Promotion of 'e-marketing'for the Handroom sector



No.13/1/2014-DCH/ P&E
Government of India,
Ministry of Textiles,
Office of the Development Commissioner for Handtooms
****************

Udyog Bhawan, New Delhi
Dated: 21st August,2015

OFFICE MEMORANDUM

subject: Promotion of 'e-marketing'for the Handloom sector

          Office of the Development Commissioner for Handlooms under Ministry of
Textiles has been implementing various schemes for the promotion of handloom
sector. The key features of handloom sector are its flexible production system,
diverse design base, ability to provide good designs in small volumes and quick
switch over to product diversification. Efficient marketing of quality handloom
products is one of the most critical requirements for revival of the sector.

2. To win over the trust of the consumers, 'lndia Handloom' Brand has been
launched. It would assure the customer of genuineness, quality and authenticity
of the handloom products. While this office has been supporting handloom
weavers through traditional marketing channels, e-marketing is emerging as a
new marketing channel with high potential. E-marketing is also highly popular
with the younger generation customers. Therefore, in order to promote
marketing of handloom in general and to reach the customers of younger
generation in particular, a policy frame work has been prepared to promote e-marketing
of handloom products in a transparent, competitive and effective
manner. The policy frame work has been developed with the key objectives of
promoting the interests of both the producers of handloom products as well as
the consumers. The policy frame work is given in the ensuing paragraphs.

3. E-commerce entities willing to work for promotion of online marketing of
handloom products in collaboration with this office may submit application in the
attached proforma alongwith all relevant details.

4. The applications will be scrutinized by the following committee:

                    a) Addl. Developmentcommissioner(Handlooms)-chairman
                    b) Chairman-cum-Managing Director, Handicrafts and Handloom Export
                         Corporation (HHEC), New Delhi- Member.
                    c) Managing Director, Central Cottage Industries Corporation(CCIC),
                             New Delhi - Member

The committee will scrutinize the applications especially from the angle of the
track record of the applicant and reasonability of its turn over with respect to its
present area of operation. After satisfying it about good track record and
reasonable turn over of the applicant, the committee would give its
recommendations on the application keeping in view the proposed handloom
fabric producing areas for coverage through e-marketing of handloom products
and the proposed roll out plan.

5. Decision on the application will be taken after duly considering the
recommendations of the committee. Processing of applications will be completed
within a period of 3 weeks.

6. Approval to application for e-commerce of handloom products in
collaboration with Office of Development Commissioner for Handlooms will be
subject to the compliance of the following conditions:

i) E-commerce entity will make priority display of handloom products
through a banner on its Home page teading to an exclusive section for
certified/branded handloom products which either have 'lndia Handloom,
Brand or Handloom mark.

ii) E-commerce entity will not charge more than 8% of the sale price for
provision of all the services including photography, cataloguing, payment
gateway charges, collection & courier charges and insurance charges.

iii) The rate of service charges which the e-commerce entity decides to
levy within the limit prescribed at 6(ii) above will be notified to the O/o
Development Commissioner for Handlooms so that it can be disseminated
to all concerned for transparency.

iv) After deducting the notified charges, e-commerce entity woutd
ensure that the balance sale proceeds are promptly transferred to the bank
account of the handloom producers/weavers.

v) The approved e-commerce entity would also comply with any other
guidelines/conditions as may be notified by the Development
Commissioner for Handlooms in the interest of the handloom
producers/weavers.

7. Office of Development Commissioner for Handlooms will promote
marketing of handloom products in collaboration with approved e-commerce
entities through the following interventions.

a) The name and other details of approved e-commerce entities will be
displayed on the web site of Development Commissioner for Handlooms
and will also be disseminated through its Weavers Service Centres and the
State Governments.

b) Need based awareness generation activities will be taken up through
Weavers Service Centres and prominent handloom clusters for
dissemination of e-commerce facitities available for the handloom
weavers/producers.

c) Brief details of premium traditional handloom products would be
posted on the web site of Development Commissioner for Handlooms
which can be referred by the approved e-commerce entities in their
product catalogues for disseminating the information to customers.

d) Subject to availability, Office space and lT infrastructure would be
made available to approved e-commerce entities in Weavers Service
Centres, Common Facility Centres and handloom clusters only for
handholding and supporting the weavers and weavers entrepreneurs to
ava il e-com merce facilities.

8.  The performance of approved e-commerce entities in marketing of
handloom products would be monitored continuously. Approved e-commerce
entities would be required to send a brief monthly report to the O/o
Development Commissioner for Handlooms about number of handloom
producers/weavers who have availed their facilities, numbers of handloom
products and sale price of such products sold during the month. Such monthly
report should be sent by e-mail.

9. The approval to the e-commerce entities for this scheme would be for a
period of one year which would be considered for further extension depending
upon the performance in terms of volume of marketing of handloom products
and provision of satisfactory services to handloom producers/weavers

10. This policy frame work would be reviewed from time to time as per field
requirements and the experience gained, for safeguarding the interest of the
primary producers of handloom products and the consumers.

11. ln case, it is found at any time that the approved e-commerce entity has
violated any of the conditions as mentioned above, the approval would be
withdrawn and the same would be notified on the website of Olo Development
Commissioner for Handlooms without prejudice to any other action as per
applicable law.

(Alok Kumar)
Development Commissioner (Handlooms)
TeI : 2306 3684,23062945


To
Development Commissioner for Handlooms,
Office of the Development Commissioner for Handlooms,
Ministry of Textiles,Govt. of India,
Udyog Bhawan, New Delhi 110 011

Proforma of Application for online marketing of Handloom products

1. Name of the Firm/Company (e-commerce/online marketing):--------------------------------------
2. Address of the firm with contact details:
(a) City/Town/Village:------------------------------------------
(b) Post:----------------------------------------------------------
(c) District-------------------------------------------------------
(d) State---------------------------------------------------------
(e) Pincode-----------------------------------------------------
(f) Telephone & Fax------------------------------------------
(g) E-mail address--------------------------------------------
(h) Web address---------------------------------------------
3. Profile of the firm/company in brief.--------------------------------------------
4. Online marketing/e-commerce experience of the firm/company----------------
5. Annual turnover (last 3 financial years)-------------------------------------------------
6. Handloom fabric producing areas proposed for coverage
City/District/State : (i)-----------------------------------------------------
(ii)-----------------------------------------------------
(iii)----------------------------------------------------
7. Roll out plan with timelines.........................................................................

                                                     UNDERTAKING
1. We will abide by the policy frame work and conditions as contained in the office
Memorandum No. L3/1./201,4-DCH/P&E dated-------------------------- regarding promotion of
'e-commerce' for the Handloom Sector, in addition to any other conditions notified by
Development Commissioner for Handlooms in the interest of handloom producers/weavers.

2. l/we, on behalf of------------------------------------------------ (name of the firm/company) do
hereby undertake that l/we shall abide by all the guidelines of the e-commerce in true sense
and in case of any violation of the guidelines, appropriate action may be taken against
me/us.

Date: .......................                                                                                   Signature
Place........................

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