Price, profitability and employment in the handloom industry in kerala

The present study is on the nature, problems and prospects of the handloom industry in Kerala. The problems of the industry are mostly in the nature of low earnings of the workers, underutilisation of the existing capacity and low profit in its various sectors. The majority of the handloom co-operative societies are either dormant or facing liquidation. The income and employment of weavers are so pitiably low that they are living in utter poverty and starvation. Frequent price fluctuations of yarns, dyes and chemicals increase the cost of production and reduce the profitability. Consequently handloom fabrics are not able to compete with mill cloths and powerloom products. Accumulating the unsold stocks in the godowns of co-operative societies and with master weavers has become the practice of the day. Spinning mills in Kerala are producing only lower counts of yarns. S, handloom industry has to depend on textile mills in Tamil Nadu for higher counts of yarn. They create artificial scarcity and increase the prices exflorbitantly. Wage rates prevailing in Kerala are higher than those in Tamil Hadu. So rich master weavers are migrating to Tamil.Nadu and exporting the fabrics. under the label 'Kera1a Handlooms'. Governmental efforts to tackle the crisis by way of rebates and subsidies are found to be futile.

A study of industrial co-operatives in kerala with special reference to modern small scale sector

The report of the Steering Committee of the Kerala State Planning Board for the preparation of the VIII five Year Plan on Industry and Hiningzslisted several factors inhibiting and promoting growth of small industrial units. Kerala's educated manpower, the native intelligence of the Keralites best suited for taking up logic—based professions and availability of a Hell—developed and broad~based physical infrastructure particularly in the transport and communications sectors, are a few of the positive factors identified. On the negative side, may be mentioned high wage rates, preference on the part of the educated for white collar Jobs, lack of entrepreneurship, paucity of essential resources for industrial use, high density of population and the distance factor which places Kerala away from the major domestic markets. In this context, it would appear that the industrial co-operative movement could possibly play a vital role in accelerating-the momentum of small industrial development of Kerala which has a Health of highly educated and skilled manpower. However, in spite of the encouragement extended by the Government, the movement does not seem to have.been picking up in the modern small scale sector. The present study is an attempt to analyse the factors that have affected the performance of the industrial co—operatives in the small scale industrial sector of Kerala.