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Promoting Tourism in Uttar Pradesh

The UP Tourism Directorate, established in 1974, looks after preparation and execution of schemes

to promote tourism. These include organising commercial activities, maintenance and promotion of

the history and tradition of Uttar Pradesh. This helps in enhancing involvement of private sector to

develop facilities in the state and promoting the art and craft of the state among other things.

Among the most important heritage rich cities that UP Tourism promotes, is the city of Lucknow.

The name Lucknow itself evokes emotions and reactions of wondrous nostalgia. Its culture blends

aesthetics, elegant graciousness and impeccable mannerisms and has been renowned for its poetry,

music and other distinctive art forms. Amongst these is Chikankari, one of the most appreciated art

of delicate "Hand Embroidery", which is not only famous in India but also praised in every corner

of the world.

Chikankari Industry

Introduction:

Chikankari was invented in Lucknow during the Mughal period and began as white-on-white

embroidery. Pre-partition; the main buyers were from the Muslim community, concentrated to

Dhaka, parts of Pakistan, Hyderabad and Lucknow. In the 1990s, this industry shifted from being

oligopolistic to a monopolistic one, with many new entrepreneurs entering the market. Today,

Chikan embroidery in Lucknow is the biggest artisan cluster of India employing about 2.5 lakh

artisans. They come from fields such as cutting and stitching. Washer men are also an important

part of this cluster which makes the total number of artisans associated with the industry to be 5

lakhs. A detailed exhibit showing the typical Chikan embroidery cluster is given at the end of the

case. It is an international market for its world known Chikankari work.

The History & Evolution:

An integral part of Indian culture since 655 AD, Chikankari was strongly rekindled by Moghul

queen Noor Jehan. Later, it not only enjoyed patronization of the Moguls, but also attained

perfection as the exquisite needlework and hand work underwent further honing and refinement.

Admired all over the world today, the art has trickled into every section of India, especially in the

fashion industry; thanks to the contribution of different forms of medium like films and fashion

shows.

Financial Status of Industry

Current Status: Today, the annual turnover of this industry is ₹ 600 crore. About 15% of the total

fabric production of the country is from Uttar Pradesh and around 30% of the total artisans in India

are employed in Chikankari industry. Also, this industry generates a revenue of about US$1.2

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billion in the state annually. In 2013-14, U.P.’s GDP contributed to 8.46% of the national GDP (U.P.’s

GDP–886,410; India’s–10,472,807). Chikankari contributes 8.12% to U.P.’s GDP (Annual revenue:

$1.2b).

Exports: Direct export of Chikan apparels is estimated to be around ₹ 60 crore. Indirect export

would be at least ₹ 200 crore annually, thus making the potential for export very large.

Performance of Industry and problems faced:

Despite the global recognition of the industry, it’s Lucknow that has still sustained an unrivalled

supremacy in producing the finest Chikan in India. The Chikan work is used in a variety of areas

these days – from ladies suits and garments to table covers and cushion clothes. The process

followed for manufacturing these different products may not be the same. An exhibit at the end of

the case shows the difference in the processes followed by the industry for two different products

(i.e. between suits and sarees).

In spite of the long alliance between Bollywood and Chikankari, there was a recurring problem that

the industry faced. The craftsmen based in Lucknow reluctant to alter the craft according to the

needs of the fashion industry or general customer specially youngsters. They feared that this will

dilute the originality of the art form which they held dearly. However, there has been a change in

the attitude of these conservationist craftsmen lately. Due to the exposure and also the increasing

demand for the craft because of commercial successes like Kabhi Khushi Kabhi Gham, Hum Saath

Saath Hain, Mughal-e-Azam, these craftsmen have found a more adaptive and accommodative

attitude which has helped the industry. The change in attitude and a sense of professionalism

among the younger generation of Chikankari workers have made them an indispensable property

in the Bombay fashion mart as well as the colourful world of Bollywood.

There are many other problems that the industry faces today. The workers employed in the

industry are predominantly women. But because of lack of regulation, most of these workers are

exploited because they are denied minimum fair wages. Due to lack of awareness and also due to

the lack of representation in any government body, these workers have to settle for the meagre

emoluments their employers deem fit. Some big players with large outlets dominate the market.

They have considerable freedom in both, deciding the wages to be paid to the workers, as well as,

deciding the price to be charged from the customers which allows them to garner significant profit

margins.

Looking at the craft, as with any other industry, the Chikan industry is also facing a tough

competition from China, because of machine-made imitations. These imitations have dominated the

international market due to low pricing. Adding to that, the fabric has not been able to attract the

youth due to poor branding. Hence, due to these problems coupled with other factors such as

significantly huge time taken to produce the end product and poor understanding amongst the

workmen of market demand, the industry is not performing up to its full potential.

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Initiatives Underway

Government Intervention:

Textile clusters (Trade Facilitation Centre) - Giving a shot in the arm to indigenously produced

textile, the finance ministry announced last year its decision to set up seven textile mega-clusters in

the country. Three of the seven will be set up in Uttar Pradesh, at Varanasi, Bareilly and Lucknow.

A budget of Rs. 500 crore has been set aside for setting up the mega clusters. The decision, widely

welcomed by domain experts is set to boost the local handicraft comprising the Benarasi silk,

Lakhnavi Chikankari and zardozi and Bareilly's indigenous kite string.

Women Entrepreneurship Promotion Scheme 2014-15 - Uttar Pradesh government has started this

scheme to empower women and ensure their participation in the process of industrialisation. Under

the scheme, unemployed women are eligible for easy seed capital to start their own micro or small

enterprise. The loan, provided by nationalised banks, financial institutions or the State Financial

Corporation, is for the purchase of plant and machinery. The beneficiaries are entitled to a loan of

Rs 50,000 per year at five per cent interest, subject to a ceiling of Rs 250,000 in five years.

Some other recent initiatives by the government include:

- MANAS (Maulana Azad National Academy for Skills), an initiative for promoting

skill development by imparting training to the minority population

- USTTAD (Upgrading the Skills and Training in Traditional Arts / Crafts for

Development) at Varanasi which is one of the main hubs of Arts and Crafts

associated with the minorities

- ‘Nai Manzil’ which was launched by the Ministry of minority affairs in August this

year which intends to target school drop-outs, Madarsa-qualified students, etc. for

enhancement of their education with skill training

- Chief Minister Akhilesh Yadav, on behalf of the government of Uttar Pradesh has

announced the annual Kaifi Azmi Award for excellence in the arts, which carries a

cash prize of Rs 5 lakhs. This will help deserving artistes pursue their dreams.

Other Stakeholders:

NGOs:

The mission of this Self Employed Women's Association (SEWA-Lucknow), which was established

with 31 women in 1984, is providing its member artisans' direct, appropriate and timely wages. The

USP, of course has been the rejuvenation of Chikankari itself. It has succeeded remarkably in

restoring the dignity of the craft. Currently, "Chikankari" products are much sought after by global

connoisseurs involving renowned designers, boutiques and fashion houses, and SEWA has done a

remarkable job in making Chikankari products available for them which has helped the workers

reach out to a new market. SEWA’s prime objective has always been making the craftswoman excel

in her vocation as well as in the quality of her life.

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Private Sector and E-Commerce:

More and more young entrepreneurs are realizing the value of Chikankari and the huge opportunity

that exists in by marketing Chikankari work through new channels. Apparel e-commerce sites are

increasingly introducing Chikankari works in their range of offerings and are realizing huge profits

from them. Some recent examples have been Shopatplaces, Myntra, Fabindia etc. Adirag, founded by

a young entrepreneur Aditi Garg, is helping the artisans match the palate of the modern buyer, “By

partnering with artisans across the country, we are not only preserving the rich and diverse culture

of India, but also offering contemporary-chic and sophisticated fashion products.”

Case

Key Aspects of the case:

1. Why, despite huge domestic and international demand for the product, the Chikankari

market has been unable to capitalise and grow outside UP?

2. What can UP Tourism do to leverage this craft to attract more tourists while at the same time

improving the industry practices to improve the present condition of workmen employed

here?

Deliverables from Participants:

Create a detailed marketing strategy for UP Tourism to promote tourism by leveraging the

Chikan Industry

i. Objective - Create awareness among domestic and international tourists about industry

using advertising campaigns.

ii. Include a detailed communication plan focusing on how and why to implement various

promotional strategies

iii. What are the challenges and opportunities in promoting this industry?

iv. Analysis has to be logically sound, qualitatively and quantitatively rigorous for e.g. cost

benefit analysis may be conducted.

v. Additional information from online and offline sources can be used to solve your case and is

encouraged in order to make your plan more implementable.

Layout a 4-year plan to increase the revenue of the Chikan Industry of Lucknow by 3 folds till

2020

i. Address the current problems faced by the industry as mentioned in the case. Underline the

key issues in each of these problems

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ii. Discuss the major focus areas ex: increasing exports, that will help increase the revenue of

the industry.

iii. Once, the key areas are identified, highlight the process of implementation

Make a detailed plan for setting up a government emporium in Lucknow to sell unique crafts

such as Chikan work

i. Objective: Ensuring that the workers are compensated fairly and at the same time customers

have an authentic shop where in they can buy the Chikan work etc. without being

apprehensive about it being overpriced or of substandard quality.

ii. Please look at the items you would like to offer at the store.

iii. Also elaborate on how to go about offering Chikan work at the store. This includes

Suppliers, Artisans, Stock, Consumer preference, Price points, and distribution. This is not

an exhaustive list and can include many more things.

Submission Guidelines

o The deadline for submission is 2330 hrs, Nov 9, 2015

o Kindly refer to the section below titled ‘Validation of solution with QuestionPro’. This is

required to be included in a slide of the presentation to validate the acceptance of your

solutions by primary market research

o Submissions should be in the form of Power-point deck (.pdf/.ppt/.pptx) of 10 slides (1

Cover Slide with Personal Profile + Executive Summary + 8 Solution slides)

o Submission is to be named as

<TeamName_CollegeName_TravelTrails_R1.pdf/.ppt/.pptx>

o Teams can upload their entries at the upload link made available on the Travel Trails event

dashboard on the event page (iiml-manfestvarchasva.com/content/travel_trails/). The

upload link will be made available in due course.

o The submissions will be evaluated on the following parameters:

- Exhaustive understanding of the case scenario and context

- Depth of analysis of industry, existing business model & key challenges

- Novelty, feasibility and practicality of ideas proposed

- Utilization of marketing channels & detailing of strategy proposed

- Structure of presentation & clarity of ideas conveyed

- Completeness / comprehensiveness of the solution

Validation of solution with QuestionPro

o Participants are required to conduct a primary market research of their solutions using

QuestionPro platform with at least 10 survey participants and include the analysis of their

findings in a slide in the submissions

o For this, please log on to www.questionpro.com, register and create a survey.

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Exhibit 1

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Exhibit 2

CHIKANKARI PROCESS FLOW CHART

FOR LADIES & GENTS SUITS FOR SARIS & SUIT LENGTHS

CLOTH CLOTH

CUTTING CUTTING

STITCHING PRINTING

PRINTING EMBROIDERY

EMBROIDERY JALI WORK

JALI WORK PICO (in saris only)

FINAL STITCHING WASHING

WASHING PRESSING

PRESSING FINAL PRODUCT FOR SALE

FINAL PRODUCT FOR SALE

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References:

i) www.uptourism.gov.in

ii) www.termpaperwarehouse.com

iii) http://timesofindia.indiatimes.com/city/lucknow/What-ails-chikan-industry-find-IIM-L-

students-give-solutions/articleshow/11584358.cms

iv) http://timesofindia.indiatimes.com/budget-2015/union-budget-2015/Rs-500cr-allocation-

bodes-well-for-UPs-chikan-zardozi/articleshow/38161312.cms

v) https://en.wikipedia.org/wiki/Chikan_(embroidery)

vi) http://www.comminit.com/content/putting-icts-hands-women-kanpur-and-chikan-

embroidery-workers-lucknow

vii) http://shodhganga.inflibnet.ac.in/bitstream/10603/23080/10/11_chapter2.pdf

viii) http://www.business-standard.com/article/sme/uttar-pradesh-to-promote-women-

entrepreneurs-114120101212_1.html

ix) http://www.vccircle.com/news/technology/2015/07/24/indian-angel-network-invests-

ethnic-lifestyle-products-e-tailer

x) http://social.yourstory.com/2015/03/threadcraft-india/

xi) http://social.yourstory.com/2015/09/adirag/

xii) http://www.thecitizen.in/NewsDetail.aspx?Id=4349&NO/END/TO/THE/EXPLOITATIO

N/OF/CHIKANKARI/WORKERS

xiii) http://www.oneindia.com/feature/budget-2014-know-all-what-pm-narendra-modi-

government-offers-for-uttar-pradesh-1480939.html

xiv) http://timesofindia.indiatimes.com/home/sunday-times/Putting-the-brakes-on-

fashion/articleshow/48496515.cms

xv) http://www.dnaindia.com/entertainment/report-uttar-pradesh-government-announces-

the-annual-kaifi-azmi-award-2121221

xvi) http://www.dailyexcelsior.com/modi-govt-believes-in-empowerment-of-minorities-with-

dignity-dr-jitendra/