Can Indian brands create the next ‘it’ luxury handbag?

It seems as though every Indian designer brand, from Manish Malhotra to Lovebirds, has decided that now is the moment to enter the world of handbags. The logic is hard to ignore. For western luxury brands, handbags remain the single biggest revenue driver, often accounting for over 50% of annual sales. At houses like Hermès and Chanel, bags have achieved true icon status—not in the diluted way the word is often used today, but as objects of enduring cultural and financial value.

Then there are brands built almost entirely on the strength of the bag. Judith Leiber became synonymous with novelty crystal minaudières designed for special occasions. Delvaux, founded in 1829, has a reputation built on exceptional leather craftsmanship.

It is a model many global brands have perfected, often with the help of India. Jimmy Choo has referenced the potli; Hermès sources some of its skins from India; the embroidery on limited-edition Fendi Baguette bags is often the work of Indian artisans.

Like most women, I am guilty of owning more handbags than I need. My latest addition is the Balenciaga Rodeo Bag—undone yet structured, practical yet polished. A top-handle tote that fits everything I need, but can also be worn crossbody, in soft, supple calf leather, it just works. And yet, despite wanting to, I have never really been able to add a bag from an Indian label to my collection.

Anjali Gaekwar, co-founder of retail consulting agency Lighthouse and former country (India) manager of Christian Louboutin, says: “Globally, handbags are the backbone of a luxury business. In India, designers have historically focused on occasionwear or jewellery, where the ticket size is higher and more immediate. The handbag has largely been treated as an afterthought. But now, there is a growing realisation that to be seen as a truly full-fledged fashion house, this is a segment they need to conquer.”

So why can’t we get the handbag right?

Gaekwar points to a fundamental disconnect: “Designers aren’t really asking the consumer what she wants. Today, she wants a bag that is soft, lightweight, functional. Instead, we’re still seeing tiny bags that barely fit a phone and a key card. That’s not how women live anymore. Even evening bags need to do more than just look good.”

Himani Shah, a Mumbai-based content creator, agrees. “We have the skill set to create the next great designer bag from India. But we haven’t quite figured out leather quality and consistency in materials like Epsom, for instance.” Her latest purchase? A yellow bag from Loro Piana. “The colour drew me in, but it’s also beautifully made.” On most days, she carries a simple Louis Vuitton tote—no logos, zip closure, and enough space for everything she needs.

Gaekwar adds that the consumer is part of the challenge. “There is a niche group that wants to buy ‘Made in India’, but the younger consumer still looks west for validation. Even at a mid-level, they would rather carry a Tory Burch than a homegrown label. It’s about perception as much as product,” she says.

That perception gap is significant. While consumers are willing to spend ₹2-3 lakh on a western brand, an Indian bag does not yet carry the same currency of status.

Anoli Udani, a Dubai-based personal shopper who has sourced Hermès Birkin bags for high-net-worth clients, says, “It’s social currency. Everyone in my circle has one, so of course I should too. For an Indian brand to break into that mindset is not going to be easy.”

There are, however, brands beginning to challenge this. One example is Kali. Its founder, Mansi Saxena, previously worked at Sotheby’s and Lodha Luxury. “India has always had the craft,” she says. “What we didn’t have was the object the world could instantly identify, desire and carry.” Her made-to-order bags use jewellery techniques such as filigree and include lab grown rubies on the handle. Whether Kali, or any other label, can deliver that object remains to be seen.

For now, the list of Indian brands getting handbags right is short. Shah enjoys carrying her Sabyasachi minaudière and has her eye on the embroidered clutches by Tarun Tahiliani.

Udani believes some of Outhouse’s pieces have the potential to become coveted among HNIs. With totes bags priced at around ₹55,000 and minaudières at ₹45,000 , they have keep pricing accessible. Then there is Nappa Dori, which has found some success, particularly with men’s bags, and Behno, a born-in-New York, made-in-India label that has attracted investment from actor Katrina Kaif.

But as Udani points out, product alone is not enough. “Brand positioning is as important as the bag itself. You need to be in the right stores, in India and globally, and on the right people. That’s what builds desire.”

If Indian designers can align product, pricing and perception, the opportunity is real. “The potential for an Indian ‘it’ bag exists,” Gaekwar says. “But I’m not sure the industry has fully committed to what it takes to get there.”

For now, the idea of India producing its own equivalent of the Hermès Birkin still feels some way off. Then again, every enduring icon begins as a bold idea before it becomes an obsession.

Dress Sense is a monthly column on the clothes we wear every day.

Sujata Assomull is a journalist, author and mindful fashion advocate.