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11 February 1998

Local handicraft ware set to dominate global market 

Amiti Sen  
NEW DELHI, February 10: The magic in the hands of Indian artisans sells at a premium in the international market. Foreign buyers not only appreciate Indian handicrafts but also pay high prices for them. Profit margins, however, differ from product to product. Some products, whose cheap imitations are made by other competing countries, create temporary problems. But imitations can never replace the originals. Indian handicrafts are preferred because of the typically Indian essence which has been charming the world for years.

Sandeep Garg of Omsons India, a handicraft unit in Muradabad, is very happy with the performance of his company in the world market. He manufactures garden decoratives like pots and benches. He claims that countries including the US, Australia, France and Netherlands are showing a keen interest in his products.

"Our product range is made of cast aluminium and glass," says Garg.

Investment required in this business is not much. Business can be started with as little as Rs 30,000.According to Garg, the only requirement in this field is trained labour. "If labour knows its work well, then the producer doesn't have any problem."

Garg, whose turnover is Rs 15 crore, says that his company launches 3,000 new products in the market every year. "We study the world market by participating in exhibitions and interacting with buyers and design our products according to that."

Sunita Dahiya of Digital matrix, a handicraft export unit in Delhi which manufactures bed-covers, cushion-covers and decorative items, says that it takes very little for a new-entrant to start business. "One just needs two buyers to set off."

Fairs and exhibitions play an important part in setting the ball rolling for many. Quite a few businesses start through exhibitions. Says Dahiya, "Lots of serious buyers attend fairs. Two of my acquaintances who started their businesses in fairs are doing very well now."

Decoration pieces produced in Dahiya's unit is made of tin, aluminium and wrought iron. Five years intothis business, Digital Matrix is exporting to Norway, Italy and France. "Our products are in demand, because we emphasise on the quality of our product and improve the finishing through powder-coating and electro-coating."

Jaipur-based Singhi Impex is exporting block printed and embroidered quilts and cushion covers to Japan, the US, the UK, Italy and France. The six-year-old unit is doing very well in terms of sales. Rajendra Singhi, proprietor, says, "With rising popularity of our items, our unit's turnover is also fast increasing."

Design ideas for the handicraft items are mostly Singhi's own. The rich heritage of Jaipur provides enough motivation. Singhi says that labour does not need any extra training as they are well adept in their work. "We pay the labour on per piece basis. The more efficient the worker is, the more pay he takes back home."

Handmade paper is another sector where the Indian handicraft industry is excelling. This is not surprising as the history of handmade paper in India has ahistory of more than 450 years.

When Emperor Babar came to India from Iran, he brought some paper makers with him. Babar then assigned two families to learn the craft from them at Sanganer, near Jaipur. In course of time, these families came to be known as Kagzis and they started transferring their skills from one generation to another.

Mohammad Rafiq Kagzi, running Kagzi Handmade Paper Industries in Jaipur, is the descendant of this illustrious family. The unit was started by Rafiq's father Allahbux in 1938 with Mahatma Gandhi's blessings. Initially using old and traditional systems for making paper, Kagzi Industries has adopted new techniques over the years. Says Rafiq, "Our techniques are up-to-date and we use 100 per cent indigenous machinery."

The handmade paper industry holds numerous opportunities for beginners. The Khadi Village and Industries Commission provides loans and knowledge to entrepreneurs who are interested in setting up a handmade paper unit. "The possibility of growth in this lineis immense," says Rafiq.

With growing ecological concern, the eco-friendly handmade paper is becoming popular in the world market. Its multiple usage also helps to make it popular. Says Rafiq, "We make a variety of products including writing papers, letter pads, degree certificates, greeting cards, visiting cards, diaries and gift boxes."

Rafiq exports paper items to the US, the UK, France, Italy, Germany, Mexico and Japan. "Our products are durable, elegant, affordable and cannot be easily tampered with."

Rafiq says that as entry into the sector is easy, competition within India is increasing. But he is not unnecessarily worried. "By the time competitors copy our product, we come out with twenty more."

Karuna Jain of Sand Dunes feels that in the handicraft export industry, contacts and building of goodwill is as much important as introducing new products.

"Most of the exporters export similar products as items are made not by entrepreneurs but by artisans. The only way we can make our presence feltis by improving relations with our buyers."

Jain exports a variety of handicraft items including imitation and silver jewellery, semi-precious stones, glass and metal beads, scarves and fashion accessories and home furnishings to the European markets.

Because of a slow-down in the economy, the handicraft industry suffered certain setbacks last year. However, Jain is sure that things are going to improve.

"Handicrafts are mostly inexpensive and attractive items which are sought after globally. Demand cannot go down for long. I think the market has already started picking up now."

There are certain infrastructural bottlenecks which act as an impediment to exports. There is so much paper-work to be done that the formalities eat into a considerable amount of time. Clearances in ports is also difficult to get. Says Sandeep Garg, "The time factor is very important in our line. If there is a delay in shipment, the novelty of the product is lost and there are chances of similar products coming to themarket."

Though the market for Indian handicrafts is ripe, international competition does exist. However, it is not bothering Indian exporters. Says Garg, "Many countries including Taiwan, Philippines and Vietnam are copying our designs. But they are not able to create the designs on the metals that we use. Our buyers are not naive; they know the difference."

According to Rafiq Kagzi, foreign competitors do not stand a chance against Indian handmade paper. "Other countries do not possess the intricate skill that is required in running the industry." Indian handicrafts represents the handwork of the craftspersons of the country, the intricacies of which have awed the world for centuries. This is one of the few areas where international competition can never pose a serious threat as there is one thing which the world cannot produce -- the Indian touch. Says Jain, "Indian products are one of its kind. It has to come from India." The only competition that exists is within the country.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.



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