A 36% increase in export of silk fabrics and made-ups to the United States during the first four months of this fiscal has helped offset decline in such exports to the EU markets, according to the Indian Silk Export Promotion Council. Eyeing an ambitious export target of $1bn by ‘06-07, council chairman Subash Mittal said that as per export data available up to July, silk exports had turned the corner and exports by the end of the fiscal was expected to be up to 8% higher than the $450m target for ‘02-03.

Courtesy: The Economic Times, November 11, 2002
(Website : www.economictimes.com)

Headlines

Taking the cue from MNCs like pepsi, the Central Silk Board (CSB) will introduce contract farming to increase cultivation of popular bivoltine varieties in a bid to face stiff price competition from China. Two projects are to be set up by private companies in Tamil Nadu and AP following the two state governments amending laws to encourage contract farming, CEO of the CSB said.

Courtesy: The Economic Times, October 14, 2002
(Website : www.economictimes.com)

Headlines

The Centre is considering a comprehensive proposal to restructure the Central Silk Board under the textile ministry by transferring some of its activities to the states and offering VRS to around 1,100 employees. “A comprehensive proposal to restructure the Central Silk Board is being considered in order to streamline its functioning and increase the board's focus in areas such as R&D. The centre is consulting the states and the proposal would be implemented only after the consent of the silk growers states,” official sources said. The government is also considering setting up a quality trademark agency ‘Silkmark’ to endorse quality of silk products in the wake of complaints by several silk growing states of an increase in fake silk varieties.

Courtesy: The Economic Times, October 12, 2002
(Website : www.economictimes.com)

Headlines

In a bid to meet the growing demand of silk in the country, the Centre Said it has chalked out an ambitious plan to raise silk production by 50% to 27,000 tonnes during the Tenth Plan period. “We are targeting increase in raw silk production from 18,000 tonnes to 27,000 tonnes during the Tenth Plan period,” textiles minister Kashiram Rana said.

Courtesy: The Economic Times, October 5, 2002
(Website : www.economictimes.com)

Headlines

The third phase of the Japan International Co-operation Agency (JICA) aided sericulture project was officially launched in Bangalore. The phase-III, which will run for five years, aims at promoting extension-related work in this sector, according to member secretary of the Central Silk Board. The aim of the project is to increase production of the superior bivoltine silk to 6,700 tonnes by the end of the Tenth Plan period.

(Courtesy- The Economic Times, August, 28)

Headlines

The government has finalised an extensive action plan targeting small farmers in silk producing states to boost production of bivoltine silk in the country. The action plan, which would be implemented during the Tenth Plan (‘02-07), has been finalized by the Central Silk Board in collaboration with the Japan International Co-operation Agency (JICA). The overall goal of the plan would be to enhance the production and quality of bivoltine raw silk and raise income levels of farmers and reelers.

(Courtesy- The Economic Times, August, 26)

Headlines

The Centre has decided to provide a minimum support price for silk cocoons. The MSP would be in the range of Rs 60 to Rs 120 per kg, the Union minister of state for textiles told. Both reelers and growers had been demanding an MSP mechanism to combat the fall in cocoon prices, given the rising inflow of imported silk yarn, notably from China. The minister estimated that the MSP scheme would cost Rs 15 crore, with both the Centre and the state making an equal contribution.

(Courtesy- The Economic Times, August, 12)

Headlines

Weavers from Karnataka asked the Central government not to hike customs duty on raw silk yarn as this would increase smuggling and cost of production of silk fabrics. The existing duty on raw silk is reasonable. If the government increases the customs duty, cost of production of silk fabrics will go up and it will be difficult for the silk industry to compete with synthetic fabrics and sarees.

(Courtesy- The Economic Times, August, 10)

Headlines

The Centre has hiked the Tenth five year plan allocation for the sericulture sector by 30% over the previous plan to Rs 454 crore, minister of state for textiles said.

(Courtesy- The Economic Times, August, 9)

Headlines

Assuring the members of AP Legislative Assemble that the government would take all steps necessary to save sericulture sector from falling into deeper crisis, the chief minister N Chandrababu Naidu, said he had already convinced the Union Textile ministry to hike the import duty on silk to 44%. The government is aware of the problems faced by the sericulture sector, and it will do everything possible to safeguard the interests of people involved in the sericulture business.

(Courtesy- The Economic Times, July, 29)

Headlines

Former Prime Minister HD Deve Gowda has demanded suspension of import of raw silk from China for two years under the open general licence (OGL) by invoking the anti-dumping provisions in a bid to help the domestic silk industry. Urging the government to enhance the import duty on raw silk from 40 to 50% to curb indiscriminate imports, he said import of Chinese silk has gone from 2,911 tonnes in ‘96-97 to 6,972 tonnes in ‘01-02. Pointing out that 80% of India's silk production was from Karnataka, he said indiscriminate import of Chinese silk had a debilitating effect on the state's sericulturists due to sharp fall in prices which would cause irreparable harm to the 25 lakh families depending on sericulture in the state.

(Courtesy- The Economic Times, July, 22)

Headlines

The government will provide a soft loan of Rs 1.5 crore to Karnataka Silk Industries Corporation for purchase of cocoons to mitigate the hardship faced by the sericulture farmers in the state. The soft loan will be extended to the corporation on condition of state government guarantee.

(Courtesy- The Economic Times, July, 20)

Headlines

The Centre proposes to raise the import duty on raw silk by 9% from over 35% to over 44% to ameliorate the lot of Indian silk producers. Textile minister Kanshiram Rana said efforts to curb smuggling of raw silk had yielded positive result and at the same time efforts were on to increase domestic raw silk production.

(Courtesy- The Economic Times, July, 18)

Headlines

The government initiated an investigation against imports of mulberry raw silk from China. The investigation is being initiated by the Directorate General of Anti-Dumping and Allied Duties, under the commerce ministry on the basis of a petition filed by the Central Silk Board on behalf of all cottage, filature, multiend silk reelers and farmers.

(Courtesy- The Economic Times, July, 18)

Headlines

Karnataka government has written to the centre on the inconvenience caused to silk farmers due to import of silk from China, urging the latter to increase the import duty, state sericulture minister said. As far as purchase of cocoons is concerned, while the state government is contemplating it, the major constraint is the shelf life, which is just seven months.

(Courtesy- The Economic Times, July, 16)

Headlines

The Government has lifted the requirement for a registration certificate to undertake export of mulberry silk waste not carded or combed. Until now, exports of the items was allowed only against a valid registration certificate issued in this regard by the member secretary, Central Silk Board or his authorised representative.

(Courtesy- The Economic Times, July, 13)

Headlines

Describing the plight of silk-rearing farmers in the State AP as pathetic, CPI (M) member demanded 100% hike in customs duty on imported raw silk from the existing rate of 30%.

(Courtesy- The Hindu, July, 11)

Headlines

The government will soon initiate an investigation into an increase in Chinese silk yarn imports for imposing a safeguard duty to protect domestic industry. Official sources said the director general of safeguards under the finance ministry would soon begin an investigation into the alleged surge in import of Chinese silk yarn in the last few months. .

(Courtesy- The Economic Times, July, 6)

Headlines

A recent sectoral study done by the Export-Import Bank of India (Exim Bank) on the Indian silk industry has suggested that large scale sericulture production could facilitated by encouraging the entry of corporates and promoting foreign investments in the sector.

(Courtesy- The Economic Times, July, 1)

Headlines

Karnataka has again asked the centre to check the “indiscriminate” imports of raw silk from China to stabilize the prices of cocoon and silk that have been declining to the detriment of domestic growers and industry. Karnataka minister for sericulture and textiles told reporters that as against 3,989 metric tonne of raw silk imported from China during ’01, the quantum had jumped to 5,081 metric tonnes during this year after the Centre placed silk import under OGL. The steep rise in imports has brought down prices on silk and cocoon in Karnataka, which accounts for 60% of the country’s production.

Headlines

Silk traders are plugging for collaboration with their Chinese counterparts in an attempt to improve their own competitiveness and blunt direct competition. The Chinese had mooted the idea of a possible collaboration with Indian companies in the textiles sector because they are keen to focus more on value-addition, taking advantage of their low production costs. A high-level Chinese delegation with a large representation of the silk sector visited India some months ago in search of joint venture opportunities.

With Chinese raw silk price having dropped from $22 a kg to $14, local silk exporters are hopeful of accessing better quality silk to meet export standards. Collaboration with the Chinese would not only make more competitive, it would also provide with a market in China for our silk handicrafts, accessories and ready-made garments. Exporting around $450m worth of silk products annually, India exports in ‘01-02 witnessed a 3% drop. But after a jump in exports of around 18% in April, silk traders anticipate a drop due to fears of war clouds. India has around 200 silk exporters with sales of over Rs 1 crore. To improve quality, India has launched a programme for having two crops a year instead of around four. This year, India expects the programme to yield 900 tonnes of quality silk against 500 tonnes last year.

Headlines

Instead of promoting and pumping in more money to develop bivoltine silk, various agencies including the governments should concentrate on promoting cluster specific silk in India, a senior official of Swiss Agency for Development and Cooperation (SADC) said. Though there were various statistics about the demand and supply gap of silk in the country, no specific analysis had been made on the actual requirement of different grades, Bangalore-based SADC deputy director said. Describing as a ‘myth’ the statistics of the requirement of 22,000 tonnes as against the production of over 15,000 tonnes in India, he said that this was only a ‘wild’ estimate and not based on any research analysis.

Headlines

Country’s silk exports is expected to go up significantly in the coming years on account of reduction in production in China and Korea coupled with growing demand in developed and developing nations, according to a Exim Bank study. Rapid industrialization in China and Korea would open more export opportunities for India, as these countries are likely to reduce land allocation for sericulture practices. Higher demand from developing nations of Asia and sustained demand from developed nations would also boost demand for an Indian silk.

Headlines

West Bengal which currently contributed 10% to the country’s total production of mulberry silk yarn is inching ahead to improve its by another 2 to 3% in a couple of years. With this aim in view, the state directorate of sericulture targets to raise its raw silk production by 7% to 1,500 tonnes in the current year and another 7% to 1,600 tonnes by ‘03-04 from actual production of 1,407 tonnes in ‘01-02. To carry out the programme, the directorate has been allotted Rs 4.6 crore from the state budget for the fiscal ‘02-03, which is expected to go up to Rs 5 crore in the following year. Another Rs 1.5 crore would be available from Swiss Development Corporation, which provides infrastructure assistance for undertaking intensive farming of high-yielding silkworms.

Headlines

With silk reeling being identified as a weak link in the sericulture trade, the Central Silk Board (CSB) is now trying to rope in large-scale investment in this crucial sector of the trade. Instead of focussing on small reelers, CSB’s ambition is to target medium and large players who are capable of investing up to Rs 100 crore in setting up twisting, weaving and processing facilities. The department of sericulture of the three southern states of Andhra Pradesh, Karnataka and Tamil Nadu along with the CSB have signed with the Japan International Co-operation Agency (JICA) for the third phase of the JICA-assisted bivoltine silk production programme which is scheduled to commence shortly. The JICA-assisted project has helped to bring new awareness about rearing silkworms, mulberry cultivation and also has contributed to development of new equipments like the multend reeling machine. The initial success of the bivoltine silk project has also seen the state government of Uttaranchal also eye the sericulture more seriously.

Headlines

The Chief Minister, N. Chandrababu Naidu, asked the Sericulture department to ensure a minimum of 5% growth every year for the next five years and called for modernisation and adoption of best practices worldwide and international scope for growth. He underscored use of drip irrigation and a good marketing strategy to promote the sector.

Headlines

The Japanese government has given the nod for the Japanese International Co-operation Agency’s participation in the crucial third phase of the ongoing bivoltine silk project. As a part of the third phase, Central Silk Board(CSB) intends to focus on boosting silkworm seed production. Besides boosting silkworm seed production, emphasis is also expected to be on increasing the extension activities of three states’ sericulture departments. Hiroshi Hirabayashi, the Japanese ambassador to India, said that Project for promotion of popularising practical bivoltine sericulture technology, Japan was willing to offer technology, knowledge and experience in making India a leading silk producer. It is estimated that India’s production of bivoltine silk would reach 7000 tonnes by the end of the Tenth Plan period. It is expected that Karnataka would produce around 900 tonnes during the current financial year. Member-secretary of CSB said that the growing popularity of bivoltine silk had prompted even the governments of Uttaranchal and Jammu & Kashmir to seek CSB’s help.

Headlines

Bangalore will host the 23^rd International Congress of the International Silk Association (ISA) from December 3 to 6 next year. The meet would enable the country to display silk products and technology to international buyers, and understand how it could play an international role in the sector. About 350 delegates from all over the world are expected to participate in the ISA Congress. The ISA is made up 42 member – countries including India, all of whom are both producers and consumers. The International Congress will include people involved in sericulture and reeling, raw material supply, spinning, weaving, post-weaving operations, garment manufacture and distribution. The ISA owns an international silk mark, which can be used by the members to denote the quality of their silk products. The Union Government and the Central Silk Board are to use the occasion to present to the major player of the industry, the features of Indian silk and India’s potential to produce quality products. The occasion is expected to generate tie-ups with the local producers and facilitate technological improvements in the processing industry. If some of the trading restrictions are removed, Bangalore could emerge as an important centre for silk trade. The target for the production of bivoltine, the variety that was more acceptable in the global market, had been set at 600 tonnes for Karnataka. Unlike traditional bivoltine, which was difficult to breed in India, the new variety had been created to withstand high temperatures and high levels of humidity. Around 1,000 tonnes of bivoltine silk was expected to be produced in the country by 2002. The Central Silk Board would request the State Government to facilitate the setting up of silk trading centres in Bangalore and also encourage them. Some of the restrictions on marketing of yarn would have to be reviewed, and the Bangalore Silk Exchange converted into a centre of transactions in quality certified silk yarn.

Headlines

The Central Silk Board is exploring the possibility of raw silk export from the country, marking a departure from its imports, especially from China, which had been the bane of sericulturists. The launching of a Rs. 50.12 crore project to produce 600 tonnes of bivoltine raw silk in a year in the state. The board will be providing technical and financial support (Rs. 17.82 crores) to the State Govt. The share of the State would be Rs.12.27 crores and the balance of Rs. 20.08 crores would be provided by the beneficiaries. The aim of the board was to achieve self-sufficiency in the matter of raw silk it was time to explore the export market considering the high quality of raw silk (mulberry and others) produced in the country. According to the Central Silk Board sources, the total production of raw silk in the country was 14,500 tonnes. China, which had been a major exporter, had recorded a steep fall in production from 55,000 tonnes to 39,000 tonnes. This should be advantageous to the country. The export of waste or spunsilk was starving the mills of the raw material. Whereas the requirement of waste silk in Karnataka was 2,500 tonnes, the exports were of the order of 1,500 tonnes. For want of the raw material, the Govt. Spun Silk Mills at Channapatna was without work. The State had planned to launch a massive Rs.100-crore sericulture development project. The Govt. would be seeking assistance from the NABARD for the project. It was also intended to increase the area under mulberry in the State from 1.2-lakh hectares to two lakh hectares and popularise mulberry cultivation in Dharwad, Bijapur, Raichur, Bellary, Belgaum and Uttara Kannada districts. The area under sericulture in Karnataka had actually declined by 30,000 hectares in the last two years on account of fall in prices. About the bivoltine silk production programme, it would involve 10,600 farmers. The board was already implementing a Catalytic Developmental Scheme in Karnataka and some other states for boosting the production of bivoltine silk. Under that scheme, subsidy was being provided for drip irrigation, construction of silk worm rearing houses, rearing equipment, supply of disinfectants, installation of multi-end reeling machines developed by the board’s Central Silk Technological Research Institute etc. The board had also proposed a new scheme under which it would reimburse 50 per cent of the cost of purchase of saplings of VI, S1635 and S36 varieties of mulberry to the Department of Sericulture, Karnataka. It was also proposed to encourage quality service clubs for the supply of "Chawkie" reared silkworms to the farmers. Some amendments to the state’s Sericulture Act would be carried out to facilitate the implementation of the new bivoltine production programme.

 
Headlines

Karnataka is one of the leading states in the production of silk. Out of total production of the country about 60% of production of silk takes place in Karnataka state. Taking into consideration large scope for silk development in India, and to encourage the producers, it has been decided that there will be an implementation of a scheme of nearly Rs.400 crore. Which will be implemented with the help of World Bank. Govt. has decided to make available 15 improved varieties so as to encourage the silk growers. Beside this govt. has decided to make available different developmental schemes for silk growers.

 
Headlines

 
Special plant to boost Silk production

The country produced 15,000 tonnes of silk yarn every year against a demand of 22,000 tonnes. The silk Board had evolved a comprehensive plan to make good the shortfall in three years, and to achieve self-sufficiency in silk production. The quality of yarn produced would be comparable to that of imported silk yarn. At present, the shortfall was being compensated by importing silk from China and Japan. In Andra Pradesh, Gujarat, Rajasthan and Maharashtra, it was noticed that the keen interest in farmers to take up silk-rearing although there, the facilities available to do so were inadequate. Silk Board had been entrusted with the responsibility of enhancing production to meet the full demand by introducing it in new areas. Silk board had laid great emphasis on research and development and had earmarked a sum of Rs.65 crores (out of the Rs.100 crores budget) for conducting research. The bigger challenge before the Silk Board was to improve the quality of silk strains and to extend production to new areas.

There was no dearth of funds to carry on these activities. Karnataka was the leader in silk production, and it accounted for more than 70 per cent of the silk produced in the country, its activities were restricted to a few districts such as Mysore, Bangalore, Kolar and Tumkur. It was the resolve of the Silk Board not only to augment production in new areas. A special plan to boost silk production would be implemented first in Shimoga District. Shimoga District had once had the distinction of being leading producers of silk yarn, but it was now lagging behind as the number of silk yarn producers had come down from 2500 to 500 in five years. To help Shimoga regain its primacy in silk production and to discuss the problems in improving silk production and to find solution, Silk Board would like to ascertain the reasons for silk producers having discontinued production.

 
Headlines

Subsidies for silk development industry

To provide income to the farmers (Indapur) govt. has decided two days sericulture industry where in subsidies will be provided to the farmers. For manufacturer of silk, the govt. will provide subsidies for growing of Mulberry trees, caterpillars that are required for cocoon development and the other material which is required. The govt. has given emphasis on growing of sericulture industry, as it requires less water and will provide monthly income to the farmers particularly to women sector. Installment of cocoon buying centre at the junction will immediately fetch the money to the farmers.

 
Headlines

Encouragement for silk growers : Karnataka

Last year total production of silk in the country was 14,000 tonnes out of which Karnataka was contributing more than 8,000 tonnes still there was import of 5,000 tonnes of silk due to which the interest of the silk growers has got decline. To avoid this the govt. is going to stop the Chinese silk import and thus is determined to provide marketing facilities for the seed growers especially in northern Karnataka region, which has a potential to develop the sericulture centre in the country. As the govt. is not in a position to provide jobs to all, here sericulture would help to promote the concept of self-employment among youths.

 
Headlines