The article highlights the theoretical, methodological and practical aspects of students’ ethno-cultural competencies formation in the system of institutions of additional education in study clubs, trade shops as well as during creative master classes. The purpose of the study is to define the relevance and significance of folk crafts revival as a factor of students’ ethno-cultural competencies formation. The main works of Russian authors in the field of research of folk and art crafts are presented. Methods. A comparative analysis of the historical situation that reflects the content and importance of folk crafts, as well as its current state is presented. During the study the following methods were applied: analysis of Russian literature, legal acts, conversation with students and teachers, content-analysis of creative activity outcomes. The study was carried out on the basis of the institutions for additional education and culture of the Svetloyarsky District in Volgograd Region, among masters of decorative and applied art of Volgograd and members of the club of masters "Remaliya". The role of masters of decorative and applied arts in the system of additional education, as well as the main types of presentation of folk crafts products is described. The experience of interaction between universities, schools and institutions of additional education with masters of decorative and applied art, areas of joint activity of various age groups is outlined. Moreover, the article reveals the main directions in which the revival of folk crafts and traditions in the modern system of culture and education (study clubs, studios, trade shops) is implemented. At the same time, the author analyzes the main points of folk crafts revival regulation, including legislative ones. Research result. The article highlights the importance of forming ethno-cultural competencies in students in the context of working with their parents as carriers of traditions and customs. It is concluded that students’ ethno-cultural competencies formation in the context of the revival of folk crafts is a complex multi-component and step-by-step process, into which many subjects are involved.