subject: Leather Industry - India Fostering Growing Sectors [print this page] Leather Industry - India Fostering Growing Sectors
The nation of 1.1 billion is finally being taken seriously by the big players on the world economic stage, namely the United States and China. With a young population, a solid private sector and a stable democratic government, India is in the spotlight and it's predicted that in 2040 it will have the third largest economy. Granted, there were many problems to address, but economic growth in India has been so impressive since major reforms took hold in the early 1990s that it's unlikely that this South Asian tiger's roar will easily be silenced, or even lowered.
Performance of industries in general and select industries like salt, cement, leather, tyre and rubber, paper and pulp were being considered to be growing tremendously with various initiatives taken by Government of India and investment in the sector by private players will surely deliver bottom line results in coming years.
Indian Leather Industry: Employment and Growth
The post liberalization era has opened up surfeit opportunities for the Indian leather industry. With global players looking for new sourcing options which in addition to China, India stands to gain a bigger share of the global market. Leading brands from the US and Europe is either importing or planning to source leather and leather products from India.
India which has around 3% share in the global trade in leather compared to China's 20%. Realizing the growth potential of the leather industry which occupies a prominent place in the Indian economy, the Government of India has been making significant efforts to promote rapid advancement of the industry. With generous export earnings, employment potential, growth and being the 10th largest sector among the Indian manufacturing sector it employs 2.5 million people and provides employment to weaker sections/minorities, of which about 30% were women.
The Leather Industry occupies a prominent place in the Indian economy, in view of its substantial export earnings, employment potential and growth. Leather and its products were amongst the top ten export earners for the country and is the 10th largest among the Indian manufacturing sector.
The Indian Leather industry is organized as tanning and finishing, Leather garments, Leather goods etc with Kanpur, Agra, Kolkata, and Chennai were among the major production clusters. India has vast natural resources of raw hides & skins due to which the export of leather products from India has undergone a structural change resulting in increased exports of various leather products.
