Unrest over stadium plan at KSIC yarn unit snowballs into crisis for Mysore Silk

KSIC’s net profit has tripled and production of sarees has almost doubled in the past 5 years, while prices have gone up by 15% in two years.

Mysuru: Mysore Silk, the Geographical Indication-tagged brand, is not just a fabric, but a heritage, an emotion.

The net profit (after tax) of Karnataka Silk Industries Corporation (KSIC), the makers of the famed saree brand, has tripled in the past five years and production of sarees has almost doubled; and the rate has gone up by 15% in two years.

Yet KSIC faced the demand for double the quantity of sarees produced now. Thanks to new colours and designs it has introduced besides its authenticity, purity and quality of the zari thread which is certified by the Silk Mark Organization of India. So, there is huge scope for expansion of the existing KSIC units than closing them, according to KSIC sources. 

The net profit (after tax) of the KSIC tripled from Rs 31.64 crore in 2021-22 to Rs 96 crore in 2024-25. Production of sarees has increased from 280 to 400 per day with an increase in looms from 189 to 319 units as they have added 90 looms over the past five years. The rate has gone up by 15% in the past two years due to rise in gold and silver price as the zari thread has 65% silver and 0.65% gold. Yet, the KSIC has demand for 600 more sarees a day and they are adding 20 more looms, according to KSIC managing director Zehera Naseem.

KSIC general manager (Personnel and Operation) Uma said, "We purchase about 2,000 kg cocoons per day mainly at Sidlaghatta, Ramanagara and Kollegal. The raw silk yarn reeling unit, spread over 12 acres at T Narsipur in Mysuru district processes this to 250 to 300 kg silk yarn per day."

She said the unit in Channapatna, spread over 17 acre, had 30 looms. "We added 20 looms in 2024-25 and are adding 20 more this year. The silk weaving unit in Mysuru, spread over 19 acres, had 159 looms. We added 60 looms in 2021 and 10 in 2024-25. Currently, the Mysuru unit has 229 looms, including newly added mechanical jacquard units for new design zaris. Final finishing happens here. So overall, the number of looms in the two units has increased from 189 to 319. The production of Mysore Silk has increased from 1,500-1,700 metres (280 sarees) in 2021 to 2,200 metres per day (400 sarees per day) now."

The officer said the cost of cocoon is Rs 700 a kg. "To produce one kg of yarn, 7 kg cocoon is required. The cost of operation and production has increased with inflation and salaries of staff go up as per the pay commission rules. Due to increase in gold and silver prices, the cost of sarees has increased. Yet, the demand for sarees has gone up so high that people queue up with tokens outside the 12 showrooms in the State from as early as 5 am." 

Uma informed that though the KSIC has 1,200 sanctioned posts, there are 1,092 employees in all the three units, as many have retired. Now there are only 150 permanent employees and the rest are outsourced. "There is a proposal to recruit the remaining staff on a permanent basis," she said. 

A KSIC official said, "People earlier used to buy Mysore Silk sarees for special occasions and festivals. Now, as the purchasing power has increased, people are buying Mysore Silk sarees regularly. Also, due to its authenticity and elegance, it has become a matter of prestige to wear this branded product. The KSIC is involving in-house designers and consultant fashion designers who are coming up with a range of colour combinations and designs of borders to meet with the taste of people in the changing times. Hence, the demand has increased."

'Fill vacant posts'

With this being the scenario, the government should fill vacant posts, add more looms, increase production and the brand should be saved. The five acres of land of the mother unit of the KSIC, the T Narsipur raw silk yarn reeling unit, taken over by the Department of Youth Empowerment and Sports for a proposed stadium worth Rs 6 crore should be retained. This unit and weaving units in Mysuru and Channapatna and the jobs of 1,092 employees and the brand value of the heritage saree should be saved, KSIC employees urged.

They fear the closure of the T Narsipur unit and loss of jobs, as the stadium cannot exist next to a 5 tph (tonnes per hour), the 2 tph boilers and the dump yard of cinder ash generated by burning coal at the unit. 

The 5 acres of land proposed for the stadium will block the way to transport 5 tonnes of coal per day to the unit. The pipeline from river Cauvery, transporting water to the facility, also passes through this buffer land.

Foreseeing closure of the unit, they say weaving of the famed sarees will come to a halt since there will be no raw material (yarn).

Employees of the T Narsipur unit stopped production on February 21 and those at the other two units on February 24. They are protesting at the T Narsipur unit against the stadium plan. Cocoons have not been purchased for the past one week.