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One District One Product

One District One Product Stone Carving Products-Nandyal District

DOOP NDL

1.Vision of Districts as Export Hubs

Each district of our country has a potential equal to that of one country,each of our districts has the capacity equal to a small country in the world.. why should each district not think of becoming an export hub? .. Each of our districts has a diverse identity and potential for global market”- Honourable Prime Minister of India, Shri Narendra Modi

Foreign trade from India constitutes of 45% of its GDP. Until 2019, only the central government was engaged in the decision making of foreign trade, without any participation or involvement of state and/or district stakeholders. However, now understanding that there are diverse elements that contribute towards an enabling and conducive foreign trade environment; the central government has identified that with policy &strategy, active support of the state governments and district administration are also equally required.

Thus, to decentralize the existing activities, to boost local production & its exports and to ensure active participation of state & district stakeholders, vision of district as export hubs was put to action.  Department of Commerce, through Directorate General of Foreign Trade (DGFT) is working with the State / UT Governments to achieve this objective.

DGFT and Director of Industries (DoI) have aimed at synergising their efforts to identify the key products, export trends and challenges. Further to minimize the challenges, quantify the exports and outline export strategy; a detailed district-wise Export Action Pan has been made for all 26 districts of AP, where EY has contributed as Knowledge Partner.

1.District Profile

The name Nandyal is from the word “Nandi Alayam”. This place is approximately center point of nine Nandi temples, and it has been as important pilgrimage site since the days of the Vijayanagar Kingdom owing to its nine Nandi temples. Nandyal District lies between the northern latitudes of 150 27’’ 49’’ and eastern longitudes of 780 28’’ 43’’.The altitude of the district varies from 100 ft above the mean sea level. This district is bounded on the north by Krishna rivers as well as Mahabubnagar district of Telengana State,on the south by Kadapa and Anantapur Districts on the west by the Kurnool district and on the east by Prakasam District. The district population with 1687541 as per 2011 Population Census, while in area with 9154 Sq. Kms., The Nandyal District comprises 3 Revenue Divisions, 27 Revenue Mandals 26 Mandal Parishads,5 Municipalities,1 Nagara Panchyats 454 Gram Panchayats, 417 Revenue Villages.

Revenue divisions of Nandyal District                                                                                           

The district has Three revenue divisions namely Nandyal, Dhone and Atmakur with 29 mandals.

Major Exportable Product from NANDYAL DISTRICT

Top ten products export from NANDYAL DISTRICT for the period April 2021 to March 2022

S.No

Product

Exportvalue(inCrores)

1

STONE IDOLS

50

STONE IDOLS are the products selected for exports from NANDYAL District under District as Export Hub Program.

2.4.1Justification for Stone Idols for District as Export Hub:

  • Allagadda,oneofthe important stone carving centres in Andhra Pradesh, has been issued Geographical Indication(GI) registration certificate by the GI Registry, Chennai.
  • Allagadda is famous for sculptures. Mythological figures and the stone carvings of gods and goddesses in the temples in this region are typical illustrations of the stone work.
  • In Allagadda stone carvings,the sculptors widely uses andstonecalled isukarai and Krishna Sila Stone or BlackStone,called pesararai in local language.
  • Both sand and black stones are widely available near Allagadda and both the stones have unique characteristics. The semi-hard nature Of the stone makes the stone carvings finishing friendly,flexible and gives the sculptors the ease to craft products of different sizes and shapes with very fine structures.

Product 1:Stone Idols

  • The allagadda stone carving sculptors has been sculpturing the stone idols and constructing temples and fixing them locally within our country.
  • Apart from stone idols they are also sculpturing the aesthetic objects and furniture.
  • With the kind of work, they are doing, there is a widerange of scope in global/Internationalmarket.
  • GoAP may facilitate the buyer seller meet and may have interactive sessions with each other in AP Global summit 2023 duly inviting the buyers of stone idols across different parts of the world, there by the local entrepreneurs would understand the demand and export culture in globalmarket.
  • The GoAP has selected the Stone Craving cluster under MSE-CDP programme and DPR has been prepared and submitted in which advanced machinery has been proposed for CFC .The GoAP may expedite the process so that, it may build confidence among stone carving entrepreneurs for exports.

 SWOT Analysis for Stone

Idols:Export Product1

Strengths

Weaknesses

  Raw Material such as black stones and sand stones are wide available near Allagadda

Traditional Skill Workers are available

Good quality produced

 Availability of produce for longer period.

 Majority of sculptures are illiterates and semi-illiterates.

No international projections

 

 Not aware of international trade fairs and Global Markets

Opportunities

     Threats

Market expansion opportunity to neighbor countries.

 Huge scope for export.

Development of new models

Trade agreement with the exporters.

 Functioning in unorganized way

 Mediator problems.

Product 1 Stone Idols Challenges and interventions

Problems

Details

Proposed Intervention

Level of Intervention(Central,State,

District,RA)

Concerned Ministry &Department/

Agency

AdministrativeSupport

Lack of awareness on International export of Stone Idols

Creation of awareness about Export and process of export

Central & State

Department of Industries &Export Promotion,A.P./DGFT

Awareness

Lack of awareness handling methods

Dissemination of information through product catalogues,field

State/District

Department of Industries &Export Promotion,A.P./DGFT

 

 

leveltrainings,

Demos, Exposure visit to Export units

 

 

Quality

Lack of Knowledge

Quality of

certification, issue of export licenses, Availability of quality testing Labs.

Central&State

Department of Industries &ExportPromotion,A.P.

/DGFT

Credit

Lack of credit Availability,finance

Provisionof

Credits&assistance throughBanks,

Central

Lead District Manager/RBI

Logistics

Lack of Logistics facility

Establishment of Inland Container Depot(ICD)at

Bethamcherla

Central, State &District

Department of Industries &Export Promotion,A.P./DGFT

Marketing Support

No access to high

profile  marketing channel,No local infrastructure availability

Mapping with

private partners and schemes with beneficiaries.

Central, State&District

Department of

Industries &ExportPromotion,A.P./DGFT

Training

Limited

knowledge for sculptures on export marketing and e-marketing

Workshops,

Demos, awareness campaigns on commerce onboarding

State&District

Department of

Industries &Export Promotion,A.P./DGFT

Regulatory

Customs duty related  challenges

Co-ordination and Resolution

Central

Department of Industries &Export Promotion, A.P./DGFT

Research &Development

Product related modifications,Innovative technology introduction

Trainings, Exposure visits

Central, State &District

Department of

Industries &Export Promotion, A.P./DGFT

5.1 Future Out comes

Annual Turnover

Product 1 Stone Slabs

 Increase in annual turnover from INR 50 Crore in 2021-22 to 150 Crore by 2025. Product 2 Stone Idols

Increase in export from INR 50.00 Crore in 2021-22 to INR 100 Crore by 2025.

DETAILS OF STATE NODAL OFFICER, NODAL DEPARTMENT AND DEDICATED TEAM FOR ODOP:-

  • Shri K.SUNITHA, PRINCIPAL SECRETARY, HANDLOOMS AND TEXTILES, GOVT.,OF AP is the State Nodal Officer f or ODOP.
  • At the District level:Assistant Director (H & T)
  • (Contact no:-80008705739, Nandyal District and District Industries Officer (Contact no: 9949219667),District Industries Centre, Nadyal District are the departments and dedicated team for ODOP.
  • DEDICATED HELP LINE or CALL CENTRE/SUPPORT DESK FOR ODOP
  • P.RAVINDRA NATH REDDY,IPO,DISTRICT INDUSTRIES CENTRE,ALLAGADDA.
  • CONTACTNO:7989605059
  • EMAIL ID:<mec44@gmail.com>
  • ADDRESS:-DISTRICT INDUSTRIES CENTRE,INDOOR STADIUM COMPOUND,PADMAVATHY NAGAR,NANDYAL.

List of activities being undertaken by district administration under ODOP initiative.

The following is the activity and brief description that is being under taken by the District Administration under ODOP initiative:

  1. Conducting awareness programmes about Foreign Trade policy (FTP(2015-20) locally with the participation of all sculptors at the cluster location with the assistance of DGFT, Vizag to make them aware of(Registration Procedure(IEC&RCMC…etc).
  2. The sculptors here,has been sculpturing using conventional machine tools, there is a need to make them to use advanced technology like  CNC machines to cater the needs of Global.
  3. Majority of the sculptures are sem-iilletarates ,hence govt., may encourage to participate in international trade fairs and exhibitions to aware them about the global market.
  4.  Steps to be taken for recognition of Allagadda as an export Hub for Stone Idols.         
  5. Majority of the sculptures are sem-illetarates,hence govt.,may encourage to participate in international trade fairs and exhibitions to aware them about the global market .
  6. As stone idols are basically manifestations of Indian mythological figures,participation    of  them     in    international  trade      fairs  ,buyer     seller meetings , exhibitions makes them to understand the different cultures of the world.

Actionplan:-

  • Majority of the enterprises has been working in an unorganized way i.e. working without GST Registartion, requisite permissions/ approvals/ licenses. GoAP may assist them to realize the significance of approvals for exports.(Action::(DIC-Nandyal))
  • Conducting awareness programmes about Foreign Trade policy (FTP(2015-20) locally with the participation of all sculptors at the cluster location with the assistance of DGFT, Vizag to make them aware of (Registration Procedure(IEC&RCMC…etc).(Action::JD,Exports DIC-Nandyal & DGFT
  • Go AP may encourage the entrepreneurs to participate them to in the AP Global summit 2023 at vizag on its own expenses including logistics, passes & accommodation).(Action::JD,Exports,DIC-Nandyal)
  • Go AP may facilitate the buyer seller meet and may have interactive sessions with each other in AP Global summit 2023 duly inviting the buyers of stone idols across different parts of the world, there by the local entrepreneurs would understand the demand and export culture in global market.(Action::DOI,JD,exports,DIC-Nandyal)
  • The sculptors here, has been sculpturing using conventional machine tools, there is a need to make them to use advanced technology like CNC machines to cater the needs of Global needs.(Action::DOI,DIC-Nandyal)
  • The GoAP has selected the Stone Craving cluster under MSE-CDP programme and DPR has been prepared and submitted in which advanced machinery has been proposed for CFC .The GoAP may expedite the process so that, it may build confidence amongst one carving entrepreneurs for exports.(Action::DOIandDIC-Nandyal)
  • During stakeholder consultation meeting held on 22-12-2022 at DIC,Kurnool,JD Exports stated the fact that the stone idols being sculptured at allagadda are reflecting Indian mythological culture, Hence, there may be less or no demand for exports, but reiterated that, the aesthetic objects and furniture of stone being sculptured shall be exported provided the sculptors are trained to work on advanced automated machinery like CNC machines which will enhance production.Hence there is a need to setup skill development centre at allagadda which can train and build core competence among sculptors.(Action::DOI,JD Exports,APSSDC, DIC-Nandyal)

List of Mentors Registered with District to Provide mentorship to Beneficiaries:

1

Development Commissioner of Handicrafts, Govt.,of AP

2

AP State Skill Development Corporation,NANDYAL-District

3

MSMEDI

4

EDP

5

Commerce and Export Promotion

6

Banking Sector

7

Department of

Industries, DIC, Nandyal District.

Mentorship support available with clearly laid out procedures to avail the same:

1

Development Commissioner of Handicrafts.

Provides Common Production Centers(CPCs).

2

AP State Skill Development

Corporation

Imparts     skills     in     improvement of product line.

3

MSMEDI

Cluster     Development and Financial support.

4

EDP

State Government to create awareness among the artisans to start individual units.

5

Commerce and Export Promotion

Create awareness and provides mentorship in getting IEC code,Exhibitions,Buyers and sellers meets etc.

6

Banking Sector

Provides financial assistance in  the Form of Term Loan and Overdraft.

7

Department of Industries

Awareness creation and skill building of Artisans in the Stone Idols sector under various programs of the State Government /Central Government.

Need-based support identifying specific investment requirement for infrastructure,marketing linkages,procurement operations, storage’s, e-marketing, cargo facilities at airport etc., and suggest to state government department for developing infrastructure.

Funding support available with clearly laid out procedures to avail:

 Term loan for procurement of machinery and infrastructure will be provided by Banks under MSME sector.Further, the educated Artisans interested in establishment of stone idols manufacturing unit shall also be assisted under Prime Minister’s Employment Generation Program with Term Loan and Working Capital.

Under Cluster Development Program,Common Facility Centres may also be established with Funding support upto 95% by Government of India and Government of Andhra Pradesh.

The MSME DI, Government of India, has several initiatives such as Credit Linked Capital Subsidy Schemes,Interest Subsidy Schemes etc.

Details of rules,regulations,Acts,Government Schemes introduced or amended to propel the ODOP initiative in the District:

 Approvals through single Window system.

 The Single Desk Portal is a comprehensive One-Stop-Shop for all investment & business related information and services, providing unified access tomultiple regulatory authorities and facilitating electronic payments for all clearances.

Prime Minister’s Employment Generation Program:

PMEGP is an initiative of the ministry of micro, small and medium enterprises and is implemented at a national level by the Khadi and Village Industries Commission (KVIC).As an entrepreneur, PMEGP can give you the financial assistance required to set up a new project.

Director General Foreign Trade:

 The DGFT also issues licenses to exporters and monitors their corresponding obligations through a network of 25 Regional Offices across India. All regional offices provide facilitation to exporters in regard to developments in International Trade i.e. WTO agreements, Rules of Origin and anti-dumping issues, etc to help exporters in their import and export decisions in an internationally dynamic environment. Further DGFT will facilitate the Exporters for International Exhibitions in Showcasing the products, buyer and Seller Meets etc.

Details of Quality assurance labs/certification labs/processing units/Quality infrastructure with contact details:The Allagadda Stone Idols industry in the Allagadda is of unique importance and most of the sculptures are handmade.

The processingunits have theirowninfrastructurefacilities withtools and machinery for producing the artistic products of stone.

  As it is an unorganized sector, the Government of Andhra Pradesh, proposed the Allagadda Stone carving industry under Cluster Development Program and it is under process at Government level.Under the Cluster Development Program, the quality assurance Labs/Certification labs and Quality infrastructure will be established.

Details of Departments providing institutional support to beneficiaries availing  support under ODOP initiative:

One District One Product (ODOP) The focusing of one product in each district will help to preserve and develop unique local agri produce, local crafts, traditional art with increased income and local employment, which, in turn, will result in decline in migration, improve product quality and develop local skills, transform local products through branding and marketing. It will also connect production with tourism through live demos and sales outlets for gift sand souvenirs.This will also resolve issues of economic difference and regional imbalances. One District One Product (ODOP) initiative is operationally merged with ‘Districts as Export Hub’ initiative and is being implemented by Directorate General of Foreign Trade(DGFT), Department of Commerce, with Department for Promotion of Industry and Internal Trade(DPIIT) as a major stake holder.The scheme envisages strengthening backward and forward linkages through provision of common facilities, incubation centers, training, research and development (R&D), branding and marketing. The identified products have potential for both domestic and export markets and will be promoted in a cluster approach through convergence of resources. The enhanced capacity of processing and value addition in stone idols and allied sector products will lead to a better price realization. It is an initiative that is seen as a transformational step forward towards realizing the true potential of a district, fuel economic growth and generates employment and rural entrepreneurship.

1

Director General of Foreign Trade

2

Department of Promotion of Industry and Internal Trade (DPIIT)

3

MSMEDI

4

Commerce and Export Promotion

5

Banking Sector

6

Department of Industries