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Kashmir arts industry takes beating as exports, earnings decline steadily

Rashid Paul by Rashid Paul
June 25, 2019
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Kashmir arts industry takes beating as exports, earnings decline steadily
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Srinagar, Jun 24: Unique in their artistic beauty the handicrafts of Kashmir are hanging by a thread. The volume of exports has plummeted to an all-time low and artisans are giving reality precedence over the art.

In 2014-15, Kashmir exported different handicraft items worth Rs 1287.04 crores to various parts of the world. The figure went down to Rs 1090 crores in 2017-18 and further slid to Rs 917 crores in 2018-19.

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The downturn has been remarkable in carpets and shawls, two major components in the list of Kashmiri handmade goods.

Five years ago, Kashmiri trades-people sold carpets in the overseas market to the tune of Rs 492 crores. However, the sales went down to Rs 353 crores in the financial year ending 31st of March this year.

Shipments of Cashmere (hand-woven fine wool) shawls valuing Rs 368 crores were sent to Europe and other regions in 2014-15 but the consignments squeezed at Rs 284 crore in 2017-18.

A variety of reasons are attributed for the insecure situation of this important industry of Kashmir which helped sustain its people in the tumultuous militancy years in the nineties when most of other economic activities came to a standstill in the region.

“The overseas market of our handicrafts has squeezed to Middle Eastern and Central Asian regions besides some Scandinavian countries,” said Sheikh Ashiq Ahmad, president Kashmir Chamber of Commerce and Industry (KCCI).

Handmade products were all along under zero taxation rates in Kashmir. However, with the extension of GST as part of its project of complete (financial) integration of Kashmir by Government of India, artisans, traders and manufactures here feel being incapacitated by the new tax regime.

“Apart from absence of innovations in designs, our products have become costlier than those of our competitors from Iran and other countries. The General Sales Tax (GST) extended to Kashmir on 7th of July 2017 by the then coalition government of Bharatia Janata Party and Peoples Democratic Party has virtually ruined this sector,” he said.

Handmade products were all along under zero taxation rates in Kashmir. However, with the extension of GST as part of its project of complete (financial) integration of Kashmir by Government of India, artisans, traders and manufactures here feel being incapacitated by the new tax regime.

Kashmir Pashmina shawls, carpets and papier-mâché are currently being charged GST at the rate of 12 and five percent respectively.

“Traditionally the Indian domestic market has been a well-paid destination for Kashmir shawls but the GST has made it costlier. Besides the surge in cases of lynching and attacks on Kashmiris by some rightwing Hindu mobs have made the situation worse,” said Ahmed, the KCCI president.

With buyers hesitant to acquire his stocks, Farooq Ahmed Shah, a carpet manufacturer from downtown Srinagar resorted to distress sales worth Rs two crores. “I have retrenched 90 percent of my workers and restricted the number of my manufacturing looms from 50 to six,” he told this newspaper.

“Although as part of its export enhancement strategy, the Central government provides some incentives wherein we can reclaim the GST. However our products for various reasons remain unsold for years together,” said Abdul Hamid, a papier-mâché merchant.

The slump has deteriorated the condition of 3.5 lakh Kashmiri artisans who have been living a sub-human life for generations.

Ghulam Mohammed, from Bemina suburb of the city, knotted rugs for the past 45 years and is selling tea on a cart at General Bus Stand Batamaloo.  “I earned Rs 7.50 a day on the craft in 1970 when 250 grams of lambs meat would cost Rs 1.50. But my earnings in the crafts after four-and-half decades would not exceed Rs 200,” he said.

Since sustenance has become difficult, Ghulam Mohammed has chosen to stick to the reality of life with his artistry and craftsmanship having taken a back seat.

 

 

 

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Rashid Paul

Rashid Paul

Rashid Paul is  Associate Editor at Kashmir Images. He can be reached at rashidpaul@gmail.com

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