Khadi sales expected to touch Rs 3,200 crore for FY 2018-19

By

Maverick Martins

Published
Mar 26, 2019

Khadi and Village Industries Commission has witnessed strong sales during the fiscal year and expected to close the year with sales of Rs 3,200 crore ($465.2 million) for FY 2018-19.
 

Khadi sales for the calendar year 2018 had jumped 32 percent to Rs 2,510 crore ($358.6 million) as a result of by increased fabric production. The Khadi fabric production rose by 38.30 million square meters to 142 million square meters from 103 million square meters.
 
KVIC’s aggressive marketing coupled with tie-ups with public-sector enterprises and corporate firms has been the biggest drivers of the sales.

“From just Rs 1,081 crore in 2013-14, the sales of khadi are estimated to touch an all-time high of Rs 3,200 crore this fiscal. MSME ministry data show sales stood at Rs 2,510 crore in 2017-18. In the first four years of this government, sales grew at an annual average of over 30%, against 6.7% in the previous 10 years,” KVIC’s chairman Vinai Kumar Saxena told the Financial Express.
 
“KVIC’s supply tie-ups with firms like Raymond, Arvind Mills and Aditya Birla Fashion in 2017-18, aggressive marketing and the growing interest of public-sector enterprises for khadi products for employees are the biggest drivers of the sales,” Saxena added.
 
KVIC currently has around 18 sales outlets across India while various Khadi institutions across states have a total of 8,062 outlets. KVIC has been expanding its khadi stores across India and expected to strengthen its presence in cities like Chennai, Varanasi, and Ahmedabad in the coming months.