PAKISTAN: Kashmir Carpet Industry Hit By Recession

  • by Athar Parvaiz (srinagar)
  • Inter Press Service

Kashmir’s carpet industry has been hit very hard by the global economic slowdown, 47-year-old Bashir Ahmad Bhat explained while working on his loom in a run-down hut in downtown Srinagar.

Family pressure is mounting for Bashir to give up this now unproductive job of carpet weaving, which has been for generations the traditional source of income for the Bhat family - along with thousands of other families in Indian Kashmir. Bashir’s dilemma is whether to abandon this art 'which has remained close to his heart' since childhood.

'I am being forced by my family to give up this art and start some other work which will pay dividends to the family. Many of my fellow artisans have quit and they are now selling goods on road-sides,' says Bashir.

The 50 million dollar handicrafts industry of Kashmir - which employs more than 200,000 artisans - is facing a severe threat of extinction as sales of hand-made Kashmiri carpets and shawls, which are the most profitable proportion of the industry, have come down by 80 percent.

Carpets are primarily exported to the places outside Kashmir - the Middle East, Europe and the U.S.

Economic experts are voicing concern that the artisans of Kashmir may resort to extreme measures - in some parts of neighbouring India farmers recently committed suicides after being driven to debt by crop-failures.

Economists are also apprehensive that the artisans involved in the carpet industry might switch over to some other trade or source of livelihood given that the economic recession is forecast to continue for at least another four quarters.

'Handicrafts industry is not only a good contributor to the Kashmir’s economy, but it is closely linked with the culture of Kashmir; therefore it is mandatory to protect this industry,' says Professor Nissar Ali, an economist who teaches at Kashmir University.

Ali expressed concern the government has not done more to help the artisans. 'A blow to the carpet industry means a blow to the thousands of skilled labourers as well. The government should wake up to this reality as soon as possible,' Ali said.

The carpet manufacturers and the dealers consider themselves unfortunate that they have had to suffer economic blow after blow. 'Some years back it was the aftermath of 9/11 which hit us hard, and now it is the global economic recession,' says carpet dealer Mohammad Rafiq. 'Before these setbacks, it was the intense conflict in Kashmir which brought down the number of tourists and in turn affected the sales of carpets.'

Kashmir has remained a bone of contention between India and Pakistan ever since the two countries achieved freedom from British rule and were divided along religious lines in 1947. Presently one-third of Kashmir’s territory is with Pakistan while the rest is under Indian control. An armed rebellion against Indian rule in the Indian part of Kashmir has been going on since 1989 - more than 60,000 people are reported to have died in the conflict as per official estimates.

Recently, the Jammu and Kashmir Bank - the largest financial institution in Kashmir - announced an interest-free and mortgage-free 18-month bailout package for carpet industry artisans in the wake of the global economic slowdown.

'Being the state’s largest financial institution, we don’t want to see a situation arising in Kashmir wherein artisans would commit suicides following utter disappointments in their businesses. We also don’t want our artisans to turn to other businesses like driving auto rickshaws [three- wheelers]. So we have planned to help them tide over the crisis,' Jammu and Kashmir Bank Chairman Hasseb Drabu told IPS.

But the announcement has not evoked a positive response from the carpet manufacturers. 'The carpet manufacturers are not actually keen for producing more carpets at this moment for which they would require bank loans; they actually want to sell off their older stock,' says Professor Nissar. 'That is why I say that the government should help the carpet manufacturers who are suffering because of the drastic reduction in the sale volume.'

'The ideal way to deal with this problem is that the government should buy the carpets through the Arts Emporium. The Emporium can later sell them at highly profitable rates when the world economy recovers,' Nissar adds. 'There are reports that the artisans might give up carpet weaving as manufacturers see no point in producing the carpets under the prevailing economic conditions.' Presently stocks of carpets lie with the weavers as they have hardly any buyers.

'Though my heart is in this art given that I have inherited it from my ancestors,' Bashir said, 'domestic pressure might force me to opt out once I finish this carpet on my loom.'

Bashir’s wife, Halima is suffering from thyroid deficiency and a number of other ailments. 'We shudder to think about my treatment given the present- day cost of living,' says Halima. 'Sometimes we hardly manage a two square meals.' Their nine-year-old daughter, Tabinda, who is in her 3rd standard, requires 15 books, but has only got 10. 'I borrow the remaining five books from my class-mates,' she says, and adds innocently: 'My friends get good pocket money, but I don’t get it.'

© Inter Press Service (2009) — All Rights Reserved. Original source: Inter Press Service