Annual Report of Other Sectors Highlights Functions and Organisational Set-up Organised Textile Mill Industry Powerlooms Handloom Industry Raw Materials Woollen Textiles Industry Sericulture Handicrafts Textile Exports Jute Public Sector Undertakings Textile Research Association SC/ST & Women Welfare Information Technology

PUBLIC SECTOR UNDERTAKINGS

NATIONAL TEXTILE CORPORATION LIMITED

BACKGROUND
National Textile Corporation Ltd. (NTC) was set up with the main objective of managing the affairs of the Sick Textile Undertakings taken over by the Government. It was also proposed to rehabilitate and modernize these Mills after the take -over and expand them wherever necessary with a view to making them economically viable.
NTC Ltd. (Holding Company) was incorporated in April, 1968 and started functioning in October, 1968. At present there are 119 mills, controlled by 9 subsidiary Corporations of the Holding Company namely, NTC(APKKM), NTC(DPR), NTC(MP), NTC(MN), NTC(SM), NTC(GUJ), NTC(TN&P), NTC(UP) & NTC(WBABO).

CAPITAL STRUCTURE
NTC Ltd. (Holding Company) started with an Authorized Capital of Rs.10.00 Crores, which was raised from time to time. It stands at Rs. 600 Crores as on date. The paid up capital as on date is Rs. 512.10 Crores.

CAPACITY
The Installed capacity of the mills under NTC as on 30.09.2000 was 31.83 lakh spindles and 29621 looms whereas the commissioned capacity was 26.44 lakhs spindles and 18953 looms.
Performance During :- 2000-2001

FINANCIAL RESULTS:
During the period April-Sept. 2000 NTC group has reported a provisional net loss of Rs. 542 Crores. The Group's anticipated net loss for the year 2000-2001 is expected to be Rs. 1084 Crores (Prov.)
The cash loss suffered by the NTC Group before depreciation, tax and interest on Government loans is Rs. 323 Crores (Provisional) for the period April-Sept 2000. Looking at the trend, this figure for the year 2000-2001 is likely to be Rs. 646 Crores (Prov.).
Four major factors, namely, shortage of working capital, stoppage/curtailment of activities, payment of idle wage to employees and lack of modernization put together, are responsible for deteriorating performance of NTC mills.

PERFORMANCE PARAMETERS
a) Production
During the period April-September, 2000, NTC mills have reported a production of 21million kgs of Market Yarn (own) and 12 million kgs. of job work yarn. Based on this trend, the total annual production during 2000-2001 is estimated to be around 66 million kgs, including job work.
NTC mills have produced 20 million mtrs. of cloth (own)during the period April-September,2000. In addition NTC mills have undertaken job work for cloth production to the tune of 2 million mts. during this period. If the same trend continues, the total annual production of cloth during 2000-2001, both own production as well as job work, is expected to be of the order of 44 million mtrs.

b) Turnover
The sales of the Market yarn (own) in value terms for the period April-September,2000 is approx. Rs.190 crores. During this period, the mills have also earned Rs 41 Crores by undertaking job work of market yarn. On this basis, it is estimated turnover for the whole year 2000-2001, for yarn, both own production as well as job work, is expected to be around Rs. 462 Crores.
The sale of Cloth (own) in value terms for the period April-Sept.2000 is of the order of Rs. 54 Crores. In addition, the mills have earned about Rs. 2 Crores during April-Sept.2000, by way of doing Job Work for cloth production. If the same trend continues, the turnover for cloth for the whole year is expected to be of the order of about Rs 112 Crores.
Based on the above indications, the total turn over of NTC group is expected to be at about Rs.622 Crores, including income from processing of cloth, show room sales and other miscellaneous sales.

c) Exports
Exports in value terms during the period April-Sept.,2000 have been Rs.10 Crores which is expected to touch Rs. 20.00 Crores for the whole year 2000-2001.

d) Employment
At the end of Sept.2000, there were 84645 employees on roll in NTC Group. As per the Turn Around strategy,1995, 62086 workers and 7385 Officers and staff totaling 69471 employees were identified as surplus. According to available data, up to end August'2000, 63824 employees had opted for VRS since Sept.'1992 when this VRS was introduced.

e) Activity Status
Due to acute shortage of working capital funds and other reasons, the mills, under NTC have not been able to utilize their full capacities. The activity status of mills during July-Sept.,2000 was as under :-
Mills with no production activity 44
Mills with partial production activities 40
Mills with normal production activities 35

REHABILITATION
The overall provisional accumulated net loss of NTC Group as a whole as on 30.9.2000 was Rs.7910 Crores. Eight, out of the nine Subsidiary Corporations have been referred to BIFR which has declared them as Sick industrial Companies under the provision of the Sick Industrial Companies (Special Provisions) Act, 1985. The BIFR has also appointed operating agencies for drawing up rehabilitation plans.
The rehabilitation plans for all the 8 subsidiary corporations of NTC were placed before the BIFR. The BIFR has issued show cause notices for winding up of four subsidiary corporations, namely, NTC(MP) Ltd. NTC (GUJ) Ltd., NTC(WBABO) Ltd. and NTC (UP) Ltd.
The Government has approved the following approach for all the mills of the eight sick subsidiaries of NTC:
i) There will be a unit-wise assessment to decide whether a unit is revivable or unviable .
ii) All revivable mills will be revived.
iii) Unviable units will be closed with an attractive VRS/VSS option offered to the employees.

Submissions have been made to BIFR accordingly.

The British India Corporation Limited, Kanpur

The British India Corporation Ltd. was taken over by the Government of India on 11.6.1981 by acquisition of all Private shares. The BIC has two woollen mills, namely, Cawnpore Woollen Mills Branch (Lalimli) and New Egerton Woollen Mills Branch (Dhariwal) under its direct control. Besides it has two cotton Subsidiary companies, namely, Elgin Mills Co. Ltd. and Cawnpore Textiles Ltd. The two woollen mills have 10,176 woollen spindles and 22,092 worsted spindles, 518 powerlooms and 162 handlooms. The total share capital of the BIC is Rs.44.66 crores out of which the share holding of the Government of India is Rs.42.96 crores. The total number of employees in the BIC is 3799.

FINANCIAL PERFORMANCE
The net loss for the financial year1998-99 was Rs.49.20 crores while the net loss for the year 1999-2000 is Rs.37.62 crores. The cumulative net loss upto 1999-2000 is Rs.411.61 crores against which cumulative budgetary support including amounts released for salaries and wages have been Rs.204.12 crores upto 1999-2000. The main reasons for losses suffered by BIC Ltd. include obsolete machinery, excess man-power, shortage of working capital etc.

PHYSICAL PERFORMANCE
The capacity utilisation for the year 1999-2000 is 12.00% in worsted spindles and 5.82% in the woollen spindles while the capacity utilisation in weaving Sulzer looms is 30.90% and in old power looms 3.09%. The value of production is Rs.10.73 crores as against Rs.4.14 crores for the previous year.

REFERENCE TO THE BIFR
In 1993, the Company was referred to the BIFR which declared it a Sick Industrial Company. The BIFR passed orders on 31.10.94 recommending the winding up of the Company. Against this order of BIFR, the Company filed an appeal before the AAIFR on 26.12.1996. The AAIFR also dismissed the appeal of BIC at its hearing held on 9.5.97 as the AAIFR felt that no rehabilitation scheme was feasible for the BIC Ltd.

The matter is pending in High Court Allahabad.
The Government asked the Wool Research Association (WRA) to prepare Techno-economic Viability Reports of the two woollen mills separately to consider the feasibility of reviving the units/Company. The report was submitted by WRA to Ministry of Textiles in February, 1998 . Government approved a proposal for the revival of the Company for the two woollen mills at an estimated cost of Rs.211 crores, which may involve conversion of government loan into equity and write off interest thereon. The Company is before the High Court, Allahabad for winding up, but on an application made by BIC, the High Court has remanded the case back to the BIFR where the revival proposal has been submitted for consideration and approval.

(a) THE ELGIN MILLS COMPANY LIMITED, Kanpur
The Elgin Mill Company Ltd., is a Composite Textile Mill known as Elgin Mill No. 1 and Elgin Mill No. 2 and is a subsidiary of the British India Corporation Ltd., Kanpur. It has an installed capacity of 1,18,092 spindles and 2,376 looms and employs 2789 workers & staff as on 31.10.2000.
Physical & Financial Performance
The capacity utilisation both spinning and weaving for the year 1999-2000 was 'Nil' ( the operation has been totally stopped since December, 1995). The Company incurred a loss before charging interest and depreciation of Rs.15.68 crores in the year 1999-2000. The accumulated net loss as on 31.3.2000 stood at Rs.662.93 crores including interest of Rs.301.36 crores on Government loan.
Reference to BIFR
BIFR on September, 1994 recommended winding up of the Elgin Mills Company Ltd., before the Hon'ble High Court, Allahabad. The appeal preferred by the Company before AAIFR against the order of BIFR has been dismissed on 9th May, 1997. The Hon'ble High Court, Allahabad has passed order for winding up of the Company and appointment of Liquidator on 29th September, 1999. On Special appeal No. 1121/99 preferred against aforesaid order of the Hon'ble High Court passed on 13th October, 1999 staying further action of take over by the Official Liquidator. However, at the hearing on 24th July, 2000, the Hon'ble High Court, Allahabad directed that the said stay order dated 13.10.99 would remain in operation only upto 18..8.2000.

(B) CAWNPORE TEXTILES LIMITED, Kanpur
The Cawnpore Textiles Limited is a Cotton Textile Subsidiary of the British India Corporation Limited, located at Kanpur. It has an installed capacity of 37800 spindles, 604 looms per shift and employs 1502 workers and staff per day as on 16th January, 2001.

Physical & Financial Performance
The production has been completely stopped since 12th May,'97 after the disclosure of Government order discontinuing the Budgetary support against salary & wages and VRS after 11th August, '97 (original date since extended till date). The Company incurred losses, amounting to Rs.7.90 crores before interest and depreciation during 1999-2000. The expected losses before interest and depreciation during 2000-01 would be Rs.7.66 crores approx. The accumulated net losses as on 31.3.2000 stood at Rs.118.58 crores including interest amounting to Rs.57.38 crores on Government loans and anticipated net accumulated losses as on 31.3.2001 would be Rs.137.43 crores.
Reference to BIFR
BIFR in January '95 recommended winding up of Cawnpore Textiles Limited before Hon'ble High Court, Allahabad. An appeal was preferred by the Company before AAIFR against the aforesaid orders, which was dismissed on 9th May, 1997 and the matter was referred to the Company Court at Allahabad High Court, which passed an order appointing Liquidator on 29.9.1999. However further action on take over by the Official Liquidator was stayed by a Division Bench on 28.10.99. Further, on 24th July, 2000, the Hon'ble High Court, Allahabad directed that Stay Order dated 28.10.99 shall remain in operation till 18..8.2000.

(C) BIRDS JUTE & EXPORT LTD. (BJEL), Kolkata
The Birds Jute & Export Ltd., is the only subsidiary Corporation of the National Jute Manufactures Corporation (NJMC) Ltd. This company has been incurring losses for the last several years. The total sales have decreased from Rs. 166 lakhs in 1994-95 to Rs. 15.31 lakhs in 1999-2000. The loss for the year 1998-1999 was Rs. 396 lakhs in comparison to Rs. 245 lakhs in 1994-95. The reasons for loss were poor machinery condition coupled with the steep increase in input price, high increase in wage costs and huge interest on loans. Poor off take in the market is also the reason for recurring losses.
The company has repaired and renovated some machinery. However, the shortage of working capital coupled with accumulated losses does not permit the company to run even partially at present. The company is preparing a revival plan in consultation with the operating agency.
As per the balance sheet (abstract), the following has been the performance of BJEL 1999-2000.

a)	Gross Sales	Nil
b)	Other Income	42.84
c)	Net Worth	(-)3238.16
d)	Turnover Domestic Exports	Nil Nil
e)	Operating Expenses	140.23
f)	Gross Profit /loss	(-)97.39
g)	Net profit/loss (after Tax interests and Depreciation)	(-)495.84

PERFORMANCE INDICATORS
Table 12.1

Particulars	1996-97	1997-98	1998-99	1999-2000	2000-2001 (upto Sept. 2000)
Production (M.T.)	77583	76313	70013	46361	30359
Production per day (M.T.)	257	253	235	214	198
Capacity Utilisation (%)	49	48	45	41	38
Average hands per day	23066	22431	22400	20947	19433
Mandays per M.T. (Rs. in crores)	90	89	95	98	98
Export Sales	42.37	34.00	25.47	12.77	0.16
Domestic Sales (Rs. in crores)	145.49	123.05	131.14	101.53	62.11
Total Sales (Rs. in crores)	187.86	157.05	156.61	114.30	62.27
Operating Loss* (Rs. in crores)	102.22	91.83	126.34	128.68	54.78
G.O.I Loan (Rs in crores)	80.00	70.00	104.11	96.00	56.00

NATIONAL JUTE MANUFACTURES CORPORATION LIMITED (NJMC), Kolkata
Background
National Jute Manufactures Corporation Limited (NJMC) was incorporated in 1980. There are six nationalised Jute Mills under its management of which five are located in and around Calcutta and one at Katihar, Bihar. NJMC is the only Public Sector Undertaking engaged in Jute goods manufacture. The Undertakings of the six Jute Mills viz. National, Kinnison, Khardah, Alexandra, Union and RBHM, the management of which were earlier taken over by the Govt. under the Industries (Development & Regulation) Act 1951 were nationalised and vested in NJMC. The Mills produce traditional Jute goods like Hessian, Sacking, Jute Twine and also Jute Carpet Backing Cloth (CBC).

Production, Productivity & Performance
At the time of Nationalisation production of the mills under NJMC was around 1.10 Lac tons per annum which went up to 1.33 Lac tons in the year 1985-86. There is however, a decline in production during the last 3 years. The present trend of production, productivity & performance is tabulated above at Table 12.1.

Reference to BIFR
In view of continuous cash loss and complete erosion of net worth, NJMC was referred to the Board for Industrial and Financial Reconstruction (BIFR) on 11th Aug., 1992. BIFR has directed the Operating Agency (IIBI) to prepare a Unitwise viability.

THE JUTE CORPORATION OF INDIA LTD (JCI) , kolkata
The Jute Corporation of India Ltd. is the official agency of the Govt. of India in implementing its policy of providing minimum support price to the jute growers and to serve as a stabilizing agency in the raw jute sector. However, in years when prices of raw jute had ruled above the minimum support level, JCI had also undertaken commercial operation. It has completed 29 yeas of service to the jute growers in April'2000.

Infrastructure
Currently JCI is operating through 171 purchase centers situated in 7 jute growing States, namely, West Bengal, Assam, Meghalaya, Bihar, Orissa, Andhra Pradesh and Tripura. In order to increase its market coverage JCI during the current season approached to the Apex Cooperative Societies of the jute growing States to participate in the MSP operation in raw jute/mesta through their centers. In response to this, 40 cooperative centres in West Bengal and 5 cooperative centres in Bihar are acting as agents of JCI in procuring raw jute during the current season (2000-01) under MSP operation. Apart from this attempts were made to utilize the village level service societies to procure raw jute directly from the growers and to deliver the same to the nearest JCI/Cooperative centers. By this arrangement 5 village level service societies are procuring raw jute in Assam.

Range of Services Provided
The main activities of JCI are :
MSP operations for the benefit of marginal jute farmers and commercial operation at prices above support level depending on the raw jute market situation. During the current season the Corporation procured a quantity of around 7,19,454 quintals through its own purchase centers and 93,237 quintals through its agent cooperatives i.e. altogether 8,12,691 quintals, equivalent to approx. 4.51 lakh bales as on 6.11.2000 under minimum support operation.
Pioneering the establishment of BIS standards for raw jute grading. Due to strict quality control, jute purchased and packed by the Corporation fetches a premium in the raw jute market.
Acting as Inspection Agency of the Government prior to export of raw jute as and when called for. Government of India entrusted JCI to function as a nodal agency for implementation of two projects - (1) for construction of 14 cost effective community retting tanks ( 5 in Assam, 5 in AP and 4 in Bihar) on 50:50 cost sharing basis between the Government of India and the respective State Governments. On completion of this project, community retting tanks would be used by the local jute growers for jute retting, fishery and other household work. (2) A project on further development of a manual/power driven ribboner machine for extraction of fibre from green jute plant. Under this project NIRJAFT has developed a machine capable of extracting ribbon from multiple jute plants. The machine was put to trial during the current season. NIRJAFT is working for further development of this machine.
Providing services in the field of market research and acting as a decision support system in the field of agricultural marketing.

THE COTTON CORPORATION OF INDIA LTD. (CCI), mumbai
The CCI was set up in 1970. It came into existence with the objective of acting as the canalising agency for import of cotton and undertaking purchase of raw cotton for giving necessary price support to enterprising cultivators growing new varieties of cotton developed as substitute for imported Long and Extra Long Staple Cotton and also for procuring raw cotton for textile mills both in public and private sector. Over the years, its operations have undergone significant changes in keeping with the development which have taken place in the Indian Cotton Economy during the past two decades. Subsequently, the CCI's role was expanded to carry out commercial operations for meeting the cotton requirements of institutional buyers and to fulfill the export quota allotted to it by the Government.
The Sales turnover of the Corporation is expected to be around Rs.807 crore during the year 2000-2001 as compared to Rs.546 crore in the year 1999-2000. The net profit after tax was Rs.1.75 crore in the year 1999.2000 as against Rs.12.91 crore in the previous year.
The CCI's sales of cotton to the quality conscious mills in the private sector (particularly the 100% EOUs marginally declined form 72.2% during 1998-99 to 68.9% during the year 1999-2000. The sales to NTC mills registered a nominal increase from 13.6% to 15.04% during the year 1999-2000.
The CCI intensified its developmental activities during the year while continuing the existing activities and taking up new ones during the year. These were basically aimed at increasing production, productivity of cotton and also for improvement in the processing of cotton.
The developmental activities involved Village Adoption Programme for dissemination of technology to the farmers to increase the yield per hectare, production and distribution of genetically pure certified seeds, distribution of pesticides to cotton growers, production of genetically improved parental lines of DCH-32 variety, funding Research Projects for genetic improvement of parental lines of DCH-32 Hybrid cotton in Karnataka, crop surveillance Research Projects on Naturally coloured cotton, promotion of medium staple cotton, bringing new areas under cotton, etc. For the various developmental activities listed above, the Corporation spent an amount of Rs.1.34 crore during the year 1999-2000.
The CCI also implemented an Action Plan to modernise the Ginning & Pressing Factories with a view to ensuring contamination free processing of cotton for improvement in quality and also for ensuring that processing of cotton conforms to BIS norms. The CCI continued with this incentive scheme during 1999-2000 and incentive amounting to Rs.29.98 lakh were given to Ginning and Pressing Factories in different States.
The Corporation has been able to achieve all the targets set under the Memorandum of Understanding (MOU) signed by it with the Ministry for the period covering 1998-99. The performance of CCI as per MOU for 1999-2000 is rated as 'Fair'. The MOU for 2000-2001 has also been signed with the Ministry in March, 2000.

HANDICRAFTS & HANDLOOMS EXPORT CORPORATION (HHEC), new delhi
The Handicrafts & Handlooms Export Corporation of India Limited (HHEC) was set up in June, 1962 with the twin objectives of (i) Export promotion, and (ii) Trade development of handicrafts and Handloom products. HHEC is a trading house in the export of handicrafts and Handloom products ( including Handknotted woolen carpet and ready made garments) besides undertaking export of Gold and Silver Jewellery articles. In the year 1997-98, vide Government notification No.80/97 Customs dated 21st October, 1997, HHEC along with other ten agencies was nominated for import of bullion under OGL, and sale in the domestic market. In keeping with its plan for diversification HHEC also undertook import of mulberry raw silk.

	1997-98	1998-99	1999-2000	2000-2001
Total Turnover	318.28	139.73	370.12	253.25
Gross Profit	2.42	1.87	4.13	3.10
Net Profit	2.04	1.59	4.01	2.88

Turn Over
The Corporation achieved a record turnover of Rs. 370.12 crores surpassing the earlier highest of Rs. 318.28 Crores recorded in the year 1997-98. As compared to previous year (Rs.139.73) the increase in turnover is 165% Target for 2000-2001 is Rs. 253.25 Crores which include export of Rs.101.90 Crores.

Working Results
During the year 1999-2000 the total income increased to Rs. 22.87 Crores as against Rs. 22.57 Crores during the previous year. The overheads (excluding prior period items) during the year 1999-2000 reduced to Rs. 18.74 Crores as against Rs. 21.03 crores during previous year. The net profit of Rs. 4.01 Crores is also a record, surpassing the pervious record profit of Rs.3.84 Crores achieved in the year 1992-93 . The company has again paid to the Government enhanced dividend of 7% on paid up share capital amounting to Rs.82.74 lakhs.

Statistics
The summarized working results for the last three years alongwith targets for 2000-2001 is given in table below:-

Mulberry Raw Silk Imports
The import of Mulberry Raw Silk was placed in the canalized list vide Notification no. 18 RE- 990 1997-2002 dated 8th July, 1999 and the Corporation was one of the designated agencies for imports. The Corporation undertook import of Mulberry Raw Silk and achieved a sales of Rs.177.71 crores in 1999-2000, as compare to Rs. 21.29 Crores in the previous year. The imports for mulberry raw silk has been again placed in the restricted list of imports w.e.f. 1.4.2000.

Memorandum of Understanding
A memorandum of understanding for the year 1999-2000 duly approved by the High Power Committee in the Department of Public Enterprises was signed between Ministry of Textiles and the Corporation on 29.04.1999. The performance evaluation Report for 1999-2000 MOU on the basis of provisional data has been submitted with Department of public Enterprises and the Corporation and has been rated as "Excellent". The MOU for the year 2000-2001 has also been signed on22.3.2000.

Export Promotion and Trade Development
The Corporation continued its export promotion and trade development activities during the year by developing new samples, engaging professional designers and entering new areas of Handicrafts and was able to generate business for new products in new markets. The Corporation also introduced e-commerce which is giving positive results and is beginning to receive orders. HHEC has undertaken promotion of Indian Handicrafts and handloom products in foreign markets through improved design inputs. The Corporation continue giving exposure to traditional Indian, especially lesser known products in the world market by participating in a number of international fairs on handicrafts, handlooms, ready to wear and carpets.

Achievement upto December, 2000
HHEC has achieved turnover of Rs. 328.48 Crores upto December, 2000 which direct exports of Rs. 45.90 crores, domestic sales of Rs. 0.67 Crore, bullion imports of Rs. 241.55 crores and silk imports Rs.22.36 crores as against turnover of Rs. 181.90 crores, during the corresponding period last year which includes direct exports of Rs.43.75 crore domestic sales of Rs. 0.64 crores bullion imports Rs. 41.70 crores and silk imports of Rs.91.18 crores. The net profit upto December 2000 is Rs.2.60 Crores as against Rs. 0.86 crores last year.

Capital
The authorized share capital of HHEC remained Rs. 20 Crores and paid up capital is Rs. 11.82 Crores as on 31st March, 2000.

NORTH EASTERN HANDICRAFTS AND HANDLOOMS DEVELOMENT CORPORATION (NEHHDC), guwahati
Introduction
The NEHHDC Ltd. was established in 1977 as a Regional Nodal Agency for the promotion and development of Handicrafts and Handlooms in the region. The areas identified for undertaking promotional and developmental activities included infrastructural and input support for research, design development, training of craftsmen and weavers, technical upgradation, supply of raw materials through appropriate budgetary support. The Corporation was also required to market the products outside the region and promote export.

Activities
The main activity of the Corporation is developmental covering different spheres mentioned above. Its secondary activity is related to marketing. Its marketing operation are being conducted through a net work of 6 (six) emporia located in metropolitan and other cities. These emporia also organize and participate in a variety of exhibitions, Handlooms and Handicrafts Expos, N.E. Crafts Fair, etc. The Corporation has also been participating in I.I. T. F., other Trade Fairs, and Gifts Fairs, etc. on regular basis.
During 2000-2001 the NEHHDC has been conveyed administrative approval for the conduct of 55 exhibition, N.E. Crafts Fair at Chennai, pune, Bangalore, Mumbai and Calcutta and participation in IITF 2000. Till 31st December 2000, the Corporation has conducted 40 exhibitions, 2 Crafts Fairs in Mumbai and Chennai and participated in IITF 2000 during November, 2000. The remaining exhibitions and Craft Fairs will be conducted and completed by March, 2001. Exhibitions and Craft Fairs on a larger scale is proposed for 2001-2002 as they contribute in a large measure to the Corporations turn over and providing good exposure to craftspersons and weavers of North Eastern Region to markets outside the region. During May 2000, the Corporation also participated in the Indian Trade exhibitions at Tel Aviv, Israel organized by ITPO where handicrafts and handlooms products displayed received very good response. Catalogues and our price lists have been sent to 20 business houses in Israel who had approached us in Israel to send them our catalogues and price lists.
The functioning of the Dye House was stopped from 1st April, 1994 under the direction of the Government of India . In February 1997, the Government further ordered winding up of the Dye House and disposal of plant, machinery and other assets by auction or leasing to other institution. However, complete winding up of the Dye House has not been possible in absence of Government decision on the treatment of outstanding secured and unsecured loans availed in the setting up of the Dye House. Due to closure of the Dye House the manpower numbering 63 have been rendered idle. However Government has sanctioned funds in March" 98 for a Cane & Bamboo Common Facility Center, which will facilitate use of the Dye House building and also redeployment of about 25 staff of the Dye House. 20 of whom were trained at IPIRT, Bangalore. The Common Facility Centre has stated its trial production from April 2000 and is now fully operational. Orders for several tonnes of bamboo sticks have been received. So far about 6 tonnes of bamboo sticks from one stick making machine has been produced and training is being imparted to 12 craftsmen of Barpeta and Kamrup Districts of Assam with whom it is proposed to have production tie ups at a later stage.

The Corporation has so far completed the following Promotional and Developmental schemes:-
i) 48 page colour catalogue of handicrafts products of NER (5000 copies);
ii) CD Rom on handicrafts of NER (1000 copies). CD Rom of handlooms of NER (2000 copies);
iii) Computerisation of HO, RO, Liaison Office, New Delhi and Showroom is expected to be completed by January, 2001;
iv) Renovation of the Sales Promotion cum Liaison Office, New Delhi and renovation of Bangalore showroom. The renovation of the Calcutta showroom is expected to be completed by January 2001;
v) Completed training of 96 craftsmen in Cane and Bamboo at Dhupguri. Similar training is in good progress at Colony Bazar which will be completed by 31.08.2001;
vi) Implementation of the DEPM in North Lakhimpur and development of 40 prototypes. It is proposed to test-export the products of North Lakhimpur through the Handloom Export Promotion Council of Chennai;
vii) Conduct of a Fashion Show of N. E. Garments in New Delhi on 11th December, 2000 financed by North Eastern Council;
viii) The Corporation is also actively involved in the implementation of cane and bamboo project of UNDP;
ix) Completed survey and study of craft village in Guwahati;
x) Survey and study of Cane and Bamboo Reserves of North Eastern Region for which State Forest Research Institute, Arunachal Pradesh has been commissioned is nearing completion. Two Interim Reports received;

	96-97	97-98	98-99	99-00	00-01 upto 31 . 12 . 2000
Turnover	589.87	325.54	3000.70	466.48	393.25
Gross Profit(approx)	136.07	89.39	84.07	117.49	98.00
Total Loss(approx)	61.93	139.23	140.86	165.00	132.00

The authorized share capital of the Corporation is Rs. 2 Crores which is fully paid up and subscribed by the Government of India. The Corporation has submitted a proposal to enhance the share capital to R. 15 Crores to accommodate enhanced equity capital after the conversion of outstanding loans/ interest into equity, grant or write off. Proposal under the capital restructuring plan submitted to Government of India. The Corporation has proposed to raise share capital from Rs. 2 Crores to Rs. 10 crores and convert the entire Government loans into grant-in-aid. Consultancy work on restructuring of NEHHDC is also in progress.

Performance
The detailed financial performance over a period of five years from 1996-97 to 2000-2001 is as follows:
(Rs. in lakhs)
The net loss is due to the following:
a) Increased overheads particularly in salaries on account of revision of pay-scale.
b) Huge idle workforce of dye-house.
c) Discontinuation of promotional and development reimbursement schemes.

CENTRAL COTTAGE INDUSTRIES CORPORATION OF INDIA (CCIC), new delhi
The Central Cottage Industries Emporium was established in Delhi in the year 1952 under the Management of the Indian Co-operative Union and was later on taken over by the Central Cottage Industries Association in 1964. The Central Cottage Industries Corporation of India was incorporated on 4.2.1976 as a wholly owned subsidiary of the Handicrafts and handicrafts and Handlooms Export Corporation of India Ltd. However, with effect from 27.3.1991, CCIC has ceased to be a subsidiary of HHEC of India Ltd. and has been brought under the administrative control of the Ministry of Textiles.
The main objective of the CCIC is to act as a dealer, exporter, manufacturer and agent of Indian quality Handicrafts and Handlooms products and to develop markets for these products in India and abroad. However, it also engages itself in export activities and is eligible export house. The Corporation has fives showrooms at Delhi, Calcutta, Mumbai, Bangalore and Chennai. Besides, the Corporation has its own production centre at NOIDA for manufacture of readymade garments and accessories. The production centre also has a printing unit where Sarees, fabrics etc. are printed.
The authorised Capital of the Corporation is Rs. 12.00 Crores and the paid up Capital is 10.85 Crores.

Year	Turnover	Net Profit after Tax. ( Rs. in lakhs)
1997-98	14569.62	61.16
1998-99	18545.78	75.71
1999-2000	21634.00	92.08

The total sales of the Corporation for the financial year 1999-2000 were of the order of Rs.5312.46 lakhs as against Rs.5222.54 lakhs during the year 1998-99. Thus during 1999-2000, the sales increased by 1.72% over the previous year. Cumulative sales during April-December, 2000 Rs.3873.18 lakhs approximately. The Corporation has set for itself an ambitious target of turnover of Rs. 6025 lakhs for the financial year 2000-2001. The net profit before Tax for the year 2000-01 is anticipated to be around Rs. 75.00 lakhs.
The Corporation continues to strive for excellence in the field of its operations. To promote traditional crafts of the country, the Corporation purchases bulk of the merchandise directly from the artisans. The Corporation proposes to open more branches in the major cities of India in future.

NATIONAL HANDLOOM DEVELOPMENT CORPORATION (NHDC) Ltd. lucknow.
National Handloom Development Corporation (NHDC) Ltd., Lucknow was set up in February, 1983 a Public Sector Undertaking by the Government of India as an autonomous body under the Companies Act, 1956, in pursuance of the imperative need for a National Level Agency to assist the speedy development of the Handloom Sector by co-ordinating all action covering the procurement and supply of inputs at reasonable prices, augmenting the marketing efforts of State Handloom agencies and initiating development activities for upgrading the technology in the handloom sector and improving their productivity.

The main objectives of the Corporation are :-
1. To carry on the business of all types of yarn for the benefit of the handloom sector.
2. To organise supply of quality dyes and related materials needed by the handloom sector.
3. To promote marketing of handloom fabrics including exports.
4. To aid, assist and implement the projects connected with the production of handloom fabrics including taking up modernization programme, introduction of appropriate technology for the handloom sector.

The total authorized capital of NHDC Ltd. is Rs. 20.00 crores and its paid up capital is Rs. 17.00 crores upto the year 2000-01.
The turn over and profit account of the Corporation for the last three years as under:-
During the year 1999-2000, the Corporation has declared dividend @ 21.72 % and paid a sum of Rs.20.00 lakhs to the Government of India as dividend.
The corporation has shown improvement in its performance as compared to the last year's performance. The NHDC has supplied yarn worth Rs. 19681.77 lakhs during the year 1999-2000 as against Rs. 16928.32 lakhs worth of Yarn supplied in the year 1998-99. Dyes & Chemicals worth Rs. 1652.43 lakhs were supplied during 1999-2000 as against Rs. 1412.95 during the previous year. 201.21 lakh kgs. of Yarn was supplied to user agencies while in the field of dyes and chemicals the supply was 10.06 lakhs kgs.
During the year 2000-2001 (upto January, 2001) the Corporation supplied yarn of 132.26 lakhs kgs. worth Rs. 13474.04 and 8.27 lakhs kgs. of dyes and chemicals worth Rs. 1416.35 lakhs.