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STUDY OF KHADI AND HANDLOOM INDUSTRY OF ANDHRA PRADESH, INDIA. FOCUS ON MARKETING STRATEGIES AND CONSUMERISM SARVANI VADDI, M.Sc. Prof. B. BALAKRISHNAIAH INTRODUCTION In India hand weaving of textiles, is the largest artistic activity in the talented traditional art sector providing direct and indirect employment to about 2.5 Crore of weaving persons, along with families as a way of living, next to agriculture, both in terms of employment and value of output. Handloom sector occupies a place of eminence in preserving the country’s heritage and culture and plays a vital role in the economy of the country. The share of employment provided by the Handloom industry in the total decentralized sector is about 5.5 percent, contributing about 22 per cent of the total production of the textile industry. The exports of cotton Khadi and Handloom products during the last decade were worth of about Rs.1491 Crores. As per handloom census, the total numbers of the looms in the country are 38.90lakhs, out of which 36.90 Lakh looms are owned by household and 2.0 Lakh by nonhousehold units. About 102 Lakh weavers, both full time and part- time are engaged in this sector. On an average 60.29 per cent of the weavers are women while the percentages of weavers belonging to Scheduled Caste are 12.5% and Scheduled Tribes are 20.05 per cent engaged in weaving as a livelihood. Average production per loom per day is 5.12 meters and average wage earning per month per household is Rs.715/-only. About 20.28 percent of the full-time weavers are covered under the cooperative fold. (Annual survey of industries on employment (2006-07) The specific objectives of the study were: 1. To study the structure and present day scenario of the Khadi and Handloom in the state of Andhra Pradesh. 2. To assess the role of the Government, Non-Government and other organizations working in the Khadi and Handloom industry. 3. To study the working conditions and socio-economic status of the weavers of the sector. 4. To study the present marketing strategies and distribution channels of the Khadi and Handloom industry
Department of Clothing and Textiles, Faculty of Home Science, The M.S.University of Baroda, Vadodara-390 002.

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

2 . 5. To analyze the consumer awareness and consumer behaviour towards Khadi and Handloom products 6. To study the linkages between the producers, traders and consumers of the Khadi and Handloom sector. PURPOSE OF THE STUDY Though copious secondary sources helped to understand the structure of Khadi and Handloom industry of Andhra Pradesh, a holistic study of the industry covering both Khadi and Handloom sector has not been come across specifically with respect to marketing strategies and consumerism. The researcher felt the need to study both the Khadi and handloom sectors focusing all the three elements of the sectors namely weavers, retailers/wholesalers and the consumers under one umbrella in order to understand the industry as a whole. Therefore, the present exploratory research was carried out during the years from 2000 to 2007 in the State of Andhra Pradesh, India. METHODOLOGY The methodology adopted was multi-dimensional microlevel exploratory study, as detailed below. 1. Study and understanding of all the ten five-year plans, reports of different committees and research works by different university scholars focusing Khadi and Handloom sectors. 2. Various Government and Non-Government Organizations were visited personally, to understand their structure and role in Khadi and Handloom sector. Opinions of higher officials were taken to better understand the sector. 3. A pilot study was conducted at silk nagar of the Nalgonda district which helped to pre-test the interview schedules of weavers, wholesalers/retailers and consumers. A sample of 12 in each category was taken for pilot study. 4. A sample of 14 traditional Khadi units and 14 traditional Handloom units was selected and field visits were conducted in 3 regions of Andhra Pradesh. i.e. Andhra (or Circar), Rayalaseema and Telangana regions. Purposive sampling technique was used to select the places. Production centers with concentration of traditional weavers were selected. Profiles of these units were studied. Success and failure parameters of the units were noted down.

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

3 5. Case studies of the 14 weavers were taken for qualitative analysis. Complete data as per questionnaire could be pooled from 14 centers only with a sample size of 12 from each centre covering 336 weavers and pooled for statistical testing. 6. The traders-retailers and wholesalers of the centers were interviewed through structured interview schedules. A total of 336 Retailers / Wholesalers were interviewed through purposive sampling. They included the Master weavers, Government Khadi Bhandars, Private and Non-Government Organization’s Retail outlets, and such a primary data was pooled and quantified to statistical testing. 7. The consumers of all age groups from different cosmopolitan cities and towns were interviewed through interview schedules. A total sample of 336 persons were interviewed which also included domestic consumers from the production centers. The study was conducted in various districts of Andhra Pradesh. Sampling technique used for the selection of districts and co-operative societies was based on various criteria. Purposive sampling technique was used for selecting the traditional weaving centers with a basic knowledge of specific identity for their products which are the characteristic of Andhra Pradesh state. The Khadi institutions and Handloom centres under the study were presented along with their locations STUDY OF PROFILES: Apart from the quantitative data, the profile study was made for all the above centers covering the origin, financial input, size of the units, designs and products, production levels, quality testing, marketing channels etc. INDIVIDUAL CASE STUDIES: A structured case study schedule was implemented covering the following parameters, apart from the quantitative data to better understand the real life situations of the weavers. DESCRIPTION OF TOOLS USED: INTERVIEW SCHEDULE FOR THE SELECTED WEAVERS The Interview Schedule for the selected Khadi and Handloom Weavers consisted of (45) Forty five questions in total under eight heads. INTERVIEW SCHEDULE FOR THE SELECTED WHOLESALERS / RETAILERS

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

4 Interview schedule for the selected wholesaler/retailers consisted of 25 twenty five questions with VI main headings and the same questionnaire is used for Government Khadi or KVIC show rooms, Government Handloom show rooms, Private Khadi outlets/merchants and Private Hand loom outlets/merchants. INTERVIEW SCHEDULE FOR THE SELECTED CONSUMERS Interview schedule for the selected consumers consists of thirty questions with VIII main headings, which is used at all places irrespective of Khadi or Handloom show room or exhibitions or melas. STATISTICAL ANALYSIS There were differential responses received from various Weavers , Retailers and Consumers as per the questionnaire . Those answers containing different types like qualitative ,quantitative or open ended type and close ended type were sorted out . The qualitative information was presented in the form of profiles and quantitative data was subjected to statistical test, as per Panse and Sukhatme (1962) and presented in the form of frequency distribution, total, mean and percentage, standard deviation (SD), Co-efficient of variability (CV %) and Co-efficient of correlation (r). These quantitative data were presented in the form of tables and graphs. RESULTS Major findings are as follows. Weavers: Majority of weavers were middle aged and more males involved in whole time weaving, from all the religions but were confined to few communities only. The entire family members including children were involved in the process of weaving, inspite of it, the earnings were limited mostly between Rs.20, 000/ to 1 lakh per annum as against other employments in which only one person works and earns more than Rs.20, 000/- per annum even at poverty line demarcation. The skills of the weavers appeared to be high, as evinced from the meritorious inventions such as Asu machine and Indigenous Jacquard punching machines, who got Rashtrapathi awards. Inspite of high skills and efficiency to work, the poverty did not permit to go for higher education. Working children and women were found in every place in preparatory process and weaving also, but can be considered as a training process. Some regular women weavers were observed who has no supporting males. There was a strong will expressed not to continue their children in weaving, because even a small job in other fields, fetches more earnings. The yarn colors, Designs are decided

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

5 by Master weavers, based on market demand and consumer preference. The independent weavers invented new designs as per the orders from consumers. The overall situation of weaving profession is not lucrative now-a-days, as it was before and during freedom movement.
GIRL WEAVER BOY WEAVER

Traders-wholesale / Retail outlets: In general master weavers were found to be doing lucrative business compared to cooperatives that were mostly dormant in Khadi and Handloom fabrics. The financing was done by KVIC and cooperatives in Government sector. Sole proprietorships, partners, NGOs were involved in private sector sales outlets as against production and marketing done by master weavers. The turnover runs into crores of rupees in private sector, in the traditional brands which are popular, but limited to lakhs only in Government sector. Most of the visitors to Government Khadi and Handloom outlets were middleclass people to avail the rebate offers in festival season, where as private Khadi and handloom outlets attracted high income groups also, in higher number.
‘APCO’ GOVT. HANDLOOM SHOWROOM PRIVATE HANDLOOM SHOWROOM

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

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GRAPH 2 : RETAILER - PRODUCT LINE & PRODUCT MIX
120.0 100.0 PERCENT STOCK 80.0 60.0 40.0 20.0
IX D U C T

100.0 100.0 100.0 100.0 100.0 92.9 75.0

100.0 100.0 100.0 100.0 100.0 100.0 92.9

100.0 100.0 100.0 89.3

100.0 100.0 100.0 100.0 94.0 92.9 92.9 91.7

67.9 52.4 41.7

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Consumers: In Andhra Pradesh about 65% of consumers were aware of Khadi and Handloom fabrics, regularly purchasing and using the traditional wear, only from a particular shop with confidence. Regular visitors of once a month to six months were higher than irregular rare visitors. Irrespective of religion, community and education levels, most of the exhibitions, melas, and rebate season were popularly utilized by all classes of consumers who get attracted by publicity and advertisements and interested in new designs, bright colours. Men habituated wearing Khadi and Handloom Dhotis, Shirts or Kurta pajamas were most commonly observed to be visiting at all outlets. Consumers habituated with western styles could be attracted with aggressive promotional campaigns based on brand names (Ponduru, Pochampally, Narayanpet, Gadwal, Siricilla, Madhavaram, Dharmavaram, Proddatur, Chirala, Guntur, and Pedana etc.) and other positive qualities of handwoven fabrics emphasizing the inbuilt comfort, natural colours and also swadesi feeling.

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

IS E D S H E E T K S ID G S D O R W V E T E S .H A M R A A N T D E L R O IA O L M Y A R D A G D E E T C O O W R E A M L T S E IV N E S IT W S E A A M E R S R E /K E S U /C T H O A T S T O D N H / O K S T U IL H R K IS T H / L A U ,P N Y G Z BE IS A M DS A H / E W E A TS P R IS IV T D A C R T O E E A S H M T A S A N T D E L R O IA O L M Y A R D A G D E E T C O O W R E A M L T S E IV N E S IT W E A M E S R /K U T H A S

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0.00.0

0.0

TYPES OF PRODUCTS

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GRAPH 16 :CONSUMERS - COMPLAINTS EXPRESSED
25 20.23809524 17.26190476 15 20.53571429 19.04761905

PERCENT OBSERVED

20

19.94047619

10

5 2.380952381 0
S S IX IK C O M P LA IN T /D IC IS L E F A B R IC F A A N Y S P E C IF U L T S

0.595238095
E D IN G IG N Y /M E N IT T

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consumers at a Govt.Khadi outlet

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ACKNOWLEDGEMENTS: The author is highly grate full to ICAR for providing senior research fellowship, during the course of the study. Both the student and professor are immensely thankful for the kind response and cooperation rendered by all the institutions , weavers, wholesale &Retail merchants and several consumers in carrying out the study at various places in A.P.

STUDY OF KHADI AND HANDLOOM INDUSTRY OFANDHRA PRADESH, INDIA-FOCUS ON MARKETING STRATEGIES AND CONSUMERISM BY SARVANI VADDI, M.Sc.

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Touch&feel behaviour of consumers

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