Who are involved in putting-out system? How is this system advantageous and disadvantageous for the weavers? [V. Imp.]
The persons involved in putting-out system are weavers and merchants.
This system is advantageous for the weavers in two ways:
(a) They do not have to spend their money on the purchase of yam.
(b) They are also free from the tension of selling the finished cloth.
This system is disadvantageous for the weavers in these ways:
(a) They have to depend on the merchants for raw materials as well as markets.
(b) Under this system the merchants become very powerful. They give orders for what is to be made and they pay a very low price for making the cloth.
(c) The weavers have no way of knowing who they are making the cloth for or at what price it will be sold.
What are the reasons that the business person is able to make a huge profit in the market?
You might have heard of cooperatives in your area. It could be in milk, provisions, paddy, etc. Find out for whose benefit they were set up?
Where do you think large farmers would sell their cotton? How is their situation different from Swapna?
What are the demands foreign buyers make on the garment exporters? Why do the garment exporters agree to these demands?
Compare the earnings per shirt of the worker in the garment factory, the garment exporter and the business person in the market abroad What do you find?
How do weaver's cooperatives reduce the dependence of weavers on the cloth merchants? [V. Imp.]
How does market work move in favour of the rich and powerful? What are the ways to overcome them? (V. Imp.]
If the weavers were to buy yam on their own and sell cloth, they would probably earn three times more. Do you think this is possible? How? Discuss.
What are the following people doing at the Erode cloth market merchants, weavers, exporters?
Who are involved in putting-out system? How is this system advantageous and disadvantageous for the weavers? [V. Imp.]