Indian vs Kashmiri

Indian and Kashmiri both are nouns.

Word	Noun	Adjective	Verb	Adverb
Indian	Yes	Yes	No	No
Kashmiri	Yes	Yes	No	No

As nouns, Kashmiri is a hyponym of Indian; that is, Kashmiri is a word with a more specific, narrower meaning than Indian:

Indian (noun)	Kashmiri (noun)
any of the languages spoken by Amerindians	the official state language of Kashmir
a native or inhabitant of India	a member of the people of Kashmir

Indian (adjective)	Kashmiri (adjective)
of or relating to or characteristic of India or the East Indies or their peoples or languages or cultures	of or relating to or characteristic of Kashmir or its people or culture
of or pertaining to Native Americans or their culture or languages