Handloom Sector in India

The handloom sector of India is one of the biggest unorganized economic activities. The handloom industry in India has a long tradition of outstanding artisanship that represents and preserves vibrant Indian culture. Read here to know more about the sector.

India’s handloom artists are globally known for their unique hand-spinning, weaving, and printing style. They are based out of small towns and villages of the country which transfer skills from one generation to the next.

The handloom industry is the country’s largest cottage industry, with 23.77 lakh looms.

It is also the second-largest employment provider in the rural region employing more than 3 million people in direct and allied activities.

History of the Handloom Industry in India

Historically handloom Industry could be found in every state of India and each region had a unique take on its handloom product, like the Tie and Die technique from Rajasthan, Chanderi from Madhya Pradesh, or the Jacquard from Uttar Pradesh.

Due to their unique rich variety, Indian Handloom Industry had a constant high demand in the Indian market as well as all over the world for their craftsmanship and intricacy of designs.

• India produces several traditional products such as sarees, kurtas, shawls, ghaghra-cholis, lunges, fashion accessories, bedspreads, etc.
• In the contemporary product category, the country produces fashion fabrics, western dresses, bed linens, drapes, kitchen linen, decorative furnishings, rug durries, etc.

During British rule, the export of raw cotton and flooding of the Indian market with machine-based imported yarn and the authorities resorted to violence and coercion to stop domestic handlooms.

• This resulted in a complete loss of livelihoods first for the spinners, and increased dependency of handloom weavers on machine yarn.
• Despite this, the Indian handloom industry survived and sustained itself up until World War I when imported machine-made clothes flooded the Indian Market.
• The beginning of Power looms in the 1920s, the consolidation of the mills, and the higher cost of yarn made it impossible for traditional handloom artisans, and the rise of unfair competition led to the decline of Traditional India Handloom.

Mahatma Gandhi started the Swadeshi Movement by using ‘khadi’ to promote self-reliance and self-sustainability among the rural villages and used it as a tool of passive resistance to reject British rule.

• Every Indian was urged to spin their yarn by using a simple charkha and to proudly wear a Khadi.
• This movement led to the closure of the Mills in Manchester and was a big turning point in the struggle to achieve independence.

After Independence, the Indian government introduced several schemes and made various interventions to revive the rich Indian Handloom heritage industry to its previous glory and promote regional handloom culture.

• To promote Khadi and other village industries, the Khadi and Village Industries Commission (KVIC) was formed by the Government of India.
• It is an apex organization under the Ministry of Micro, Small, and Medium Enterprises (MSME), about Khadi and village industries within India.

Handloom sector in India

The handloom sector of India has the advantage of being less capital intensive, eco-friendly, having less power consumption, and the ability to adapt to market conditions.

• According to the Handloom Census 2019-20, the industry employs about 3,522,512 handloom workers across the country.
• The industry primarily employs women workers with a share of 72.29% of the total handloom workers.

The majorly exported handloom products from India are mats and mattings, carpets, rugs, bedsheets, cushion covers, and other handloom articles.

• Home textile constitutes over 60% of India’s total handloom exports.
• Carpets, rugs, and mats made from handlooms had a total share of 13.6% of total exports during 2020-21.
• Indian silk scarves are popular around the world and these handloom-made products form a sizable chunk of the total handloom exports.
• The major handloom export centers are Karur, Panipat, Varanasi & Kannur where handloom products like Bed linen, Table linen, Kitchen linen, Toilet linen, Floor coverings, embroidered textile materials, curtains, etc. are produced for export markets.

India exports handloom products to more than 20 countries in the world.

• Some of the top importers are the US, the UK, Spain, Australia, Italy, Germany, France, South Africa, the Netherlands, and UAE.
• The US is the biggest importer of handloom products from India, consistently the top importer for the past 8 years.

Government initiatives

In harmony with the concept of ‘Minimum government and maximum governance’, the All-India Handloom Board was abolished in 2020. However, other institutional frameworks exist to support the handloom sector in India.

National Handloom Development Programme:

• Provides concessional credit, marketing assistance, and logistical support.
• Promotes supply schemes and the E-Dhaga mobile app.

The Comprehensive Handloom Cluster Development Scheme

• Develops mega handloom clusters, and provides relief to MSMEs as a grant.

The Yarn Supply Scheme

• Increase the availability of yarns to eligible handloom weavers.

The Handloom Weaver’s Comprehensive Welfare Scheme

• Assists weavers in availing of social security benefits.

Market Access Initiative (MAI)

• The MAI launched in 2018, was revised in 2021, and will be in effect till March 2026.
• This scheme will act as a catalyst to promote India’s exports on a sustained basis.
• MAI is based on a product-specific approach with market studies and research on evolving the markets.

Handloom Export Promotion Council (HEPC)

• The HEPC was formed in 1965 and is a not-for-profit organization.
• The council supports and promotes the export of Indian handloom fabrics by undertaking market studies and trade missions, disseminating information, advising governments, and providing guidance and consultancy to exporters.
• The HEPC also organizes and participates in international trade fairs and buyer-seller meets in India and abroad.

Also read: Textile Sector In India; Sericulture

Handlooms of India: State-wise list

1. Paithani- Maharashtra
2. Bandhani- Gujarat
3. Kunbi- Goa
4. Muga silk- Assam
5. Kullu shawls- Himachal Pradesh
6. Mysore Silk- Karnataka
7. Kalamkari- Andhra Pradesh
8. Pochampalli Ikat- Telangana
9. Chanderi- Madhya Pradesh
10. Shisha- Rajasthan
11. Kanjeevaram- Tamil Nadu
12. Kasavu- Kerala
13. Naga shawls- Nagaland
14. Apatani- Arunachal Pradesh
15. Bhagalpuri silk- Bihar
16. Kosa silk- Chattisgarh
17. Panja Durries- Haryana
18. Kuchai silk- Jharkhand
19. Phanek- Manipur
20. Sambalpuri- Odisha
21. Phulkari- Punjab
22. Lepcha- Sikkim
23. Pachra- Tripura
24. Chikankari- Uttar Pradesh
25. Panchachuli weave- Uttarakhand
26. Jamdani- West Bengal
27. Eri silk- Meghalaya
28. Puans- Manipur
29. Pashmina- Jammu and Kashmir

Way forward

The Indian handloom industry has a rich heritage that has persevered through time immemorial.

Conversely, the sector is surrounded by manifold challenges such as small productivity, globalization, insufficient working capital, rapid technology development, etc.

Hence, the handloom sector will have to play to its different strengths in the modern economy.

• The energy impacts and environmental harm from handloom technology are almost zero.
• The nature of the power loom industry is such that there is great scope for many newcomers.
• It is also true that the industry will survive and prosper because of the originality, individuality, and workmanship of the artistic weaver.
• The prudent strategy lies in bringing a balanced compromise between retaining the cultural heritage of the profession and the introduction of modern advanced technology weavers in the weaving industry.

India’s soft power in an increasingly multipolar world will be determined by the success of its handlooms. These symbols of shared cultural expression, often touted by the Indian government through ‘Saree’ and ‘Khadi’ diplomacy, showcase the mastery of Indian weavers on the world stage and reiterate India’s attractiveness as an investment destination for global investors.

-Article by Swathi Satish