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Handloom – Sivaranjan Case Stories

“Market linkage made difference in my business

“I am ever thankful to UNDP and their partners for making such a valuable market linkage with Selyn, a leading marketing Company in Kurunagala when I struggled without a proper place to sell my looms in large quantity though I used to make high quality products” says Mr.Sivaranjan proudly. He is 40 and living with his family at Eruvil Village, in Paddipalai division about 20 Km from Batticaloa town.

“I am ever thankful to UNDP and their partners for making such a valuable market linkage with Selyn, a leading marketing Company in Kurunagala when I struggled without a proper place to sell my produces in large quantity though I used to make high quality products”.

 

After his secondary education, Sivaranjan started work as a driver for some time, due to an accident he sustained fracture in one of his leg, and he unable continue his driving work.  So he started to work on a handloom with the knowledge he learned from his village.  Eruvil village historically famous for handloom works during the periods of 1995 to1998, about 800 people engaged this works. However, due to marketing issues many people in the villages dropped handloom works and gone for farming. Sivaranjan too stopped handloom works for some time and restarted again as he didn’t have many option for other livelihood. Once again he started facing problem in marketing the products in a big scale so that he continue to engage at very low profile.  He gets all materials from one of the Village called Maruthamunai and sell back to them with very less profit margin.  “I slowly developed my business in 2011 at my sister’s house with the help of one weaving tool then gradually increase looms one by one with the support of weekly loan given by Commercial credit. During this period, again marketing issues raised, while I was seeking support for marketing opportunities, heard about Youth Enterprise Development program (YED) implemented through Divisional Secretariat division under EUSDDP/UNDP project”.

He was offered a place in YED program through via the selection process and provided business planning training for 05 days. At the end, he prepared business plan for his current business. “It was great opportunity to participate such a useful program to review as well as to identify strengths and weakness of my own program.  Further, it taught him many critical areas which are very importance in running business. Based on his business plan, he was given received Rs 45,000.00 as grant from UNDP to purchase a high speed wool winding machine to increase work efficiency.

“Apart from all the support given by UNDP, I was introduced to Selyn, which is one of the leading marketing company, purchases my products at a reasonable price in large quantity since they satisfied with the quality. They used to put order with required design I make the products, mainly sarees and send them. Also I get order from Matuthamunai business peoples regularly. Comparatively, I get more profit margin from selling the products to Selyn”. In addition I also established linkages with some individual buyers in Colombo and sell them whenever they requested.

“At present, I have no problem in terms of marketing of my products to various buyers. I have 11 hand looms tools and I am planning to increase up to 20 tools shortly.  09 males and 04 female are working in my home, further 10 women are winding wools in their home. My future plan is to expand this weaving center and open an outlet. Meantime I want to train some female youths and absorb into the weaving center”.

He pays Rs 75,000 to 80,000 per week to workers, approximately a sum of Rs Rs.400, 000 per month. I sell 01 million rupees worth of products to Selyn and Rs700, 000 to 800,000 worth of products to Maruthamunai buyers. Buyers markets his products under their brand as he doesn’t have brand registration yet. However, he is confident that he will do necessary brand registration soon after open up the market outlet.

 

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