Apparel September 2019 Apparel September 2019 issue | Page 81

INDUSTRY INSIGHTS
the production and sales of the cloth. Post
independence, the significance and potential of
this material beyond commerce was recognised
and the All India Khadi and Village Industries
Board took on the responsibility of promoting the
fabric until the Parliament formalised the sector
by passing the Khadi and Village Industries
Commission Act of 1956. Hence, the All India
Khadi and Village Industries Board, after the
passing of the 1956 Act, was reformed into the
Khadi and Village Industries Commission (KVIC)
in 1957.
KVIC functions as an apex organisation
within the Ministry of Micro, Small and Medium
Enterprises (MSMEs), and is the chief controller
and regulator of khadi and other rural industries.
It is headquartered in Mumbai and maintains
zonal offices across 29 states in India. The
intended mandate of KVIC has been to “plan,
promote, facilitate, organise and assist in the
establishment and development of khadi and
village industries...”
Currently, there are way over 12 lakh people
across the country, who work directly in the
khadi industry, with many more attached to it in
peripheral capacities.
GOVERNMENT SUPPORT
For the longest time, KVIC has acted as the
de facto authority on all matters khadi. But for
most of its modern history, it has also attracted
significant criticism by various public policy
experts for exhibiting functional inadequacies
in its management of the industry and workers.
However, the last five years have been a game-
FOR THE LONGEST TIME,
KVIC HAS ACTED AS THE DE
FACTO AUTHORITY ON ALL
MATTERS KHADI.
changer for the institution. It has leveraged
the monopoly on khadi as a product, along
with formulating massive marketing schemes
to persuade a more enthusiastic consumer
base. This has further been enhanced with the
Government’s ‘Make in India’ and ‘Brand India’
initiatives, which have afforded the sector
major benefits.
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