Committee of Secretaries has cleared the proposal and further steps are being taken for formal notification on observing August 7 as National Handloom Day, sources told PTI.
Union Textiles Minister Santosh Gangwar wrote to the prime minister in this regard recently.
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He invited Modi to be the Chief Guest on the occasion to boost the morale of handloom weavers of the country.
"I am sure that you would kindly accept our invitation, which would be a major source of inspiration to us for continuing the efforts of the handloom sector in a campaign mode," the letter said.
In order to promote good quality genuine handloom products in a campaign mode, "India Handloom" brand has been prepared to provide quality assurance to domestic as well as international consumers.
At the proposed function, Sant Kabir awards and National awards will be presented to distinguished handloom workers for the years 2012, 2013 and 2014.
An exhibition showcasing master creations of the awardees will also be organised.
The formal proclamation of Swadeshi Movement was made on August 7, 1905 with the passage of Boycott Resolution in a massive meeting in the Calcutta Town hall. The movement involved boycotting British products and the revival of domestic products and production processes.
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