Jaipur, Feb 21: Recession in the US and Europe has badly affected India''s carpet industry.
For the last few years Rajasthan''s carpet industry was growing at a red hot 15 percent every year, but global meltdown clipped it badly.
According to exporters, the industry is passing through its worst phase.
"Carpet being a kind of a luxury item was the first hit (by the economic meltdown) because people cannot live without the daily necessities but carpet is one thing they can do without," said Rajesh Jagetia, an exporter.
America and Europe, which are worse hit by recession, were the biggest buyers of Indian carpets. Now that demand has slashed.