The Union Textile Ministry utilized 98 per cent of grants under the National Handloom Development Program (NHDP) in the last three years, informed Piyush Goyal, Union Minister of Textiles. The ministry was granted Rs 353.05 crore as revised estimate under grant-in-aid, against which it incurred an expenditure of Rs 347.65 crore, he added. The ministry provided financial assistance to eligible handloom agencies and weavers for purchase of upgraded looms and accessories, design innovation and product diversification, infrastructure development, marketing of handloom products in domestic as well as overseas markets under various components of NHDP.

Micro Units Development and Refinance Agency (MUDRA) loans were provided at concessional rates as well. Banks also sanctioned MUDRA loans on the basis of their internal credit appraisal parameters. There was a dip in the number of viable proposals from the state governments. The conditions emanating from the novel coronavirus disease (COVID-19) pandemic led to disruptions in economic activities, leading to demand and supply shifts in the off take of raw-materials and finished goods.

The ministry also set up design resource centers in weavers’ service centres in Delhi, Mumbai, Varanasi, Ahmadabad, Jaipur, Bhubaneswar and Guwahati to build and create design-oriented excellence to facilitate weavers, exporters, manufacturers and designers access design repositories for sample / product improvisation and development.

The Handloom Export Promotion Council organized international fairs to promote marketing of handloom products in 2020-21. Besides, the ministry provided financial assistance for raw material, infrastructure projects such as dyeing / printing, reeling / spinning, marketing complex, design studies, value addition etc.