KVIC Sets ₹2 Lakh Cr Target After Record Turnover in FY24-25

Can a piece of fabric once synonymous with India’s freedom struggle also become a key driver of the country’s economic future? The Khadi and Village Industries Commission (KVIC) has just answered that question with a resounding yes.

In an era dominated by tech startups, digital disruption, and AI-powered innovations, the humble charkha has made a stunning comeback. The Khadi and Village Industries Commission (KVIC), once seen as a symbol of nostalgia, is today making headlines for all the right reasons—by clocking its highest-ever turnover of ₹1.7 lakh crore in the financial year 2024-25. And now, it’s aiming even higher with a target of ₹2 lakh crore for the current fiscal.

This achievement isn’t just about numbers. It reflects a deeper shift happening in India’s economic landscape—where grassroots industries, fueled by tradition, innovation, and policy support, are emerging as powerful engines of growth and self-reliance.

KVIC: A Quiet Revolution in the Making

At the centre of this transformation is a vision: Viksit Bharat—a developed India powered not just by big corporates but by millions of artisans, women entrepreneurs, and rural startups. KVIC Chairman Manoj Kumar, announcing the record figures at the commission’s headquarters near Rajghat, credited this milestone to the unwavering support of Prime Minister Narendra Modi and the Ministry of Micro, Small and Medium Enterprises (MSMEs).

“Under PM Modi’s leadership, KVIC has become a major driver of rural industrialization, employment, and self-reliance,” Kumar stated. But perhaps most striking was his acknowledgment of startups: “Startups have played a significant role in the growth journey of Khadi and Village Industries.”

In a sector often seen as old-school, KVIC has turned out to be a quiet yet mighty incubator for rural entrepreneurs, showing that India’s startup revolution isn’t just happening in glass buildings in Bengaluru or Gurgaon—it’s unfolding in villages, workshops, and self-help groups across the country.

Khadi: From Fabric to Force

Once limited to ceremonial wear and freedom-day symbolism, Khadi has transformed into a thriving business. Production of Khadi fabric has shot up by a whopping 366%—from ₹811 crore in 2013-14 to ₹3,783 crore in 2024-25. Sales have seen an even sharper rise, zooming from ₹1,081 crore to ₹7,145 crore—an increase of 561%.

But the bigger story lies in the numbers behind the scenes. The overall production across village industries has multiplied nearly four times in the last decade—from ₹26,109 crore to ₹1.16 lakh crore. Meanwhile, sales jumped nearly fivefold, rising from ₹31,154 crore to ₹1.70 lakh crore.

This isn’t just about selling more—it’s about redefining how traditional industries can scale, adapt, and thrive in a modern economy.

KVIC: More Jobs, More Empowerment

KVIC isn’t just spinning fabric—it’s spinning livelihoods.

From 1.3 crore jobs in 2013-14, KVIC has helped generate 1.94 crore jobs in 2024-25—a nearly 50% increase. These are not just numbers; they represent millions of families who now have stable incomes and futures shaped by dignity and skill.

A shining example is the Khadi Gramodyog Bhawan in New Delhi, which has more than doubled its business in a decade—from ₹51 crore to ₹110 crore. But the growth isn’t just economic—it’s deeply inclusive.

Women form the backbone of this resurgence. Of the 5 lakh Khadi artisans supported by KVIC, nearly 80% are women. And over 57% of the 7.44 lakh individuals trained in the past 10 years are women too. Even more heartening is the increase in artisan wages—up by 275% over the past 11 years, with a 100% hike in just the last three years.

Flagship Schemes Powering the Momentum

Behind this silent revolution lies strategic support from the government’s flagship programs. The Pradhan Mantri Employment Generation Programme (PMEGP) continues to be one of the strongest pillars of rural job creation. Since its inception, the scheme has helped establish over 10.18 lakh units, providing over 90 lakh employment opportunities.

The numbers are staggering: ₹27,166 crore disbursed as margin money against loans totaling ₹73,348 crore. These aren’t just stats—they represent lakhs of potters, beekeepers, weavers, and craftspeople who are now entrepreneurs in their own right.

Meanwhile, the Gramodyog Vikas Yojana, focused on rural innovation and skill development, has seen its budget rise by 134% in just four years. The program has enabled distribution of nearly 2.9 lakh machines and toolkits, including pottery wheels, incense stick machines, bee boxes, and more. FY24-25 alone saw the highest-ever distribution of over 37,000 such items.

Khadi: The New National Movement

“Khadi, the legacy of Bapu, is no longer just a fabric. It has become a symbol of rural economic empowerment, sustainable development, and the creation of Ek Bharat, Shreshtha Bharat,” said Chairman Kumar.

In many ways, Khadi is having its second freedom movement—this time, it's about economic freedom. It's about empowering artisans, reviving lost crafts, sustaining eco-friendly practices, and pushing rural India into the global economy on its own terms.

From revival to reinvention, KVIC has written a success story that not only honors Mahatma Gandhi’s ideals but also aligns perfectly with the aspirations of New India.

With a bold target of ₹2 lakh crore for FY25-26, KVIC is showing no signs of slowing down. The ambition is clear—scale up, empower more, innovate deeper, and bring Khadi into every Indian household and beyond.

The success of KVIC serves as a strong reminder that economic transformation doesn't always come from technology alone. Sometimes, it comes from thread, sweat, and the dreams of millions who believe in building a better India—one village at a time.