Local Legacies: Industries in India’s Smaller Cities & Towns

Did you know that Bhagyanagar in Karnataka accounts for 40% of hair processing in India? Or that Aligarh is the ‘Land of Locks’ where artisans craft up to 40 locks a day? There are many such industries thriving in India’s small cities and towns for decades now.

These lesser-known industries are slowly coming to the lime-light. A hub for silverware utensils, Khamgaon houses Shraddha Refinery, which has been recognized for contributing silver-based components for ISRO satellites. Similarly, Meerut is renowned for sports goods manufacturing, with companies like Nelco Pvt. Ltd. supplying for international athletic events since the 80’s.

Despite the global popularity of “Made in India” products, such industries also face numerous hurdles. Manufacturers of Coimbatore’s GI-tagged wet grinders are concerned over their falling demand. The economic impact post-covid, 18% GST, and changed dietary and cooking habits have all contributed to this decline. Meanwhile, Aligarh’s traditional lock-industry is rife with problems of child labor and increased competition from cheaper Chinese products. Elsewhere, Bhagyanagar’s local wig-making industry suffers shortages due to bigger cities monopolizing on processed raw hair, along with the rise of smuggling to China via Myanmar.

However, Tiruppur remains a key player in knitwear production despite the rising yarn prices. The government's support from export-boosting schemes and Production Linked Incentives have aided this. Kannauj’s natural perfumes (ittar) have also seen a resurgence due to the growing interest in sustainability and organic products.

Young entrepreneurs are now bridging the gap between traditionally skilled artisans and modern consumers. MittiHub, a Jaipur-based start-up, is reviving terracotta pottery by training and developing market linkages for artists. This venture is also planning to adopt 3D imaging to enhance the user experience. Such cases show the way for sensibly incorporating new-age tech into local, traditional industries.

Is your city known as a hub for any niche industry? What is the current status of the local industry in your area?