Cottage Industries of Bhutan

Overview

Cottage industries form the backbone of Bhutan's rural economy, providing supplementary or primary income to thousands of families across the country.^[3] These small-scale, home-based enterprises produce traditional goods using skills passed down through generations, connecting the Zorig Chusum (thirteen arts and crafts) tradition to the modern economy.

Major Cottage Industries

• Handloom weaving — Textile production is the most widespread cottage industry, with women across the country producing kira, gho fabric, and decorative textiles.^[1] Kushuthara brocade from eastern Bhutan is particularly prized
• Bamboo and cane crafts — Tsharzo products including baskets, mats, containers, and bows are produced primarily in eastern Bhutan
• Wood carving — Decorative wood work for furniture, masks, and architectural elements
• Papermaking — Traditional deh-sho paper made from the bark of the Daphne plant
• Incense — Handmade Bhutanese incense using juniper, sandalwood, and other Himalayan aromatics

Economic Significance

The government actively supports cottage industries through the Department of Cottage and Small Industries, recognizing their importance for rural livelihoods, cultural preservation, and tourism-related sales.

References

1. "Cottage and Small Industry." Ministry of Economic Affairs, Royal Government of Bhutan.
2. "Cottage and Small Industry Policy, 2019." eRegulations Bhutan.
3. "Bhutan: Cottage and Small Industries — Technical Consultation Mission Note." World Bank, 2020.
4. "Improving Market Linkages for Cottage and Small Industries." Asian Development Bank, Project 53428-001.
5. "Cottage, Small and Medium Industry Policy of The Kingdom of Bhutan, 2012." ResearchGate.