The shares offer the artisans a divisible asset class (land can be divided but its divisions are often disputed and jewellery is largely indivisible) and
community-owned companies help convert Fabindia's artisan base into an asset.
"These
are not things one can measure on a balance sheet but I do believe that eventually,
if we can convert our suppliers or artisans into these community-owned companies, it
will be a very strong asset for Fabindia," says Bissell.
But the model is not desirable from a social point of view alone. Fabindia has moved
from being a primarily export house in the 1960s to a turnover of Rs 300 crore (Rs 3 billion), of
which 90 per cent is domestic sales. Its aim is to be a "lifestyle alternative to the mass-produced".
From soap and organic food to clothes and furniture, it claims to provide 'natural
and eco-friendly' options. These options are sourced primarily from craft-based
processes. While the company doesn't set targets, it is looking at growing to 250
stores in four years.
Image: A variety of designs at the store. | Photograph: Fabindia website
Also read:
30 tax-smart ways to plan your salary package
Advertisement
