In recent news, the Ministry of Micro, Small and Medium Enterprises (MSMEs) green-lighted a programme to benefit artisans involved in Agarbatti manufacturing. This project is under the Gramodyog Vikas Yojana, aimed at nurturing and promoting the development of village industries.
About the Programme
The initiative consists of four pilot projects initially, including one placed strategically in the northeastern region of the country. The Khadi and Village Industries Commission (KVIC), established under the Khadi And Village Industries Commission Act of 1956, will spearhead this programme. As a statutory body within the MSME Ministry, KVIC’s role includes planning, promoting, organising, and implementing programmes for Khadi and other village industry development in rural areas.
In collaboration with Agarbatti manufacturing machines, the KVIC will offer training, assistance, work, and raw material to the artisans working in this particular sector.
Benefits of the Programme
Placing a strong emphasis on the revival of Agarbatti manufacturing in villages and small towns, this initiative hopes to generate sustainable employment opportunities. It also aims to boost wages for traditional Artisans and bridge the gap between indigenous production and demand.
Furthermore, it seeks to reduce the import of Agarbatti into the country by fostering and promoting indigenous production. Prior to this, the Indian Government had moved the Agarbatti item from “Free” trade to “Restricted” trade in the import policy. Moreover, it increased the import duty on “round bamboo sticks” used in Agarbatti manufacturing from 10% to 25%.
About Gramodyog Vikas Yojana
The Gramodyog Vikas Yojana is a part of the larger Khadi Gramodyog Vikas Yojana. Its primary objective is to promote and develop village industries via common facilities, training, and technological modernisation.
Components of Gramodyog Vikas Yojana
The Gramodyog Vikas Yojana consists of the following components:
1. Research & Development and Product Innovation: This part supports institutions that plan to carry out product development, new innovations, design development, and product diversification processes.
2. Activities of existing dedicated verticals of Village Industries: These include the Agro Based & Food Processing Industry, Mineral Based Industry, Handmade Paper, Leather & Plastic Industry, among others.
3. Capacity Building: This segment focuses on human resource development and skill training. It includes building the capacity of staff and artisans.
4. Marketing & Publicity: The initiative aims to provide market support to village institutions through the preparation of product catalogues, industry directories, market research, and new marketing techniques. Other strategies involve organising buyer-seller meets and exhibitions.