Khadi vs Handloom - 7 Key Differences You Must Know.

In the rich tapestry of India's textile heritage, Khadi and Handloom stand as distinct pillars, each weaving a unique narrative. While both involve the skill of handweaving, a closer look reveals crucial differences that set them apart. This comprehensive guide unravels the seven pivotal distinctions between Khadi and Handloom, shedding light on their individuality.

1. Yarn Origins: Khadi's Handspun Elegance vs. Handloom's Mill-Spun Precision.

The fundamental difference lies in the yarn itself. Khadi, the epitome of handcrafted luxury, employs handspun or manually spun yarn. On the contrary, Handloom textiles use mill-spun yarn. A trained eye can make out the difference in the yarn. While the handspun yarn has an 'S' twist, the millspun yarn will have a 'Z' twist. 

2. Ministry Affiliation: MSME vs. Textile Ministry.

Khadi proudly falls under the aegis of the MSME ministry, underscoring its role in empowering small and medium enterprises. In contrast, Handloom finds its regulatory home under the Textile ministry, signifying its broader industry alignment.

3. Weaving Community: Khadi Sangha Exclusivity vs. Open Loom Access.

Khadi weavers are an exclusive community intricately connected through Khadi Sanghas. Conversely, Handloom welcomes anyone with a loom, fostering a more open and diverse weaving community.

4. Yarn Accessibility: In-House Handspun for Khadi vs. Open Market Options for Handloom.

For Khadi, the journey from yarn to fabric is an intimate affair, relying solely on in-house handspun yarn. Handloom, in contrast, enjoys the flexibility of sourcing yarn from the open market, expanding its horizons.

5. Trademark Usage: Khadi's Restricted Prestige vs. Handloom's Open Accessibility.

The term "Khadi" is trademarked. Brands and organizations seeking to harness the Khadi word power must pay and lease the term from the Khadi and Village Industries Commission (KVIC). In contrast, "Handloom" is a more open term for any brand or organization without such stringent constraints.

6. GST Dynamics: Khadi Bhandar Exemption vs Universal 5% GST.

While a 5% Goods and Services Tax (GST) applies to Khadi and Handloom fabrics, a notable exception prevails. Khadi fabrics sold within Khadi Bhandars enjoy a GST exemption, underscoring the special status.

7. HSN Code Variations: Navigating the Labyrinth of Codes.

In the intricate world of trade, Harmonized System of Nomenclature (HSN) codes delineate products. Khadi Fabric carries the HSN code 62114921, distinctly different from Handloom Fabric's 50079010, offering a quick reference for traders navigating these distinctive realms.

In conclusion, the subtleties between Khadi and Handloom are not just threads in a textile but stories interwoven with tradition, craftsmanship, and regulatory nuances.

(As per the KVIC guidelines, we hereby cease to use the trademarked word KHADI on any of our product descriptions) Feel free to read all our blog posts here.​

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