Hand Tools Industry consists of organized, small scale and cottage sector. About 80 % of small scale and cottage sector is located in and around Jalandhar in Punjab, Nagaur in Rajasthan and Purulia in West Bengal. The Hand Tools Industries are playing a vital role in economic development and earning valuable foreign exchange for the country.
CIHT was established in 1983 with assistance from UNDP, Government of India and Government of Punjab.
With a view to provide technology support services to engineering industry in general and the hand tools industries in particular, the Government of India has set up Central Institute of Hand Tools as a National Institute in Jalandhar, in the state of Punjab as an autonomous organization with the assistance of U.N.D.P. and Govt. of Punjab.
The management of the institute rests with the Governing Council appointed by the Govt. of India , with Development Commissioner, small scale industries as ex-officio chairman of the institute. The Principal Director is the Chief Executive Officer of the Institute. Other members include the Govt. officials and the industrialists from the industry.