Khadi, village industries post record ₹1.87 lakh crore sales in FY26
Synopsis
KVIC's provisional FY26 data tells a striking story: sales have multiplied six-fold in 12 years to ₹1.87 lakh crore, khadi textiles alone surged 628%, and over 28,000 women launched units under PMEGP. The numbers reframe khadi not as a heritage symbol but as a measurable rural economic engine — though employment growth at 56% trails the near-500% sales jump, raising questions about productivity and wage quality.
Key Takeaways
KVIC reported record sales of ₹1.87 lakh crore in FY2025-26 , a 501 per cent rise over 2013-14 .
Production grew 380 per cent to ₹1.25 lakh crore , up from ₹26,109 crore in the base year.
Employment rose 56 per cent to 2.04 crore , with nearly 1.99 crore engaged in village industries.
Khadi textile sales surged 628 per cent to ₹7,869 crore ; production up 390 per cent to ₹3,974 crore .
Women account for 59 per cent of trainees; over 28,000 women entrepreneurs set up units under PMEGP in FY26.
The Khadi and Village Industries Commission (KVIC) has recorded a 501 per cent surge in total sales to ₹1.87 lakh crore in FY2025-26, according to provisional data released on Tuesday, 26 May. The figures mark the highest-ever sales tally for the sector, underscoring a sustained rural economic expansion over the past 12 years.
Key Figures at a Glance
KVIC Chairman Manoj Kumar said the commission has crossed new milestones across all core performance indicators. Production rose 380 per cent to ₹1.25 lakh crore in FY26, up from ₹26,109 crore in the base year 2013-14. Sales, meanwhile, climbed from ₹31,154 crore in 2013-14 — a near six-fold increase over the period.
The growth trajectory has been consistent year-on-year. In FY25, sales were up 447 per cent and production 347 per cent over the 2013-14 baseline. In FY24, sales growth stood at 400 per cent and production at 315 per cent, according to the data.
Employment and Women's Participation
Employment in khadi and village industries rose 56 per cent to 2.04 crore in FY26, compared to 1.30 crore in 2013-14. Of this, nearly 1.99 crore people are engaged in village industries specifically.
Women's participation has emerged as a notable feature of the sector's growth. Women account for nearly 59 per cent of trainees, and more than 28,000 women entrepreneurs established units under the Prime Minister's Employment Generation Programme (PMEGP) in FY26 alone.
Khadi Textiles Lead the Surge
Within the broader sector, khadi textiles recorded particularly sharp gains. Production in the segment rose nearly 390 per cent to ₹3,974 crore, while sales surged 628 per cent to ₹7,869 crore over the 12-year review period — outpacing the sector-wide averages on both counts.
Broader Significance
Chairman Manoj Kumar attributed the performance to the guidance of Prime Minister Narendra Modi, the inspiration drawn from Mahatma Gandhi's legacy, and the efforts of millions of rural artisans across the country. He said the strong numbers are contributing to the vision of Viksit Bharat 2047 and helping position India among the world's leading economies.
This comes amid a broader policy push to strengthen rural livelihoods and decentralised manufacturing. With PMEGP continuing to seed new entrepreneurial units — particularly among women — the sector's next test will be whether employment growth can keep pace with the sharper rise in production and sales.
Point of View
But the 56 per cent employment gain over the same 12-year period tells a different story — one of rising output per worker, not necessarily rising incomes for more workers. The gap between production-and-sales growth and employment growth warrants scrutiny: are artisans earning proportionally more, or is consolidation quietly reducing the sector's headcount relative to its output? The 628 per cent surge in khadi textile sales also invites a harder question — how much of that is premium urban retail demand for 'handmade' branding versus genuine grassroots production? KVIC's data is provisional and the base-year comparison flatters any scheme that started from a low base in 2013-14.
NationPress
10 Aug 2026
Frequently Asked Questions
What is KVIC's record sales figure for FY2025-26?
The Khadi and Village Industries Commission reported total sales of ₹1.87 lakh crore in FY2025-26, a 501 per cent increase over the ₹31,154 crore recorded in 2013-14, according to provisional data released on 26 May.
How much did employment grow in khadi and village industries?
Employment rose 56 per cent to 2.04 crore in FY26, up from 1.30 crore in 2013-14. Nearly 1.99 crore of those employed are engaged specifically in village industries.
What is the PMEGP and how does it relate to these figures?
The Prime Minister's Employment Generation Programme (PMEGP) is a credit-linked subsidy scheme that supports new micro-enterprises in rural and semi-urban areas. In FY26, over 28,000 women entrepreneurs established units under the programme, contributing to the sector's employment and production growth.
How did khadi textiles perform compared to the broader sector?
Khadi textiles outpaced the sector average, with sales surging 628 per cent to ₹7,869 crore and production rising 390 per cent to ₹3,974 crore over the 12-year period — compared to a 501 per cent sales rise and 380 per cent production rise for the sector overall.
What is Viksit Bharat 2047 and how does KVIC connect to it?
Viksit Bharat 2047 is the Indian government's long-term vision to make India a developed nation by its centenary of independence. KVIC Chairman Manoj Kumar said the commission's growth in rural sales, production, and employment directly supports that goal by strengthening decentralised economic activity.
