Finance Ministry asks government departments to purchase 20% of textiles from KVIC, registered weavers

By

Isabelle Crossley

Published
Mar 2, 2020

In a move to increase handloom textile production in India, the Union Ministry of Finance has instructed all government departments to source at least 20% of their textiles from the Khadi and Village Industries Commission and other registered weavers.

 
The Ministry of Finance has amended Rule 153 of General Financial Rules, 2017 to now require government departments to source handloom textiles either from KVIC or from other registered weavers, the Press Trust of India reported. Previously, the departments could only source handloom products from KVIC. 
 
The amended regulation states that “of all items of textiles required by the central government departments, it shall be mandatory to make procurement of at least 20%, from among items of handloom origin, for exclusive purchase from KVIC and/or handloom clusters.” 

Handloom clusters that the government departments can source from include self-help group federations, co-operative societies, joint liability groups, producer companies, and weavers holding 'pehchan cards'. 
 
The Union Government continues to push for an increase in India’s textile production and has allocated Rs 1,525.94 crore ($229.37 million) to KVIC in the government’s budget for the upcoming financial year.

The government is also promoting Indian handloom textiles at international trade shows, as part of its ‘Make in India’ campaign.