India Handicrafts Market Research Report and Industry Forecast

India Handicrafts Market Summary:

The India handicrafts market size reached USD 4,565.0 Million in 2024. The market is projected to reach USD 8,198.5 Million by 2033, exhibiting a growth rate (CAGR) of 6.39% during 2025-2033. The market growth is attributed to rising disposable incomes, growing demand for ethnic and handmade décor, expansion of e-commerce platforms, government support through export promotion schemes, increasing tourism, and a global shift toward sustainable and eco-friendly products.

Market Insights:

• Based on region, the market is segmented into North India, West and Central India, South India, and East India.
• On the basis of product type, woodware, artmetal ware, handprinted textiles and scarves, embroidered and crocheted goods, zari and zari goods, imitation jewelry, sculptures, pottery and glass wares, attars and agarbattis, and others.
• Based on the distribution channel, the market is divided into mass retailers, departmental stores, independent retailers, specialty stores, online stores, and others.
• On the basis of end use, the market is segmented into residential and commercial.

Market Size and Forecast:

• 2024 Market Size: USD 4,565.0 Million
• 2033 Projected Market Size: USD 8,198.5 Million
• CAGR (2025-2033): 6.39%

Handicrafts refer to unique artifacts that are either handmade or made using simple tools instead of machines. They represent the traditional, cultural and artistic values of a place or nation. As they add aesthetic and decorative value, their demand is escalating across India.

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Significant advancements in the accessibility of handicraft products on various online portals are strengthening the market growth in India. Besides this, handicrafts are gaining immense popularity due to the increasing travel and tourism in the country, which is increasing the India handicrafts market demand. Tourists spend a considerable amount on purchasing souvenirs and other craft items, thereby expanding the scope for local artisans and craftsmen to produce and sell efficient handicrafts. Moreover, the escalating demand for handmade décor accessories in homes, offices and restaurants, along with the increasing demand from the gifting industry, is propelling the market growth. Furthermore, the inflating disposable incomes and the increasing willingness among individuals to invest in vintage and high-quality handicraft products are impelling the market growth in the country.

India Handicrafts Market Trends:

Handmade Decor India Export Trends

The market is experiencing sustained growth in the handmade décor segment, particularly due to the rising global demand for culturally rich, artisanal products. Indian exports of home décor items such as carved wooden furniture, embroidered textiles, and metal artifacts are witnessing renewed interest from international buyers who value traditional aesthetics and craftsmanship. According to industry reports, India’s handicrafts exports stood at INR 29,391.18 Crore (USD 3.48 Billion) during the fiscal year 2025 (April–February). Moreover, increasing participation in international trade fairs and exhibitions has helped Indian artisans gain visibility, while digital catalogs and virtual showrooms have further enhanced market accessibility. Besides this, exporters are also focusing on product diversification, aligning traditional designs with contemporary consumer preferences. Additionally, rising awareness about Indian Geographical Indication (GI) tags has strengthened the authenticity and global appeal of region-specific crafts. Exporters are adapting packaging, quality control, and compliance practices to meet foreign regulations. These factors, coupled with government support and targeted promotion campaigns, continue to boost India handicrafts market growth.

Sustainable Artisanal Products and Eco Credentials

Sustainability has become a defining trend in the market, as consumers increasingly prioritize products that are eco-friendly, ethically sourced, and socially responsible. Artisans across the country are shifting towards natural raw materials such as bamboo, jute, banana fiber, and organic cotton, while also embracing non-toxic dyes and minimal-waste production processes. In many artisan clusters, upcycling practices have emerged, converting textile scraps, metal remnants, and discarded wood into high-quality handcrafted goods. These efforts are not only reducing environmental impact but also reinforcing traditional knowledge systems. This trend is driving the sales of sustainable artisanal products India. Furthermore, certifications such as Fair Trade and eco-labels are gaining popularity, enabling consumers to verify the social and environmental integrity of their purchases. The rise of conscious consumerism, both in domestic urban markets and among international buyers, has elevated the market value of sustainable artisanal goods. Artisans are also incorporating sustainability narratives into branding, thus enhancing product differentiation while aligning with the growing demand for environmentally credible lifestyle products.

E-Commerce Platforms and Omni-Channel Retail Expansion

Digital transformation has become a key driver expanding the handicraft market size in India. E-commerce platforms enable wider reach, better visibility, and direct-to-consumer models for artisans. Dedicated online marketplaces for handicrafts, as well as mainstream platforms with curated artisan categories, have given local producers access to national and international buyers. Mobile apps and vernacular interfaces have further simplified seller onboarding from rural areas. Besides this, AI-driven product recommendations, digital storytelling, and influencer marketing have enhanced buyer engagement. Live commerce, digital payments, and efficient last-mile delivery networks have streamlined the buying process, even for customized or made-to-order products. In addition to e‑commerce handicraft platforms, handicrafts are also entering modern retail environments such as lifestyle stores, hypermarkets, and convenience chains. These omnichannel strategies are helping artisans diversify revenue streams while adapting to changing consumer behaviors. As more consumers shift to hybrid shopping preferences, the integration of offline exhibitions with online retail continues to redefine the market landscape.

Opportunities and Challenges in the Indian Handicrafts Market:

The market is fueled by a significant growth factor, such as rich cultural heritage, increased consumer requirement for eco-friendly and handmade goods, and emerging global export markets. Indian handicrafts are becoming sought after globally for their distinctiveness and handcrafted nature. The market analysis of handicraft industry in India suggests that the market is supported by government schemes, which are designed to enhance artisans' skills and living conditions. Moreover, digitalization and the advent of e-commerce platforms are connecting rural craftspeople and global/urban consumers, opening them up to greater reach and improved earning opportunities. In spite of these opportunities, the market is faced with ongoing challenges. Unorganized supply chains, lack of consistent product quality, and inadequate scalability all impede growth. Artisans typically don't have access to contemporary tools, design innovation, and market intelligence, which significant hinders market development. According to the India handicrafts market analysis, younger generations are moving away from traditional crafts because of insecure income opportunities. Breaking these barriers through skill development, market linkages, and financial support is essential for sustainable sector growth.

Indian Handicrafts Industry Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the India handicrafts market report, along with forecasts at the country and regional level from 2025-2033. Our report has categorized the market based on product type, distribution channel and end use.

Breakup by Product Type:

• Woodware
• Artmetal Ware
• Handprinted Textiles and Scarves
• Embroidered and Crocheted Goods
• Zari and Zari Goods
• Imitation Jewelry
• Sculptures
• Pottery and Glass wares
• Attars and Agarbattis
• Others

Breakup by Distribution Channel:

• Mass Retailers
• Departmental Stores
• Independent Retailers
• Specialty Stores
• Online Stores
• Others

Breakup by End Use:

• Residential
• Commercial

Breakup by Region:

• North India
• West and Central India
• South India
• East India

Competitive Landscape:

The report has provided a comprehensive analysis of the competitive landscape in the India handicrafts market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Anokhi
• Asian Handicrafts Private Limited
• Gangamani Fashions (Art & Crafts)
• HN Handicrafts
• Indian Handicrafts Company
• Kalagya Arts & Crafts
• Nirmala Handicrafts
• S. Sundaravadivel & Co
• Varnam Craft Collective

Latest News and Developments:

• On May 23, 2025, Andhra Pradesh Handicraft Development Corporation (Lepakshi) and the AP State Handloom Weavers Cooperative Society (APCO) signed a memorandum of understanding (MoU) in Vijayawada to jointly showcase and sell each other’s premium handloom and handicraft products across their respective showrooms. The agreement outlines a consignment-based exchange, dedicated showroom allocations, and strategic logistics planning aimed at enhancing market visibility, reducing costs, and increasing artisans’ and weavers’ incomes.
• On February 17, 2025, the European Union and India’s Ministry of Textiles jointly launched seven new initiatives, backed by a EUR 9.5 Million (INR 85.5 Crore) EU grant, on the sidelines of the Bharat Tex event to strengthen the Indian handicraft industry and textile sector. These projects span nine states and will directly benefit 35,000 participants, including MSMEs, artisans, and farmer-producers, while economically empowering approximately 200,000 women through enhanced production, branding, market access, and adoption of sustainable practices.
• On November 5, 2024, the Union Social Justice and Empowerment Minister launched “Tulip,” a digital platform under the National Backward Classes Finance and Development Corporation and the Ministry of Social Justice and Empowerment, aimed at improving market access for artisans from marginalized communities, safai karmacharis, persons with disabilities, and minority groups. The platform facilitates direct sales by skilled artisans to domestic and international markets, reducing dependency on intermediaries and ensuring fair compensation.
• On October 25, 2024, the Andhra Pradesh Handicrafts Development Corporation (Lepakshi) announced a targeted training programme to empower artisans in water‑hyacinth craft techniques. The initiative focuses on transforming the invasive weed into eco‑friendly products, such as baskets, mats, and home decor, thereby combining environmental remediation with sustainable livelihood opportunities for rural artisans. It includes hands‑on workshops, use of traditional weaving methods, and integration with existing handicraft supply chains to enhance artisans’ market competitiveness and economic self‑reliance.

Report Coverage: