Khadi turns the tables on flashier rivals

Finding its bearings in the freedom struggle, khadi sits soft on the skin and on the scale of discourse on nationalism. The hand-woven natural cloth propagated by Mahatma Gandhi to promote self-dependence during the Independence movement has got more sheen in the last six years, since the Narendra Modi government took charge. At least the numbers say so.The Khadi and Village Industries Commission (KVIC) recently announced a turnover of close to Rs 90,000 crore in FY20. KVIC’s turnover was more than twice that of Hindustan Unilever (Rs 38,785 crore), India’s largest consumer goods company. The government now aims to take KVIC’s turnover to Rs 5 lakh crore by FY24.These numbers may come as a surprise to many, as KVIC products have had a largely obscure existence, thanks to its humble packaging. “We have been focussing on quality and price,” says KVIC Chairman VK Saxena. “Some of our products are unmatched. And they are all handmade, homegrown products.” 76362889Now, KVIC is well-positioned to leverage the opportunities posed by the Covid-19 outbreak and Prime Minister Narendra Modi’s call for “atma nirbharta” or self-reliance to boost the post-lockdown economy.In fact, KVIC has made and sold nearly a million masks — the most essential weapon in the fight against the novel coronavirus — since March. It has also distributed an equal amount of masks free, Saxena says. “Since Covid-19 cases started coming up in India, we directed all our khadi institutions to start manufacturing cotton and silk masks.Over eight lakh masks have been sold since then, and nine lakh masks have been distributed to the district collectors.”KVIC has stepped up to play a more active role in the recent past, says Saxena. “Brand Khadi saw the widest acceptance in the country after Prime Minister Modi started promoting it.”Khadi’s unprecedented growth during the period can be gauged by the fact that production of the fabric has grown at an average of 19.45% a year since 2015-16, from 6.25% in 2004-2014. Similarly, sales grew at an annual 27.6%, from 6.65% in 2004-2014. When KVIC was set up in 1956, 0.42 million sq m of khadi were made. It reached 103.22 million sq m in 2013-14. Since 2014-15, production has gone up by 15.8 million sq m a year. In 2019-20, the output was 198.29 million sq m.KVIC has also been leading the fight to protect the term khadi. It had asked several entities to not use terms such as “handspun or handwoven” while selling khadi products without getting its permission. This protective measure started in 2013, when the UPA government made it mandatory for companies to get a “Khadi Mark” certificate from KVIC to sell khadi products, after it noticed that mill-made products were being sold as khadi. “Khadi is a national fabric. There are sentiments attached to it. We have to protect these. It is a fabric gifted to us by none other than Mahatma Gandhi and it is being nurtured by the PM,” Saxena says. 76362902He quickly clarifies that KVIC is not against allowing khadi a wider market. In fact, the commission has granted over 500 Khadi Mark affiliations to various brands. “I am willing to open khadi to the market, but I want to keep its inherent value intact,” he says.KVIC has also supplied khadi manufactured by its institutions to companies such as Raymonds, Arvind Limited and Aditya Birla Fashion and Retail Limited. “We are in talks with three to four international companies also,” Saxena says, without revealing names.The protection of what Saxena terms as the national fabric is not limited to trademark alone. KVIC is also driving a campaign to limit imports of products that can be easily made in the country. 76362939Earlier this year, the government increased the customs duty on incense sticks and bamboo used to manufacture these, citing the onslaught of imports on the domestic industry.KVIC is also pursuing the commerce ministry for a ban on imports of silk and wooden toys. KVIC, set up by an act of Parliament, is also set to gain from the home ministry’s order that only products made in India be sold at the Central Armed Police Force (CAPF) canteens. This was part of the government’s “atma nirbhar” move. “Approximately, 75-80% of the products to these canteens will now be supplied by KVIC. We are looking at 30-40 lakh new consumers now,” Saxena says, adding that they were not supplying to the canteens earlier.KVIC has also leveraged its expertise to provide several types of employment opportunities. It is a nodal agency for the Prime Minister’s Employment Generation Programme (PMEGP) that helps beneficiaries set up businesses by giving them financial help.There are 2,25,886 KVIC units across the country, directly employing 5,26,070 artisans. Additionally, it supports jobs through PMEGP. In 2018-19, an estimated 14.6 million jobs were supported by KVIC, minister Nitin Gadkari said in the Lok Sabha. 76362928Noida-based Amit Mathur is one entrepreneur who has gained because of KVIC. Under the PMEGP, he established a mustard oil unit in a village close to Jaipur in 2018. “I was able to generate a sustainable employment avenue,” says Mathur, who recently supplied a batch of mustard oil to the CAPF canteens. “Thanks to this order, I not only see better order visibility but am also assured of returns on my investment.” He now plans to double the number of machines deployed at his oil extraction unit to 40.KVIC has helped people set up over 2 lakh industry units in villages in the last five years. These units produce food and agriculture based products, small electronic items such as fan regulators, electric tandoors and doorbells, among others.Though it is a decades-old organisation, KVIC has become relevant now by leveraging sustainable fashion and entrepreneurial spirit. It is also upping the cool quotient of the homegrown, hand-spun fabric.

from Economic Times https://ift.tt/2UJtXrh