The Khadi and Village Industries Commission (KVIC), functioning under the Ministry of Micro, Small and Medium Enterprises, has achieved its highest-ever performance in production, sales and employment generation during the financial year 2025-26, with the Khadi and Village Industries sector crossing a historic turnover of Rs 1.87 lakh crore for the first time.
Releasing the provisional figures for FY 2025-26 at Gandhi Darshan, Rajghat in New Delhi, KVIC Chairman Manoj Kumar said the sector has witnessed unprecedented growth under the leadership of Prime Minister Narendra Modi through initiatives such as Aatmanirbhar Bharat, Vocal for Local and Local to Global.
According to the provisional data, the total sales of Khadi and Village Industries products reached Rs 1,87,105 crore in FY 2025-26, compared to Rs 31,154 crore in 2013-14, registering a massive growth of 501 percent over the last 12 years. During the same period, production increased from Rs 26,109 crore to Rs 1,25,296 crore, marking a rise of nearly 380 percent.
KVIC Chairman Manoj Kumar described the achievement as a major step towards the vision of Viksit Bharat@2047 and said the growth reflects the increasing strength of rural entrepreneurship and self-reliance across the country. He credited the achievement to the guidance of Prime Minister Narendra Modi, the inspiration of Mahatma Gandhi and the efforts of millions of artisans working in rural India.
Strong growth in Khadi textile sector
The Khadi textile sector also recorded significant expansion during FY 2025-26. Khadi production increased from Rs 811 crore in 2013-14 to Rs 3,974 crore, reflecting a growth of around 390 percent. Sales of Khadi textiles surged from Rs 1,081 crore to Rs 7,869 crore during the same period, registering a sharp increase of nearly 628 percent.
Officials said the continuous promotion of Khadi by Prime Minister Narendra Modi has played a major role in expanding consumer acceptance and strengthening the market for indigenous products both in India and abroad.
Village industries emerge as major rural growth engine
The village industries segment emerged as the biggest contributor to the overall growth of the sector. Production in village industries rose from Rs 25,298 crore in 2013-14 to Rs 1,21,322 crore in FY 2025-26, recording a growth of approximately 380 percent.
Similarly, sales in the village industries sector increased from Rs 30,073 crore to Rs 1,79,236 crore, showing a rise of nearly 496 percent. Employment in this sector also increased substantially, with the number of people employed rising from 1.19 crore in 2013-14 to nearly 1.99 crore in FY 2025-26.
KVIC stated that rising demand for rural and traditional products under campaigns like Aatmanirbhar Bharat and Ghar-Ghar Swadeshi has strengthened rural manufacturing, local markets and employment generation.
Employment generation crosses 2 crore mark
KVIC also achieved a major milestone in employment generation. Total cumulative employment under Khadi and Village Industries activities increased from 1.30 crore people in 2013-14 to 2.04 crore people in FY 2025-26, reflecting a growth of 56 percent over the last 12 years.
The Commission said the sector is now playing a critical role in generating sustainable livelihoods in rural India while supporting the government’s efforts towards inclusive economic development.
PMEGP creates over 7.31 lakh jobs in FY26
Under the Prime Minister’s Employment Generation Programme (PMEGP), KVIC established 66,494 new units during FY 2025-26. For these units, margin money subsidy worth Rs 2,457 crore was disbursed against loans amounting to Rs 7,375 crore.
Through these enterprises, employment opportunities were generated for 7,31,434 people during the financial year.
Since the launch of PMEGP, a total of 10,84,679 units have been established across the country. The scheme has so far facilitated loans worth Rs 80,705 crore with margin money subsidy support of Rs 29,623 crore, creating employment opportunities for nearly 97.95 lakh people.
Gramodyog Vikas Yojana boosts rural artisans
KVIC also highlighted the success of the Gramodyog Vikas Yojana in empowering rural artisans through distribution of modern equipment and toolkits.
Under the scheme, the Commission has distributed more than 3.23 lakh machines, equipment and toolkits so far, including electric pottery wheels, bee boxes, agarbatti manufacturing machines, footwear repair kits, paper plate making machines and toolkits for electricians, plumbers, mobile repair technicians and tailors.
During FY 2025-26 alone, 37,769 machines and equipment were distributed to artisans and entrepreneurs to improve productivity and self-employment opportunities in rural areas.
Women participation sees major rise
KVIC said women empowerment remains one of the strongest pillars of the Khadi movement. During FY 2025-26, around 79,682 trainees received training under various KVIC programmes, of which 47,382 were women, accounting for nearly 59 percent of the total trainees.
Under PMEGP, 28,180 women entrepreneurs established business units during the year, generating employment opportunities for over 3.09 lakh women.
The Commission noted that women constitute more than 80 percent of the nearly five lakh artisans working in the Khadi sector, making it a key platform for women-led rural entrepreneurship and economic empowerment.
Artisans’ wages rise by 275 percent
KVIC also reported a sharp increase in artisans’ remuneration. The wage rate paid to artisans increased from Rs 4 per hank in 2013-14 to Rs 15 per hank in FY 2025-26, registering an increase of around 275 percent.
In addition, government procurement of Khadi and Village Industries products reached Rs 92.08 crore, while exhibition and marketing activities generated sales worth Rs 30.83 crore during the year.
The Commission also recorded rising demand for National Flags made from Khadi. Sales of National Flags increased from Rs 0.87 crore in 2013-14 to Rs 2.35 crore in FY 2025-26, reflecting the growing impact of campaigns such as Har Ghar Tiranga and increasing public engagement with Khadi products.
About KVIC
The Khadi and Village Industries Commission (KVIC) is a statutory body formed in April 1957 by the Government of India, under the Act of Parliament, ‘Khadi and Village Industries Commission Act of 1956’. It is an apex organisation under the Ministry of Micro, Small and Medium Enterprises, with regard to khadi and village industries within India, which seeks to – “plan, promote, facilitate, organise and assist in the establishment and development of khadi and village industries in the rural areas in coordination with other agencies engaged in rural development wherever
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