CASE STUDY OF HAND MADE SILVER FILIGREE / JEWELLERY

CLUSTER AT CUTTAK – ORRISA

Introduction
Orissa’s Silver Filigree / Jewellery holds the pride of the place among
all handicraft products of the State and have earned reputation both inside the
country and abroad. Silver Filigree / Jewellery is a unique craft and having its
own intricate design and superb craftsmanship. Filigree / Jewellery are made
out of silver drawn into fine wires and artistically joined together in framework
or extremely delicate design by the Artisan mainly concentrated in the city of
Cuttack. This is perhaps the most prospective industry that flourished in the
State of Orissa since long. But still the economic condition of the Artisans
remain in a deplorable condition.
Quantity Indicator
No. of Firms and Employees : There are about 143 Show-rooms at
Baniasahi, Nayasadak, Mahammadia Bazar and 2000 Artisans from
approximate 500 families are doing this work. It can generate further
employment subject to supply of raw-material etc.
Market Potential
Silver Filigree / Jewellery is an important tradition industry of India and
main production centres are cuttack in Orissa and Karimnagar in Andhra
Pradesh. Silver Filigree / Jewellery are made by pure silver which is drawn
into wire indifferent gauges (26 gauges to 36 gauges) to suit the numerous
articles produced and evolved (Frame & Joined) into unique and extremely
delicate design with meshed wire. Productions are three types viz. (a)
Ornament, (b) Decorative & (c) Utility Items.
(a) Ornament : Hair pin, Sinthi, Nose Pin, Ear Ring, Jhumko,
Bungles, Chudi, Chud, Chain, Locket, Prajapati, Diamond set,
Tie Pin, Foot Ring etc. etc.
(b) Decorative : Chariot, Kolinga, Wheel, Table Light, Glass Plate,
Cigarette Case, Atardani, Mukut, Tajmahal, Kalinga Ship etc.
etc.
(c) Utility Items : Pen Holder, Paper Cutter, Cigarette Pipe, Tray
Button, Coat Pin etc. etc.
But the Artisans are exploited by the middleman due to non availability
of rawmaterial & sales emporium for display and sale of their product. Taking
the oportunity of the situation, private traders come forward and open
Filigree / Jewellery Show-room in Cuttack. To feed these show-rooms the
traders adopted the practice of providing silver to the artisans while they are
placing orders for particular items and after receiving all finished products, the
wages will be paid on the basis of grams of the items not on the basis of their
craftsmanship. As such artisans are unable to get proper wages,as sale of
silver is monopolized by the traders. The Artisans who are not so financially
sound find it difficulty to procure silver. Accordingly, marketing system should
be channelised in the form of exhibition the same in different States / Tourist
spots as well as in abroad. There is a wide scope contact may be established
with Trade Development Authority of Government of India.
Local Economic Relevance
Usually as Artisan consumes 500 gm. of silver in a month. As such for
2000 Artisans 1,00,000 kgs. Silver is used in making Filigree / Jewellery. The
monthly income of the Artisans varies from Rs. 500/- to 1000/- and if a market
potential is developed the economic growth of the Artisans will boost up.
Local Leadership
Organise Sector : To market the product of Artisans, State
Government has sponsored the following Co-Operative Societies :
Member
(1) Orissa Filigree Workers’ Co-opt. Society 198
(2) Jagannath Filigree Workers’ Co-opt. Society 52
(3) Shriram Worker’s Co-opt. Society 18
(4) Maa Chandi Workers’ Co-opt. Society 22
(5) Utkal Gourav Tarakesi Co-opt. Society 22
(6) Cuttack Filigree Workers’ Co-opt. Society 50
(7) Utkal Filigree Workers’ Co-opt. Society 50
The above Societies were marketing the products of their Artisans
through Orissa State Co-opt. Handicarft’s Corpn. The capacity of production
of those Societies were worked out to Rs. 15 Lacs per month whereas
demand of the product was Rs. 20 Lacs per month. But now-a-days the
performance of these Societies are not encouragable, except Utkalika located
at Delhi, Calcutta, Mumbai, Puri, Hyderabad and Bangalore. Utkalika procures
these items through Orissa State Filigree Co-Operative Handicraft Corpn.
Kalinga Filigree Workers’ Co-opt. Society Emporium which was opened by
Government of Orissa is also now closed.
Non-Organised Sector : In Cuttack city only about 143 private show-
rooms are available and the sale of each show-room is Rs. 28000/- (approx.)
per month i.e. the entire sales of show-room comes to Rs. 4 crores (aprox.)
There are some Associations also available at Cuttack which are as
follows:
(1) Orissa Filigree Association at Bania Chowk, Cuttack.
(2) Utkal Swarna / Roupa Shilpi Sangha at Manglabagh, Cuttack.
The Executive members of both the Associations have got their own
show-rooms, as such they are interested for getting orders for their show-
rooms and they are not thinking about the Artisans who are making the
products.
Social Environmental Conditions
The Industry does not involve with such process / technology as would
cause pollution of environment. But most of the units are located in rented /
own premises which do not provide adequate ventilation, sanitation, light etc.
On an average each product flow ranges about 100 to 200 sq. feet.
Potential for Experience Sharing / Dissemination
Technology adopted is traditional. This is being carried out from father
to son to son basis. As such there is limited scope for sharing of sharing of
their experience to others.
The following points for Development of Present Status of Filigree /
Jewellery Industries may be considered.
(1) RAW MATERIAL
The basic raw-material i.e. Silver is procured by the Artisans from
private traders as there is no Govt. Agencies from where these can be
procured at fair prices. The present cost of the Silver is Rs. 8000/- per kg. And
the same is coming from Maharastra. As such the price is dominated by them.
The traders provide this raw-material to the Artisans who convert the material
into a finished product against labour charges. It is evident from the above
that the Artisans who work hard is deprived from the lion share of profit. But if
they could procure the raw-material at their own source, they could earn
more. As such the Govt. Agencies at a fair prices and in this case the quality
of the raw-material would also be maintained.
(2) FINANCE
There is no other alternative but to take the material from the
middleman by Artisans, as practically there is no institutional source of
finance. As a result further development of the craft is trailing day-by-day.
(3) EMPLOYMENT
If proper guidance, raw-material and financial assistance are provided,
it is likely that more and more Artisans may come to the field of industry
thereby increase production.
(4) TRAINING OF THE WORKERS
There isno institution to train the Artisans to enable them to develop
their skill. Accordingly, some training arrangement should be made.
(5) TECHNOLOGY
As the items are of tradition design, 99% of the units are using hand
tools for production purpose. If mechanized technology is adopted, the
production may be increased to a great extent at the same time ensuring
quality. For up gradation of technology, the following machinery may be
installed :
(A) Wire Drawing Machine (B) Lackeri (C) Gold Plating
(D) Oxidizing (E) Hand Driven (F) Hand Driven Rolling
Machine
(G) Buffing Machine (H) Gas Cylinder (I) Furnace of 2 kg. Capacity
(J) Weighing Balance etc. etc.
(6) DESIGN AND DEVELOPMENT
Arrangement for supply of design and development to the Artisans may
be ensured.
(7) COMMON SERVICE FACILITY
In this area there will be a great service if Artisans have been provided
with the Common Facilities Service in respect of Wire Drawing, Lacquering,
Gold plating and Oxidizing.
(8) QUALITY CONTROL TESTING
It should make it obligatory to the each Artisans to produce quality
products who will avail the facilities of quality control centers.
(9) MARKET FOR THE PRODUCTS
As a large no. of Artisans are engaged in this field it should be
considered for opening of multitude show-rooms throughout the Country
specially in the place of Tourist attraction so that the sale of Filigree /
Jewellery can get boost. It may also be considered for participation in various
exhibition not only within the country but also abroad so that the export from
the industry would be promoted.
Status report enclosed as Appendix.
 HAND MADE SILVER FILIGREE / JEWELLERY UNITS CLUSTER
CUTTACK (ORRISA)
CRITERION CHARACTERISTIC
(A) Importance of cluster
(i) Existing contribution to the local economy
(i.a.) Firm analysis
Number of firms 143
Major Products Hand made, Silver Ornament,
Decorative and Utility items.
Turnover range Rs. 6 to 7 crores (Approx.)
Investment range Rs. 3,000 – 70,000 (Approx.)
Nature of firms Trade Manufacturer
Production relationship Vertical as well as Horizontal structure
(i.b) Employment analysis
Employment 2,000
Source of labour Family based & local
Average wage Rs. 50 – 80
(i.c) Export Being Exported to Middle East &
U.S.A.
(ii) Location of cluster
Urban/Semi-urban/Rural Urban
Geographic spread With radius of 5 – 8 km of Cuttack
(iii) Outreach
Other clusters of similar nature Nil
(replicability)
Linkages with other industry and Nil
trade
(iv) Isocio-Environment consideration
Environmental problem Insignificant
Safety standards Poor
Woman employment Very few
(B) Viability of clusters
Demand condition High. Due to increasing demands of
Filigree ornaments.
Net birth rate Positive
Producers of strategic items N.A.
Major buyers Local & Within Country and Though
Exporters
Production cycle Low
© Promoteability
Aspiration level High
Attitude Positive
Industry association 1. Orrisa Filigree Association,
Cuttack
2. Utkal Swarna / Roupa Shilpi
 Sangha, Manglabag
Entrepreneurship tendency Satisfactory
Growth of related industry Only trading
Potential for complementation Low. Only can take up new items of
Electrical Industries for production of
Silver contact used in Relays &
Switches.
(D) Subsidiarity
Silver plating industry have a good market.