Khadi Sales Zoom As KVIC Gets Aggressive

The sale of Khadi, the symbol of Indian freedom struggle, has clocked an impressive 24 per cent growth in the financial year 2016-17 thanks to the rising all round popularity shows the latest government data. According to the data, the Indian Khadi industry (that includes the sales of KVIC and the Village Industries) grew at a rapid pace of about 24 per cent in 2016-17 thereby breaching the Rs 50,000 crore mark for the first time. In 2015-16, the total Khadi sales stood at Rs 42,000 crore while the figure was Rs a little over Rs 33,000 crore in 2014-15.

Enthused by the healthy growth of brand Khadi, now the Khadi and Village Industries or KVIC, a subsidiary of the Micro, Small and Medium Enterprises (MSME) Ministry, is working towards opening global Khadi stores in Dubai, Paris and London in the very near future.

KVIC Chairman Vinai Kumar Saxena recently said that khadi as a brand of clothing has gained significance in the recent past with the Prime Minister himself promoting the brand.

The popularity of Khadi has grown thanks to the aggressive push to brand Khadi by the KVIC which has a network of around 7050 sales outlets run by KVIC, KVIB institutions including the Khadi Gramodyag Bhavan. “A sub-scheme namely “Assistance for Marketing Infrastructure” was introduced for the renovation of Departmental Sales Outlets of KVIC and State KVIBs and retail sales outlets of Khadi Institutions to increase the turnover of Khadi products through improved marketing infrastructure,” said a senior official at the MSME ministry recently.

Now many corporate are signing deals with KVIC to further their expansion plans of brand Khadi. Recently, Arvind Limited signed a memorandum of understanding (MoU) with Khadi and Village Industries Commission to certify Khadi denim and Khadi products made by Arvind. As per the agreement, the company will acquire Khadi from KVIC and sell their designer khadi products with Khadi mark.


Consequently, Raymond, Allen Solly, Aditya Birla Fashion Retail (ABFR) have also signed Memorandum of Understanding with KVIC seeking permission to introduce their variant in the Khadi garment. KVIC has also requested the armed forces to consider using Khadi uniforms for security personnel.

Involvement of corporate in khadi industry would help the artisans to generate more income and provides more employment opportunities as demand increases.  

To increase educational guidance, KVIC also signed a MoU with National Institute of Fashion Technology (NIFT) last month for design development and training at different Khadi institutions. It aims to co-ordinate and provide support to NIFT by identifying the suitable Khadi institutions where the NIFT projects may take place and also engage NIFT students on summer internship/projects basis.