National Handloom Development Corporation Limited (NHDC) was set up on 22nd February 1983 by the Government of India as a Schedule 'C' Central Public Sector Enterprise (CPSE), under the administrative control of Ministry of Textiles, Government of India.The objective was the creation of a national level agency to assist the speedy development of the handloom sector.
On 27th September 2010, NHDC Limited was upgraded from a Schedule 'C' to a Schedule 'B' Central Public Sector Enterprise (CPSE), marking a significant milestone in the Corporation's growth and performance..

The Corporation is presently the Implementing Agency of the MoT, Raw Material Supply Scheme (RMSS). This scheme ensures all types of natural yarns are supplied at Mill Gate rates across India. Towards this, the Corporation, empanels Mills and handloom weavers and ensures that the guidelines of the scheme, that includes, yarn and transport subsidy, reaches those in need. The Corporation also actively undertakes sale of Dyes and Chemicals including Natural, as part of its business strategy and to assist stakeholders.

The National Handloom Development Corporation, has brought synergy to the multiple facets of the handloom ecosystem, right from input supplies to design assistance, recognition and promotion of Geographical Indication (GI) certified products, to marketing. The recent addition of an Outreach department will ensure greater impact and reach into far-flung and relatively inaccessible areas.

The Corporation operates through its Eight Regional Offices (ROs) and 27 Branch Offices (BOs) and 39 warehouses. Where establishing a warehouse is not viable, the facility of a yarn bank has been extended to Cooperatives and societies by setting yarn banks which are over 500 presently across the length and breadth of the Nation. Market linkages have been ensured by conduct of national and regional level expos and exhibitions apart from a novel Mobile Marketing initiative in Delhi NCR.

NHDC remains committed to the upliftment of the handloom sector and is taking giant strides for meeting the aspirations of stakeholders.