Khadi sales decline 16% to Rs 3,527.71 cr in 2020-21: MSME Ministry

Khadi sales contracted by 16 per cent year-on-year to Rs 3,527.71 crore in 2020-21, as spinning and weaving activities across the country impacted due to the COVID-19 pandemic, the MSME ministry said on Thursday.

The overall production in the Khadi sector also declined to Rs 1,904.49 crore in 2020-21, as compared to Rs 2,292.44 crore in 2019-20, it added.

The production and sales in the Khadi sector, however, slightly declined as spinning and weaving activities across the country took a major hit during the pandemic, the ministry said.

"The overall production in the Khadi sector in 2020-21 was recorded at Rs 1,904.49 crore as compared to Rs 2,292.44 crore in 2019-20, while the overall Khadi sales stood at Rs 3,527.71 crore as compared to Rs 4,211.26 crore in the previous year," it added.

However, the ministry said, Khadi and Village Industries Commission (KVIC) has recorded a gross annual turnover of Rs 95,741.74 crore in 2020-21 as against Rs 88,887 crore in 2019-20.

The production activities remained suspended for more than three months during the nationwide lockdown announced on March 25 last year.

"During this period, all Khadi production units and sales outlets too remained closed, which severely affected the production and sales," the ministry said.

Compared to the production worth Rs 65,393.40 crore in 2019-20, the output in the village industry sector increased to Rs 70,329.67 crore in 2020-21.

Similarly, in 2020-21, the sales of village industry products stood at Rs 92,214.03 crore as compared to Rs 84,675.29 crore in 2019-20.