Handicraft exports up
NEW DELHI: Despite an appreciation of the rupee, handicraft exports grew 16.11 percent during April-March 2007 to $3.8 billion. However, this is just 1.6 percent of the $235-billion world market.
The sector, which provides direct employment to over 6 million people, needs to be nurtured to realise its full potential. The sector provides for highest capital employment ratio and there is no dearth of demands for Indian handicrafts. However, the sector needs to be competitive regarding prices and consistent in quality.
A cluster development approach could be an ideal solution to promote the sector in India and overseas. Clusters will provide round-the-clock infrastructure and common facilities for developing handicrafts, besides being cost effective.
Equally important is the need to market the products. Exporters of handicrafts, mostly from the cottage sector, do not possess the skills required for international marketing. The products need to be exhibited properly to foreign buyers and tourists. A beginning has been made at the India Expo Centre and Mart in Greater Noida. There is a need to build such centres at other important cities. This needs to be supplemented by Indian handicrafts centres in the US and EU, the major markets for such products.
The department of commerce has announced a scheme titled “Towns of Export Excellence”, though nothing tangible is available under the scheme. There is need to establish handicraft SEZs in or near handicraft clusters to reduce costs and make them more competitive. There is also a need to modify the definition of manufacturing under Section 10-A of the Income-Tax Act, which needs to align with the definition given in the Foreign Trade Policy.
Environmental consideration is one of the key concerns of manufacturer and buyers. Handicraft exporters may be allowed duty-free import of pollution treatment plants like those available to leather exporters. The tools and equipments required by this sector need to exempt from duties.
A 5 percent duty-free import entitlement needs to be expanded to take care of the changing requirements of today's world. There is a seasonal demand for such products during Christmas and New Year. The industry needs to employ additional labour to meet the delivery schedule. However, the present labour laws deter creation of employment catering to seasonal demands of handicraft items. The law needs to be made flexible so that employment is created for absorbing additional workforce.
Art & crafts fest in Kozhikode
KOZHIKODE: Sahara Art and Crafts Shopping Festival – 2007 has kicked off on April 15, at Swapna Nagari in Kozhikode.
Organized by Sahara Handicrafts and Handloom Association, the event exhibits unique handicraft creations from North India for 15 days.
The expo aims to provide an opportunity for direct interaction between artisans and consumers, eliminating interference from middlemen.
General Manager of the exhibition, Manoj Kumar, sated, ‘‘Retailers sell these products at a very high price. Both artisans and customers are bound to gain once the product is bought directly from the artisans.’’
The exquisite artifacts and handloom accessories showcased at the 125 booths attracted huge crowds.
Products displayed include mojaris and juties from Rajasthan, jewelry and handloom from Orissa, Pashmina shawls and products from Kashmir as well as zari desins and fabrics from Bihar. Artisans have also offered fashionable garments and modern items here.
Training to jewellery artisans
NEW DELHI: Gem and Jewellery Export Promotion Council (GJEPC) with the help of Union Commerce Ministry is providing various training programmes for artisans to enhance production of jewellery for export.
According to Princeson Jose, Regional Chairman, GJEPC, southern region of India is the biggest exporter of gold jewelleries. Coimbatore and Thrissur produce plain gold items while Bangalore and Chennai focus on diamond-studded ornaments.
GJEPC has recently organised a special training programme for 15 traditional jewellery makers in Karaikudi on manufacturing of close and open setting jewellery, which has a very good internation market.
The council in agreement with All-India Synthetic Stones Manufacturers and Dealers Association has set up a gem training institute in the campus of National College.
The Chairman said that export of diamond jewelleries dominated from the region, followed by plain gold jewellery, rough diamonds and other items.
WTO acknowledges India’s growth
NEW DELHI: India has emerged as the fastest growing nation in the global services trade and contrary to popular belief, the country's import growth in commercial services has outpaced exports in 2006, a WTO report said.
Against the world average of 10 percent, India's services imports grew by a hefty 40 percent in 2006 while exports jumped by 34 percent, thus emerging as the most dynamic country in services trade.
Ranked at the 10th position, the country's services exports totalled $ 73 billion while imports were only a shade below at $ 70 billion with the global ranking of 12, according to the report.
"While the dynamic growth of India's commercial – and in particular software services -- exports are widely reported, the dynamic expansion of its services imports attracts less attention even though the growth rate in 2006 exceeded that of exports," the report said.
India's commercial services imports are only about five percent short of its commercial services exports.
In goods trade, India ranked as the 17th largest importer and 28th as exporter.
India is growing at an impressive rate in both exports and imports of services amid stagnant global trend. The country's share in both global services exports and imports is 2.7 percent.Despite a sterling performance in terms of growth, China's commercial services exports are estimated to have surpassed those of India. China was eighth among the top 10 services exporters and seventh among importers.