handicrafts sector

8/8/2019 Handicrafts Sector

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Proposed Business Plan for

Handicrafts Sector

By,


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India is one of the important suppliers of handicraftsto the world market. The Indian handicrafts industryishighly labour intensive cottage based industry anddecentralized, being spread all over the countryin ruraland urban areas

Handicraft Industry has been globally considered, asthe rich heritage of India.

This is why Indian Handicraft is in huge demand allover the world due to its unique appeal and

craftsmanship. Indian Handicrafts are available in brass,metal, wood, stone, beads, such as Paintings,Notebooks & Albums, Marble Inlay Work, Furnishing,Sculpture, Artificial Jewelry and other handicraftproducts.


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The wooden handicrafts industry plays an important role in theIndian economy. This industryrequires low capital investment andother resources. The wooden handicraft sector provides a high ratioof value addition, and has emerged as one of the major sources offoreign exchange earnings for India.Carpet weaving industry is the largest export oriented craft

industryfrom India. Not onlythere is a great demand for costlysilkcarpets from Kashmir, which has become the status symbol intraditional Indian homes, but there is also demand for woolen andnon-woolen carpets.The demand for decorative items such as traditional wallhangings, silver cutlery, brass pots, embellished wooden

sculptures, marble and wood inlaywork, silk carpets,wrought ironfurniture and decorative pieces, traditional paintings, enameledfurniture, stone and wood carvings, metal, wood and stonesculptures etc. is also on the rise in India and abroad.


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The Handicrafts Sector plays a significant & importantrole in the countrys economy

It provides employment to a vast segment ofcraftpersons in rural & semi urban areas

Generates substantial foreign exchange for the country

Preserving its cultural heritage

Handicrafts have great potential, as theyhold the key

for sustaining not onlythe existing set of millions ofartisans spread over length and breadth of the country,but also for the increasinglylarge number of newentrants in the crafts activity.


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y The Handicraft sector has, however, suffered due to itsbeing unorganized, with the additional constraints of

lack of education, low capital, and poor exposure tonew technologies, absence of market intelligence, anda poor institutional framework.


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In spite of these constraints, sector has witnessed a significantgrowth of 3 % annually. Some of the promising areas in the crafts

sector during the Xth Five Year Plan had been:

y Exports continued to grow for high value-added crafts products.

y Consumer tastes changed rapidlyon account of economicliberalization.

y Focus on qualityand product diversification with increasingconsumer awareness.

y Increasing challenge offered byavailabilityof mass-producedcompeting product lines using different raw materials (oftenman-made) and mechanized production techniques.

y Government policyenvisaged a greater role for NGOs, andparticipation of private resources both human & financial.


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Strengthsy Rich traditions of excellence in arts and crafts

y Development of supply-chain with skill specialisation

y Component level manufacturing, providing it the

efficiencyand skill requirements.yAchievable /acceptable social standards

y High Employment potential

y

Highlyexport-driven, for foreign exchange accrual


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Weaknessesy Unorganized Marketing and Inadequate market

information

y Inadequate support mechanism for product development

y Power interruption and other infrastructural deficiencies

y Inadequate of raw material at appropriate prices

y Lack of mechanism for dispersal of technologyforenhancing productivityand final finishing

y Lack of investment for fulfilling internationalrequirements

y A general poor image of the countryas a supplier of qualitygoods with consistency


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OpportunitiesyA larged trained, skilled manpower base

y Existing international presence

y Existing social interventions and structurey Traditional knowledge base

y Growing export market for qualityproduct

y Growing environment concerns

y Growing sophistication and buying power ofconsumers


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Threatsy Competitors gaining market share on strength of

volume and price

y Competitors edging out Indian exporters on strengthof quality

y Growing environmental concerns in the countryaffecting supplyof raw material

y Lack of coordination between institutions affecting

production and exportsy Increased competition among indigenous suppliers

leading to price war, high transportation cost

y Excessive reliance on state incentive and props


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Global Market


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ITEMS 2008-09

April-May

2009-2010

April-May

% age

Increase/

Decrease

% Share of total 2008-09

@

40.1893

2009-2010

@

50.0619

% age

Increase/

Decrease

1 2 3 4 5 6 7 8

A. Carpet &

other Floor

Coverings

1. Woolen 462.26 386.47 -16.40 94.28 115.02 84.32 -26.69

2. Silk 21.74 15.88 -26.95 3.88 5.41 3.46 -36.04

3. Synthetic 9.24 7.56 -18.18 1.84 2.30 1.65 -28.26

Total (A) 493.24 409.91 -16.90 122.73 89.73 -26.89

B Other

Handicrafts

1. Art Metal

ware

406.85 355.76 -12.56 26.54 101.23 71.06 -29.80

2. Wood wares 98.16 92.45 -5.82 6.89 24.42 18.47 -24.37

3. H.P. Textiles

Scarves

205.45 178.92 -12.91 13.35 51.12 35.74 30.09

4. Embroidered

&

Crocheted

goods

395.64 348.36 -11.95 25.98 98.45 69.59 -29.31

5. Shawls asArt ware

36.15 34.78 -3.79 2.59 8.99 6.95 -22.69

6. Zari & Zari

goods

29.48 26.83 -8.99 2.00 7.34 5.36 -26.98

7. Immitation

Jewellery

29.82 28.94 -2.95 2.16 7.42 5.78 -22.10

8. Misc.

Handicrafts

289.63 274.80 -5.12 20.49 72.07 54.89 23.84

Total (B) 1491.18 1340.84 -10.08 371.04 267.84 -27.81

GrandTotal

(A+B)

1984.42 1750.75 -11.78 493.77 357.57 -27.58


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This Project Ensure

Win Win Situation to every one

WIN

Benefitto

Industry

Benefitto

World

Benefitto

Society

Benefitto

Nation


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Thank You

handicrafts sector

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