Volume 4, Number 2, April – June’ 2015

ISSN (Print):2279-0896, (Online):2279-090X

PEZZOTTAITE JOURNALS SJIF (2012): 2.844, SJIF (2013): 5.049, SJIF (2014): 5.81

International Journal of Applied Financial Management Perspectives © Pezzottaite Journals. 1688 |P a g e

PROBLEMS OF SILK HANDLOOM CO-OPERATIVE SOCIETIES IN CHITTOOR DISTRICT

Dr. N. Gangisetty8

ABSTRACT

Silk weaving is one of the ancient methods of making cloths, which exemplifies the richness of our country. The employment generation of the silk handloom industry in the country is 7.65 million persons in 2012-13 and 7.85 million persons in 2013-14

with a growth rate of 2.61%. As silk handloom industry belongs to decentralized sector, there are many problems related to

weavers, inputs, raw material, finance, marketing etc. Most of the problems faced by silk handloom industry are perennial in nature.

The present study is an effort to understand the various problems faced by Handloom silk Weavers’ Co -operative Societies.

The study is descriptive in nature. The data required for the study was collected from the primary sources. A total sample of 150 Handloom silk Cooperative Societies Weavers’ in Chittoor District was selected by using Stratified Random sampling

technique and Henry Garrett ranking Technique and percentage analysis have been used to analysis of the data.

KEYWORDS

Silk Weavers, Co-operative Societies etc.

INTRODUCTION

Handloom industry is generating more employment, next to agriculture sector in India. The silk handloom industry plays a vita l

role in India’s economy. India, the second largest producer of raw silk and it is 26,480 MT in 2013-14. Andhra Pradesh, Karnataka, West Bengal, Tamil Nadu and Jammu & Kashmir are the major states producing about 96.37% of the mulberry silk

production in the country. Silk Handloom Weaving is one of the major economic activities in Andhra Pradesh.

Government of India and ministry of textiles have taken steps to bring weavers under the roof co-operative sector and more than

35% of the silk handloom weavers have been brought under the Co-operative fold. However, of late the functioning and performance of the co-operative societies in the study area has been affected badly. There are so many factors and reasons that are

responsible for decreasing the performance of silk handloom Societies, of which the problems associated with weavers, inputs, raw materials, financing and marketing are having more weight.

REVIEW OF LITERATURE

Gurumoorthy and Rengachary (2002) studied the problems of handloom industry and revealed that in the handloom sector, pricing is major problem. In addition, that problem of inputs, working capital and marketing of their products are the some other

problems. It is suggested that handloom industry has to produce goods as required by consumers but not what they know.

Mathiraj and Rajkumar (2008) in his study on Handloom products production and marketing narrated the production related problems of the Handloom Weavers’ Societies like wide fluctuation in the prices of yarn, lack of availability of skilled labo ur

force. Modernization of handloom industry and formulation of production pattern, sales design are the suggestions of the study.

Tripathy (2009) was opined in his study problems and perspectives of Handloom Industry in Orissa that there are many problems

in decentralized handloom industry due to illiteracy, inadequate finance facilities, cost control, quality control, procurement of raw material, fluctuation in prices in raw material etc. The study suggested that the weavers have to develop more designs and

understand the customer preferences. OBJECTIVES OF STUDY

To analyze the problems related to inputs of silk Handloom co-operative Societies,

To study the problems of weavers faced by silk Handloom co-operative Societies,

To highlight the marketing related problems of silk Handloom co-operative Societies.

8Associate Professor, Department of Management Studies, Madanapalle Institute of Technology & Science, Andhra Pradesh,

India, gangisetty2006@yahoo.co.in

Volume 4, Number 2, April – June’ 2015

ISSN (Print):2279-0896, (Online):2279-090X

PEZZOTTAITE JOURNALS SJIF (2012): 2.844, SJIF (2013): 5.049, SJIF (2014): 5.81

International Journal of Applied Financial Management Perspectives © Pezzottaite Journals. 1689 |P a g e

RESEARCH DESIGN AND SAMPLING METHOD

The present study has been conducted in Chittoor District of Andhra Pradesh where weaving industry is concentrated. This study

is descriptive in nature. The present study is mainly based on primary data. The data was collected through structured questionnaire, which has been mainly composed of ranking scale. A total sample of 150 Handloom silk Cooperative Societies

Weavers’ in Chittoor District was selected by using Stratified Random sampling technique and Henry Garrett ranking Technique and percentage analysis have been used to analysis of the data.

Tools for Analysis

For analysis of data, Henry Garrett Ranking Technique has been used to rank the factors to identify the problems faced by the silk Handloom Societies weavers in the study area. In this method, the respondents were asked to rank their opinion regarding the

problems faced by them. The order of merit given by the respondents was converted into ranks by using the following formula.

Percentage Position = 𝟏𝟎𝟎 (𝐑𝐢𝐣 – 𝟎.𝟓)

𝑵𝒋

Where,

Rij = Ranking Position, Nj - Total Number of Ranks

By referring the Henry Garrett table, the percentage position of each rank thus obtained is converted into scores. Then the scores

of individual respondents for each factor were added and divided by the total number of respondents for whom the scores were

added. For all the factors, mean scores were arranged in order of ranks and from this inference were drawn. ANALYSIS AND INTERPRETATION OF DATA

Table-1: Input Related Problems of Sample Respondents

S. No. Nature of the problem Total Score Mean Score Rank

1 Poor quality of Raw Materials 7778 55.6 II

2 Inadequacy in supply of yarn 6453 46.1 IV

3 High Cost of Production 9176 65.5 I

4 Delay in supply in yarn and Zari 5247 37.5 V

5 Scarcity of looms 6486 46.3 III

Sources: Authors Compilation

From the above table it is clear that high cost of production is the major inputs related problem faced by the silk co -operative societies, which is ranked with a Garrett score of 9176 points. Next to this the poor quality of raw materials (7778 points),

Scarcity of looms (6486 points) and inadequacy in supply of yarn (6453) were ranked second, third and fourth respectively. Delay in supply in yarn and zari placed last rank with a Garrett score of 5247 points. From the above analysis it is clear that majority of

respondents revealed that ‘high cost of production’ and ‘poor quality of raw material’ are the major input problems that they have been facing.

Table-2: Weavers Related Problems of Sample Respondents

S. No. Nature of the Problem Total Score Mean Score Rank

1 Aged People 8612 61.5 II

2 Lack of Skilled weavers 6669 47.6 IV

3 Lack of active members 9038 64.6 I

4 Lack of Training 5752 41.1 VI

5 Poor knowledge about modern technique 5816 41.5 V

6 Dissatisfaction with wages 7717 55.1 III

7 Not satisfied with schemes provided 5165 36.9 VII

Sources: Authors Compilation

It is evident from the above table number 2 that co-operative societies consider lack of active member is a main problem as it was obtained first rank with a Garret score of 9038 points. Aged people (8612 points), dissatisfaction with wages (7717 points) and

lack of skilled weavers (6669 points) are ranked next respectively. Poor knowledge about modern technology and lack of training are ranked fifth and sixth. Finally not satisfied towards schemes provided is ranked seventh rank with a score of 5165 points.

Volume 4, Number 2, April – June’ 2015

ISSN (Print):2279-0896, (Online):2279-090X

PEZZOTTAITE JOURNALS SJIF (2012): 2.844, SJIF (2013): 5.049, SJIF (2014): 5.81

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Table-3: Marketing Problems of Sample Respondents

S. No. Nature of the problem Total Score Mean Score Rank

1 Lack of intensive distribution 7771 55.5 III

2 Not stressing the Unique Selling Proposition 7198 51.4 IV

3 Lack of attractive promotion 8671 61.9 II

4 Lack of Customer Relationship Management 5124 36.6 IX

5 Lack of commercially marketable products 7058 50.4 V

6 Competitive price fixation 5255 37.5 VIII

7 Not understanding the customer preferences 6149 43.9 VI

8 Competition from mills and power looms 9822 70.2 I

9 Lack of export Marketing knowledge 6047 43.2 VII

Sources: Authors Compilation

From the above table that shows marketing problems faced by the co-operative societies, it is clear that handlooms are facing

cutthroat competition from mills and power looms, as is occupied first rank with 9822 points of Garret score followed by lack of attractive promotion with 8671 points of Garret score. Lack of intensive distribution (7771 points of Garret score), not stressing

the Unique Selling Proposition (7198 points of Garret score), Lack of commercially marketable products (7058 points of Garret score), not understanding the customer preferences (6149 points of Garret points) are occupied third, fourth, fifth and sixth

position respectively. Lack of customer relationship Management is ranked ninth rank, which is last rank among various

marketing problems with 5124 points of Garret score. SUMMARY OF FINDINGS

The following are the findings drawn from the above analysis:

Majority of co-operative societies stated that cost of production is their major problem. This is because of continuous

hike in the silk yarn prices and import of China silk is one of the reasons for high cost of production.

Among the weaver related problems, majority societies opined that lack of active member is their main problem

followed by high age of the members.

In case if marketing problems, cutthroat competition from mills and power looms is a major problem faced by co-

operative societies followed by lack of attractive promotion. SUMMARY OF SUGGESTIONS

The government of India should take steps to set up organisations to control the silk yarn price fluctuations and the

government of India should take steps to open silk yarn sales depots/stalls all over the country to maintain stability in

prices of silk yarn.

The government should increase the wages of the weavers so that the members gets motivation and becomes active

members in the society.

The government should take steps to implement orders given by honorable Supreme Court of India that silk handloom weavers are permitted to produce 20 varieties of silk products. These are reserved to produce on handlooms only.

The government should conduct frequently some training programs to upgrade the knowledge levels of the weavers.

CONCLUSIONS

Handloom industry is oldest cottage industry in India. It is generating more employment opportunities to lacks of artistic weavers, but in the recent past it have been facing more problems and many of the silk weavers in particular and weavers in general

committed suicide also. To revive the industry, the government should take steps to implement various schemes and programmes in addition to the above mentioned.

REFERENCES

1. Gurumoorthy, T. R., & Rengachary, R. T. (2002). Problems of Handloom Sector. In Soundarapandian M. (Ed.), Small Scale Industries: Problems, 1, 68-178). New Delhi: Concept Publishing House.

2. Retrieved from http://www.csb.gov.in/statistics/silk-exports-and-imports/total-export-earnings/

3. Mathiraj, S. P., & RajKumar, P. (2008, March). Analytical study on Handloom products production and marketing.

Tamilnadu Journal of Cooperation, 69-73.

Volume 4, Number 2, April – June’ 2015

ISSN (Print):2279-0896, (Online):2279-090X

PEZZOTTAITE JOURNALS SJIF (2012): 2.844, SJIF (2013): 5.049, SJIF (2014): 5.81

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4. Tripathy. (2009, December). Odisha Handlooms: Problems and Perspectives. Orissa Review, 54-56

5. Handlooms and textiles- Policy note for the year (2012-13). Retrieved from

www.ap.gov.in/policynotes/pdf/hhtk_handlooms_textiles.pdf

6. Roy, T. (1998). Indian Handlooms in the 20th Century. Retrieved from

http://www.digitalis.uni-koeln.de/JWG/ jwg_146_129-139.pdf

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8. Retrieved from http://pakjas.com.pk/papers%5C149.pdf

9. Retrieved from http://www.fibre2fashion.com/industry-article/37/3642/plotting-and-studying-the-problems-faced1.asp

10. Retrieved from http://shodhganga.inflibnet.ac.in/bitstream/10603/666/17/17_chapter6.pdf

11. Retrieved from http://pakjas.com.pk/papers/149.pdf

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