Integrating Handloom with Agriculture: Creating Farm to Fabric Loop

National Handloom Day: Aug: 07

Dr. Parveen Kumar*

    Handloom, a symbol of glorious cultural heritage is one amongst the two largest rural economic activities in the country. Along with agriculture, it is also the largest mass employment provider. Both sectors share deep, economic, seasonal and resource links. Studies also reveal that households that combine farming and traditional handloom weaving earn 30% to 40% more than families relying on agriculture alone. While Agriculture ranks first in rural job creation, the handloom sector ranks second, supporting over 3.5 million workers, roughly 70% to 77% of which are women. The sector is thus a key to women empowerment as over 70% of handloom weavers and allied workers are women. Handloom industry depends directly on agricultural products for natural fibres like cotton, silk thereby creating a farm to fabric loop. For farming families, Handloom sector serve as a shock absorber. During off seasons when farmer suffers from financial stress or work drop, this particular sector serves as a crucial backstop.  

    One of the largest and oldest, the Indian handloom industry represents an ancient tradition dating back thousands of years for its excellent craftsmanship that represents the vibrant Indian culture. Indian artisans dating back to the Egyptian Babylonian times had such fine mastery over their fabrics that they were appreciated globally for their hand spinning, weaving and printing techniques that were handed down from generations. This heritage industry shows its presence almost in every state of India and each region has a unique take on their handloom products like the Pashmina products from Ladakh region, Tie and Die technique from Rajasthan, Chanderi from Madhya Pradesh or the Jacquard from Uttar Pradesh. Due to their unique rich variety, Indian Handloom Industry had a constant high demand in the Indian market as well as all over the world for their craftsmanship and intricacy of designs. This industry was a household based Industry and was one of the largest employment sectors both directly and indirectly, providing jobs to lakhs of weavers in India. The handloom industry due to its unique nature of requiring minimum capital and little to no power and flexible environment-friendly innovative product thrived in India for thousands of years.

    The handloom sector of India is one of the biggest unorganized sectors. The handloom industry in India has a long tradition of outstanding artisanship that represents and preserves vibrant Indian culture. India’s handloom artists are globally known for their unique hand-spinning, weaving, and printing style. They are based out of small towns and villages of the country which transfer skills from one generation to the next. The handloom industry is the country’s largest cottage industry, with 2.8 million looms. India produces several traditional products such as Sarees, Kurtas, Shawls, Ghagra Cholis, Lungies, fashion accessories, bedspreads, etc. In the contemporary product category, the country produces fashion fabrics, western dresses, bed linens, drapes, kitchen linen, decorative furnishings, rug durries, etc. The handloom sector of India has the advantage of being less capital intensive, eco-friendly, having less power consumption and having the ability to adapt to market conditions. According to the Handloom Census 2019-20, about 35.22 lakh handloom workers were employed across the country, out of which 25.46 lakh were women with a share of 72.29%. The sector employs 26.73 lakh weavers directly and indirectly throughout the country with 72% of them being women. During April 2025–February 2026, India’s total handloom exports stood at US$ 142.23 million, with demand continuing to be supported by rising global preference for sustainable, handcrafted and heritage textile products. The major handloom export centers are Karur, Panipat, Varanasi & Kannur where handloom products like Bed linen, Table linen, Kitchen linen, Toilet linen, Floor coverings, embroidered textile materials, curtains etc. are produced for export markets. During April 2025–March 2026, the United Arab Emirates emerged as the largest destination for India’s handloom product exports, with shipments valued at US$ 44.80 million, accounting for 31.24% of total exports. The United States followed with US$ 40.02 million, contributing 27.91%.

    The National Handloom Day is an annual occasion in the country celebrated every year on August 07. The special occasion is meant to honour the handloom weavers and additionally highlights the handloom trade within the nation. In India, the special occasion seeks make folks conscious concerning the contribution of handloom to the socioeconomic improvement of India. The year 2021 is the eleventh National Handloom Day. August 7 was chosen as the National Handloom Day to commemorate the Swadeshi Movement which was launched on this day in 1905 in Calcutta Town Hall to protest against the partition of Bengal by the British Government. More than a century later, in 2015, Prime Minister Narendra Modi inaugurated the first National Handloom Day at Chennai, Tamilnadu. 

    After Independence, the Indian government introduced several schemes and made various interventions to revive the rich Indian Handloom heritage industry to its previous glory and promote regional handloom culture. To promote Khadi and other village industries, the Khadi and Village Industries Commission (KVIC) was formed by the Government of India. It is an apex organization under the Ministry of Micro, Small and Medium Enterprises (MSME), with regard to Khadi and village industries within India. The government has set an ambitious target to achieve US$ 10 billion in handloom exports by 2031, while promoting the sector as a global movement through initiatives like ‘Vocal for Local’. At the same time, the sector is benefiting from targeted policy interventions, including skill development programmes, design support, and marketing assistance, along with participation in international fairs and buyer-seller meets to boost exports and global visibility. The Handloom Export Promotion Council (HEPC) provides export assistance through various government-supported schemes aimed at boosting India’s handloom exports. Financial support is offered under initiatives like the Market Access Initiative (MAI) for activities such as international marketing, participation in trade fairs, capacity building, and compliance with global standards. Additionally, support is extended through handloom development programmes to strengthen clusters, improve product quality, upgrade technology, and enhance the skills of weavers and exporters, thereby increasing the global competitiveness of the Indian handloom sector. The National Handloom Development Programme (NHDP) under its Cluster Development Programme (CDP) provides financial benefits to clusters The Raw Material Supply Scheme (RMSS) was approved for implementation from 2021-22 to 2025-26, with objectives of providing quality yarn at subsidized rates to eligible handloom weavers, setting benchmark prices in the market, overcoming poor dyeing facilities, and facilitating weavers’ engagement in the sector. Components of the scheme include a freight reimbursement for transportation of yarn and a price subsidy of 15% on certain types of yarn with quantity restrictions, distributed through Direct Benefit Transfer (DBT) to linked bank accounts. At the same time both sectors share some common challenges. Both sectors operate largely in rural, decentralized, and unorganized settings with limited access to formal credit and safety nets. Producers in both fields face heavy reliance on middlemen, price fluctuations, and challenges in direct marketing. 

    Handloom sector is also a boon for agriculture. In these days of energy crisis and global warming, it is more sensible to encourage the eco-friendly handloom industry rather than textile mills and power looms that are energy and infrastructure intensive. Using Handloom fabrics can help in reducing Global Warming. Handloom is a highly comfortable fabric that is most suitable for Indian weather conditions. In present times when government is promoting sustainable agriculture, initiatives like integrate well with traditional handloom production, supporting low carbon footprints, natural dyes ultimately leading to and sustainable rural development and growth of the country through creation of a farm to fabric loop. It is also a day to honour and recognize the workers who are engaged in this sector and kept this heritage industry still alive.

        *The author writes on agriculture and social issues; can be reached at pkumar6674@gmail.com