India’s vibrant handmade economy, often referred to as the second largest employer in the country, can act as India’s answer to becoming a $5 trillion economy. With a changing consumer who is conscious about buying from local businesses, collaborative supply chains and the digital boom in the country, the handloom sector has a huge untapped potential. Approximately 75% of the overall production in India’s textile industry, which continues to be the world’s second-largest manufacturer and exporter, is contributed by MSMEs that operate handloom, handicrafts, and small-scale power-loom units. Against this backdrop, it was observed that weaver cooperatives and other collective enterprises could play a major role in transforming the sector and driving the growth that India desired. However, these enterprises remained largely neglected. This project aimed to highlight the opportunities and challenges in digitalisation experienced by collective enterprises in India’s handloom sector, bringing forth the voices of people at the margins who were part of these collectives and keeping their needs at the center, with a gender and policy lens. This research also attempted to develop recommendations for policymakers and civil society organisations and advocate for a better digital landscape for the growth and development of cooperatives and producer companies in India’s handloom sector.