INSIDE THIS ISSUE
   
   
   
  01 MAIN
   
   
  02 TRADE & ECONOMY
   
   
  03 INVESTMENT UPDATE
   
   
  04 NEWSMAKERS
   
   
  05 INFOTECH
   
   
  06 CULTURE
   
   
  07 TRAVEL
   
   
  08 CALENDAR
   

   
  HIGHLIGHTS
   
 

India’s External Engagement a Whopping 500 Billion
MORE [+]

 
  The Spice Route
MORE [+]
 
  Gujarat, A Celebration of Life
MORE [+]
 






   
  04. NEWSMAKERS
   
 
  Prime Minister unveils Handloom Mark  
     
  Prime Minister Manmohan Singh launchd a quality mark for handloom products that will help buyers distinguish between genuine items diligently crafted by artisans and the poor imitations mass-produced by power-looms. The `handloom mark', designed by the National Institute of Design, Ahmedabad, will be implemented by the Mumbai-based Textiles Committee, a statutory body under the Ministry of Textiles.  
             
 

To ensure that the scheme is enforced properly, there will be a system for periodic surveillance audit by teams of officials and random verification of the products. There will also be a penalty clause. The first part of the clause will provide for cancellation of the registration for registered users who misuse the mark. The second part of the clause provides for action against unregistered persons, which will include imprisonment ranging from six months to three years and a fine amount ranging from Rs. 50,000 to Rs. 2 lakh. The scheme is expected to not only help the buyers in getting guaranteed products, but also help the artisans, who are facing myriad threats to their very survival with the advent of the power-looms. With technological developments, power-looms are now able to flood the markets with imitations of handloom
Excerpts from PM’s Speech
Indian handlooms are among our proudest and most enduring civilisational heritage. The outstanding weaving tradition they represent has been kept alive by skilled weavers from generation to generation. The handloom sector, therefore, reflects not only the traditions of the weaving communities all over India but also the socio-cultural heritage of our entire nation.

The popularity of Indian handlooms has, since time immemorial, not only provided employment but has also kept alive our rich heritage of traditional craftsmanship. The level of artistry and intricacy achieved in handloom fabrics is unparalleled and beyond the scope of modern machines. We are all aware that apart from spices, it was Indian handlooms that attracted traders from Europe in earlier centuries. Many members of the nobility in the European countries in the seventeenth century use to take pride in wearing Indian handloom textiles. It is a testimony to the agelessness of this craft and design that handlooms are still popular with young and old alike.

Handlooms have a crucial role to play in supporting and strengthening the rural economy of our country. Apart from agriculture, they are the largest source of employment in rural areas.


  As many as 35 lakh looms are in operation today, providing employment to almost 65 lakh persons. A substantial proportion are women and persons belonging to minorities and under-privileged classes. Therefore, the contribution of the handloom sector to textile production, employment and export earnings is significant not only from an economic angle but also from a larger social perspective as well.
The government recognizes the primary importance of the handloom sector in sustaining and providing gainful employment, especially in rural areas. With the end of the quota regime in global textile trade, the demand for handlooms may well increase significantly. It is expected that the domestic and international market for handlooms will expand and per capita consumption will also increase. However, handlooms face severe competition from power-looms and manmade fiber. While changes in the international trading regime have created new opportunities, they also and pose new threats to handlooms. We need to work hard to exploit the opportunities for renewed growth that have been created in developed market economies. The Handloom Mark is one such initiative to brand our handlooms and secure for them a high value-added niche market for this highly prized product.
We must evaluate the strengths and weaknesses of our handloom sector and take steps to ensure that the sector benefits from the more open trading regime that is now emerging. Handlooms have to be promoted as a high-value, niche product which are the result of skilled craftsmanship arising out of a centuries old heritage of our country. This will give them a premium position in textile markets around the world.

The Government is committed to help handloom weavers meet the challenges of globalization and modernization. We are aware of the problems confronting handlooms. The National Common Minimum Programme makes a firm commitment to ensuring the welfare of the handloom sector, especially the weaving community. Our initiatives will cover all aspects of production and raw material supply, design and technical assistance, training and skill up-gradation, and marketing.

Last October, the Ministry of Textiles, launched a life insurance scheme for weavers, the Mahatma Gandhi Bunker Bima Yojana, in collaboration with LIC. I am also happy that the Ministry has launched a Health Insurance Scheme, in collaboration with ICICI Lombard, to provide health facilities to weavers and their families. I am happy to learn that 230 new Yarn Depots will be opened to
  provide easy access to yarn for all clusters with more than a thousand looms. Easy availability of yarn will address one of the most pressing problems faced by weavers.
The handloom sector is characterized by clusters. Our Government recognized the need for an integrated and coordinated cluster based approach to the handloom sector and therefore, launched the Integrated Handloom Cluster Development Scheme last year. Twenty clusters are being developed at a cost of Rupees two crores per cluster. This year, we will cover another 100 clusters. In each of these clusters, we are focusing on quality and design upgradation to improve the marketability of handloom fabrics. The reversal of the decline in handloom fabric production after 2004 gives us confidence that we may be able to revive the sector if we sustain, as we must, our efforts over a period of time. I am aware that access to credit and cost of credit are two problems facing the handloom sector. Our Government has taken steps to ease this constraint. In this years budget, the Finance Minister had announced that a scheme similar to the Technology Upgradation Fund Scheme, which is available for the machine made textile sector, will be introduced for the handloom sector. This will provide capital subsidy for looms. I understand that handloom cooperatives suffer from two problems in accessing credit. Firstly, the cost of credit is on the higher side. The other is that credit to handloom cooperatives has been choked because of a debt overhang. Considering the importance of handlooms, we need to address these problems on a priority basis. I have asked the Finance Minister to consider the feasibility of extending the low interest facility provided for agricultural loans to handloom weavers as well. I have also asked the Textile and Finance Ministers to look at the problem of debt which is afflicting handloom cooperatives so that this can be rescheduled or cooperatives recapitalised in a manner similar to that done for cooperative banks through the Vadyanathan Committee. I am hopeful that we will resolve this problem, hopefully, in the next three months.

The Handloom Mark launched will provide a collective identity to Indian hand woven products. The Handloom Mark should emerge as the hallmark of high quality and high creativity. It will be operational throughout the country. Individual weavers, weavers cooperative societies, master weavers, retailers and exporters will all benefit from the use of this Mark.
 
     
 
India to sign pacts with patent offices abroad
The Union Cabinet has approved a proposal to sign an agreement with patent offices across the world to allow patent examiners to access the Traditional Knowledge Digital Library (TKDL) created by the National Institute of Science Communication and Information Resources (NISCAIR) on India's traditional medicine systems. The signing of the pact is expected to benefit the country immensely as it could help prevent scientists abroad from getting patents on various medical remedies that are already known to Ayurveda and other traditional medicine systems of India. This is because once the pact is signed, the patent offices across the world will be obliged to refer to the TKDL to assess whether the remedy is new or is based on knowledge already available in the Indian systems of medicines, as and when scientists apply for such patents. The data relating to only 7,000 formulations each in Unani and Siddha, and 1,500 postures in yoga remained to be included and the entire process was expected to be completed by December next year. The data are being made available in five international languages ò English, German, French, Spanish and Japanese. A salient feature of the
  pact will be that the patent officeswill be able to use the digital library only for patent search and examination. The patent examiners will not be able to disclose the information to any third party unless it is essential for the purpose of patent search and examination.

India in World media

News and views on India are the current favourite in the international media. The cover of a recent issue of Time is titled "India Inc ò Why the world‚s biggest democracy is the next great economic superpower and what it means for America". It depicts a classical dancer wearing a telephone operator‚s headset. The July/August issue of Foreign Affairs, carries articles about India, India-US relations, civilian nuclear cooperation and Jammu and Kashmir, under the title of The Rise of India. In its cover story the Economist featured a 14-page special on India, Time magazine and Foreign Affairs, the bimonthly publication of the Council on Foreign Affairs, also have India as their cover stories. Another article on the nuclear deal suggests Washington can win New Delhi‚s cooperation on a range of issues including the challenges of Iranian proliferation and Pakistani instability by sealing the deal. In the June 27 issue of Foreign Affairs an article titled "Will Kashmir

  Stop India's Rise?" talks about how a settlement is possible if the US leverages its aid to Pakistan to bring Islamabad and New Delhi to an agreement.

India’s millionaires on the rise

India‚s millionaire population in 2005 shot up by 19.3 per cent over the past year, second only to South Korea’s 21.3 per cent on world charts. The World Wealth Report, released by Merrill Lynch and Capgemini, says India had 83,000 millionaires (people with more than $1 million or Rs 4.5 crore in net financial assets, excluding their residence and consumables).
The rate at which India is producing rich people is hardly surprising, says the report. It goes on: "Also according to the most recent Goldman Sachs projections, India has the potential to become the fourth largest economy by 2025 and the third largest by 2050, behind only the United States and China."
Worldwide, the number of millionaires swelled by half a million in 2005 and there were 8.7 million of them, more than New York's population.
On the top of the charts is the US with a millionaire population of 2.67 million, nearly a third of the global millionaire population. Germany, the UK, China, Canada, Australia, Brazil, and Russia, among others, each have more than 100,000 millionaires.

 
     


MAIN I TRADE & ECONOMY I INVESTMENT UPDATE I NEWSMAKERS I INFOTECH I CULTURE I TRAVEL I CALENDAR