Over the years Kolhapur district has emerged for having one the highest per capita income in India. Today, Kolhapur boasts for having the maximum number of Mercedes car owners, being the Sugar bowl of India and with Sugar, Spinning and textile mills spread throughout Kolhapur district it surely has raced ahead of many other cities in terms of economic growth in recent years and has established itself as a prominent destination in the state of Maharashtra for investments.
The Industries in Kolhapur can be divided into 2 main categories:

Large Scale Industries in Kolhapur

The Major industries in Kolhapur district are the Spinning mills, Sugar industries, Textile mills and supported by industries in sectors like engineering goods, poultry, foundry, chemicals etc which generate employment for lakhs of people in and around Kolhapur.

Small Scale Industries in Kolhapur

The major small scale industries are into manufacturing auto spare parts, casting work, engineering works, diesel engines, silver ornament and kolhapuri chappals. There are many other small scale and cottage industries in rural areas which are family run businesses run down through generations into trades like hand-loom-weaving, gold smithy, oil crushing, brick and tile making, leather works and tanning, and black smithy etc in the Kolhapur district which collectively provides employment to large number people.

Manufacturing and Engineering Industry

Kolhapur is a well known industrial hub in western India. Bauxite deposits around this region have added to the industrial revolution in this region. Workshops and foundries are a common sight in industrial areas like Gokulshirgaon and Shiroli which produce aluminum castings, alloys, and bearings. Apart from that engineering machinery, spare parts of various machines, engine oils, agricultural implements, and aluminum and copper wires are manufactured and are exported to countries in Asia, Africa and Middle East. Kolhapur district has around 300 foundry units and Industrial exports are estimated at about 15 billion per year from manufacturing and engineering sector alone and they are expected to grow more in the coming years.  

Silver and Gold Industry

Along with urban areas the village of Hupri near Kolhapur city has today become a busy and well known place for gold and silver industry. Jewelry made here is unique and is made keeping in mind traditional artistry. The specialty jewelry crafted here are Anklets or Payal of various lengths and designs, Gujrav and special kinds of necklaces.

Silver jewelry from Hupri is in great demand in India and abroad. Jewelry shops in Kolhapur and nearby cities like Miraj, Sangli, and Belgaum make good business selling Hupri jewellery to women from these areas and elsewhere who are fond of such ornaments. The Kolhapuri Saaj a specialty of Kolhapur is exported to countries like America and Australia. This industry has an annual turnover of crores each year and employs thousands of artisans and traders in and around Kolhapur.