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In India, an industry works
to retain its shine
A centuries-old traditional and skill-intensive industry in Moradabad, India, brass/metalware production is suffering the effects of stiff competition from abroad. Kiran Mehra-Kerpelman of World of Work, who recently visited the area, explains how the ILO helps small and household production units and manufacturers to face the challenges of improved working conditions and improved productivity.
MORADABAD, India - For 50-year old Mohammad Shafiq, a retired master artisan in this city in the Indian State of Uttar Pradesh, installing a new chimney in his brass works was a source of great pride.
"I was inhaling so much smoke from the furnace every day, it was bad for my health," says Mr. Shafiq, whose two sons have now taken over his work here melting brass and pouring it into moulds to make small parts. "Conditions of work are very harsh, and if we don't make the deadlines or meet the quality requirements, we lose the order. We are also facing the challenge of better and cheaper products from other countries."
As a result of a new ILO programme, however, many of his problems literally went up in smoke. Next to the first chimney providing for proper exhaust ventilation, Mr. Shafiq has installed a second to prevent the spreading of chemical gas.
And as part of the programme, he has also learned about health and safety precautions which can prevent the frequent injuries, especially burns which he has suffered over the years. Such better management of the workplace has increased the productivity of his sons by 25 per cent.
Small enterprise, big business
Brassware is a shining example of a small business with a global lustre. There are more than 1,000 organized units and over 25,000 artisanal units in Moradabad producing items which will eventually end up in larger workshops, or be sold to manufacturers and exporters. "You name it, we make it," says Rajan Sawhney, Merchandising Manager of Salar Overseas, which exports some US$4 million annually to such outlets as Body Shop, the Bombay Company, Spiegel Catalogue Services, Federated Brook, Macy's, Bloomingdale's, Ikea and Harrods. "People are willing to work, and the ILO has brought us this new way of working together with all partners to reach a common goal."
Yet, as competition intensifies, the livelihoods of these artisans are increasingly threatened. More than US$400 million worth of exports are now in danger because of global competition from China, Taiwan, and other countries in the region. Despite increases in production and exports, productivity remains low, often the result of a poor working environment.
"If the government does not increase its support and we do not improve our infrastructure, we are not going to be able to compete with other countries where the government is providing important incentives and facilities," says Parveen Garg, General Secretary of the Brass Art Ware Manufacturers' (Exporters') Association, and an exporter himself. "Through an ILO-sponsored study tour, we visited factories in China where the working conditions are better, there is less red tape, but the wages are lower," he continues. "They also have a better market share in North America."
Through its InFocus Programme on Small Enterprise Development, and the South Asia Multidisciplinary Advisory Team, the ILO has launched a pilot programme to show that improved quality of working conditions and business practices can have a very positive effect on productivity and competitiveness.
Improvements also provide the opportunity for equitable profit-sharing across the industry and the community. Working together with government agencies, workers' and employers' organizations, brass trade and export associations, and local partner organizations, the ILO has helped to train artisans in better business practices, in improving working conditions, and has also provided the opportunity for a few to visit other countries to observe manufacturing practices.
The chain of work starts at the level of small and household units which are subcontracted for specific jobs by larger workshops, which in turn receive their contracts from manufacturers/exporters. The latter receive their orders from multinational companies, through buying agencies in New Delhi, which also provide product design. "The ILO is helping to improve the supply chain by adding value through improved productivity, product quality and overall competitiveness," says Chaman Dhanda, ILO Programme Coordinator for this programme. "It is enabling the household units to improve market accessibility and provide opportunities to upgrade technologically. It is promoting better links between the various business actors and encouraging better local infrastructure."
Who benefits and how?
While the ILO continues in its endeavour to help the artisans modernize and the manufacturers to become more competitive in the global market, people like Mohammad Shafiq's sons continue to hope for a better future within this industry. For them, there is no other future. "Our father is a master artisan, and we will carry on this trade which we have learned from him." They will continue to make brass parts for the rest of their lives, on the condition, of course, that the industry can withstand the erosion in demand and that they can continue to attract customers.