Identification of factors and challenges affecting exports of Indian Brassware Industry

ABSTRACT:

An aesthetic piece of item fabricated from the creative mind and skilled hands of an artisan is
an art. Handicrafts are expressions of an artisan’s values, perspective and creativity which
talks about the region from where the craft comes. Indian handicraft industry has offered a
1
number of exquisite art and craft to the whole globe for several centuries. India is the largest
brass making country in the world. This art has been practised in India over 5,000 years. Its
contribution cannot be neglected in giving employment to a large number of artisans from
generation to generation. Brass industry in India is known for its artistic history of its own
which is rich and unique. Instead of having potentialities this industry is suffering from sharp
decline12 in its exports business. Managerial factors like poor working conditions, increased
prices of raw materials, preferences of buyers, low motivation level of artisans, threat of
substitute are main challenges.

This paper is an attempt to identify major factors affecting brassware exports. Basis of this
paper is both primary and secondary data. Secondary data has been collected from design
Museum-Digital conservation of handicrafts from the state of UP, Moradabad Cluster
Inclusive Development Society, CSIR (Council of Scientific and Industrial Research),
research papers and articles. Primary data is based on interview from brassware manufacturer
of Moradabad.

Keywords: Handicrafts, Brass ware, Working Conditions, Managerial factors, Challenges,

Innovation

Introduction of the Brass Industry

Brass Industry of India is important from the point of its being the largest23 brass making
country of the world. Moradabad city of Uttar Pradesh is called “Peetal nagri” because it’s
the largest manufacturer and exporter of brass ware to USA, Britain, Canada, and Germany
and to the Middle East.

According to CSIR (Council of Scientific and Industrial Research) report the general turnover
of the brassware is approximately Rs. 2500 crores per year in Moradabad cluster of UP.
There are about 850 exports units and 25,000 metal craft industrial units in the cluster. Recent
studies 4 shows that managerial factors such as increased cost of raw materials, basic
infrastructure for factories, labour extensive manufacturing process, negligible interest of
1
http://www.supportbiz.com/articles/vertical-view/moradabad-indias-brass-city-crying-help.html

2
http://www.iitk.ac.in/designbank/Moradabad/Techniques3.html

3
young generation, electrical supplies, health hazards motivating artisans to leave this age old
craft and move to some other substitute for their daily bread and butter.

Instead of having many challenges and issues this industry is important from the future
growth opportunities, which are still untapped.

Why Brass is preferred over any other metal:

Brass5 which is an alloy of copper and zinc has unique properties of hardness, workability
and medicinal benefits helps human body to increase its immunity from several diseases.
Brass has a history of its own which is rich and unique. In earlier days they use to cook in
brass utensils for health reasons. Also brass is used in making jewellery for its gold like
appearance. By changing the quantity of copper and zinc the properties of brass can be
changed like soft or hard also variations in its colour.

Indian Art metal Potentials:

Metalwork artisans have to offer handicraft lovers a number of exquisite varieties of

products.

S.NO. Metal ware

1. Bidriware
2. Brass Casting
3. Metal Dies
4. Embossing Crafts
5. Meenakari
6. Brass Metal
7. Bell Metal
8. Decorative Spears
9. Sheet Metal Craft
10. Dhakra Craft
11. Flexible Fish and Snake
12. Filigree work
13. Art Metal ware (Figures of Gods, Lucky signs, utility items, decorations)
14. Brass icons
15. Wrought iron bells
16. Artistic Khukries
17. Swords
18. Ghungroos
19. Metal Statues
20. Ashta dhatu Metal ware
21. Pen stands
22. Aluminium engravings
23. Knives
24. Nut crackers
25. Choppers wares

Source6: Distribution of Major Crafts and Artisans in India, Prof. M. Ishtiyaq

4
D.Mandal, K.L.Sahoo, P.Poddar and K.K.Paul, Development of Energy Efficient Coke Based Melting Furnace
For Rural Artisans, CSIR, National Metallurgical Laboratory, Jamshedpur.
5
Diagnostic Study of Moradabad art metalware cluster, prepared by IL&FS for NInC, 2008, Based on the
Innovation Cluster Initiative of the National Innovation Council, A Case Study, Innovative Custer In The
Brassware Industry At Moradabad, Uttar Pradesh, January 2013.
This sector gives employment to around 2,13,255 artisans7 who are spread all over India.
Most of the artisans involved passionately to carry forward their age old business. Major
States which involved in metal ware manufacturing are Uttar Pradesh, Maharashtra and
Rajasthan. The statement of provisional export figure of Handicrafts of Export Promotion
Council of Handicrafts shows comparative increase in export of art metal ware which is
36.56% during the period April-January 2013-14 from 27.86% during the period April-March
2012-13.

Moradabad city, known for its massive export of brassware articles in the world market.
Moradabad city of Uttar Pradesh has over 600 units8 crafting brass ware for the export and
home markets. This city is famous by the name of “Peetal Nagri” which means “City of
Brass” due to its being the extensive centre of brass manufacturing and exporting. The major
admirers of Indian metal wares are UK, US and European countries who relish the Indian
touch with great delight.

Major Challenges faced by this sector:

Despite having several potentialities in the form of large production base and cheap labour
available at their disposal the sector is suffering from a large number of challenges. The age
old craft which have been preserved by many family business owners now seeing a period of
demise as the young generation do not want to stick to their ancestral business. They feel
there is no security is attached to their ancestral business as many a times they have to take
another job just to earn their daily bread and butter and serve the family.

Customer’s tastes and preferences moves towards where the fashion of the market trend
moves. Having a large number of options at their disposal customer prefers those products
which are cheap and unique. Countries like China come up as a major threat to the Indian
products. Chinese products are cheap and are of good quality as compared to Indian products.
Also, the designs and finishing of Chinese products are such to look at which makes the
competition clear.

Change and up gradation is the prerequisite of any business. Once which was famous cannot
be famous always without market research and especially without understanding consumer
tastes and preferences. It’s inevitable to a business to see downturn without understanding the
need. Indian entrepreneurs especially of small scale industries still use age old techniques and
methods of manufacturing which is the major drawback. The designs9 they make are age old
which do not attract the eyes of customers.

6
M.Ishtiyaq. Artisans in India.
7
M, Ishtiyaq, Artisans in India.

9
Suvijna Awasthi, Prachi Pathak, Global Customers and Competition, Conference on Global Competition &
Competitiveness of Indian Corporate.
Figure 210 shows the major challenges11 faced by the sector.

Obsolete Manufacturing process

Traditional skills
Stereotype
Lack of counselling
Illiteracy

Inability to provide security

Exploitation by the middlemen
Rigid procedures & formalities
Inadequate loan amount
Rapid change in: Consumer preferences
and tastes
Inadequate advertising & promotion
Poor level positioning
Untapped Zones
Product specific
Poor market knowledge
Poor marketing strategies
Irregular payments
Irregular supply of raw materials
Irregular orders
Rejections of orders
Stress Level
Job Shift: Low income
Duplicity of designs

The factors of advancement include traditional manufacturing process which involves high
level of risk to health due to poor infrastructure. The skills the artisans possess are age old
and only suited to ancient customers of brass wares. Illiteracy is the major threat to this sector
as it acts as a great hindrance to change either the mindset or base of creating altogether a
new customer-centric market for Indian brass wares.

This sector shows poor availability of sufficient finances to invest on buying expensive raw
materials. Due to dependency on the middlemen for many resources from raw material to
selling of the product, middlemen exploit the manufacturer for his own profits.

Professional marketing is what this sector crying for. This sector suffers from a major
challenge of its being product specific industry rather than customer centric. Manufacturer
sells what they make rather than understanding the market trend and customer tastes. They

10
http://www.supportbiz.com/articles/vertical-view/moradabad-indias-brass-city-crying-help.html

11
Problem analysis and Challenges of Terengganu Brassware Industry, Sharih Ahmad Mohamad, Khairul Aidil
Azlin Abd Rahman and Muhammad Firdaus Abong Abdullah, Terengganu International Tourism Conference
2013 (TITC2013), Brief Industrial Profile of District Moradabad, MSME.
are far away from the delicacies of handicraft lovers. Chinese products are popular among
customers because of its being delicate and customer focused.

Due to poor planning and managing, the orders get rejected many a times and artisans as well
as manufacturer suffer a lot. This is the most common reason of unemployment among
artisans and cry for even daily bread and butter. Also, their young generation see no future in
this industry and shift to another mode of employment.

Government has come up with new targets and policies to enhance the sector. Ministry Of
Textile, Government of India from time to time organise National and International
exhibitions for manufacturers of artmetalware. Recently, the 37th International exhibition of
Handicrafts 2014, held in EXPO Mart, Greater NOIDA under the flag of Export Promotion
Council of Handicrafts. Also, 27th Surajkund International Crafts Mela 2014 showed different
shades of crafts from different states.

Many NGO’s also giving a helping hand to Handicraft sector. One of them amongst them is
DASTKAR, Craft Council of India etc.

Suggestions:

Government participation is prime most in this sector as its being an unorganised sector.
Government certainly come up with many policies and upliftment for the sector but how
much those being implemented is a serious question. Government should adopt strategies to
modernise the sector as soon as possible otherwise that day is not far away when China with
their new invention of using aluminium as a substitute of brass will rule the market.

There is a need for proper marketing channel which will definitely boost up selling and help
the recognizing of the Craft. Use of Internet and Mass media for promotion should be
promoted.

Modern techniques should be used to preserve traditional based designs without failing to
understand customer’s needs and styles.

References:
Websites:

1. http://www.supportbiz.com/articles/vertical-view/moradabad-indias-brass-city-crying-
help.html

2. http://www.iitk.ac.in/designbank/Moradabad/Techniques3.html

3. http://dspace.iimk.ac.in/bitstream/2259/452/1/143-148+pdf.

4. http://www.cohands.in/handmadepages/pdf/133.pdf

5. http://www.epch.in/policies/exportdata.pdf

6. http://dcmsme.gov.in/dips/16%20DIPS%20Moradabad1.pdf

7. http://rajeesood.blogspot.in/2009/11/indian-brassware-treasure-galore.html

Papers & Reports:

1. D.Mandal, K.L.Sahoo, P.Poddar and K.K.Paul, Development of Energy Efficient

Coke Based Melting Furnace For Rural Artisans, CSIR, National Metallurgical
Laboratory, Jamshedpur.
2. Diagnostic Study of Moradabad art metalware cluster, prepared by IL&FS for NInC,
2008, Based on the Innovation Cluster Initiative of the National Innovation Council,
A Case Study, Innovative Custer In The Brassware Industry At Moradabad, Uttar
Pradesh, January 2013.
3. M.Ishtiyaq. Artisans in India.
4. Suvijna Awasthi, Prachi Pathak, Global Customers and Competition, Conference on
Global Competition & Competitiveness of Indian Corporate.
5. Problem analysis and Challenges of Terengganu Brassware Industry, Malaysia,
Sharih Ahmad Mohamad, Khairul Aidil Azlin Abd Rahman and Muhammad Firdaus
Abong Abdullah, Terengganu International Tourism Conference 2013 (TITC2013),
Brief Industrial Profile of District Moradabad, MSME.
6. Working Group Report on Handicrafts For 12th FYP, Ministry of Textiles, GOI
7. Anubha Sood, Crafts as Sustainable Livelihood option in Rural India, Asia Inch
Encyclopaedia
8. Dr. I. Satya Sundaram, Handicrafts: Vast Untapped Potential, Market Survey, Facts
For You, Jan 2012
9. Craft Economics and Impact Study, Crafts Council of India, Vol-1, Stage-1 and
Stage-2, April 2011
10. M.Ishtiyaq, Artisans in India, Institute of objective studies, 2011
11. Dr. Manjusha Dash, Buyers preference of product design for purchase of selected
Indian handicrafts, June 2011.
12. Liebl Maureen, Roy Tirthankar,Handmade in India, preliminary analysis of crafts
producers and cratfs production, Economic and political weekly, December 27, 2003
13. Dr. I.Satya sundaram, Handicrafts: Vast untapped potential, Facts for you, January
2012
14. Pradeep Kumar Jena, Indian Handicrafts in Globalization times: An analysis of
Glocal-Local dynamics,Centre for study of social system, JNU, New Delhi, 2010.
15. Sayed Khalid Hashmi, Markets for Indian Handicrafts, Excel Journal of Engineering
technology and Management Science, Dec-Jan 2012.
16. Waqat Ahmad Khan and Zeeshan Amir, Study of Handicraft marketing strategies of
artisans in UP and its implications, Research Journal of management sciences,
February 2013.
17. Amitava Ghosh, Triggering Innovation and creativity in Traditional Handicrafts
sectors- An Indian Perspective, SMS Varanasi, June 2012.