A publication by GFE Consulting Worldwide, Indian handicraft industry enjoys some strength points. Some of them would be:
- Abundant and cheap labour hence can compete on price
- Low capital investment and high ratio of value addition
- Aesthetic and functional qualities
- Wrapped in mist of antiquity
- Hand made and hence has few competitors
- Variety of products which are unique
- Exporters willing to handle small orders
- Increasing emphasis on product development and design upgradation
If entrepreneurs consider all these points, it can be seen that there is a many opportunities in this area.
I recently traveled to Chennai and visited Kanchipuram and Mahabalipuram area. I was able to notice various types of artifacts, murals and handicraft items that as a visitor I wanted to buy. Similar has been the case whenever I visited Ooty, Kodaikanal, Puttaparti, or any other tourist place.
Festivals, fairs, travel spots throw wide opportunities to sell such items while there is a huge demand of handicraft products outside the country.
Once again from the aforementioned report, there is a defined value added chain in this industry:
Value Adding Chain in Handicrafts–>>Identification of market opportunities–>>Prototype design and development / adaption and refinement–>>Test marketing–>>Upgrading equipping facilities–>>Securing inputs–>>Entrepreneurial hiring, training, managing–>>Production, quality control and packaging–>>Costing and pricing–>>Physical distribution–>>Export market development
I am sure if a systematic approach is followed, the handicraft industry does offer good opportunities to entrepreneurs looking for new business ideas.