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Home / IAS Preparation / Leather Industry in India

The Leather Industry in India: Crafting a Global Legacy

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The leather industry in India is a vibrant and dynamic sector that has left an indelible mark on the global stage. With a rich history, diverse product range, and a significant contribution to employment, this industry stands as a testament to India's craftsmanship and entrepreneurial spirit. 

This article is important for students preparing for the UPSC CSE Exam. If you want extra help to study well for the exam, you can join UPSC Coaching. It will make your studying easier.

In this comprehensive guide, we delve into the various facets of the leather industry, from its historical roots to its promising future.

Leather Industry in India: An Overview

India's leather industry encompasses four main sectors: tanning, footwear, leather garments, and leather accessories. These sectors collectively provide employment to approximately 4.42 million people, often from marginalized sections of society. Notably, women constitute a substantial 30% of the workforce in the leather products sector.

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Leather Production Across the Nation

The geographical distribution of leather production centers in India is extensive. Key states that drive leather production include Tamil Nadu, West Bengal, Uttar Pradesh, Maharashtra, Punjab, Karnataka, Telangana, Haryana, Delhi, Madhya Pradesh, Kerala, Rajasthan, and Jammu & Kashmir.

Study the article about the Coir Industry in India here.

Global Leather Export Hub

India has secured a prominent position on the global leather export map. It ranks as the second-largest exporter of leather garments, the third-largest exporter of saddlery & harnesses, and the fourth-largest exporter of leather goods worldwide. Leading importers of Indian leather and leather products include the USA, Germany, the UK, Italy, France, Spain, the Netherlands, China, Belgium, the UAE, Australia, Poland, Hong Kong, Denmark, Canada, Vietnam, and Portugal.

Council for Leather Exports (CLE)

Established in 1984, the Council for Leather Exports (CLE) serves as the apex body for promoting and facilitating trade within the Indian leather industry. Its objectives encompass industry development, promotion, market expansion, and acting as a liaison between the government and the leather sector.

India: The Footwear Hub

India boasts a significant share of the world's footwear production. It accounts for 9% of global footwear production and stands as the second-largest footwear producer and consumer. The sector's potential for job creation is remarkable, with the ability to generate 425 jobs for every 1,000 pairs produced and sold daily in India.

Strengths of the Indian Leather Industry

The Indian leather industry benefits from several key strengths:

  • Abundant Raw Materials: India produces approximately 3 billion sq ft of leather annually.
  • Premium Skins: Certain varieties of goat, calf, and sheep skins from India command a premium position.
  • Eco-sustainability: The industry maintains a strong and eco-sustainable tanning base.
  • Modern Manufacturing Units: India's leather sector features modernized manufacturing facilities.
  • Skilled Workforce: The nation boasts a skilled and competitive workforce.
  • Institutional Support: India offers world-class institutional support for design, product development, human resource development, and research and development.
  • Global Presence: Indian leather products have a significant presence in major markets, primarily in Europe.

Study the article about Paper Industry in India here!

Government Initiatives

The Indian government has taken several proactive initiatives to support and enhance the leather industry, recognizing its significant economic and employment potential. These initiatives are aimed at developing infrastructure, increasing production, facilitating investments, and generating employment in the sector. Here's an explanation of some of the key government initiatives in the Indian leather industry:

Indian Footwear and Leather Development Programme (IFLDP):

  • Launched to promote the development of the leather and footwear sector in India.
  • It is a central sector scheme with a budget allocation of Rs. 1,700 crores (US$ 220 million) until 2026.
  • The program comprises six sub-schemes, each addressing specific aspects of the leather and footwear industry.

Sustainable Technology and Environmental Protection (STEP):

  • Part of the IFLDP, STEP focuses on sustainable and environment-friendly industrial and tanning activities.
  • It encourages practices that are linked to environmental concerns and mandates zero liquid and wastewater discharge in some states.
  • STEP provides assistance for the upgradation of Common Effluent Treatment Plants (CETPs) and supports the preparation of vision documents.

Integrated Development of Leather Sector (IDLS):

  • Aims to encourage entrepreneurs to diversify and set up new units in the leather sector, leading to improved productivity.
  • It supports the growth and development of various segments within the industry.

Establishment of Institutional Facilities:

  • This initiative focuses on the infrastructure upgradation of campuses of institutions like the Footwear Design and Development Institute (FDDI).
  • It ensures that institutions have modern facilities to impart quality education and training in the field.

Mega Leather Footwear and Accessories Cluster Development (MLFACD):

  • Launched to assist entrepreneurs by providing modern infrastructure, technology, training, skill development, and human resource development inputs.
  • The scheme aims to boost the production and quality of leather footwear and accessories.

Brand Promotion of Indian Brands in Leather:

  • This scheme aims to provide Indian footwear and leather manufacturers with international branding support.
  • It helps enhance the visibility of Indian leather products in global markets, promoting exports.

Footwear Sector and Development of Design Studios:

  • This scheme focuses on providing design support, technical assistance, and opportunities for employment and business in the footwear sector.
  • It encourages innovation and design excellence in Indian footwear production.

These government initiatives collectively work towards transforming the Indian leather industry into a global leader by fostering innovation, ensuring sustainable practices, and improving the overall competitiveness of the sector. They play a crucial role in promoting economic growth, generating employment, and boosting exports in this vital industry.

Also Read Cotton Textile Industry in India: Weaving Tapestry of Tradition!

A Promising Future

The Government of India has identified the Leather & Footwear Sector as one of the 12 Focus Sectors where the country can excel as a global supplier. The leather industry's focus now lies in enhancing its inherent strengths, ensuring compliance with international environmental standards, and fostering innovation and skill development.

In conclusion, the leather industry in India is not merely about products; it's a symbol of tradition, innovation, and global competitiveness. As it continues to expand and diversify, this industry promises a brighter future for both manufacturers and consumers.

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Leather Industry in India FAQs

India ranks second in footwear production, third in saddlery & harnesses, and fourth in leather goods exports, making it a pivotal player in the global leather industry.

The top importers of Indian leather and leather products include the USA, Germany, the UK, Italy, France, Spain, the Netherlands, China, Belgium, the UAE, Australia, Poland, Hong Kong, Denmark, Canada, Vietnam, and Portugal.

The CLE serves as the apex body for trade promotion in the Indian leather industry, facilitating industry development, market expansion, and acting as a liaison between the government and the sector.

India is the second-largest footwear producer and consumer globally, with an annual production of 2.58 billion pairs. Its extensive production has the potential to create numerous jobs across manufacturing, allied industries, and retail.

The industry has implemented sustainable practices, including zero liquid and wastewater discharge, to address environmental concerns.
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