In India, handicrafts were traditionally considered a cottage industry. According to the first national census of the handicrafts sector, undertaken in 1995-96 by the National Council of Applied Economic Research (NCAER), the total number of units producing handicrafts was 1.2 million, employing 4.1 million artisans with an average size of a unit being 3.24 persons per unit. Yet in the last few years it has made enormous strides on the world trade space, lending credence to the belief that India's handicrafts sector is no longer a handicrafts industry
Indian hand-crafted goods have made in incisive entry into home furnishing, decorative articles, furniture, jewellery, and garments, among other things. "Even though hand-crafted articles cost much more than the synthetic machine-made products, people are willing to pay the deserved value for the art work. Nowadays, hand-crafted articles are considered to be a fashion statement and an item of luxury," says Mr. Rakesh Kaushal of Archana Handicrafts Association.
This segment
is witnessing a boom with increasing exports and domestic consumption – which in turn is generating more employment. Exports of handicrafts have been rising consistently at an average of 15 per cent per annum for the past decade. In fact, total exports of handicrafts during 2005-06 were in the range of $3.6 billion against $2 billion during 2000-01.
This segment
is witnessing a boom with increasing exports and domestic consumption – which in turn is generating more employment. Exports of handicrafts have been rising consistently at an average of 15 per cent per annum for the past decade. In fact, total exports of handicrafts during 2005-06 were in the range of $3.6 billion against $2 billion during 2000-01. 
