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Carpet exporters eye quantum growth, expanding base

E-Tex Staff - New Delhi

The Carpet Export Promotion Council (CEPC) is looking at a major marketing and image building exercise to boost export of Indian carpets next year. After three years of marginal growth of 2-4 per cent in carpet exports, it has set itself a 10 per cent growth target for next year. While last year Indian carpet exports touched 514 million U$, this year’s projections are 535 million U$, a growth of 4 per cent.

While US and Europe have traditionally been the export markets for India, CEPC feels there is a need to look at newer markets like Latin America and South Africa. For this it plans to hold more buyer-seller meets and seminars in unexplored regions, besides a major effort to popularise Indian designs. With this in mind it is holding a buyer-seller meet in South Africa from April 2. As part of its aggressive brand promotion activities, it also plans to tie up with big retail malls, museums and shops for displaying the India brand of carpets, besides roadshows and TV advertising in channels abroad.

Says CEPC chairman, Mr Vijay Thakur, “We lag behind in our cost structure in terms of technology upgradation and labour productivity.” Stressing the importance of upgrading technology and design innovations to get an edge over competition from countries like Turkey, Pakistan, Iran and China, he says, “We have proposed the opening of Indian Institutes of Carpet Technology at Jaipur, Agra, Srinagar and Panipat. At present there is only one at Badohi. These institutes would impart professional training, besides creating new designs, undertaking R&D activity and sample testing.” He also emphasised the need to focus on textures and vegetable dyes for which the council has suggested the setting up of an Institute of Carpet Vegetable Dyes.

But there are many issues dogging the carpet industry. For instance, the industry depends to a large extent on the unorganised non-farm rural sector, which has tremendous employment generation potential. Among other recent recommendations to the ministry of textiles, CEPC has suggested that efforts should be made to develop this into an organised sector. “The government should chalk out special laws to cover this sector instead of clubbing it under the Industrial Disputes Law. Doing this will generate employment, create income and consequently stimulate demand in the rural sector,” says Mr Thakur. Besides seeking expediting of Special Economic Zone status for Badohi in UP, it is also seeking similar status to other carpet making centres like Agra, Srinagar, Jaipur and Panipat. He added, “Another point of discussion with the minister of textiles has been the release of shipments by non-vessel operating common carriers (NVOCC) without the original bill of landing. This is a practice very specific to the carpet industry that results in delayed receipt of payments and default in payments.”