The Indian fashion industry has been witnessing a surge of sustainable fashion brands like Grassroots, Okhai, Mati, No Nasties, Nikobar, and many more. Interestingly, most of them have focused on delivering sustainable livelihood development and empowering artisans, many of whom work in rural areas. Even big brands like Swadesh from Reliance Retail, AADYAM from Aditya Birla Group, and Antaran from Tata Trusts also prioritise the sustainable livelihood of artisans, despite operating in different business formats.

It is indeed a justified strategy for sustainable fashion brands operating in India because, according to MOT (Moment of Truth - 2021) data, the craft sector is the second-largest employment generator after agriculture, providing job opportunities to approximately 12 million people in rural and urban areas of India. Renowned national and global experts assert that the craft sector of India has the potential to be a sunrise sector, given the increasing global demand for environmentally friendly ethical fashion. However, the families of artisans face several challenges in meeting their daily livelihood requirements and addressing issues related to health, education, and sanitation. Despite these constraints, they play a vital role in preserving the country’s cultural and social traditions both nationally and internationally. Even a policy paper by UNESCO in 2007 advised developing nations like India to prioritise the craft sector as a crucial area for eradicating poverty.

So, the amalgamation of a sustainable livelihood strategy for the artisans and a business strategy is imperative. Unfortunately, the current theory of business strategy lacks this dimension. It would be helpful for the brands if they go through the gist of the existing models, variables, and frameworks of sustainable livelihood, that have been extensively researched in the field of development economics. This article attempts to bridge the gap between research and practice by lucidly and briefly discussing some important inputs that brands may consider when developing sustainable livelihoods for the artisans who work for them.

When a brand partners with an artisan cluster as part of its value chain, understanding a few prior contexts are extremely essential. For example, a brand should be aware of the existing government policies, the history of the craft, the macroeconomic condition of the district, climate, agroecology, social strata, and class etc. (Scoones, 1998).  Brands should be very clear that in the long run, developing the sustainable livelihood of the artisans is equivalent to developing their major livelihood resources like financial capital, human capital, natural capital, social capital and physical capital.

Brief Explanation of these Capitals:

Financial capital comprises cash, savings, credit, basic infrastructure and production equipment, and technologies related to artisans’ livelihood functions. Human capital is all about artisans’ skills, knowledge, education, labour ability, good health, and physical capabilities. Natural capital includes soil, water, air, forest resources and environmental services. Social capital refers to the social relations, affiliations, associations, networks, and social claims of the artisans. Physical capital refers to physical infrastructure like roads, hospitals, and schools near to the artisans’ residing places. To foster the growth of all these types of capital, brands need to develop livelihood strategies for artisans along with their business strategies. Brands’ primary focus should be on intensifying artisans’ businesses by providing them with expanded market access or modifying/diversifying their product range through design interventions to win new markets. 

There are primarily five outcomes of successful sustainable livelihood strategies:

1.   increased number of working days and income

2.  reduction of poverty

3.  reduction of vulnerability and risks through increased adaptation and resilience

4.  increment of natural resources for future generations

5.  increased dignity of life, well-being, and happiness.

When brands aim to focus on the sustainable livelihood of the artisans at grassroot levels, they must have positive interactions with government organisations such as the weaver service centre, non-governmental organisations like artisan cooperatives, and artisan entrepreneurial organisations, as they play crucial role in supporting artisans’ livelihoods. Additionally, religious practices, caste-based structures, and social norms also have an impact on artisans’ livelihoods.

Many Indian sustainable fashion brands are doing a considerably good job in creating sustainable livelihoods for the artisans. We have witnessed how brands like Fab India, Ritu Kumar, and Rang Sutra have established successful relationships with artisan entrepreneurs, artisan cooperatives, and government and non-government agencies to develop sustainable livelihoods for the artisans. However, there is huge scope to add value in this direction, if they consider all the variables mentioned in existing Sustainable Livelihood Models in a more focused way, to bring more meaningful changes in artisans’ lives and create long-term value for the brands.