Abstract:
Among the countries in the world and according to their global development
ranking Sri Lanka is still listed as a developing country. The rural population
of Sri Lanka is 82% (2015) out of the country’s total population. Therefore,
rural development is a needful factor in Sri Lanka. By empowering the rural
community in social, economic, political and ecological aspects may ensure
the development of rural industries. The foundation of rural community
development can be laid by giving attention to home-based cottage industries.
The cottage industry also is known as the handicraft industry which is known
for the extensive use of personal specification and technical skills.it helps
economic growth by facilitating rural development, generating employment
opportunities, and paves the way for entrepreneurial growth, making efficient
utilization of human and other resources too. But unfortunately, after the open
economic policy of 1977, the cottage industry showed quite a downfall which
resulted in the reduction of interest for the cottage industry among the rural
community in Sri Lanka. The purpose of this research is to identify the
contribution of the cottage industry towards the rural development of
Mahayala and the Walpita Grama Niladari Division of Madurawala Divisional
Secretariat Division which selected as a sampling area to obtain primary data
the researcher has been selected 30 owners of a cottage industry. Also;
questionnaire, interview, and observational method were used to collect
primary data and in the process of the secondary data collection the books,
magazines which were parallel to the research, the resource profile and selfemployment
report of the Madurawala Divisional Secretariat Division and
training institution of clay industry and also, SWOT analysis was used as data
analysis technique. It was revealed that the cottage industry has contributed to
rural development. Also, it has been found that the second generation did not
attract these industries and it had a lack of specific market. Those issues can
be overcome by establishing formal vocational training centers, making local
and foreign market opportunities, engaging the rural community for
innovation. As a conclusion, there is a possibility to achieve rural development
by carrying out above mentioned suggestions successfully.
