Gender Inequality and Entrepreneurship: the Indian Silk Industry

The production of raw silk yarns from cocoons (reeling) is a crucial middle stage in the silk industry. The author reviews the experience of attempts to encourage women's entrepreneurship in this industry in Karnataka, South India. Reeling is a potentially lucrative field with possibilities for upward mobility from small-scale to large-scale production if credit is readily available. The industry in India employs large numbers of skilled female workers from all communities and is one of few in which a sectoral gender policy is being implemented. While these factors may be thought to be conducive to the development of women entrepreneurs, none were in the areas studied at the time of research. No women were involved in marketing through the official marketing system and no women's co-operatives were operating. While women were listed among registered reelers, men controlled the businesses. Men simply used women to obtain supplementary bank loans or funds through other avenues otherwise open to only women. Policies for women in reeling have therefore proved to be overwhelmingly unsuccessful. The author considers gender inequality and gender policy at length in this context and concludes that the problem is systemic and structural in nature. Policy implications are considered.