Ease of Doing Business for MSMEs: The state of Rajasthan has recorded exports of handicraft items worth Rs 6,205.32 crore in the fiscal year 2020-21, as per a report by The Statesman. The raw materials such as wood, marble, leather, metals and others that are used in craftworks are found abundantly in the state and are also seeing an increase in production. 

In addition, the state has exported gems and jewellery worth Rs 4,067.36 crore, textiles worth Rs 5,729.29 crore, readymade garments worth Rs 1,764.40 crore and carpet worth Rs 464.70 crore during FY21. 

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The state had also announced handicrafts as a thrust sector of the Rajasthan Investment Promotion Scheme during the Invest Rajasthan Summit in October 2022 to provide them additional benefits. 

The Rajasthan government had also introduced Handicraft Policy 2022 in September, 2022 to increase the investment on cultural heritage in the state. 

The policy aims at supporting weavers and craftsmen by recognizing their efforts and involvement in socio-economic development of the state and providing them access to the latest technology. It will also provide marketing and financial assistance and social security by including the concept of craft clusters and craft villages. 

Industry Minister Shakuntala Rawat told The Statesman,“The prime objective of the policy was to set up the essential infrastructure in the state for the sector. The policy focuses on empowering handicrafts men by ensuring participation and generating new employment opportunities. It also aims at making the state’s products exportable.”

To uplift artisans, the policy has included several provisions such as organising the national level handicrafts week every year, state level awards in various categories, brand building, e-marketing, social security, loan facility, scholarship and assistance for participation in fair exhibitions as well as creation of craft villages. 

Moreover, handicraft parks, design centres, sales centres, and the creation of a Directorate of Handicraft are some other provisions. 

The new handicraft policy is expected to generate more than 50,000 new jobs in the next five years in the state, as per the Minister.

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One of the reasons for the increasing demand of Indian handicraft products in foreign markets is their individuality or uniqueness, according to India Brand Equity Foundation (IBEF). Some of the major handicraft export destinations for India include the United States of America (USA), the United Kingdom (UK), Latin America and Caribbean (LAC), Australia, Canada, France, Germany, Italy, Japan, etc. 

With a share of 38 per cent during the fiscal 2020-21, the USA is the top importer of Indian handicraft goods. Moreover, India exports carpet to over 70 countries worldwide, primarily to the US, Australia, and Europe. In fact, the US, Germany, the UK and Australia with a share of about 57 per cent, 6 per cent, 6 per cent, and 5 per cent, respectively are the largest carpet export destinations for India.