Home / Knowledge / News / Textiles / Karnataka to shut down silk marketing board
Karnataka to shut down silk marketing board
22
Apr '10
The Department of Sericulture has decided to shut down their non-viable unit, Karnataka Silk Marketing Board (KSMB). The board was incurring losses since its institution in 1979, excepting for once in 2003-04, when it recorded a net profit of Rs 1.165 million.

Venkataramanappa, State Minister for Small Scale Industries and Silk, while addressing the press said that, it decided upon the closure of the board following the recommendations of A F Ferguson and Company, a consultancy firm.

Government had assigned the consultancy firm to review the board's functions and suggest modes and means to revitalize it. But instead, the consultancy firm suggested shutting down the board.

The Minister said that, imports, unrestricted trade in silk and competition from the private sectors turned KSMB into a loss making unit. He also said that, though during the last fiscal year, KSMB traded in 163 tonnes of silk yarn, way higher than the figures recorded in the previous years; it still failed to book profits. Even after reducing the operational cost and exercising a cut on the amenities provided to its employees, the board's turnover was not sufficient enough to keep it functional.

During 2009-10 KSMB incurred losses of Rs 30 million and a year before it made a loss of Rs 36 million.

Venkataramanappa clarified that, as the board's operational cost is higher than its earnings it was impossible to revive itself even if it manages to trade 500 tonnes of silk yarn. Therefore the decision was taken to shut down the board.

A report is due for submission before the State Cabinet for their approval and closure of the board will come into effect once the state cabinet sanctions the report.

Fibre2fashion News Desk - India


Must ReadView All

Apparel/Garments | On 26th Sep 2017

US raises annual AGOA quota for textiles

The US Committee for the Implementation of Textile Agreements has...

Textiles | On 26th Sep 2017

Thrace-LINQ expanding Dorchester County operations

Thrace-LINQ, a global supplier of fabrics for the textile industry,...

Courtesy: Levis

Fashion | On 26th Sep 2017

Google unveils smart denim jacket with Levi Strauss

Ending the months-long wait, Google has unveiled its smart denim...

Interviews View All

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
75.5%
No
12.2%
Skip
12.2%

Total Votes: 49

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.3%
No
24.5%
Skip
12.2%

Total Votes: 49

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.8%
No
6.1%
Skip
6.1%

Total Votes: 49

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
71.4%
No
10.2%
Skip
18.4%

Total Votes: 49


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search