The Handicrafts Sector plays a significant & important role in
the countrys economy. It provides employment to a vast segment of craftpersons
in rural & semi urban areas and generates substantial foreign exchange for
the country, while preserving its cultural heritage. Handicrafts have great
potential, as they hold the key for sustaining not only the existing set of
millions of artisans spread over length and breadth of the country, but also
for the increasingly large number of new entrants in the crafts activity.
Presently, handicrafts contribute substantially to employment generation and
exports. The Handicraft sector has, however, suffered due to its being
unorganized, with the additional constraints of lack of education, low capital,
and poor exposure to new technologies, absence of market intelligence, and a
poor institutional framework. In spite of these constraints, sector has
witnessed a significant growth of 3 % annually. Some of the promising areas in the crafts sector during the Xth Five Year Plan had been:
Exports continued to
grow for high value-added crafts products.
- Consumer tastes
changed rapidly on account of economic liberalization.
- Focus on quality and product diversification with increasing
- Increasing challenge offered by
availability of mass-produced competing product lines using different raw
materials (often man-made) and mechanized production techniques.
- Government policy
envisaged a greater role for NGOs, and participation of private resources
both human & financial.
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