An analysis of the contribution of khadi and village industries in employment generation in Rajasthan

This study examines the multidimensional contribution of Khadi and Village Industries (KVI) to employment generation in Rajasthan, India, over the period 2018–2025. Drawing upon secondary data from the Rajasthan Khadi and Village Industries Board (RKVIB), the Khadi and Village Industries Commission (KVIC), the Ministry of Micro, Small and Medium Enterprises (MSME) annual reports, and recent empirical literature (2023–2026), the research applies descriptive statistics, trend analysis, and regression modelling to assess the trajectory, scale, and determinants of KVI-driven employment in the state. Rajasthan, endowed with rich craft traditions and a predominantly rural population, provides a contextually significant case for examining the efficacy of village industries policy. Results reveal a consistent upward trend in both unit formation and employment generation under the Prime Minister's Employment Generation Programme (PMEGP), with employment rising from approximately 3,888 persons in 2019–20 to 6,677 persons by 2024–25. Women constituted 70 per cent of KVI workforce in 2023–24, underscoring the sector's role in gender-inclusive rural development. The study identifies infrastructure access, institutional credit availability, and marketing linkages as key determinants of KVI employment growth. Policy implications include strengthening cluster-based development, digital marketplace integration, and targeted financial inclusion for marginalized artisan communities. Keywords: Khadi and Village Industries; KVIC; PMEGP; Employment Generation; Rajasthan; Rural Economy; RKVIB; Artisan Empowerment; Women Employment; Rural Development