Internship Report
Host Organisation: Sambhali Trust, Jodhpur
Supervisor: Govind Singh Rathore
Sambhali Trust was founded by Govind Singh Rathore in response to the treatment of women in a male-dominated society heavily influenced by caste, economic status, religion and superstition. Women are often uneducated and unaware of their rights; do not enjoy equality in society nor in their marriages, and feel oppressed by their strict duties and responsibilties. Sambhali Trust’s ethos is that all members of society, indiscriminate of caste, race or religion, should be valued and treated equally.
Objectives
- To equip participants of the Trust with a host of new skills that can be utilised in the future as income-generating activities,
- To provide participants with a safe and secure haven from their home duties where they can benefit from free education, emotional support and a forum in which to voice their concerns,
- To install a sense of worth and equality in the girls and enhance their confidence and self-assurance by allowing them to integrate with other castes and nationalities,
- To emphasise the importance of nutrition and wellbeing and address any individual needs by conducting regular health camps and dispensing medicines where appropriate,
- To educate the girls in matters of human rights and encourage them to play active roles in their communities, and
- To build on the girls’ independence and economic potential by sharing with them the profits of the organisation and setting up active savings accounts.
- Provide fair wages to producers (in the local context),
- Support safe, healthy, and participatory workplaces,
- Assist the supply of financial and technical support to build capacity,
- Ensure environmental sustainability and preservation,
- Respect cultural identity and traditions,
- Offer public accountability and transparency,
- Build direct and long-term relationships, and
- Educate consumers.
International Fair Trade Association (IFAT)
IFAT is the global network and advocate of over 300 fair trade organisations across 70 countries. Approximately 65% of these organisations are based in the South (Asia, the Middle East, Africa and South America) and the remaining 35% in North America, the Pacific Rim and Europe .
IFAT’s member organisations represent the fair trade chain from production to sale; they consist of producer co-operatives and associations, export marketing companies, importers, retailers, national and regional fair trade networks and financial institutions. The members are by requisite dedicated to fair trade principles and must adhere to the ten fair trade standards as outlined by IFAT, listed below. IFAT holds biennial international conferences where its members can interact and make decisions for the following years.
The 10 Standards of Fair Trade - Creating opportunities for economically disadvantaged producers
Fair trade is a strategy for poverty alleviation and sustainable development. Its purpose is to create opportunities for producers who have been economically disadvantaged or marginalized by the conventional trading system. - Transparency and accountability
Fair trade involves transparent management and commercial relations to deal fairly and respectfully with trading partners. - Capacity building
Fair trade is a means to develop producers’ independence. Fair trade relationships provide continuity, during which producers and their marketing organisations can improve their management skills and their access to new markets. - Promoting Fair Trade
Fair Trade Organisations raise awareness of Fair trade and the possibility of greater justice in world trade. They provide their customers with information about the organisation, the products, and in what conditions they are made. They use honest advertising and marketing techniques and aim for the highest standards in product quality and packing. - Payment of a fair price
A fair price in the regional or local context is one that has been agreed through dialogue and participation. It covers not only the costs of production but enables production which is socially just and environmentally sound. It provides fair pay to the producers and takes into account the principle of equal pay for equal work by women and men. Fair traders ensure prompt payment to their partners and, whenever possible, help producers with access to pre-harvest or pre-production financing. - Gender Equity
Fair trade means that women’s work is properly valued and rewarded. Women are always paid for their contribution to the production process and are empowered in their organisations. - Working conditions
Fair trade means a safe and healthy working environment for producers. The participation of children (if any) does not adversely affect their well-being, security, educational requirements and need for play and conforms to the UN Convention on the Rights of the Child as well as the law and norms in the local context. - Child Labour
Fair Trade Organisations respect the UN Convention on the Rights of the Child, as well as local laws and social norms in order to ensure that the participation of children in production processes of fairly traded articles (if any) does not adversely affect their well-being, security, educational requirements and need for play. Organisations working directly with informally organised producers disclose the involvement of children in production. - The environment
Fair trade actively encourages better environmental practices and the application of responsible methods of production. - Trade Relations
Fair Trade Organisations trade with concern for the social, economic and environmental well-being of marginalized small producers and do not maximise profit at their expense. They maintain long-term relationships based on solidarity, trust and mutual respect that contribute to the promotion and growth of fair trade. Whenever possible producers are assisted with access to pre-harvest or pre-production advance payment.
It was decided at an IFAT conference in Manilla in 2000 that a network of region-specific branches of IFAT should be established, hence Asia Fair Trade Forum was officially created in 2001 to monitor 88 Fair Trade Organisations in twelve of the poorest Asian countries: Bangladesh, Cambodia, People’s Republic of China, India, Indonesia, Laos, Nepal, Philippines, Sri Lanka, Thailand, Timor Leste and Vietnam. These organisations consist of producers, marketing intermediaries and sales outlets.
Fairtrade Labelling Organisations International
Fairtrade Foundation
The Fairtrade Foundation is a non-profit organisation established in 1992 as the UK UK
- being a passionate and ambitious development organisation committed to tackling poverty and injustice through trade,
- using certification and product labeling, through the FAIRTRADE Mark, as a tool for their development goals,
- bringing together producers and consumers in a citizens’ movement for change, and
- being recognised as the
For a product to bear the FAIRTRADE Mark it must meet the standards set by the FLO. FLO defines product-specific standards for growers/producers of bananas, cocoa, coffee, fruit, honey, etc, but none have yet been defined for handicraft producers. This is because Fairtrade certification and its system of minimum pricing were initially designed for commodity products. It is technically difficult to adapt this model of standardised minimum pricing to crafts and other products made by small-scale artisans, which are each unique, made of varied materials and have highly varied production processes and costs. However, FLO is currently working with IFAT to explore whether a certification program could be developed for these products in the future.
Nila Moti products are sold in international boutiques and high-end hotels in Rajasthan.
Nila Moti is famed for its rich styling, fine fabrics and high quality production. By using such fine fabrics and employing strict quality control measures Nila Moti is able to address a high-expenditure market and implement large profit margins. Thus, it could be said that product quality is instrumental to the foundation’s sustainability.
Training
Women are trained at the crafts center for six months by Monica Matter’s Swiss tailor. They are trained in stitching, embroidery, patchwork and beading, and given guidance on the different treatments of silk and cotton. The women are paid 1,500 Rs per month throughout this training period.
Following the training period the women are required to be present at the crafts center during on each working day. The women are not permitted to work at home.
Finance
Each woman is paid by piece, directly into her bank account. A monthly wage will be in the range of 1500-4000 Rs, depending on the woman’s ability and speed. Of the money that is invested in Khimsar, half of it is directed towards the crafts center; the other half to the construction of a school being built next to the crafts center.
Marketing and Sales
Although the crafts center is open for the public to visit it is not possible to purchase anything from the center. Consumers must go to one of the sales outlets: Nila Moti sell their products nationally in the shops of Khimsar fort and Umaid Bhawan Palace , Jodhpur and internationally at the Nila Moti boutiques in Penthalaz and Berne , Switzerland Umaid Palace
It was seen at the crafts center that a small elephant costs 650 Rs to produce, including all materials, labour and overheads. The small elephants are available for purchase at Umaid Palace
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Insisting that all work is done in the crafts center rather than at the women’s homes or elsewhere in the village serves three main purposes: it allows all managerial staff to monitor the quality of work at each stage of the production process, grants women convenient access to their master trainer for help and advice, and ensures that materials are not exposed to unclean conditions. However, it does mean that Nila Moti’s overheads are significantly increased: the crafts center must be large enough to house their entire production force and have adequate light in all hours of the working day. Further, having set working hours restricts the women’s freedom to decide how their employment at Nila Moti fits into their busy lives.
1. Feasibility
Did you have to research the Swiss market before opening the Nila Moti shop?
What was included in your research? i.e. a consumer survey, a test range of products to determine sales.
2. Designing
Why do you use a Swiss designer instead of an Indian one?
Who is the designer in
Are they trained in Asian designs and production methods?
Are they paid by salary, by piece/range, or do they volunteer?
How do the master trainers in Khimsar contribute to the designing process?
3. Khimsar
How do you recruit the women and the master trainers?
What exactly goes into the training process? - How long does it take, who does it involve, are stitching/embroidery methods taught only or do you train the women how to make specific articles/garments in this training period?
How do you ensure quality control in the workshops?
What happens to work that falls below your quality standard?
4. Finances
Do you accept donations and grants?
Do you have to pay rent at Khimsar Fort and
What is the annual turnover of Nila Moti, both financially and quantitatively (in terms of products sold)?
5. Finally,
Is Nila Moti sustainable?
Do you plan to hand the managerial side over to somebody else in Switzerland/India in the future?
What advise would you give to a sewing cooperative in its early days?
Sadhna
Organisation
The village women are organised into groups, each having 15 members and one group leader. There are 40 group leaders in total who have the responsibility of monitoring the progress of their group and ensuring that work is completed to a high standard. They also oversee the payments of each member in their group. The group leaders meet every quarter and at the annual meeting with all Sadhna members to discuss issues, find solutions and share experiences.
Sadhna’s stitching center is divided into separate sections for store, cutting and quality control, stitching and finishing, ironing and packaging and dispatch. This segregation has resulted in increased efficiency and more organised production. Twenty salaried staff are employed at the stitching center. When Sadhna receives an order, the master trainer interprets the design and drafts a pattern for the item. Garments are made in various sizes, all of which have set measurements. The fabric is then cut by hand using a cutting machine that can slice through up to 200 sheets of cotton. This saves time and ensures consistency. Applique cuts are then made, again by hand, using a chisel. The pieces are then delegated to the machinists to be stitched.
After stitching, the work is rigorously checked by a quality control employee. The work is then sent to the villages to be embroidered. Again it is checked, this time by the team leader of the group, and sent back to the Udaipur stitching center where it is ‘finished’ (loose threads are tied and cut, etc.). The finished piece is ironed and packaged for delivery.
Materials are stored in the stock room; a register is kept of all stock.
Training
The women are trained for three months by a hired professional. The village women are trained only in tanka and appliqué; those working from the stitching center are trained are tailors. Despite having a seemingly long training period in which to learn only two skills, it is found that it takes most women up to two years to reach the high standard of quality demanded by Sadhna.
Finances
Each member of Sadhna is required to pay an initial fee of 251 Rs and an annual renewal fee of 101 Rs. The women are paid per piece, directly into the bank account that Sadhna set up for them. The team leaders are also paid per piece for the work they produce and enjoy an extra benefit of 10% of the total income generated by their group. A typical monthly wage can vary from 600 Rs to 5,000 Rs, depending on a woman’s ability and commitment. At the end of each financial year the profits are calculated and split between Sadhna (for development) and each of the 618 members.
When Sadhna begun 15 years ago it produced only homeware (cushion covers, bedspreads, etc.) and was heavily reliant on Seva Mandir for funding. Sadhna has recently established a strong connection with franchises in the Indian retail market such as FabIndia, People Tree and Shopper’s Stop and, with its large body of members and high quality machinery, is now able to produce bulk orders of up to 1,000 kurtas. Making up 80% of Sadhna’s production, these bulk orders have become vital to Sadhna’s financial sustainability; but by working with labels such as FabIndia they have had to sacrifice putting their own label on the garments, thus limiting their transparency with consumers.
Sadhna have now been self-sustainable (breaking even or in profit) for the last six years. Please refer to their annual review for a detailed financial analysis.
Marketing and Sales
Sadhna’s own label garments are certified by CRAFTMARK (for tanka and appliqué) and Fair Trade , USA
In order to access a domestic retail market Sadhna employs several marketing agencies to consult on market trends, ways to incorporate traditional techniques into modern fashion and how to form links with international buyers. Sadhna has benefited from long-term relationships with two notable market consultants who have been fundamental to Sadhna’s economic growth.
They have curated solo exhibitions in New Delhi
Evaluation
Sadhna are undoubtedly a hugely successful organisation, brand and business enterprise, and can serve as an inspirational role model for Sambhali. A comparison of Sadhna with Sambhali invokes the main difference of sources of funding – Seva Mandir provided generous and reliable economic support for a substantial period through which Sadhna were developing their managerial structure and establishing their identity in the sales market. In addition to this economic funding, Sadhna’s association with Seva Mandir, a respected and trusted NGO in Udaipur
Another main difference between Sadhna and Sambhali is that Sadhna, partly due to its capacity, satisfies ‘anonymous’ bulk orders, i.e. produces bulk orders under a label that is not their own. The reason for this is that it enables Sadhna to operate self-sufficiently. These labels, such as FabIndia and Shopper’s Stop, are not marketing Sadhna’s brand identity and are acting as a ‘middle man’ between producer and consumer, a position condemned by Fair Trade Organisations. By using such ‘middle men’ Sadhna are in effect producing work anonymously to consumers. Moreover, it should be noted that Sadhna does not have any long term contracts with these brands. This puts Sadhna in a somewhat dangerous position, since if FabIndia decides to use an alternative production house Sadhna will be left with no orders, reliant on their own brand identity and susceptible to unsustainability.
The organisational structure of Sadhna facilitates its capacity: the stitching center is organised effectively and logically, resulting in a clear and efficient production process. The atmosphere in the stitching center was relaxed and focused, one could detect that the women were well-trained, duly informed of their roles and dedicated to their cooperation with Sadhna. Perhaps the most notable feature of Sadhna’s structure is it’s commitment to forming women into groups, rather than treating them as an individual. It is seen in many areas of development that considering the psychological aspect of ‘duty’, whether it be a social responsibility or a savings account, is taken more seriously when a woman is linked to a group of other women who share her circumstances, status and ideas. Sadhna has tapped into this self-help group model and has organized its members into groups, making their commitment to Sadhna one of social responsibility and economic security.
Conclusion
There is no doubt that Sambhali will require more funds to reach a position of self-sustainability. It might be useful at this early stage to devise a business plan that can be put into place now in order to ensure self-sustainability in the future. This business plan should describe the best way for the Trust to organise itself in a way that will minimise operating costs and maximise revenue generated from materials. All work produced throughout the girls’ training period should be either sold or recycled. Maintenance and depreciation of the Trust’s equipment must also be incorporated: sewing machines are vital for producing larger handicrafts but are expensive to replace.
Plans should be made for how to train the girls and in what specialisation to train them, and how to extend their training upon completion of their time at the Trust. It is important for community development that the girls’ skills are put to good use after graduating. Sambhali could indeed benefit from this. By establishing Sambhali India as a company that sources its products from graduates of Sambhali Trust, or even as a cooperative, the girls will have guaranteed employment and Sambhali India
From the research visits I conducted and by speaking to local experts, I have noticed some common features of successful handicraft initiatives. One of the most prevalent is the insistence of such initiatives on only employing married women. This is to ensure a long-term commitment from their employees, and is based on the assumption that married women will discuss their employment with their husband before starting work. Fair trade organisations usually require all women to be above the age of 15. It has been found that older women and those with prior experience of managing a house and a family are better suited to managerial roles within a grass-roots organisation.
Currently, the girls are paid a small stipend to cover their transport costs and a percentage of the sales price from the work sold at the guest house. Sambhali Trust should make sure that the money earnt by the girls is paid directly into their bank account, rather than by cash, and that the girls understand the importance of saving. Some features of self-help groups can be incorporated here: perhaps the girls could share group account that adds a social dimension to the responsibility of regular saving. It should be noted that there is a psychological difference between having ones savings deducted from ones wages by an employer and choosing to transfer some proportion of ones own wages into a savings account. By having control over their savings the girls will feel empowered and independent. For employees of Sambhali India
Further Reading
International Fair Trade Organisation: www.ifat.org
Fair Trade Federation: www.fairtradefederation.org
Fairtrade Foundation: www.fairtrade.org.uk
Fairtrade Labelling Organisations International: www.fairtrade.net
Nila Moti Foundation: www.nilamoti.org
Seva Mandir: www.sevamandir.org
Sadhna: www.sadhna.org
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