APWA holds the distinction of being a pioneer in the support and promotion of indigenous handicrafts in Pakistan.  Its craft shops (formerly Cottage Industry) in all four provinces were the destination of choice for high quality products from all over the country, produced by men and women. The APWA Cottage Industry Shop; a large showroom on the Mall Road in Lahore, was set up and managed for several decades, and had more than 1000 suppliers of the best in handmade objects and textiles including hand embroidered items, hand-woven textiles, darries, woolen rugs, ceramic, woodcraft and the best onyx in the world.

With a view of reviving this tradition, APWA Punjab Craft Shop was relocated to the Headquater premises on 65 – Jail Road in Lahore. The idea was to revive the institution as a showcase for products made by APWA and to display high quality handmade home accessories and apparel from partners, with a view to celebrate traditional craftsmanship in Pakistan whilst also keeping it relevant to contemporary living.