INDIAN INSTITUTE OF TECHNOLOGY ROORKEE

Creative Industries (A case study of Handicrafts)

Bhupendra Kumar Verma14113036

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Outlines :

• Introduction• Handicraft Marketing and Promotion (EPCH)• Export Trends of Handicraft• Handicraft Exports • Handicrafts of Rajasthan• SWOT Analysis• Government Incentives

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What is it?

-Are based on individuals with creative skills-Making marketable products-whose economical values lies on their cultural or intellectual properties

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Types of Creative Industries-

• Advertising and marketing• Architecture•Crafts• Design: product, graphic and fashion design• film, TV, video, radio and photography• IT, software and computer services• Publishing• Museums, galleries and libraries• Music, performing and visual arts

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Handicrafts

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.

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• First reference of Indian Handicrafts can be found from IVC (3000BC-1700BC)

• Influenced by local topography, climate, and socio-religious factors.

• Export items- Art Metal wares, Wood wares, Hand printed textiles, Embroidered and Crocheted goods, Shawls as art wares, Zari goods, Imitation jewellery, Carpets, Leather products, Jute products, Paintings, Bamboo products, Earthen ware, Marble Sculpture, Bronze Sculpture etc.Zari (or Jari) is an even thread traditionally

made of fine gold or silver used in traditional Bengali, Indian, Pakistani and Persian garments, especially as brocade in saris etc.

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The Importance of Handicrafts:

• 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 of rich traditional art, heritage and culture, traditional skills and talents which are associated with people’s lifestyle and history.

• The Economic Importance:

Handicrafts 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 earnings.

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Key facts of Indian Handicraft Industry

• India’s rich cultural diversity and heritage provides a unique and huge resource for developing craft products.

• Continuous growth rate of 20% every year.• one of the important segment of decentralized sector in

India.• around 67000 exporters and 8 million artisans from rural and

semi urban areas• number of artisans in India during 1995-96 were 47.61 lakhs

and during 2010-11 were 68.86 lakhs. • Major role in Foreign Earning.• $100 billion industry worldwide.• contribution in world market is 1.2%

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• Number of people employed (directly and indirectly) in this sector is estimated 8 mn with an annual growth of 2.5%

• Second largest employment sector in India• In 2014–15, Indian handicrafts exports stood at US$ 4.5

billion, up approximately 15.4 per cent over the previous year’s exports. Exports of Indian handicrafts have increased at around 16.4 per cent since 2008–09.

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Export Promotion Council for Handicraft

• A non-profit organization, established under the EXIM policy of Government of India in the year 1986-87.

• Under the aegis of Development Commissioner (Handicrafts), Ministry of Textiles, Government of India

• Website: www.epch.in

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Export trends

• There is large product variety and range is available because of diversified culture.

• The Indian Handicraft Industry is showing continuous growth rate of 20% every year.

• one of the important segment of decentralized sector in India.• 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.

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Exports

• the exports of Handicrafts have shown an increase of  Rs 862.36 crores, from  Rs 3720.52 to Rs 4582.88 crores, an increase of 23.18% in 2013- 2014.

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Rajasthani Handicrafts

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• The magical land set amidst desolate desert beauty. The land synonyms with romance and chivalry.Immensely rich in culture, history and natural beauty. That is Rajasthan.

• Rajasthan is a different world. Its colours, patterns and traditional skills of craft making are overwhelming.

• necessity is the mother of invention• The main crafts of the state are hand printed textiles, tie &

dye, hand knotted woolen carpets, art metal wares, leather wares, stonecarvings, meenakari, Thewa art, Puppetry etc.

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Kundan-Meenakari

Marbal-Meenakari

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Theva-art

Rakeshji and his wife Usha Soni have been recognized by UNESCO

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Kath-Putli

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SWOT analysis

• STRENGTH• Large, diversified and potential market.• Cheap labor rates that result to

competitive price.• Need low capital investment.• There is flexible production flexibility.• Easy creation and development of

production centers.• No need for macro-investment.• Industry provides potential sources of

employment.• Products are high value added, and

handicrafts have various applications.• Potential source of foreign revenue

because of higher export.

• WEAKNESS• Lack of infrastructure and communication

facilities.• Unawareness about international

requirements and market.• Lack of co-ordination between government

bodies and private players.• Inadequate information of new technology.• Inadequate information of current market

trends.• Less interest of young people in craft

industry.• Lack of skilled labor.• Still confined to rural areas and small cities

and untapped market.• Lack of promotion of products.

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OPPORTUNITIES• Rising demand for handicraft products in

developed countries such as USA, Canada, Britain, France, Germany, Italy etc.

• Developing fashion industry requires handicrafts products.

• Development of sectors like Retail, Real Estate that offers great requirements of handicrafts products.

• Development of domestic and international tourism sector.

• E-Commerce and Internet are emerged as promissory distribution channels to market and sell the craft products.

THREATS• Competition in domestic market.• Balance between high demand

and supply.• Quality products produced by

competing countries like China, South Africa.

• Better Trade terms offered by competing countries.

• Increased and better technological support and R and D facility in competing countries.

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Government Incentives

• According to Union Textiles Minister “Number of individuals to be employed with (Handicraft) sector by 2016-17 is estimated to be 12.29 million.”

• Commerce Ministry has increased the duty benefits on several products, including 63 handicraft items, in a bid to boost exports.

• The rates of the 63 lines (of handicraft sector) are amended, under the Merchandise Exports from India Scheme (MEIS).

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Contd..

• The government has been implementing seven generic schemes for the promotion and development of handicraft sector. 

The schemes include the• Baba Saheb Ambedkar Hastshilp Vikas Yojana;• Design & Technology Upgradation Scheme;• Marketing Support & Services Scheme;• Research & Development Scheme; • Human Resource Development Scheme;• Handicraft Artisans Comprehensive Welfare Scheme;• Infrastructure and Technology Development Scheme. 

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Also, there is a complete educational institute, • Indian Institute of Crafts and Design which is established

in Jaipur, Rajathan, which mainly educates for the crafts and their existence with design.

• The CEPT University, • National Institute of Fashion Technology (NIFT),• Mit Institute of Design (MIT ID),• Pearl Academy Of Design and National Institute of design

(NID) includes education of traditional crafts in their course curriculum to maintain this culture

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Rising costs of materials and supplies have placed many of these craft communities in financial struggle. A recent article in the Times of India predicts the price of steel to rise between Rs 600 and 1000 per tonne. On the other hand, statistics from the All India Handicrafts Board show that craft export has risen from 23 crores to over 9000 crores since the past 50 years. With rising economic and political issues in India, the craft sector is struggling to uphold. Although an interest to retain the culture of crafts is seen in designers and institutions.

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References:• http://www.epch.in

• https://en.wikipedia.org/wiki/Handicraft

• http://www.handicrafts.nic.in/

• http://rajasthalitest.rajasthan.gov.in/

• http://industries.rajasthan.gov.in/content/industries/rsicl.html/

• http://www.ibef.org

• http://articles.economictimes.indiatimes.com/2013-04-29/news/38904849_1_artisans-handicrafts-census

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Thanks