Despite record sales, artisan incomes in the Khadi sector remain modest. Critically analyse.

Khadi and Village Industries (KVI) sales reached a record ₹1.87 lakh crore in 2025–26, about six times the 2013–14 level [1]. Yet the roughly 5 lakh Khadi artisans, over 80% of them women, still earn modest incomes [1]. This points to a gap between the sector's turnover and what reaches the artisan.

Record sales: real but partial gains

• Spinner remuneration rose from ₹4 to ₹15 per hank (about +275%) since 2013–14 [1].
• Employment grew from 1.94 crore (2024–25) to 2.04 crore (2025–26) [2][1].
• PMEGP margin money (25% of project cost in rural areas for the general category) helps turn artisans into micro-entrepreneurs [3]. Gramodyog Vikas Yojana gave out 37,769 toolkits in 2025–26 [1].

Why incomes remain modest

• Low absolute wage: a hank is 840 yards of yarn, so even ₹15 per hank means low daily earnings from hand-spinning [1].
• Aggregate masks distribution: the ₹1.87 lakh crore figure includes village industries such as honey and bakery. Khadi artisans are only about 5 lakh of the 2.04 crore people employed [1].
• Value captured downstream: sales grew faster than production (+501% vs +380%) [1]. Price and marketing gains build up with institutions and retail rather than in piece-rate wages.
• Support goes through intermediaries: Market Development Assistance (MMDA) of ₹245 crore went to 1,097 Khadi institutions [1], so artisans benefit only indirectly.
• Governance overload: KVIC runs many schemes itself. Review committees have long advised it to move from operations to a policy role [4].
• Gendered work: women's spinning is often part-time and seen as supplementary, which keeps their bargaining power weak.

Way forward

• Link wage revisions to sales growth and pay artisans directly through DBT.
• Raise productivity with modern charkhas and Workshed support.
• Strengthen branding, GI tags and exports, and connect with PM Vishwakarma and DAY-NRLM self-help groups.

Record sales show that Khadi has moved from a symbol to a marketable product, but rising wages have not kept pace with turnover. If remuneration is tied to value, artisans get direct support and KVIC focuses on policy, the gains can reach the spinner. That would advance the Directive Principles' promotion of cottage industries (Article 43) and SDG 8 on decent work.