SIMA demands scrapping of Handloom Reservation Act

AHMEDABAD: The Southern India Mills' Association (SIMA) on Thursday demanded the Handloom Reservation Act should be scrapped. SIMA has asked the Centre to do away with the act that is an artificial support extended to the handloom sector that needs to be reconsidered.

"In view of the fast changing economic and global trade scenario, the unrealistic Act has been curtailing the liberal growth of the weaving and decentralised power looms sector for decades apart making the clothing expensive for the rural India and limiting the standard of living of the handloom weavers," said SIMA chief S Dinakaran seeking a new handloom policy.

The Handloom (Reservation of Articles for Production) Act, 1985 covers eleven textile items of fabrics under the handloom reservation order.

"The reservation policy has lost its meaning and relevance and most of the items are produced only on powerlooms in a cost effective manner. Sathyam Committee (1999), which formed the base for Textile Policy 2000, had strongly recommended that Handloom Reservation Act and the Order issued there under should be done away with as the same had far outlived its utility," he said in a statement.

SIMA said most of the traditional handloom clusters in the country have today been converted into powerlooms cluster even with shuttleless looms which are able to produce the items covered under the Handloom Reservation Act in a cost effective manner and with better quality.