The sluggish demand in the US and EU markets, which account for nearly 70 percent of India's handicraft exports, has translated into a slower growth for the country's handicraft exports in December 2011.
Handicraft exports from India grew at a slower pace of 9 percent during the month to US$ 338 million, compared to exports of US$ 309 million achieved during the same month of previous year.
During the month, exports of shawls as art-ware increased by about 30 percent year-on-year, while embroidered and crocheted items posted a decline of about 7 percent y-o-y.
In the first three quarters of the current financial year, India's handicraft exports grew to US$ 1.7 billion, registering a growth of nearly 19 percent as against exports of US$ 1.4 billion posted during the corresponding period of 2010-11.
About one million people work in the Indian handicraft sector. The country has major handicraft hubs like Saharanpur, Moradabad, Jodhpur and Jaipur, which produce products for export to international markets.