The global handloom products market is projected to grow at a 9.3 per cent CAGR from 2023-2030 to reach $15.6 billion by 2030.
As per a report by Persistence Market Research, this growth will be fueled by the rising demand for sustainable and ethical fashion, along with the government’s increased support to artisan communities.
Known for their authentic designs and eco-friendly production, handloom textiles are gaining popularity as consumers reject the negative impacts of fast fashion. Consumers are increasingly choosing handcrafted items to minimize their environmental footprint and support local economies.
Governments worldwide are supporting the handloom sector with financial aid, tax breaks, and skill development programs, helping artisans modernize and compete globally. However, technological limitations pose a challenge. Traditional weaving, while authentic, is less efficient than machine production.
Demand in the sector is being driven by ethical consumerism and government initiatives. Key players like Fabindia and KVIC are leveraging brand reputation and digital marketing to expand their reach.
Innovations in loom technology are increasing efficiency, while companies are adopting eco-friendly practices like natural dyes and reduced water consumption. E-commerce is providing a direct-to-consumer model, enhancing visibility and sales.
However, market access remains a hurdle as artisans continue to struggle with limited distribution and competition from mass-produced goods. To overcome these barriers, the sector needs to step up investments in digital marketing and direct-to-consumer sales.
The sector’s use of natural fibers and eco-friendly dyes aligns with consumer demand for ethical products. The market’s short-term growth is likely to be driven by the growing popularity of sustainable products and government support. However, to succeed in the long term, the sector needs to balance tradition with innovation. It also needs to invest in digital tools, supply chain improvements, and international partnerships.
