1. HANDLOOM SECTOR IN INDIA PROBLEMS REMEDIES

2. INTRODUCTION AND HISTORY India's manually operated textile machines were among the best in the world. Major handloom states in India are West Bengal, Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Assam and Manipur. Provides employment to large no. of people. Number of people employed vary from 6.5 million (1987-88) to 12.5 million people, (1995-96).

3. REGIONAL DIVERSITY Andhra Pradesh, primarily home-based rural activity. Tamil Nadu, relatively high number of non-household units. In the productivity per loom: Much higher in West Bengal and Uttar Pradesh. Lower in Andhra Pradesh and Tamil Nadu

4. An Uncertain Future Lack of raw materials. The steep rise in cotton yarn prices without a corresponding increase in handloom product prices. Sales remained restricted to the domestic market. Even if showing good productions, earning tends to be low.

5. Problems faced by Indian weavers Low wages. High levels of Indebtedness. Unemployment and Underemployment. Lack of R&D. Negligence of the sector.

6. WHAT IS GOVERNMENT DOING FOR THE HANDLOOM SECTOR?

7. Policies of Indian government Focus on forming and strengthening weavers’ co-operatives. Improving productivity and quality Provision of subsidies, including assured supply of cotton yarn: Hank Yarn Obligation Order of 1985. Setting up of welfare schemes

8. SO WHAT ALL DID GOVERNMENT DO FOR THAT Subsidies and protective measures: “Janata Cloth”; abandoned in 1996 Credit and marketing support by the government: Bogus co-operatives Government modernization schemes Welfare schemes for weavers: Handloom Development Center's Schemes introduced in 1993, Handloom Village Development Scheme, Work shed cum-Housing Scheme, Thrift- cum-Savings scheme, etc.

9. THE IMPACT OF THESE GOVERNMENT POLICIES ON THE HANDLOOM SECTOR The Janata Cloth Scheme de-skilled weavers by making them shift to poor quality cloth. Only 30% of weavers are covered by weavers’ co-operatives. The economic condition of weavers has not improved Steep increases in cotton yarn prices. Delayed payments by apex societies to weavers’ co-operatives

10. SUGGESTIONS Providing better resources to the weavers Input support Education and literacy for the weavers Proper marketing Upgraded handloom machines should be made available to the weavers at cheap and affordable prices