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Handicrafts Industry

Indian Handicrafts Industry

The handicrafts sector is of importance to the Indian economy as it is one of the largest employment generators and account for a significant share in the country’s export. The state and regional clusters contribute significantly to handicrafts export. The Indian handicrafts industry is fragmented with more than seven million regional artisans and over 67,000 exporters/export houses promoting regional art and craftsmanship in the domestic and global markets.
Key Markets and Export Destinations
Export of various segments during April 2020 to January 2021 stood as below:
  • Woodwares at US$ 611.48 million
  • Embroidered & crocheted goods at US$ 463.13 million
  • Art metal wares at US$ 353.92 million
  • Handprinted textiles and scarves at US$ 239.73 million
  • Imitation jewellery at US$ 144.19 million
  • Miscellaneous handicrafts at US$ 714.67 million
Indian handicrafts are exported across geographies, with the top 10 destinations being the US, the UK, the UAE, Germany, France, Latin American countries (LAC), Italy, the Netherlands, Canada and Australia.
Recent Developments
Government of India increased incentive rates under the Merchandise Export from India scheme (MEIS) to 7% from 5% for handicraft items which will help exporters to recover the input costs involved in the production of handicrafts and will lead to competitive pricing and boost export.
In the month of September 2020, fund of Rs 2.8 crore was approved for the integrated project for development and promotion of handicrafts of Varanasi by the Ministry of Textiles to overcome the COVID-19 crisis faced by the artisans.
To support the local artisans and weavers ahead of the festive season, has announced Handicrafts Mela from September 26, 2020 to October 10, 2020, which will help over 8 lakhs artisans and weavers in the countries.
Export Promotion Council for Handicrafts
The Export Promotion Council for Handicrafts (EPCH) is the apex Government body and operates under the administrative control of the Ministry of Textiles, Government of India. EPCH has the distinction of being considered a ‘model council’, a self-sustaining body that self-finances all its promotional activities.
  • Export Promotion Council for Handicrafts


Source: India Brand Equity Foundation

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