Subsidy On Woollen Yarn

End Of Subsidy On Woollen Yarn Affects HP Weaving Industry

Subsidy On Woollen YarnHowever, after the present government came to power at the centre, the subsidy on woollen yarn was stopped, while it is being given to silk and cotton yarn weavers in Varanasi – the parliamentary constituency of Prime Minister Narendra Modi.

The centre’s All-India Handloom Board had announced 10% price subsidy on woollen yarn in addition to cotton and domestic silk yarn in February 2014.

There are thousands of families who ran small looms at their homes but are not registered with any co-operative. By stopping subsidy on woollen yarn will rob the weavers of their jobs, and affect their families, as most of them come from poor background.

Not only Himachal Pradesh, but weavers of neighbouring states of Uttarakhand and Jammu and Kashmir, in fact, weaving industry largely depends upon wool, is facing an uncertain future.

Himachal state’s weaving industry, now reeling under crisis for want of proper policy resulting in the downward slide. This is also because of competition, lack of promotion and market accessibility. With the centre ending subsidy on woolen yarn, it has put the weaving industry further into very difficult situation.

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