Leather Industry of India

The leather industry in India holds a very prominentfor 2000-2009 has identified the leather sector as a
place in the Indian economy. The leather and leatherfocus sector in view of its immense potential for
products industry is one of the oldest manufacturingexport growth and generation of employment
industries in India. The Indian leather industry providesgeneration prospects.
employment to about 2.5 million people in the countryInvestment opportunities in the leather industry lie in
and has an annual turnover of approximately US$different segments related to the industry, which
5,000,000.include tanning and finishing of leather products,
The industry has a massive potential for providingmanufacturing of leather garments, manufacturing of
more employment, growth, and exports. Recently,leather footwear and footwear parts, and
the exports of leather and leather products havemanufacturing of leather goods, such as harness and
gained massive momentum. The exports of Indiansaddlery amongst a host of other opportunities.
leather goods have registered phenomenal growth.Amongst all the industries mentioned above the
This is mainly because great emphasis has beenfootwear industry in particular holds greater potential
placed on the planned development of the leatherfor investments in India. India produces approximately
industry and at the optimal utilization of available raw700 million pairs of leather footwear every year and
materials.accounts for an 18% share of the total Indian leather
Over the years the leather industry in India hasexport.
undergone drastic change from being a mereAfter footwear manufacturing of leather goods
exporter of raw materials in the early 60's and 70'spromise great investment opportunity. Manufacturing
to now becoming an exporter of finished,of leather products, such as wallets, travel wares,
value-added leather products. The main reason behindbelts, and handbags offer great returns on
the transformation is the several policy initiativesinvestment.
taken by the government of India. The proactiveIndia is one of the best destinations in the world for
government initiatives have yielded quick andinvesting in the leather industry because India is
improved results. Thanks to the government effortsendowed with abundant raw materials required for
today, the Indian leather industry has attained athe industry to grow. India has a huge population of
prominent place in the Indian export and has madecattle. India accounts for 21% of the world's cattle
the industry one of the top 7 industries that earnsand buffalo and 11% of the world's goat and sheep
foreign exchange for the country.population. Apart from the easy availability of raw
Since India adopted the globalization and liberalizedmaterials, investors are able to enjoy an easy and
economic policies in 1991, the leather industry hasabundant supply of skilled manpower, world-class
flourished consistently in several ways and hastechnology, competent and favorable environmental
contributed heavily to the Indian exchequer. Thoughstandards, and the devoted support of allied
the industry has developed, it still has great potentialindustries.
for more growth and investments. Investing in IndianSeveral leading international leather goods
leather industry is particularly advantageous becausemanufacturing brand names, such as Hugo Boss,
the industry is poised to grow further and achieve aTommy Hilfiger, Versace, Guess, and DKNY, have
major share in the global trading market.invested in India and are engaged in sourcing leather
The government of India in its Foreign Trade Policygoods from India.