Khadi’s new spin

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Patrons of Khadi were in for a shock recently after reading that the Ministry of Micro, Small and Medium Enterprises is planning to shut down eight Khadi Udyog Bhavan stores across India as poor annual turnover is notching up losses for these stores. A Khadi patron and media professional, Madhushree, was so disappointed on hearing the news that she called up the Khadi Udyog Bhavan in the capital (one of the eight stores listed for closing down) to check on their plans. “The news was really disheartening, but I was relieved when the person at the store told me that there are no such plans. I’ve been a regular at the capital’s Khadi Gram Udyog and know many who swear their allegiance to it,” she says.
Nathu Lal, the Delhi store manager, says the news was incorrect and clarifies, “We have a strong customer base and the store is not running at a loss. And it’s not only about customers, there are so many people who earn their livelihood from it. How can it be shut down?”
Interestingly, the Khadi Gram Udyog venture has seen a profit of eight percent per annum, according to a senior official from the ministry. The official says that the venture is so profitable that they are looking for newer, innovative measures to increase the revenues. “Looking at the popularity that Khadi has gained in the last few years, we have plans to expand the business horizon. Probably six months down the line, we would be ready for a PPP (Public Private Partnership) project for a higher turnover,” says the official, adding that every possible measure is being taken to spruce up the Khadi industry.
“Plans are in place for bigger investments in modern equipments and developing the village industries. Since artisans are the major workforce of the Khadi industry, we are planning to make them a part of the decision-making team. It will be a huge reform,” adds the official.
Designer Samant Chauhan, who works with the fabric, says the market has seen a huge change. “With newer methods to make Khadi popular, both by the government and private entrepreneurs, the customer base for Khadi has increased manifolds in the last decade.” He thinks that if the government goes in for PPP, the venture would be even more profitable. “There are many young designers who want to work for the revival of Khadi. If the government opens up to innovative ideas, they will get support from all ends, especially from the designer fraternity,” says Samant, adding, “The Khadi industry can never die. It just needs some organisation.”