In Nepal the production of handicraft is an age old occupation. Novel handicrafts are also developed in harmony with changing market taste. In the last 30 years, exports of handicraft have been growing. Thus the development of handicraft in one hand helps the conservation of national heritage of country and in other hand it also contributes to alleviate poverty by creating opportunities to Nepalese people. Nepal’s handicraft provides employment to hundreds of thousands of local people. It is also a major source of foreign revenue which is greatly needed for the import of basic necessities as well as development of infrastructures.