Handicrafts sector seeks special tech fund, industry status

Facing stiff competition from China and other South-east Asian nations, the Export Promotion Council for Handicrafts has asked the Government to create a special fund for technology upgradation of handicraft units.

Facing stiff competition from China and other South-east Asian nations, the Export Promotion Council for Handicrafts has asked the Government to create a special fund for technology upgradation of handicraft units.

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In a pre-Budget and Exim policy memorandum to Commerce and Textile Ministries, EPCH chairman Navrattan Samdaria said a fund of Rs 100 crore on the pattern of Textile Upgradation Fund should be set up to help small and medium handicrafts units adopt latest technology for better finished products.

Citing lack of mechanised production as a major hurdle in export of handicraft products, the council sought industry status for the sector. This would attract more mechanised, modern production line-up to semi-finishing stage, it said.

India has the largest handicraft workforce in the world with 80 lakh rural artisans, Samdaria said, adding India's share, however, in $106 billion world market was a mere two per cent. China's share was 16 per cent, he added.

The council also proposed setting up a product specific Special Economic Zone, common facility centres and product processing development centres to boost handicraft exports.