COTPA Amendment To Hit Livelihood Of Women Working In Beedi Industry: Study A Study on Lack of Alternative Employment for Women Beedi Rollers points how the existing anti-tobacco legislations have already impacted the livelihood of people working in the industry

By Shrabona Ghosh

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Pexels

The proposed amendments to the Cigarettes and Other Tobacco Products Act (COTPA) will adversely affect the livelihood of million of women engaged in beedi manufacturing, said a report by A Study on Lack of Alternative Employment for Women Beedi Rollers released in December 2021.

The beedi industry which began in the early 1900s is India's fourth largest employment provider. The manufacturing of beedis is extremely labour intensive and this is done manually mostly by women and children.

The sector is currently struggling hard to keep the industry afloat. "Amendments are being proposed to the Cigarettes and Other Tobacco Products Act (COTPA). If passed, it will adversely affect the livelihood of million of women engaged in beedi production. Existing anti-tobacco legislations today have already led to a decline in the beedi industry. So, It is extremely important to provide alternative livelihood on a large scale to women beedi workers. Without providing an alternative opportunity, further amendments to the COTPA will put the industry on the brink of complete obliteration resulting in massive unemployment and socio-economic ramifications," said Arjun Khanna, joint secretary of All India Beedi Industry Federation.

With the introduction of the Goods and Services Tax (GST) in July 2017, the government has moved from levying a nominal tax (central excise and VAT in some states) to now charging a tax rate of 28 per cent (highest GST slab) as it deemed beedis to be demerit good.

The impact of this policy forced people to move from the organized sector to the unorganized sector, adversely affecting the employment and income of beedi workers. Moving to the unorganized sector, saw women workers being deprived of getting minimum wages and other benefits like, contribution to provident fund, paid leaves etc. "In addition to low wages, the amount of work each worker gets has declined creating a sense of insecurity among them. Workers from various parts of the country are of the view that they just continue in this industry since they have no alternative options. Several studies also disclose how workers are fed up with beedi rolling and have shown willingness to change their occupation if provided with alternative livelihoods," said Dr Ashwani Mahajan, co-convenor of Swadeshi Jagaran Manch.

Shrabona Ghosh

Senior Correspondent

I write on corporates and lead a project called 'Corporate Innovations', wherein I cover large enterprises across technology, auto, FMCG and avaition. I engage in CEO dialogues and run my podcast series: The Big Bosses. You can reach out to me at gshrabona@entrepreneurindia.com
Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Branding

Creating a Brand: How To Build a Brand From Scratch

Every business needs good branding to succeed. Discover the basics and key tips to building a successful brand in this detailed guide.

Innovation

It's Time to Rethink Research and Development. Here's What Must Change.

R&D can't live in a lab anymore. Today's leaders fuse science, strategy, sustainability and people to turn discovery into real-world value.

Marketing

How to Better Manage Your Sales Process

Get your priorities in order, and watch sales roll in.

Business News

AI Agents Can Help Businesses Be '10 Times More Productive,' According to a Nvidia VP. Here's What They Are and How Much They Cost.

In a new interview with Entrepreneur, Nvidia's Vice President of AI Software, Kari Briski, explains how AI agents will "transform" the way we work — and sooner than you think.

Starting a Business

Passion-Driven vs. Purpose-Driven Businesses — What's the Difference, and Why Does It Matter?

Passion and purpose are both powerful forces in entrepreneurship, but they are not the same.