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INTRODUCTION
The handloom societies in Andhra
Pradesh are organised as a two tier sructure with the primary societies
in the village level called Primary Handloom Weavers' Cooperative
Societies (PHWCS) and the APEX Society at the State Level called A.P.
State Handloom Weavers' Cooperative Society Ltd., (APSHWCS), popularly
called APCO. Since the handloom weavers were facing problems for
getting inputs as well as for marketing their finished products, the
creation of an APEX Society was thought of to address these twin
problems by making timely availability of inputs and by providig
effective marketing strategy. Further, the Government is aware that
protection to the sector is required to be continued because of the
pious obligation to protect the heritage of the State and support is
required to be continued to offset the built-in cost handicap of the
handlooms, the focus of all its policy has been to provide a level
playing field so as to enable the weaver to stand up on his own and
face the market in a level playing field.
Establishment and Objectives of
APCO :
The Andhra Pradesh State Handloom
Weavers Cooperative Society Ltd., (APCO) is the APEX Handloom Weavers
Cooperative Society of Andhra Pradesh. The Society was registered in
the year 1976 with registered No.T.P.W.44 under the Andhra Pradesh
Cooperative Societies Act 7 of 1964 with the following main objectives,
inter alia, among others
- To purchase raw materials and
appliances, tools and machinery including spares as may be required for
the industry and to sell the same to the member-societies .
- To purchase or receive for
sale, the finished products of the member-societies by opening Sales
Units, Godowns, Exhibitions etc., within the State.
- To establish and run sales
units within and outside the area of operation for Exhibition and sale
of products of member-societies.
- To hold, own, establish and
hire processing units to under take and provide processing including
dyeing, mercerising, printing and furnishing etc.. for all types of
yarn and cloth, to the member societies and to other institutions and
individuals.
- To advise and render
assistance to member-societies in preparation of production programmes,
design development, product diversification and such qualitative
improvement as may be necessary in the products produced by the
member-societies to be in tune with the consumer tastes and market
demand.
- To arrange for the
training of weavers sponsored by the member-societies in improved
methods of weaving and latest techniques and also for the training of
its own employees in sales techniques, accountancy and business
administration etc.
Management of APCO
The APEX Society is managed by a
Board of Management comprising of 31 Directors representing each of the
23 Districts, representative of APCO wool and seven official Directors
including the Managing Director as Ex-officio Director and
Vice-Chairman of the APEX organisation. The term of elected Managing
Committee is of 5 years. APCO has 10 Divisional Marketing Offices in
all major districts with a total supporting staff of 738 employees.
1136 Nos of Primary Weavers CO-operative Socities and Mutually Aided
Weavers Co-operative Socities are affiliated to APCO supporting the
backward linkage of production of Handloom Goods.
Working of APCO
The marketing and sales activity
of APCO reached a pinnacle of Rs.137.30 crores during the year 2006-07
despite severe competition from mill-made and powerloom products. The
performance of APCO during the last half a decade in terms of
procurement and sales activity is tabulated below.
PROCUREMENT ACTIVITY :
(Rs
in
Crores)
|
Years
|
General
|
Livery
|
Yarn
|
Total
|
|
1998-99
|
36.40
|
7.63
|
7.21
|
51.24
|
|
1999-2000
|
26.18
|
6.65
|
8.17
|
41.00
|
|
2000-01
|
4.08
|
1.56
|
0.72
|
6.36
|
|
2001-02
|
12.99
|
10.50
|
6.95
|
30.44
|
|
2002-03
|
28.01
|
19.23
|
12.06
|
59.30
|
|
2003-04
|
16.12
|
17.40
|
10.34
|
43.88
|
|
2004-05
|
18.57
|
23.89
|
17.86
|
60.30
|
|
2005-06
|
21.19
|
37.69
|
21.25
|
80.13
|
|
2006-07
|
23.51
|
39.50
|
22.22
|
85.23
|
|
2007-08
|
31.50
|
40.20
|
48.64
|
120.34
|
|
2008-09
|
34.09
|
61.74
|
52.03
|
147.86
|
|
2009-10 (up to Sep 09)
|
16.87
|
43.70
|
31.94
|
92.51
|
SALES ACTIVITY :
(Rs
in
Crores)
|
Years
|
General
|
Livery
|
Janatha
|
Yarn
|
Total
|
|
1998-99
|
51.36
|
10.08
|
-
|
8.49
|
69.93
|
|
1999-2000
|
50.01
|
6.65
|
-
|
9.41
|
66.07
|
|
2000-01
|
18.80
|
0.53
|
-
|
1.05
|
20.38
|
|
2001-02
|
27.59
|
16.60
|
1.39
|
7.78
|
53.36
|
|
2002-03
|
33.89
|
25.36
|
-
|
19.89
|
79.14
|
|
2003-04
|
36.58
|
25.09
|
-
|
25.18
|
86.85
|
|
2004-05
|
39.47
|
33.17
|
-
|
27.63
|
100.27
|
|
2005-06
|
39.23
|
44.08
|
-
|
28.47
|
111.78
|
|
2006-07
|
41.19
|
59.15
|
--
|
36.16
|
137.30
|
|
2007-08
|
52.87
|
61.63
|
--
|
41.42
|
155.92
|
|
2008-09
|
57.29
|
70.04
|
--
|
62.55
|
189.88
|
|
2009-10 (up to Sep 09)
|
20.37
|
50.05
|
--
|
31.18
|
101.60
|
Though, there is quantum fall in the procurement and sales activity of
APCO in the post 1995-96 period, the expenditure on personnel,
marketing and administration did not come down proportionately. The
expenditure levels on personnel, marketing, administrative and interest
liability and the break up of expenditure during the last (9) years
among these components is as below.
(Rupees in lakhs)
3
| Year |
Personnel |
Marketing |
Administrative |
TOTAL |
Interest |
Grand
Total |
| Audited figuresl |
|
|
|
|
|
|
| 1998-99 |
|
|
|
1475.35 |
548.20 |
2023.55 |
| 1999-2000 |
|
|
|
1619.00 |
645.24 |
2264.24 |
| 2000-01 |
|
|
|
1217.23 |
624.59 |
1841.82 |
| 2001-02 |
|
|
|
2978.75 |
495.80 |
3474.55 |
| 2002-03 |
|
|
|
1012.50 |
495.85 |
1508.35 |
| 2003-04 |
|
|
|
1197.03 |
468.29 |
1665.32 |
| Un-Audited figuresl |
|
|
|
|
|
|
| 2004-05 |
1075.55 |
164.02 |
19.16 |
1258.73 |
385.58 |
1644.31 |
| 2005-06 |
914.08 |
178.15 |
270.25 |
1362.49 |
428.55 |
1791.04 |
| 2006-07 |
973.14 |
184.48 |
349.50 |
1507.12 |
449.17 |
1956.29 |
Networth as on 1-4-2007 (Rs
in
Crores)
| 1. |
Share Capital:
(including restructuring fund)
a) State Government
b) Central Government
c) Primary Weavers Co-op. Societies |
58.36
24.21
1.33
83.90
|
| 2. |
Reserves |
0.70 |
| 3. |
Total Share Capital & Reserves |
84.60 |
| 4. |
Accumulated loss as on 31.3.2007 |
101.34 |
| 5. |
Net woth as on 31.3.2007 |
(-) 16.74 |
| 6. |
Estimated Loss from April 2007 to 30.6.2007 |
- |
| 7. |
Total Net Woth Erosion |
16.74 |
Action Plan for 2007-08
A target of Rs.150.00 crores
is fixed for the year 2007-08
| General |
Rs.55.00 Crores |
| Livery |
Rs. 60.00 Crores |
| Yarn |
Rs 35.00 Crores |
Improving sales through
exhibitions/ road shows in the state as well as out side the state
apart from counter sales through its 189 sales outlets in and outside
Andhra Pradesh .
Obtaining orders for uniform cloth from APSRTC, Singareni colonies and
private schools during the year 2007-08
Organization of exhibitions to
expand the business in software companies .
To promote and implement
effectively the Handloom Mark and Silk Mark to build trust among the
consumers.
Integrated Handloom Cluster
Development Scheme
THe Government of India has
introduced a new scheme called the Integrated Handloom Cluster
Development scheme. Under this scheme the O/o. Development Commissioner
for Handlooms, New Delhi has proposed to develop 20 Handloom clusters
through the country.
Chirala (Prakasham Dist) and
Madhavaram (Kadapa Dist) Handloom Clusters were selected from Andhra
Pradesh for development under this scheme
The main objectives of the scheme
are (1) to empower Handloom Weavers and build their capacity to meet
the challenges of the market (2) To facilitate collectivization of
Handloom Weavers and service providers in the fields of procurement,
production, marketing and other support activities. (3) To provide
common infrastructure and activities in a viable format in the cluster.
etc..
The total cost of the project is
2.00 crores and the duration is 4 years.
The scheme is sponsored and
supported by Development Commissioner for Handlooms, Govt. of India,
New Delhi.
Apco has been identified as
Implementing Agency for holistic development of the Chirala and
Madhavaram clusters. Two more clusters viz. Puttapaka(Nalgonda
Dist.)and Kothapally (Karimnagar Dist.) are under pipe line.
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