HANDLOOM SECTOR
IN
INDIA
HANDLOOM SECTOR WAS A
NATIONALIST ACTIVITY AND IDENTIFIED
COMPLETELY WITH GANDHIAN AGENDA.
HANDLOOM WEAVING AND RELATED
ACTIVITIES BECAME SYMBOLIC FOR THE
INDIAN INDEPENDENCE STRUGGLE
[Link]
AYhY&feature=related
Source: Magazine “YOJANA”
FABRIC,ARTISAN,BEAUTY
Handloom forms a part of the heritage of India and
exemplifies the richness and diversity of our
country with the artistry of the weavers.
Hand weaving is the most creative expression
through fibre interplay and surface texture with
patterns and colours.
[Link]
INDIAN TEXTILE
SILK: Mulberry, Tusser,Eri and Muga
Silks ,E.g.- Potola in Gujarat, Ikkat in
AP,Orissa, Kota, Banarasi
WOOLEN: Pashmina, Shantoosh in
J&K, shawls from Kullu
COTTON: Khadi, saree from Chanderi
JUTE: It is golden fabric found in
eastern parts of India.
Source:
fibre2fashion
OVERVIEW
Handlooms in India are the largest cottage industry.
Nearly 4 million workers are engaged in weaving
fabrics of nearly 23 different varieties of cotton.
Industry provides direct/indirect employment to over
30 lakhs weavers i.e. 12.5 million people
In the entire country, there are more than 38 lakh
handlooms.
In north-eastern States, there are more than 15 lakh
domestic handlooms.
Source: Magazine “YOJANA”
OVERVIEW
Largest second economic activity after
agriculture.
This sector accounts for 19 % of the total cloth
produced in the country excluding wool, silk
and hand spun yarns which was about 7352
million sq. metres in 1999-2000.
Textile industry is the single largest foreign
exchange earner for India i.e. 38%
India has the 2nd highest spindle age in the
world, after China.
Source: Magazine “YOJANA”
PROBLEMS
This sector is suffering due to its very nature of being
unorganised
dispersed
There is absence of
market intelligence,
poor exposure to new technologies,
product diversification,
stiff competition with mechanized sector,
inadequate infrastructure & common facilities,
lack of adequate working capital
Source: COMPREHENSIVE HANDLOOM CLUSTER DEVELOPMENT
SCHEME (CHCDS)
COMPANIES
INDIA-CRAFTS
INDIANHANDLOOMSCLUSTER
HANDICRAFTS AND HANDLOOM EXPORTS
CORPORATION OF INDIA
HANDICRAFTS INDIA
KVIC
HEPC: HANDLOOM EXPORT PROMOTION
COUNCIL OF INDIA
FABINDIA
RANGSUTRA
FABINDIA
“Fabindia was founded with the strong belief that
there was a need for a vehicle to market the vast and
diverse craft traditions of India and thereby help fulfill
the need to provide and sustain rural employment.”
“Our endeavour is to provide customers with hand
crafted products which help support and encourage
good craftsmanship.”
John Bissell
Founder
4 Countries, 55 Cities, 135 Stores
INDIA,NEPAL,U.A.E,ITALY
India the nation of colour with the
magic of creativity and the work of
artisans brings out the fabric of India
called the FABINIDA
HISTORY
Started as a village based industry in 1960 by John
[Link] a counsellor for Ford Foundation he
instructed the Indian villagers to make textile
possessions for export.
He provided equitable job opportunities to the
traditional artisans and established Fabindia in 1960.
I t links over 40,000 craft based rural producers to
modern urban markets, thereby creating a base for
skilled, sustainable rural employment, and preserving
India's traditional handicrafts in the process.
• Marketing focus shifts from exports to
local Indian retail ,William Bissel takes 1990
over as MD, FabIndia
• Known for garments made from hand woven 1980
and hand printed fabrics.
• Added ready to wear garments to the Early
80’s
retail offering
• First retail store was opened in Greater 1975
Kailash, New Delhi.
• John Bissel starts FabIndia as a whole sale 1960
export company
PROGRESS
• 4 Countries, 55 Cities, 135 Stores 2010
• Handcrafted jewellery was introduced. 2008
• Personal care products were launched 2006
• Organic Food products range launched., 20
stores across the metros, Started expanding 2004
from 2 Tier & 3 Tier.
• Started 6 stores in metros 2001
• The non-textile range was added. 2000
PROGRESS
FABINDIA PRODUCTS
TEXTILE
The major portion of product range is textile based,
includes
Ready-to-wear garments and accessories for men,
women, teenagers and children;
Bed, bath, table and kitchen linen;
Floor coverings, upholstery fabric and curtains.
Basic fibres used are cotton, silk, wool, grass,
linen and jute.
NON- TEXTILE
Home Products range carries furniture, lighting,
stationery, tableware, cane baskets and a selection of
handcrafted utility items.
Organics carries several types of cereals, grains,
pulses, spices, sugar, tea, coffee, honey, fruit
preserves and herbs.
Personal care products includes soaps, shampoos,
hair oils, pure oils, moisturizers, body scrubs, face
packs, hair conditioners & special skin care products.
STRENGHTS
Popular for authenticity of hand-woven fabric,
Word-of-mouth
Focus on customer retention
Sustainable employment opportunities to rural
skilled poor
Sourcing system from rural India
Strong supplier relationship
Provision of capital loans (in agreement with
banks)
WEAKNESS
Opportunity losses due to irregularity
Difficult to predict quantity and time of than coming
from weaver
Different stores are encouraged to order different
stock
Insignificant spend on marketing communications
Losing out on attracting new customers instead of
depending only on repeat purchase
Not enough personnel for greater growth
Untimely delivery of products
Transport, storage and shelf-life issues of organic
foods
OPPORTUNITIES
Promoting e-business channel
Organic food market
In store merchandising and navigation
Utilize multi-brand retail outlets and
construction groups
Tying up with matrimonial sites for
designer fancy wedding wear
THREATS
Unorganized local operators: Regional pockets,
lower prices
Entry of organized brands
Foreign brands alter lifestyle choices of the
target market: “imported” or designer home
furnishings have greater ‘flaunt value’ vis-à-vis
fabindia
Development of government co-operatives:
Boost in future to KVIC and state handloom
units
Rising prices of real estate could hamper growth
ACHIEVEMENT
Awards
Awarded “Best Retail Brand, 2004” by the Economic
Times of India.
Got “Designer Promoting Indian Craft or Technique
award” as Hall of Fame reward.
Annual Report (2008-09)
Annual turnover of the company is in the range of Rs 500
crore
Profit ranges between Rs 35- 40 crore. (2008-09)
Registered a *CAGR of about 58% in the period 2006-2008
Online Shopping & Exports to 34 countries
INCLUSIVE MARKETING
" ENLIGHTENED STRATEGY" to serve marketing by
corporations as a long-term interests in growing the mass
market.
It aims at triggering development at the BOP by
partnering with change agents.
The challenge at the social sector is to increase incomes
of the millions of poor engaged in the handicrafts,
handlooms, dairy and other sectors.
These agencies will help the poor get better value for
their products and earn higher incomes.
INCLUSIVE MARKETING
Lacking professional marketing, promoting marketing skills
in agencies like Khadi, Handlooms, etc and NGOs that are
engaged in the non-farm sector
Public-Private Partnership is one such approach that can
benefit the poor and Offering benefits to all stakeholders
equally.
Such equitable, market based models are more likely to be
sustainable as they utilize the best strengths of each partner.
Microfinance model is one PP initiative that has achieved
scale and sustainability because of the active involvement of
the different stakeholders- the poor themselves, NGOs,
government and financial institution.
INCLUSIVE MARKETING
The Fabindia School is managed by a non-profit
organization Bhadrajun Artisans Trust (BAT).
BAT was established by William and John Bissell to
build social development programs with a focus on
education and crafts.
Private, non-profit, non-religious school with
English medium of instruction
Located in Bali village, Pali district, Rajasthan, India
Established in 1992 with 11 students
2007-2008 academic year: nearly 703 students with
35% girls enrollmen
VISION
200 stores and a turnover of
Rs.1000 crore by 2011
THANK YOU