The transformation is particularly visible in Bhadohi, which has long been known for its handmade carpets. (file image)
The state now has around 96 lakh MSME units, while the number of factories has risen from approximately 14,000 before 2017 to more than 35,000. The state has attracted investment proposals worth about Rs 50 lakh crore, with projects worth around Rs 15 lakh crore having reached the groundbreaking stage. Because the carpet industry remains highly labour-intensive, this support is important. Strengthening artisan incomes, improving access to technology and reducing dependence on intermediaries can therefore have a direct impact on rural employment and migration. For the Bhadohi-Mirzapur-Varanasi belt, the next phase is therefore not merely about increasing carpet production.
You Can Also Check: Gold Rate in Lucknow | Silver Rate in Lucknow | Bank Holidays in Lucknow | Public Holidays in Lucknow | Lucknow AQI | Weather in Lucknow | Petrol Price in Lucknow | Diesel Price in Lucknow | CNG Price in Lucknow | LPG Price in Lucknow Stay updated with the latest Lucknow news. The traditional carpet belt of eastern Uttar Pradesh is undergoing a significant transformation, with Bhadohi, Mirzapur and Varanasi emerging as an increasingly integrated hub for handmade carpets, textiles, handicrafts and allied industries. Over the past nine years, improved connectivity, stronger infrastructure, government support for micro and small enterprises, export facilitation and initiatives such as One District One Product (ODOP) have helped strengthen the region’s position in domestic and international markets. Unlike large mechanised industries, handmade carpet production depends on generations of accumulated skills. Women are another emerging component of the region’s entrepreneurial ecosystem. A growing number of women are involved in production, design, finishing, trading and small-scale enterprises. Greater representation of women in industry associations and export-related institutions is increasingly being seen as important for ensuring that the benefits of the expanding carpet economy reach a wider section of society. The broader industrial environment of Uttar Pradesh has also changed during the period. Industrial expansion in electronics, defence, textiles and engineering is creating a larger ecosystem of suppliers, logistics providers and skilled workers. It is about creating an integrated textile and handicraft economy in which traditional products can coexist with modern technology, professional design, digital commerce, efficient logistics and global marketing. The proposed silk cluster covering Sant Ravidas Nagar, Mirzapur and Varanasi could further widen the region’s economic base. The story of Bhadohi and its neighbouring districts consequently represents a broader shift in Uttar Pradesh’s economic landscape—from traditional production centres dependent largely on intermediaries to organised clusters increasingly connected with global markets. The challenge ahead will be to sustain export growth, upgrade skills, expand women’s participation, strengthen design capabilities and ensure that the artisans at the heart of the industry remain the principal beneficiaries of this transformation. Download the TOI App.
Combined with the ODOP framework, GI recognition, export infrastructure, improved connectivity and growing international demand, the initiative has the potential to convert an historically important craft belt into a modern, globally connected textile and handicraft cluster.
The district today has around 2,500 MSME units with an annual turnover of approximately Rs 10,000 crore. Nearly 90 per cent of the carpets manufactured in the district are exported, with major markets including the United States, Germany, Australia, Canada and the United Kingdom. In 2024-25, Bhadohi alone accounted for more than 70 per cent of the state’s carpet exports. The Bhadohi-Mirzapur-Varanasi cluster together contributes nearly 88 per cent of Uttar Pradesh’s carpet exports and has historically accounted for around 55-60 per cent of India’s handmade carpet exports. State exports increased from Rs 84,283 crore in 2016-17 to Rs 2,01,241 crore in 2025-26, representing an increase of nearly 2.5 times. The average annual export growth rate, which was around 4.1 per cent during 2012-17, rose to approximately 7.3 per cent after 2017. The Bhadohi-Mirzapur-Varanasi cluster now generates carpet exports of around ₹5,000 crore to markets across the United States, Europe and the Middle East. The Carpet Expo Mart in Bhadohi, spread over approximately 7.5 acres and inaugurated in 2020, has provided exporters and manufacturers with a permanent platform to interact with overseas buyers. The 50th edition of the India Carpet Expo, organised in Bhadohi, brought together around 250 exhibitors and more than 450 foreign buyers from 65 countries, including more than 100 buyers from BRICS nations.
The proposed development of Sant Ravidas Nagar Bhadohi, Mirzapur and Varanasi as a larger silk and textile cluster, along with the proposed Varanasi-Vindhya Regional Development Plan, is expected to further consolidate this economic ecosystem. The objective is to bring traditional skills, modern technology, design, logistics and global market access together within a geographically connected industrial region. The transformation is particularly visible in Bhadohi, which has long been known for its handmade carpets. The carpet industry provides direct employment to more than five lakh people, including artisans, weavers and workers. Bhadohi’s handmade carpets have also received a Geographical Indication (GI) tag, providing formal recognition to the distinctive craftsmanship associated with the region. The establishment of the Indian Institute of Carpet Technology has added another dimension by providing technical education and training in areas such as carpet design, dyeing and textile technology. The region’s importance is reflected in its contribution to Uttar Pradesh’s carpet exports. The export story of Uttar Pradesh itself has also changed considerably during the period. The state’s export basket has also become more diversified, with electronics, engineering products, food processing, dairy, textiles, handicrafts and traditional products increasingly finding space in international markets. For the carpet belt, this broader export expansion has created new opportunities. The region’s traditional strengths are being combined with modern infrastructure and improved access to international buyers. One of the major changes has been the development of dedicated trade infrastructure. Such events have helped shift the region from being primarily a production centre to becoming a more visible international trading destination. Connectivity is emerging as another important factor. The region now benefits from improved road networks, access to the Varanasi airport and the inland waterway connecting Varanasi with Haldia. Future connectivity through the Ganga Expressway and its proposed extension towards the Vindhya region is expected to provide an additional logistics link to western Uttar Pradesh and the Noida International Airport. For an export-oriented industry in which delivery time and logistics costs directly affect competitiveness, these developments could be particularly significant. The transformation has also extended to artisans and small entrepreneurs. The ODOP programme has provided greater visibility to the district’s traditional products, while toolkit distribution, MUDRA credit, modern looms and solar-powered equipment have helped artisans adopt improved production methods. The objective has been not only to preserve traditional craftsmanship but also to make it economically sustainable for younger generations.