KVIC sends notices to 222 firms allegedly selling products without 'khadi mark'

Image
Press Trust of India New Delhi
Last Updated : Jun 22 2018 | 5:45 PM IST

The KVIC has sent legal notices to 222 firms in the past two-and-a-half-years for allegedly selling products without being registered for using 'khadi mark' or terms like handspun, handwoven and woven in handlooms, its chairman VK Saxena said today.

Saxena claims that these terms are synonymous with the indigenous fabric, adding that the Khadi and Village Industries Commission (KVIC) is duty-bound to protect buyers from being cheated by firms selling khadi products and artisans, especially in view of the massive surge in sales in the recent past.

Khadi is handspun and handwoven according to the KVIC Act, that means you are cheating the customers. If there is genuine khadi sale, our artisans will benefit, Saxena told PTI.

According to him, companies selling khadi products and using terms such as handspun', hand-woven' and woven in handlooms' need to register for the khadi mark by paying a fee, provide the list of artisans involved and comply with other procedures.

However, he said, while the KVIC has threatened legal action against the firms to whom the notices were sent, it does not demand a share of revenue from sales of the products if a company obtains prior registration under the Khadi mark.

Once they (companies) get khadi mark registration they are free to sell khadi, he said, adding that the KVIC began sending notices to the 222 firms around December 2015.

KVIC is duty-bound to protect khadi as a brand which is promoted by Prime Minister Narendra Modi himself, Saxena said.

The KVIC had earlier sent a legal notice to Fabindia, a chain of ethnic wear retail outlets, demanding a whopping Rs 525 crore in damages for "illegally" using its trademark "charkha" and selling apparels with the 'khadi' tag.

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Jun 22 2018 | 5:45 PM IST

Next Story