Home / Knowledge / News / Textiles / KVIC to adopt market-linked pricing
KVIC to adopt market-linked pricing
17
Jun '10
Under the Khadi Reforms Development Program announced recently by Khadi and Industries Village Commission (KVIC), several initiatives have been announced to revive and ensure sustainability of khadi institutions. One of the reforms that have been suggested is market-linked pricing to replace cost chart.

Khadi institutions that avail sales rebate under the KVIC programme are currently required to follow a Cost Chart for pricing of Khadi products. This arrangement does not provide the flexibility in product pricing for increasing the sales profile of Khadi.

Accordingly the Cost Chart will be discontinued. The transition from centrally administered pricing to market-linked pricing will be accompanied with training and familiarization process.

Simultaneously, KVIC will introduce a system of 'Benefit Chart' for KIs registered with KVIC or Khadi and Village Industries Boards (KVIBs) as well as for the envisaged new Khadi ventures.

The Benefit Chart is intended to ensure that surpluses, generated by shift to market-linked pricing and expected increases in the price realization through proposed product and marketing reforms are used for the benefit of the Khadi artisans and workers.

After removal of price restriction the institutions will be encouraged to formulate pricing strategies as determined by market forces. KVIC will conduct training programme for product pricing and its implementation. KVIC will also provide other market related inputs to enable institutions in determining market oriented pricing.

The benefits that will accrue are that, atleast 50% of the surplus will be distributed as bonus / incentive to artisans. Balance earning will be utilized for creating provisions for future capital requirement including artisans' implements and their welfare. Proper flow of benefits to the artisans will be monitored by KVIC through audit of artisans' passbooks.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 22nd Mar 2017

Amazon India introduces 'A-Z GST Guide' programme

Amazon India has introduced a programme called 'A-Z GST Guide' to...

Textiles | On 22nd Mar 2017

Dyeing textiles with bacteria

As an alternative to toxic synthetic dyes, scientists are exploring...

Courtesy: BCG

Apparel/Garments | On 22nd Mar 2017

Consumption in India to touch $4 trillion by 2025: Report

Consumption in India is likely to triple to $4 trillion by 2025 as...

Interviews View All

Nitin Soni
Dolphin Jingwei Machines

Taxation policies need to be made simpler

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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
March 2017

March 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search