Scheme for implementation and Promotion of bar-coding using GS1 Standards in India Handicraft Sector under Research and Development Scheme of Office of the Development Commissioner (Handicrafts)

We would like to inform the Members that for development of handicrafts in the country the O/o. the DC (Handicrafts) , during the 11th Five year Plan is implementing six generic schemes, including the Research and Development Scheme. The scheme has been continued for implementation during the Eleventh five year plan, enlarging its scope to include one of its components for “Assisting handicrafts exporters in adoption of GSO global identification standards and for bar coding, including handicrafts mark for generic products”.

The technologies like bar-coding is being extensively used worldwide, over past 30 years across industry sector and trade for a wide number of applications. In registering for bar-coding GS1 India allocates unique company prefix numbers to each manufacturers/supplier, starting with ‘890’ signifying country of original as India. Using this prefix number, each manufacturer/supplier generates unique 13-digit product codes. Application of bar-coding is required to be used in the following spheres in the products world over :

1. In manufacturing
2. In retail
3. In distribution
4. In transport
5. In import-export infrastructure

Indian exporters of handicraft items are required by international buyers to incorporate barcodes on their products/consignments prior to dispatch. This helps buyers in automating their supplies receipt, transit, onward dispatch and Point-of-Sale operations. In particular, it helps in real-time stock management to avoid over-stocks/under-stocks at all points in the supply Chain besides enabling track & trace of goods in transit. Bar-coding is one of the IT tools used for automatic data capture. As opposed to manual data entry, which is tedious and prone to inaccuracies, errors, it enables data capture with 100% accuracy and in micro-seconds.

A project has been assigned to the GS1 India (Under Ministry of Commerce) for adoption of bar-coding system. Crafts included as indicated in the proposal will be handicrafts, carpets, textiles, etc. GS1 has estimated an amount of Rs. 33,500/- per GS1 Company prefix number registration under 1000 number of SKUs/product type number. This fee structure includes one time registration fee of Rs.27,500/- + Rs.6,000 and Rs.1500/- security deposit. All the expenditure excluding Security deposit which is refundable will be borne by Government of India. The security deposit will however be paid by the user company register for bar-coding.

We would request all Members to kindly take advantage of the scheme and send their consent to this office at the earliest to enable us to recommend their names to the Govt. for consideration.

Regards,

Shiv Kumar Gupta,
Executive Director, CEPC