Handicraft Market Size to Reach USD 2,917.71 Billion by 2034 | CAGR 10.20% (2026–2034)

Handicraft Market Size to Reach USD 2,917.71 Billion by 2034, Driven by Rising Demand for Handmade and Sustainable Products

PUNE, MAHARASHTRA, INDIA, February 10, 2026 /EINPresswire.com/ -- The global handicraft market was valued at USD 1,218.77 billion in 2025 and is projected to grow to USD 1,341.26 billion in 2026, reaching USD 2,917.71 billion by 2034, exhibiting a CAGR of 10.20% during the forecast period. Market growth is driven by increasing appreciation for handmade products, expanding tourism activities, and rising demand for unique and aesthetically appealing home décor items.

Handicrafts encompass a wide range of traditionally handmade products produced using indigenous techniques and materials. These products include textiles, pottery, glassware, paper products, wooden items, metal and silver crafts, and other artisanal goods. Growing consumer inclination toward cultural authenticity and craftsmanship, combined with rising travel activities that expose consumers to regional handmade traditions, is expected to support sustained market growth. Additionally, increasing construction of residential and commercial complexes is accelerating home renovation trends, thereby boosting demand for decorative and functional handicraft products.

Asia Pacific dominated the handicraft market with a 36.42% share in 2025, supported by strong artisanal traditions and high export volumes from countries such as India, China, and Bangladesh. The U.S. handicraft market is also expected to grow significantly, reaching USD 627.86 billion by 2032, driven by growing consumer preference for artisanal goods and expanding e-commerce channels.

Get a Free Sample PDF- https://www.fortunebusinessinsights.com/enquiry/request-sample-pdf/handicraft-market-108435

Global Handicraft Market Snapshot & Highlights

The market is characterized by strong demand for sustainable, handmade, and culturally rooted products. Woodworks are expected to retain dominance owing to their aesthetic appeal and durability, while the residential segment leads end-use demand, supported by rising home décor and renovation trends.

Impact of COVID-19

The COVID-19 pandemic severely disrupted the global handicraft market, particularly at local and small-scale levels. Supply chain disruptions and limited availability of raw materials adversely affected production capacity. Lockdowns, travel restrictions, and economic uncertainty led to a sharp decline in consumer demand during 2020. However, gradual recovery in tourism, retail activity, and online sales channels has supported market normalization.

Handicraft Market Trends

Rising Trend of Home Décor to Accelerate Market Growth
Homeowners and renters are increasingly investing in personalized living spaces, driving demand for handcrafted décor items. The growing popularity of DIY culture has further boosted demand for handmade wall hangings, wooden artworks, and customized decorative accessories. Artistic traditions in countries such as India, China, Vietnam, and Thailand have supported large-scale export of embroidered goods, hand-printed scarves, and imitation jewelry.

According to the India Brand Equity Foundation, India’s handicraft exports reached USD 4.35 billion in 2021–22, reflecting a 25.7% increase from the previous year. India hosts nearly 744 handicraft clusters, employing around 212,000 artisans and producing over 35,000 products, reinforcing its global export position.

Asia Pacific’s handicraft market grew from USD 443.88 billion in 2025 to USD 490.10 billion in 2026, reflecting strong regional momentum.

Handicraft Market Growth Factors

Growing Tourism Activities to Amplify Market Growth
Tourism remains a key driver for the handicraft industry, as travelers increasingly seek locally made souvenirs and culturally significant products. Traditional textiles, jewelry, ceramics, and handcrafted décor items are widely purchased by tourists, supporting demand for authentic regional crafts.

Intensifying Demand for Sustainable Handmade Products

Rising environmental awareness and preference for eco-friendly products are boosting demand for sustainable handmade goods. These products often use renewable or recycled materials and environmentally responsible production methods, aligning with global sustainability goals and driving market expansion.

Restraining Factors

Instability in Raw Material Prices to Hinder Market Growth
Fluctuations in raw material prices, including wood, metal, and glass, directly impact production costs and profit margins for artisans and manufacturers. Rising costs often translate into higher retail prices, reducing competitiveness in price-sensitive markets and restraining overall market growth.

Handicraft Market Segmentation Analysis

By Product

The market is segmented into woodworks, metal artworks, hand-printed textiles & embroidered goods, imitation jewelry, and others.
The woodworks segment is expected to dominate due to its timeless aesthetic appeal and durability, with the segment projected to hold a 37.57% market share in 2026.

By End-user

The market is divided into residential and commercial segments. The residential segment is estimated to account for 60.73% of the market share in 2026, driven by increasing home décor and renovation activities and consumer preference for artistic and visually appealing interiors.

By Distribution Channel

Distribution channels include specialty stores, independent retailers, online stores, and others. Specialty stores are projected to lead with a 39.18% share in 2026, supported by curated product offerings and superior quality. The online segment is expected to grow at a faster pace due to convenience, wider product availability, and expanding e-retail presence among handicraft sellers.

Regional Insights

Asia Pacific

Asia Pacific held the largest market share, growing from USD 443.88 billion in 2025 to USD 490.10 billion in 2026. Growth is driven by strong production capabilities, export-oriented manufacturing, and a large artisan base in India, China, and Bangladesh. By 2026, China is projected to reach USD 184.12 billion, India USD 174.44 billion, and Japan USD 18.12 billion.

North America

North America is projected to be the second-largest market, supported by increasing imports, strong DIY culture, and high consumer spending on handcrafted products. The U.S. market is projected to reach USD 352.39 billion by 2026.

Key Industry Players

Government Support for Small-Scale Manufacturers to Drive Market Growth

Governments worldwide are supporting small-scale artisans through financial assistance, infrastructure development, and the establishment of dedicated craft centers. These initiatives enable artisans to improve production efficiency and expand market reach.

Speak To Analyst- https://www.fortunebusinessinsights.com/enquiry/speak-to-analyst/handicraft-market-108435

List of Top Handicraft Companies

Asian Handicrafts (India)
Fakih Group of Companies (UAE)
Laizhou Zhonghe Arts & Crafts Co. Ltd. (China)
Ten Thousand Villages (U.S.)
Minhou Minxing Weaving Co. Ltd. (China)
The India Craft House (India)
Creative Expressions (U.K.)
PT Harmoni Jaya Kreasi (Indonesia)
Gangga Sukta (Indonesia)
PT Fuzen Decor Bali (Indonesia)

Key Industry Developments

June 2023: Amazon’s Amazing Home launched a new home décor and furniture range.

January 2023: Target introduced designer home accessory collections through collaborations.

Ashwin Arora
Fortune Business Insights™ Pvt. Ltd.
+1 833-909-2966
sales@fortunebusinessinsights.com

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.