Economic Contribution and Inequality Mitigation of Wicker Handicraft Entrepreneurship in Rural Kashmir, India

Abstract

Wicker handicraft entrepreneurship is a unique world-famous small-scale forest-based cottage industry of indigenous people of Kashmir Himalaya which plays a prominent role in livelihood security, socioeconomic development, traditional handcraftsmanship and rural industrialization in the region. The study investigated the economic contribution, income inequality mitigation and determinant socioeconomic factors of wicker handicraft entrepreneurship in Pulwama district of J&K UT. Multistage random sampling technique was employed to select the sample of 100 wicker handicraft entrepreneurs. Data were collected through structured interviews and focus group discussions. Both descriptive and analytical statistics were used in data analysis. Results revealed that collection of withies from Parrotia jacquemontiana, Cotoneaster baciliaris, Indigofera pulchella and Salix spp. was 61.71 t/year for manufacture of 43514 wicker handicrafts/year which generated an income of  5953470/year. Wicker handicraft income contributes 66.97%, whereas farm and non-farm income accounts 23.46% and 9.58% of total household income, respectively. Gini coefficient was 21.85 when wicker handicraft income was considered and 53.14 when it was ignored which indicated that the wicker handicraft income have stronger equalizing effect on local income distribution. Regression analysis showed that all explanatory variables jointly accounted 81.50% (R2=0.815) variation on wicker handicraft income. Among socioeconomic factors, education, family composition, housing status, subsequent occupation and gross annual income were key determinants influencing significantly (p<0.05) the wicker handicraft income. To achieve the socioeconomic development and livelihood diversification objectives, policy must be directed towards the rural industrialization through wicker handicraft entrepreneurship.