Keywords: Karnataka’s Unorganised Sector, Handloom Sector, Employment Conditions, Social Security, Geographical Indications.
Background and Rationale
Karnataka employs more than eight thousand individuals in the textile industries, which contributes to almost 20% of the nation's readymade garment manufacturing. Silk constitutes 65% of the primary product categories, wool accounts for 12%, and cotton represents 3.5%. The state has more than 120,000 powerlooms and 42,000 handloom textiles. Nevertheless, traditional sarees such as Bhagyanagar cotton sarees, Molakalmuru and Ilkal silk sarees, Gajendragad and Belagavi sarees, and others are currently experiencing a critical situation characterized by insufficient marketing and publicity, challenges in obtaining loans from banks, rising raw material expenses, scarcity of skilled workers, and inadequate infrastructure and market connectivity. The administration has shown apathy towards both commercial producers and government entities, resulting in the demolition of facilities operated by the Karnataka Handloom Development Corporation. One such plant, located in Bhagyanagar, employed over 200 weavers who produced 110 items. However, the current workforce consists of barely 10 weavers, and out of the 40 handlooms, 25 are no longer operational. Officials attest that past administrations’ careless approach towards handlooms may have contributed to the unit’s deteriorating state.
Not long ago, the handloom weaving facility at Kalluru, located near Gubbi in Tumkur district, ceased to exist as a result of widespread neglect. The facility was one of the KHDC's flagship centers, employing more than 200 weavers and staff to manufacture high-quality silk sarees. The current official count of weavers in Karnataka, categorized by job status, is 27175 as per fourth handloom census 2019-20. The decrease in numerical figures and the ongoing downward trajectory indicate the indifference of consecutive administrations. Historically, handloom weaving was considered a prestigious occupation, allowing proficient weavers to demand a fair remuneration for their expertise. However, the British imposed mechanized looms and powerlooms on the weaving communities, severely disrupting the intricate structure of the mutually beneficial rural economy. Mechanization allowed massive, centralized companies to purchase uniform cotton from farmers and process it for automated looms, thereby eliminating human interaction between farming and weaving communities. Despite several attempts by the Union and state governments to rejuvenate the handloom industry, the increasing disparity between policies and their execution, along with inefficiency, corruption, and a lack of decisive purpose, has exacerbated the situation on the pitch.
The KHDC, a government-operated handloom institution in Karnataka, has had a significant downturn in the last ten years as a result of mismanagement, unscrupulous personnel, inadequate marketing strategy, and unfavorable handloom regulations. The corporation has reduced its workforce to less than 4,000, leaving thousands of handloom weavers in a state of profound poverty. Government-operated Priyadarshini stores sold the silk sarees manufactured at Kalluru at favorable prices, ensuring a consistent revenue stream for the weavers. However, the younger generation prefers operating powerlooms, as they seem to be more convenient than sitting in a pitloom and engaging in laborious work. Intense competition from more affordable powerloom sarees rendered the handloom weavers unable to sustain themselves.
Despite the Handloom Reservation Act of 1985 designating about 11 items exclusively for handloom production, its ineffective enforcement and subsequent revisions have eroded its effectiveness over time, raising questions about the authenticity of handloom goods. Inadequate market access, inadequate early investments in design and working capital, low salaries, and a loss of dignity have led to expert weavers abandoning their native occupation and seeking other employment to sustain their livelihood. Amidst declining opportunities and indifference from consecutive state administrations, the few surviving handloom weavers in Karnataka are on the verge of extinction. Adequate remuneration and market accessibility are necessary to attract the younger generation to this profession.
This study investigates the handloom business in Karnataka, specifically analyzing its job circumstances, social security legislation, and the influence of geographical indications (GIs) on the sector. The paper emphasizes the significance of geographical indications (GIs) in offering job prospects, educational possibilities, training assistance, brand value, product distinctiveness, and export potential. The paper also examines the domains of skill development, innovation, community development, women's empowerment, and the potential of Geographical Indications (GIs) to augment social security for artisans. Furthermore, it pinpoints deficiencies in existing legislation and regulations that impede the progress of the industry and provides suggestions for future developments.
The Handloom Sector in Karnataka: An Overview
Karnataka has the largest count of Geographical Indication (GI) tags in the handloom industry nationwide, generating a daily revenue of only INR 200. Weavers of handloom textiles across the state are seasoned threaders and weavers who labor for around 6–8 hours daily for a meager wage that disregards their expertise and experience.
Handloom weaving is physically rigorous labor that requires prolonged periods of sitting on a wooden or metal seat in dimly lit chambers, characterized by a lack of fresh air. Laborers endure the persistent rattling noise produced by the looms and are exposed to fine fiber dust, which can cause respiratory illnesses and a variety of musculoskeletal problems. Their little income plunges them into extreme poverty, forcing them to live and work in cramped dwellings. Without any space for savings, individuals endure their illnesses with limited or nonexistent healthcare accessibility. Without access to any kind of health and family insurance or social security benefits, the lack of financial resources to cover healthcare costs and other expenditures perpetuates their status of poverty. Opportunities for individuals to enhance their skills or access loans in order to live a life of dignity are unattainable since these facilities are not readily accessible to them. The handloom industry requires comprehensive attention at all levels, including investments, skill enhancement, capacity development, improved infrastructure, healthcare benefits, insurance coverage, loan accessibility, and targeted measures to motivate and rejuvenate the sector. This is especially noteworthy considering that the handloom industry is entirely carbon-neutral, a status it achieved far in advance of the widespread adoption of the concept of a zero-carbon economy.
Key issues confronting the handloom industry in Karnataka include the transition to power looms, inertia, low product demand, and inadequate governmental assistance. Within the state, there are 33,677 weaving families and 33,539 handlooms. Of these, 50,574 weavers handle 29,377, while 4,162 remain inactive. The younger cohorts have left the craft and relocated to urban areas in search of better means of subsistence, while the implementation of GST and the COVID epidemic have converged to bring about the industry's demise.
According to Karnataka Chief Minister Siddaramiah, three significant interventions have been proposed in the 2023-24 Budget: 1) Creating a dedicated unit named 'Mahatma Gandhi Vastrodyama' within the textiles department to unite designers, weavers, yarn producers, and related workers on a shared platform to implement suitable measures to revive the deteriorating handloom industry in the state; 2) prioritizing strategic initiatives under the Textile and Garment policy to attract increased investments in the North Karnataka region and create job prospects for local residents; and 3) offering complimentary electricity for looms and pre-looms, with a maximum monthly consumption limit of 250 units.
These initiatives provide a positive aspect to the gloomy situation confronting the state’s handloom industry and have the potential to establish respectable means of living for hundreds of thousands of households. Nevertheless, this cannot be a fragmented strategy or universally applicable answer. For many decades, the sector has been neglected, and every manufacturing stream, such as cotton, wool, silk, jute, and other handlooms reliant on natural fibres, has unique difficulties. Restoration of the robust connection between the agro-pastoral economy and the handloom industry is of utmost significance.
3. Interplay Between Handloom Sector and Geographical Indications
a. Registered Handloom GIs of Karnataka
Karnataka, a state celebrated for its rich cultural legacy, is well acknowledged for its fine traditional handwoven textiles. Some 20 handwoven products have received a Geographical Indication (GI) to denote their unique origin and exceptional quality. These Geographical Indications (GIs) seek to safeguard traditional weaving methods and guarantee that only items really originating from a certain area are eligible to wear the GI label. Mysore Silk, Ilkal Sarees, Rangoli Sarees, Navalgund Durries, Kannada Bronze Ware, Molakalmuru Sarees, Sandur Lambani Embroidery, Kolhapuri Chappal, Guledgudd Khana, Udupi, and G Sarey Kardines are among the Key Handloom Registered Geographical Indications (GI) of Karnataka. GI certification has bolstered the standing of handlooms like Mysore Silk and Ilkal sarees, making them more widely recognised in both local and international markets. Consequently, there was a surge in demand, which proved advantageous for the indigenous weavers and bolstered the silk sector in Karnataka. Furthermore, the Geographical Indication (GI) designation safeguarded traditional weaving methodology and conferred a competitive edge in the market, enhanced financial prospects for weavers, and facilitated the growth of local craft businesses.
Geographical Indication (GI) labelling is crucial for handloom weavers due to the following underlying factors:
i. Market Access and Fair Trade: In the setting of market access and fair trade, the Geographical Indication (GI) certification enhances the significance and marketability of handcrafted products, therefore ensuring increased earnings and better living circumstances.
ii. Preserving traditional practices: The registration of handwoven goods as Geographical Indications (GIs) serves to maintain traditional weaving protocols, therefore preserving cultural heritage and facilitating the intergenerational transfer of these abilities.
iii. Training and Skill Development: The rising market access and need for trained craftsmen frequently result in the establishment of training programs and initiatives aimed at enhancing the skills of weavers.
iv. GI tags provide legal safeguards against imitation and unauthorized use of the product name, therefore guaranteeing customers the receipt of genuine items and preserving the reputation of traditional handloom textiles.
The economic ramifications for Karnataka are substantial, since Geographical Indication (GI) designation amplifies the value of handloom items, resulting in augmented income and job prospects in rural regions. Handloom items with a Geographical Indication (GI) designation often attract visitors and enhance cultural heritage, boosting local tourism and other industries. Finally, ensuring the preservation of traditional handloom techniques is in line with wider objectives of environmental sustainability and rural development.
b. Enhancing Employment Opportunities and Social Security Through GIs
The "Vocal for Local" and "Atmanirbhar Bharat" initiatives implemented by the Prime Minister of India have significantly enhanced the industrial and manufacturing sector of the nation.The bustling markets of Dilli Haat and Dastkar Bazar in the capital are renowned for their handwoven merchandise. Additionally, Indiahandmade.com, the government's official e-marketing platform, provides a direct online platform for more than 1000 legally registered handloom craftsmen. These vendors have transformed into contemporary businesses and are using technology to safeguard India's traditional handloom history, building on these pieces of evidence.
Entrepreneurial ventures include the Punarjeevana Trust, established in 2015, which seeks to resurrect India's vanishing textile traditions by actively searching the state for individuals who maintain these traditions both in tangible form and in their collective memory. The individuals encountered a devadasi lady who had a saree crafted employing the Patteda Anchu method, a weaving style that originated 250 years ago. The practice originated in the 10th century and gained popularity in local communities such as Gajendragarh, Belgaum, Raichur, Kodal, Bidar, Bellary, Gulbarga, and Dharwad. The local goddess Yellamma Saundatti received the saree offering in a mustard, maroon, pink, and green color scheme. The trust has expanded its membership to include 55 weavers, 20 dyers, spinners, and hundreds of others affiliated with the enterprise. Punarjeevana uses 20 traditional weave types and strives to be an environmentally friendly company, using natural dyes and minimizing enzyme usage. They ship domestically in India and beyond to the United States, United Kingdom, and United Arab Emirates. The weaving technique is complex and takes many days to finish every saree.
Amidst the COVID-19 lockdown, Minakshi Prabhu founded Tvami with the goal of providing assistance to Indian craftsmen and their crafts. The Tvami platform facilitates the connection between customers and traditional arts and crafts, raising awareness about their inherent beauty and worth and thus having a beneficial influence on their lives. Tvami's primary operational strategy is to collaborate with tiny and underprivileged craftspeople in Ilkal clusters to facilitate their entry into markets that were previously unattainable for them and enable them to receive increased compensation for their diligent efforts. Through its support of Ilkal saree craftsmen and their skills, Tvami seeks to provide a sustainable means of living for artisans in India.
Another study of Channapattana Toys indicates that 50% of producers have acquired the company from their forefathers because of its familial character and primary sources of revenue. Nevertheless, more than 50% of individuals are unaware of GI tags or IPR because of their limited knowledge. Geographical Indication (GI) labels, when authenticated in the global market, can enhance export sales, according to 40% of businesses. According to this study, only 20% of respondents acknowledged that brand image and the strong emotional attachment to Desi items boost sales after the use of GI tags. Heightened demand may or may not lead to a rise in price levels. 30% of manufacturers feel that government regulations are ineffective because of inadequate communication from authorities.
The aforementioned case studies demonstrate that the GIs have the capacity to support weavers’ economic growth. However, these studies also highlight that achieving the benefits of a geographical indication (GI) tag requires efficient promotion and safeguarding these items from unauthorized imitation. Successful marketing and protection initiatives necessitate the implementation of quality assurance, brand development, and other customer relationship management processes. Simultaneously, we need an effective state legal system to tackle the violation of geographical indications through counterfeit products.
Case Study of Ilkal Sarees: Problems and Prospects
The Ilkal saree industry in Karnataka, which operated 11,111 handlooms in Bagalkot District as per the survey of 1988, makes a significant economic contribution to the state. The industry’s primary asset is in its tie-and-dye craftsmanship, which has popularity both inside the country and on a global scale. The industry’s rural foundation, minimal capital investment, and high employment rate contribute to the sustenance of rural craftsmen and deter the migration of workers to metropolitan regions. Moreover, it serves as an environmentally sustainable solution, preventing the emergence of informal economic activities in impoverished areas and squatter settlements due to poverty. The Ilkal Saree industry has obstacles to international competitiveness as a result of disparate infrastructure, inflexible labor regulations, and obsolete technology. The poor productivity in India may be attributed to its rural foundation, unorganized economy, and reliance on old technologies. The increased labor component of handloom textiles also impacts their economic feasibility.
Insufficient collaboration among stakeholders and inadequate implementation of legal and civil sanctions against offenders are the main factors contributing to the decline in job prospects for handloom weavers in Karnataka caused by counterfeit GI-branded handlooms. Nevertheless, the challenges encountered by the handloom sector in Karnataka may be overcome by implementing more severe sanctions on offenders, using efficient marketing strategies both inside the country and internationally, and actively encouraging e-commerce.
Considering the challenges faced by handloom workers in Karnataka, the Geographical Indication (GI) designation has the potential to enhance their market entry, bring about more income stability, promote skill development, and fortify artisanal communities. The increased visibility has the potential to result in more sales and improved economic prospects for craftsmen, thereby facilitating their investment in superior equipment and materials. Additionally, it may facilitate the elimination of intermediate exploitation, allowing craftsmen to directly sell their sarees to purchasers or through cooperatives. Furthermore, the GI promotes the establishment of weaving cooperatives, which serve as a forum for craftsmen to cooperate and exchange resources. This approach allows for the development of more effective social support networks for craftsmen and their families, including healthcare and educational advantages. The lone requirement is to enhance the distribution and advertising of handwoven products with Geographical Indication (GI) labels in order to upsurge the demand for such items. Consequently, this practice may enhance the local economy by generating job prospects for weavers, dyers, designers, and dealers.
5. Conclusion
Geographical Indications for handloom goods may strengthen the market presence, expand job prospects, and provide superior social safeguards for weavers. GI tags may not only distinguish Karnataka’s handlooms in the international market but may also acknowledge the artistry and distinctive characteristics linked to these items, resulting in greater demand and higher pricing for Karnataka’s handloom products.
An improved marketing strategy for handloom products with GI-tagged handloom goods may enhance social security for weavers by establishing a stable income and ensuring a more secure way of living. The combination of increased product pricing and steady demand allows weavers to achieve enhanced financial stability, thereby facilitating their capacity to allocate resources towards their health, education, and other societal requirements.
The rural foundation, comparatively modest capital investment, and employment-intensive character of production not only sustain a significant portion of the rural non-farm economy but also enhance its viability in the era of computerized weaving technology. Mitigating economic disparities in India is a crucial goal of strategic planning, and the saree business may contribute to this by offering prospects for the underprivileged. This may lead to a substantial and more extensively dispersed allocation of the productive function, thereby guaranteeing a fair distribution of national financial resources. The handloom business is ecologically friendly being devoid of power and carbon emissions, thereby conserving energy and fuel.
Considering the advantages of Geographical Indications (GI) for handlooms and its position as a crucial sector in rural Karnataka, incorporation of GIs may greatly enhance the appeal of the Karnataka handloom market. By providing brand recognition, ensuring quality, promoting cultural heritage, expanding market reach, enabling higher price levels, encouraging sustainable practices, and supporting local economies, we achieve this. Geographical indications (GIs) may facilitate the association of certain attributes and artistry with goods, therefore appealing to discerning customers and solidifying their psychological connection with the items. In addition, GI may provide access to untapped areas, enabling weavers to command premium pricing.