CHAPTER 3

POWER LOOM INDUSTRY (MSME) AND

BELAGAVI SAREE
The Third Chapter, which is titled as Power loom Industry throws light on the various
dimensions of the power loom industry in the global and Indian scenario. An attempt has been
made to bring detailed information on power loom industry and Belagavi Saree.

3.1 Structure of Indian Textile Industry

The Indian textile industry mostly comprises small-scale, non-integrated spinning, weaving
and knitting, fabric finishing, and apparel-making enterprises. Other textile-producing
countries mainly have large scale mills with modern technology and machinery, that integrate
spinning, weaving and, sometimes, fabric finishing (ASSOCHAM, 2015).

Figure No. 3.1 Structure of Indian Textile Industry

Source: ASSOCHAM Report of 2015

According to Ministry of Skill Development and Entrepreneurship report, Government of

India, the textiles industry has a major role to play in the Government’s ‘Make in India’
campaign. Textile industry is contributing through employment generation. According to
report the overall employment in this sector would increase from about 33-35 million in 2008
to about 60-62 million by 2022.

The Indian textile industry uses natural fibers like jute, cotton, silk and wool, as well as viscose,
man-made fibers, synthetic, polyester, nylon, acrylic and their multiple blends. The compound
and diverse structure of the industry attached with its close linkage with our ancient culture and
tradition provides the unique capacity to produce, with the help of the latest technological
inputs and design competence, a wide diversity of products appropriate to the changing
consumer tastes and priorities.
Indian textile industry has seen power loom in 1904, where power looms were first established
in Ichalakaranji of Maharastra state. Traditional handloom textiles were shifted to power loom,
because the availability of trained labours India. Then after the power looms become popular
due to easy and smart working style. After the Maharashtra various states have been introduced
this power looms concept instead of handlooms. The ministry of Commerce and Industry
brought a scheme of installation of power looms in India and many of the states have benefited
by this scheme. In India power loom sector plays a crucial role in the fulfillment of textile
needs of the country. The production of fabric and employment generation is increasing in
power loom sector.

The power loom industry plays a noticeable role in the textile industry of India. The power
loom sector is very important from the socio-economic point of view. In the context of
developing economy like India which is having un-employability, lack of technical skills and
market size is less.

The country is the largest exporter of terry towels and man-made textile products. However,
with an increased level of competition from low cost manufacturers (especially China) around
the world, the industry is under tremendous pressure to increase productivity, to improve
performance, to improve production quality, and to advance the management systems.
Furthermore, competition is much more intense in the textiles and apparel exports business
after the quota cancellation as stated by Clark (2005).

This sector is considered to be labour intensive and capital saving in nature. The use of power
looms in the production of grey cotton fabrics has brought about a remarkable growth in cotton
fabric manufacture during the last two decades. In textile industry, the power loom sector can
generate an export surplus. The power loom sector is making a large contribution to the
production of textiles in India and is meeting the consumer demand, both at home and abroad.

3.2 Micro Small and Medium Size Power loom Enterprises

Micro small and medium enterprises comprise of the (i) Traditional industries and (ii) Modern
Industries.

(i) Traditional micro small and medium enterprises sector comprise of handlooms, Khadi and
village industries, handicrafts, sericulture, coir, etc. These are mostly artisan-based industries
located mostly in rural and semi urban areas with low investment.
(ii) Modern micro small and medium enterprises comprise of units using power driven
machinery possessing better production techniques and located mostly in urban areas. They
include power looms, ancillaries, export-oriented units, etc. Modern micro small and medium
enterprises manufacture some of the high value added and sophisticated products like
electronic type writers, survey equipments, television sets and other consumer durables.

Modern micro small and medium enterprises are cost effective and possess substitutability-
complementarily characteristics to large industries. They are emerging as the dominant players
in the industrial development of the country.

Development of traditional and modern micro small and medium enterprises provides a
strategy of economic development and equity. These industries play a strategic role in
restructuring and transformation of the economy. They have a comparatively higher labour
capital ratio. Micro small and medium enterprises need a shorter gestation period and relatively
smaller markets to be economic. They involve lower investment and offer a method of ensuring
more equitable distribution of national income and facilitate an effective mobilization of
resources of capital and skill which might otherwise remain unutilized.

Micro small and medium enterprises stimulate the growth of industrial entrepreneurship,
catalyze research and development. They promote a more diffused pattern of ownership and
location. Micro small and medium enterprises have huge potentials of job creation and
development of rural/semi-urban areas. They make use of more unskilled labour force and have
direct impact on poverty alleviation. Small scale industries have the spread effect on domestic
market, since they buy more domestic inputs and indigenous raw materials and domestic
technology to a large extent.

3.3 MSME Power looms in India

In India Textile industry comprises with organized mill industry, handloom sector and power
loom sector. Handlooms and power looms found independent sectors of the Indian textile
industry, which gives substantial extent to compete with each other and together meet the
clothing requirements of people and generates substantial employment opportunities. The large
amount of export will generate towards power loom sector. The textile industry comprising of
the organized mill sector on the one hand and the largely dispersed handloom, hosiery, power
loom sectors on the other, satisfy the clothing requirements of the country. The textiles industry
in India accounts for 14% of industrial production, which is 4% of GDP; employs 45 million
people and accounts for nearly 11% share of the country’s total exports situation in the past
few years. It faces a tough competition in the world market (Subramanian, 2004).

While the mill sector is organized, mechanized and rapidly modernized to meet the challenges
of a competitive market, the power loom and handloom sectors have remained technologically
backward, stagnant and largely unorganized. If the textile mills are engaged in spinning and
weaving, producing both yarn and cloth but weaving has steadily been declining in the mill
sector due to intense competition from power loom sector whose share in the total cloth
production in the country has recorded rapid growth. Power loom means a loom which is
worked by power. The term power is taken as the energy produced by mechanical power no
human or animal power. Therefore, power loom means a loom which works by the electrical
power. A loom is a cloth making machine in which yarn or thread is woven into a fabric. The
power loom Sector plays a crucial role in meeting the clothing needs of the country. The power
loom industry production includes an extensive range of cloth, both grays as well as processed.
Production of cloth as well as generation of employment has been rapidly increasing in the
power loom sector.

Edmand Cartright invented Power loom in 1789 as a reason in industrial revolution of England.
Power loom is the revised form of handloom. The beauty of power loom is Quality and without
deficiency lengthy portions may gained from power loom. When the power loom came into
existence the handloom weavers had taken these as they were facing problems with other
looms. With the introduction of power loom the gradual development has been taken place in
textile industry. The demand in fabrics has forced to increase the power looms which has
replaced the handloom in worldwide. With the invention of power loom it has saved the health
and energy of workers and they started to produce more number of products in the same time.
Slowly the handloom workers have switched over to power loom industry.

The organization of the textile industry which is one of our oldest and firmly recognized
industries is extremely complex with the modern, sophisticated and much mechanized sector
and the spinning and weaving sector also. The power loom industry work into fabric with the
help of warp. Threads or Yarns are used as raw materials which are manufactured by spinning
mills. This is done through the processing mills and from processing mills the warps in the
form of beams are used in the power loom industries just to weave the projected cloths. These
cloths after calendaring through processing mills take the form of finished products of such
units. As a result, the power loom industries make the middle level work to manufactures as
finished cloths.

As per the Cotton Textiles Order (1948), The “Power loom” means a loom, which is worked
by power as defined in clause (g) of Section 2 of Factories Act. 1948 (Act No. 63). The growth
of Power loom sector has been remarkable during last two decades. Developing countries like
India, the power loom plays a dominant role providing employment opportunities and cloth
production for the masses. Power loom industry weaves by power-operated machines or looms
and works into a fabric with the help of warp in the form of beam and weft directly through
bobbins. Beams come from processing mills and weft yarn from spinning mills. Power loom
industries are functioning in the middle level work in the cloth production.

Power loom industry is basically a small scale industry situated in rural and semi urban area of
India. In spite of numerous problems and challenges had made major progress during many
years. Today in traditional weaving sector power looms occupied an important place with an
excellent prospect for balanced growth in the predictable future. In view of the globalization
leading to the change of outlook of present customers for fashion fabrics, the sustenance of
power loom industry is now being slowly dependent on the production of value -added products
through development of designs and improvement in finishing quality and colour. The
production of high-quality fabrics with new designs is being promoted by various schemes.
Power loom is the machine of weaving cloth In India, as a whole, the power loom sector, among
others, has been producing maximum cloth till today.

The power loom sector is the most energetic sector of the textile industry. According to Dr.
Ashok Mehta the power loom is more than an instrument of production of cloth, it is a
representation of a huge country of economic transition and techno economic change. From
the socio-economic view, the power loom sector conquers a major place in the industrial picture
of India. The power loom sector is the solution for the problem of demand for cloth in
reasonable cost. The power loom sector shall decrease these problems with employment with
demand and supply. The power loom sector is broadly spread over a large geographical area in
India. Thus, this is contributing to economic development. The power loom sector is emerging
both quantitatively and qualitatively. The main reason for the development is that the huge
scale manufacture is possible and at the same time the cost of production should be minimize.

3.4 Historical view of power loom Industry in India

The power loom is the revised form of handloom. The evolution in handloom to power loom
has been witnessed in the town of western India. Except looms are operated by an electronic
motor all the operations like dyeing, hand-warping, sizing, pirn-winding and weaving are
similar to the handlooms. Even quality, defect free and lengthy pieces are obtained from power
loom. In addition, to get better employment opportunities and increased income, handloom
weavers had taken to power looms. All these factors, culminated in the gradual development
of the power loom sector.

During the 20th century, there has been significant development in mechanical devices of
weaving operations. The first power looms looked in major textile towns of Western India. The
Industry grown steadily in the inter war period of 1940. The distinct inventors of power loom
owners were of reasonably diverse occupational and social contextual. According to Historians
have handloom weavers of the colonial period, who faced competition from the mills in
Mumbai. With the power loom business many weavers became richer where they come up with
new innovations.

There are no reliable evidences to specify the first introduction of power loom in the India. But
with some evidences the researchers expressed their views that, Power looms seem to have
been first established in India in Ichalkaranji of Maharashtra in 1904. The Jahagirdar of
Ichalkaranji a small village has nurtured the development of the weaving industry by giving
financial support to set up looms, granting tax concessions, providing cheap buildings and
lands. Though the installation of power loom there was slow up to 1929, in the early thirties
many middle class people have purchased a large number of second hand looms discarded by
the textile mills in Bombay and Ahmadabad at low prices. The traditional handloom weavers
have been attracted by power looms because of low expenses and high margin of productivity.
Many weavers became richer; Power looms were a natural culmination of capital accumulation
in handlooms. They arose by utilizing the money in handlooms. Proximity to cotton, spinning
mills, ready market, source of capital, source of looms and processing facility contributed a lot
to develop power loom industry in Bombay region Moreover; the region emerged as the most
important destination for migrant weavers from the north and the south. In Bhiwandi,
Malegaon, Dhulia and Berhanpur, migrant momin weavers from UP led the progress of power
looms. In Sholapur, Padmasalis from Telengana did so In Surat, the local Khatri weavers and
in Ichalkaranji, the Koshti weaver-merchants did take part in the transition to power looms. In
Ichalkaranji, the power loom enterprises received active encouragement from a progressive
Jahagirdar of the Kolhapur State. In Mysore, state encouragement played a major role in this
direction. The prosperity of small power loom weavers quickly caught on and a number of
power loom clusters grew surreptitiously. These unauthorized power looms have been growing
ever since. Thus, in order to regulate the growth of unauthorized power looms, the Government
set up Ashok Mehta committee in 1963. A taskforce committee appointed by the Government
in 1972 stressed that basic records should be built in each district showing the location of power
looms and purchase details.

Table No. 3.1 Inception of power looms in India

Sr. No. Centre/State Year of inception
1. Ichalkaranji, Maharashtra 1904
2. Cannanore, Kerala 1917
3. Surat, Gujarat 1920
4. Bangalore, Karnataka 1928
5. Madurai, Tamil Nadu 1928
6. Bruhanpur, Madhya Pradesh 1932
7. Calcutta, West Bengal 1932
8. Amritsar, Punjab 1933
9. Tanda, Uttar Pradesh 1934
10. Malegaon, Maharashtra 1935
11. All other Centers 1951 Onwards
Source: Power loom Enquiry Committee (1964)

There are no authentic records to indicate the first introduction of the power loom in the
country. The First power loom unit started in Ichalkranji town in Maharashtra in 1904 was also
the first to start in the decentralized sector in India. Later Kerala state introduced power looms
in the year 1917 and after 1951. In Karnataka state the power looms were introduced in the
year 1928 and later introduced to rest of the centers across the country.

Table No. 3.2 Year wise growth in power loom sector of India

Year No. of Power looms Growth percentage

2006-07 19,90,308 -

2007-08 21,06,370 5.8%

2008-09 22,05,352 4.7%

2009-10 22,46,474 1.9%

2010-11 22,82,744 1.61%

2011-12 22,98,377 0.68%

2012-13 22,47,249 2.12%

2013-14 23,67,594 0.86%

2014-15 24,47,837 3.39%

2015-16 25,22,477 3.05%

2016-17 26,29,269 4.23%

2017-18 26,66,229 1.40%

Source: Annual Report Ministry of Textiles 2017-18

 Figure 3.2 Year wise growth of power loom sector in India

Year wise growth of

powerloom sector in India

Growth percentage

2017-18 0
2016-17 4.23
2015-16 3.05
2014-15 3.39
2013-14 0.86
2012-13 2.12
2011-12 0.68
2010-11 1.61
2009-10 1.9
2008-09 4.7
2007-08 5.8
2006-07 0

From the above Table No. 3.2, we can conclude that the growth of power loom sector is
decreased over period of time. The growth of power loom was too low in the year 2011-12 i.e.
only 0.68% growth seen in the power loom sector. The highest growth we can see in the year
2007-08 i.e. 5.8%. The growth of power loom sector was in decreasing trend from 2007-08 to
2011-12. The lowest growth percentage of power looms has recorded in the year 2011-12. Later
growth of power looms in the country has started growing and presently its 4.23% as per the
data of annual report of Ministry of Textiles in the year 2016-17.

Table No. 3.3 No. of power looms in the country 2014-15

 Name of the State/Union
Sl. No. No. of Units No. of Looms
Territory
1 Andhra Pradesh 11496 53521

2 Assam 264 2738

3 Bihar 1443 2894

4 Goa 18 122

5 Gujarat 32249 323400

6 Haryana 2713 12293

7 Himachal Pradesh 182 1461

8 Jammu & Kashmir 56 65

9 Karnataka 24586 81890

10 Kerala 673 2804

11 Madhya Pradesh 53043 133425

12 Maharashtra 294786 1280694

13 Orissa 792 3321

14 Punjab 3661 23620

15 Rajasthan 4036 34271

16 Tamil Nadu 86740 443983

17 Uttar Pradesh 25135 35993

18 West Bengal 1037 6195

19 Delhi 124 1102

20 Telangana 20 160

21 Chandigarh 32 560

22 Dadra & Nagar Haveli 29 684

23 Pondicherry 117 830

Source: Lok Sabha Unstarred Question No. 6015 dated 30.4.2015

Figure 3.3 No. of power looms in the country 2014-15

No. of Looms,
Pondicherry,
No. of Looms,830
Dadra & Nagar
Haveli,
No. 684
of Looms,
Chandigarh, 560
No. of Looms,
Telangana , 160
No. of Looms,
Delhi, 1102
No. of Looms,
West
[Link], 6195
of Looms,
Uttar Pradesh,
35993 No. of Looms,
Tamil Nadu,
No. of Looms, 443983
Rajasthan, 34271
No. of Looms,
Punjab, 23620
No. of Looms,
Orissa, 3321 No. of Looms,
No. of Looms
Maharashtra,
No. of Looms, No. 1280694
of Units
Madhya Pradesh,
No. of Looms,133425
Kerala, 2804
No. of Looms,
No. of Looms, 81890
Karnataka,
Jammu & Kashmir,
No. of65Looms,
Himachal Pradesh,
No. of1461
Looms,
Haryana, 12293
No. of Looms,
Gujarat, 323400
No. of Looms,
Goa, 122
No. of Looms,
Bihar, 2894
No. of Looms,
Assam,
No.2738
of Looms,
Andhra Pradesh,
53521

From the above Table No. 3.3, we can conclude that Maharashtra has highest number of power
loom units and number of looms i.e. 29, 47,786 units and 12, 80,694 looms respectively and
Goa has least number of 18 power loom units. Maximum numbers of power loom units are
mainly spread in the states of Maharashtra, Tamil Nadu, Madhya Pradesh, Gujarat and
Karnataka in the country. The numbers of power loom units are gradually increased in the
country over a period of time.
 Table No. 3.4 District-wise power looms in Karnataka

Sr. No. District No. of power looms

1. Bangalore (U) 253221
2. Bangalore 32975
3. Belagavi 21650
4. Bijapur 1750
5. Bagalkote 9918
6. Bellary 28
7. Bidar 00
8. Chikkamagaluru 00
9. Chitrradurga 14
10. Davangere 30
11. Dharwad 230
12. Haveri 1086
13. Gadag 1081
14. D. Kannada 04
15. Udupi 06
16. Gulbarga 34
17. Hassan 00
18. Kolar 250
19. Kodagu 06
20. Mandya 30
21. Mysore 101
22. Chamarajnagar 104
23. Raichur 89
24. Koppal 356
25. Shimogga 00
26. Ttumkur 472
27. U. Kannada 31
Total 88,566
Source: Department of Handlooms and Textiles, Bengaluru.

According to table no. 3.4, we can conclude that Bangalore is having highest number of power
looms in Karnataka. Belagavi is having 3rd highest power looms in the state having 21,000 plus
power looms. On the other hand, power looms are not at all existed in the districts of Shimogga,
Bidar and Chikkamagaluru.

The power loom industry provides employment opportunities to lots of people as loom
operator, cleaner, cone winders, sizer, dyer, and supervisor. Because of the increase in the
number of looms every year, the employment also increased every year.

Power loom industry cannot be run without the pre-loom and post-loom activities. Quite a large
number of persons are involved in pre and post loom activities. We have the statistics available
with regard to the workers involved in pre-loom and post-loom activities in 10 talukas of
Belagavi district. The statistics is given in the following table:

Table No. 3.5 Taluka wise Classification of workers engaged in pre-loom and post-loom
activities in Belagavi District

Power loom workers in pre and

Sl. No. Taluka
post loom activities

1. Belagavi 29,484

2. Hukkeri 3,306

3. Khanapur 24

4. Bailahongal 4,359

5. Soundatti 612

6. Ramdurg 6,768

7. Gokak 204

8. Raibag 00

9. Athani 138

10. Chikodi 2,781

Source: Department of handlooms and textiles, Belagavi.

Exports of power loom textiles have shown a very good growth in the past decade. There is a
further scope for accelerating the growth in exports to a considerable extent. Considering the
large quantum of output of textiles in the power loom sector and the versatility of the industry
in offering textiles in required quantities, in different widths, piece lengths, designs, patterns
etc., there are possibilities of enlarging exports to a large extent. India remains internationally
competitive in the production and export of low and medium-quality “grey” (or unfinished)
fabrics in relatively small production runs.

Current Situation and Importance of Power loom Industry in India

The decentralized power loom industry is one of the most major segments of the Indian Textile
Industry in terms of fabric production and employment generation. As per M/s Nielson power
loom survey (2013), the industry generates employment of 44.18 lakh and contributes 60% of
total cloth production in the Country. 60% of the fabrics produced in the power loom sector
are of man-made. More than 60% of fabric meant for export is also sourced from power loom
sector. The readymade garments and home textile sectors are heavily dependent on the power
loom sector to meet their fabric requirement as on September, 2018 there are around 27.77 lakh
Power looms in India including plain loom and high-tech shuttle less looms.

Cloth production (in million square meters):

The details of total cloth production vis-à-vis production by Power loom Sector during the last five
years are given below:

Table No. 3.6 Year wise cloth production and share of power loom sector
Total Production on % of power loom over
Year
Production Power loom total cloth production
2012-2013 62,792 38,038 60.57%
2013-14 63,500 36,790 57.93%
2014-15 65,276 37,749 57.83%
2015-16 65,505 36,984 56.78%
2016-17 64,421 36,672 55.37%
2017-18 67,779 38,945 57.46%
2018-19 (April-Feb) 64,813 36,575 56.43%
Source: Annual Report Ministry of Textiles 2018-19

From the above table no. 3.6, we can see that contribution of decentralized power loom industry
in the total production of cloth is so high compared to other sectors textile industry in the
country. We can see that majority portion of the total cloth production is done by the
decentralized power loom industry in the country.
Under the changed scenario sans quota restrictions, firms in these economies are trying to
expand their international market competitiveness through various strategies. These strategies
involve a mix of productivity enhancing and cost minimizing activities (Zala, 2010). In India
the power loom sector produces a wide range of fabrics which includes grey and processed.
The production of fabric and the employment generation have been rapidly increasing in the
power looms sector.

The textile industry of Belagavi district includes handlooms, power looms and spinning and
weaving mills. It is one among the seven districts of the state where handlooms and power
looms are concentrated. Presently the handloom activity is diminishing on account of
diversification to power loom activity.

The power looms are noticed throughout the district. The taluka wise number of power looms
in Belagavi district is given in the following table:

Table No. 3.7. Taluka wise Classification of Power looms in Belagavi District

Sl. No. Taluka No. of Power looms

1. Belagavi 12,540

2. Hukkeri 1102

3. Khanapur 08

4. Bailahongal 1453

5. Soundatti 204

6. Ramdurg 1793

7. Gokak 68

8. Raibag 00

9. Athani 46

10. Chikodi 927

Source: Department of Handlooms and Textiles, Belagavi.

Power loom industry cannot be run without the pre-loom and post-loom activities. Quite a large
number of persons are involved in pre and post loom activities. We have the statistics available
with regard to the workers involved in pre-loom and post-loom activities in 10 talukas of
Belagavi district.

3.5 Government of India Initiatives on Power loom Industry

To safeguard the power loom sector the Government has changed the approach towards the
development of this industry, hence the power loom industry is contributing more in the
national development. Ministry of Textile, Government of India also started various schemes
and established many committees to uplift the power loom sector in India.

Comprehensive Power loom Cluster Development Scheme

The comprehensive Power loom Cluster Development Scheme was formulated in the year
2008-09 to develop Power loom Mega Clusters at Bhiwandi (Maharashtra) and Erode (Tamil
Nadu). Subsequently, Mega Clusters at Bhilwara (Rajasthan), Ichalkaranji (Maharashtra) and
Surat (Gujarat) respectively. The guidelines/principles underlying the design of clusters is to
create world class infrastructure and to integrate the production chain in a manner that caters
to the business needs of the local Small and Medium Enterprise (SMEs) to boost production
and export. The broad objective of the Mega cluster approach Scheme is to enhance the
competitiveness of the clusters in terms of increased market share and to ensure increased
productivity by higher unit value realization of the products. The Scheme provides requisite
infrastructure, technology, product diversification, design development, raw material banks,
marketing & promotion, credit, social security and other components that are vital for
sustainability of weavers engaged in the decentralized power loom sector.
Textile Committee

In 1963 the textile committee was established to achieve the quality in textiles. Headquarter is
in Mumbai. The functions of textile committee are promotion of exports, research and
innovation in technical changes, standards in textile production and market, finding new
designs through laboratories, etc.

With the passing of the Textiles Committee Act, 1963 the cotton Textiles Fund Ordinance was
replaced by the Government and the Textiles Committee was recognized as a statutory body
for ensuring the quality of textiles and textile machinery and for taking care of the affairs
associated therewith.

The prime functions of textiles committee were:

 1. Carry out, help and support scientific, technological and economic research in textile
industry and textile machinery.

2. Encourage export of textiles and textile machinery and carry on propaganda for that
purpose.

3. Identify the type of quality control or examination which will be applied to textiles or
textile machinery.

4. Set up laboratories for the testing of textiles and textile machineries.

5. Provide training and guidance in the techniques of quality control.

6. Provide for the inspection and examination of textiles

Power loom Development and Export Promotion Council

This body has been established by Ministry of Textile with the aim of supporting and
developing in power loom sector. It helps in export of power loom fabrics and assist in research
and innovation in designs. Totally this body will help to improve the productivity and
competence in power loom sector.

All India Power loom Board

The All India Power loom Board (AIPB) constituted in November, 1981 as an advisory board
by the Government of India. The Union minister of Textiles will be the head this board. The
central and state Government representatives and power loom federations are the members of
this body. This body will function in advisory role on power loom industry for the Government
of India.

The main aim of establishing All India Power loom Board was to advise the Government on
the matters concerning the strong development of Power looms. The Government of India
reconstitutes All India Power loom Board time to time. The present board was reconstituted in
the year 2013.

Recently the Ministry of Textiles has abolished All India Power loom Board with a view on
achieving “minimum Government and maximum governance”.
Power loom Service Centers (PSCs)

There are several Power loom Service Centers have been established in different states to
provide various technical assistance. Technical assistance includes design and development,
training to labour, testing, and machinery help etc. to power loom weavers. Also the Indian
Government is taking initiatives to modernize these centers. Out of 47 power loom service
centers, 43 PSCs have been modernized with latest machines and equipment such as shuttle
less, Rapier, Air jet, automatic cop changing looms, Drop Box looms, cone winders etc. Out of
47 PSCs, 15 PSCs are under the Office of the Textile Commissioner, 26 PSCs are run by various
TRAs, 4 PSCs under KSTIDC, Bangalore & one each PSC is run by State Govt. of Madhya Pradesh
& Govt. of Manipur, respectively.

In Karnataka, there are 4 power loom service centers namely:

1. Power loom Service Centre (PSC), Belagavi which is having its jurisdiction for entire
Belagavi district.

2. Power loom Service Centre (PSC), Gadag-Betageri which operate for the Gadag,
Bagalkote, Haveri, Koppal and Dharwad districts.

3. Power loom Service Centre (PSC), Banglore which is having jurisdiction of Bangalore
Urban, Ramnagar, Mysore and Mandya districts.

4. Power loom Service Centre (PSC), Doddaballapur, which operate for Banglore Rural,
Tumkur, Chikkaballapur and Kolar districts.

The following services rendered at Power loom Service centers:

1. Training- such as basic training, advance training, CAD training, Jobber training
and Sewing Machine training for which time period varies from 4 weeks to 8 weeks.

2. Services- such as design development, seminars/workshops/exposure visits, TUF

awareness programmes etc.

3. Testing-such as denier and count testing, strength testing, fabric analysis etc.
 The various activities conducted by PSCs are as below:

Table No. 3.8 Various activities conducted by PSCs

Sr. No. Achievement Numbers

1. Trainees 2356

2. No. of Samples Tested 32181

3. No. of Design Developed 25

4. No. of consultancy/Trouble Shooting 1201

5. Total Revenue 85.52 Lakh

Source: Collected by the Researcher from Power loom Service Centre, Belagavi

The traditional handloom weavers converting to power loom weaving because of the low
expense and higher margin profit. India’s five-year plans are witnessed encourage the power
loom sector. It assisted the replacement of handlooms to power looms which is handled by co-
operative sector. Handloom clusters were converted slowly into power loom clusters in the
eighties and nineties.

3.5.1 Government Schemes for the Development of Power loom Sector

The Indian Government has implemented some schemes for the growth and development of
power loom sector.

Group Insurance Scheme for Power loom Workers

The Government of India launched this scheme is for Power loom Workers in the year 2003-
04 through the textile commissioner in collaboration with life Insurance corporation of India.
Power loom weavers/ workers are enrolled under the scheme for a period of one year which is
renewed on year to year basis. Details of Power loom workers enrolled under the scheme for
the last three years.
 Table No. 3.9 Group Insurance Scheme for Power loom Workers

[Link] Year No. of Power loom GOI contribution released

workers enrolled Rs. in Crore

1 2015-16 1,11,441 6.62

2 2016-17 1,31,921 2.00

3 2017-18 1,61,821 4.00

4 2018-19 1,03,344 5.28

Source: Annual Report Ministry of Textiles 2018-19

Converged Group Insurance Scheme

Converged group insurance scheme is launched by Government of India with the objective of
to provide insurance cover to the Power loom workers in the case of natural death, accidental
death as well as partial and permanent disability due to accident. This insurance has clubbed
with Pradhan Mantri Jeevan Jyoti BimaYojana and Pradhana Mantri Suraksha BimaYojana for
the age group of 18 to 50 years and Aam Admi Bima Yojana (AABY) for the age group of 51
to 59 years.

The premium and benefits structure under the Social Security PMJJBY scheme (Including
premium of PMSBY) is as under:

Table No. 3.10. Converged group insurance scheme

Age Group Premium Structure Benefits

Share of Ministry of On death due to any reason under
Textiles- Rs. 162/- (PMJJ-BY) Rs. 2,00,000
On death due to accident Rs.
Member’s Contribution- 4,00,000/-
Rs. 80/- (Rs. 2,00,000/- under PMJJBY and
18 to 50 years
Rs. 2,00,000/- under PMSBY)
Social Security Fund Rs. On permanent disability-Rs.
100/- 2,00,000/-
On partial permanent disability Rs.
Total- Rs. 342/-
1,00,000/-
Source: Annual Report Ministry of Textiles 2018-19
The Modified AABY scheme is applicable only on renewal basis for the existing Power loom
weavers who have already enrolled in the erstwhile GIS during the period June, 2016-May,
2017. No fresh Power loom weavers shall be enrolled under the AABY scheme. The premium
and benefits structure under the Modified AABY scheme for existing members of GIS is as
under:

Table No. 3.11 Premium and Benefits Structure under the Modified AABY Scheme

Age Group Premium Structure Benefits

Share of Ministry of Textiles

Rs.290/-

Member’s contribution Rs. 80/- On death due to any reason

51 to 59 years
Rs.60,000/-
Social Security Fund Rs.100/-

Total Rs.470/-

Source: Annual Report Ministry of Textiles 2018-19

Additional benefits

In addition to above, a weaver/worker enrolled under this scheme will also be entitled for
educational grant of Rs.600/- per child per half year for two children studying in IXth Standard
to XIIth standard for a maximum period of 4 years.

PowerTex India

In order to address the long felt need of the power loom sector and to strengthen the effective
implementation, the Power loom Sector Development Schemes (PSDS) have been modified by
incorporating new components viz., Solar Energy Scheme and Pradhan Mantri Credit Scheme
for Power loom Weavers, Publicity & IT and rationalising / upgrading the existing schemes
viz., Group Work shed Scheme, Common Facility Centre Scheme, Yarn bank Scheme, In-situ
Up gradation Scheme for plain Power looms. The scheme has now been relaunched as
PowerTex India and is effective from 01.04.2017 to 31.03.2020. The scheme has following
components:

(a) In-Situ Up gradation Scheme for Plain Power looms

• The scheme aims to improve quality and productivity of the fabric being produced by
upgrading their existing plain loom with certain additional attachments and enable them to face
the competition in domestic and international markets. It aims at covering 1, 25,000 looms for
3 years (2017-18 to 2019-20)

• The scheme is meant for small Power loom units having up to 8 looms. Priority would be
given to units having less than 4 looms. The Government of India shall provide financial
assistance to the extent of 50%, 75% and 90% of the cost of up-gradation to a maximum subsidy
of Rs.45, 000/-, Rs.67, 500/- and Rs.81, 000/- per loom for General, SC and ST category
respectively.

• In addition to GOI subsidy, the State Govt. of Maharashtra & Karnataka are also providing
financial assistance of Rs.10,000/- per Power loom, State Govt. of Bihar is providing Rs.
12,000 and State Govt. of Telangana is providing 50 % of the cost of attachments as additional
subsidy in their respective clusters subject to a maximum of Rs.20,000/- per loom.

• During the Financial Year 2018-19, 4797 looms were upgraded for which GOI subsidy of
Rs.44.98Crore has been released.

(b) Group Work shed Scheme (GWS)

The scheme aims at setting up of infrastructure for power looms with modern weaving
machinery to enhance their competitiveness in the Global Market. As per the modified Scheme,
subsidy for construction of Work shed would be limited to 40% of the unit cost of construction
subject to a maximum of Rs.400/- per sq. ft. whichever is less. Ordinarily, minimum 4 weavers
should form a group with 24 modern looms of single width (up to 230 cm) or 16 wider width
looms (230 cm & above) each beneficiary should have at least 4 number of looms.

The additional subsidy for construction of dormitory/workers accommodation which includes

adequate hygienic toilet & bathroom (kitchen with store room and dining hall may be included
as optional) for accommodation of minimum 1.25 persons per Power loom will be provided @
125 Sq. ft per person. The rate of subsidy per Sq. ft for dormitory/workers accommodation will
be equal to the rate of subsidy per [Link] applicable to Group Work shed.

Since inception, 344 projects have been approved and GOI subsidy of Rs.100.83 crore has been
released. During the Financial Year 2018-19, 141 looms installed in three completed projects
and Rs.7.64 crs has been released.
(c) Corpus for Yarn Bank

To provide interest free corpus fund to Special Purpose Vehicle (SPV) / Consortium to enable
them to purchase the yarn at wholesale rate and give the yarn at reasonable price to the small
weavers in the decentralized power loom sector. To avoid middle man/ local supplier’s
brokerage charge on sales of yarn, interest free corpus fund of maximum Rs.200 lakh per yarn
bank is provided by the Govt. to SPV/ Consortium.

Since inception, 75 Yarn Bank projects have been approved & GOI assistance of Rs. 22.98
crore has been released. During the Financial Year 2018-19, 10 Yarn Bank project has been
approved and Rs.5.65 crs has been released.

(d) Common Facility Centre (CFC)

To provide infrastructure support to the Power loom Weavers associated in a group and willing
to set up Common Facility Centre. It includes house design centre / studio, testing facilities,
training centre, information cum trade centre and common raw material / yarn / sales depot,
water treatment plant for industrial use and common pre-weaving facilities viz. warping, sizing
etc. under the projects in PPP mode for backward and forward integration as per the need of
the cluster.

Maximum GOI Share per CFC is Rs.200 lakh.

Level of assistance from the GOI on the basis of grading of power loom clusters is as under:

 Grade ‘A’- up to 60% of project cost.

 Grade ‘B’- up to 70% of project cost.

 Grade ‘C’- up to 80% of project cost.

 Grade ‘D’& clusters in NER/J&K up to 90%.

Since inception, 13 CFC projects have been approved excluding cancelled projects and GOI
assistance of Rs. 3.94 crores have been released.

(e) Solar Energy Scheme for Power loom Sector

The prime objective of the scheme is to alleviate the problem of power cut / shortage, being
faced by the decentralized power loom units in the country to improve utilization, efficiency,
productivity etc. and to face both domestic and international markets competitively by
providing financial assistance/capital subsidy to small power loom units for installation of
Solar Photo Voltaic (SPV) plant. The Scheme is implemented from 01.04.2017.

Proposed Solar Photo Voltaic (SPV) plant is to be implemented in two modes; (i) On-Grid
Solar Power Plant and (ii) Off-Grid Solar Power Plant. Govt. of India shall provide financial
assistance/capital subsidy to the extent of 50%, 75% & 90%of the basic cost of the Solar
Energy Plant (Cost of Solar Panel + Inverter + batteries) to the applicants of General category,
SC & ST respectively.

(f) Pradhan Mantri Credit Scheme for Power loom Weavers

To provide adequate and timely financial assistance to the power loom weavers to meet their
credit requirements, for investment needs (Term Loan) as well as for working capital, in a
flexible and cost-effective manner.

There are two components in the Scheme i.e. Category-I under Prime Minister MUDRA
Yojana (PMMY) and Category-II under Stand-up India Scheme. The Office of the Textile
Commissioner enlists the lending agencies for the operation of the Scheme.

The details of the eligibility, mode of application and facilities available under these
components are given in the scheme guidelines. The scheme is implemented from 01.04.2017.

(g) Grant in Aid and Modernization/ up gradation of Power loom Service Centres

15 Power loom Service Centres under Office of the Textile Commissioner, 26 under Textile
Research Associations (TRAs) and 6 under State Governments are running across the country.
The PSCs are offering various services like training, sample testing, design development,
consultancy, conducting seminar/ workshop etc. to the power loom sector on behalf of the
Government.

The Grant-in-Aid (GIA) provided to the PSCs of TRAs/state Govt. agencies is mainly for the
recurring expenses for running the PSCs for providing the services to power loom sector. The
Grant-in-Aid to the PSCs of TRAs/ State Government Agencies will be sanctioned by the
Textile Commissioner as norms fixed by the Ministry. During the Financial Year 2018-19,
Rs.4.88 crores (as grant-in-aid) has been released to 19 PSCs/ TRAs.

(h) Scheme of Tex-Venture Capital Fund

Tex Fund, a dedicated fund with a corpus of Rs.35 crores for investing primarily in companies
engaged in manufacturing & services, activities in the power loom industry.

GOI will provide Rs.24.50 crores and Rs.10.50 crores have been committed by SIDBI for Tex
venture capital fund. The TEX-Venture Fund would invest in the equity shares and / or
instruments convertible into equity of textile Micro and Small Enterprises, as defined under
MSMED Act, 2006 and as amended from time to time. The fund would operate under the
Securities Exchange Board of India’s Alternative Investment Fund Regulations 2012 (SEBI’s
AIF Regulations 2012).

The Fund’s primary investment objective is to achieve attractive risk-adjusted returns through
long term capital appreciation by way of investments in privately negotiated equity / equity
related and/or convertible / non-convertible debt instruments in unlisted companies requiring
early or growth stage capital infusion.

Benefits:

Under the scheme, the investment in the equity of companies will help to boost their net-worth,
leverage commercial bank debt, improve their manufacturing capacity and sales turnover,
increase competitiveness and profitability.

Contribution Agreement between Govt. of India and SIDBI was signed on 03.10.2014 and an
amount of Rs.11.50 crore allocated for the year 2014-15 has already been released to SIDBI
Venture Capital Ltd (SVCL) in Nov’14.

(i) Facilitation, IT, Awareness, Market Development and Publicity for Power loom

The decentralized power loom sector is one of the most important segments of the Textile
Industry in terms of fabric production and employment generation. To augment the domestic
production and marketing as well as export by power loom weavers, Integrated Scheme has
been implemented since 2007- 08 with objective for modernization of power loom sector,
exposure visits, buyer-seller meets, cluster development activities, development/ up gradation
of the skills etc.

3.6 An Overview of Belagavi District

Introduction [22]

Belagavi (now Belagavi) is one of the oldest, strong, prominent and well cultured historical
places, nestling high in the Western Ghats. The old town area with cotton and silk weavers
stands gloriously besides the modern, bustling, tree-lined British Cantonment. Step out of the
forts and you have a wide choice of temples and churches to visit. Belagavi has an enviable
heritage and offers much to be discovered. It lies in the zone of cultural transition between
Karnataka, Maharashtra and Goa with a known antiquity clearly traceable up to 2nd Century
A.D. Due to its proximity with the states of Maharashtra and Goa, Belagavi has acquired the
cultural flavor of these states and blended it with the local Kannada culture to create a rich
heritage, which is unique in its manifestation. It is also known as Malenadu or Rain Country
and the vegetation here is verdant green throughout the year. Well, centuries have passed and
today it is an entirely different story. Belagavi has now become one of the important and
considered districts in the state of Karnataka. Belagavi is now marching with a tag of fast
growing, redeveloping district with a population of approximately over 5.5 lakhs.

Belagavi is the Divisional Headquarters of North Karnataka. It is also known as Malnad

Pradesh. The name Belagavi is originated from “Velugrama” (meaning Bamboo Village) or
“Ikhsugrama“. The earliest mention of this is made in the Nesari Plates of 805 AD. The
archaeological inscriptions under A Sunder in the Vadgaon – Madhavapura area reveal a
prosperous town of the Satavanhana times. Chalukyas and Rastrakutas administrated the
territory. Later on, Kadambas of Goa and Rattas ruled Belagavi. It was made the capital city
under the Rattas. Afterwards Yadavas of Devagiri and Vijayanagar rulers governed the city.

Belagavi hosted the 1924 annual Congress session which was presided over by Mahatma
Gandhi as the president. It assumes greater importance as it was the one and only congress
session held in Karnataka as well as presided by Mahatma Gandhi as the president.

Location of Belagavi District

Belagavi is located at 15.87°N 74.5°E. [23] It has an average elevation of 751 meters (2,464
feet). The city is in the northwestern parts of Karnataka and lies at the border of two states,
Maharashtra and Goa on the Western Ghats (50 km (31 mi) from the Goa state border). It is
one of the oldest towns in the state, lying 502 km (312 mi) from Bangalore, 515 km (320 mi)
from Hyderabad, 500 km (310 mi) from Mumbai. The district comprises 1278 villages with an
area of 31,415 km2 (12,129 sq mi) and a population of around 4.8 million according to the
census of 2011. Belagavi district is the biggest district of Karnataka. Situated near the foothills
of the Sahyadri mountain range (Western Ghats) at an altitude of about 779 m (2,556 ft), 100
km (62 mi) from the Arabian Sea with the Markandeya river flowing nearby, Belagavi exhibits
swift and kaleidoscopic changes in topography, vegetation and climate.
Belagavi has a tropical savanna climate (Köppen climate classification Aw). It is known for its
pleasant year-round climate. Belagavi is at its coldest in winter (lowest temperature in
Karnataka is usually recorded in Belagavi) and it experiences almost continuous monsoon rains
from June through September. Belagavi sometimes receives hail storms during April.

The name of Belagavi is originally found as 'Velugrama' or 'Venugrama' as seen in the record
of the Shilaharas for the first time and 'Venu' stands for bamboo (Bambusa Arundinacea) which
is abundant in this area due to thick forests. With the creation of the new district in 1836
separating from the erstwhile Dharwad district with Belagavi as the headquarters (1838), the
district was given the name of the head quarter town, which was called in Kannada 'Belaganvi'
in records of later years.

The district is located between 150 .23 to 16058 N. latitude and 740 05 to 750 .28 E. latitude
in the Western Ghats of Sahyadri Mountain range at a height of 2,500 feet above the sea level.
The total geographical area of the district is 13,454 [Link], which is 6.99 per cent of the total
geographical area of the state and ranks first in area among the 30 districts of the state. It
measures about 160 km. from north to south, and 80 to 130 km from east to west. Belagavi
district is surrounded by Maharashtra state in the north and north-west, Goa state and Uttara
Kannada district in the south-east, Dharwad, Bijapur and Bagalkot districts in the east. The
district has healthy and pleasant climate during all the months in a year. The normal
temperature varies between 120 C. in winter and 380 C. in summer. The average rainfall
received by the district is 808 cm. with maximum rainfall in Khanapur and minimum rainfall
in Raibag Talukas. Many places in the district have been connected with Puranic and
mythological traditions.

At the dawn of historical period, Belagavi region was under the Shatavahanas of Paithan (C.
30 B.C. to 300 A.D.) and the region was known as a part of Kuntala. A part of the district might
have come under the Bhojas of Chandor in Goa soon after the fall of the Shatavahanas. Later,
the Kadambas of Banavasi (C. 345 A.D. to 540 A.D.) started ruling over the region and Halasi
in Khanapur taluk was their secondary capital. The region came under the Chalukyas of Badami
(540 A.D. to 753 A.D.) and the Rashtrakutas of Malkhed in succession (753 A.D. to 973 A.D.).
The Rattas, claiming to be the descendents of the Rashtrakutas started ruling from Savadatti
and later from Belagavi when the District came under the Chalukyas of Kalyana who inherited
the region from the Rashtrakutas in 973 A.D. The present city of Belagavi was built in the 12th
century A.D. by the Ratta Dynasty and the fort of Belagavi city was built in 1204 by a Ratta
officer named Bichiraja. The Vadagoan and Madhavpur suburbs of Belagavi were important
urban centers between 400 BC and 300 AD. Later, the district was overrun by the army of the
Delhi Sultan and became a part of their territory till the year 1347. When Alla-ud-din Bahamani
revolted against them and started his own rule from Gulbarga, and his sway extended over this
region also. By the middle of the 17th century certain tracts in the district were conquered by
the Mughals and certain others by Shivaji.

From the 16th century onwards some feudatory Desais (Desai is an administrative title and
surname derived from the Sanskrit words desa 'land' and svamin 'lord.' 'Desai' is a surname
attributed to Hindus who were feudal lords and revenue collectors) like those of Kittur,
Belavadi, Sirsangi, Wantamuri etc. ruled over certain regions. By the beginning of the 19th
century major parts of the present Belagavi district fell into the hands of the British after the
defeat of the Peshwas in 1818. Belagavi was included in the collectorate of Dharwad, but a
separate Belagavi collectorate was created in 1836 by splitting Dharwad district and Belagavi
was fixed as the headquarters of the district in 1838, after considering the case of Gokak,
Ankalagi, Murgod and Munoli, the territories under Kittur (1824) Chinchani (1836) Nippani
(1940), Tasgaon (1848) and Kagwad (1857) were merged into Belagavi area when the British
decided to lapse these states. The district played the most notable part in Karnataka in the
history of freedom movement. It is also notable in modern history because Mahatma Gandhi
was imprisoned by the British in this fort during India's freedom struggle.

Of the many Desais administering various territories in the area, that of Kittur was one founded
in the days of Bijapur (1585) with Sampgoan as the headquarters and later Kittur became the
headquarters. In 1793, the territory had 285 villages with annual income of Rs. 4.10 lakhs.
When Mallasarja Desai died childless in 1824, he had adopted a son before his death. But
Thackeray, the 96 Collector at Dharwad held this adoption as invalid and he came to Kittur,
sealed the treasury, put guards to watch it and made his own arrangements to administer the
territory. But Rani Channamma (Mallasarja's wife), a daughter of the family of Kakati Desai,
was enraged by this, protested against this out. Thackeray came to negotiate with her on 24th
October 1824 but his high handed attitude enraged the heroic queen. She ordered the closure
of the fort gate. Thackeray moved canons to break the gate open and gave an ultimatum of 20
minutes to open it. An enraged soldier fired at Thackeray and killed him and many other
English officials. Further the developments were such that on 3rd December, 1824, the British
with their superior force and weapons defeated Kittur army and took Channamma captive.
Kittur territory was merged into Belagavi district and Channamma was kept III confinement at
Bailhongal where she breathed her last in 1829. Thus, even today Rani Channamma's heroic
resistance is a source of inspiration for all the people of this region.

A servant of the Kittur state called Rayanna, gathered round him a considerably large band and
burnt the Taluk Kacheri of Bidi. He revolted against the British and in this venture, even tried
to secure the help of the Portugese in Goa. Rayanna was later overpowered arrested and hanged
(1830) at Nandgad.

The ending of states like Kittur, Chinchani, Tasgaon, Kagwad and Nippani enraged many
subjects of those princes and their retinue. Marathi Newspapers like, Kal, Navakal, Kesari,
Indra Prakash, etc., and Kannada newspapers like Rajahamsa, Karnataka Dhananjaya, etc.,
propounded nationalist feelings. Thus, 97 when Congress started its activities in 1885, it had
already many silent followers in Belagavi district and, Tilak and his 'Kesari' had substantial
number of admirers. In 1906, following the example of Pune and other places, public Ganapati
Festival was organized and Tilak addressed many meetings in Belagavi and its suburbs during
his three-day visit in 1930.

The most important historic event in Belagavi was the organizing of the 39th Congress session
in 1924. This was the only occasion when congress held its session in Karnataka before
independence and the session was unique because it was the only session where Mahatma
Gandhi presided over it. Belagavi congress (December 26-28) was a highly successful session
organized on a grand scale and in an inspiring atmosphere Belagavi congress of 1924 was
hosted by the K.P.C.C. and members of the Reception Committee were drawn from all
Kannada-speaking areas. First Karnataka Unification Conference with Sir Siddappa Kambli as
President was held in Belagavi in 1924. Congressmen of Belagavi launched 'Samyukta
Karnataka' weekly in 1929 to work as the mouth organ of both freedom movement and
unification movement. Later several unification conferences were held in Belagavi. Even after
Independence, Belagavi district had been in the forefront of the Unification movement. Leaders
like Gangadhar Rao Deshpande, Channappa Wali had supported the idea of unification and
inclusion of Belagavi district in Karnataka when the Fazl Ali Commission (1953) recorded
their evidence. Except the taluk of Chandgad, the whole of Belagavi district was transferred to
Karnataka when the new state was formed on 1st of November 1956.

Its salubrious climate, proximity to the coast and strategic position near Portuguese Goa
commended it to the British as a suitable location for an army training center and cantonment,
which it continues to be even today for the Indian Armed Forces, along with an air force station
of the Indian Air Force. The British had a sizable infantry post here, having realized the military
importance of its geographical location. Perhaps that is one of the reasons for Belagavi's
sobriquet "The Cradle of Infantry". Development of a rail network for movement of resources
and later troops was one of the means employed by both the East India Company and the British
to exert control over India. Belagavi houses the Maratha Light Infantry Regimental Centre
(MLIRC). It also houses the Commando Training Wing which is a part of the Infantry School,
how, where the country's infantry commandos are trained in endurance, escape and evasion,
guerrilla and commando warfare techniques and to live off the land. The commando course at
Belagavi is mandatory for all infantry officers. Officers of other arms and services and even
some foreign officers undertake the course. In between the military hospital and the commando
training centre there lies the eminent Belagavi Military School, established in 1945 spread over
an area of 64 acres.

The Indo-Tibetan Border Police, ITBP, is building a full- fledged recreation and training center
in Belagavi at Halbhavi. Belagavi provides an excellent climate for recreation and ITBP will
have large family base for its soldiers after high altitude stressful duty. CRPF, the Central
Reserve Police Force Institute of elite central paramilitary forces, is setting up a national-level
training institution (for jungle warfare) at Khanapur in Belagavi. Belagavi enjoys rich cultural
diversity stemming from its proximity to the states of Maharashtra and Goa. The customs and
traditions of Belagavi have been influenced by both the Kannada and Marathi cultures.
Traditional dressing in rural Belagavi is similar to the attires of people in the Maharashtra; the
men wear a turban with a long tailpiece at the rear and a dhoti (a sarong worn in a manner that
allows easier movement) and the women wear saris. Both sexes have a strong preference for
the Kolhapuri chappal, which are handcrafted in the villages near Ugar. However, in the city,
the costumes are very much in tune with modern urban India. The Second World Kannada
Meet 2011 was held in the city on 11- 13 March 2011 (First held at Mysore in the year 1985)
to celebrate and enrich the tradition, culture and progress of the state.

Belagavi is known for its cross-culture food, ranging from the Bombay chaat to Chinese
delicacies. Belagavi is also famous for its "kunda" and "Kalakand". A special sweet called
"Mandige" or "Maande" is a must during weddings. There are many kunda manufacturers in
and around Belagavi. "Purohit Sweets", among others, has a good reputation. In 2006 the
Government of Karnataka decided to hold one week sessions of the Karnataka Legislative
Assembly every year during the winter season. As an outcome of this decision the Suvarna
Vidhana Soudha, an administrative building was constructed and inaugurated in Belagavi in
2012. Since then, Belagavi city has been elevated to the coveted status of being the second
capital of Karnataka State.

3.7 Power loom based weaving

Power loom

A power loom is a mechanized loom, and was one of the key developments in the
industrialization of weaving during the early Industrial Revolution. The first power loom was
designed in 1787 by Edmund Cartwright and first built in 1787. It was refined over the next 47
years until a design by Kenworthy and Bullough made the operation completely automatic.

Type of looms

The power loom industry in the state produces grey fabrics for further processing including
surgical/bandage cloth as well as yarn dyed textile items like saree, lungi, made ups like bed
sheets, furnishings, napkins etc. All the yarn dyed fabrics are being produced by the handlooms
also that have been taken over slowly and gradually by the power loom sector.

Plain loom: Plain loom denotes the loom without any warp or weft stop automatic control
mechanisms. Also, the take off motions may not be present in the loom. However, in such
looms dobby, jacquard or drop box attachment may be present as additional attachments
according to the requirement of the weaver.

Semi automatic loom:

This type of loom is basically the plain loom with additional attachments of automatic
electronic/mechanical warp stop as well as weft stop motions along with positive let off
motions. As in the case of plain looms, the semi automatic loom may have additional
attachment of dobby or jacquard or drop box as the case may be.

Automatic loom: An automatic loom is basically one that has auto pirn changing mechanism
along with all the automatic warp and weft stop motions as well as positive let off motions.

Shuttle less loom: In a shuttle less loom, weft yarn is inserting through the wrap yarn by the
means of projectile, rapier, air jet or water jet. The entire shuttle less loom is called modern
loom. This type of loom has more production capacity than the shuttle loom.

Air jet loom: This loom uses a jet of air to propel the filling yarn strength the shed. It
requires uniform filling yarn. They are suitable for use with medium weight yarns then very
light and very heavy yarn. They consume less power and have much production standard
compared to other types.

Water Jet loom: In this type of loom a pre-measured length of filling yarn is carried across
the loom by a jet of [Link] can produce superior quality of fabrics. This type of loom is suitable
for non absorbent fiber like synthetic fabric which consumes less power.

Rapier loom: These looms are competitors to the missile looms. There are two types of rapier
looms. Long rapier & double rapier long/single rapier that carries the weft across the width
from one side of the loom to another. Double rapier that is one on each side of the loom. One
rapier feeds the filling yarn halfway through the shed of warp yarn to the arm the other side,
which reach in and takes it across the rest of the way. These types of looms are used for
producing fancy fabric which consumes moderate power. The production mechanism is simple
but production cost is high.

Production of Saree

A sari (sometimes also shari or misspelled as saree) is a women's garment from the Indian
subcontinent that consists of an unstitched drape varying from 4.5 to 9 meters (15 to 30 feet)
in length and 600 to 1,200 millimeters (24 to 47 inches) in breadth that is typically wrapped
around the waist, with one end draped over the shoulder, partly baring the midriff. There are
various styles of sari manufacture and draping, the most common being the Nivi style, which
originated in the Deccan region. The sari is worn with a fitted bodice commonly called a choli
(ravike & kuppasa in southern India, and cholo in Nepal) and a petticoat called ghagra, parkar,
or ul-pavadai. In the modern Indian subcontinent, the sari is considered a cultural icon.

Saree is one of the world’s oldest and perhaps the only surviving unstitched garment from the
past [24]. The saree forms the core of history and legacy. Few Indian designers have realized
the impact of this powerful drape and are making efforts to re-establish and reinvent the saree
in their collections [25]. Over the eras, it has become a sensuous, glamorous all-time-wear for
women. It is a fashion trend that has stood the test of time and is still worn by millions of
women worldwide. One cannot underestimate the importance of fashion in shaping the styles
around the saree. There have been several considerations while exploring the origin and
influence of saree.

Firstly, the term saree was used to describe a type of drape, which was later used for varied
styles of draping a fabric. The second consideration relates to the saree aesthetics and the
contemporary style of draping and requires the reader to understand the importance of each
style and recognize its stylish components. The third point is the importance of social context
to understand the saree. The social class determined a women’s choice of draping style. Women
belonging to higher social class experimented with different drapes of saree and fabric
materials, which varied, from expensive silks to good quality cottons. Women of middle or
lower social class wore basic saree of cotton fabric. And last, is the rise in foreign influence in
earlier centuries (5th – 20th) also has concealed the importance of this garment, which brings
to the final point of consideration.

The owners in the small houses consisting of two to three rooms in Belagavi are installing the
power looms to meet the demand by increasing their supply to the market. Initially the most
widely used technique was handloom but this trend is declining as the handlooms are being
replaced with the power looms due to the technological advancement plus the rise in demand.

The raw material (yarn) used in the production of Belagavi Saree is taken or purchased from
local suppliers (specially middlemen ‘Marwadis’) or nearby markets such as Ichalkarnji,
Maharashtra. There are very few power loom owners in the study area who purchase the raw
material independently and produce sarees and sell the same in the market and majority of the
owners are working for middlemen i.e. ‘Marwadis’.

After deciding the fabric, the threads will be selected with the preferred color. The process goes
further with the selection of thread count (it is a unit of textile measurement, used for measuring
the thickness or fineness of fabric) the worker set the number of threads along two sides (up
and across) of the square inch. Higher the thread count, finer the fabric is.

Now the weaving starts; today this process is mostly automated for mass production. In it, two
distinct sets of yarns called the warp and the filling or weft are interlaced with each other to
form a fabric. The lengthwise yarns, which run from the back to the front of the loom, are called
the warp. The crosswise yarns are the filling or weft. A loom is a device for holding the warp
threads in place while the filling threads are woven through them. It is about interlacing of two
sets; warp (taana) and weft (baana), at right angles to produce the cloth. Warp is the base of the
fabric, which is first made by tuning the desired count of reed and then spinning the thread.
Because the warp is held under high tension during the entire process of weaving therefore
warp yarn must be strong. The filling yarns (weft) experience less strain during the weaving
process. Their preparation includes spinning them to the required size and giving them just the
right amount of twist desired for the kind of fabric they will be used. Reed is a comb like
structure with small dents in it from which threads are passing. Larger the gap between the reed
count means the finest is the fabric.

After Warp the next process is making weft. Weft process starts with the selection of thread
then placing these threads on wooden shuttles (bobbin). The process of weft completed when
the design (naqsha) that needs to be on fabric is created on the graph paper in order to control
the size of the motives. Then these designs are re-drawn on these punch cards, the machine
reads the design on the punch card and the weft is weaved according to the design.

Several kannis or little wooden shuttles of different colors are used for a single weft line of the
fabric and for the naqsha weaving. The most popular colors in the making of weft are zard,
sufed, mushki, ferozi, ingari, uda gulnar and kirmiz. The number of threads used in a fabric
can easily be counted with a simple formula that is No. of reed use x Total length of the fabric.

In order to maintain harmony and correlation between motifs, certain geometrical patterns are
common. The most common of them being chevron, checks, straight or diagonal lines, mothra
(a double line containing a simple or running pattern inside) and so forth. The natural forms
are woven in a highly decorative and stylize manner. After assimilating the essence of a pattern,
the designer implements their own interpretation of it. Thus, a leaf can evolve into a flower or
a bird form. Decorative motifs like the leaf, flower, fruits, creeper, etc. are used to maintain the
symmetry of the pattern.

3.8 Belagavi Saree

Mention the name, Belagavi anywhere in India and people would immediately recall the
lingering border row between Karnataka and Maharashtra from the post-Independence days
which remains unresolved leaving a festering sore in ties between the two states. But ask a
textile industrialist in China about Belagavi and he would shine expressive about the Shahpur
saree (Belagavi Saree), the intricate weaves which have left generations enthralled and made
the saree a household name across the world. What makes this industry so amazing is that those
engaged in it, have been able to innovate and adapt to changing technology and designs, making
sure the saree continues to remain a much sought after product anywhere in the world.

Naushad Bijapur, a saree weaver in Belagavi explores the tale of the Shahpur saree and how it
has been able to stand the test of time when many other native wonders have vanished into the
Belagavi has been receiving quite the royal treatment over the last decade with successive
Governments splurging on developing it into the state's unofficial second capital but its success
story does not end with this. In fact, if we ask textile industrialists from China, Turkey,
Bangladesh and their neighbouring countries about Belagavi, chances are they will know little
about the border row and much more about the Shahpur sarees it produces.

Starting from plain weaves, the weavers make 10 kinds of sarees, including what they call a
butta saree, jakor saree, polyster saree, pure silk saree, and cotton saree. The sarees are made
based on orders of dealers and agents, who market them.

According to Mr. Parashuram Dhage, secretary of Belagavi District Power Loom Association,
all these traditional sarees are cost-effective as weavers sell them for Rs 200 to Rs 2,000 a saree
depending upon its quality. The dealers, who spend more on the packaging and display, ask for
more. Although these sarees are produced in Khasbag and Wadgaon, they have come to be
known worldwide as Shahpur sarees because the dealers, who market them, hail from
Shahpur,”

A 100-year-old industry in the city, its weavers located largely in the Khasbag and Wadgaon
regions produce thousands of Shahpur sarees unique in design and like no other variety in the
country that are not only popular in local markets, but also in many Asian countries like Sri
Lanka, Bangladesh, Singapore, Malaysia and China, here they are exported.

Amidst a thousand new clothing designs and fast evolving tastes, the saree will continue to
endure and entice women who know that they can never get over its charming appeal. And so,
will the Shahpur saree, for its stunning hues and twirls are difficult to replicate and few can
pamper the feminine instincts like it does.

Belagavi is famous for many things like Belagavi Kunda, Gokak Kardant (sweet made of
Jaggery and rich dry fruits), Largest Indian flag (361 feet), sugar cane (Sugar Bowl of
Karnataka) and likewise it is very famous for its Power loom industries which produce
beautiful sarees with mind blowing colour and designs popularly known as Belagavi (Shahpur)
sarees in India and other countries also.

The major product of power loom units of Belagavi is saree. The power loom units in Belagavi
produce varieties of sarees ranging from Rs 200 to Rs 2,000 a saree depending on the quality.

Starting from plain weaves, the weavers make various kinds of sarees, including what they call
a butta saree, jakor saree, polyester saree, pure silk saree, and cotton saree. The sarees are made
based on orders of dealers and agents, who market them.
Monthly and Annual Saree Production in Belagavi

As per the information given by Mr. Manjunath Dhage, owner of one of the Belagavi saree
manufacturing unit, on an average 4, 50,000 to 5, 00,000 sarees are manufactured by the power
loom units of Belagavi in one month.

Following is the data related to Production of Sarees in Belagavi:

Table No. 3.12 Year wise Production of Sarees in Belagavi

Year Production of Sarees (in lakhs)

2013 16,27,000

2014 18,44,000

2015 25,40,000

2016 37,95,000

2017 45,60,000

2018 53,56,000

2019 70,00,000

Source: -Primary Data collected by the Researcher

Number of looms engaged in saree production in Belagavi

In Belagavi district there are total of 20,384 power looms are functioning. Out of 10 talukas of
Belagavi districts, sarees are manufactured in 6 talukas. There are 17,100 power looms in those
6 talukas which are used for the production of sarees. Following table give the detail about area
wise looms engaged in saree production in study area.
Table No. 3.13 Area wise number of looms engaged in saree production

Sl. No. Area No. of Power looms

1. Belagavi 12,540

2. Hukkeri 1102

3. Khanapur 08

4. Bailhongal 1453

5. Soudatti 204

6. Ramdurg 1793

Total 17,100

Source: Department of Handlooms and Textiles, Belagavi

The table no. 3.13 reveals that total of 17,100 power looms are engaged in the saree production
in Belagavi district. Majority of the sarees are manufactured in Belagavi area as 73.33% of the
total looms are situated in Belagavi area only. There are 12,540 looms in Belagavi area who
manufacture sarees.

3.9 Challenges in production of Belagavi Saree

Production is the conversion of raw materials into finished goods. In simple terms, production
is the process of transforming a less useful thing into a more useful thing. Transforming clay
into pots and cotton yarn into cloth are examples of production. Therefore, production results
in finished goods.

Marketing here means selling finished goods either to the consumers or to the dealers thereof.
The term industry refers to that part of business activity, which directly concerns itself with
production, through manufacturing, processing and assembling of finished goods. In industry
raw materials are converted into finished products through suitable operations.

Power loom industry comes under the head of manufacturing industry (MSME), which is
concerned with conversion of yarn into cloth. In manufacturing organization, the task of
running the enterprise is subdivided into different departments, such as Finance, Labour,
Administration, Production and Marketing.
Majority of the Saree weavers in Belagavi produce polyester//fancy sarees and some produce
silk saree. These saree weavers are facing varieties of challenges related to production,
marketing, financial, human resource etc.

Among all, the challenges in production and marketing are very much important and play
crucial role in the smooth functioning of the power loom units which are manufacturing
sarees.

The production of sarees in the Belagavi district is facing many challenges such as insufficient
power supply, non-availability of skilled labours, and demand in the increase of salaries by
laours etc. All these obstacles cause low productivity, underutilization of production capacity
and poor quality of sarees. These challenges in production create in turn many challenges in
the marketing of sarees.

The following are some of the major challenges in production faced by the saree manufacturers
are discussed below:

3.9.1 Raw material availability and quality

Inadequate supply and wide fluctuation in prices of raw materials, like yam, dyes and
chemicals, Art silk etc is the chief problem facing the decentralized power loom industry.
Supply of raw materials to the power loan units in Bijapur district is through the local
merchants, who exploit the weavers by creating artificial shortage and other malpractices.
Cottage power loom units in the district are only at the mercy of raw material dealers.

The basic and foremost challenge of saree manufacturers in India is inadequate raw material.
The supply of adequate quantity and suitable quality of raw material at reasonable cost is a
challenge of crucial important for saree weavers in Belagavi because in the production of
sarees, the cost of raw material alone comprises about 80% to 90% in the production of sarees.
The major raw material is yarn.

The power loom units are not able to get the required raw material in the required quantity at
rational price. The prices of raw material always fluctuate and always shows upward trend due
to less supply.

Due to less supply the prices of raw material increase [2] but on the other hand the prices of
final product i.e. sarees do not increase compared to the increase in the prices of raw material.
Increase in the prices of raw material result into under costing of final product i.e. saree which
lead to losses to the saree manufacturers.

Most of the saree manufacturers of Belagavi district approach the local vendors for their raw
material who are so united and create artificial scarcity of raw material and increase the prices
purposely. The saree manufacturers purchase the raw material from the local vendors on credit
basis because of which they should agree to buy at higher prices.

Often, the prices of raw material show increasing trend, on the other hand the prices of final
product i.e. saree show decreasing trend. The saree manufacturers of Belagavi district have no
union to control the prices of raw materials required for them. At the same time the Government
also do not have control on the prices of raw material which result in to increase in the prices
of raw material.

The quality of raw material available with the local vendors is not of that good quality to
compete with the quality of products produced by mill sector products. Disappointment of
suitable supply of quality raw material//yarn at rational/reasonable price is the regular
challenge for the saree weavers.

Non-availability of raw material/yarn [3][4] [6[on time and the poor quality of raw
material//yarn together have an adverse effect on the production and lead to under-utilization
of existing production capacity by saree weavers in the study area, specially by the smaller
power loom units. The scarcity of required quality raw material/yarn leads to unused capacity
of production, low production, inability of demand and ultimately losing the orders/customers.

Raw material importing has become so costly due to appreciation in the value of US Dollar
against domestic currency. The Governments of raw material (yarn) exporting countries are
imposing higher rate of tariffs due to which the prices of raw material is increasing and resulted
in the higher production cost.

The fluctuating prices of raw materials [10] are one of the biggest headaches for the saree
weavers as it is leading to increase in the cost of production of sarees. At the same time there
is no much increase in the selling price of final product as they cannot compete with branded
sarees. Because of this saree weavers are facing financial problems.

It is found during the survey that the saree weavers of Belagavi district are facing several issues
or problems related availability of raw material and its quality. Following are the issues or
problems faced by the saree weaves in the study area:
 i. Non-availability
ii. Frequent price variation
iii. Government regulations
iv. Inferior quality
v. Irregular supply
vi. Poor transportation

3.9.2 Incompetent Production infrastructure

The production infrastructure of power loom units who manufacture sarees is very poor in the
study area. The working conditions so poor that it is affecting the productivity of the units and
health of the workers who are working in the power loom units. Infrastructural and
technological issues [5] are very crucial in power loom industry as they influence the business
activities the most.

The production premises of power loom units are lacking basic infrastructure facilities such as
ventilation for lights, exhaust fans for to exclude dust and fumes. There is no regular cleaning,
basic hygienic facilities and health and safety measures in the premises.

Few of the power loom units are not connected by good roads because of which they are facing
the transportation problems.

Most of the power loom units depend upon the old and outdated technology [7] [8] and
equipments. In Belagavi district, most of the saree weavers are having old plane looms. The
speed and productivity of these old plane looms is too lower when we compare it with modern
looms such as shuttle less, automatic or semi-automatic looms.

The saree weavers in the study area are working with too old looms which are outdated long
back. Due to use of old looms they are unable to produce quality products. Those old looms
are consuming more time and wastage is more as compared to modern looms. At the same time
the productivity of old looms is too less compared to modern shuttle less, automatic or semi-
automatic looms because of which saree weavers in the study area are unable to fulfill their
orders on time and losing the orders sometime.

Saree weavers can able to produce 1—2 saree/s a day by plane looms, on the other hand it’s
possible to produce 3—4 sarees by using automatic or shuttle less looms. (The weavers can
produce 80 meters of cloth/saree per day by using plane looms whereas they can produce 500
meters of cloth/saree per day by using automatic looms and shuttle less looms can produce 800
meters of cloth/saree per day)

A large number of power looms in the Belagavi district are housed in small tin sheds with
improper ventilation or limiting. It was observed during survey that working conditions of the
power loom industry in the district in general are very deplorable.

Unsatisfactory working conditions within the loom shed will have a direct bearing on
production. Power loom owners do not provide even basic amenities like proper ventilation,
urinals, clean drinking water, medical aid, etc. It was reported by the workers, during field
study, that except drinking water no other facilities are provided. Workers are required to work
under unhygienic conditions which entail physical hazards and industrial diseases.

Shall power loom units in the district are not in a position to provide satisfactory working
condition because of poor capital base. So, weavers have to work in absolutely unhygienic
conditions. Throughout the district all weavers are working in more or less similar conditions.

In the Belagavi district power loom weavers are facing with the following issues related to
production infrastructure;

i. Inadequate water supply

ii. Inadequate air
iii. Inadequate space
iv. Inadequate lighting
v. Dust and allergy
3.9.3 Lack of innovative designing and designers

In today’s stiff competition, innovation is must. Customers demand new things new designs
new innovations all the time. Innovation is one of the competitive advantages for any business.

The saree weavers of the study area are lacking innovative designs [9][18] in sarees due to
which they are losing the market demand. They are using traditional designs which make their
product less attractive as compared to products of mill sector who are coming up with new
designs all the time and trying to satisfy the needs of the customers.

The saree weavers are not using any modern technology such as CAD and CAM [11] for the
saree designing due to which no innovative designs from them which leads to rejection from
the customers.

Most of the time they are relying on old designs. Only few of the manufacturers are trying to
create new designs in the study area and there is positive response from the market for those
designs.

Majority of the saree weavers in the study area are working for ‘Marwadi’ people who provide
raw material and design, according to which they have to produce the sarees. This is also
important reason for lacking in innovative saree designs.

With the rapid changes in the market, customer tastes, customer preferences and environment
as a whole, it’s suggested to change in the saree designs to survive in the market.

Following are the issues or problems faced by the saree weavers of the Belagavi district with
regard to innovative designs and designers:

i. Less knowledge about new designs

ii. Less awareness about new technology used for creating new designs
iii. Lack of new ideas and R & D
iv. Lack of expert and innovative designers
3.9.4 Availability of Skilled Labour

Labour is the key element in production. Labour unrest and inadequacy of labour force causes
low productivity and under-utilization of capacity of plants. Therefore, every industry should
avoid labour problems to the extent possible. Skilled and unskilled, trained and untrained men,
women and children are needed at various stages of the production of power loom products. It
has been by and large observed that small power loan units have fewer industrial disputes and
other labour problems. This is mainly because power looms provide employment opportunities
to the excess labour within the family and therefore, the question of employing outside labour
does not arise. However, whenever outside labour is employed there is a tendency among the
loam owners to keep the number of such employees as low as possible. Smaller units face fewer
labour problems compared to the medium and big units. It is noticed by the researcher during
the field survey that the email units generally employ members of their own family to work on
the looms and in other activities. All the members of the family are involved in one or the other
pre-weaving and post-weaving activity. Outside labour is employed to the barest minimum.
This is to avoid labour problems.

But getting adequate labour becomes more difficult as the number of looms in a unit increase.
The problem really become more serious in the case of units with more than 10 looms. Such
units have necessarily to employ outside labour for production, because the family will not
have enough members to work on the looms. The overall picture shows that more than 2/3 of
the units face the problem of inadequacy of labour.

Labour is the most important element in the power loom industry. But today, thousands of
power loom units in India are facing extreme shortage of skilled man power [12]. Same
scenario we can see with respect to the power looms in the study area. The scarcity of skilled
labours causes low productivity and underutilization of production capacity in the plant.

It is observed during the survey that the small power loom units are employing their family
members for the production as the number of looms will be very less. But the other saree
manufacturers who have a greater number of looms are facing difficulty in getting skilled
labours on time as family members are not sufficient for the production work. The overall
scenario shows that 2/3rd of the saree manufacturers are facing the challenge of skilled labours
availability.

The major causes for scarcity of skilled labours are:

1. Migration of workers
2. Lack of interest and willingness among the younger generation to work in power loom
units
3. Lack of proper training
4. Others

As there is a demand and supply gap in skilled labours, workers/labours in the saree
manufacturing units are in a strong bargaining position. They demand for increase in the salary
and in some units, workers demand for advance amount to work on the looms along with
increased salary. The advances taken by the labours will not be refunded until he/she is
working with the unit and there are many instances of refusal of refund of advance amount
taken from the owner. Due to such things saree manufacturing owners are suffering.

Saree weavers in the study are facing the following serious issues or problems related to skilled
labours:

i. Lack of skilled labour

ii. Lack of punctuality of labours
iii. High wage demand
iv. Absenteeism
v. Non-availability of experienced labours

Rise in the wages of labours lead to increase in the cost of production of sarees and fall in the
profit margin to the owners.

3.9.5 Inadequate Power and Water supply and costs

Power is the life-blood of the power loom industry, because, working of the loam depends fully
on electricity or other kinds of energy. Though power generation 1ms increased manifold, it is
still below the actual requirement. Thus, there has always been a demand-supply gap. Many
parts of the country, including Karnataka, are experiencing serious shortage of power which in
turn affects the regular production programme, causing under-utilization of capacity. Power
position in the Karnataka state is deteriorating due to heavy load shedding.

Power is must for the functioning of power looms as they run on power. Majority of the power
loom cluster areas of the country are facing the challenge of low electricity supply [13][18],
irregular supply of power due to which power loom owners are unable to run their businesses
smoothly. Due to shortage of power they are not able to meet the production target and they
are losing the orders. Due to low supply of power weavers are not utilizing their production
capacity fully and labors are also sitting idle. They are experiencing frequent interruption in
power supply [14] which is biggest headache for them as they are unable to utilize the
production capacity and labors.

The cost of electricity is increasing every year. Government is giving subsidy for which power
loom owners need to submit many documents and the procedure is lengthy, time consuming
and hectic.

The power looms in the study area are facing problems of high rate of electricity and shortage
of electricity. The rate of the electricity (power) is high for the power loom industries apart
from that there is load shading of electricity daily in the study area.

Besides the budget, occasionally the electricity charges are increased two or three times in a
year and it are intolerable for power loom owners. Due to the increase in the cost of production
of cloth the industry suffered huge losses.

Short-fall in the supply of power is causing great hardship to power loom weavers in Belagavi
district. Utilization of the capacity of power looms has been hit hard. Persistent power shortage
has become a regular problem in Karnataka. Power problem is turning more acute so normal
working of small power loom units in the district is hit hard by the unscheduled and frequent
power dislocations, coupled with heavy drops in voltage, leading to production problems.

Not only is the supply of power inadequate, but it is also irregular. The textile industry,
especially the decentralized power loom sector, faces the problem of irregular supply at almost
prohibitive cost. Erratic power supply has retarded the growth of the power loom industry in
Belagavi district. In Belagavi district power loan weavers are accustomed to work only during
day shifts. If power is not available during day time then the loom has to remain idle for the
whole day. Supply becomes more erratic during the summer season especially from January to
May. But during the same period, itself there will be brisk business on account of the marriage
season. Thus, the situation is one where goods cannot be produced, when there is good demand
and power loan operators thus fail to meet the demand for the products. So, the power loom
owners have suffered heavy losses on account of low production caused by erratic power
simply. Frequent failure of power has caused lower production by power loans, which in turn
has affected regular supply of finished goods to the internal market. Irregular supply of power
loom products has driven the merchants to choose alternative source of supply i.e., mill sector.
Thus, the mill sector had, snatched away the market because of unreliable supply by power
loom units in Belagavi district. So, with a view to enabling the power loom sector to meet the
delivery schedule for the local market the Government should ensure uninterrupted power
supply. It was also reported that sometimes orders placed for sarees are cancelled because of
non fulfillment of orders within the stipulated time.

3.9.6 High Maintenance costs

Power loom owners in the study area are working with more than 10-15 years old plain looms
which are obsolete and outdated. During survey, it was found that majority of the power loom
owners are having old plain looms only. These old and outdated looms create bottlenecks in
production of sarees as they breakdown very frequently. Due to this problem, power loom
owners are not able to meet their production target and not able to maintain the quality of the
product.

These old looms incur higher repair and maintenance cost as they are outdated and obsolete.
Spare parts are also not available as the manufacturers have stopped producing these kinds of
looms long back.

All the machineries in the decentralized sector are of old-vintage, and coupled with lack of
awareness among the weavers about machine maintenance. This has forced power loom units
in Belagavi district to produce oily a low quality product-mix. Obsolete status of the
machineries has acted as an impediment to product diversification into a product mix of super
fine counts and fabrics of synthetic yam.

The loans being old, production of superior varieties of sarees and other dress materials cannot
be thought of. Looms are suitable for production of low (Coarse) and medium count varieties.
Therefore, there is not enough scope for producing other varieties to meet ever-changing tastes
and fashions of the consumers. Hence invariably only polyester sarees are produced. They have
been deprived of the improvement in weaving technology. They cannot go in for modem and
most sophisticated textile machinery because of high cost. But this vital aspect of the
production problem can be solved by changing traditional looms to advanced type of loans-
automatic and shuttle less looms. This is possible if the Government advances credit on soft
trams for modernization of power loom units. Very recently the Government has announced
financial assistance for modernization of power looms through NABARD, SFCS and
commercial banks, etc. Let us hope that the policy of the Government will be implemented in
the right spirit by financial institutions.
In reality, the power loom units of the study are facing the issues related to high maintenance
cost due to the following reasons:

i. Old and outdated looms

ii. Frequent breakdown and repair
iii. Non-availability of spare parts
iv. Non-availability of technical experts
v. Lack of technical know how

3.10 Challenges in marketing of Belagavi Sarees

Kotler, in the year 1999, defined “marketing is social and managerial process by which
individuals and groups obtain what they want and need through creating and exchanging
products and value with others”.

Peter Drucker, described marketing as “marketing is not only much broader than selling; it is
not a specialized activity at all. It encompasses the entire business. It is the whole business seen
from the point view of its final result, that is, from the customer point of view”.

Production has no value and meaning unless and until the final goods reach the ultimate
consumers within time frame. The effective and efficient marketing and innovations are the
two master keys of success in any business.

Marketing is one of the major challenges for Belagavi Sarees due to changing market
environment like globalization, industrialization and mechanization. The major challenges are
listed below:

3.10.1 Lack of awareness about marketing networking

Marketing networking is a distribution network which is very much necessary for building the
business. Marketing network is very much essential for any business unit for circulation of
their products in the market i.e. to ultimate consumer.

In the study area it is found that there is no marketing network as such for the sale of the final
product as the final product i.e. sarees are sold to middlemen specially ‘Marwadis’.

The saree weavers are not aware about the marketing network as they are not in direct contact
with the consumer. They are not conducting market survey also as such due to which they are
not aware about the market and customers.
Due to lack of awareness about marketing network the saree weavers are not able to earn
sufficient profit on their products as they are selling the product to middlemen. They don’t have
any strong bargaining power in the market as middlemen are more dominant. Even some
incidents are seen in the study area where small saree weavers take the raw material from the
middlemen and weave the saree as per their (middlemen) specification and give it back to them
only and they get weaving charges per saree.

The Power looms Units of Belagavi district generally do not undertake promotional
programmes like advertisement, market research, branding, packing etc. The main reasons for
this are lack of finance, small scale production and less educated customers residing in rural
and semi-rural areas, high costs of promotional activities, lack of knowledge etc. Especially
the small units, with 1-4 loans, cannot afford to spend money on such sales promotional
activities. Big units in the district are also not serious about promotional programmes. They are
not using any modem techniques of Marketing. This is also a reason for the contracting demand
for power loom products.

In this regard, the power loom units of the study are facing the following issues which are
significant in the marketing of Belagavi sarees:

i. Non-existence of brand
ii. Lack of awareness of branding
iii. Absence of advertisement
iv. Poor marketing system and policies

3.10.2 Non-existent marketing channels

There is no Marketing organization for the power loom sector. The power loom industry of
Belagavi district consists of a large number of small units, which cannot afford to have their
own Marketing organization. So, the lack of organizational set up has been causing great
hardship to the power loom units in marketing their products. Therefore, a large number of
wholesalers and retailers are operating in between the producer and the final consumer. These
middlemen play a lot of mischief and pay very little to the workers, retaining a large portion of
profit for themselves. Because of absence of marketing organization, the power loom owners
especially of the smaller units, are not able to take advantage of the favorable situation in the
market. Stiff competition offered by well organized mills is causing continuous decrease in
demand and posed the threat of loss of market permanently.
In Belagavi power loom weavers produce mainly sarees along with other products. They
mainly concentrate on saree because they are doing the same work since their ancestral period
as they are well known about the saree and very convenient to them.

In Belagavi there are no such marketing channels [17] existed for the sale of sarees directly
to consumers. The saree manufacturers sell their sarees to middlemen or commission agents
specially ‘Marwadis’. There is no direct contact between the manufacturer and the final
consumers for the sales transaction.

Marketing channels are not existed in the study area as the saree weavers produce and sell the
sarees to the middlemen i.e. ‘Marwadis’. Because of this, middlemen are exploiting the saree
weavers. Saree weavers are not getting appropriate/rational price for their product i.e. saree.

Power loom saree weavers of Belagavi district are facing with varieties of problems with regard
to marketing channels. Some of them are listed below which are more significant for the
marketing of sarees in the study area:

i. Existence of middlemen
ii. Absence of marketing system
iii. Lack of marketing knowledge
iv. Lack of Government support
v. Lack of power loom union/cluster
3.10.3 Diminishing demand for sarees [18]

With the passage of time the power loom sarees once in great demand by ladies residing in
rural and semi rural areas, are now losing ground because of many factors viz., competition
from better substitutes, continuous change in taste and fashion of the consumers, lack of
marketing organization rising cost of production etc. Such a continuing decrease in demand
has been the major cause for sickness and closure of many small and medium sized units
throughout the district. The number of active loams has come down sharply.

Sarees in India have been worn since long period of time. In recent days, the preference is
changing due to the influence of other cultures. The saree is very popular in south and west and
less popular in other parts of the country.

In India the demand for sarees is decreasing in recent days because of change in the lifestyle
of the individuals. Today’s youth has craze about the western culture and so they are interested
to wear western dresses rather than the traditional saree. Indian girls are more interested to wear
ladies’ suit as it is trend. They are not interested to wear saree for the office. It’s all because we
accept the other culture in short period of time and promote the same.

Currently saree will be in demand only during the marriage season and festival season. The
demand for the saree has decreased only in metro cities because of changing preferences, life
style and may be due to change in the role of women as they are working in offices along with
managing family.

Indian women may be interested to wear varieties of outfits but nothing can be replacing the
saree as it is not just attire but it is the soul of Indian women. The decrease in the demand for
the saree is just is temporary which can be changed.

Domestic sarees in India are facing tuff competition from imported sarees and major brands
such as Manyavar-Mohey, Meena Bazar Odhni etc which are dominating the ethnic wear
industry in India.

Open market policy practice of the Government has opened the country to Indian sarees. Indian
sarees for their cheaper prices, varied designs & availability usually attract more local buyers.
So gradually the sale is declining.
These imported and branded wearing stuffs are more attractive as compared to local/domestic
sarees. These sarees are good looking as they have latest designs with modern art of
embroidery. The quality of imported and branded sarees is far superior compared to domestic
sarees as they use latest technology to manufacture the sarees.

In the study area the power loom saree weavers are facing various problems related to demand
for the sarees such as:

i. Old designs
ii. Influence of foreign culture
iii. Cost
iv. Changing life style
v. New quality

3.10.4 Changing Government Policies [19]

Government policies play very crucial role in the growth of any business and power loom is
not an exception for this. The Government has reserved most of the products for the handloom
sector but no such reservation for the power loom sector. This policy of Government creates
the biggest challenge for the sector and made the sector exposed to the severe competition.

There is no control of the Government on the prices of the raw material (yarn) due to which
power loom business owners are incurring loss as the raw material suppliers are exploiting the
small units.

Recently, the Government has imposed GST on power loom products. Presently the GST on
yarn is 12% and 5% GST is there on trading and power loom. This policy of Government has
posed the challenge for the saree weavers of the study area as it increases the cost of production.

Saree weavers of power loom sector are facing stiff competition from the mill sector as there
are no reservations for the saree weavers like handloom products. Some of the Government’s
policies/schemes are not known to the saree waivers in the study area as majority of the owners
are illiterate or less literate. They are not aware of the Government schemes/policies and even
they don’t know the procedure of applying for the schemes. They are not aware about the
benefits of any Government schemes. They even don’t know how to take advantage of
Government policies.

The power loom weavers are generally ignorant about the various schemes implemented for
their welfare. In addition to this, many Government departments and executing agencies also
experience inadequate awareness and knowledge, making policy formulation unproductive
because of no implementation. The formulation of policy and schemes in isolation will not be
able to boost growth, until the understanding of the weavers regarding these initiatives is not
strengthened.

The saree weavers in the study area are facing with the following issues or problems regard to
changing Government policies:

i. Delay in sanctioning of loan

ii. Lack of physical infrastructure

iii. Lack of Government schemes

iv. Lack of development of Co-operative societies

v. Lack of subsidies

3.10.5 Huge competition from Imports and Branded sarees

Belagavi sarees fail to survive against imported and branded sarees because of huge
competition in the domestic market. The domestic saree manufacturers are facing stiff global
challenge as the sector is open to global market.

Belagavi saree weavers are not able to compete with imported and branded sarees in the market
with respect to quality, trending designs, verities, combinations, price, technology and many
more aspects. The main drawback of Belagavi saree is non-existence of brand due to which the
weavers are facing huge competition from imported and branded sarees and facing
sustainability and survival problem.

Another drawback of domestic saree weaver is that competitors are imitating the products and
designs as the power loom owners do not have any copy right on their product or designs. It is
the biggest headaches for all the saree weavers as they have do not have any registered brand
for their sarees.

The power loom units of Belagavi district are facing cut-throat competition from the mills. The
competition is multifaceted viz. price, quality and design. Traditional and less attractive power
loom products, especially sarees, are unable to meet the competition offered by sophisticated
superior quality, good looking mill fabrics with attractive and guaranteed finish. Hence, the
power loom industry of Belagavi district has felt a serious set-back. The competition especially
from imports and branded saree has caused a great set-back to the demand for power loom
products. The demand is shrinking day by day with the continuing change in fashion and taste
of ladies.

Belagavi saree weavers are facing the issues related to huge competition from imports and
branded sarees in terms of quality, price, designs, varieties etc against imports and branded
sarees in the market.

Conclusion

This power loom sector generates various employment opportunities. Further, the industry
contributes a lot of revenues to the government and uplifts the economic condition of weavers.
Weavers are the main pillars of textile industry particularly in the power loom sectors. The
power loom industry is a weaving sector and an important segment of the decentralized cotton
textile industry in India. The role of power looms in the India is very important as it gives
different types of cotton textiles. As compared to other countries, the power loom sector has
been increasing at a faster rate in India. Various new small scale enterprises have been set up
by the quantitative and qualitative growth of power loom sector in India.