0 ratings0% found this document useful (0 votes) 73 views79 pagesHandicrafts
Presentation on Handicrafts
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content,
claim it here.
Available Formats
Download as PDF or read online on Scribd
and market is price sensitive.
© Products are high priced in big and metro cities, which are beyond, reach
of people
belonging middle and lower middle class.
© Craft producers have to compete on price, quality and delivery for
different segments
© There is poor promotion for craft products in national market.
© There is lack of awareness about new traditions and among craftsmen and
there is need
of technological support and training.
© Cla
Handicrafts industry comprises diversified products portfolio and there is
sification:
large variety
available in market. Handicrafts products can be distinguished into
following:
Metal ware, Wood ware, Hand printed textiles, Embroidered and
crocheted goods, Shawls,
Carpets, Bamboo products, Zari goods, Imitation jewellery, Paintings,
Earthenware, Jute
products, Marble Sculpture, Bronze Sculpture, Leather Products and other
miscellaneous
handicrafts.
P Chats hanaicra
The mass-produced goods are steadily replacing utility items of daily use made
by craftsmen.
Limited public awareness of the cost-effectiveness, functionality and range of
craft products.The Importance of Handicrafts:INTRODUCTION01.
02.
03.
04.
05.
06.
07.
08.
09.
Introduction
Handicraft: An overview
Handicraft: Key Facts
Problems of Indian Handicraft
Role of government policies
Associations organization
EXIM Policy
Rajasthan: The Destination of handicrafts
Top on the world chart- Rajasthan chart
Major distribution channels
Value adding chart in handicraft
Research Methodology
Facts and Finding
Analysis and Interpretation
Conclusion
Recommendation and Suggestions
Appendix
Questionnaire
BibliographyThe “ RAJ HANDCRAFTS “ — Manufacture & Exporter of gifts & Handicrafts ( A
government Recognized Export House ) is situated at station road, jodhpur.
‘The owner of this industry is Mr. PRAKASH MAKHIJA
Itis totally an export company. Its position is very good in handicrafts of iron material. And
good position in Rajasthan and India, Total production is depend on designing. This firm's
products are too good, fine art and attractive antiques.
They are the fast leading Export Company.
When it comes to handicraft exporters in the Suncity. Who can forget raj handerafis, Which
are into the exports since 2006. The company mainly is into production of Wooden
handicrafts, cup, shield, handicraft, trophy, momenta The company is exporting products to
USA, Canada, Spain, Italy and UK. It is a award winner company,
The main customer for handeraft are
© 1) Forign investor
* 2)high profile person
The handcraft item are mostly useful for gift item.
The raj handcraft have sufficient staff for their three type of work:-
1. factory work
2. Office work
3. logistic work
The staff for all work are to supportive and Workable at all condition,Acknowledgement
A formal statement of acknowledgement will hardly meet the ends of the justice
in the matter of expression of my deeply felt sincere and allegiant gratitude 10
all those who encouraged me and helped me during my study.
it gives me immense pleasure, to express my unfeigned and sincere thanks and
gratitude to Mr. Manoj Mital faculty Onkarmal somani college, jodhpur for
her assistance, advice and support throughout the preparation of this report.
I express my sincere thanks to our beloved principal Prof. N.L.Sahel,for
giving valuable support and encouragement in preparing this report.
1 am also thankful to Mr. PRAKASH MAKHIJA for giving me valuable
information regarding his concern.
Tam also very thankful to all my respondents who took time out of their busy
schedules and helped me in carrying out this project.
HIMANSHU TANWAR
(B.B.A.FINAL)The “ RAJ HANDCRAFTS “ — Manufacture & Exporter of gifts & Handicrafts ( A
government Recognized Export House ) is situated at station road, jodhpur.
‘The owner of this industry is Mr. PRAKASH MAKHIJA
Its totally an export company. Its position is very good in handierafis of iron material. And
good position in Rajasthan and India, Total production is depend on designing. This firm's
products are too good, fine art and attractive antiques.
They are the fast leading Export Company.
When it comes to handicraft exporters in the Suneity. Who can forget raj handerafts. Which
are into the exports since 2006. The company mainly is into production of Wooden
handicrafts, cup, shield, handi
USA, Canada, Spain, Italy and UK. It is a award winner company,
afi, trophy, momenta The company is exporting products to
‘The main customer for handerafi are
* 1) Forign investor
+ 2)high profile person
The handcraft item are mostly useful for gift item.
‘The raj handcraft have sufficient staff for their three type of work:-
1. factory work
2. Office work
3. logistic work.
The staff for all work are to supportive and Workable at all condition.
At the and [ can only give the my gratitude to Mr. PRAKASH MAKHISA and their stalt’
for their help andSupport for completing this project work.
Himons {ll MUU CETe]
(B.B.A Final)Indian Handicraft Industry
Crafts are unique expressions that represent a culture, tradition and the heritage
of a country. India is well known for its exotic crafis legacy and tradition. It is
the land of art and crafts, a country of rich culture, history and traditions. A
wide range of Indian Crafts represents the diversity of crafts tradition in India.
Variety of designs and finishes are available in Indian market that reflects
excellent artistic skills of craftsmen are great in demand globally. India is one of
the important suppliers of handicrafts to the world market. The Indian
handicrafts industry is spread all over the country in rural and urban areas.
Thousands of skilled artisans are engaged in crafts work.
Handicrafis Industry is playing a major role in the development of Indian
economy. This sector is economically important from the point of low capital
investment, high ratio of value addition, and high potential for export and
foreign exchange earnings for India.
As per the latest updates, there are more than 23 million craftspeople in India
today engaged in the growth of Indian handicrafts industry. Few more details:
© Second largest employment sector in India, second only to Agriculture.
* More than 23 Million craftspeople.
* 63% of exports turnover.
¢ 9 items dominate exports of handicrafts.
These nine items which have extra edge over other products include art metal
ware, wood ware, hand-printed textiles, hand-knotted and embroidered textiles,
leather goods, stoneware, carpets and floor coverings.HANDICRAFTS ; An Introduction
Handicrafts are unique expressions and represent a culture. tradition and
heritage of a country. The Handicraft Industry is one of the important
productive sectors. Various attempts have been made to define this broad and
diversified industry. The following definition strives to cover diversity and
complexity of Handicraft Industry
Defining Handicrafts:
Definition According to United Nations Educational, Scientific and Cultural
Organization [Information Technology Community (UNESCO/ITC)
International Symposium on “Crafts and the International Market: Trade and
Customs Codification”, Manila, Philippines, October 1997:
Handicrafts can be defined as products which are produced either completely
by hand or with the help of tools. Mechanical tools may be used as long as the
direct manual contribution of the artisan remains the most substantial
component of the finished product, Handicrafts are made from raw materials
and can be produced in unlimited numbers. Such products can be utilitarian,
aesthetic, artistic, creative, culturally attached, decorative, functional,
traditional, religiously and socially symbolic and significant.
Definition according to Govt. of India:
Handicraft can be defined, which is made by hand; should have some artistic
value; they may or may not have functional utility.The Cultural Importance;
Handicrafts play very important role in representing the culture and traditions of
any country or region. Handicrafts are a substantial medium to preserve rich
traditional art, heritage and culture, traditional skills and talents which are
associated with people’s lifestyle and history.
The E .Handicrafis are hugely important in terms of economic development, They
provide ample opportunities for employment even with low capital investments
and become a prominent medium for foreign earings.
Handicrafts: An Overview
India is a country of rich culture, history and traditions. India is one of the major
producer and supplier of Handicrafis products in the world. India has been
major producer and supplier of handicrafts products since very long time.
Before the industrial development, this art and industry was a potential
economic advantage for the country. During recent years, the importance of
handicrafis has been surged due to their cultural and financial values, The small
scale industries - including handicrafts can play a major role in the development
of the economy of both developed and the developing countries equally. The
90-95% of the total industrial products of the world is produced in small
workshops run by less than 100 people.
For instance, Japan, which is at the peak of the economic development, has
considered 84% of it’s industries as small and medium scale industries. In
countries such as India and China, handicrafts are as high as the mechanized
products in quality and volume, and are a major source of their foreign earnings,
These countries are focusing on the development of handicraft industry, in order
to strengthen the economy. The Indian handicrafts industry is highly labor
intensive, cottage based and decentralized industry. The industry is spread all
over the country mainly in rural and urban areas. Most of the manufacturingHandicrafts - Key Facts
© India’s rich cultural diversity and heritage provides a unique and hugeresource for
developing craft products.
© The Indian Handicraft Industry is showing continuous growth rate of 20%
every year. Handicrafts industry is one of the important segments of
decentralized sector in India.
© Major parts of industry operates in rural and semi urban areas throughout
the country
and has potential Indian and International market with around 67000
exporters to tap the
market.
© According to the national census of handicrafts, undertaken by the
National Couneil for
Applied Economic Research the value of handicrafis produced last year
were of
Rs.26,213 Crore.
* This Industry provides huge employment opportunities to artisans that
include women
and people belonging to backward and weaker society. This is one of the
major source
of income there.
The Indian Handicraft Industry is a $100 billion industry worldwide.
© India’s contribution in world market is 1.2%
The total exports of crafts items: - Rs. 13412.92 Crore.
Industry’s share in India's exports:- 1.51 %
* In spite of having diversified products, some part of Indian market are
still untappedRole of government policies
Indian Handicraft Industry contributes very important role in Indian economy.
For the proper functioning and operation of industry it is very essential to have
some policies and regulation in place. In India, the Ministry Of Textile is
responsible for the formulation of policy, planning, development, export
promotion and regulation of the Handicraft Industry. There are several other
bodies and organizations which help to formulate and execute these policies. All
policies should be implemented for the greater development of the whole
industry so that it can help to strengthen the economy.
There are no restrictions regarding location for
stablishing manufacturing
units.
All producers of handicrafts are exempt from obtaining Industrial License to
manufacture, The delicenced undertakings, however, are required to file an
Industrial Entrepreneur Memoranda (IEM) in Part 'A' with the Secretariat of
Industrial Assistance (SIA), and obtain an acknowledgment, No further
approval is required.The urban consumer does not have access to many of the handicrafts products.
Crafts people are bound in their struggle for survival to money-lenders, traders
or middlemen for
credit and raw materials and they are obliged to sell their products to them at a
minimal price
decreasing their interest towards the traditional arts and crafts.
Women struggling to enter the economic mainstream should be encouraged to
use craft to
become wage earners, provided they are shown how to get access to the market.units are located in rural and small towns, and there is huge market potential in
all Indian cities and abroad. Handicraft industry is a major source of income for
rural communities employing over six million artisans including a large number
of women and people belonging to the weaker sections of the society.
The Handicraft sector is highly creative s
ctor and produces large variety of
crafts products. This industry is localized segment of the domestic and
international market. In India the production of craft products are done on both
large and small scale. Because of low capital investment people can start their
business on small scale. Through this flexibility the demand and supply can be
managed.
Though Indian Handicraft industry is considered a cottage industry, but it has
evolved as one of the major revenue generator over the years. There has been
consistent growth of 15% over
few years and the industry has evolved as one of the major contributor for
export and foreign revenue generation.
There is huge demand for the Indian Handicraft products in both national and
international market. To match the demand and supply with quality, there is
need to have greater technological support and innovativeness with the
uniqueness in industry.aevetoping cram proaucts.
© The Indian Handicraft Industry is showing continuous growth rate of 20%
every year. Handicrafts industry is one of the important segments of
decentralized sector in India.
© Major parts of industry operates in rural and semi urban areas throughout
the country
and has potential Indian and International market with around 67000
exporters to tap the
market.
* According to the national census of handicrafts, undertaken by the
National Council for
Applied Economic Research the value of handicrafts produced last year
were of
Rs.26,213 Crore.
© This Industry provides huge employment opportunities to artisans that
include women
and people belonging to backward and weaker society. This is one of the
major source
of income there.
© The Indian Handicraft Industry is a $100 billion industry worldwide.
© India’s contribution in world market is 1.2%
© The total exports of crafts items: - Rs. 13412.92 Crore.
* Industry's share in India's exports:- 1.51%
* In spite of having diversified products, some part of Indian market are
still untappedof people
belonging middle and lower middle class.
© Craft producers have to compete on price, quality and delivery for
different segments.
© There is poor promotion for craft products in national market
* There is lack of awareness about new traditions and among craftsmen and
there is need
of technological support and training
* Classification:
Handicrafts industry comprises diversified products portfolio and there is
large variety
available in market. Handicrafts products can be distinguished into
following:
Metal ware, Wood ware, Hand printed textiles, Embroidered and
crocheted goods, Shawls,
Carpets, Bamboo products, Zari goods, Imitation jewellery, Paintings,
Earthenware, Jute
products, Marble Sculpture, Bronze Sculpture, Leather Products and other
miscellaneous.
handicrafts
Problems of Indian handicrafts
The mass-produced goods are steadily replacing utility items of daily use made
by craftsmen.
Limited public awareness of the cost-effectiveness, functionality and range of
craft products.‘The urban consumer does not have access to many of the handicrafts products.
Crafis people are bound in their struggle for survival to money-lenders, traders
or middlemen for
credit and raw materials and they are obliged to sell their products to them at a
minimal price
decreasing their interest towards the traditional arts and crafts.
Women struggling to enter the economic mainstream should be encouraged to
use craft to
become wage earners, provided they are shown how to get access to the market.Role of government policies
Indian Handicraft Industry contributes very important role in Indian economy:
For the proper functioning and operation of industry it is very essential to have
some policies and regulation in place. In India, the Ministry Of Textile is
responsible for the formulation of policy, planning, development, export
promotion and regulation of the Handicraft Industry. There are several other
bodies and organizations which help to formulate and execute these policies. All
policies should be implemented for the greater development of the whole
industry so that it can help to strengthen the economy.
There are no restrictions regarding location for establishing manufacturing
units.
All producers of handicrafis are exempt from obtaining Industrial License to
manufacture, The delicenced undertakings, however, are required to file an
Industrial Entrepreneur Memoranda (IEM) in Part 'A’ with the Secretariat of
Industrial Assistance (SIA), and obtain an acknowledgment. No further
approval is required.Handicraft products fall under the ITC (HS) code 97,
Paintings, drawings and paintings, domestic articles of wood etc. which come
under 9701
Original engravings falling under 9702
Original
culptures categorized under 9703
Products under the code 9704 are freely importable,
Imports of items in 9705 are restricted.The All India Handicrafts Board was originally set up in 1952 to advise the
Government on problems of handicrafts and to suggest’ measures for
improvement and development. The Board was also required to study technical,
marketing, financial, organizational, artistic and other aspects of handicrafts and
to formulate plans on these lines, Its function also included advice and
assistance to the state Governments for planning and exeeuting schemes for the
development of handicrafts.
Each State and Union Territory has a department looking after the development
and promotion of handicrafts. Many states including, Arunachal Pradesh,
Daman , Diu, Delhi and Goa have public sector corporations for marketing
handicraft products. A few state corporations dealing with small
scale industries
and other products have taken up marketing and export promotion of
handicrafts. Besides taking up direct exports, these corporations are also
expected to guide and help private exporters.
Central Corporations/Bodies:
(a) The Handicrafts and Handlooms Export Corporation of India (HHEC) is a
subsidiary of the State Trading Corporation of India, and came into existence in
June 1962. The corporation's policy in the field of direct exports is designed to
develop new markets and expand traditional ones and to introduce new products
suitable to the needs of the consumers abroad. The Corporation undertakes and
executes wholesale orders, conducts retail sale operations through retail shops
abroad, and participates and sells in major exhibitions of the world. HHEC alsohelps private exporters by affiliating them as business associates. It undertakes a
number of publicity and promotional measures for the export of handicrafts and
handloom products.
(b) The Central Cottage Industries Corporation, Pvt. Ltd. is a registered society
which had taken over from the In¢
Cooperative Union. It runs the Central
Cottage Industries Emporium (CCIE) at Janpath, New Delhi, the premier sales
organization in Indian handicrafts. The CCIE has branches at Bombay, Calcutta,
Madra
and Jaipur. CCIE has grown by leaps and bounds in the successive
years.
(c) The All India Handloom Fabrics Marketing Cooperative Society Ltd. ,(56-
58 Mittal Chambers, Sth Floor, Nariman Point, Bombay, India.), is sponsored
and supported by the All India Handloom Board. This Cooperative runs
handloom houses in Bombay, Delhi, Madras, Calcutta, Ahmedabad,
Chandigarh, Hydrabad, Ernakulam, Vadodara and Vishakapatnam. It also has
branches abroad in Lagos, Singapore, Kualalumpore, New York, Mauritius and
Hamburg.
AlLindia Associations:
India has All India Organizations for three of its most popular handicrafts items;
hand printed textiles, carpets and zari. These Associations serve as a platform
for consultations among the manufacturers and exporters on one hand and the
Handicrafts Board on the other. The Board uses these Associations to
disseminate information useful to crafts.
(a) All India Carpets Manufacturers Association; Post Box No. 63, Bhadohi,
District Varanasi, Uttar Pradesh, India.= sy
Chambers, Swadeshi Mill Estate, Bombay, India.
Exim Policy
Exim Policy pertaini icraft Sector:
All manufacturers of handicrafts are exempt from obtaining an industrial license
to manufacture. There are no restrictions regarding the location of the
manufacturing unitChambers, Swadeshi Mill Estate, Bombay, India.
Exim Policy pertaining to the handicraft Sector:
All manufacturers of handicrafts are exempt from obtaining an industrial license
to manufacture, There are no restrictions regarding the location of the
manufacturing unit© They are quota free and neutral to fiber content or composition, barring
100% silk.
© They include Garments, Made-up and clothing accessori
© Are produced in cottage industries.
© Should not have zippers.
© Must be ornamented using any one or more of the following Indian folk
styles.
© Hand painting, Hand printing, Batik, Tie and Dye, Kalamkari.
© Hand embroidery, Crocheting.
© Appliqué work of sequins, wooden or glass beads, shells, mirror,
ornamental motifs of textiles materials.
© Extra wrap of welt ornamentation of silk, art silk or zari threads.
© Should conform to shape and styles of each item as defined in the agreed
list of different countries.
© Should satisfy the dimensional
spects.
Rising trend of the export of handicrafts (other than hand knotted carpets) was
merely Rs, 387.00 crores during the year of establishment of the Council i.e
1986-87 rose to level of Rs. 10465.14 crores in year 2003-04.
In the year 2001-2002 exports of handicrafts, excluding carpets, in the year
2001-2002 have reached Rs.6769.50 crores. This amounts to an average growth
of 15% per year for past 10 years.crafis. Added
exports of certain goods with major stress on handloom and hand
thrust will be for the cottage and handicrafis sector, The government is
considering granting the benefits of export house status to export performance
of Rs 5 crore in the preceding three licensing years from Rs 15 crore at present.
In addition to this, the commerce ministry is also considering allowing merchant
exporters to undertake duty free import of embellishments/ consumables
(West Block VII, R.K. Puram, New Delhi- 110022), This board acts as a
Commodity Board for handicrafts and has an Export Section with a Deputy
Director (Exports) in charge. The Board collects and disseminates information,
arranges exhibitions, sponsers sales and study teams, and invites foreign buyers.
‘The regional offices of the Board handle registration and process requests for
any specific export promotion measures.
‘The Gem and Jewellery Export Promotion Council;
(D-15, Commerce Centre, 4th Floor, Tanieo Road, Bombay- 400001) The
council aims at providing facilities and incentives regarding the exports of
pearls, precious and semiprecious stones, diamonds and sythetic stones; to assist
in improving and modernising of the jewellery craft of the country.(123, Mount Road, Madras- 600006) It superintends the export promotion of
INdian Handlooms in the country.
The Handicrafts and Handlooms Export Corporation of India;
(awahar Vyapar Bhavan, Anex-I, Tolstoy Marg, New Delhi 110001). A
government of India undertaking, it supplements the export efforts of the private
sector, besides exporting directly. It undertakes various export promotional and
developmental measures such as publicity and Indian participation in foreign
exhibitions, and invites reputed designers for advise and assistance, It also has
branches, showrooms and warehousing depots abroad.
The Indian Institue of Foreign Trade :
(Ashoka Bhavan, 93 Nehru Place, New Delhi- 110024). Besides training
courses for export executives, this Instiute carries out surveys of various
markets and publishes them.
(Bank of Baroda Building, 16 Parliament Street, New Delhi- 110001).
Handicrafis and garments are included in i's trade promotion activities among
other items. It also has offices in New York, Frankfurt and Tokyo. Besidesinviting buyers, it arranges buyer- seller meets in selected markets.
The Export Credit Guarantee Corporation:
(Head office: Express Towers, | 0th Floor, Nariman Point, Bombay-400001). It
provides export credit intelligence and issues, covers against risks. It also has
branches in Delhi, Calcutta, Chennai and Cochin.
The Export Inspection Council:
(14/I-b Erza Steet, World Trade Centre, Calcutta 700001). This Council has
especially been set up to ensure the quality control and Pre- shipment Act. The
Council has also set up a number of Export Inspection Agencies.
‘The Federation of Indian Export Organization:
(Allahabad Bank Building, 17 Parliament Street, New Delhi-110001). It is a non
profit servicing institution, set up jointly by the Government, industry and trade
FIEO is an apex forum coordinating and supplementing the institutions. It also
gives special attention to the export promotional activities of small sector
including crafts.
(Pragati Maidan, New Delhi-110001) The TFA is an autonomous organizationestablished by the Government of India as a company. Started in March 1977 it
has today become a highly effective organization giving a new orientation to the
country's trade promotional activities. It unifies policy direction, controls and
implements programmes of India's participation in fairs and exhibitions, both in
India and abroad. Handicrafts continue to receive the special attention of the
TFA.
Loreign Lnport Offices
Many of the developed countries are trying to help others, specially the third
world countries. There exist special cell/ organizations which promote trade
imports from other countries to theirs. Most of these offices some or most of the
following services:
1. Statistical information about their countries and markets.
2. Information on sale opportunities.
3. Information on import requirements and procedures.
4. Information on marketing techniques and business practices.
5, Listing of wholesalers, agents, importers, distributors ete.
6, Arrangements for contracts when visiting the market.
7. Trade fairs and exhibition assistance.
8, Publication concerning the markets.
9. Names of buyers seeking suppliers of a special product in specific quantities.
10. Training programs.
11 Free advertising of products in weekly trade information bulletins; also
circulation of product Offers to importers.
12. Seminars on trade promotion.
13.Establishment of regional/ national trade promotion centers and show rooms“Century old skill and imperial heritage of Rajasthan are all that make
traditional art and craft of Rajasthan a world famous attraction. The beautifully
carved jewellery and dazzling traditional garments allure people of different
region of the world to make a visit to Rajasthan.”
Arts and Crafts of Rajasthan:
A unique range of art and crafts of Rajasthan have been captivating the heart of
entire world for many decades. Be it the exquisite artistry of murals or paintings
or wood craft or the beaming of multi-colored tie and dye garments, the royalty
of Rajasthan is present in every aspect of its art and eraft.
Imperial Artistry That Fascinate:
Rajasthan is a home to astounding varieties of traditional arts and cultural crafts.RAJASTHAN
THE DESTINATI F ICRAFTLacquer and filigree work of Lac jewellery and bangles much famous in all
over India.
Meenakari Work :
Gold and silver jewellery look stunning when some colour is added to it
Mehandi i
Rajasthani Mehandi decoration, once dominated the fashion market of the world
in the late 1990s.
Tie and Dve Work:
These multi-hued dazzling clothes have been captivating the heart of the entire
world for centuries.
errs t .
Exquisite miniature effigies are still keeping the age-old heritage of terracotta
tradition alive.
Puppet Art;
Puppets made of wood and cotton is the finest art of Rajasthan.
Jaipur Marbles:
Excellent artifacts made of Jaipur marbles are famous world wide.SEE
where touris'
Itisa plac an find century old skills, which continues to
produce some of the best artistic and exciting wares in the brilliant soil of
Rajasthan. This beautifully accomplished art and crafts are admired and
preserved not only by the localities of the region, but also a popular attraction
for international visitors around the globe. Today, Rajasthan has earned a
immense popularity, due to its rich handicrafts, which is also a striking part of
the Rajasthan culture. If you are interested to buy some of these unique artifacts,
than do not miss the opportunity to try the bustling bazaars, fairs & festivals in
the glittering soil of Rajasthan.
Top on the World Chart - Rajasthan Handicraft
Hued in the vegetable colours, the floral beauty of hand-blocks prints are of
world wide fame.
1 Filigree Work:Of late, Rajasthani’s carpet and durrie industry has been revitalized to suit the
tastes of modem buyers and are finding new uses as upholstery and bed-spreads
The craftsmanship of jewellers and other skills of Rajasthan are renowned
particularly Jaipur’s meenakari, a process of coloured glass. Silver is more
commonly worn and worked upon and certainly more affordable for gift
shoppers
Leather-ware, particularly jooties with embroidered uppers are famous and
popular. Today even designer hand-bags with graphic embroideries make a
good buy. Wood, metal and Stone are used by today’s craft persons to create
decorative and utility items that shoppers often find irresistible
Miniature paintings of the finest quality continue to be executed in Rajasthan
both on paper and on large pieces of cloth. Different regions maintain their own
style, known as different schools of painting. Some well-known schools of
painting are Marwar, Mewar, Hadoti, Kishangarh, Dhundhar and AlwarSpectacular miniature paintings of Rajasthan are renowned world over.
Embroidery:
Deft needlework studded with mirror in bright colors is the specialty of
Rajasthani embroidery.
Shekhawati Paintings:
Shekhawati is famous for its bright wall painting making it a popular tourist
destination.
Tattoo:
The typical art of permanent designs on body.
Turbans:
The shape and size of Rajasthan turbans are a great indicator of person position
in the society.
Rajasthan’s Terracotta tradition that was linked with the civilization of the
Indus continues is still alive in almost every Village. Beyond the utility items
like pots and pitchers, notable are the votive images and plaques of deities
particularly from Molela (40 km north of Udaipur).
Among the textiles, it is the women’s tie-and-dye odhnis (scarf) and the block
printed Dresses that are the most distinct. These techniques are now put to use
in modem garments, bed-sheets and table-cloths.
The fine weave of the Kota-Doria sarees are sought all over the India for
summer wear. Gold and silver khari printing, ajrakh, appliqued and
embroidered textiles, also abound in Rajasthan.and any special efforts facilitating the new product's market entry.
Department Stores:
Indian companies interested in establishing business contacts with major
department stores, mail-order houses and retailers may also choose the direct
approach. Department stores in particular, prefer to deal directly with
manufacturers. Their buyers are very specialized and only handle a limited
range of products, At some occasions department stores also buy
through independent commercial agents. Quite often they have their own buyers as well as a
few agents that usually work with them and who know their assortments, If a department
store decides to import a particular giftware and handicrafts item, it places bulk rather than
small orders.
Mail Order:
On an average, each German consumer buys products totaling to DM 500 each year from
mail-order houses. There are about 200 mail order companies in Germany. In Europe,
Germany is the largest mail order market, followed by Great Britain and France. The total
European market volume for mail order products is estimated at approximately DM 90
billion, OF the 20 major mail order companies in Europe, 12 have their headquarters located
in Germany. Among them are the world's largest mail order companies: Otto Versand in
Hamburg and Quelled Sehickedanz AG & Co. in Fuerth. In addition, several German mail
order companies operate in other European countries, as well.and any special efforts facilitating the new product's market entry.
Department Stores:
Indian companies interested in establishing business contacts with major
department stores, mail-order houses and retailers may also choose the direct
approach. Department stores in particular, prefer to deal directly with
manufacturers. Their buyers are very specialized and only handle a limited
range of products. At some occasions department stores also buy
through independent commercial agents, Quite often they have their own buyers as well as a
few agents that usually work with them and who know their assortments. If a department
store decides to import a particular giftware and handicrafts item,
places bulk rather than
small orders.
Mail Order:
On an average, each German consumer buys products totaling to DM 500 each year from
mail-order houses. There are about 200 mail order companies in Germany. In Europe,
Germany is the largest mail order market, followed by Great Britain and France. The total
European market volume for mail order products is estimated at approximately DM 90
billion. Of the 20 major mail order companies in Europe, 12 have their headquarters located
in Germany. Among them are the world's largest mail order companies: Otto Versand in
Hamburg and Quelled Schickedanz AG & Co. in Fuerth, In addition, several German mail
order companies operate in other European countries, as well.
Internet Sales:
Germany will become market leader among the EU countries with regard to sales over the
Internet by the year 2000. It is anticipated that by then German eled
estimated to reach a volume of DM 500 billion worldwide in 2000, bye Yi a LefeT |
worldwide ranking after the United States and before Japan. A typiedIt is a place, where tourists can find century old skills, which continues to
produce some of the best artistic and exciting wares in the brilliant soil of
Rajasthan. This beautifully accomplished art and crafts are admired and
preserved not only by the localities of the region, but also a popular attraction
for international visitors around the globe. Today, Rajasthan has earned a
immense popularity, due to its rich handicrafts, which is also a striking part of
the Rajasthan culture. If you are interested to buy some of these unique artifacts,
than do not miss the opportunity to try the bustling bazaars, fairs & festivals in
the glittering soil of Rajasthan.
Hued in the vegetable colours, the floral beauty of hand-b]g
world wide fame. Download
rineres wakeLacquer and filigree work of Lac jewellery and bangles much famous in all
over India.
Meenakari Work ;
Gold and silver jewellery look stunning when some colour is added to it.
Mehandi:
Rajasthani Mehandi decoration, once dominated the fashion market of the world
in the late 1990s.
These multi-hued dazzling clothes have been captivating the heart of the entire
world for centuries.
Exquisite miniature effigies are still keeping the age-old heritage of terracotta
tradition alive.
Puppet Art:
Puppets made of wood and cotton is the finest art of Rajasthan.
Jaipur Marbles:
Excellent artifacts made of Jaipur marbles are famous world wide.Spectacular miniature paintings of Rajasthan are renowned world over.
Embroidery;
Deft needlework studded with mirror in bright colors is the specialty of
Rajasthani embroidery.
‘Shekhawati Paintings:
Shekhawati is famous for its bright wall painting making it a popular tourist
destination.
Tattoo:
The typical art of permanent designs on body,
Turbans:
The shape and size of Rajasthan turbans are a great indicator of person position
in the society.
Rajasthan’s Terracotta tradition that was linked with the civilization of the
Indus continues is still alive in almost every Village. Beyond the utility items
like pots and pitchers, notable are the votive images and plaques of deities
particularly from Molela (40 km north of Udaipur),
Among the textiles, it is the women’s tie-and-dye odhnis (scarf) and the block
printed Dresses that are the most distinet. These techniques are now put to use
in modem garments, bed-sheets and table-cloths.
The fine weave of the Kota-Doria sarees are sought all over the India for
summer wear, Gold and silver Khari printing, ajrakh, appliqued and
embroidered textiles, also abound in Rajasthan.Of late, Rajasthani*s carpet and durrie industry has been revitalized to suit the
tastes of modern buyers and are finding new uses as upholstery and bed-spreads
The craftsmanship of jewellers and other skills of Rajasthan are renowned
particularly Jaipur’s meenakari, a process of coloured glass. Silver is more
commonly worn and worked upon and certainly more affordable for gift
shoppers
Leather-ware, particularly jooties with embroidered uppers are famous and
popular. Today even designer hand-bags with graphic embroideries make a
good buy. Wood, metal and Stone are used by today’s craft persons to create
decorative and utility items that shoppers often find irresistible.
Miniature paintings of the finest quality continue to be executed in Rajasthan
both on paper and on large pieces of cloth. Different regions maintain their own
style, known as different schools of painting. Some well-known schools of
painting are Marwar, Mewar, Hadoti, Kishangarh, Dhundhar and AlwarMajor Distribution Channels
In Germany, giftware and handicrafts is distributed through five major channels:
1, Wholesalers
2. Importers/distributors
3. Commission agents/sales representatives
4. Department stores
5. Mail-order
6. Internet sales
7. Tele-shopping
The individual channels are described in detail in the following-
Wholesalers:AD
wee
ll 62% iw
Subscribe witha free
PTR Te ane
Besides offering wide range of
sds 1 rele for direct sales, ths channel ako sipplis
large quattis ofindividual articles. They are very paricular in maintaining consistency in
the kind of products aed ther quality. One of the distinguishing features of wholesalers isto
provide distribution and storage fits. Specialized wholesle's dealin sles to eles as
wo sto fil consumers They maintain hig quality standards su But bave a narewer
inlet ange of ats a ra
Amporters/distributors:
‘Most indian giftware nd fnndlcrats companies use importersdstriutors tomarket and sell
their giftware and handicrafts lines. They buy and sell on their own accunt. Thus, the
stake
om ike, his sales force and
Wantage of the distributors exp
is existing
Aiseibuion change. Distituton call on gitware and Sanderfts rears, purchasing
ours
tad supermarkets The disribuors’ markup varies depending on the giftware and
Fania iter.
east $0 peent, While the markups vary asconting to the
etter ty lly he dap “one Sebtivay OF a pein aed oe
compettivencis i the overall giftware and banderas rar
‘han 45,000 giftwate and handicrafts retailers Several retailers imp
iecty from the United States ans sell to the German custome. Usa these are small
‘companies looking foritems new tothe market and kanling smal onlers onl.
Commission agents:
Commission agents provide Indian conpaties with drs asess tothe German market snd
eet control, Independent commercial gens are nonmally working o® 3 1S percent
commission and onerte on a regional basis. They concentate on specialist rebies,
urchasing proups and department stares, Commission agen conics at hse on singe
FU and Germin regulators. An Ion fim wishing to appoint an agent shoul make sire
that sach standard conacts mect is expoetitions. In onder ficilate markt etry effets
by the agents the shin fen 4 ev prea
ee Download
id
Ml O <Besides offering wide range of goods to retailers for direct sales, this channel also supplies
large quantities of individual articles. They are very particular in maintaining consistency in
the kind of products and their quality. One of the distinguishing features of wholesalers is to
provide distribution and storage facilities. Specialized wholesaler’s deal in sales to retailers as
well as to final consumers. They maintain high quality standards and but have a narrower
and in-depth range of arts and crafts.
Amporters/distributors:
‘Most Indian giftware and handicrafts companies use importers/distributors to market and sell
their giftware and handicrafts lines. They buy and sell on their own account, Thus, the
companies take advantage of the distributor's expertise, his sales force and his ex
sting
distribution channels, Distributors call on giftware and handicrafts retailers, purchasing
groups
and supermarkets. The distributors’ mark-up varies depending on the giftware and
handicrafts item, but at le:
50 percent. While the mark-ups vary acconfing to the
distributor; they usually also depend on the exchisivity of a product and on its
competitiveness in the overall giftware and handicrafts market.
Germany hosts more than 45,000 giftware and handicrafts retailers. Several retailers import
directly from the United States and sell to the German customer. Usually these are small
companies looking for items new to the market and handling small orders only.
Commission agents:
Commission agents provide Indian companies with direct access to the German market and
direct control. Independent commercial agents are nomally working on a 15 percent
commission and operate on a regional basis. They concentrate on specialist retailers,
purchasing groups and department stores. Commission agent contracts are based on stringent
EU and German regulations, An Indian firm wishing to appoint an agent should make sureand any special efforts facilitating the new product's market entry.
Department Stores:
Indian companies interested in establishing business contacts with major
department stores, mail-order houses and retailers may also choose the direct
approach. Department stores in particular, prefer to deal directly with
manufacturers. Their buyers are very specialized and only handle a limited
range of products. At some occasions department stores also buy
through independent commercial agents. Quite often they have their own buyers as well as a
few agents that usually work with them and who know their a
ments. If a department
store decides to import a particular giftware and handicrafts item, it places bulk rather than
small orders.
Mail Order:
On an average, each German consumer buys products totaling to DM 500 each year from
mail-order houses. There are about 200 mail onder companies in Germany. In Europe,
Germany is the largest mail order market, followed by Great Britain and France. The total
European market volume for mail order products is estimated at approximately DM 90
billion. Of the 20 major mail order companies in Europe, 12 have their headquarters located
in Germany. Among them are the world's largest mail order companies: Otto Versand in
Hamburg and Quelled Schickedanz AG & Co. in Fuerth. In addi
n, several German mail
order companies operate in other European countries, as well.
Anternet Sales:
Germany will become market leader among the EU countries with regard to sales over the
Internet by the year 2000. It is anticipated that by then German electronic sales, which are
estimated to reach a volume of DM 500 billion worldwide in 2000,
worldwide ranking after the United States and before Japan. A typicdiammm DYo\ VA 9] Coke |DATA COLLECTION TOOLS
Depending upon source data collection is classified under two categories:
1. Primary Data
2. Secondary Data
PRIMARY DATA
The data which are originally collected by an investigations or agency for the
first time for any time for any statistical investigations used by them in the
statistical analysis are termed as primary data.
SECONDARY DATA
The data which have already been collected and processed by some agency or person and
taken over from these or used by any other agency for their statistical work are termed as
secondary data,
The methodology used for the data collection was based on personal observation &
information gathered through various sources like Intemet, annual reports ete. The
information so received was properly analyzed, interpreted to the right conclusions.
The research study has been carried out by adopting the following methodology ~
1. The review of available literature was made to devebp the conceptual framework of
Handicraft industry.
2. The study has been based on primary & secondary data both
Research Design:and any special efforts facilitating the new product's market entry.
Department Stores:
Indian companies interested in establishing business contacts with major
department stores, mail-order houses and retailers may also choose the direct
approach. Department stores in particular, prefer to deal directly with
manufacturers. Their buyers are very specialized and only handle a limited
range of products. At some occasions department stores also buy
through independent commercial agents. Quite often they have their own buyers as well asa
few agents that usually work with them and who know their assortments. Ifa department
store decides to import a particular giftware and handicrafts item, it places bulk rather than
small orders
Mail Order:
On an average, each German consumer buys products totaling to DM 500 each year from
mail-order houses. There are about 200 mail order companies in Germany. In Europe,
Germany is the largest mail order market, followed by Great Britain and France. The total
European market volume for mail order products is estimated at approximately DM 90
billion. Of the 20 major mail order companit
s in Europe, 12 have their headquarters located
in Germany, Among them are the world’s largest mail order companies: Otto Versand in
Hamburg and Quelled Schickedanz AG & Co. in Fuerth. In addition, several German mail
order companies operate in other European countries, as welland a major German mail-order publication is between 20-39 years old, is highly educated
of about
and earns more money than the average German consumer. This age group cons
4.5 million Germans. Seventy percent of these consumers are male. Already today, the
Internet is a major sales channel for German mail-order houses.
Teleshopping:
QVC and HOT are the two tele-shopping channels in Germany. ‘They operate
all over Germany and offer various types of giftware and handicrafts; jewellery,
fashion, health, beauty; household consumer goods; collectibles and home
accessories.Securing inputs
— hiring, training, managing
— quality control and packaging
ge and pricing
‘ical distribution
Export market development
In the changing world scenario, craft products exported to various countries
form a part of lifestyle products in international market. The impact is due to
the changing consumer taste and trends. In view of this it is high time that the
Indian handicraft industry went into the details of changing designs, patterns,
product development, requisite change in production facilities for a variety ofValue Adding Chain in Handicrafts
Fdentificat gn of market opportunities
— and development / adaption and refinement
Test marketing
Uperadigg equipping facilitiesmaterials, production techniques, related expertise to achieve a leadership
position in the fast growing competitiveness with other countries.
The 6 million craft persons who arc the backbone of Indian Handicraft Industry as provided
with inherent skill, technique, traditional craftsmanship but that is quite sufficient for primary
platform, However, in changing world market these craft persons need an institutional
support, at their places i.e. craft pockets for value addition and for the edge with other
competitors like China, Korea, Thailand ete.RESEARCH METHODOLOGY
Market Research is a systematic gathering recording analyzing data about problems relating
to the marketing of product and services. It is the process of a systematic and in depth study
an area of investigations. Supported by the collections, completion and end presentation of
relevant details for further utilization. It involves scientific analysis that would result in the
formulation of new theories, the discovery of new techniques, a modification of old concepts
or rejections of an existing theory. Marketing research plays a vital role of making available
the right at right time, right place and to the right person for use in decision making. It is
very difficult to find out information about the company’s strategies and polices. Thus,
research methodology is a way to systematically solve the research problem. It includes:
1. To know the research problem.
2. To specify the specifications.
3. Toreview literature
4. Data verifications.
5. Data analysis.
6. Interpretations.RESEARCH
METHODOLOGYAfter having defined the marketing research problem and developed a suitable
approach, attention must be given to the formulation of a detailed research
design, which will provide pertinent information. According to (C.R. Kothari,
2004) when defining research design, he presents it simply as ‘the framework
for a study used in order to guide the collection and analysis of data’.
According to Kothari (2003), there are two major types of research design:-
1. Exploratory research--concerned with the development of initial hunches
or insights.
2. Conclusive research--intends to verify insights and help decision makers
to select a Specific course of action.
Even though exploratory and conclusive research has distinct purposes, they
both consist of the same research components. They differ only in terms of the
degree of formalization and flexibility of the components illustrated in table
below:
Research project | Exploratory Research __] Conclusive Research
Components
Research Purpose General: To generate | Specific: To verify
insights about —_a| insights in selecting a
situation course of action
Data Needs Vague Clear
Data Collection Form Open-ended . RoughSample Relative Small Relative Large
Data Collection Flexible, No set| Rigid, well laid out
procedures Procedures
Data Analysis Informal, ‘Typically | Formal “typically
non-Quantitative quantitative
Exploratory Research:
According to Kothari (2003), the primary purpose of exploratory research is to
shed light on the nature of situation and identify any specific objective or data
needs to be addressed through additional research. Exploratory research is the
most useful when a decision maker wishes to better understand situation,
identify relevant courses of action or gain additional insights before an approach
can be developed. In general, exploratory is appropriate to any a problem about
which little is known.
Exploratory studies are distinguished by flexibility concerning the methods
employed. Literature searches,
perience surveys and study of selected studies
are some commonly used approaches (Kothari, 2004).An effective way of doing
exploratory research is to seek out and talk to individual with expertise related
to the situation being investigated.
Conclusive Research:
The insights gained from exploratory research might be verified by conclusive
research, as the objective of conclusive research is to test specific hypothe:and examine specific relationship (Malhotra, 1999). Conclusive research is
especially useful when the decision-maker already has in mind on or more
alternatives and is specifically looking for information pertinent to evaluating
them. Therefore, when conductive a conclusive research, the decision maker
can choose the best course action in a situation.
The kind of research is based on large, representative samples, and the data
obtained are
subject to quantitative analysis.
There are two basic forms of conclusive research:-
© Descriptive research
© Casual research
The distinction between the two is based on the primary purpose of a conclusive
research project and the nature of the inferences that can be drown from it.
Descriptive research is the design involved in the vast majority of marketing
studies. The goal of descriptive research, as the name implies is essentially to
describe something. Specifically, it is intended to generate data describing the
composition and characteristics of relevant groups of unit such as customers,
salespeople, organization and market areas (Parasuraman, 1991).Data collected
through descriptive research can provide valuable informa tgiialaidiellliet dill,Duration of recession
Response
‘Sail facing,
‘Overcome
jot faced yet
According to this, 20% of the organi
recession & 20% of the organiz:
or
overcome the effect of the organization.
5. When respondents were aske
period of recession then their response is
whether they have
3
ion states that they are still facing the effect of the
Wn says that they have no such prominent impact on the
nization of the recession. Whereas, 60% of the organization states that they had
ny chances of recover
ry in the
‘Chances of recovery Response
‘Already recovered T
More chances 4
Less chances 0
chances
According to this, 80% of the organization states that there are more chances of recovery
from the recession, Whereas, 20% of the organization says that they had already recoveredTabor
Raw material
‘Manufacturing cost
(Over all cost 3
According to this, 60% of the respondents the domestie factor which is mostly
hit by recession is overall cost of the project. Whereas, 40% of the respondents
states labour as the most effected domestic factor by the recession. None of the
organization says for raw material & manufacturing cost.
When respondents were asked about the impact of recession on global factor then their
responses are
Global Tactor Response
Marketing
Tnvestment by foreign players
Both
Ne
effect 0
According to this, 60% of the organizations states investment by foreign players
as the most impacted global factor by recession, Whereas, 20% of the
organizations
says for marketing as the most impacted global factor & 20% of
the organizations states both marketing & investment by foreign players had
been effected by recession.Objective of Study
. To study the handicraft industry of India.
2. To study the recessionary effect on the handicrafts industry at Jodhpur.
3. To understand the complete procedure and requirements of Indian
Handicraft Industry.
4, To analyze the different product of Indian Handicraft Industry.
5. To find the potential in existing market.
. To measure the satisfaction level of the existing customers and to make
2
the customers
aware about the new products offered by Handicraft Industry of Jodhpur.
SAMPLING
Sampling may be defined as the selection of some part of an aggregate or
totality on the basis which a judgement or interference about the aggregate or
totality is made. In other words, it is the process of obtaining information about
an entire population by examing only a part of it. In most of the research workAdvantages of Field Study:_
1) They are close to real life, and they cannot be criticized on the ground
that they are remote from real settings or are artificial. Field
studies are more socially significant than other types of study.
2) In real settings, variables exert their influence fully and, as such, the
strength of variables is another advantage of field studies.
3) field studies are also strong in their heuristic quality.
Limitations of the Field Study:
1) Such studies are scientifically inferior to laboratory and_ field
experiments.
2) There is lack of precision in the measurement of variables. This
limitations arises on
account of the greater complexity of field situations.
Such studies have practical problems in respect of feasibility, cost, sampling,
and time, For instance, they are likely to take more time and involve a great
cost.
‘Scope of the Study:
Every research is conducted to fulfill certain objectives and these objectives in turn fulfill some
purposes and it is of significance for one or more than one party, 1
esearch was signi
both to the company as well as to the researcher.
It helps the researcher in studying the various kinds of risk and uncertainty in recession and to
know the awareness and the satisfaction level among the entrepreneurs regarding the recessionand Government. The research is compulsory for the par
ial fu
urriculuy
so the research facilitates the researcher for the fulfillment.
The researcher has got an opportunity of implementing her theoretical knowledge of
‘management program in her practical life.
The researcher has not only got practical exposure of working conditions but also learned a lot
in the field of research,
Significance To The Organization:
It will enable organization to know about the fluctuation in demand including
various type of risk and uncertainty faced by the entrepreneurs and their
satisfaction level regarding the policies made by Goverment for them to
coming out from the phase of Recession. It will help the organization in
adopting the strategies. This description will help the Industry to know whether
their customers were about their product range and how can they overcome the
situation of recession. In case if any customer is not aware about them then to
create awareness regarding the utilization of these services and to overcome all
the risk and uncertainty component of business to carn maximum profit or
getting no loss regarding the recession.
To Other;
The study will become useful for future scholars who would wish to conduct the similar study.
The researcher can be an important secondary source of information for future scholars
LIMITATIONS OF THE RESEARCH
1. Small sample size may sometimes result into erroneous results.
Diminutive Time Limit.
Different Industrialist have different kind of effect and it is difficult to
recognize all.FACTS
AND FINDINGS
‘acts & Findings
In small units only 14% units go for outsourcing
46% of units are making decorative items, which need skilled labor
Max. no. of units are making only traditional items, they are not making
any new innovative items like- rotating dining table, decorative co’
grinders, CD racks ete© 60% of units are facing skilled labor problem and 20% of units are facing
raw material (wood) price increase problem
© 60% sales generate in September to December month
63% of units sale their products by direct sale or by phone
RS. IN CRORES
iti
YEAR
biti
© The total exports in the year 2006-07 has been the highest with respect to
initial handicrafts exports in the year 1994-95,
© The graph shows a decline in the exports in the year 2008-09,due to
world wide recession.© 60% of units are tacing skilled labor problem and 20% ot units are tacing
raw material (wood) price increase problem
© 60% sales generate in September to December month
63% of units sale their products by direct sale or by phone
RS. IN CRORES
© The total exports in the year 2006-07 has been the highest with respect to
initial handicrafts exports in the year 1994-95.
© The graph shows a decline in the exports in the year 2008-09,due to
world wide recession.1, When respondents were asked about the Market of sale of handicrafi’s product is
domestic market or foreign market or both then following responses were obtained
Market Organization's
sale
Domestic T
Foreign 2
Both dome:
foreign
According to this, 40% of the organization sale in foreign market & 40% of the organization
sale:
in both foreign and dom
tic market. Whereas, only 20% of them sales in domestic
market,
2. When respondents were asked about the Availability of Raw Material then following
responses were obtained
Raw material availability Organization's
through choiceCOUNTRY WISE SHARE) OF ART METALWYARE 2008-8,
The above figure shows the country wise share of art metal ware in 2008-
09,
‘COUNTRYWISE SHARE(%:) OF WOODHIARE 2008-08The above figure shows the country wise share of wood ware in 2008-09.
COUNTRYWISE SHARE (%) OF MISCELLANEOUS:
HANDICRAFTS 2008-2009
AUSTRALIA ‘yuan:
iy
\
FRANCE
ceranw
Z
4 ger
ra
epaecounees
ro
4
The above figure shows the share of miscellaneous handicrafts in 2008-09.ANALYSIS AND
INTERPRETATIONProducing by yourself 0
Order 4
Vendor contract 1
According to thi
on order basis from outside
80% of the organization get the raw materi
whereas, 20% of the organization get the raw material from vendor contract. None of the
orgs
ization produce raw material by themselves.
3, When respondents were asked whether their Need of finance of purchase of raw material is
same as before recession or no change in their need then their respon:
Reed of finance Response
Earlier before recession
According to this, 60% of the organization have make no changes in the need of finance of
purchase of the raw material afier recession. Whereas, 40% of the organization have in need
of the finance for the purchase of the raw material after recession.
4, When respondents were asked about the duration of recession then their responses arefrom this situation, none of the organization was in level of less chances or no chances to
recover.
6, When respondents were asked about the recession that according to them on what
depends the recession then researcher got following responses
Recession depends on Response
Thvestment 0
Foreign market condition +
Economic factor T
Time duration 0
According to this, 80% of the organization states that recession is mainly due to
the foreign market condition and 20 % of them says that it mainly arises due to
the economic factor .
7. When respondents were asked about the domestic factor which is most hit by recession
then following responses were obtained
Domestic factor ResponseConclusion
Handicraft Industry of Jodhpur is one of the biggest industries of Jodhpur
dealing in export With a yearly export of more than 1000 Cr. Although looking
at the trend of export figures we Can see a distinct growth in this industry but
on the other hand looking at the potential of the Market this growth is not
satisfactory,. The total export of handicraft from India that is around 10000 Cr.
Jodhpur’s share is only 10%,
The main observations of our study are some issues like —
1. labor problem,
2. unwillingness towards investment in machinery,
3. and inability to participate in foreign trade fairs.
Thaye identified a number of problems of this industry and these problems have
decreased the potential, Still this industry is not investing in machinery even
after knowing that the main concept behind success in this industry is bulk
supply and this is the point where other countries exceeds.Short term
eo] +
Prolonged
‘Can‘t say anything
According to this, 80% of the respondents says that there is short term effect of recession on
handicrafts industry. Whereas, 20% of the organizations states that they can’t say anything
about the duration of the recession & it’s impact on handicraft industry.
CONCLUSIONPresently handicrafts are being considered as vocational media and it is also
opted for style statement and the leisure pursuit. Today, the crafts and
craftspeople have a vital role to play in modern India — not just as part of its
cultural and tradition, but as part of its economic future.Conclusion
Handicraft Industry of Jodhpur is one of the biggest industries of Jodhpur
dealing in export With a yearly export of more than 1000 Cr. Although looking
at the trend of export figures we Can see a distinct growth in this industry but
on the other hand looking at the potential of the Market this growth is not
satisfactory,. The total export of handicraft from India that is around 10000 Cr.
Jodhpur’s share is only 10%.
The main observations of our study are some issues like —
1. labor problem,
2. unwillingness towards investment in machinery,
3. and inability to participate in foreign trade fairs.
T have identified a number of problems of this industry and these problems have
decreased the potential. Still this industry is not investing in machinery even
after knowing that the main concept behind success in this industry is bulk
supply and this is the point where other countries exceeds.By going for mechanization exporters will not only be able to supply in bulk,
uniformity in goods will also be their and time consumption in manufacturing
Will also go down which will decrease the operating cycle, One more reason is
unprofessional approach towards work: most of the exporters are no going for
marketing and even if any firm is going then also they are sending only their
relatives there instead of any professional.
Most of the marketing people, which are from their family itself only go and
meet the existing customers, nobody is searching for new buyers extensively,
‘The entire journey just because a year end holiday onlyfor the person.
Although there are a number of factors that hinders the growth but these are
some of the most important factors, If Handicraft Industry of Jodhpur will go
for mechanization or at least start participation in foreign trade fairs it will raise
exports figures much higher.
Future Prospects.
The dynamism of handicrafts industry in India is unparalleled - be it the
traditional Indian arts and crafts or a customized version of an overseas art
form. Unlike in the past when the industry was battling to carve a niche in the
market, there is a great demand for Indian handicrafts today that is being
nurtured by different government and non-governmental organizations.
The sector is economically important from the point of view of low capital
investment, high ratio of value addition, and high potential for export and
foreign exchange earnings for the country. The industrial revolution and the
increasing productivity had slowed down the growth and the quality of arts and
crafts, but for some decades now, the scenario has changed and machine-made
products no longer attract the people.RECOMMENDATION AND SUGGESTIONS
© Each firm should participate in trade fairs
© They should do innovation in wooden handicraft products like: rotating
dining table,
decorative coffee grinders, CD racks & wooden hangers ete
© Regarding s
led labor problem they should give them wages according
to their work
© Provide them performance appraisal and bonus on Diwali.
On February 12, 2010, India's Export Promotion Council for Handicrafts
(EPCH), had approached the Government with a Pre-Budget Memorandum,
which featured a series of relevant recommendations. These included:
* Reintroduction of Income Tax exemption for all handicrafts products
under Section LOBA of LT. Act, 1961.
¢ Extension of Service Tax exemption for merchant exporters.
* Announcement of four more mega clusters namely Jodhpur (Rajasthan),
Mysore-Channapatna (Karnataka), Puri (Orissa) and Ferozabad was also
there among other recommendations. - This, according to EPCH, is
necessary for the development and promotion of handicrafts from these
regions.
* Service Tax exemption for traders participating in international shows,
who are subjected to pay in foreign currency (including Indian rupees).© Extension of the Service Tax exemption on Membership Fee of the
Council beyond March 31, 2010.
Incidentally, in 2009, Reserve Bank of India (RBI) had extended the incentive
from September 30, 2009 till March 31, 2010 in order to extend its support to
the labor-intensive sectors like textiles, carpets, handicrafts etc. which were
badly affected by the demand slump in the US and Japan following the
worldwide economic downturn.
Concerns expressed by EPCH were shortly echoed by the Union minister of
state for commerce & industry Mr. Jyotiraditya Scindia, who urged the Union
Finance Minister Mr. Pranab Mukherjee to offer cheap dollar credit at 1% over
Libor (London Interbank Offered Rate) to exporters, against the present 3.5%
over Libor. He has also asked the finance ministry to extend the 2% interest
subvention scheme on rupee export credit and benefits enjoyed by EoU (Export
Oriented Units) units.
All these demands are extremely logical since handicrafts alone accounts for 1.5
per cent of India’s total exports, but this highly labor-intensive, decentralized
industry, concentrated mainly in rural and semi-urban areas, is yet to get the
desired boost. Moreover, the sector is still reeling under the pressures of
recession and is yet heave a sigh of relief. So now, it is time to see how the
Government reacts to these demands, and how far it succeeds to meet the
expectations of the handicrafts industry players in India,
Q. What could be done to boost handicraft exports?
Here are some suggestions
Repositioning and Better Planning:
India should explore and focus on new sizable markets such as France, Netherlands, Italy
Switverland, Canada, Japan and Hong Kong where our exports are negligible. Thisrepositioning would create phenomenal job opportunities to people in rural and semi-urban
areas, it will revive old dying arts and artisans. Today our concentration is excessive on three
markets United States of America, United Kingdom and Germany. The future promotion of
exports must be focussed on growth items and thriving markets for better results.
Assessment of Competition:
While India offers to the world mostly culture goods, its competitors in Asia and Europe offer
tured handicrafis. This is because those countries treat
culture goods as well as mass manu!
handicrafis as a full-fledged industry Once India recognizes the potential and accords the
status of an industry to Handicrafts then it could be a leader in culture goods as well as mass
produced decorative goods.
Reorientation of Products:
Exporters should be exposed to the global market in a systematic and scientific way whereby
they realize the customer focus of the country to which they are exporting their goods. Using
modem technology, improved tools and techniques, more sophisticated packaging materials
and techniques are some of the ways to make Indian handicrafts more popular in the world.
Professionalism;
This would include the total quality management, being conversant and updated
with the global designs, colour trends, environmental concerns, packaging and
everything to boost handicraft exports. Publicity through the Internet,
preparation of world class catalogues advertisement materials and making
efforts to make the Made-in- India label prestigious.