The Khadi & Village Industries Commission (KVIC) and Govt. of India persuaded the State Govt. to set up Khadi & Village Industries Board, in order to receive grants and loans from the KVIC only for the development of Khadi & Village Industries especially in the rural areas in the State whereas administrative expenditure will be provided by the State Govt. Therefore, Himachal Pradesh Khadi and Village Industries Board was constituted under the H.P. Khadi and Village Industries Board Act, 1966 and is a statutory body which came into existence on 8th January, 1968 with the main objective to plan, organize and implement programmes for the development of Khadi & Village Industries in the rural areas of the State. Since its inception the Board is magnanimously putting all possible efforts to achieve the following objectives/mandate set before it:-
- The “social objective” of providing employment
- The “economic objective” of producing saleable articles, and
- The “wider objective” of creating self reliance amongst the people and building up a strong rural community spirit.