Jammu and Kashmir's handicraft exports reached ₹817.39 crore in 2025-26 while adding over 13,000 registered artisans. However, craftsmen continue to face challenges regarding stagnant wages, rising input costs, and competition from machine-made alternatives.

Jammu and Kashmir's handicraft sector recorded exports totaling ₹817.39 crore in the 2025-26 financial year. Official data shows the union territory also added 13,264 registered artisans and weavers during the current financial year, bringing the total number of registered workers to 4,61,381. Of these new registrations, 7,919 were from Kashmir and 5,345 from Jammu. Export figures for the first quarter of 2026-27 stood at ₹73.85 crore.

Despite the growth in overall export value, traditional artisans report that higher export figures have not translated into better individual incomes. Craftspeople working on labor-intensive traditional products cite stagnant wages, increasing household expenses, and rising costs for raw materials such as fabric and thread as ongoing concerns.

Abdul Majid, a Kani shawl weaver based in Srinagar’s Natipora, stated that a weaver typically earns between ₹500 and ₹600 for a 10 to 12-hour workday. Completing a single Kani shawl can take anywhere from two months to three years depending on the intricacy of the design. Artisans note that this slow production timeline leaves handmade crafts vulnerable to competition from cheaper, faster-produced machine-made imitations.

Bashir Ahmad, a carpet weaver, noted that handmade carpets struggle to compete with lower-priced machine-made alternatives that can be manufactured much more quickly. Ahmad added that stagnant financial returns are discouraging the younger generation from entering the trade, creating a long-term challenge for an industry that relies on skills passed down through generations.

In response to these industry pressures, officials from the Handicrafts Department stated that administrative efforts to protect traditional products are showing results. Geographical Indication (GI) tagging has been utilized to prevent the sale of counterfeit products. Jammu and Kashmir currently features 68 notified crafts, with more than 18 having received GI tags. Additionally, government initiatives have expanded the formal registration network for artisans.

While official measures focus on protecting the identity and authenticity of Kashmiri crafts through formal registration and GI tagging, artisans maintain that long-term workforce retention will ultimately depend on securing higher returns and addressing the market impact of low-cost machine-made substitutes.

"The growth in export revenue and artisan registrations indicates strong market demand and structural reach for traditional J&K handicrafts. However, the disconnect between top-line export growth and artisan earnings highlights a critical structural gap in the traditional manufacturing value chain. For craft-based economies to scale sustainably, interventions must focus on margin distribution, supply chain efficiency, and protecting artisan livelihoods from low-cost substitutes to ensure generational skill transfer continues." — Dr. Shishir Gupta, Founder & CEO, StartupLanes

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