Khadi and village industries sector records Rs 1.7 lakh crore turnover in FY24-25
06 March 2026, Mumbai
The Indian Khadi and village industries sector has established a new benchmark for economic performance, recording a historic annual turnover of Rs 1.7 lakh crore for FY24-25. This rise represents a massive shift in market positioning for hand-spun and hand-woven textiles, signaling a transition from heritage craft to a robust, self-reliant commercial engine. Recent sector data underscores an impressive 447 per cent growth in sales over the last eleven years, reflecting the successful integration of traditional artisan skills into the modern consumer landscape.
Driving rural employment and economic resilience
Beyond sales figures, the sector remains a primary driver of rural livelihood, currently supporting approximately 1.94 crore individuals across India. By facilitating widespread employment, the Khadi and Village Industries Commission (KVIC) continues to act as a catalyst for socio-economic stability. The ongoing ‘Khadi Mahotsav-2026’ series, including the recent edition in Thane, demonstrates the efficacy of these outreach efforts, showcasing products from fifteen states and stimulating direct market access for local entrepreneurs. This localized approach is effectively mitigating rural migration by bringing sustainable manufacturing opportunities directly to artisan clusters.
Modernizing traditional value chains
To maintain this momentum, KVIC is aggressively pursuing technological modernization. Strategic investments include the distribution of advanced looms, electric pottery wheels, and automated processing equipment under the Gramodyog Vikas Yojana. By enhancing infrastructure and providing better tools, the commission is boosting per-capita productivity while ensuring that the quality of finished goods meets contemporary retail standards. This technical upgrade is complemented by consistent wage increases for artisans, with KVIC reporting a historic 275 per cent growth in earnings over the past decade, ensuring that the economic gains of the ‘Khadi revolution’ reach the grassroots level.
A statutory body under the Ministry of MSME, KVIC promotes and develops Khadi and village industries. It oversees artisan training, market development, and credit facilitation through schemes like PMEGP. KVIC focuses on rural employment, sustainable manufacturing, and brand promotion, achieving record turnover growth through modernized traditional craftsmanship.
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