A sum of Rs. 340 crore has been granted for the infrastructural development of Khadi sector to boost sales. The fund would be utilized to set up khadi plazas and Modified Market Development Assistance Scheme in the Budget. Out of Rs. 340 crore, Rs. 15 crore has been earmarked for setting up five khadi plazas.
The provision made in the Output Outcome Framework of Schemes for 2017-18 will also help improve the wages of artisans and benefit 1,500 khadi institutions in the country.
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In another development, Khadi & Village Industries Commission (KVIC), has recently slapped a legal notice to Fabindia, an Indian chain store retailing garments, furnishings, fabrics and ethnic products as the retailers reportedly found selling cotton products illegally under the brand name of Khadi.