Exports in the informal sector- Role

of Women organistions
Globalisation and liberalisation has affected woman workers in
multiple ways.
Research on the impact of economic reforms shows that the process
has been accompanied by casualisation, contract labour and worsening
the conditions of work for female workers.
In the manufacture of certain export commodities such as
garments,gems and jewellery,footwear ,electronics women employment
is high .

globalization
Globalizations is increasingly pushing women out of core
work force into marginalised group of workers.
There is a urgent need to bring the women together
collectively under one umbrella especially the women from
the informal sector who cannot reach out to the international
markets.
They neither have the skills, capability or the exposure to
enter into global trade .
However women in a group collectively forming an
organisation have done wonders for women from the informal

Self-Employed Women's Association

(SEWA)

The Self-Employed Women's Association (SEWA) works in

India's huge informal sector, of which it estimates two-thirds
are women.

Its activities aid hundreds of thousands of Indian women in

manufacturing, crafts and services to meet their business
needs.

Two of its experiences can serve as models for women

exporters.

 According to SEWA, in India, this sector includes

home-based workers, vendors, manual labourers
and service providers; it accounts for up to 70% of
gross domestic product and over 40% of exports;
of the total workforce, 93% operate within the
informal sector, and 60% of these are women.
Working in Indias informal sector, the SelfEmployed Womens Association (SEWA) is helping
thousands of Indian women meet their business
needs.

SEWA Trade Facilitation Centre (STFC)

SEWA set up the SEWA Trade Facilitation Centre (STFC) in
2000 to help women move into exporting.
The main promoters of the Company are SEWA, The Kutch
Craft Association and The Banaskantha DWCRA Mahila
SEWA Association.
This has boosted exports dramatically and brought greater
security and prosperity to India's rural poor.
In this unique business model, the majority of the
shareholders are the artisans themselves.
SEWA brings disadvantaged women from the informal
sector into the mainstream by providing them with financial
and social support, business skills, information and access to
markets..

Traditional Hand embroidered products

SEWA Trade Facilitation Centre is a unique company owned and
managed by more than 15,000 women artisans pursuing craft activities in
the drought affected and disaster prone districts of Kutch and Patan, in
Gujarat, India.
They are both the shareholders/owners of the Company and the
suppliers of traditional hand embroidered products.
More than 40,000 SEWA members in Kutch and Patan districts are
adept in the art intricate embroidery that is closely linked to their cultural
heritage.
SEWA has converted their traditional skill into the major income
generating activity .

STFC's exports
This project has been a resounding success. In its
first 18 months, STFC's annual sales grew by 62% and
exports by 311% over the preceding year.
The Company has been incorporated with a planned
turnover of INR 62.5 crores (USD 27,000 million) The
main promoters of the Company are SEWA, The
Kutch Craft Association and The Banaskantha
DWCRA Mahila SEWA Association.

Key results in the handicrafts sector

6,534 artisans employed in 2003 and 4,441 in 2004
$263,000 in sales generated by the Trade
Facilitation Center in 2004 .
Foreign exchange earnings of $43,000 in 2003 and
$40,000 in 2004
18 new training modules and at least eight new
product design developed
STFC soon to be certified for ISO 9000 quality
control

Export markets explored:

Export markets explored:
Australia, Belgium, France, Germany, Italy,
Japan, Spain, United Kingdom, United States of
America

Shri Mahila Griha Udyog Lijjat Papad

Shri Mahila Griha Udyog Lijjat Papad is a
women,s
organisation
manufacturing
different products of village industries,having
its central office at Mumbai.Lijjat is spread all
over India. It has 63 centres and 40 divisions
in different states.
The turning point came in 1966 when the
then Chairman of Khadi & Village Industries
commission puiya Uchhangrai N. Dhebar
visited the Institution and got it recognised
by the Khadi & Village Industries commission.

principles and vision of the founders.

The Institution does not accept any charity, donation or grant from any quarter. The
Institution obtained working capital finance from Scheduled Banks by complying with
all their requirements and from KVIC, through their Interest Subsidy Scheme.
a)

b) The Institution has an obsession for Quality Control. No compromise is allowed.

The branches follow the directive of the Central Office, Mumbai, in this regard.
Lijjat Papad has now become a household name, due to the determination and the
marketing efforts of sister-members.
c) The Institution also ensures that Accounts are maintained on daily basis so that at
the end of the month, the decision makers are aware of the state of business in a simple
but effective manner
d) The Institution insists on sharing the Profit or Loss amongst its sistermembers
working in the Institution. Members absorb the loss by way of reducing Vanai Charges

WORKING
The committee of 21 members manages the affairs of the
institution. There are also Sanchalikas, or supervisors, for each
centre to look after the daily affairs of a centre. But the work
of the institution is such that each and every member can take
any initiative or any decision.
All the same time, each and every member has the veto
power. All decisions, major or minor, are based on consensus
among members. Any single member's objection can nullify a
decision.

Started with a modest loan of Rs 80, the

cooperative now has annual sales exceeding Rs
301 crore (Rs 3.1 billion). Every woman earns
according to the labour she puts in but the profits
made as a collective effort are shared equally
In two words -- decentralisation works. Ljjat, has
believed in sharing power in all their activities. The
Sarvodaya philosophy has always been their ideal.
Another important fact about the institution is that no
male can become a member and no male employee
whether working or honorary or on salary basis has voting
rights.

Lijjat and Exports

The exports alone account for Rs 10 crores (Rs 100
million). They do not undertake direct exporting.
Exports are done through recognised professional
merchant exporters
At present, 30 per cent to 35 per cent of the
production of lijat Papad is being exported, mainly to
countries like the United States, the United Kingdom,
the Middle East, Singapore, Hong Kong and Holland
Shri mahila udyog lijjat pappad has a turnover of Rs
118 crore from the sale of pappads alone in the year
2003-04.It has a turnover of Rs 288.47 crore for the
year ended march 2004.

CONCLUSIONS
STFC is one of its kind opening the doors for
women in the informal sector.
More and more women organistions should
start their own export divisions
More women organisations should be
established only for promoting global trade for
women
Micro enterprises and micro finance for
starting 100% export oriented units.
Special facilities should be provided to these
womens organisations in Special Economic
Zones(SEZs) to augment Indias export trade.