Union Textiles Minister Smriti Irani flagged product diversification, design innovation and tapping on technology as the key focus areas to further build handloom export capacity.
Chennai:
“We have for too long exported handloom, handwoven wares in defined product categories. But there are enough opportunities today if we look at product diversification to entice more and more global customers,” she said. After giving away handloom export awards under the aegis of the Handloom Export Promotion Council, she said product placement and positioning too needed to be looked at.
From TN Kwalitee Fabs and Rama Traders (Karur), Cotton Concepts and Coimbatore Cotton Concepts & Designs Pvt Ltd (Coimbatore) also received awards under various categories. The minister said design innovation and using technology needed focus. Rather than talking about the strength of the handloom industry in rupee or dollar terms, “we can talk of it in design terms,” she said.
Irani also asked the weavers to take benefits provided under schemes like the MUDRA, which is bringing about drastic changes in the economy - 28% of the beneficiaries under this scheme are new entrepreneurs and 70% of them are women. TN is among the states with majority of the beneficiaries availing the Mudra scheme.
GST doesn’t impact most Indian weavers
Irani assured that the GST will not affect weavers in the country, as a large section of them doesn’t exceed the income bracket of Rs 20 lakh and above per year. Irani requested her TN counterpart to spread the message among weavers.
TN Handloom Minister OS Manian, who spoke earlier, said the demands raised by the industry on export related issues like enhancement of duty drawback rates needed the Centre’s consideration. Reacting to a memorandum presented to her by him at the event seeking exemption for weavers from GST, she said, “A simple Indian weaver doesn’t earn more than Rs 50,000 to a lakh per month. That is a weaver who is very prosperous. The GST council has decided that anyone who earns less than Rs 20 lakh per year is exempted from GST. I am hopeful this information is spread across the state and country so that weavers and artisans who feel they are under the ambit of GST are not given the wrong information.”
Shedding light on the significance of the India handloom brand, she asked Manian to implore weavers in TN to join the brand. She said, “One of the guarantees the handloom industry needed was the guarantee of no colour bleeding, of the kind of raw materials and that all compliance measures are being looked into. And that is why PM Narendra Modi launched the India Handloom Brand in August 7, 2015. In a mere three years, 113 product categories and over 1,090 different kinds of weavers and products have been registered under the India Handloom brand. Over a 100 retail stores India are partnering to ensure the product placement of the brand. I request you to implore more weavers in the state in the handloom category to join this brand which helps give the certificate not only about craftsmanship, but also about standards and compliance measures.”
Irani also said her Ministry is in talks with Ministry of Finance, to ensure under the EXIM bank to formulate new pathways where the credit for smaller units and MSMEs can be enhanced. Manian also drew the attention of the Centre to inking a Free Trade Agreement with EU, USA, UK and Russia. Irani, referring to the FTAs said they are a “40 year legacy. I can assure him...the Ministry of Commerce is aggressively working on issue of FTA. Will have good news soon for all of us.”
Continuous efforts on to simplify GST system: Adhia
Finance Secretary Hasmukh Adhia (pic) said on Friday continuous efforts are being made to simplify the GST system in the country. Speaking at a session on ‘One Year Journey of GST’ organised by FICCI here, Dr Adhia said, “We have gained in the process of simplification by introducing GST, but that does not mean there is no scope for betterment of the existing system. A lot more needs to be done.” He also said work is being done to make GST refund process fully automatic. On simplification of rates and slabs he said, “we understand the need of it but we did our best in the given scenario, keeping in mind the revenue and societal concerns of economically poor class.” On the occasion, Sandip Somany, Sr VP, FICCI, VC-CMD, HSIl Ltd, said “Results of FICCI survey on one year of GST show that implementation has been successful on overall basis with 76% respondents stating GST had a positive impact on their business. Also, 96% believe that introduction of e-way bill mechanism in lieu of check posts will facilitate ease of doing business.”