Board / Committee. iii) Maximum time taken from the date of receipt the proposal, fully completed in all respect with approvals. Issue of Sanction Order after concurrence of IFD for release funds ii) Initiation of process for appoint ments. 2.0 2.0 2.0 10.0 10.0 Weight - - - (i) Processing of application in re sponse to Advertisement. sponse to (ii) Issue of sanction approved proposals under the Scheme for Integrated Parks (SITP) Textile ing Director / Directors -(Technical) ing Director / Directors -(Technical) / (Marketing) (Finance) (HR) CVO and other Directors within the purview of NTC / BIC. Appointment of Chairman & Manag (i) Constitution/ Re-constitution of Board of Directors Jute sector. Services / Transactions Release of Grants-in aid to grantees Dilution Order under Jute Packaging Materials (Compulsory Use in Pack Act) Act, 1987 (JPM ing Commodities) (ii) Appointment of CMD in NJMC / (ii) officers within the purview of JTM. 8 4 6 7 5. Sl No.

177 Ministry of Textiles Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Data source Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register 5.0 6.0 2.0 2.0 5.0 5.0 2.0 2.0 10.0 10.0 Weight Unit Days Days Days Days Days Days Days Days Days Days

7 30 90 30 30 90 30 15 15 30 dards Service Stan - - - Average time taken for consider Average ation of proposals i) Maximum time taken for processing of application for skill Centres. Training ii) Issue of sanction approved courses time taken to conduct Average iii) the awareness programme time taken for release of Average subsidy ii) Issue of sanction approved proposals. Success indicators Maximum time taken from the date of receipt the proposal Maximum time taken from the date of receipt the proposal complete in all respect Proposal from the stakehold - from Proposal Committee, Textile ers such as COEs, Industry players etc. Maximum time taken for dispatch after receipt of the proposals com plete in all respect. 2.0 2.0 10.0 10.0 10.0 10.0 Weight - Payment of Bills by PAO Forwarding of HS Codes to DGFT to Forwarding of HS Codes to DGFT Textile Technical be recognized as products. Release of subsidy under TUFS to Release of subsidy under sanction. communicating after Banks Maximum time taken for process ing of application under Integrated Skill Development Schemes (ISDS) Approved and Issue of Sanction Courses. Services / Transactions Views on SFC/EFC Notes / Cabinet Views Notes to the Concerned Ministries Despatch of Pension Authority to the Despatch of Pension CPAO 9 Sl 11 13 10 12 14 No.

178 Annual Report 2013-14 Section Diary / Despatch Register Data source Section Diary / Despatch Register Section Diary / Despatch Register Section Diary / Despatch Register 2.0 4.0 4.0 4.0 4.0 Weight - Unit Days Days Days Days 4 2 7 60 year. dards August of st 31 Service Stan - the succeeding - - - i) Time taken for acknowledgement Time i) of grievances. Success indicators ii) Time taken for acknowledge Time ii) ment of grievances received through centralized Public Griev ance Refdress and Monitoring system (CPGRAMS) Last date of issue the statement iii) Time taken to forward grievance Time iii) to the concerned officer for neces sary action iv) Time taken to reply the ap - Time iv) plicant

2.0 16.0 Weight

Note: Wherever the service standards indicated is 7 days or less, only working will be counted. Redressal of Grievances received in the Ministry Issue of Annual statement of GPF Issue of Account Services / Transactions Sl 16 15 No.

179 Ministry of Textiles

Services to Citizens are provided by the feedback / suggestions from the users Responsibility Centres (RCs) for the sub- may be sent to Shri A. K. Ganguly, sectors covering the entire Textile Industry Deputy Director, Economic Division, through the Citizen’s Charters prepared Ministry of Textiles, Udyog Bhawan, by the RCs. For any deficiency/dispute, New Delhi at [email protected]. citizens may approach the RCs and when Suggestions on the Clients’ Charter may not satisfied, may approach the Ministry be sent to A.K. Palit, Assistant Director at as per above service standards. [email protected].

Our Information and Facilitation Detailed information is given on website Counter (IFC) is situated near Gate of the Ministry (http://ministryoftextiles. No. 18, Udyog Bhavan, New Delhi. Any gov.in)

180 Annual Report 2013-14

CHAPTER XV WELFARE OF SCHEDULED CASTES, SCHEDULED TRIBES AND WOMEN

181

Annual Report 2013-14 CHAPTER XV WELFARE OF SCHEDULED CASTES, SCHEDULED TRIBES AND WOMEN

JUTE objectives of the programme include substantial reduction of poverty & SCHEDULED CASTE SUB-PLAN (SCSP) unemployment, creating productive AND SCHEDULED TRIBE SUB-PLAN assets, human resource development (STSP) AND WOMEN COMPONENT and arrest exploitation through physical PLAN (WCP). and financial security among the National Jute Board (NJB) performs Scheduled Castes and Scheduled activities related to jute industry which are Tribes. generally Companies or other business Keeping in view these objectives and entities. As such its expenditure are not the revised guidelines, the Ministry of directed towards any individual. During Textiles was earmarked a provision of the year 2012-13, Rs.1.60 crores was Rs. 41.21 crores (excluding NE States) earmarked for Scheduled Caste Sub- for sericulture sector from out of total Plan (Jute Technology Mission) and Rs.1.28 crores for Scheduled Tribe Sub- outlay of Rs. 291.00 crores approved for Plan (Jute Technology Mission). The said CDP, for implementation of Scheduled amount was utilized under respective Castes Sub-Plan (Rs. 32.21 crores) and schemes of the Mini Mission IV of the Tribal Sub-Plan (Rs. 9.00 crores) during Jute Technology Mission. NJB, however, 2013-14. Accordingly, the State-wise received no allocation against Women break-up of funds earmarked exclusively Component Plan (WCP) in 2012-13. No for SCSP and TSP from CDP has been grant under the above three sub-head worked out and communicated to the have been received in 2013-14. Departments of Sericulture in States. During 2013-14 (up to October, 2013) Rs. SILK SECTOR 22.45 Crore and Rs.9.00 Crore has been released under CDP for implementation IMPLEMENTATION OF SCHEDULED of Scheduled Castes Sub-Plan and CASTES SUB-PLAN (SCSP) AND TRIBAL Tribal Sub-Plan respectively. SUB-PLAN (TSP) UNDER CDP DURING 2013-14 WOOL SECTOR Planning Commission, has formulated There are no separate programmes/ revised guidelines to ensure channelizing schemes for SCs/STs implemented proportionate flow of Plan Outlay from by central Wool Development Board. general sectors for implementation However, most of beneficiaries under of schemes which directly benefits Boars’ schemes belong to rural and far the individuals or families belonging flung hilly and deser areas in all major to Scheduled Castes and Scheduled wool producing States involved poorer Tribes commencing from 2011-12. The from Schedule Caste/ Schedule Tribe

183 Ministry of Textiles

community. During 2013-14, the Board During the year 2013-14, an amount of utilized Rs. 2.00 crores for schedule Rs.31.74 crore under schedule caste sub Caste/ Schedule Tribe. plan (SCSP) and Rs. 10.41 crore under tribal sub plan (TSP) has been provided. HANDLOOM SECTOR An amount of Rs.26.15 crore under SCSP and Rs.4.43 crore under TSP has been The handloom sector employs 43.31 lakh incurred upto 30.11.2013. persons in weaving and allied activities with 23.77 lakh handlooms. This sector HANDICRAFTS is weaver-specific/occupational in nature, with the majority of weavers belonging to Office of the Development Commissioner the poorest and the marginalized sections (Handicrafts) seven generic schemes of the society. Of the total adult workforce, viz. Baba Saheb Ambedkar hastshilp 10.13% of the weavers are schedule Vikas Yojana; Design and Technology Up- castes, 18.12% are schedule tribes, gradation Scheme; Marketing Support 45.18% are other backward classes and and Services Schemes; Research & remaining are from other castes as per Development Scheme, Human Resource the report of handloom census of India Development Handicrafts Comprehensive (2009-10). Artisan Welfare Scheme and Infrastructure and Technology Devlopment Scheme. The plan handloom schemes operated All these schemes play a vital role in by this office are equally applicable the empowerment and upliftment of to all categories of weavers, including women artisans and artisans belonging SCs, STs, OBCs & women. Under these to Scheduled Castes and Scheduled schemes, weavers are provided financial Tribes. support towards (i) modernisation and upgradation of technology, (ii) input Of total workforce engaged in handicrafts, support, (iii) marketing support, (iv) estimated 56.1% are women, and 28.30 publicity & exhibition, (v) infrastructural % belong to SC/ST category (Source support, (vi) welfare measures, (vii) : Census Survey, 2012-13). There development of exportable products (viii) are certain crafts, which are practiced research & development etc. predominantly by women like embroidery, mat weaving, etc. Special attention is In the plan schemes, separate allocation being paid to ensure that a large number of budget under schedule caste sub of women artisans get benefit of all the plan (SCSP) and tribal sub plan (TSP) is developmental schemes, such as training, provided and during 2012-13, Rs.21.72 marketing related programmes, National crore under SCSP and Rs.9.09 crore Awards, exhibitions, etc. under TSP was incurred.

184 Annual Report 2013-14

CHAPTER XVI TEXTILES IN NORTH EASTERN REGION

185

Annual Report 2013-14

CHAPTER XVI TEXTILES IN NORTH EASTERN REGION

The details of Budget Allocation to NER during 12th Plan is given at Table 16.1.

Table 16.1 (Rs. in crore)

Sl. Item Total allocation Allocation for Allocation for Expenditure No. NER (BE) NER (RE) 1 12th Five Year Plan 25931.00 2593.10 2 Annual Plan 2012-13 7000.00 700.00 450.00 184.65 3 Annual Plan 2013-14 4631.00 463.10 390.00 232.71

The details of outlay and expenditure for North East Region during 11th Five Year Plan is given at Table 16.2.

Table 16.2 (Rs in crore)

Year BE Amount year NER Expenditure % Expenditure over marked (NER) amount earmarked (NER) 2007 - 08 2243.00 224.00 143.99 64.28 2008 - 09 2500.00 250.00 159.50 63.80 2009 - 10 4500.00 450.00 143.03 31.78 2010 - 11 4725.00 472.50 139.77 29.71 2011 - 12 5000.00 500.00 247.38 49.48 Total 18968.00 1896.50 833.67 44.00

With the introduction of the North Eastern 15.5 lakh handlooms in north eastern Region Textile Promotion Scheme, region(NER).In contrast to the national the plan expenditure in the region is trend, the North Eastern States recorded expected to increase from the financial an increase in the number of weavers’ year 2014-15. households from 14.6 lakh weavers’ households (in 1995) to 15.10 lakh HANDLOOMS weavers’ households (Census 2009-10). As per the handloom census 2009-10, the A large majority of looms in the North handloom sector provides employment to Eastern States are engaged in domestic 43.31 lakh persons engaged on 23.77 production and relatively less proportion lakh handlooms across the country, out is into mixed production i.e domestic as of which there are 21.6 lakh weavers and well as commercial production. This is

187 Ministry of Textiles

primarily because handloom weaving is A special dispensation has been made for part of the culture across all social groups the North Eastern States under the Cluster in NER. As per Census 2009-10, the Development Programme. In respect of dominance of female weavers in the total those states, the grant towards technological weavers’ work force is highest in North upgradation is shared between Centre, Eastern States. State Governments and the implementing agencies in the ratio of 90:5:5 respectively Three Weavers’ Service Centres (WSCs), at Guwahati, Agartala and Imphal whereas for general states, it is in the are functioning as nodal centres for ratio of 70:20:10 respectively. The state- development of designs and dissemination wise details of cluster & group approach of information to the weavers in the region projects sanctioned in NER during last about the breakthrough made in the 3 years and current year 2013-14 are handloom technology. Further, 2 more given at Table 16.3 & 16.4. During 2013- WSC in Nagaland & Mizoram are being 14, a sum of Rs.13.68 crore and Rs.1.17 set up. The Indian Institute of Handloom crore has been released for cluster & Technology (IIHT) set up at Guwahati, group approach projects respectively caters to the requirements of the handloom including committed liabilities during the sector for technically qualified manpower. year 2013-14.

Table 16.3

State-wise number of Clusters taken up under IHDS in NER

Sl. Name of 2010-11 2011-12 2012-13 2013-14 No. the State (Phase – VI) (Phase – VI) No. of Amount No. of Amount Amount Amount clusters released clusters released released released sanc- (Rs. in sanctioned (Rs. in (Rs. in (Rs. in tioned lakh) lakh) lakh) lakh)

1 Arunachal -- 59.80 7 361.91 124.67 111.88 Prd.

2 Assam 12 428.98 24 397.92 396.77 413.31

3 Manipur 6 616.76 27 1316.08 - 487.95

4 Meghalaya -- 95.40 2 95.67 76.87 -

5 Mizoram 1 15.58 - 39.33 21.85 -

6 Nagaland 5 561.43 5 644.47 82.56 195.12

7 Sikkim ------

8 Tripura 6 95.34 - 429.89 - 160.589

Total NER 30 1873.29 65 3285.27 702.72 1368.849

188 Annual Report 2013-14

Table-16.4

State-wise number of Group Approach projects taken up and amount released under IHDS in NER

Sl. Name of 2010-11 2011-12 2012-13 2013-14 No. the State No. of Amount No. of Amount Amount Amount group released Group released released released Approach (Rs. in Approach (Rs. in lakh) (Rs. in (Rs. in projects lakh) projects lakh) lakh) sanc- sanc- tioned tioned

1 Arunachal 14 127.74 17 109.71 - 19.71 Prd.

2 Assam 33 138.60 34 182.14 46.20 -

3. Manipur - - 347 139.95 - -

3 Meghalaya 14 165.33 24 450.34 9.79 97.46

4 Mizoram 23 181.92 - 20.89 50.05 -

5 Nagaland 11 240.91 13 436.74 53.73 -

6 Sikkim 15 47.12 20 67.24 12.23 -

7 Tripura 42 192.20 - 42.82 - -

Total NER 152 1093.82 455 1449.83 172.00 117.17

During 12th plan, IHDS has been merged in events of various categories. The Comprehensive Handlooms Development details of marketing events i.e. Scheme (CHDS), under National National Handloom Expos, Special Handloom Development Programme: Handloom Expos, District Level Events sanctioned under the Marketing and • To provide marketing support, the Export Promotion Scheme during the Government of India provides financial last 3 years & current year & funds assistance to organize marketing released are given at Table 16.5.

Table 16.5 (Rs. in crores)

Sl. Name of 2010-11 2011-12 2012-13 2013-14 No. the State STATES Phys- Finan- Physi- Finan- Physi- Finan- Physi- Finan- ica1 cial cal cial cal cial cal cial 1 Arunachal 06 1.75 07 0.38 08 - - 0.00 Pradesh 2 Assam 82 5.73 89 4.60 65 3.48 19 2.21

189 Ministry of Textiles

Sl. Name of 2010-11 2011-12 2012-13 2013-14 No. the State 3 Meghalaya 07 0.42 10 0.58 01 0.05 - 0.13 4 Manipur 14 1.64 18 1.72 16 1.62 06 0.00 5 Mizoram 13 0.05 12 0.14 - 0.00 05 0.00 6 Nagaland 50 2.33 50 2.37 54 1.77 14 1.27 7 Tripura 20 0.44 23 1.10 23 0.54 03 0.43 8 Sikkim 04 0.13 13 0.52 10 0.57 07 0.39 Total 196 12.49 222 11.41 177 8.03 54 4.43

Implementation of Mill Gate plan and 2012-13 and 2013-14 is given at Price Scheme (MGPS) in North Table 16.7. Eastern Region Table 16.7 The MGPS has been implemented Year Quantity Value (Rs. throughout the country including North (lakh kg) in crores) Eastern Region (NER). This region is extended special dispensation by the 2007-08 2.597 5.15 Government, i.e. the rate of freight 2008-09 2.444 6.33 reimbursement has been kept higher as compared to other States keeping in view 2009-10 3.618 9.40 the special requirement of this region. 2010-11 2.638 11.11 The rate of reimbursement admissible 2011-12 2.344 8.48 under MGPS for transportation in NER as well as other region is at Table 17.6. 2012-13 2.696 12.46

Table 16.6 2013-14 2.830 11.34 (% of value of yarn supplied) • Welfare Measure: Government Area Freight of India has been implementing Other Silk Jute/jute ”Handloom Weavers Comprehensive than silk/ yarn blended Welfare Scheme” all across the jute yarn yarn country with the following two components: In plain 2.5% 1% 10% areas (i) Health Insurance Scheme (HIS) is Hills/ 2.5% 1.25% 10% implemented through ICICI Lombard remote General Insurance Company Ltd. areas The health Insurance Scheme North- 5% 1.50% 10% covers not only the weaver but his east wife and two children also. The region ancillary handlooms workers like those engaged in warping, winding, The supply of yarn to North Eastern dyeing, printing, finishing, sizing, Region(NER) under the Mill Gate Price Jhala making, jacquard cutting etc. Scheme(MGPS) during the 11th Five year are also eligible to be covered under

190 Annual Report 2013-14

the scheme. The scheme covers all Table 16.8 pre-existing diseases as well as new diseases and a substantial provision Benefits has been kept for OPD. The annual limit per family is Rs.15,000/- out of Natural Death Rs.60,000/- which OPD cover will be Rs.7500/-. In 12th Plan, the limit has been enhanced Accidental Death Rs.1,50,000/- to Rs.37500/- (Rs. 7500/- for OP & Rs.3000/- for IP) for a family of five Total Disability Rs.1,50,000/- members. After 2014-15 the HIS will be merged with RSBY scheme Partial Disability Rs.75,000/- of Ministry of Labor & Employment (MoLE) A Scholarship of Rs.300/- per quarter per child is available to students studying in (ii) Mahatma Gandhi Bunkar Bima standard IX to XII. The benefit is restricted Yojana (MGBBY) is implemented to two children of the member covered. through LIC of India. The scheme aims to provide insurance cover to State-wise number of weavers the handloom weavers in the case of enrolled under Mahatma Gandhi natural as well as accidental death. BunkarBimaYojana and Health Insurance The benefits are as mentioned at Scheme (Table 17.9) Table 16.8. Table 17.9

Name of Mahatma Gandhi BunkarBimaYojana Health Insurance Scheme State 2010- 2011- 2012-13 2013-14 Policy Policy Policy 2013-14 11 12 Year year year (ex- 2009- 2010-11 2011-12 tended 10 (30.11.10 (30.11.11 period to to of policy 29.11.11) 29.11.12) year 2011-12) Arunachal 0 0 0 0 855 1787 6000 6000 Pradesh Assam 34322 54811 58607 58323 352124 355322 387563 387563 Manipur 1062 16235 9334 5015 29991 34587 51135 51135 Megha- 2920 14000 0 15500 35250 30000 30919 30919 laya Mizoram 59 59 0 0 110 1129 1386 1386 Nagaland 0 0 0 0 32820 50000 39501 39501 Sikkim 0 104 180 262 55 400 342 342 Tripura 1548 0 1000 24692 25250 21851 9367 9367 TOTAL 39911 85209 69121 103792 476455 495076 526213 526213

191 Ministry of Textiles

HANDICRAFTS 1. Regional Office/Regional Design and Technical Development Centre at The Handicrafts Sector in NER plays Guwahati. a significant & important role in the country’s economy. It provides 2. Handicrafts Marketing and Service employment to a vast segment of craft Extension Centres at Agartala persons in rural & semi urban areas and (Tripura), Aizwal (Mizoram), Imphal generates substantial foreign exchange (Manipur), Itanagar (AP), Kohima for the country, while preserving its (Nagaland), Shillong (Meghalaya), cultural heritage. Handicrafts have Gangtok (Sikkim) and Gauripur, great potential, as they hold the key for Joharat in Assam. sustaining not only the existing set of 3. Bamboo & Cane Development millions of artisans spread over length Institute at Agartala. and breadth of the country, but also for the increasingly large number of new 4. Departmental Training Centres in entrants in the crafts activity. Presently, Cane &Bamboo – 9 (These centres handicrafts contribute substantially to are peripatetic in nature). employment generation and exports. The SCHEMES ON HANDICRAFTS Handicraft sector in NER has, however, DEVELOPMENT suffered due to its being unorganized, with the additional constraints of lack of During the period 1.1.2013 to 31.3.2014 education, low capital, poor exposure to the Government of India implemented new technologies, absence of market seven generic schemes in the intelligence, and a poor institutional central sector for holistic growth and framework. development of handicrafts sector in NER. Brief highlights of the schemes Some of the important crafts of this region are as under: are Cane and Bamboo, Mat weaving, Basketry, Wood work, Carpet weaving, 1. Baba Saheb Ambedkar Hastshilp Brass craft, Hand-block printing, Jewellery, Vikas Yojana Stone work, Jute handicrafts, Conch shell, Date leaf, etc. This scheme aims to promote Indian handicrafts by developing artisans’ The handicrafts of North-Eastern region clusters into professionally managed have gained popularity all over the and self-reliant community enterprise country. However, some how, it has not on the principles of effective member penetrated in the domestic up markets participation and mutual cooperation. and in the international markets. As a The thrust of the scheme is on a project result, the exports from this region, is very based; need based integrated approach insignificant. for sustainable development of handicrafts through participation of craftspersons. ORGANIZATIONAL SETUP OF THE Under Baba Saheb Ambedkar Hastshilp OFFICE OF DC (HANDICRAFTS) Vikas Yojana Scheme an amount of Rs. The office of the Development 5.34 Crore have been sanctioned for Commissioner (Handicrafts) has 20 clusters during the period 1.1.2013 considerable presence in North East. Its to 31.3.2014 for ongoing projects and offices are as under: reimbursement cases.

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2. Design & Technical Up-gradation iii) Publicity The scheme aims to upgrade artisan’s • Publicity through print and electronic skills through development of innovative media. designs and prototype products for • overseas market, revival of languishing Publicity through maps, folders, crafts and preservation of heritage etc. brochures catalogues and pamphlets, etc. Under Design & Technical Upgardation • Scheme an amount of Rs. 4.38 Crore Publicity through Website, CD ROMs have been sanctioned during the period etc. 1.1.2013 to 31.3.2014 for the 31 different • To create Brand image for Indian activities viz Design Workshops/projects/ Handicrafts. Assistance to Shilp persons etc. Under Plan scheme of Marketing & 3. Marketing Support and Services Support Services Scheme an amount schemes of Rs. 6.71 Crore have been sanctioned during the period 1.1.2013 to 31.3.2014 The scheme has the following three broad for 104 Marketing activities like Gandhi components: Shilp Bazaar, Craft Bazaars, Exhibitions, sourcing shows including activities i) Domestic Marketing undertaken under International marketing • Marketing Events covering Crafts component, hiring of Stalls by various Bazaar/Gandhi Shilp Bazar; regions, participation in International Exhibitions; Sourcing Shows & Travel events and various advertisement. & transportation assistance. 4. Human Resource Development • Marketing Infrastructure covering; Scheme Urban Haat; Emporia; Marketing Hub The Human Resource Development in Metros; Sourcing Hub in major Scheme has been formulated to provide clusters & Ware-housing facilities qualified and trained workforce for • Marketing Services covering establishing a strong production base Workshops/Seminars & Marketing coupled with improvement in quality and Studies within the country. use of appropriate techniques, processes and innovative design to meet present ii) International Marketing day market requirement. Under Plan scheme of Human Resource • Marketing Events covering Cultural Development Scheme an amount of Rs. Exchange Programmes; Fairs & 2.94 Crore have been sanctioned from Exhibitions; Thematic Shows Reverse 1.1.2013 to 31.3.2014 for 95 ongoing Buyer Seller Meet & Participation of projects and reimbursement cases. Entrepreneurs/ SHGs Federations/ National Awardees. 5. Research & Development • Social and Welfare Measures Research and Development scheme was covering Initiatives to counter introduced to conduct surveys and studies problems arising out of National/ of important crafts and make in-depth International laws, analysis of specific aspects and problems

193 Ministry of Textiles

of Handicrafts in order to generate useful 7. Infrastructure and Technology inputs to aid policy planning and fine Development Scheme (New tune the ongoing initiatives; and to have Scheme) independent evaluation of the schemes implemented by this office. The scheme The scheme aims at the development of has been continued for implementation world class infrastructure in the country during the Twelveth five year plan. to support handicraft production, and enhance the product quality and cost to Under Plan scheme of Research & enable it to compete in the world market. Development Scheme an amount of Rs. 1.46 Crore have been sanctioned The objectives of the scheme are as during the period 1.1.2013 to 31.3.2014 follows: for 47 ongoing studies/workshops and 1. To develop infrastructure in an reimbursement cases. like studies, equitable manner to support Seminar-cum-workshops & number of handicraft industry in the country registration under GIA/Logo Mark under IPR ACT. 2. To ensure availability required technology, product diversification, 6. Handicrafts Artisans Comprehensive design development, raw material Welfare Scheme. banks, and marketing & promotion facilities in nearest vicinity possible The scheme has been included in the 12th Five Year Plan as one of the major 3. To enhance the competitiveness of schemes with the following two main the products in terms of increased components, aimed at life Insurance market share and ensuring increased Cover and Health Care of Handicrafts productivity by higher unit value Artisan and his family: realization of the products

a) Rajiv Gandhi Shilpi Swasthya Bima 4. To improve the resource pool of Yojana. skilled persons in the country by developing high class institutes that Rajiv Gandhi ShilpiSwasthyaBimaYojana provide certified courses and degrees aims at financially enabling the artisans in Handicraft field – enhancing skill community to access to the best of development in the country healthcare facilities in the country. This scheme covers not only the artisans but No activities have been under the scheme also any three members out of spouse, during the period 1.1.2013 to 31.3.2014. dependent parents and children. SHILP GURU AND NATIONAL AWARD

b) Bima Yojana for Handicrafts Office of the Development Commissioner Artisans. [Handlooms] and Development The objective of “BimaYojanaFor Commissioner [Handicrafts] are jointly Handicrafts Artisans” is to provide life implementing a scheme of National insurance protection to the Handicrafts Awards for Master Weavers and Artisans, whether male or female, between Master Craftpersons since 1965. The the age group of 18-60 years. 15,784 main objective is to give recognition handicrafts artisans enrolled under the to the Masters for their excellence in Scheme during the march 2014. weaving and craftsmanship and valuable

194 Annual Report 2013-14 contribution to Indian Handlooms Tasar silk production is 100%, Mulberry and Handicrafts. The Award consists silk production is only 1% as the strength Rs.1,00,000/- in cash, a Tamarapatra, of the NE Region is in Vanya silks, as an Angavastram and a certificate. Ever a traditional produce. Overall NE Region since 1965 to 2010, as many as 89 contributes 16% of India’s total silk individuals have been conferred with production. It is interesting to note that, National Awards, of these 34 are Women. even though NE share of country’s raw Since 2002, 4 Mastercrafts persons have silk production is only 16% as at end of been conferred with Shilp Guru Awards. 2013-14, Assam is the 3rd largest producer of silk in the country, after Karnataka and SERICULURE Andhra Pradesh. Sericulture in North East existed as a Status of Silk Industry during XI Plan, practice amongst people since long, Achievements for 2013-14 in XII Plan: mostly as a subsidiary occupation. North East has the unique distinction Presently (by end of 2013-14 up to of being the only region producing four February), approximately 78,872 varieties of silk viz., Mulberry, Oak Tasar, hectares of land is covered under different Muga and Eri. The North Eastern States varieties of silkworm food plants in North contributes almost 99.78% Muga silk Eastern States and 3,37,106 families are production of the country. 99% Eri silk directly involved in sericultural activities production is from NE region. While Oak as given in Table 16.10.

Table 16.10

State Area under Food Plants (Hect.) Family Engaged in Mulberry Muga Eri Oak Total Sericulture (Nos.)

Total 23,380 15,397 32,107 7,988 78,872 3,37,106

Table 16.11 gives a comparative picture contribution was 14% of country’s silk of variety-wise raw silk production in the production at the end of XI Plan. This has country at the end of XI Plan and the increased to 16% by second year of XII production of first and second year of Plan (2013-14). the XII Plan (2012-13 & 2013-14). NE Table 16.11

2013-14 XI Plan 2012-13 (Achievements) April to (Achievements) (Achievements) # Particulars Feb (P) NE Total NE States Total States Total NE States Raw Silk Prod (M.T) i) Mulberry 18,272 148 18715 207 16546 175 ii) Non-Mulberry

195 Ministry of Textiles

2013-14 XI Plan 2012-13 (Achievements) April to (Achievements) (Achievements) # Particulars Feb (P) NE Total NE States Total States Total NE States a Tropical Tasar 1,586 -- 1725 -- 2525 -- b Oak Tasar 3.78 3.78 3.78 3.78 3 3 c Eri 3,072 3,028 3116 3077 3287 3257 d Muga 126 126 119 118.9 128 127.70 Sub Total(Non-Mulb) 4,788 3,157 4964 3199 5943 3388 NE share of Vanya Silk 66% 64% 57 Grand Total 23,060 3,305 23,679 3407 22489 3563 NE share of total Silk 14% 14% 16%

P: Provisional CSB’s interventions for Sericulture Plan, expenditure for 2012-13 & 2013- development in NE Region 14 and approved allocation for 2014-15 Table 16.12 indicates the details of major and also the share of investment going to schemes under CSB, actual expenditure North Eastern States. during XI Plan, approved outlay for XII Table 16.12 [Rs. in crore] Of Expen- Allo- Ap- Of Outlay Of Of Of Major Expen- which, diture cation proved which, for XII which, which, which, Schemes of diture. in NE in for for NE Plan NE NE NE CSB XI Plan Share 2012- 2013- 2014- Share Share Share Share 13 14 15 Research & Develop- ment, Train- 144.60 32.72 203.71 30.25 7.57 34.00 10.10 44.50 12.30 ing and IT initiatives Seed Or- 100 ganisation / 78.31 8.90 159.44 19.54 2.73 18.00 2.50 39.58 6.60 HRD Quality Certification 14.75 0.73 11.85 3.05 0.74 7.00 2.00 0.42 0.20 Systems Catalytic Development 821.74 229.05 889.00 266.00 205.16 62.85 291.00 78.00 213.00 60.00 Programme Total 1059.40 271.40 1264.00 258.00 73.89 350.00 92.60 298.50 79.20 Percentage 26 % 29% 29 % 27 % 27% of NE Share Coverage of Beneficiaries under CDP

196 Annual Report 2013-14

The details of beneficiaries covered under 2012) and XII Plan (2012-13 and 2013- CDP in NE States during XI Plan (2007- 14) are given in the Table 16.13.

Table 16.13

Year No. of Beneficiaries covered under CDP Of which SC ST Minorities Others Total Women 2,268 25,434 13,348 8,949 38,696 20,641 XI Plan 6% 66% 35% 23% 53% 437 5752 309 2,873 9,371 4,743 2012-13 5% 61% 3% 31% 51% 515 4730 148 1,103 6,496 3,754 2013-14 8% 73% 2% 17% 58%

All STs are Christian Minorities

TECHNICAL TEXTILES agriculture, horticulture, floricultural & sericulture produce of the N-E states Technical Textiles are high performance through awareness programmes, textiles that are applicable not only in development of Agrotextile products clothing but also in areas such as agriculture, suitably customized for use in the infrastructure development, slope erosion North-Eastern region, creating control and hills embankment, river bank demonstration set-up depicting erosion control, etc. the benefit of usage of Agrotextile products suitable for the region, Recognizing the relevance and potential distribution of Agrotextile kits to of the sector, the 12th Five Year Plan farmers in the local communities envisages 5-fold increase in outlay from etc. With increasing acceptability Rs 128 crs in 11th Five Year Plan to Rs of Agrotextiles,entrepreneurship in 703 crs during 12th Five Year Plan. Two the area of agrotextiles production new pilot schemes with special focus in the country will get an impetus. on the North East Region of India for The growth of usage of Agrotextile promoting usage of Geotechnical textiles products in the country will thus benefit and Agrotextiles with an overall outlay of both agriculturists as well as textile Rs. 482 crores over five years have been entrepreneurs in the country. The envisaged. The briefs of the schemes are scheme was launched in December as under: 2012 and is at its initial stage.

(i) Scheme for promoting usage of (ii) Scheme for Usage of Geotextiles Agrotextiles in North-Eastern in North Eastern Region-Scheme Region:Government of India has for promoting usage of Geotextiles in approved the scheme with a total North Eastern Region on a pilot basis outlay of Rs.55 crore. The aim of the in infrastructure projects of North East scheme is to encourage utilization was announced by Hon’ble Finance of Agrotextiles in improving the Minister in his Budget Speech

197 Ministry of Textiles

2012 and is at approval stage. The Objectives of the Scheme ultimate objective of the scheme is to encourage adoption of modern, The broad objective of the North East cost effective technology by utilizing Textile Promotion Scheme is to develop Geotextiles in development of the and modernise the textile sector in the infrastructure in North East, while North East Region by providing the improving the durability, function and required Government support in terms life of infrastructure. The scheme will of raw material, seed banks, machinery, cover pilot scale demonstration of common facility centres, skill development, usage of Geotechnical textile material design and marketing support etc. The in following central, as well as, state- specific objectives of the scheme include level infrastructure projects: increase in the value of textile production, technology upgradation, improvement in f. Road construction design capability, diversification of product g. Slope/Hill protection lines and value addition, better access to domestic and export markets, clusterisation h. Lining of water reservoir and improvement in labour productivity, market access & market promotion. The scheme has presently a financial outlay of Rs 427 crore. Strategies and Interventions (iii) In order to formulate the modalities A project-based implementation strategy after due deliberations and sensitize will be followed so as to provide region- the above plan schemes of Ministry specific flexibility in project design and of Textiles (MoT) for North Eastern implementation. The following strategies Region under 12th five year plan and and interventions will be adopted to achieve to promote the usage of Geotech and the objectives of the scheme: Agrotech in North Eastern Region, Office of the Textile Commissioner, (i) Textile clusters and parks will be MoT has conducted several seminars developed where the norms of size in the North Eastern Region and held of clusters or minimum number of meetings with Chief Secretaries of households or area limits of the North Eastern states. regular schemes will not apply.

North East Region Textile Promotion (ii) Marketing and promotion of textile Scheme (NERTPS) products will be encouraged by exposure visits to the existing or North East Region Textile Promotion new clusters/ parks, so that inputs to Scheme (NERTPS) was introduced on expand or modify their product lines 7th November,2013for the development are accessible. of the textile sector with a total outlay of Rs. 1038.10 crore during 12th Five (iii) Design studies linked to Common Year Plan in the North Eastern Region. Facility Centres (CFCs) / tool sheds A number of textle sector project will be will be entertained and design formulated and implemented under the consultants will be engaged. The Scheme which would give a big push to design input will be periodically textile industry in the North -East Region reviewed and if necessary, the particularly in Sericulture, Handlooms designer will be changed to facilitate and Handicrafts. fresh design inputs.

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(iv) Comprehensive Project for (viii) Project for setting up Integrated upgradation of powerloom units with Textiles Parks in the North Eastern modern shuttleless looms on hire States. purchase and projects for technology (ix) Textile sector Skill Development upgradation of the existing powerloom Project for the North Eastern States. / handlooms units on the lines of scheme for insitu upgradation of (x) Marketing Infrastructure Development powerlooms and TUFs for powerloom Project for the Textile Sector in the upgradation. North East.

(v) Skill development projects and (xi) Market Promotion of N.E. Textile projects for the development of & Handloom Products in India and sericulture, handicrafts, handlooms abroad including publicity. and other textile activities. (xii) Integrated Jute Development Projects for the North East. List of interventions/projects that are proposed to be implemented during the The following projects were approved 12th Plan is given below: by the Project Approval and Monitoring Committee (PAMC)/EFC on 17.12.2013 (i) Special project for upgradation of under the NER Textile Promotion Handlooms in NER Scheme:

(ii) Integrated Cluster Development I. Manipur Sericulture Project (Mulberry) Project for the North East. (total outlay Rs 149.758 cr.)

(iii) Manipur Sericulture Development II. Integrated Sericulture Development Project project for Arunachal Pradesh (total outlay Rs 34.73 cr.) (iv) Integrated Sericulture Development Project for the North East III. Cluster Development Project for Handloom (total outlay Rs. 135.56 (v) Integrated Handicraft Development cr) Project for the North East IV. Market Promotion of NE Textiles & (vi) Comprehensive Powerloom Handloom Products (total outlay Rs. Development project for the North 67.26 cr) East. V. Technology Upgradation for (vii) Technology Upgradation of Textile Handloom Sector for NER States units in the North Eastern States (Total outlay 47.63 cr) (Interest subsidy/Capital subsidy for specified technology upgradation)

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CHAPTER XVII HUMAN RESOURCE DEVELOPMENT

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Annual Report 2013-14 CHAPTER- XVII HUMAN RESOURCE DEVELOPMENT

INTEGRATED SKILL DEVELOPMENT Plan with an allocation of Rs. 1900 crore SCHEME (ISDS) to train 15 lakh persons.

Introduction: India is poised to become Objective of the Integrated Skill a significant player in the global textile Development Scheme: Integrated Skill economy both as a consumer and as a Development Scheme aims at:- producer of textiles. The Indian domestic 1. To address the trained manpower textiles and apparel market is one of needs of textiles and related the fastest growing market in the world. segments by developing a cohesive The most important growth driver is the and integrated framework of training robust economic growth that has been based on the industry needs. witnessed in the country. The textile Addressing this need is critical for industry as a part of manufacturing sector enhancing the competitiveness of the has been one of the important sectors industry in the globalised economy. to contribute towards and maintain GDP growth. A series of steps taken by the 2. To increase the employability of Government over a period to time has residents of the target areas through helped the industry to grow and sustain imparting of skills in the above in growth momentum. These include segments. many schemes that directly or indirectly 3. To ensure that the scheme is so sponsored by Central Government. As designed as to cater to the wide per the report of the Working Group on range of skill sets required in various Textiles and Jute Industry for the Twelfth segments as listed above, while Five Year Plan (2012-17), the requirement simultaneously ensuring sufficient of Human Resources in the Textile Sector flexibility to meet the dynamic needs would be about 178 lakhs, out of which 110 of these segments over a period of lakhs human resources would be required the next five years. in the mainstream Textile and Clothing Sector. To address the trained manpower Scope of the Scheme: The scheme needs of the textile and related segments, proposes to leverage on the existing the Government has introduced pilot strong institutions and training experience phase of Integrated Skilled Development within the Ministry under the Component-I, Scheme (ISDS) in the last two years of ensures private sector participation through the 11th Five Year Plan with an outlay of a PPP Model under Component-II and to Rs. 272 crore including Rs. 229 crore as fulfil the paucity of skilled manpower to Government contribution with a physical various states under Component-III which target of 2.56 lakh persons. The scheme comprises State Government Institutes/ is part of a Government wide focus on Agencies. Demand driven courses creating skill that is needed to enhance ranging from Basic Training, Skill up- the competitive advantage of India in the gradation, Advanced Training in emerging manufacturing and textile sector. The technologies, Training of Trainers, Scheme has been scaled up during 12th orientation towards modern technology,

203 Ministry of Textiles

retaining, skill up-gradation, managerial Empowered Committee is authorised to skill, entrepreneurship development etc. approve a higher level of government in sectors such as Apparel/garmenting, assistance in courses/programmes where powerlooms, Handicrafts, Handlooms, it is not feasible to organise the beneficiary Sericulture, Jute, Technical Textiles etc. contribution. The maximum grant per are allowed under the scheme. The trainee is estimated as Rs. 10,000/-. The Scheme targets to train 15 lakh persons pilot phase of the scheme has met with during 12th Five Year Plan. considerable success and achievements and has helped in providing adequate Funding Pattern: The Government workforce particularly in apparel sector. The provides assistance to the extent of scheme was implemented by leveraging 75% of the total cost of the project, and existing institutional strength and training balance 25% is envisaged to be met from experience within the Ministry. Fee/Industry Contribution. However, the

Secatary (textiles) Smt. Zohra Chatterji Visiting Skill Trainnig Ceatre Run by ATDC

Progress of Implementation: Associations, Apparel & Textile Design Centres, institutes under DC Handicrafts, Component-I: Skill development by DC Handlooms, Textiles Committee and augmenting and strengthening the capacity Office of Textiles Commissioner, Central of institutions and schemes under Ministry Silk Board etc. The proposals cover all the of Textiles. Through this component, sub sectors under Textiles. The projects the target is to train an additional 5 lakh are proposed to be implemented in 17 persons in various skill sets covering all States viz. Andhra Pradesh, Assam, Bihar, segments under the ambit of the Ministry of Chhattisgarh, Gujarat, Jammu & Kashmir, Textiles over a period of 5 years. Under the Jharkhand, Karnataka, Madhya Pradesh, Component I of ISDS, 18 proposals have Maharashtra Orrisa, Punjab, Rajasthan, been approved so far. The Implementing Tamil Nadu, Uttar Pradesh and West agencies are the Textile Research Bengal.

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Component-II: Skill development The proposed courses are demand driven in partnership with the private sector viz. and the curriculum has been designed industry, NGOs, institutions, Government keeping the industry requirement in mind. and potential employers. The target ATDC, as part of re-structuring course would be to train 5 lakh persons in all curricula for the garment and fashion segments through a PPP model over a sectors, has developed AICTE and NCVT period of 5 years. Total of 16 agencies approved new curricula which were have been awarded projects under this launched in “ATDC Skill Conclave.” component An online MIS www.isds-mot.com has been Component-III: This component designed to capture the progress of the proposes skill development in partnership projects. A skill exchange is also envisaged with State Government Agencies for under the scheme to bridge the demand training 5 lakh persons over a period of 5 and supply gap for trained manpower in years. Component-III has been introduced the textiles industry and also to provide during 2013-14 and proposals from State placement linkages to the trainees. Government have been invited. Projects received from Tripura, Tamil Nadu, Andhra Pradesh and Haryana have been approved.

Physical and Financial Achievements for the Year 2013-14 (01.01.2013 to 31.03.2014)

Components Physical Financial Achieve- Achieve- ments ments (Rs. (persons) in Crore) Hands on Tranning in Garmenting Component-I 133931 75.35 Sector Skill Council (SSC): As per Component-II 33017 35.29 Guidelines of the Scheme, Sector Skill *Component-III - 9.11 Councils (SSCs) have been proposed for Apparel, Textiles (including Handloom) Total 166948 119.75 and Handicrafts under the aegis of the * Project under Component-III of ISDS is taken up National Skill Development Corporation from February 2014 onwards . (NSDC) for signing MOU with the industry and other stakeholders to A special dispensation has been allowed ensure support to the scheme, identify by the Empowered Committee to projects skill gaps and technology to be taken up covering North Eastern and special for training, review international trends category States. Special dispensation in skill development and ratify curricula has been methodology and assessment standards developed by Resource Support also extended to projects in unorganized Agency. SSCs shall be the National sectors proposing to cover marginalized level apex bodies comprising experts and weaker sections of the society, who from all stakeholders of the textile value find it difficult to forego their daily wages chain, trade bodies central and state and pay for the training programme. Government officials, academia and

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research to ensure representation of Resource Support Agency (RSA): various sectors. Apparel, Made-ups and The Resource Support Agency (RSA) Home Furnishing Sector Skill Council under the scheme has been envisaged (AMHSSC) with AEPC as lead agency based on the specific sub- sectors of has been made operational with effect textiles such as spinning, weaving & from 03.02.2014. knitting, wrinkle processing, technical AMHSSC has so far identified 45 job textiles, handicrafts and apparel. They roles and finalized 5 Qualification Packs would provide the pedagogic inputs on for sewing machine operator, finishing quality control to the Skill programme and packing, fabric cutting, surface and work under the overall guidance ornamentation and sample making. of the Industry led by SSCs. RSA shall Sector Skill Council on Textile and be established as independent body Handloom with CITI as lead agency is in the final stage of approval by NSDC. and will report to SSCs and Project Sector Skill Council on Handicraft and Management Unit (PMU) on a regular Carpet with EPCH as lead agency is basis. PMU appointed by the Ministry is also in the process of obtaining requisite in the process of framing modalities and approvals for operationalization. TOR for the functioning of RSA.

NIFT Campus at Kanpur

NATIONAL INSTITUTE OF FASHION came into being in 1986, with a vision TECHNOLOGY (NIFT) to fulfil a growing need for professionals specialised in the field of fashion. Since its The National Institute of Fashion Technology inception under the Ministry of Textiles, it has

206 Annual Report 2013-14 emerged as a prominent leader in the field For the Institute, being a centre of of professional education, deftly combining excellence and innovation is not an end design with management and technology. in itself. Growth is meaningful only when the benefits go back to the roots. NIFT Today, NIFT is pioneering thought leadership through a network of upholds and nurtures its values of social professionally managed campuses located responsibility, developing numerous at Bengaluru, Bhopal, Bhubaneshwar, initiatives for collaboration with the Chennai, Gandhinagar, Hyderabad, crafts sector and skill building among Jodhpur, Kangra, Kannur, Kolkata, underprivileged segments of the society. Mumbai, New Delhi, Patna, Raebareli The Craft Cluster Initiative is a landmark and Shillong. effort which seeks to connect the students with artisans of various crafts, NIFT focuses on creating a multidisciplinary across the country. This encourages and professional environment for its the craftsmen to broaden their outlook students. The studios and laboratories and update their product, production are equipped with up-to-date machinery and software at par with the best industrial technical knowledge and skills, making set-ups. Practical interactive instructions their venture more profitable. On the other are conducted by trained and experienced hand, it sensitizes the students towards faculty. The policy of hands-on, collaborative the crafts, encouraging collaboration and learning at NIFT encourages Faculty understanding between modern design exchange programs and internships. and age-old traditions. The initiative has The Institute constantly seeks to share provided a boost to the craft centres, knowledge and expertise with professional not the least by encouraging the next and educational organisations. generation of craftsmen to continue their tradition. Through this and other efforts, To be at par with the global platform, the institute has been a key agent in NIFT has an international presence, sustaining and uplifting the Indian craft encouraging exchange programs with sector. partner institutes, as well as student participation in international events and Over the years, NIFT has created a contests. The international exchange favourable environment for progress and program provides the students with development in its sector. It continues to an understanding of global markets foster a meaningful dialogue between the and trends as well as providing an youth, the industry and the consumer. opportunity of interaction with varied models of design education. Across its 15 campuses, NIFT offers undergraduate and postgraduate degrees NIFT also offers Continuing Education as follows: programs, engaging aspiring as well as working professionals in a wide range Undergraduate Degrees – Bachelor of focused programs. These courses Programmes train professionals for various mid-level positions, offering a medium of upgradation, A -B.Des. - Bachelor of Design or an entry for young professionals, and at Specializations: times acting as a catalyst for professionals to return to the workforce. • Accessory Design

207 Ministry of Textiles

• Fashion Communication CONVOCATION • Fashion Design

• Knitwear Design

• Leather Design

• Textile Design

B - B.F.Tech. - Bachelor of Fashion Technology • Apparel Production Convocation of NIFT, New Delhi, Class of 2013

Postgraduate Degrees - Masters NIFT Convocation is organised every year to Programmes confer degrees to the Graduating students • Master of Design - M.Des of that academic year. In 2013, individual campuses organised convocation • Master of Fashion Management - ceremonies. Also, the Convocation was M.F.M. completed within the semester period, • Master of Fashion Technology - thus maintaining continuity and ensuring M.F.Tech. better participation of graduates. A total of 1715 Graduates and Post Graduates received their degrees in 2013 as per details given in Table 17.1

Table 17.1

18th Annual Convocation Batch wise graduating student strength across NIFT Campuses Total Patna Bhopal Kannur Kolkata Mumbai Chennai Shillong Jodhpur Raebareli New Delhi Bengaluru Hyderabad Department Bhubneswar Gandhinagar

AD 33 26 27 33 31 30 27 25 232 FC 22 33 31 86 FD 32 31 45 33 40 29 35 28 32 25 330 KD 23 32 24 30 109 LD 29 33 62 TD 28 30 28 32 34 32 29 26 239 BFT 30 23 29 22 25 22 18 31 200 MoD 27 29 56 MFM 37 29 31 37 34 30 27 34 34 28 321 MFT 28 24 28 80 Total 210 56 29 163 200 154 30 185 51 165 307 56 59 50 1715

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REPORT ON PROJECTS UNDERTAKEN 6. Uniform Design for the students of BY NIFT KendriyaVidyalayaSangthan.

NIFT undertakes consultancy projects ­­­PLACEMENTS AND INDUSTRY from various Government and Non COORDINATION Government Organisations across its Campuses. Projects provide exposure NIFT Campus Placements 2013 were to faculty and experiential learning to held at 7 campuses of NIFT viz. New students. It benefits various stakeholders Delhi, Bangalore, Chennai, Mumbai, from technical skills and design Gandhinagar, Kolkata & Hyderabad interventions. Details of some major during 29thJanuary to 20th February 2013. projects undertaken by NIFT recently, are A total of 374 companies registered for as under: Campus Placements offering1733 job vacancies. 1. Course Curriculum Development for Jan Shikshan Sansthans in Fashion The number of companies which Technology related Trades from participated in on site-campus NLMA, MHRD; placements was 293, out of which 192 recruited 709 students and 92 students 2. Development of E-content under were placed through Pre-Placement NME-ICT for MHRD : Offers (PPOs) resulting in the placement 3. Curriculum development for Fashion of 801 students. The strength of the Design Garment Technology and appearing batch was 1914 out of which Textile Design under the stream of 1601 students have registered for vocational education for class XI and campus placements. A second round XII - CBSE Project of placement was undertaken in June, 2013. 4. Designing of Uniform for Air India Crew members The discipline wise analysis of placements 2013 after the first round is given at 5. Anchor Institute Graph1

Graph -1

209 Ministry of Textiles

The average salary during Campus The average salaries obtained by students Placements 2013 for the students from from different programmes during Master’s Programme is `3.80 lakhs per Campus Placements 2013 vis-à-vis 2012 annum whereas that of for Bachelor’s & 2011 is shown in Graph-2. Programme is `3.01 lakhs per annum.

Graph-2

Future Group has recruited the maximum agreements and partnerships with about number of students (47 students including 26 leading international fashion institutes Bachelor & Master students).Trident has & organizations that share the same offered the highest salary of `15.00 lakhs academic direction. This integrates NIFT to Post graduate students and `9.00 students with the global mainstream of lakhs to undergraduate students and have fashion. The international collaborations recruited 7 numbers of students. allow the students to experience ‘study abroad’ options through exchange The profile of companies attending programmes. This initiative provides an NIFT Campus Placements. The excellent opportunity to NIFT students, companies were from diverse segments selected for the exchange programme, like Designers, Manufacturer, Exporters, to interact with students from various Buying Agencies, Consultants, Retailers, geographies, encouraging them to broaden Brand owners, e-retailer, Textile Mills, their vision and understand different Home Furnishing, Technology Solution cultures. The ‘study abroad’ opportunity providers along with international can be undertaken by the students across brands. NIFT centres and all course disciplines. To provide an academic gradient, the INTERNATIONAL AND DOMESTIC institute’s international linkages allow the LINKAGES students to participate in international competitions / seminars / research and INTERNATIONAL LINKAGES other events. The academic strategy of NIFT embraces The strategic alliances encourage internationalism. The core activities of the academic enhancement at faculty level institute have enhanced its international as well. Faculty exchange and joint visibility and standing. NIFT has strategic

210 Annual Report 2013-14 research initiatives ensure that the NIFT students at all campuses are institute’s teaching methods and facilities encouraged to participate in international are constantly updated & upgraded to events and competitions. The students be at par with the best institutes in the have participated and won laurels in several world. To facilitate exchange of teaching prestigious international competitions pedagogy, concepts and professional like Mittelmoda, Italy; ITS, Italy; World ideas, the faculty at NIFT participates of Wearable Art, New Zealand; Arts of in academic exchange programmes, Fashion Foundation USA; Lindstorm international fairs, seminars, exhibitions, awards in Helsinki; Triumph Inspirational conferences and trade shows thereby awards in Shanghai. The institute also bringing their substantial experience attracts international students who to the classroom thus enriching the come and experience its academic and knowledge pool at NIFT. Some of the cultural richness. Through the exchange key institutes with whom NIFT has programmes, students from overseas an association are London College of institutes have developed valuable insight Fashion (UK), Queensland University not just into Indian culture, arts & crafts of Technology (Australia), De Montfort but have also understood the Indian University (UK), Swiss Textile College market and its dynamics. The students (Zurich), Mod Art International (Paris), of Management & Technology have NABA (Milan), School of Art & Design, had invaluable exposure to production University of Wolverhampton(UK), techniques that cater to high fashion Colorado State University (USA), demands of the global marketplace. Academy of Arts (San Francisco), Philadelphia University (USA), University DUAL DEGREE OPPORTUNITY of Southampton (UK), Saxion University NIFT has entered into a strategic alliance of Arts (Netherlands), Utrecht School of with Fashion Institute of Technology, New Arts (Netherlands), Royal Academy of York, USA. The partnership encompasses Arts (Netherlands), BGMEA Institute of a landmark achievement and first of its kind Fashion and Technology (BIFT), Dhaka, at NIFT. This new international dimension Bangladesh amongst others. will allow select meritorious students There is a constant exchange of students from NIFT, the unique opportunity to from Partner institutes. In 2012-13 while obtain a Dual Degree from both NIFT and 94 NIFT students went to institutes like FIT. Students from NIFT will undertake Ensait, France; Queensland University two years study at the home institute intercepted by one year of study at FIT. of Technology, Australia; Swiss Textile Last year four students undertook the College, Switzerland; University of Dual Degree program and for 2013-14, Wolverhampton, UK, Saxion University, 16 students have been selected for the Netherlands; BGMEA Institute of Fashion program. Technology, Bangladesh, Academy of Arts, San Francisco; De Montfort University, International delegations who visited UK; Royal Academy of Arts, University of NIFT in 2012-2013: Leeds, UK, NABA, Italy; London College of Fashion,UK ; Amsterdam Fashion a) Delegation from Government Institute, Netherlands; 61 students came of Mauritius; from these Universities to undertake b) Massachusetts College of Art and exchange programme at NIFT. Design, USA;

211 Ministry of Textiles

c) Indo Italian Chamber and Chambers capacity building, establish resource of Commerce of Prato and Florence; centre, assist in machinery/equipment procurement. d) Department of Trade and Industry, South Africa; POLICY INITIATIVES e) Polish Fashion Institute; A continuous system strengthening for f) ENSAIT, France; improvement in the mechanisms for smooth running of the Institute was g) Ethiopian Delegation headed by undertaken through policy interventions Minister of State, Mr. Tadese Haile; ad amendments. In this series: h) ESMOD, France; • In accordance with the decision of i) The International Association of the BoG of NIFT in its 18th meeting Costume in Japan (IACJ); held on September 4th 2012, a comprehensive guidelines regarding j) Edith Cowan University, decentralization of Convocation Perth,Australia; have been prepared and circulated k) University of Huddersfield, UK; across NIFT campuses.

l) Royal Academy of Art, Netherlands. • Inter Centre Transfer policy has been modified to make it more effective. DOMESTIC LINKAGES • NIFT campus Student Exchange NIFT is committed to excellence in design policy has been drafted for the education in India and for this has been students seeking campus transfer associating with various key organizations/ for a semester on reciprocal basis. institutes to further this objective. • NIFT has MoUs with the following Student Permanent Transfer policy organizations/institutes: has been made to provide with opportunity to the regular students Renewal of MoU with NID, of NIFT to change their discipline Ahmedabad- NIFT renewed its and Campus on permanent basis in MoU with NID in February 2013. The 3rd Semester. cooperation between the two institutes is in the areas of - Faculty Sharing • NIFT Lateral Entry Admission policy for Teaching, as panel membersin juries has been formulated to offer the and as guides for Ph.D programmes, vacant seats created due to drop- Infrastructure sharing, Joint Students Field out of students at various NIFT Trips, Design Education & Promotion. campuses, to the candidates who School of Fashion Technology have obtained the appropriate (SOFT), Pune & Centre for Continuing Diploma/Degree after 10+2 or Education (CCE) Kerala: Curriculum minimum 3 years of relevant design, semester planning, academic education after 10th resulting in scheduling, examination and evaluation Diploma/Degree, so as to get lateral systems, faculty recruitment, conduct admission in 3rd semester of UG orientation program, faculty training/ programmes of NIFT.

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NIFT Ph.d. PROGRAMME 2013 at NIFT - Chennai for scholars of 2009 batch. NIFT offers Ph.D. in the areas of design, management and technology as applied CLUSTER DEVELOPMENT ACTIVITIES with broad reference to textiles, fashion, lifestyle and apparel sectors of the As a premier Institute of India, involved in industry. The programme is designed for identifying the expectations and fulfilling the purpose of carrying out research in them for the textiles and the fashion textiles, fashion and the apparel sector industry, NIFT realizes the importance to create a body of original knowledge of its social responsibilities. Through its for the use of academia and industry at Cluster Development Initiative, Graduation large. Projects and other design and technical support projects taken up in craft sector, The admission process for the Ph.D. NIFT faculty, students and alumni play programme normally starts during a proactive role in the upliftment of craft the month of April every year with sector. the announcements of results and registration during the month of July. The Under the Cluster Development Initiative qualifications eligibility for admission to during the year 2012-13, 1166 NIFT the Ph.D. programme is specified in the students under faculty supervision, Regulations for the Ph.D. programme. across NIFT campuses, conducted the first phase of cluster diagnostic study in Ph.D. Program was launched in 2009 the selected 30 craft clusters in May- July with 9 registered students, followed by 10 2012. The main objective was to study students in 2010, 4 students in 2011 and 3 the present status of the chosen craft students in 2012. With regard to the time and to identify the needs of the cluster. scale of the programme, the candidate The study also gave insight into the size is expected to complete the supervised of the cluster, skill level of the artisans/ studies within five years, extended to producers, Production process, marketing a maximum of seven years by specific and challenges faced by the craftspeople. approval of the Director General, NIFT. More than 3500 artisans were approached to provide insight into craft practices, by Policy Interventions the students of 15 NIFT centres, across The Regulations for the Ph.D. programme 30 handloom and handicrafts clusters. has been revised to accommodate CONVERGE provisions such as extension of time, break in study, change in research topic or Converge is an Inter-Campus cultural guide, evaluation process, performance & sports meet of NIFT organized in the monitoring etc. month of December every year with a view to provide a well-rounded holistic The Board of Governors, NIFT considered development along with a chance of and approved the revised eligibility criteria interaction amongst the students of for Ph.D. admission as proposed by the various campuses of NIFT. The preliminary AAC to be included in the Ph.D. Policy selections at every NIFT Campus ensure of NIFT and the same was implemented that the best of each Campus compete during 2013 admission. with one another in this event. Students The Research Progress Seminar was from all NIFT Campuses participated with conducted between 3rd and 4th January undying fervor and zest making Converge

213 Ministry of Textiles

’12 a big success hosted by NIFT Kolkata (ii) A Work shop on challenges in Campus. spinning and New technological advancement-19.08.13 The event is a major step in inculcating the spirit of ‘ONE” Alma Mater in the (iii) CIRCOT’s Calibration Cotton, students across the campuses of NIFT. Absorbent Cotton and Biogas 50 students from each of the 15 NIFT Technologies program was organized campuses participated with zeal and as part of Faculty Development enthusiasm in the event. Various activities Program ON 20.08.13. were organized under the Cultural, Sports, Adventure & Photography Club, Literary, (iv) A National level students programme Ethics, Social Service & Environment Trends Futura was held on Club. 26.9.2013.

The overall campus which won the award (v) Nodal Centre for Upgradation of was NIFT Hyderabad which was followed Textile Education (NCUTE) is being by NIFT Mumbai. the part of SVPISTM, has organized the work shop on challenges in SARDAR VALLABHBHAI PATEL spinning and New Technological INTERNATIONAL SCHOOL OF advancement on 19.8.2013. TEXTILES & MANAGEMENT (vi) FDP on Calibration Cotton, Absorbent Cotton and Biogas Sardar Vallabhbhai Patel International Technologies was organized as part School of Textiles Management (SVPISTM) of Faculty Development Programme is a pioneer in its field committed to on 20.08.13. achieving excellence in Textiles and Management Education. A centre for (vii) Renewal of MoU with Technical focused management education, the University Liberc held at the Institute institute aims to mould aspiring youngsters campus on 15.12.13. into new age professional managers, (viii) Nodal Centre for Up gradation of capable of leading the Indian Textile Textile Education has organized Industry to the pinnacle of world textile one day work shop on Innovation galaxy. SVPISTM, which commenced the and Importance of Textile Testing synergy of Technology and Management Equipment on 11.12.2013 with focused management education programmes, has extended its foray (ix) Inauguration of the workshop into the areas of research, consultancy, Innovation and Importance of Textile executive development and knowledge Testing Equipment on 11.12.2013 management. Since its inception, by SVPISTM has received Dewang Mehta carrying out a number of industry specific Award for the Best Institute and Industry activities, the Institute has emerged as Interaction-2013 on 23.10.13. a premier centre of Textile Management excellence. Important events held during SVPISTM, BOG has been re-constituted the year: on 15.10.2013 under Chairmanship of Shri Picheswara Gadde . Dr.C Ramesh (i) The Association of Indian Universities Kumar has been appointed as Director (AIU) Expert Committee has visited of SVPISTM and has taken over on the Institute on 06.06.13. 7.10.2013.

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6th Convocation of the Institute was held Director of the Institute Inaugurated the on 18.1.2014 in the Institute Premises. Entrepreneurship Development Training Dr.Kavuru Sambasiva Rao, Union Program on 30.01.2014. Minister of Textiles was the Chief Guest Prof. HIDEKI, Head of Research Team from for the convocation. Union Textile Minster Hosei University Tokyo Japan interacted Dr.Kavuru Sambasiva Rao delivered the with Trainees of Entrepreneurship Training Convocation Address on 18.01.2014 Program on 17.02.2014.

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CHAPTER XVIII GENDER JUSTICE AND GENDER BUDGETING

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Annual Report 2013-14 CHAPTER XVIII GENDER JUSTICE AND GENDER BUDGETING

JUTE General and Accounts/Finance. The entry point in the Corporation is at The proposed organization structure of present generally at the level of Junior the newly created Board is presently Cotton Purchaser, Junior Assistant and under the consideration of the Ministry Grade-I employees. The recruitment/ of Textiles, Govt. of India and awaits promotion policy of the Corporation is approval of the Central Government. governed by the Recruitment Rules, The policy for Gender Justice and its which are applicable to all employees implementation may be finalized and including women employees. decided as per extant provisions of the Government, only after the organization The Corporation has different employees structure of the newly formed National Welfare Schemes, which are open for Jute Board (NJB) is finalized and all the regular employees to avail the approved by the Central Government. benefits thereof irrespective of any However, NJB exercises necessary gender differentiation. precautions, supervision and monitors to A Committee to prevent “Sexual ensure safety of the women employees Harassment of Women in work place” against women’s exploitation and sexual has been constituted at Head Office harassment. based on the directives of Hon. Supreme COTTON CORPORATION OF Court in order to protect working women INDIA from Sexual harassment and to ensure gender equality. The Complaints The Cotton Corporation of India has total Committee under Rule 4(4) (1) of CCI’s strength of 1029 employees including CDA Rules 1975 shall be deemed to be 113 women employees as on 31.03.2013 an Inquirying Authority and its Report (i.e. about 11% of total employees). shall be deemed to be an inquiry.

The Corporation has framed certain rules Leave including maternity leave is and regulations such as Recruitment allowed to women employees as per Rules, CDA Rules, Medical rules, TA/ Central Government Rules. DA Rules, HBA Rules, Staff Welfare Rules, Vehicle Advance/maintenance HANDLOOM SECTOR Rules, etc. for all regular employees The Handloom Sector employs 43.31 of the Corporation including women lakh persons in weaving and allied employees. activities with 23.77 lakh handlooms. In the Corporation, basically there are This sector is weaver-specific/ two streams in the staffing pattern i.e. occupational in nature, with the majority

219 Ministry of Textiles

of weavers belonging to the poorest constitute the major portion of those and the marginalized sections of the employed in down stream activities in society. Work participation in handloom sericulture. This is possible because activity in India is dominated by female sericulture activities starting from workers. About 78% handloom workers mulberry garden management, leaf are female. The dominance of female harvesting and silkworm rearing is more weavers in the total weavers’ workforce effectively taken up by the women folk. is the highest in the north-eastern states Silk reeling and weaving activities also where it is 99% as per the report of the engage women. Thus, involvement of Handloom Census of India (2009-10). women in sericulture which would also be in consonance with the National During XIth plan & 2012-13 the Office Policy for the empowerment of women of the Development Commissioner for is in the right direction. Handlooms has been implementing six schemes which are – (i) Integrated Concerted efforts have been initiated Handloom Development Scheme; (ii) by the Central Silk Board to supplement Handloom Weavers Comprehensive the social and cultural requirements of Welfare Scheme; (iii) Marketing & the women associated with silk industry. Export Promotion Scheme; (iv) Mill Under the Centrally sponsored Catalytic Gate Price Scheme; (v) Diversified Development Programme (CDP), the Handloom Development Scheme, and Central Silk Board had implemented a (vi) ‘Revival, Reform and Restructuring number of programmes in collaboration (RRR) Package for Handloom Sector’. with State Governments during X Plan. Now, IHDS, MEPS and DHDS have been Financial and Technical assistance was merged into Comprehensive Handloom provided for on-farm and post-farm Development Scheme (CHDS). Further, activities like reeling, dyeing, twisting, RRR package & CHDS have been merged printing, finishing etc., Benefits accrued into a single centrally sponsored scheme inter-alia, to SC/ST and women workers. viz. National Handloom Development Under the Catalytic Development Programme. Mill Gate Price scheme Programme, the following programmes has also been renamed as Yarn Supply have been implemented by CSB for the Scheme. benefit of women workers:

This office makes effort to cover women  Promotion of women friendly weavers in these plan schemes to the technology packages, developed by maximum, and also ensure that no the research institutes of CSB. discrimination takes place during the  Supply of improved reeling cum implementation of the schemes. twisting devices and spinning SILK SECTOR wheels to the NGOs, women groups, individual women reelers / spinners In India people are involved in sericulture at 50% subsidy ( CSB & State)­ and its allied industries mostly in the rural area for their livelihood. Women  Training programmes were

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organized to impart training to (Handicrafts), during 2013-14 is women reelers / spinners on the implementing following seven generic operation of improved devices; and schemes:

 Implementation of Cluster 1. Baba Saheb Ambedkar Hastshilp Development Projects by the Yojana. integration of CDP schemes, wherein support is provided to Women Self 2. Marketing Support and Services. Help Groups. 3. Human & Resource Development.

HANDICRAFTS 4. Handicrafts Artisans Comprehensive The schemes implemented by Office Welfare Scheme of the Development Commissioner 5. Design and Technology Up- (Handicrafts) are composite in nature gradation. and not specific to area, caste or gender. The artisans belonging to all communities 6. Research and Development. including women artisans draw benefits 7. Infrastructure and Technology from the schemes. Development Scheme (New Office of Development Commissioner Scheme)

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CHAPTER XIX INFORMATION AND COMMUNICATION TECHNOLOGY IN TEXTILES

Annual Report 2013-14 CHAPTER XIX INFORMATION AND COMMUNICATION TECHNOLOGY IN TEXTILES

To enhance services for Trade and byte bandwidth Wide/Local Area networks Industry, Ministry has initiated further with IPv6 compatibility, installing new advancement in use of Information computers and necessary accessories. Technology in various sectors and Various systems like File management functional areas. Efforts are made to System, Leave Management System, maintain an effective and efficient digital Knowledge Management System of platform between the Ministry and e-office suit, System for Online Reply on its users. By providing user’s centric various subjects for the purpose of review information through respective websites of Sr. Offices for C&P Section, MIS on of the Ministry and its organizations, first prices & productions of Cotton & Yarn phase of transformation is successfully were successfully implemented. achieved in this direction. Ministry has taken up next phase by initiating various National Informatics Centre (NIC), actions like organizing electronic data Department of Information Technology, base on historical data pertaining to Trade Ministry of Communications & Information & Industry along with on-line analytical/ Technology contributed a vital role in each mining tools for Decision and Policy making of above initiatives. It is providing full- process, deploying technology for better fledged technical support and consultancy reach and facilitate direct participation of in developing and maintaining the ICT end users in policy framing-up, organizing infrastructure and network services. In training programs for capacity building and addition to that various office automation skill development in functional framework, systems, information systems /analytical inviting innovative contributions from tools are developed and implemented Trade & Industry & making its recognition for usage at various levels of the to facilitate further, etc. Management.

Various G2G/G2B/G2E applications Enhancing websites like e-office applications, on-line http://ministryoftextiles. video conferencing etc provide aids Ministry’s website at to corporate functioning enormously gov.in is enriched with new links for to accomplish better services in time. Integrated Skill Development Scheme, Ministry strengthened its website with Report to the People, e-Gazette, National more information, spanking new schemes Policy of HIV/AIDs,O/o Chief Controller of and policies in areas like modernization, Accounts and it’s various statements of technological up-gradation, skill Appropriation Accounts, etc. A contents development, market/products expos updating policy has been reviewed to and other trade promotional activities to ensure the timely web updation . Efforts are compete in the global market. being initiated to implement the ‘Guidelines for Indian Government Websites’ issued Accordingly Ministry has enhanced its in- by D/o Administrative Reforms and Public house ICT infrastructure by setting up Giga Grievances.

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ICT Infrastructure up gradations Economic Research and Market intelligence Unit (ERMIU) is providing LAN of the Ministry was upgraded with an integrated interface for collection and Gigabit bandwidth that would facilitate dissemination of Information to Trade and more end-user client machines along with Industry through a dedicated web site email users . Various security measures (http://ministryoftextiles.gov.in/ermiudel/). has been implemented by adding more Monthly analytical reports on Prices of firewalls, manageable network equipment Textiles items, Production of Yarn/Cloth to maintain securable intranet services, etc., Sectroral information of Cotton, email services as per the guidelines Silk, Man Made Fibre, Jute, and Import/ issued time to time by GOI. System Export of Indian Textiles are available on for Automatic patch management and the ERMIU web site along with Indian virus signature has also been upgraded economy indicators. to ensure virus free zone over the LAN/ WAN. Guidelines issued time to time ICT implementation in other by Department of Telecommunications/ organization Department of Information Technology like implementation of IPV6 technology, Attached and subordinate offices under IT security Policy/Procedure are taken up the Ministry have also upgraded their for implementation in the Ministry and its ICT infrastructure as per the requirement offices. with sophisticated LAN . They are directed to ensure the IPv6 compatibility E-Governance in their ICT infrastructure. These offices had enhanced their respective web In order to strengthening the in-house sites with more users centric features. workflow , web based e-office suit Various application forms required has been implemented. Modules like by the public or Trade community for File Management system, Knowledge submitting the proposal under different management and sharing, Employee schemes are also provided on the site Master Details, Leave Management were for downloading. Plenty of statistical enabled for operation. Proper hands- reports on the Industrial database are on training on e-office has also been also being published for the reference organised to the various level of officers to the industry. Adequate in-house in the ministry. applications were also developed and Ministry is hooked up with new G2G implemented. Respective regional offices services like National Data sharing , / field level offices are also equipped with e-Procurement portal , e-Service Book, adequate ICT facility to avail Internet and Pension Book, Vigilance System, RFD, Email facility. Awareness courses for the Public Grievances , Parliament questions purpose are organized for officials to / answers(E-Reply), ACC Vacancy etc. operate and deliver the services more etc., effectively.

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CHAPTER XX VIGILANCE ACTIVITIES

227

Annual Report 2013-14 CHAPTER XX VIGILANCE ACTIVITIES

The Vigilance Unit of the Ministry is headed There are also part time Vigilance Officers by a Chief Vigilance Officer (CVO) who is in the Attached and Sub-ordinate offices also Joint Secretary of the Ministry. The of the Ministry of Textiles. However, CVO is appointed with the approval of the the overall responsibility of vigilance Central Vigilance Commission. The CVO activities of these offices rests with the is the nodal point in the vigilance set up Chief Vigilance Officer of the Ministry of of the Ministry and is entrusted with the Textiles. following:- Preventive Vigilance continues to receive • Identification of sensitive areas prone priority attention with emphasis primarily to malpractices/temptation and taking on identification of areas sensitive or preventive measures to ensure prone to malpractices and temptation. The transparency, integrity and efficiency guidelines/instructions issued from time in government functions; to time by the Department of Personnel and Training and the Central Vigilance • Taking suitable action to achieve Commission in this regard are followed. the targets fixed by the Department Action taken includes the following:- of Personnel and Training on anti- corruption measures; i) The areas of sensitive nature are identified in the Ministry and • Scrutiny of complaints and initiation surveillance is kept thereon. of appropriate inquiry/investigation thereon. ii) One day workshop for sensitization of CVOs/VOs of subordinate/attached/ • Inspections and follow up action on statutory/autonomous offices/PSUs/ the same; Boards etc under the Ministry was • Furnishing of comments of the Ministry held at 11 A.M. on 4.7.2013 under the to the Central Vigilance Commission Chairmanship of DS(Vigilance) of the on the investigation reports of the Ministry for review of their activities, Central Bureau of Investigation; preparation of their reports in respect of complaint cases etc. One day training • Taking appropriate action in respect programme for CVOs/VOs under the of departmental proceedings on Ministry and staff/officers of Vigilance the advice of Central Vigilance Section of the Ministry was also held Commission or otherwise; on 4.10.2013 at ISTM, New Delhi on • Obtaining first stage advice and the topic “Conduct of Inquiry” . second stage advice of the Central iii) Security measures have been Vigilance Commission, wherever strengthened and appropriate necessary; and institutional mechanisms have been • Obtaining the advice of Union Public put in place to avert malpractices.. Service Commission in regard to the iv) The Agreed List and List of Public nature and quantum of penalty to be Servants of Doubtful Integrity are imposed, wherever necessary. prepared.

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v) Compilation of Annual Property Secretary (Textiles). Essay and Debate Returns and forwarding the same to competitions were held. There was an concerned organization. overwhelming response from officers/ officials of the Ministry. Eight officers in the During this period 230 complaint cases officer category of the Essay Competition & 12 disciplinary cases have been participated and won prizes ranging received from various sources, Central from first position to consolation ones. Vigilance Commission, Central Bureau Similarly, 13 officials in the staff category of Investigation and individuals and in 12 of the Essay Competition participated cases disciplinary proceedings have been and eight of them won prizes. Further, processed. 14 cases were sent to CVC for in the officer category of the Debate advice. Vigilance clearance was given to Competition, four officers participated 434 officials/officers working in and under and won prizes. Eight officials in the the Ministry. staff category of the Debate Competition Vigilance Awareness Week-2013 was participated and eight of them won the observed in the Ministry of Textiles and prizes. The celebration concluded with its attached and subordinate offices as prize distribution ceremony under the also by CPSU’s and Statutory Boards Chairpersonship of Joint Secretary & st under the Ministry from 28th October CVO on 1 November, 2013. She gave to 2nd November, 2013. During the away the prizes to successful winners period, the celebrations were started in this function and also encouraged for with the pledge which was administered more participation in these events by the to officials/officers of the Ministry by officials/officers of the Ministry.

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CHAPTER XXI PERSONS WITH DISABILITIES

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Annual Report 2013-14 CHAPTER XXI PERSONS WITH DISABILITIES

The number of persons with various vacancies to be reserved for them disabilities in various posts in Group under Section 33 of PWD ACT is given ‘A’,’B’,’C’ and ‘D’ against the 3% at Table 21.

Table 21

S. 4 Group A Group B Group C Group D No SS No. SS No. SS No. SS No. of of of of PWD PWD PWD PWD

1. The Handicrafts & Hand- 47 -- 78 -- 68 2 21 1 looms Exports Corporation of India Ltd.

2. O/o The Textile Commis- 62 -- 242 -- 03 325 04 -- sioner

3. Central Wool Develop------ment Board

4. O/o the DC(Handloom) & 93 -- 289 5 747 3 44 -- its Organizations

5. National Textile Corpora- 182 4 536 15 885 14 6745 44 tion Ltd.

6. The Cotton Corporation of 71 -- 93 2 1188 8 155 3 India Ltd.

7. Central Silk Board 902 11 1549 24 1790 29 -- --

8. Sardar Vallabhbhai Patel 12 -- 2 -- 1 ------International School of Textiles & Management

9 O/o the Commissioner of ------Payments

10. The Jute Corporation of 60 2 116 1 418 9 118 2 India

11. O/o Jute Commissioner 11 -- 16 -- 37 -- 15 --

233 Ministry of Textiles

S. 4 Group A Group B Group C Group D No SS No. SS No. SS No. SS No. of of of of PWD PWD PWD PWD

12. The British India Corpora------tion Ltd.

13. National Jute Board 8 - 15 - 33 - - -

14. National Handloom 60 -- 72 2 72 2 20 03 Development Corporation Limited

15. O/o The Development 36 -- 274 -- 1116 17 404 06 Commissioner(Handicrafts

16. Birds Jute & Export ------Limited(BJEL)

17. Nation Jute Manufactures ------Corporation Ltd.(NJMC)

18. National Institute of Fash- 626 01 250 -- 312 01 181 02 ion Technology(NIFT)

19. Textiles Committee 80 -- 156 -- 198 2 82 --

20. Central Cottage Industries 15 -- 143 04 33 01 106 03 Corporation of India Ltd.

SS- Sanctioned Strength No. of PWD- Number of Persons with Disabilities employed

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CHAPTER XXII OBSERVATIONS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA

235

Annual Report 2013-14 CHAPTER XXII OBSERVATIONS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA

Most recent and Important Audit Observations.

S. Audit reference Gist of Para No.

1. No. 1(9)/DP/Textile Ministry/ Inordinate delay in construction of Handloom Handloom Complex/2013-14/245- Marketing Complex at Janpath, New Delhi 248 dated 02.12.2013 from Principal Director of Audit, Economic & Service Ministries, AGCR Building IP Estate, New Delhi

2. Report No. 19 of 2013 of C&AG as Inordinate delay in purchase of ready built flats Para No. 12.1 in chapter XII resulted in blockade of funds Rs. 2.38 crores for more than seven years besides escalation of cost and loss of interest of Rs. 1.67 crore in Guwahati

3. DO No. AMG- III/3(6)/MoT/2013- (i) Neither the Ministry nor the CGA maintains the 14/379 dated 20.12.2013 Principal sub- grantee wise disbursement of Grants-in-aid Director of Audit, Economic & and actual expenditure against those disbursements Service Ministries, New Delhi. year wise although substantial amounts of grants released to statutory bodies like Central Silk Board is further released to sub- grantees either through the State Governments or other organisations.

(ii) As per rule 212 (1) of the General Financial Rules (GFRs), the Ministry or Department should ensure even flow of expenditure throughout the year. It was however, observed that Ministry of Textiles had not adhered to the above provision of the GFRs while releasing Grants-in-aid during the period 2010-11 to 2012-13.

(iii) Three sets of data viz. CPSMS, e-lekha and Demand for Grants revealed variance in the figures of total releases of Grants-in-aid (Plan) by the Ministry of Textiles during the year 2010-11 to 2012-13.

237 Ministry of Textiles

S. Audit reference Gist of Para No. (iv) Ministry had invariably been including a clause in the sanction orders that the assets created out of the grants so release d shall not be disposed off without the approval of the Ministry. However, no centralised records/ database viz. grantee name, details of assets created including nature of the assets created, amount of grant actually utilised for creation of capital assets, etc. were maintained by the Ministry.

(v) The sanction orders issued by the Ministry in the above mentioned cases, however, neither contained any clear instructions with regard to details of assets to be created nor required the grantee to intimate the Ministry in turn about the details of the capital assets created form the grants so obtained. Further there were no records available with the Ministry in respect of such assets, if any, created by the grantee viz. their value, geographic location, asset type, ownership etc. The purposes mentioned in the sanction orders are vague.

(vi) No MoU was entered by the Ministry although budgetary support of more than Rs. 5 crore per annum was given to: (1) Central Silk Board (2) National Institute of Fashion Technology (3) Textiles Committee (4) Export Promotion Council for Handicrafts (5) M/s Fairdeal Textiles Park Pvt. Ltd. (6) Kishangarh Hi Tech Textiles Park Ltd. (7) M/s Ludhiana Integrated Textiles Park Ltd. (8) Asmeeta Infratech Pvt. Ltd. (9) M/s Vraj Integrated Textiles Park Ltd. (10) M/s Indian Telephone Industries Ltd.

(vii) Grants-in-aid of Rs. 96.22 crore was incorrectly booked under the object head- 50 ‘Other Charges’.

Test check of records revealed that during the year 2012-13 there was an excess expenditure of Rs. 3.64 crore under the object head 50- Other Charges.

(viii) There was an unspent balance of Rs. 52.13 crore with National Institute of Fashion Technology as on March, 2012 in respect of Grants received from the State Government and during the year 2012-13 the Ministry of Textiles released Grants-in-aid of Rs. 19.84 crore (Rs. 18.57 crore Plan + Rs. 1.27 crore Non-Plan) to NIFT. In this

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S. Audit reference Gist of Para No. connection it was observed that theMinistry had neither consulted the State Governments (s) nor asked the institute before release of Grants-in-aid of Rs. 19.84 crore to furnish details of assistance received or proposed to be received during the year 2012-13 from the State Government (s).

(ix) Analysis of CPSMS date provided by the Controller General of Accounts revealed that there was delay in release of payment to grantee Institutions ranging from 8 days to above 3 months from the date of sanction Scrutiny of CPSMS date base. The significant amounts sanctioned under schemes like Cotton Technology Mission, Integrated Handloom Development Scheme to different organisations/ State Governments against which the details of amounts released were not noted are indicated.

(x) Grants released without taking into account unspent balances of Rs. 259.87 crore to National Institute of Fashion Technology and Central Silk Board.

(xi) (1) Central Silk Board (2) National Institute of Fashion Technology did not disclose the cumulative loans and advances of Rs. 117.64 crore in the Utilisation Certificates furnished in respect of the grants for the year 2011-12. The Ministry also neither asked the grantee nor ascertained the same from the annual audited accounts of the grantees before release of Grants of Rs. 533.53 crore during 2012-13. Thus, the organisation Grant of Rs. 117.64 crore (loans and advances) was not taken into consideration by the Ministry while releasing subsequent Grants.

(xii) (A) 2070 number of Utilization Certificates amounting to Rs. 240.31 crore were outstanding as on 31st March, 2012 (as per Annexure II). (B) Release of Rs. 506.21 crore to State Governments was treated by the Ministry as actual expenditure merely on the basis of further release to sub grantee i.e. the respective State Governments. Ministry had issued instructions to the CSB that Ministry would only insist upon Utilization Certificates from CSB and managing UCs at micro level and regulation releases will be

239 Ministry of Textiles

S. Audit reference Gist of Para No. the sole responsibility of the CSB. Thus, there was no monitoring on the part of the Ministry except relying on the Utilization Certificates as furnished by the CSB.

(C) Wrong UCs amounting to Rs. 26.38 crore were furnished by NIFT as cheques of Rs. 21.13 crore and Rs. 5.25 crore prepared by the institute towards payment to Central Public Works Department (CPWD), Hyderabad and Delhi State Industrial Development Corporation (DSIDC), Delhi respectively had actually not been issued but treated as amount utilized in UC. Ministry also relied upon the information furnished by the grantee and got no mechanism to verify the correctness of the facts contained in the Utilization Certificates.

(xiii) Ministry did not have any mechanism/ database to verify whether performance cum achievement Reports received from the grantees were within the stipulated timeframe as envisaged in the sanction order. There was no record to indicate that the Performance cum achievement reports received from any of the institutions have been scrutinized by the Ministry and regulated further release of grants.

(xiv) During 2012-13, the Ministry released recurring Grant-in-aid to Central Silk Board amounting to Rs.353.10 crore out of which Rs.266.64 crore (76 per cent) i.e. more than50 per cent was released before receipt of the Annual Audited Accounts for the year 2011-12.

(xv) Budget proposals presented by the Development Commissioner for disbursement of Grants-in-Aid are not backed by applications from the societies, and are simply prepared based on past trends, projections etc. The audit also noticed large savings during the year due to the method adopted. To cite an example, in 2012-13, an amount of Rs.2082.50 crore was provided in the budget towards Grants-in-Aid General under the scheme Revival, Reform and Restructuring package for the handloom sector. (xvi) The basic record maintained in the Ministry for the purpose of disbursement of Grants-in-aid had

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S. Audit reference Gist of Para No. not been maintained properly having impact on monitoring the sanctions/ disbursements/ utilisation of funds etc. (xvii) Internal Finance Wing of the Ministry of Textiles had not laid down any rules or pattern of assistance although Grants-in-aid worth Rs. 5068.53 crore were released during the last three years i.e. 2010-11 to 2012-13. In the absence of clearly laid pattern of assistance etc, decisions are taken on ad hoc basis based on budgetary and GFR provisions. (xviii) (A) No list containing institutions or organisations along with details of amount and purpose of grants was uploaded on the website of the Ministry of Textiles. (B) In 2011-12 the number of such private institutions which had received Grants-in-aid was shown as 317 in DDG whereas as per CPSMS date base the number of such institutions was 395 institutions. (xix) Unspent Balance of Rs. 4.40 crore as on 31.3.2009 with Indian Institute of Carpet Technology, Badhoi out of Grants-in-aid earlier released by the Ministry of Textiles. During the period from 2010- 11 to 2012-13, the Ministry released an amount of Rs. 12.41 crore to the grant, remaining eight had not paid interest amounting to Rs. 16.69 crore (C) i. On scrutiny of bank statements and allied records of Palladam Hi-Tech Weaving Park Limited and Karur Integrated Textiles Park Ltd. (both completed), it was found that these SPVs routinely invested idle Government Grant funds to Fixed Deposits and earned interest of Rs. 1.86 crore and Rs. 0.61 crore respectively. However, no adjustment of interest was made in the final installment of grant resulting in excess release of Rs. 2.47 crore as grants to these two SPVs. Gujarat Eco Textiles Park Ltd. had earned interest amounting to Rs. 0.43 crore on Government grant but the same was not adjusted/ accounted for by the Ministry while releasing the final installment of grant amounting to Rs. 4.00 crore. ii. The SPVs are at liberty to either self finance their contribution or obtain loans from Banks/

241 Ministry of Textiles

S. Audit reference Gist of Para No. Financial Institutions. Palladam Hi-Tech Weaving Park paid an interest of Rs. 0.33 crore out of Gol Grant on loans taken by it from different Financial Institutions. (xx) (i) Grants-in-aid of Rs. 1.15 crore and Rs. 1.57 crore released by the Ministry during the years 2010-11 and 2011-12 respectively to private institutions/ organisations was not reflected in the annual report of the Ministry.

(ii) Dates on which the annual accounts of private & voluntary organisations/ Institute regularisation recurring grant in aid more than Rs. 25 lakhs and one- time assistance/ non recurring grants of Rupees fifty lakhs and above were laid on the table of the parliament was not intimated to audit.

(xxi) No external peer review of the (1) Central Silk Board (2) National Institute of Fashion Technology (3) Textiles Committee (4) Central Wool Development Board (5) Sardar Vallabh Bhai Institute of Textiles Management autonomous bodies was ever got conducted by the Ministry on the objective for which the autonomous organisation was set up and whether these objectives have been or are being achieved.

(xxii) Ministry of Textiles had released Grants-in- aid of Rs. 2.80 crores for setting up of Urban Haats at various places, however the amounts disbursed were lying with the Implementing Agencies as the construction work had not yet started which resulted in parking of funds.

(xxiii) (A) The interest amounting to Rs. 8.27 crore on grants refunded was, neither paid by the NIFT nor insisted upon by the Ministry.

(B) An amount of Rs. 50.89 crore was released by Ministry of Textiles as Grants-in-aid for setting up of Textile Units in respect of 10 parks which were cancelled later on. Of this, an grantees were liable for payment of interest on unutilized grant refunded to the Ministry. While two grantees paid interest of Rs. 0.26 crore along with unutilized

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S. Audit reference Gist of Para No. grant, remaining eight had not paid interest amounting to Rs. 16.69 crore

(C) i. On scrutiny of bank statements and allied records of Palladam Hi-Tech Weaving Park Limited and Karur Integrated Textiles Park Ltd. (both completed), it was found that these SPVs routinely invested idle Government Grant funds to Fixed Deposits and earned interest of Rs. 1.86 crore and Rs. 0.61 crore respectively. However, no adjustment of interest was made in the final installment of grant resulting in excess release of Rs. 2.47 crore as grants to these two SPVs. Gujarat Eco Textiles Park Ltd. had earned interest amounting to Rs. 0.43 crore on Government grant but the same was not adjusted/ accounted for by the Ministry while releasing the final installment of grant amounting to Rs. 4.00 crore.

ii. The SPVs are at liberty to either self finance their contribution or obtain loans from Banks/ Financial Institutions. Palladam Hi-Tech Weaving Park paid an interest of Rs. 0.33 crore out of Gol

Grant on loans taken by it from different Financial Institutions.

4. DO No. AMG-V/App. A/C 3(10) (i) In accordance with the instruction issued by Gr. No. 93/2013-14/263-267 dated the Ministry of Finance in May 2006 (item E of 11.10.2013 from Principal Director Annexure to OM No. F1 (23) - B (AC)/ 2005 dated of Audit, Economic & Service 25 May 2006) and as per the clarification issued Ministries, New Delhi. vide OM. No. F. 1 (5)-B (AC)/ 2011 dated 21st, May 2012, cases requiring augmentation of funds under the Object Head ‘Grants-in-aid’ through re- appropriation of savings within the same section of the Grant require prior approval of the Parliament through Supplementary Demand for Grants.

Scrutiny of Grant No. 93 in respect of Ministry of Textiles for the year 2012-13 revealed that against the budget provision of Rs. 37.25 crore under the object head ‘2851.00.104.25.00.31- Grant in aid General’ for the scheme “Marketing Support & Service”, Ministry has booked an

243 Ministry of Textiles

S. Audit reference Gist of Para No. expenditure of Rs. 37.53 crore. The excess expenditure of Rs. 0.28 crore was incurred without the prior approval of the Parliament through Supplementary Demand.

(ii) In accordance with the instructions issued by the Ministry of Finance in May 2006 (item E of Annexure to OM No. F1 (23) - B (AC)/ 2005 dated 25 May 2006) and as per the clarification issued vide OM. No. F. 1 (5)-B (AC)/ 2011 dated 21st, May 2012, cases requiring augmentation of funds under the Object Head ‘Grants-in-aid’ through re- appropriation of savings within the same section of the Grant require prior approval of the Parliament through Supplementary Demand for Grants.

Scrutiny of Grant No. 93 in respect of Ministry of Textiles for the year 2012-13 revealed that against the budget provision of Rs. 8.07 crore under the object head ‘2851.00.104.31.00.31- Grant in aid General’ for the scheme “Human Resource Development”, Ministry has booked an expenditure of Rs. 8.33 crore. The excess expenditure of Rs. 0.26 crore was incurred without the prior approval of the Parliament through Supplementary Demand.

(iii) In accordance with the instructions issued by the Ministry of Finance in May 2006 (item E of Annexure to OM No. F1 (23) - B (AC)/ 2005 dated 25 May 2006) and as per the clarification issued vide OM. No. F. 1 (5)-B (AC)/ 2011 dated 21st, May 2012, cases requiring augmentation of funds under the Object Head ‘Grants –in-aid’ through re- appropriation of savings within the same section of the Grant require prior approval of the Parliament through Supplementary Demand for Grants.

Scrutiny of Grant No. 93 in respect of Ministry of Textiles for the year 2012-13 revealed that against the budget provision of Rs. 1.92 crore under the object head ‘2851.00.789.27.00.35- Grants for creation of capital assets’ for the scheme “Development of Mega Clusters”,

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S. Audit reference Gist of Para No. Ministry has booked an expenditure of Rs. 2.11 crore. The excess expenditure of Rs. 0.19 crore was incurred without the prior approval of the Parliament through Supplementary Demand for Grant.

(iv) Rule 8 of Delegation of Financial Power Rules prescribes standard primary unit of appropriation with description and definitions for the purpose of classification of expenditure upto sixth tier i.e. Object Head. As per those definitions, the object head ’50- Other Charges’ will include payment out of discretionary grants, other discounts, custom duties, compensation awards and prizes etc. Further, any other expenditure which cannot be classified under any of the specified object heads will also be debited to this head. The Object Head ’31- Grants in aid General’ would record the grants given for purposes other than for salaries and creation of capital assets.

During scrutiny of the Appropriation Accounts of Grant No. 93 pertaining to Ministry of Textiles for the year 2012-13, it was observed that an expenditure of Rs. 5.77 crore was booked against the Object Head 50- Other Charges under 2851.00.108.01.02 and a test check of the expenditure revealed that expenses towards recurring Grants-in-aid (Plan) amounting to Rs. 2.63 crore was incorrectly booked under the Object Head 2851.00.108.01.02.50.

Thus booking of expenditure is not in accordance with the provision mentioned above and has resulted in misclassification of expenditure under the Object Head ’50- Other Charges’ instead of ‘31- Grants in aid General’ within the same section of the Grant. Since these are to be treated as additional augmentation under the object head Grant in aid, prior approval of Parliament is needed. Thus the misclassification amounted to bypassing Parliament approval.

It was also noticed that an amount of Rs. 17 lakh released under the head 2851.00.789.25.00.50- ‘Other Charger’ was not booked as expenditure

245 Ministry of Textiles

S. Audit reference Gist of Para No. in e-lekha resulting in understating the expenditure to that extent. (v) Rule 79 of General Finance Rules, 2005 read with Rule 31 of the Government Accounting Rules 1990 stipulate that any expenditure incurred for creation of concrete assets of permanent or intermittent character shall be classified as Capital Expenditure and Revenue shall bear all subsequent charges for maintenance and upkeep of the project including renewals and replacements as may be prescribed by the Government. Further as per Delegation of Financial Power Rules, 1978, Object Head ’52- Machinery and Equipments’ falls under Object Class- 6 (Acquisition of capital assets & other capital expenditure) and includes expenditure towards machinery equipment, apparatus etc. other than those required for running the office. During scrutiny of the Appropriation Accounts of Grant No. 93 pertaining to Ministry of Textiles for the year 2012-13, it was observed that an expenditure of Rs. 0.83 lakh was incurred under ‘Welfare and Other Schemes’ and booked against the Object Head 2851.00.104.13.00.52- Machinery & Equipments in the Revenue Section. The funds released should have been booked under the Capital Section of the Grant as per extant Rules stated above. This resulted in overstatement of Revenue expenditure & understatement of capital deficit. (vi) As per the instructions of the Ministry of Finance, issued vide OM No. 1 (4)/ E. II (A)/ 2010 dated 7 June 2011, a new object head ’36- Grant in aid- salaries’ was to be opened under all the grants with effect from 1.4.2011 onwards under object class 4 (Grant etc) below Rule 8 of the Delegation of Financial Rules, 1978, to record the amounts released to autonomous or other bodies as grants in aid towards salaries. The instant rules also prescribe that object heae ’31- Grants in aid General’ shall record grants in aid amounts released for purposes other than for salaries and creation of capital assets i.e. for operational expenditure. During scrutiny of the Appropriation Accounts of Grant No. 93 pertaining to Ministry of Textiles for the year 2012-13, it was observed that Ministry booked an expenditure of

246 Annual Report 2013-14

S. Audit reference Gist of Para No. Rs. 1.25 crore incurred towards payment of salaries under the Object Head- 3601.01.726.05.00.31- ‘Grant in aid General’, instead of Object Head- 36 ‘Grant in aid General- salaries’.

(vii) As per Rule 8 of Delegation of Financial Power Rules, 1978, Object Head- 35- will include amounts released as grants for the creation of capital assets. Further, in accordance with the instructions issued by the Ministry of Finance in May 2006 (item E of Annexure to OM No. F1 (23) - B (AC)/ 2005 dated 25 May 2006) and as per the clarification issued vide OM. No. F. 1 (5)- B (AC)/ 2011 dated 21st, May 2012, cases requiring augmentation of funds arising out of reclassification of expenditure from ‘Grants –in- aid’, ‘Grants for creation of capital assts’ and ‘Grant in aid salaries’ under the same scheme within the same section of the Grant require prior approval of Parliament.

During scrutiny of the Appropriation Accounts of Grant No. 93 pertaining to Ministry of Textiles for the year 2012-13, it was observed that against the total expenditure of Rs. 19.84

crore, an amount of Rs. 10.00 crore released to M/s ITT Ltd. for construction of Training Centres & Residential Hostel at NIFT Centre at Rae Bareli, U.P during the year 2012-13 was incorrectly booked under the object head 2852.08.202.02.07.31- Grant- in-aid General instead of object head ‘35- Grants for creation of capital assets’.

Since the Ministries have the option of re- appropriating the funds as per rules after obtaining token Supplementary Demand for Grants, compliance to the Ministry of Finance instructions should have been ensured by booking the expenditure to the correct object head. Thus in the instant case, Ministry avoided seeking the prior approval of the Parliament also.(viii) As per Rule 69 of General Financial Rules, 2005, the annual accounts of the Central Government shall record transactions which take place during a financial year running from the 1st April to the 31st March thereof. Scrutiny of Head wise Appropriation account in respect of

247 Ministry of Textiles

S. Audit reference Gist of Para No. Grant No. 93 pertaining to Ministry of Textiles for the year 2012-13 revealed that:

(a) An expenditure of Rs. 0.14 crore under Revenue Section (Major Head 2851, 3601) has been incurred after 31st March, 2013 i.e. after the close of the financial year/ Accounting period under the object heads ‘01- Salary’, ‘02- Wages’, ‘11- Travel Expenses’, ‘13- Office Expenses’, ‘50- Other Charges’ and ‘70- Deduct Recoveries’.

(b) In a bid to rectify the above mentioned irregularity, the Ministry has reduced the expenditure under the above Object Heads by Rs. 3.54 crore under the Revenue Section (Major Head 2851,3601,2852) has resulted in understatement of net expenditure under the Grant by Rs. 3.39 crore under the Revenue Section of the Grant.

(ix) The Ministry of Finance has created a non- lapsable Central Resources Pool for deposit of funds from all Ministries where the plan expenditure on the North Eastern Region is less than 10 percent of the total plan allocation of the Ministry. The difference between 10 percent of the allocation and the actual expenditure incurred on the North Eastern Region will be transferred to the Central Pool, which will be used for funding specific programmes for economic and social upliftment of the North Eastern States. Accordingly instructions were issued that all the savings noticed under the provisions made for North Eastern States should be surrendered to the non- lapsable Central Resources Pool.

During the audit of the Appropriation Accounts of Grant No. 93 pertaining to the Ministry of Textiles for the year 2012-13 it was noticed that the Ministry did not surrender the savings noticed under different minor heads in the Revenue Section of the grant against major head 2552- amounting to Rs. 29.74 crores to the non- lapsable pool as envisaged in the rules. Similarly the saving under the capital section of the grant amounting to Rs. 50 lakh against the major head 4552 was also not surrendered to the non- lapsable pool as per rules.

248 Annual Report 2013-14

CHAPTER XXIII RESULTS FRAMEWORK DOCUMENT (RFD)

249

Annual Report 2013-14 CHAPTER-XXIII RESULTS FRAMEWORK DOCUMENT (RFD)

The Results Framework Document (RFD) The major Success Indicators and their 2013 – 14 for the Ministry of Textiles has corresponding weights and targets for the 6 sections, 11 Objectives, 55 Actions and 74 Success Indicators. Financial year 2013 – 14 are as follows:

Success Indicator Unit Weight Target Value (Value Corresponding to Excellent) 1. Investment Under TUFS Rs. in crore 2.00 12000 2. Capacity addition under TUFS in spinning No. in Lakh 2.00 9 sector. Spindles 3. Capacity addition under TUFS (automatic, No. of Looms 2.00 12 shuttleless looms) in weaving sector. (in thousand) 4. Increase in yarn production Percent 2.00 5 5. Increase in fabric production. Percent 2.00 5 6. Completion of new parks (25% of units Nos. 2.00 10 starting production) 7. Number of Units gone into commercial Nos. 2.00 10 production 8. Persons to be trained under ISDS Nos. 3.00 150000 9. Total Values of Exports US$/billion 2.00 34 10. Silk Production Metric Tons 3.00 25480 11. Setting up of new automatic, Nos. 2.00 1000 shuttleless looms 12. Weavers/Workers enrolled under Nos. 0.75 80000 Group Insurance Scheme 13. Adoption of new clusters for Nos. 2.00 120 Technical, marketing and financial support. 14. Number of new designs developed Nos. 2.00 5500 15. Yarn supply through NHDC Lakh Kg. 1.00 1100 16. Number of weavers to whom Credit No. in Cards 1.00 50000 Cards prosposed to be issued. 17. Technical Textile unit registered under Nos. 0.50 33 TMTT 18. Approval of projects under NER textile Nos. 2.00 4 promotion scheme.

More Detailed information is given on the Ministry’s website (http://ministryoftextiles.gov.in)

251 Ministry of Textiles

252 Annual Report 2013-14

CHAPTER XXIV Goals set for procurement from Micro and Small Enterprises and achievements

253 Ministry of Textiles

254 Annual Report 2013-14

CHAPTER XXIV Goals set for procurement from Micro and Small Enterprises and achievements

In order to ensure effective implementation Accordingly, goals for 2014-15 may also of Public Procurement Policy for Micro be fixed and intimated for inclusion in & Small Enterprises (MSEs) Order, the Annual Report 2013-14. Despite 2012 notified under MSME Act 2006, all concerted efforts, information from all the concerned in this Ministry of Textiles, its concerned could not be obtained before subordinate and attached offices and printing of Annual Report 2013-14 of the CPSUs under the administrative control Ministry. The information received from of Ministry were advised that due care the following organizations viz., National may be exercised for making provisions Textiles Corporation, Jute Corporation of that at least 20% of the total annual India, National Jute Development Board, procurement of goods and services shall is enclosed at Annexure III. Rest are being be made from MSEs including providing advised to send the information directly a sub-target of 4% procurements from to Ministry of Micro Small and Medium MSEs owned by SC/ST entrepreneurs. Enterprises.

255 Ministry of Textiles

256 Annual Report 2013-14

ANNEXURE

257

Annual Report 2013-14 1% 6% 8% 2% -3% -7% -2% 11% 13% 13% 18% 13% 51% 24% 16% US$ 3% 26% 26% 32% 26% 10% 13% 68% 24% 10% 38% 18% 20% 14% 29% Variation Crore 113.24 575.40 239.79 397.49 310.35 423.59 5118.49 8886.91 5693.89 3622.89 2188.40 3128.47 9068.97 12509.80 14385.84 US$ Mn 2013-14* 684.71 3491.40 1453.85 2409.51 1888.67 2573.38 31026.58 53913.77 34517.98 22248.48 13263.66 76162.25 18925.70 54870.44 87059.80 Crore 509.7 236.7 415.35 403.63 5045.70 121.97 293.38 11272.29 12398.10 4,536.00 7,524.56 3,747.73 1,453.85 2,521.20 8,423.05 US$ Mn 2012-13 2266.10 2197.72 664.29 27451.16 61223.10 67452.48 2,772.55 1,288.80 7,913.64 1,601.81 Crore 24,678.61 40,946.59 20,276.51 13,712.34 45,826.50 501.23 475.67 Annexure-I 5658.01 572.74 266.65 151.25 349.98 11139.28 13094.62 6,811.35 5,085.27 4,327.93 1,257.70 2,205.95 9,630.97 US$ Mn 2011-12 725.2 2379.89 2270.12 27047.12 54236.17 62686.67 2,752.68 1,270.78 6,026.92 1,654.69 Crore Export Data (upto March, 2014) 32,611.97 24,294.44 21,624.20 10,561.82 46,097.93 441.18 631.04 4706.67 8701.83 110.13 422.01 256.69 970.31 331.05 11026.48 4,284.66 5,791.87 2,909.96 1,477.13 8,579.04 US$ Mn 501.2 2012.13 2874.13 21410.56 39521.31 50180.69 1,920.18 1,169.26 4,419.36 6,729.19 1,510.93 19,490.38 26,360.84 13,160.47 39,032.14 2010-11 Crore - Wool & Woolen textiles & Woolen Wool Manmade yarn, fab. & madeups Man-made textiles Manmade staple fibres Cotton yarn, fabrics & madeups Cotton Textiles Cotton Cotton raw including waste Silk RMG of Silk RMG of other textile material Woollen yarn, fabrics Woollen &madeups RMG of Man-made fibre RMG of Wool RMG of cotton incl. ac cessories Item

Readymade Garment

259 Ministry of Textiles

5% 5% -3% -9% 13% 19% 40% 18% 13% 17% 12% -14% -42% -34% -28% US$

8% 1% -4% 26% 32% 17% 58% 31% 26% 30% 25% -35% -26% -21% 17% Variation Crore

2.57 23.46 63.36 16.25 139.03 152.68 378.53 370.15 141.45 229.56 12.58% 1034.55 3884.91 39310.88 35425.97 312610.30 1,037.12 US$ Mn 2013-14* 15.65 99.29 843.18 143.58 926.33 383.29 856.37 12.59% 2296.38 6255.84 2232.83 1394.83 23504.42 238422.87 214918.45 6,271.49 Crore 1894181.95 3.92 11.58 40.54 53.23 390.24 196.39 11.63% 3304.90 161.05 135.42 984.22 988.14 515.31 155.35 34930.05 31625.15 300400.68 US$ Mn 2012-13 21.14 62.97 11.63% 2124.24 1069.47 876.68 221.16 736.79 289.61 845.95 17970.12 189940.65 171970.53 5,353.08 5,374.22 2,812.04 1633634.81 Crore 4.17 211.92 58.36 54.44 10.17 464.95 10.77% 196.84 155.31 843.37 847.54 551.94 198.85 32945.16 32945.16 305963.92 US$ Mn

2011-12 20.08 49.77 10.82% 2226.07 1018.45 945.83 282.01 737.52 260.71 949.57 158559.74 158559.74 1465959.4 4,051.21 4,071.29 2,623.96 Crore

2.58 9.67 74.15 458.73 10.95% 116.43 158.37 109.78 345.55 159.49 364.68 27508.90 27508.90 251136.19 1,035.35 1,037.93 US$ Mn

11.69 44.07 10.95% 2092.07 722.87 531.81 499.56 337.83 726.49 125110.67 125110.67 4,706.65 4,718.34 1,574.95 1,660.80 1142921.92 2010-11 Crore - Jute hessian Jute yarn Other jute manufactures Jute Floor covering of jute Silk carpets Carpets (excluding silk) handmade Carpets Handloom Product Silk waste Total T&C including Total Handicrafts Exports Textile % Total Textile & Clothing Textile Total Handicrafts (EPCH Data) Item Coir and Manufac overall exports India’s Statistics of India( Principal Commodities & Countries), DGCI&S for export figures in Rupee and Department Commerce(Intranet) -Exchange rate Trade Source : Foreign *Provisional turers

Natural silk yarn, fab. & madeups

260 Annual Report 2013-14 166.8 56.71 116.85 287.05 588.71 209.24 581.69 471.94 140.69 565.33 277.58 Annxure-II Dated: 24/4/2014 Sorted on HSCode 2013-2014(Apr-Dec) Values in US $ Million Values 0.037 0.1143 0.0636 0.0793 0.1608 0.0569 0.1553 0.0144 0.0302 0.1496 0.0793 %Share 70.76 311.87 388.98 789.01 279.45 762.26 560.96 181.61 148.38 734.27 389.17 2012-2013 - Export Import Data Bank Import :: Commodity-wise Commodity SILK WOOL, FINE OR COARSE ANIMAL HAIR, HORSEHAIR ANIMAL WOOL, FINE OR COARSE AND WOVEN FABRIC. YARN COTTON. COTTON. OTHER VEGETABLE TEXTILE FIBRES; PAPER YARN YARN TEXTILE FIBRES; PAPER OTHER VEGETABLE YARN. OF PAPER AND WOVEN FABRICS MAN-MADE FILAMENTS. MAN-MADE STAPLE FIBRES. MAN-MADE STAPLE WADDING, FELT AND NONWOVENS; SPACIAL YARNS; YARNS; AND NONWOVENS; SPACIAL FELT WADDING, ARTICLES AND CABLES AND ROPES CORDAGE, TWINE, THEREOF. TEXTILE FLOOR COVERINGS. AND OTHER CARPETS SPECIAL WOVEN FABRICS; TUFTED TEXTILE FABRICS; TEXTILE FABRICS; TUFTED WOVEN FABRICS; SPECIAL TRIMMINGS; EMBROIDERY. TAPESTRIES; LACE; ABLE FOR INDUSTRIAL USE. ABLE FOR INDUSTRIAL IMPREGNATED, COATED, COVERED OR LAMINATED COVERED OR LAMINATED COATED, IMPREGNATED, KIND SUIT A OF ARTICLES TEXTILE TEXTILE FABRICS; KNITTED OR CROCHETED FABRICS. KNITTED OR CROCHETED FABRICS. 50 51 52 53 54 55 56 57 58 59 60 HSCode 50 51 52 53 54 55 56 57 58 59 60 S.No. * ITC HS Code of the Commodity is either dropped or re-allocated from April 2013 * ITC HS Code of the Commodity is either dropped or re-allocated from

261 Ministry of Textiles 126.7 193.33 292.57 4075.19 340,641.76 2013-2014(Apr-Dec)

0.084 0.0239 0.0428 %Share

117.42 5356.6 210.09 412.37 490,736.65 2012-2013 Commodity ARTICLES OF APPAREL AND CLOTHING ACCESSORIES, AND CLOTHING APPAREL OF ARTICLES KNITTED OR CORCHETED. Total T&C Import Total Import Total India’s ARTICLES OF APPAREL AND CLOTHING ACCESSORIES, AND CLOTHING APPAREL OF ARTICLES KNITTED OR CROCHETED. NOT OTHER MADE UP TEXTILE ARTICLES; SETS; WORN ARTICLES; TEXTILE OTHER MADE UP RAGS ARTICLES; TEXTILE AND WORN CLOTHING

61 62 63 HSCode

61 62 63 S.No.

262 Annual Report 2013-14

ANNEXURE-III Procurement from MSEs National Textile Corporation Limited (Figures in Rs.lac)

Sl. Year 2013-14 Target for the Particulars No. year 2014-15

1 Total Annual Procurement (in value) 14965.38 18427.14

2 Total Value of Goods and Services pro- 3623.16 4855.04 cured from MSEs (including MSEs owned by SC/ ST entrepreneurs)

3 Total Value of Goods and Services pro- Separate data not 228.14 cured from only MSEs owned by SC/ ST available entrepreneurs

4 % of procurement from MSE (including 24.21 26.35 MSEs owned by SC/ST entrepreneurs) out of total procurement

5 % of procurement from only MSEs owned Separate data not 5.05 by SC/ST entrepreneurs out of total pro- available curement

6 Total number of Vendor development pro- 35 49 grammes for MSEs

7 Confirmation of uploading annual MSE Yes Yes procurement profile on your website by hyperlink of same

263 Ministry of Textiles

The Jute Corporation of India Limited (Figures in Rs.lac)

Sl. Year 2013-14 Target for the year Particulars No. 2014-15

1 Total Annual Procurement Rs.15,54,156.00 Rs.20,00,000.00 (in value) (Approx)

2 Total Value of Goods and Rs.15,54,156.00 Rs.20,00,000.00 Services procured from (Approx) MSEs(including MSEs owned by SC/ ST entrepre- neurs)

3 Total Value of Goods and Services procured from only ------MSEs owned by SC/ ST entrepreneurs

4 % of procurement from MSE 100% 100% (including MSEs owned by SC/ST entrepreneurs) out of total procurement

5 % of procurement from MSEs owned by SC/ST ------entrepreneurs out of total procurement

6 Total number of Vendor development programmes ------for MSEs

7 Confirmation of uploading No Yes annual MSE procurement profile on your website by hyperlink of same

264 Annual Report 2013-14

National Jute Manufactures Corporation Ltd., Kolkata (CPSU) (Figures in Rs.lac)

Sl. Year 2012-13 Year 201-14 Target for No. Particulars (Rs.) (Rs.) 2012-13 (Rs.)

1 Total Annual Procure- 4,74,85,243.00 4,92,97,644.00 6,00,00,000.00 ment (in value)

2 Total Value of Goods and 4,74,85,243.00 4,92,97,644.00 6,00,00,000.00 Services procured from MSEs(including MSEs owned by SC/ ST entre- preneurs)

3 Total Value of Goods and NIL NIL NIL Services procured from only MSEs owned by SC/ ST entrepreneurs

4 % age of procurement 100% 100% 100% from MSE (including MSEs owned by SC/ST entrepreneurs) out of total procurement

5 % of procurement from NIL NIL NIL only MSEs owned by SC/ST entrepreneurs out of total procurement

6 Total number of Ven- NIL NIL NIL dor development pro- grammes for MSEs

7 Confirmation of uploading Done Done Done annual MSE procurement profile on your website by hyperlink of same

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Textile Cover job no 621 date : 05-07-14