Powerpoint presentation on Kashmiri Carpets, India Presented by Aditi Bhatt Symbiosis Institute of Management Studies Batch of 2014-2016

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Kashmiri Carpets
Fort of the Indian oriental carpets and rugs
Presentedby : AditiBhatt
C 2
SIMS

2. CARPET INDUSTRY OF INDIA
• CARPET WEAVING IS NOT CONSIDERED TO BE INDIGENOUS TO KASHMIR BUT THOUGHT TO BE
INTRODUCED BY PERSIAN’S
• CRAFT THAT HAS ASSORTED SKILL AND EXPERTISE FROM LANDS AS DIVERSE AS PERSIA,
CHINA AND AFGHANISTAN
• IT IS OFTEN SAID IN KASHMIR FOLKLORE THAT A HOME IS INCOMPLETE WITHOUT A SOUL - A
KASHMIR CARPET, WHICH IS SAID TO "BRING THE ENTIRE HOUSE TOGETHER" INTO A UNIFIED
WHOLE.
• EXPENSIVE BECAUSE OF AN ELABORATE PRODUCTION PROCESS AND THE TYPE OF MATERIAL
USED- SILK AND WOOL
• PRODUCTION OF CARPETS MAINLY CARRIED OUT IN SRINAGAR, BUDGAM, ANANTNAG,
BARAMULLA
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3. Carpet belt Features
Bhadohi - Mirzapur in Uttar
Pradesh
• Maximum carpet production- 90% market share
• Medium quality , 60 -80 knots per square inch
Agra belt in Uttar Pradesh
• Persian style Carpets, emphasizing elegance and simplicity
surrounded by bold floral borders
• Turkman and Abussan are the famous varieties
Jaipur-Bikaner belt in Rajasthan
• Medium quality with about 80 knots to 120 knots per
square inch and geometric patterns
• Jaipur carpets are known for their innovativeness.
Panipat belt in Haryana
• Panipat is famous for ‘panja’ durries a kind of a floor
covering
• Durries resulted in a burgeoning number of private and
state owned weaving units within the city
Kashmir belt
• Famous for hand knotted woollen and silk carpets, they
are a symbol of quality and artistic expertise
• Pure silk carpets of Kashmir are such high quality that
they are woven with 324-600 knots per square inch
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4. MAJOR CARPETS OF
INDIA
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Hand Knotted Woollen Carpets
Hand Woven Woollen Carpets
Hand Tufted Woolen Carpets
Handmade Woollen Dhurries
Pure Silk Carpets
Staple or Synthetic Carpets

5. QUALITY STANDARDS
Kaleen- According to CEPC promotional material, the label
signifies that “the user is abiding by the code of conduct
adopted by the Carpet Export Promotion Council for the
eradication of child labour.
Step- Ensure market opportunities and transparent
business,better working condition and remunerations for
adult workers.
Care and fair-To ensure the medical, educational and
career opportunistic needs of the labours and elimination
of child labour.
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6. INDUSTRY OVERVIEW
Indian Handmade Carpet Industry is ranked No. 1 in the international market ,market share of
35% of total world import of Handmade Carpets, Employs over 2 million rural workers.
Export oriented , 1215 carpet manufacturing units recorded and of that 190 are in the
organized sector and the rest are in small scale industry sector.
Though it experienced a major set back during 1996 -2000 due to the involvement of the
child labour, it has over come the jolt by implying special measures like "rugmark" and
"kaaleen " labels that ensure the non involvement of child labour.
“Hand made carpet of Bhadohi” have been granted the Geographical Indication (G.I.). 6

7. MARKET SHARE OF KASHMIRI CARPETS :
RAN
K
COUNTRY OR
AREA
MARKET SHARE
(in%)
1 USA 14.9
2 Germany 11.5
3 United
Kingdom
10.3
4 Canada 6.5
5 France 4.9
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During 9-Jul-2014 to 9-Aug-
2014, India exported Kashmir
Carpets worth USD 2,846. UNITED
STATES is the largest supplier of
Kashmir Carpets accounting for
imports worth USD 2,846
The developed countries absorbs
88-90% of Indian carpet exports
 USA and Germany, the two largest
and established markets for
carpets together account for 76%
of India’s exports
World flooring and carpet demand
will rise 4.9 percent yearly to 18.6
billion square meters in 2016.
Hence, India must concentrate
more on the exports of Kashmiri

8. COMPETITOR ANALYSIS
Chinese carpets are emerging as the biggest threat in terms
of pricing and volumes
Owing to cheap prices of the foreign carpets from Turkey,
Belgium and China, the demand for the Kashmiri carpets
have decreased by 20 per cent in the domestic market
Prices per square feet of Kashmiri carpet range from Rs
1000 to Rs 2000 while cost of Chinese carpets range from
Rs150 to 400 per square feet 8

9. 9
Strengths
1.Low labour cost and innovative carpet designs
2. Low cost raw material, Availability of skilled
labours
3. Made up of Pure silk and wool, Hang Woven
4. High durability due to its high knottage which
makes these carpets stiffer and firmer
Weaknesses
1. High interest rates as compared to
neighbouring countries
2. Under-financed handicraft producers and
Traders/Exporters
3. Cheap prices of foreign carpets
4. Channels for local selling and marketing is
very low
5. Highly unorganised sector- Access to local as
well as foreign customers should be simple and
easy
Opportunity
1.Improving the productivity and quality of raw
materials at reasonable price
2. Improvement in the R&D for improvement of
fibre quality
3. Involve US importers, enhance the scope
through road shows ,fairs & exhibitions.
5. Tie up with wal-mart and other retailer to
have a huge customer base
Threats
1. Artisans are forced to quit this industry due
to recession
2. Low end carpets, made in China is driving the
market and the growth of the carpet industry
3. Stiff competition from Pakistan and China
4. Child Labour has made carpet industry a
defamed industry
SWOT

10. GOVERNMENT’S
INTERVENTION
• GOVERNMENT MUST COME FORWARD TO ASSIST THE INDUSTRY WITH SUBSIDIES TO
MAKE CARPET COMPETITIVE IN INTERNATIONAL MARKET
• REMUNERATION TO WEAVERS AND ARTISANS SHOULD BE SUITABLY INCREASED TO
BRING IT TO A LEVEL HIGHER THAN MNEREGA WAGES
• MDA ASSISTANCE SHOULD BE MADE AVAILABLE FOR CARPET EXPORTERS TO
UNDERTAKE OVERSEAS VISITS FOR THE PURPOSE OF MARKETING, PARTICULARLY IN
NON-TRADITIONAL AND DEVELOPING MARKETS
• PUBLIC- PRIVATE PARTNERSHIP TO IMPROVE INFRASTRUCTURE, POWER SUPPLY ETC.
• ENCOURAGING ORGANISATIONS LIKE CEPC, AICMA TO PROMOTE INDIAN CARPET BY
INCREASING THE DEMAND
• LARGEST FINANCIAL INSTITUTION IN KASHMIR ANNOUNCED AN INTEREST-FREE AND
MORTGAGE-FREE 18-MONTH BAILOUT PACKAGE FOR CARPET INDUSTRY ARTISANS
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11. BUSINESS STRATEGY AND EFFECTIVE
MARKETING
• DEVELOP AND MARKET NEW DESIGNS BASED ON INDIAN
ETHNIC THEMES
• CUSTOMER SOLUTION- ONE ON ONE WITH THE CUSTOMERS,
EMPLOYEES TO SELL THE CARPETS DIRECTLY TO CUSTOMER OR
PURCHASE THROUGH ONLINE PORTALS
• AGGRESSIVE MARKETING IN EMERGING MARKETS IN
DEVELOPING COUNTRIES AND CREATING A STRONG HOLD IN
THE DOMINATING BUYERS LIKE USA & GERMANY
• INNOVATIVE PRODUCTS RANGE WITH LOWER VOLUME COULD
BE A SUCCESS MANTRA FOR INDIAN CARPET INDUSTRY -
REGULAR RESEARCH & DEVELOPMENT, PROPER TRAINING TO
THE ARTISANS IS REQUIRED
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12. THANK YOU 
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