India Sourcing: Craft gifts 2017

In India Sourcing: Craft gifts 2017, buyers can find:

Verified exporters – 17 featured suppliers offering various craft gifts

Products – Full-color images with specifications & prices

Supply market intelligence – Supply centers, industry trends, challenges, production and pricing

Export data – India-wide details and survey results from featured exporters

Sector highlightsSuppliers & productsIndustry overviewProduct featuresSupplier surveyPDF downloadSupplier list

India Sourcing: Craft gifts 2017 Sector highlights

Industry overviewProduct featuresSupplier survey
  • Handicraft exports for the fiscal year ending March 2017 is expected to reach $3.6 billion

  • Raw materials available throughout the country.

  • SMEs make up the majority of handicraft suppliers in India.


  • Raw materials are usually procured within India.

  • Elaborate artwork that depict India’s flora, fauna, history and traditions remain popular in craft gifts.

  • Suppliers are using jute, water hyacinth and other sustainable materials to create more environment-friendly products.



  • Craft gift suppliers will keep price increases to a minimum to remain competitive.

  • North America will remain a key export destination.

  • Models combining traditional and modern elements are expected to increase.


India Sourcing: Craft gifts 2017 Suppliers & products

india-promotional gifts-map-prod-grid-banners2

India Sourcing: Craft gifts 2017

• Metal crafts • Stone crafts • Wooden crafts • Other craft gifts

Our team has visited all India manufacturers featured here to verify their export capability. Each has a website on GlobalSources.com with full company details, product images with specifications, manufacturing capability and complete contact details.

Click suppliers’ names below to view their full profiles and product offerings on GlobalSources.com.

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Products

Below is a selection of products from our featured suppliers. Click on the images to find more products and supplier information.

For a complete listing of the featured suppliers, click here.

Metal crafts   
India-Craft-GiftsIndia-Craft-GiftsIndia-Craft-GiftsIndia-Craft-Gifts
Wooden crafts   
India-Craft-GiftsIndia-Craft-GiftsIndia-Craft-GiftsIndia-Craft-Gifts

India Sourcing: Craft gifts 2017 Industry overview

India Sourcing: Craft gifts Industry Overview

India Sourcing: Craft gifts 2017

• Metal crafts • Stone crafts • Wooden crafts • Other craft gifts

This section discusses key issues affecting export manufacturers in India, offering insight into industry composition and important supply centers.

India craft gift exportsCompetitive advantagesChallengesIndustry composition
  • Handicraft exports for the fiscal year ending March 2017 is expected to reach $3.6 billion.

  • The US and the EU are the industry's traditional markets.

  • Suppliers are expanding market reach in Central Asia, Latin America, Africa and Southeast Asia.

  • A diverse range of raw materials is available within the country.

  • The government has implemented initiatives to support the handicrafts industry.

  • India has lower labor costs compared with China.

  • The handicrafts industry is still feeling the effects of India’s recent demonetization initiative.

  • Limited knowledge about overseas markets, international standards and current market trends is also hampering the growth of many handicraft makers.

  • Another concern of the industry and the government is the preservation of traditional skills.

  • SMEs make up the majority of handicraft suppliers in India.

  • Small companies can produce up to 1,000 pieces.

  • Rajasthan and Uttar Pradesh are key production centers of stone, metal and wooden crafts.

India’s handicraft industry is optimistic about exports in 2017. The value of products sent overseas for the fiscal year ending March 2017, is expected to increase more than 10 percent YOY to reach $3.6 billion. For the 12 months ending March 2018, the sector is also anticipated to record YOY export growth of over 10 percent, with the value of products sent abroad to reach nearly $4 billion, The Financial Express reported Jan. 20, 2017, citing Rakesh Kumar, executive director of the Export Promotion Council for Handicrafts (EPCH).

The upward trend is attributed to recovering demand in traditional export destinations, as well as the expansion of the industry’s market reach. Suppliers are boosting exports to the US and the EU, the two traditional markets of India’s handicrafts, while striving to gain a larger foothold in Central Asia, Latin America, Africa and Southeast Asia, The Times of India reported in February 2017, citing EPCH Chairman Dinesh Kumar.

Data compiled by the EPCH show that products sent overseas during the fiscal year ending March 2016 amounted to $3.28 billion. Of the export value, embroidered and crocheted items accounted for 21 percent, art metalware 19 percent, woodware 18 percent, imitation jewelry 10 percent, and handprinted textiles and scarves 6 percent.

Competitive advantages

One of the key factors supporting the growth of India’s handicraft industry is the diversity of raw materials available within the country.

For one, India’s natural resources include more than 70 million hectares of forested land. Among the wood species that can be harvested from the country’s forests are sal, teak and acacia.

India’s resources also include deposits of marble, granite and other types of stone. For marble, the main producers are the states of Rajasthan, Gujarat, Haryana and Madhya Pradesh. Rajasthan is also a key producer of granite and sandstone.

In terms of metal resources, India is the world’s third largest producer of crude steel. The country produced 89.79 million tonnes in fiscal year 2015-16, up from 88.97 million tonnes during the previous period, The Times of India reported Feb. 19, 2017.

India Craft gifts Industry Overview Exports

The country is also one of the world’s largest producers of cotton, leather and jute. The major cotton-producing states are Gujarat, Rajasthan, Telangana, Andhra Pradesh, Madhya Pradesh, Karnataka, Haryana and Punjab.

For leather, Tamil Nadu, West Bengal and Uttar Pradesh are the key producers. Jute grows in West Bengal, Bihar, Assam, Orissa, Uttar Pradesh, Tripura and Meghalaya.

Another factor contributing to the industry’s growth is the support it receives from the government and private organizations.

In 2016, India’s Textiles Ministry inked memoranda of understanding with 20 e-commerce firms to enable artisans and weavers in various handloom and handicraft clusters to market their products directly online. Additionally, India signed two memoranda of understanding with Tunisia last year, one of which was on promoting handicrafts.

In 2015, India implemented a 3 percent interest subsidy scheme to aid exporters of handicrafts, handloom products, and other products cope with a difficult trade environment.

Another scheme, the Market Access Initiative (MAI), helps exporters access new markets and boost exports to current markets. Under MAI, companies can ask for financial assistance to participate in international trade fairs, publicity campaigns, brand promotion and other marketing activities.

Under the Marketing Development Assistance (MDA) scheme, meanwhile, suppliers with an FOB export value of up to 30 crore rupees in the preceding year can ask for assistance to participate in international trade fairs.

Having lower labor costs than several other production hubs is also an advantage that India’s handicraft sector. Monthly minimum wages in Delhi, for example, range from about $130 to $145 for unskilled worker, $145 to $160 for semiskilled workers, and $159 to $176 for skilled workers. In comparison, minimum wages in China range from $145 to $319 per month, with Shanghai having the highest monthly rate in the country.

Challenges

The handicraft industry is still feeling the effects of India’s recent demonetization initiative. In November 2016, Prime Minister Narendra Modi announced that the country’s 500 and 1,000-rupee notes would cease to be legal tender and that a new 200-rupee note and a redesigned 500-rupee note would be released. People were given until Dec. 30, 2016, to exchange the old notes or deposit these in a bank.

Long queues caused by people rushing to deposit their money at the bank made it difficult for SMEs to pay their workers and suppliers, causing production to slow down. In Moradabad, known as the “Brass City” of India, many artisans and workers lost their jobs or saw their earnings reduced to half as exporters cut production capacity, The Times of India reported Feb. 14, 2017.

Limited knowledge about overseas markets, international standards and current market trends is also hampering the growth of many handicraft makers. Small-scale operations typically do not have the funds to invest in research and other marketing activities, especially with inflation pushing up the cost of labor and other manufacturing inputs. Many companies are reluctant to raise quotes due to the intense price competition, both locally and overseas.

The industry, as well as the government, is also concerned about the preservation of traditional skills. Citing the UN, The Hindu reported in February 2013 that the number of its artisans in India has gone down 30 percent over the past 30 years.

Government agencies, along with the private sector, have stepped up to address this challenge.

In 2014, the Ministry of Minority Affairs launched the Upgrading the Skills and Training in Traditional Arts/Crafts for Development (USTTAD). Among the objectives of the scheme is to preserve the traditional arts/crafts of minorities, to build capacity of master craftsmen and artisans and to train the youth in traditional arts and crafts. Under this scheme, artisans are provided the opportunity to showcase their products in trade fairs for free.

The National Skill Development Corporation (NSDC) was established by the Ministry of Skill Development and Entrepreneurship (MSDE) to “upgrade skills to international standards through significant industry involvement and develop necessary frameworks for standards, curriculum and quality assurance.” The NSDC recently signed an MoU with Laghu Udyog Bharati, a network of MSMEs, to train students in various sectors including apparel, carpets and handicrafts.

The Tribal Cooperative Marketing Development Federation of India Limited, meanwhile, provides training programs for artisans to upgrade their skills, create new products and obtain a sustainable income.

The Tata Group, through a skill development initiative called Tata STRIVE, works with the weavers of Varanasi in Uttar Pradesh enhance their skills and find new markets. Under this initiative, the weavers are trained in financial and digital literacy.

Industry composition

India’s handicraft industry comprises about 7 million artisans and 67,000 exporters. It consists mostly of small and midsize companies.

Small-scale operations have 10 to 15 workers and a monthly output of 500 to 1,000 pieces. Annual sales at these companies typically do not exceed $100,000.

With up to 50 full-time workers, midsize suppliers produce up to 5,000 pieces each month. Their annual sales amount to $350,000.

Larger companies, some of which can have more than 100 workers, have a monthly output of up to 10,000 pieces. These suppliers can generate more than $1 million in sales annually.

Handicraft suppliers are scattered across the country.

For metal crafts, the cities of Jaipur and Jodhpur in the state of Rajasthan are known for their brassware and iron crafts, respectively. Moradabad in the state of Uttar Pradesh is considered the “Brass City” of India.

Rajasthan and Uttar Pradesh are also key centers for soapstone carvings and marble inlay work. These two states, along with Karnataka, Punjab, Jammu and Kashmir, West Bengal, Tamil Nadu and Kerala, are also major sources of wooden crafts.

For handprinted and handpainted textiles, the states of Rajasthan and Gujarat are the centers of production. Gujarat is also a key source of handembroidered items.

Supplier locations map

The highlighted areas on the map show the locations of the head offices and factories of the paper craft suppliers featured in this report.

India Craft gifts 2017 Industry Overview Locations Map

India Sourcing: Craft gifts 2017 Product features

India Sourcing: Craft gifts 2017 Product features

India Sourcing: Craft gifts 2017

• Metal crafts • Stone crafts • Wooden crafts • Other craft gifts

This section offers information on how trends in materials, design and manufacturing affect prices offered by India craft gift suppliers.

Buyers can also learn more about the materials used and the common price ranges of certain designs.

Sections


Materials & sourcesDesign & manufacturingPricing
  • Raw materials are usually procured within India.

  • Metal crafts often use white metal, brass, iron, aluminum and copper.

  • Suppliers are using jute, water hyacinth and other sustainable materials to create more environment-friendly products.
  • Elaborate artwork that depict India’s flora, fauna, history and traditions remain popular in craft gifts.

  • All production stages are typically conducted in-house.

  • Craft gifts undergo a basic QC process.

  • Besides the cost of the materials used, the complexity of the design is a major price determinant.

  • Low-end pieces typically have simple designs with minimal embellishments.

  • High-end products often feature complex artwork done by hand.

Materials & sources

Handicrafts from India comprise a wide range of products made from wood, metal, stone and fabrics that are typically sourced within the country.

In wooden home decor and storage products, kadam wood, sheesham, mango, teak, rosewood, ebony, sal wood, sandalwood and walnut are among the common raw material options. Makers often source the timber from the states of Uttar Pradesh, Karnataka, Kerala, Gujarat, Jammu and Kashmir and Punjab.

Statuettes, clocks, carts, miniature boats and religious items are some of the home furnishings typically available. For storage, the selection ranges from small jewelry boxes to large chests.

Metal crafts often use white metal, brass, iron, aluminum and copper. Products in this category include mostly tableware, vases and statuettes. Iron and brass are sourced from Moradabad in the state of Uttar Pradesh. Copper is sourced from the states of Madhya Pradesh, Rajasthan, Gujarat and Jharkhand.

Marble, sandstone and granite, meanwhile, are the types of stone often used in crafting frames, statues, pots, vases, burners, trays, boxes and tea candlelight holders. Within India, marble is typically sourced from Rajasthan, while sandstone is procured from Madhya Pradesh and Rajasthan. Companies using soapstone source it from Rajasthan and Uttarakhand. Some makers import marble from Italy or Turkey.

Textile craft gifts featuring printed, tie-dyed, crocheted and embroidered artwork that is done by hand include scarves, shawls, saris, bags, mats, and pillow and cushion covers. Handwoven cotton, wool and silk are the main fabric options in this category.

For cotton, handicraft companies source from the states of Andhra Pradesh, Punjab, Gujarat, Haryana, Karnataka, Madhya Pradesh, Maharashtra, Rajasthan, and Telangana. Craft suppliers using wool get their supply from Haryana, Punjab and Rajasthan, while silk is obtained from Andhra Pradesh, Assam, Jharkhand, Karnataka, Meghalaya, Manipur, Nagaland, Tamil Nadu and West Bengal.

In terms of materials, handicraft suppliers are leaning toward sustainable types such as jute, cane, water hyacinth and bamboo to cater to the growing environmental consciousness among buyers. Jute is typically sourced from the states of Assam and West Bengal, while water hyacinth and cane are available from the state of Assam. Bamboo is available mostly in Madhya Pradesh, Maharashtra, Orissa, Andhra Pradesh and Karnataka.

Design & manufacturing

In design, the trend for elaborate artwork featuring animal figures, nature-inspired themes and scenes depicting India’s flora, fauna, history and culture continues. To expand market reach, several suppliers are incorporating traditional elements in everyday items such as jewelry and smartphone holders and pouches. Pieces that have simpler artwork or minimal embellishments are also increasing.

Craft gifts are created using tools such as chisels, pliers, hammers and tongs, although some products also require the use of small machines such as lathes. All production stages are typically conducted in-house.

Wooden crafts are made by attaching a block of wood into the lathe. As it rotates, the artisan shapes the wood with a chisel and later smoothened with sandpaper. Coloring is done by applying lac or dye.

With metal crafts, a wax mold has to be made. The mold is covered with clay and liquefied metal is poured into it and left to cool. The final process is breaking the clay to show the final product. A handheld grinding machine is used to remove the remaining clay and polish the product.

Stone crafts require tedious and careful chiseling. Slabs of stone have to be broken off into pieces of the proper size and drilled to remove unwanted pieces before being chiseled. Depending on the size and detail, one product can take days to make.

Textiles which feature traditional block printing use wooden and metal blocks of different shapes called bunta. An outline is first created and each part of the design is colored with a different block starting from the left.

Quality inspections are usually done by of four or fewer people. Large companies can have up to 10 people doing quality checks.

QC starts with the inspection of the raw material. Floor inspections are then conducted to ensure that semifinished and finished products meet specifications. Goods are checked two more times after production and packing.

Pricing

Besides the cost of the materials used, the amount of labor involved in creating the product is the main price determinant. For models of the same material and size, the more complex the design is, the higher the quote.

In metal crafts, decorative horn gramophones that are 10in tall or smaller are available for less than $10. Larger designs with intricate horn designs can exceed $40.

Simple aluminum, steel and brass vases that are up to 5in tall are available for less than $7. Taller models with more complex carved or painted artwork are more expensive.

For wooden statuettes, products at the low end of the price range typically have a natural finish and few embellishments. Midrange and high-end pieces feature more colors and complex carvings.

Basic marble penholders with painted images of animals or foliage are available for less than $5. Designs sold for $5 or higher have more elaborate designs such as gold lining on the edges and inlays. A number also feature holders for business cards, paper clips and other items.

In textile crafts, cushion covers sold for less than $3 come in cotton or polyester dupion, which is similar to silk. More expensive handprinted crafts are made from silk or cotton and may bear patchwork or sequins as additional embellishments. Gold embroidery and mirror work are also common adornments.

Price guide

Price guide: Metal vases
Less than $7
Aluminum, steel or brass; simple carved or painted artwork; up to 5in in height
$7 to $13
Steel or brass; intricate carved or painted artwork; 5 to 10in in height
More than $13
Stainless steel or brass; intricate carved, etched or painted artwork; with vintage finish; more than 10in in height

Click image to enlarge.

India craft gifts product features

Price guide: Wooden statues
Less than $7
Kadam wood, cedar or walnut; natural finish, or one or two colors; plain design or with simple carvings; up to 4in in height
$7 to $25
Kadam wood; intricate carvings and/or handpainted multicolor design; with embellishments; 4 to 6in in height
More than $25
Sandalwood or kadam wood; intricate carvings and handpainted multicolor design, usually including gold ; intricate carvings; at least 6in in height

India craft gifts product features

 

India Sourcing: Craft gifts 2017 Supplier survey

India Sourcing: Craft gifts supplier survey

India Sourcing: Craft gifts 2017

• Metal crafts • Stone crafts • Wooden crafts • Other craft gifts

To give buyers first-hand information from active craft gift exporters in India, we have surveyed the manufacturers featured on this site.

PricesExport markets & salesProduct trendsChallenges
  • Craft gift suppliers will keep price increases to a minimum to remain competitive.

  • Many companies will be capping increases at 5 percent.

  • Foreign exchange rate losses, inflation and higher operating expenses are the reasons for price increases.

  • Of the suppliers surveyed, 50 percent are optimistic that export sales will increase.

  • North America will remain a key export destination.

  • Several suppliers plan to boost exports to Europe and the Middle East.

  • Models combining traditional and modern elements are expected to increase.

  • Mixed-media designs will also grow in number.

  • Eco-friendly materials and improved durability are expected to be a trend in upcoming releases.


  • Many craft gift suppliers are having difficulty finding and retaining skilled workers.

  • Finding new export markets is another major challenge for makers.

  • Price competition is also a concern, especially amid the higher cost of manufacturing inputs.

Prices

To cover possible foreign exchange rate losses, inflation and higher operating expenses, 63 percent of the craft gift suppliers interviewed for this report will increase prices in the next six months. The rest of the respondents will keep quotes at current levels to stay competitive.

Of the companies that indicated they were raising quotes, the majority will limit adjustments within 5 percent. Only 20 percent see prices increasing more than 5 percent.

India craft gifts survey results prices

Export markets & sales

Many suppliers are optimistic that their marketing efforts will boost export sales in 2017. Such efforts include building their own websites, advertising domestically and participating in trade shows.

Of the survey respondents, 13 percent are anticipating increases of up to 10 percent in export sales and 37 percent see growth exceeding this level. The remaining companies expect revenue from overseas shipments to remain flat.

North America will remain a key export destination of India craft gifts. Of the surveyed suppliers, 60 percent indicated that it will be their most important target market in the next 12 months. The rest of the respondents have their eye on expanding to or gaining a stronger foothold in Europe and the Middle East amid uncertainty about potential changes in US economic policies.

India craft gifts survey results export forecasts

More than half of the craft gift suppliers featured in this report will be combining traditional and modern elements in upcoming releases to appeal to a younger demographic.

For 25 percent of the survey respondents, the focus will be on expanding their selections. In line with this, several companies intend to release mixed-media designs such as those combining wood and metal.

Thirteen percent of the surveyed companies are planning to adopt sustainable materials such as jute, water hyacinth and bamboo to cater to the growing number of eco-conscious buyers. Some suppliers will be offering statues made of alum stone. The remaining respondents will enhance the durability of their models.

Challenges

For 57 percent of the survey respondents, labor-related concerns are top of mind. Many craft gift suppliers have seen workers leave to find better-paying jobs. Some companies are dealing with this challenge by employing part-time workers and providing incentives such as free meals to make workers stay.

More than 30 percent of surveyed suppliers indicated finding new export markets as the most difficult challenge facing them. Companies are finding it difficult to expand market reach because of the intense competition and the risks and costs involved with this strategy. The EU, in particular, is a hard market to enter due to its strict requirements.

India Sourcing: Craft gifts supplier survey key findings

Price competition, coupled with the higher cost of inputs due to inflation, is another major challenge facing craft gifts suppliers.

India Sourcing: Craft gifts 2017 PDF download

India Sourcing: Craft gifts 2017

India Sourcing: Craft gifts 2017

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Supplier survey

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India Sourcing: Craft gifts 2017 Supplier list

India craft gift suppliers

Click company names below marked Active to view verified suppliers and products featured on GlobalSources.com.

Suppliers featured on
Supplier statusMetal craftsStone craftsWooden craftsOthers
Blue Art Flower Vases Works Active    
GS International Active   
Indian Creative Crafts Active   
Kanakkadara Divine Services Active  
KO Arts & Crafts Active  
Love Leather Active    
Micro Art Furniture Active    
Nirmala Handicrafts Active
Pearl Corporate Active   
Priyanka Overseas Active   
Ratna Handicrafts Active
Sunny Overseas Active    
Tai's Handicrafts Emporium Active
Tamilnadu Handicrafts Artisans Welfare Association Active   
Triumph Exports Active    
Vian International
Active
VRPS Handicrafts Active