The Namda industry, a traditional felt-based handicraft of Kashmir, represents an important component of the region’s cottage industrial economy, particularly in the transition from the pre-Partition to post-Partition period. Emerging in the late 1930s, the industry developed in response to the decline of imports from Central Asia and utilised surplus labour from other crafts. Its labour-intensive structure supported employment and income generation, though production and marketing remained controlled by traders, leading to unequal profit distribution and worker exploitation. The industry reached its peak in the early 1940s but declined sharply due to wartime disruptions, Partition, and the breakdown of trade networks. Post-1947, state-led interventions, including training centres, cooperative initiatives, and marketing support through emporia, facilitated its revival and expansion. Despite these efforts, the industry continued to face structural limitations such as low productivity and competition from mechanised goods, while remaining significant for sustaining artisan livelihoods and cultural continuity.