Gandhi was a man of action. His economic ideas should be taken along with his whole philosophy. According to Gandhi, first of all there should be fulfillment of basic needs of every individual in the society, only than man can think about participation in politics and other activities in society. Gandhi was in favour of cottage, small scale industries and adoption of ‘Swadesi’. For him all-round development of rural areas assumes great significance. It will not only give employment to people but also make village self-sufficient. So there is need to move back to Gandhian economic ideology. The main focus of this paper is on the relevance of Gandhian economic ideas.