Why the Indian cottage industry is booming
One of the most important industries in India, currently making many headlines, is the Indian cottage industry. For decades it has remained one of the instrumental industries of India for being one of the largest creators of employment. It is still considered to be the cottage industry, even though it has become a major income generator for the country. Handicraft items are known for their versatility as the material used to make these products is environmentally friendly.
Online trading has added the required fuel to the industry with many players entering the online crafting space. And the online boom has definitely generated additional interest from countries like the US, Canada, Britain, France, Germany, Italy, etc. Given the credits to the rich history of India, the demand for handicraft products made in India is selling like hot cakes and increasing with each passing day.
The increased demand for Indian handicrafts has given the opportunity for small local manufacturers to increase their sales and become a national or global seller. Customers get a big piece of the pie as they now have many options to choose from and there are many ways to connect with the seller or manufacturer.
All things considered, the Indian handicraft industry is still fragmented with over 5 million regional artisans and over 60,000 exporters/export houses, promoting regional arts and crafts in domestic and global markets, most of which are which consist of women and people belonging to weaker communities. There has been a steady 15% growth in the industry year over year. And such strong growth has caught the attention of many prominent Indian personalities, the most recent and most notable being the Prime Minister of India, who spoke about the Indian cottage industry and its growth prospects during his Start-up India event. held in January 2016.
Artesians introduce new and creative products and designs every day. Whether it’s clocks, vases, home decor, home furnishings, etc. The demand for all these products locally and internationally is immense and every day more and more emerging companies are venturing into this industry due to the potential of this type of product.
Even though the industry numbers are positive, what remains to be seen is that the industry is mostly spread across the country, mostly in rural areas and small towns. As is the industry where a macro investment is not needed, and it can be started from home on a small scale.