Essay on Problems of Cottage Industry in India – One of the greatest problems that the cottage industries face is that of finances and non-availability of raw materials. The major financial institutions i.e. Banks, Life Insurance and General Insurance can help the villagers.
The loan meals didn’t serve the purpose. Compact bodies backed by these institutions should be formed at village level. Village artisans should also be included in these bodies.
A planned effort should be made according to the needs and availability of skills in the region. Bureaucratic delays should be minimized and entrepreneurship should be inspired.
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A great headway was made in this direction by Gujarat Financial Corporation. But the efforts were limited to big urban areas only. Such corporations should honestly penetrate the rural areas.
The problem of marketing is another great handicap in the development of this sector. It is closely associated with the lack of talent and technical knowhow resulting in the manufacture of sub-standard goods. Government and voluntary organizations of technicians and engineers can do a lot in this direction.
Training camps can be organized according to the needs of the region. An eye should be kept on the quality of goods. Small units can be opened as ancillary industries and assemblage centers.
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Brass industry of Moradabad, lock industry of Aligarh, match and fireworks industry of Sivakashi, diamond shaping industry of Gujarat and precious stone manufacturing of Jaipur are working on these lines.
In the absence of a voluntary or government organization to manage all the aspects of these industries vested interests have been generated. The poor artisan remains in the background.