Artisans too being made part of Khadi success story: MSME MoS Giriraj Singh


Promoted aggressively by Prime Minister Narendra Modi himself, Khadi is set to touch dizzying heights. Khadi and Village Industries Commission (KVIC) , the nodal agency for promoting Khadi expects to cross its sales target of Rs 5,000 crore by the end of the current fiscal. A Long Way To Go KVIC is taking various steps to […]


Giriraj SinghhPromoted aggressively by Prime Minister Narendra Modi himself, Khadi is set to touch dizzying heights. Khadi and Village Industries Commission (KVIC) , the nodal agency for promoting Khadi expects to cross its sales target of Rs 5,000 crore by the end of the current fiscal.

A Long Way To Go

KVIC is taking various steps to promote Khadi by tying up with e-commerce portals, big malls etc. to promote Khadi and increase its sale.  It is making and selling new designer ready to wear clothes focused on youth like Khadi Denim, Khadi T-shirts.  Trade Fairs/Exhibitions are being organized at District/State/ National level for promotion of Khadi. According to KVIC Chairman, VK Saxena, sales of Khadi goods has recorded a quantum jump in the current fiscal.

But the moot question is – Is the industry’s success being shared with Khadi artisans? KVIC claims spinners and weavers are already enjoying fruits of success. Let’s take a quick look at the welfare measures being doled out for them.


  • KVIC has constituted the State Level Cost-chart Committee of the Khadi Institutions for all States and Committee recommend for fixation of cost of Khadi and enhancing of wages of Khadi artisans at state level.
  • KVIC has launched a Group insurance scheme for Khadi artisans named Khadi Karigar Janshree Yojana (JBY) in collaboration with Life Insurance Corporation of India (LIC). In addition to life cover, the ward of artisans (maximum two children) studying in the classes from IX to XII and ITI are provided scholarship as an add-on facility under the scheme with no extra premium. The scheme provides coverage of artisans against death and disabilities caused naturally as well as accidentally.
  • KVIC launched the Workshed Scheme for Khadi Artisans to provide better work ambiance, more storing and working space for keeping raw material, implements and accessories, yarn, cloth etc.
  • KVIC has recently introduced Solar Charkha to enhance the wages of spinners under Village Industries.

Above information was revealed by Giriraj Singh, Minister of State, Ministry of Micro Small and Medium Enterprises while replying to a question by Sirajuddin Ajmal, Member of Parliament from Barpeta, Assam on July 25, 2016.

Is MPDA Scheme changing the game?

Market Promotion and Development Assistance aims to increase the earnings of Khadi workers.  Under the modified MPDA scheme financial assistance is distributed amongst Artisans (40%), Producing Institutions (20%) and Selling Institutions (40%), which will help the Artisans and Khadi Institutions thus resulting in the development of Khadi in the country. The share of the artisan has been enhanced to 40 per cent. Earlier, it was 25 per cent. This benefit will be transferred directly in the accounts of the Khadi artisans.

A new component of Infrastructure namely setting up of Marketing Complexes /Khadi Plazas has been added to expand the marketing net worth of Khadi & VI products.

 “Khadi really saw a resurgence with PM Modi’s clarion call in his radio talk “Man Ki Baat” in 2014 to buy Khadi. This had electrifying impact on the people everywhere which has resulted in increase in Khadi sales in all its showrooms and branches. People have become more aware of Khadi and are purchasing Khadi in large numbers. People’s attraction to buy Khadi has helped in growth of Khadi sector.  Khadi production in the country during the year 2015-16 has reached Rs. 1065 crore which has generated employment for 11.07 lakh persons.”, said Arun Kumar Jha, Former CEO, KVIC to SMEpost in an interview.

Purvi Shukla

A Journalist, Foodie, Traveller, Photographer. Purvi is an avid learner of Business and SME Sector. She can be reached on purvi.shukla@smepost.com

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