Govt Rolls Out National Handloom Development Programme and Raw Material Supply Scheme

The Government has undertaken various measures for promoting the handloom sector in the country. To provide end to end support for promotion of handloom sector and welfare of handloom workers, the Ministry of Textiles is implementing the National Handloom Development Programme and Raw Material Supply Scheme across the country.

Under the National Handloom Development Programme, financial assistance is provided to eligible handloom organisations/workers for upgraded looms and accessories, solar lighting units, construction of work shed, product and design development, technical and common infrastructure, marketing of handloom products in domestic/overseas markets, etc.

Under Weavers’ MUDRA Loan/Concessional Credit Scheme, margin money assistance for individual weaver and Handloom Organisations; interest subvention and credit guarantee fees on loans for a period of three years are provided, according to an official release.

Provision has been made for welfare of handloom workers through life and accidental insurance cover, scholarships for higher education to their wards etc. The guidelines also provide for financial support for Awardee weavers above 60 years of age in indigent circumstances.

Under the Raw Material Supply Scheme, the Ministry provides transport subsidy, for transportation of yarn to the doorstep of the beneficiary, and 15 per cent Price Subsidy on Cotton Hank Yarn, Domestic Silk, Woollen and Linen yarn and blended yarn of natural fibres.

For export promotion of handloom products, Handloom Export Promotion Council has been participating/organizing international marketing fairs/events for providing prominence to Indian handloom products globally.

During the celebration of 7th August 2015 as National Handloom Day, ‘India Handloom’ brand was launched for branding of high-quality handloom products to promote production of niche handloom products with high quality with zero defect and zero effect on environment. Since the launch of “India Handloom” Brand, 1,998 registrations have been issued under 184 product categories. To address the issues faced by handloom workers during Covid-19 pandemic, the Government took various steps across the country.

The Government of India announced a special economic package viz. Atma Nirbhar Bharat Abhiyaan for boosting economy of the country and making India self-reliant. Relief and credit support measures were announced for various sectors to revive their businesses and were available to eligible weavers and Handloom Organisations also. States and UTs were requested to direct their State Handloom Corporations/Co-operatives/Agencies to purchase the finished inventory available with the handloom weavers. To enhance productivity, marketing capabilities and facilitate better incomes, 151 Handloom Producer companies (PCs) have been formed in the country.

Handloom weavers were onboarded on Government e-Market place to enable them to sell their products directly to various Government Departments and organisations. An amendment was introduced in rule 153 of General Financial Rule (GFR) 2017, according to which “Of all items of textiles required by Central Government Departments, it shall be mandatory to make procurement of at least 20% from amongst items of handloom origin, from KVIC and/or Handloom Clusters such as Co-operative Societies, Self Help Group (SHG) Federations, Joint Liability Group (JLG), Producer Companies (PC), Corporations, etc. including Weavers having Pehchan Cards”.

Handloom Producers were facilitated by organising virtual fairs for showcasing Handloom products for B2B buyers/exports for Handloom Workers. 10 virtual fairs were organised in 2020-21 and as many in 2021-22. Besides, 211 domestic marketing events were also organised in 2021-22 in different parts of the country for the weavers to market and sell their products.