It was at the time of the Nagpur Session (1920) that the Indian National Congress decided to encourage “khadi”. The first Khadi Production Centre was established at Kataiwad, Gujarat, Gandhiji used to refer to the as “the livery of freedom”.
In fact khadi was introduced in 1920 as a political weapon and as the best instrument for giving concrete expression to the Swadeshi Spirit to boycott foreign goods. Khadi rendered an opportunity to every man, woman and child to cultivate self – discipline and self – sacrifice as a part of the non – co –operation movement.
Given below is a chronology of events that contributed to the development of Khadi in India over time:-
1923 – Development of All India Board under the Indian National Congress by Gandhiji.
1925 – Setting up of All India Spinners Association
1935 – All India Village Industries Association was formed.
1946 – Government of Madras sought the advice of Gandhiji and set up a department for Khadi.
1948 – Govt. of India recognized the role of Rural Cottage Industries in the Industrial Policy Resolution, 1948. Constituent Assembly included Cottage Industries in Rural Areas among the directive Principles of the Constitution in Article 43.
These ideas were elaborated in the First five-year Plan, which laid down the Policy framework for setting up of a body for Khadi and Village Industries. Central Government also recommended for setting up of a Board.
1953 – In accordance with these recommendations, Govt. of India set up All India Khadi & Village Industries Board (AIKVIB) in January, 1953.
1955 – It was decided that a statutory body should replace the Board.
1956 – Khadi and Village Industries Commission Act 1956, was passed.
1957 – Khadi and Village Industries Commission came into being.
The post independence period saw the Government of India and the planning commission assuring the responsibility of fitting Khadi and Village Industries within the framework of five-year plans.