The Indian Handmade carpet industry which is rural based cottage industry, centuries old and renowned all over the world for its progressive uniquely enriched skill, approach and clientele. The exports which were US $ 9.30 Million in the year 1961-62 have increased manifold to US $ 1775.24 in the year 2013-14.

The Handmade Carpet Sector provides extra and alternate occupation to the farmers and other people at their homes. Indian artisans can make handmade carpet in any design and quality as per need of the buyer to cater the demand of every segment of the society whereas Turkey makes Turkish knots, Iran makes Iranian knots, Nepal makes Nepalese Carpets, China makes Chinese knots, Pakistan makes Pakistani knots mainly Chobey Carpets.

Indian Handmade Carpet Industry is ranked No. 1 status in the international market. India’s market share is around 35% of the total world’s import of Handmade Carpets.

Main Countries of Exports – India is exporting to more than 70 countries in the world, mainly to USA, Germany, Canada, U.K., Australia, South Africa, France, Italy, Brazil etc. started exporting to China.

Direction of exports of Handmade Carpets, Rugs, Floor Coverings and other allied products from India:

Sl. No. / Name of Country / % age Growth
01. / USA / 39.25%
02. / Germany / 24.01%
03. / Rest of World / 36.74%

Exports of Handmade Carpets & other floor coverings:

Year / Value of Exports in US $ Million / Value of Exports in Rupees Crores
2001-02 / 514.07 / 2436.13
2002-03 / 532.96 / 2590.26
2003-04 / 614.44 / 2779.79
2004-05 / 591.44 / 2599.58
2005-06 / 696.44 / 3082.06
2006-07 / 807.94 / 3674.86
2007-08 / 875.71 / 3524.73
2008-09 / 600.06 / 2708.73
2009-10 / 737.41 / 3512.88
2010-11 / 905.07 / 4142.47
2011-12 / 955.68 / 4583.08
2012-13 / 1080.90 / 5877.30
2013-14 / 1175.24 / 7110.42

USA emerges as the most promising market and India has registered its presence quite well here. A new market as ‘Affordable Handmade Carpet” is being created by Tufted and Woven carpets.

Although India had managed to outperform its competitors in each of the major importing markets, its potential has still not been fully tapped

With most of the handmade suppliers either facing problems (Iran, Nepal) or moving towards machine made (China, Turkey) or too focused onto limited product categories (Pakistan) India is at just right situation to make the big move, this move however needs special efforts to promote “Brand India”, since this requires big budget, it makes sense to start this initiative in limited geographical location (Germany being the leading market and China which is fast growing is chosen , to begin with).