The sector of the Indian Economy known as cottage industries is one of the most significant contributors. More money will be available to support the expansion of cottage industries. Generally speaking, the term Economic Development refers to efforts undertaken to improve the standard of living and financial security of a particular are through the implementation of both quantitative and subjective economic improvements. This essay focuses on the role cottage industries play in the expansion of the national economy. Numerous facets of economic expansion have been identified, and our research indicated that the cottage sector is significantly contributing to these areas. Using a structured questionnaire, we have collected primary data to offer this explanation. This paper also discusses the difficulties associated with small industries. Five distinct kinds of cottage industries were looked into throughout this study. The main focus of this scholarly study is the contributions that each industry has contributed to Indias total economic growth. In order to ensure that this sector may thrive and contribute more, we offer a few recommendations for the development of the cottage industry in India in our conclusion.