At a time when the Indian economy is spurting with several sectors witnessing a slump in their sales rate, Khadi Village Industries Commission (KVIC), a statutory body formed by the Government of India has reported a 25 per cent jump in sales to around Rs 75,000 crore during 2018 – 2019.

KVIC, the government’s retail division has beaten the country’s largest fast-moving consumer goods company – Hindustan Unilever (HUL) which registered sales at Rs 38,000 crore. However, the HUL’s net profit was 400 times that of the Khadi Commission.

One of the drivers behind the significant rise in the sales of Khadi products is the gradual shift towards a healthy lifestyle. Khadi products are organic and hand made, which have made them people’s favourites in the age of chemical products.

Significant boosts leading to the rise in sales of KVIC has been contributed to papad, honey, and cosmetics products. These products combined have accounted for 4.3 per cent of the overall sales during the last financial year. KVIC’s sales growth in 2018 -19 is considered the fastest in four years. In the previous fiscal year, 2017 – 18, KVIC registered a moderate increase of 13 per cent in sales with a marginal profit of Rs 15 crore.

Vinai Kumar Saxena, KVIC chairman told the Times Of India that aggressive marketing, public and private partnership and the Modi government’s constant push has helped the entity to double their sales in last five years.

Saxena told the national daily that for the current financial year he is targeting a 20 per cent growth in the sales of village industry to touch Rs 85,000 crore mark. He also wishes to increases the khadi sales to Rs 5,000. In the current year, Khadi sales rose 28 per cent to Rs 3,215. Several private clothing brands have started using Khadi products for their material.

Currently, KVIC employs five lakh people under Khadi category and 1.5 crore people under ‘village industries’.

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