BACK

DEVELOPMENT OF EXPORTABLE PRODUCTS AND THEIR MARKETING SCHEME (DEPM).

1.      PREAMBLE 

 The Office of the Development Commissioner for Handlooms has been implementing the "Development of Exportable Products and their Marketing Scheme (DEPM),"since 1996-97 with a view to impart assistance to the handloom agencies for building up, development and marketing of exportable handloom products. Assistance under the Scheme is extended to handloom agencies like Handloom Apex /Primary Societies, Handloom Corporations, ACASH, AIHFMCS, CCIC, HHEC, HEPC and Handloom Exporters sponsored by the HEPC etc. The Scheme gained steady momentum in the last few years and with it considerable experience was also gained and scheme was modified accordingly from time to time. The Scheme consists of three parts. While Part I covers Development of Exportable products, Part II and Part III covers Publicity & Marketing of Handloom Products developed under Projects covered by the DEPM Scheme.   

2. ELIGIBILITY

The financial assistance under the scheme is extended to the National and State Level Handloom Corporations, Apex Cooperative Societies, Primary Weavers Cooperative Societies and to Handloom Cooperative Societies affiliated to/registered with and sponsored by councils/corporations like Handloom Export Promotion Council, Association of Corporations and Apex Societies of Handlooms, Handicrafts and Handlooms Export Corporations, Indian Silk Export Promotion Council, National Handloom Development Corporation etc., Private Handloom Exporters shall be assisted through HEPC.   

3. OBJECTIVES 

* Identification of a suitable handloom concentration for development of exportable products.   

* Up-gradation of skill and design capabilities of weavers to weave exportable products.   

* Introduction of design intervention to suit specific markets abroad by appointment of qualified designers.   

* Modification of Looms and Product development and diversification to suit export markets.   

* Publicity through media abroad to generate exports.   

* Marketing through participation in International Exhibitions, Buyer Seller Meets and other events sponsored or approved by the Office of the D.C. Handlooms.   

* Improve quality through designs, better weaves and packaging. 

 

4. DETAILS OF COMPONENTS COVERED UNDER THE SCHEME:

PART - I

 

I. PRODUCT DEVELOPMENT

a) Selection of handloom concentration area(s) :-

The selection of area shall be made based on its potential to produce exportable varieties.   

b) Selection of Designers:  

Selection of Designer(s) by the Implementing agency shall be done in consultation/approval of the Selection Committee mentioned herein after under the Scheme. Depending upon the capability of each production centre, a range of products and fabrics shall be identified for further development. Such identification shall be done by conducting a workshop which shall commensurate with the up country market/exhibition to be participated etc. The designer(s) shall, therefore, be responsible for Organisation of designers Workshop, development of the paper designs suitable for export market, conversion of paper designs into fabrics through sample production on looms etc.  

A Pilot Demonstration Centre may be set up, if required, consisting about 5-10 looms for the purpose of developing Exportable samples. Onetime lump-sum assistance shall be provided to cover the cost of looms, raw materials, training, loss of wages etc. Running the Centre thereafter continuously will be the responsibility of the implementing agency. Endeavour of the implementing agency should be to associate HEPC and WSCs, as far as possible, for the purpose of running the Centre.   

c) Training of weavers :

It may be necessary to train weavers in the changes that may be required on the looms for the development/production of identified products. Assistance of concerned WSCs may be utilised for training of weavers and all expenditure involved on imparting such training booked to the project account.   

d) Looms and accessories :

The requirement of Looms and accessories for each weavers concentration area shall be worked out carefully according to the need and supplied to the weavers to enable not only development of samples but for continuous production of exportable variety of handloom products.   

e) Packaging :

In order to minimize damage of exportable products, improve marketability, Consultancy services of reputed/recognized institutes in the field of packaging may be utilized.  

f) Quality Control and Documentation :

For production of approved samples, quality control measures and practice shall have to be introduced to ensure that the production on a large scale is in conformity of the samples approved. 

Various aspects of quality control and data relating to fabrics and products will have to be fully documented and quality control manual prepared in consultation with the HEPC or any other appropriate technical agency.   

g) Training of Managers :

Production/Marketing Managers should be sent on training for six months in an export house of repute/recognized Institute. Preference may be given for short-term course on Export Management.   

PART-II

II. PUBLICITY & MARKETING  

a) The implementing agency shall be required to identify the export market and publicise their products through participation in international fair(s)/exhibition(s), Buyers-Sellers Meet(s), Display in Departmental Stores of repute etc. 

b) Assistance will be provided for publicity through newspapers, periodicals, journals directories etc. or through such media as may be considered useful in dissemination of the information; as well as for conducting market surveys and studies to determine export potential or various handloom products in various countries;   

c) Any other matter/event that may be considered useful in promotion and development of export market or to provide relevant support services to gear up handloom exports. 

PART-III 

III. FOLLOW UP STRATEGIES

Eligible components under Part-III for which assistance can be availed shall consist of:   

i) Conducting of Market Survey(s) for determining export potential of handloom products.   

ii) Quality Control to suit International Certification and dispatch of samples. 

iii) Setting up of value addition units (Stitching Units, Garment Units, Embroidery Units etc.) 

iv) Follow up of Publicity.   

5. FUNDING PATTERN :-

Part                    GOI        %age           State/Agency             %age

 

                         

Part - I-Product Development          9.75         75%           3.25                            25% 

         (Rs.in Lakhs)                (Rs.in Lakhs)

 a) Design & Product                                                  

diversification 

 b) Modification of Looms                 2.625                          0.875 

and skill upgradation  of weavers   

c) Development of Samples and 

Packaging                           5.625                          1.875 

(Rs.17.50 Lakhs)                              (Rs.6.00Lakhs) 

Part-II- Publicity & Marketing                        75%                                                   25% 

(Rs.11.25 Lakhs)      (Rs.3.75 Lakhs)

Part-III- Follow up Strategies                        60%                                                    40% 

Quality Control, Market 

Survey and setting up of 

value addition units                           (Rs.15.00 Lakhs)      (Rs.10.00 Lakhs)

However in the case of participation by National Level Handloom

agencies in the events approved by Office of D.C. Handlooms, funding up to 100% may be considered.   

6. GENERAL:  

a) Submission of Claims/Proposals: 

Proposals will be submitted by the Implementing Agency to the Office of D.C. Handlooms through the concerned State Director in charge of Handlooms (only in the case of State Handloom Agencies) along with the recommendation of the State Level Implementation Committee comprising the following:   

i. State Secretary in-charge of Handlooms; 

ii. State Director in-charge of Handlooms; 

iii. Officer in-charge of the concerned Weavers Service Centre; 

iv. MD/Secretary/President of the Implementing agency, 

v. Representative(s) from leading Export House (to be nominated by State Government).   

b) Focus of the project should essentially be on weavers having a latent potential of producing exportable handloom items. Efforts would have to be made to train such weavers to produce quality items for the export market. The emphasis would be to diversify the product range to suit the market requirements. Over riding preference may be given to such areas that have potential but not considered hitherto before. 

c) The handloom agencies seeking assistance under the Scheme shall be required to furnish detailed project alongwith component-wise information in the proforma at Anexure-I .  

7. Role of Women Weavers

Special attention shall be paid to involvement of women weavers at all stages of the project. Attempts should be made to ensure that at least 50% of the persons involved in pre-loom, weaving and post-loom activities are women.   

8. Monitoring

In order to assess the progress of the projects sanctioned under the DEPM Scheme, it shall be essential for the Implementing Agencies to submit a quarterly report consisting the following details within the first week succeeding every quarter: 

i. Name of the implementing agency: 

ii. Location of the project: 

iii. Products covered under the Scheme for diversification: 

iv. Name of the designers appointed: 

v. Number of designs supplied and number of samples developed: 

vi. Looms modified and weavers trained: 

vii. Number of exhibitions participated/likely to be participated (with venue and dates) : 

viii. Enquiries generated at the exhibitions in terms of quantity and value in rupee/dollar term. 

ix. Orders already executed and in hand in terms of value and quantity (separately): 

x. Level of increase in exports (both in terms of percentage and value)/present turnover. 

xi. Expenditure incurred. 

xii. Utilisation Certificate. 

 

9. RELEASE OF FUNDS  

a) 50% of the assistance available under the sanctioned parts as advance.   

b) Up to 40% of the sanctioned amount depending upon the progress of the projects and on the authorisation of the concerned State Director in charge of Handlooms.   

c) Balance on submission of Utilisation Certificate duly certified by the MD/Secretary/President of the Implementing Agency, a qualified Chartered Accountant and countersigned by the State Director in charge of Handlooms alongwith an evaluation report on the project.   

10. LINKAGES WITH WSC, HEPC AND NIFT  

As it is felt that many of the implementing agencies are not equipped with the export market trend/fashion trends abroad, it shall be advisable for such agencies to get a feedback on specific market trends from local NIFT, HEPC preferably while formulating the project but essentially while implementing the Part-II and III of the project. 

Besides the efforts made by the designer in development of designs, samples etc., it shall also be essential for the agencies to supplement it with the designs available with National Designs Centres, New Delhi (NDC), WSCs and NIFT. 

The concerned WSCs would visit the implementing agencies every two months to:   

i. Ensure transfer of design of the designer on products. 

ii. Assist in modification of looms. 

iii. Impart training for skill up-gradation. 

 

PROFORMA for submission of Projects

1. Name, Address and registration No. 

of the Implementing Agency: 

2. Management (Elected date ): 

3. No. of Looms and Weavers 

Existing: 

Proposed to be covered: 

4. Annual Turnover of the Last Three Years: 

5. Profit/Loss for the last Three Years: 

(Enclose audited Statement) 

6. Export Turnover: 

Present: 

Anticipated: 

7. Target Market: 

8. Products to be developed: 

9. Location of the project: 

10. No. of Looms required to be modified: 

11. No. of Weavers required to be trained: 

12. No. of Paper designs to be developed: 

( indicate the no. of colour-ways also) 

13. No. of Samples to be developed: 

14. Range of Products to be developed: 

15. Exhibitions/BSMs proposed to be participated: 

16. Duration of the project: 

17. Component-wise time frame: 

18. Benefits likely to accrue to the weavers: 

19. Financial implications: 

20. Evaluation of the DEPM Scheme implemented by the agency earlier, if any: ( State in brief the activities/events organised, export orders generated, accrual of socio economic benefit to the targeted weavers) 

Countersigned                                                                                               Signed 

(Director in-charge of Handlooms)                                                                         MD/Secretary/ED of the 

Implementing Agency   

MARKETING PROMOTION PROGRAMME

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_main.pdf" _Scheme for Marketing Promotion Programme under Tenth Five Year_

Overall View 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app1.pdf" _APPENDIX-I (National Handloom Expo)_

Detailed guidelines showing position of financial releases and prescribed Proforma for  final report 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app2.pdf" _APPENDIX-II (Special Handloom Expo)_

Detailed guidelines showing position of financial releases and prescribed Proforma for  final report 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app3.pdf" _APPENDIX-III (Districe Level Events)_

Detailed guidelines showing position of financial releases and prescribed Proforma for  final report 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app4.pdf" _APPENDIX-IV (Craft Melas)_

Detailed guidelines showing position of financial releases and procedure for selection of weavers 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app5.pdf" _APPENDIX- V  ( Urban Haat)_

Detailed guidelines showing position of financial releases 

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app6.pdf" _APPENDIX-VI ('National Award to Handloom Weavers`)_

Detailed guidelines showing position of financial releases  and prescribed Proforma for  final report

_ HYPERLINK "http://handlooms.nic.in/hl_sch_mpp_app7.pdf" _APPENDIX- VII  (Publicity & Exhibitions)_

Evaluation of the component on Publicity & Exhibitions being implemented by the O/o DC(Handlooms)