Corporate tie-ups help khadi get on unprecedented growth track

The Indian Khadi movement is on the fast track to a historical growth boom that includes corporate tieups with the latest being an MOU signed in Mumbai between the KVIC (Khadi and Village Industries Commission) and the Globus chain of stores. KVIC also earlier held fruitful tieup talks with CEOs of 29 other retail outlets including Big Bazar, Apna Bazar, Raymonds, Raheja, Pantaloons and Retailers Associations for boosting Khadi products sales through their market outlets, according to Vinai Kumar Saxena, Chairman, KVIC.

“Globus is targeting the +ZEE+ (youth) generation to give them a different flavor of Khadi fashion apparel and other products, and sales have been good in barely a week since we began this initiative on January 4, 2018 at Noida and Chennai, besides focusing later countrywide in a phased manner,” Amit Kumar, CEO, Globus Stores Pvt Ltd – which has 35 locations in 22 cities nationally– said, while highlighting Globus’ initiative in approaching KVIC with an offer to provide space for a +Khadi Korner+ in all its showrooms. Globus is phasing in these Khadi setups through: 1) Khadi exhibitions and 2) permanent counters, besides also through digital marketing, he added.

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Pointing out that Khadi products popularity countrywide had increased with 2017 witnessing Rs 55,877.97 crores in sales, KVIC’s Saxena said the +Khadi Korner+ set up would operate on three models: 1) run by the Retailer: 2) run by the DSO/KG Bhavan: and 3) run by Khadi Institutions /PMEGP/REGP units (under a Tripartite Agreement.)

He said KVIC’s marketing initiatives with corporate giants included: marketing convergence with Raymond Ltd for design intervention and product development that would provide khadi artisans jobs of three lakh manhours; Agreement with Aditya Birla Fashion Retail Ltd (ABFL) for developing/marketing Khadi apparel through employing Khadi artisans for two lakh manhours; and MOUs with NIFT (for design intervention across the country) and with Arvind Mills (to buy one million metres of “denim Khadi” from KVIC).

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Saxena said that, for the first time, a CSR initiative had been launched by KVIC with REC (Rural Electrification Corporation) for setting up a training-cum-production center with 510 “Solar Charkhas” and 100 looms for providing livelihood to 600 artisans in Sevapuri (Varanasi). “The changing face in CSR funding is creating jobs and each Solar charkha costing Rs 15,000 will provide employment for the full family,” he said, while noting that – besides PSUs and corporates — even individuals have now stepped in with total Rs 2.53 crores so far in financial support for funding solar charkhas for rural families in rural electrification efforts.

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Meanwhile, the ONGC had purchased “Khadi coupons” worth Rs 50 crores for its employees, while khadi uniforms were used in the Indian Army and Navy, Paramilitary forces, Schools, Universities, Police, Post Offices and Cement plants, besides Khadi sales through e-commerce, he noted.

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