This study delves into the intricate tapestry of India’s handwoven carpet industry, with a specific focus on Bhadohi, popularly known as the Carpet City of India. Renowned globally for its rich heritage of carpet weaving and craftsmanship, Bhadohi serves as a central hub for India’s export-driven carpet economy. However, beneath the colourful patterns and skilled artistry lies a complex web of challenges that threaten the sustainability of this traditional sector. It explores multiple dimensions and current state of industry including economic pressures from global competition, declining artisan participation due to generational shifts, inadequate technological integration, and persistent issues related to labour rights and fair wages. Environmental concerns, such as the use of chemical dyes and non-eco-friendly production practices, also add to the list of pressing issues. It further examines the role of government initiatives, NGOs, and private stakeholders in attempting to revive and modernize the sector while preserving its cultural legacy. Through qualitative interviews, field observations, and data analysis, the research provides insights into the struggles and resilience of the carpet-weaving community, ultimately emphasizing the need for sustainable development models that protect both the craft and the craftsmen. The "knots of concern" metaphorically represent the tangled issues facing the industry problems that, if addressed thoughtfully, can pave the way for a stronger, fairer, and more vibrant future for Bhadohi’s carpet sector.

This study also concludes that preserving the identity and sustainability of carpet industry of Bhadohi requires a synergistic effort between government bodies, private stakeholders, non-governmental organizations, and the artisan communities themselves. Through strategic intervention, the cultural heritage of India's carpet weaving industry can be safeguarded while ensuring equitable growth for its stakeholders.