Page 8 - Craftcil August 2025

meetings & announcements

EPCH Urges Govt. for Immediate Action as U.S. Tariffs Threaten India's Handicraft Exports

Seeks Emergency Promotional Fund for Exporters, Proposes Targeted Relief Measures
Handicrafts Sector Reaffirms Commitment to 'Nation First' Policy

Dr. Rakesh Kumar, Director General in the role of Chief Mentor, EPCH and Chairman, IEML presented a memorandum to Shri Giriraj Singh, Hon'ble Union Minister
of Textiles, Govt. of India. Also seen are, Shri Pabitra Margherita, Minister of state for Textiles, Govt. of India; Smt. Neelam Shami Rao, Secretary Textiles; Smt.
Shubhra, Trade Advisor, Ministry of Textiles; Joint Secretary, Ministry of Textiles: Shri Ajay Gupta, Ms. Padmini Singla; Dr. M Beena, DC (Handloom) and Smt. Amrit
Raj, DC (Handicrafts); COA Member, EPCH, Mr. Rajesh Jain; COA Special Invitee Member, EPCH, Mr. Rajendra Gupta; Mr. R K Verma, Executive Director EPCH; and
Mr. Rajesh Rawat, Addl. Executive Director, EPCH.

EPCH has raised strong concerns over the United States’ imposition these challenges, the handicraft sector remains firmly committed
of steep tariffs on Indian handicraft exports, calling it a critical to the principle of 'Nation First' policy. USA being the largest
challenge that threatens both trade volumes and the livelihoods of consumer market will disrupt our production and employment
more than 3.5 million artisans, most of whom are women in rural generation. 40% of handicrafts exports is to market of USA.
and semi-urban areas. The U.S. imposed a 25% tariff on Indian goods, Interestingly, 30% of that is re-exported to Latin America (means
including handicrafts, effective 7th August 2025. This further 12% of our exports) can directly be exported to Latin America.
escalated into a 50% reciprocal tariff on handicraft exports from There are issues of distances, shipping schedules and language as
India, effective 27th August 2025. barriers. Govt should open warehouses cum Marketing channel in
free trade zones such as Uruguay, Chile etc . Through the resilience,
Call for Immediate Relief Measures
hard work and perseverance of the exporters, I am confident that
Speaking on the current situation, Dr. Neeraj Khanna, Chairman,
we will be able to navigate these challenges together. At this
EPCH, said, “the U.S. tariff hike has created unprecedented
juncture, diversification to new markets is the key."
challenges for Indian handicraft exporters, threatening not only
He added, “meanwhile, immediate action is critical and EPCH is
trade volumes but also the livelihoods of millions of artisans. This
working closely with the government to secure urgent fiscal and
tariff shock could lead to an export decline, order cancellations and
non-fiscal interventions to ensure our industry do not bear the
working capital crises for exporters, especially small and medium-
brunt of global trade shifts.” EPCH has urged the Government of
sized enterprises who form the backbone of the industry.”
India to adopt urgent fiscal and non-fiscal interventions.
Dr. Khanna further added, "while the U.S. has traditionally been our
largest market, contributing nearly 40% of total handicraft exports, Government Engagement
we will face this disruption with resilience and unity. The immediate Earlier, on August 13, 2025, Shri Giriraj Singh, Hon’ble Union Minister
impact may be difficult, but as an industry rooted in India's heritage of Textiles, along with Shri Pabitra Margherita, Minister of State for
and culture, our first responsibility is to the nation and we stand Textiles, Smt. Neelam Shami Rao, Secretary Textiles; Smt. Shubhra,
ready to support government efforts in navigating this testing time." Trade Advisor, Ministry of Textiles; Joint Secretary, Ministry of Textiles:
Echoing similar sentiments, Dr. Rakesh Kumar, Director General in Shri Ajay Gupta, Ms. Padmini Singla; Dr. M Beena, DC (Handloom)
the role of Chief Mentor, EPCH and Chairman, IEML, shared "despite and Smt. Amrit Raj, DC (Handicrafts), met the heads of various Textiles

8 CRAFTCIL • AUGUST 2025