RURAL DEVELOPMENT INTERVENTIONS Concept Note Critical analysis of Khadi and Village Industries Commission

By Manish Chaurasiya (31081) Raj Kumar (31098) S. Sarath (31100) Satturu Anusha Chaitanya (31104) Saurav Paul (31105)

Significance of the study The Khadi and Village Industries Commission was formed by the Government of India in 1956 and it plays a major role in the strengthening of rural economy by providing employment opportunities to rural artisans. especially the poor. Keeping in mind the fact that agriculture has failed to generate enough employment opportunities, the role of KVIC as an alternate job provider becomes even more important. KVIC in the last four and a half decades of its functioning has been the blue eyed scheme of the government and has got sufficient amount of funding. It is quite evident from the fact that KVIC is slated to get Rs.55000 crore in the 12th five year plan. However, we had a lot of doubts about the effectiveness of the programme in the present context, its ability to generate employment and use resources efficiently. Despite huge amounts of subsidy and public expenditure, large shortfalls in the targets and stagnation in Khadi production has been observed.

Objective To understand the working of the KVIC and critically analyse the extent to which it has been successful in attaining its objectives in the four and a half decades of its functioning.

Method of Study The method of study will comprise mainly of literature review of secondary data, articles in newspapers and journals, committee reports and third party reports. We will analyse the KVIC using the frameworks and concepts learnt in RDI, covering it both at the systemic or political economy level as well as the programmatic level.