Khadi sales contract by 16pc due to COVID-19: MSME Ministry
According to the MSME ministry, the production and sales in the Khadi sector declined as spinning and weaving activities across India took a major hit during the pandemic.
Khadi sales contracted by 16 percent year-on-year to Rs 3,527.71 crore in 2020-21 as spinning and weaving activities across the country was impacted due to the COVID-19 pandemic, the Micro Small and Medium Enterprises (MSME) Ministry said on Thursday.
"The overall production in the Khadi sector also declined to Rs 1,904.49 crore in 2020-21 as compared to Rs 2,292.44 crore in 2019-20," it added.
The MSME ministry, however, added that Khadi and Village Industries Commission (KVIC) has recorded a gross annual turnover of Rs 95,741.74 crore in 2020-21 as against Rs 88,887 crore in 2019-20.
"The overall production in the Khadi sector in 2020-21 was recorded at Rs 1,904.49 crore as compared to Rs 2,292.44 crore in 2019-20, while the overall Khadi sales stood at Rs 3,527.71 crore as compared to Rs 4,211.26 crore in the previous year," it said.
The production activities remained suspended for more than three months during the nationwide lockdown announced on March 25 last year.
"During this period, all Khadi production units and sales outlets, too, remained closed, which severely affected the production and sales," the ministry said.
Compared to the production worth Rs 65,393.40 crore in 2019-20, the output in the village industry sector increased to Rs 70,329.67 crore in 2020-21.
Similarly, in 2020-21, the sales of village industry products stood at Rs 92,214.03 crore as compared to Rs 84,675.29 crore in 2019-20.
The Indian government has been taking steps to uplift this industry.
Last year, Union Minister Nitin Gadkari urged retail giant Walmart to work with KVIC to take their products, including khadi denim, to global markets. He also launched India's first-ever Khadi fabric footwear.
Edited by Suman Singh
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