Carpets have now surpassed shawls in order of importance, and two European firms, Messrs. Mitchell and Co., and Mr. Hadow, have quite as much as they can do to keep pace with the orders they receive, of which a very large number come from America. Many of the old weavers have taken to carpet-making, and the pashm used formerly for shawls is now being increasingly used for the finer kind of carpets. The dyes are good in Kashmir, and as the finest wool is to be had the carpet industry ought to have a good future before it.

Silk is another most thriving industry with great future possibilities. The State have now in Srinagar the largest silk factory in the world, employing about 3300 men, and turning out 191,000 lbs. of silk last year, and in the present year 230,939 lbs., most of which is sold as yarn in the European market at prices varying from 14s. 10d. to 18s. 2d. per lb., and bringing in a very handsome profit to the State. A small amount of silk weaving is also carried on in the same factory, and 212 handlooms have been set up, but at present the factory is only capable of turning out a comparatively light cloth in what is called the green state. For throwing, dyeing, and finishing, other machinery would be necessary, which the State will set up in time as funds become available. The rough cloth already made is admittedly superior to Japanese cloth of the same weight, and has sold in London at somewhat higher prices. When it can be turned out dyed and finished it should have a great sale in India, though the State are not likely to derive the same high profits from the woven cloth that they do from selling the yarn.

Electric power has now been supplied to the silk factory from the great electric installation on the Jhelum River, and is used for heating the water in the basins in which the cocoons are immersed for reeling. It will also be used for turning some of the reeling machinery, and possibly also for electrocuting the grubs in the cocoons.

Papier-mâché is a favourite artistic product of Kashmir, and some very handsome candlesticks, bowls, and vases, well adapted for English country houses, may be purchased. The old designs are especially beautiful. But nowadays very little is made from real pulp of paper, and most of what is sold as papier-mâché is made of smooth wood.

The silver work is poor, as it lacks finish, and the modern designs are not especially beautiful. But the Kashmiri workmen used to be able to produce a peculiar sheen on the silver work which gave it a striking and unusual appearance.

Some handsome copper work is also produced in Srinagar, and some pretty enamel work.

But at present the fashion rather turns to wood-carving, which has certainly much improved since I first knew it. Very handsome screens, tables, panels, boxes, etc., are made, and the Kashmiri carpenter is getting to finish his work much better. Whether the work is worth the prices asked is, I think, doubtful. Better wood-carving can be had in Europe for the same price.

Turning from art industries to more practical manufactures the first to notice is basket-work. Most villages have their artisan who makes baskets for agricultural purposes, for carrying loads and for rough village work. Willow trees are plentiful and might be much more extensively grown; and Raja Sir Amar Singh has always been keenly interested in establishing a really important basket industry in Kashmir, and supplying the needs not merely of Kashmir villagers, but of India generally.

Puttoo cloth and blankets are well-known manufactures of Kashmir. Since the Swadeshi movement has extended in India, and the demand for goods made in India has increased, there has been a regular run on the rough woollen "puttoo" of Kashmir, and the price has gone up. Formerly a sportsman could get a good shikar suit for eight rupees. Now he has to pay ten or twelve. It is excellent wearing material, but is too loosely woven and liable to get out of shape. Proposals are on foot for establishing woollen factories in Kashmir, and with suitable machinery and proper supervision, good useful cloth should be made from the excellent wool with which the country abounds.

Cotton cloth is also manufactured in the villages, of a rough, homely description. But whether this manufacture will ever increase to a great extent is doubtful. A French gentleman who has lived for many years in Bokhara, and who visited Kashmir, told me that he considered that as cotton was grown so successfully in Bokhara and Russian Turkestan, it ought to grow equally well in Kashmir. This may be so, and the State is making experiments in cotton growing to find a variety suitable to the country. But so far the future of cotton manufacture cannot be considered so assured as that of silk and wool.