INDIAN HANDICRAFT INDUSTRY

KEY FACTS OF INDIAN HANDICRAFT INDUSTRY
  • India’s rich cultural diversity and heritage provides a unique and huge resource for developing craft products.
  • Handicrafts industry is one of the important segment of decentralized sector in India.
  • According to the national census of handicrafts, undertaken by the NCAER the value of handicrafts produced last year were of Rs.26,213 Crore.
  • Provides huge employment opportunities to artisans that include women and people belonging to backward and weaker society (6 million artisans).
  • India’s contribution in world market is 1.2%
  • The total exports of crafts items: - Rs. 13412.92 Crore.
  • Industry’s share in India's exports:- 1.51 %

 

HANDICRAFT ITEMS
  • Metal ware
  • Wood ware
  • Hand printed textiles,
  • Embroidered goods & Shawls
  • Carpets
  • Bamboo products
  • Zari goods
  • Imitation jewellery
  • Paintings & Earthenware
  • Jute products
  • Marble Sculpture
  • Bronze Sculpture
  • Leather Products
  • Other miscellaneous handicrafts
OPPORTUNITIES
  • Rising demand for handicraft products in developed countries such as USA, Canada, Britain, France, Germany, Italy etc.
  • Developing fashion industry requires handicrafts products.
  • Development of sectors like Retail, Real Estate that offers great requirements of handicrafts products.
  • Development of domestic and international tourism sector.
  • E-Commerce and Internet are emerged as promissory distribution channels to market and sell the craft products.
THREATS
  • Competition in domestic market.
  • Balance between high demand and supply.
  • Quality products produced by competing countries like China, South Africa.
  • Better Trade terms offered by competing countries.
  • Increased and better technological support and Rand D facility in competing countries.
E-Commerce
  • The entire e-commerce process requires meticulous and well-informed planning to succeed.
  • Businesses need to look beyond issues such as what products and services to offer, how to design and maintain a portal, and how to handle security issues
  • E-commerce can be divided into primarily three categories
  • 1. Business to Consumer (B2C)
  • 2. Business to Business (B2B)
  • 3. Business-to-government (B2G)
India’s Edge
  • India has an edge against its competitors like China, Philippines, Thailand, Taiwan and Korea who generally produce machine made products.
  • Indian handmade products have a niche market all over the world creating a distinct impact through exclusive designs, workmanship, finesse, colors and raw material etc.
  • On Left Side graph showing the increase in growth of products:
Study by ASSOCHAM
  • India’s handicrafts exports are likely to cross Rs 17,000 crore mark by the end of current fiscal year of 2015-16 and is further expected to cross Rs 24,000 crore mark by FY 2020-21.
  • Promotion methods like building brand image, conducting road shows and craft festivals in target countries and also point of sale publicity through attractive display and banners together with marketing tools like innovative and appealing packaging need to be extensively used by the Govt and other councils.
  • The Government in partnership with private sector needs to encourage integrated enterprise development by providing supporting services such as local centres for skill training, product adaptation, vocational training and entrepreneurship development.