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Demand For Reduction Of Number Of Products

The powerloom sector in South India has sought further reduction in the number of products reserved for handloom textile items. The number has already been reduced from 21 items to 11. Arguing that there are more products that require intricate skills and the demand for which cannot be met by the handloom sector, chairman of […]

Demand For Reduction Of Number Of Products
Quick Industry Summary
AI
OpportunityPowerloom sector lobbying for de-reservation of handloom items signals new market access.

Powerlooms Eye De-reserved Handloom Items, Committee Formed

  • WHAT: Powerloom sector seeks further reduction in 11 reserved handloom items, citing significant demand-supply gap.
  • WHO: Powerloom manufacturers and exporters stand to gain substantial market share and production opportunities.
  • IMPACT: De-reservation could increase powerloom production volumes, potentially lowering costs and diversifying product offerings.
  • CONTEXT: This move reflects industrialization pressures to meet growing demand efficiently, challenging traditional craft protection.
  • ACTION: Powerloom operators should monitor policy changes and prepare for new product lines; handloom sector must strategize for differentiation.
Affects:ManufacturersExportersGarment ManufacturersWeavers & Fabric MillsSourcing ManagersInvestorsPolicy MakersRaw Material SuppliersDyers & Processors
Powerloom industryHandloom reservation actTextile policy reformMarket accessProduction capacityIndia textiles
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The powerloom sector in South India has sought further reduction in the number of products reserved for handloom textile items. The number has already been reduced from 21 items to 11.

Arguing that there are more products that require intricate skills and the demand for which cannot be met by the handloom sector, chairman of Powerloom Development and Export Promotion Council (PDEXCIL) M Duraisamy said restriction must be lifted from those items too.

The council chairman said that a bulk of the handloom weavers in the country were based in the North-Eastern states where women take to weaving as a “part time” activity which leaves a huge gap between demand and production.

The handlooms sector’s productivity is quite low despite 22 lakh handlooms in the country as against 24 lakh power looms.

The textile items reserved for handlooms include saris with extra warp and extra weft designs, saris with solid coloured woven border, tie and dye saris, dhotis, towel and ‘angavastram’, lungi, ‘jamakkalamdurry, and shawl.

According to official sources, the centre has constituted a committee to amend the Handloom Reservation Act, to pave way for removing some items from the list, the report said. Advocates for the handloom sector based at Chennimalai are apprehensive that dilution of the Handloom Reservation Act will spell the sector’s doom.

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