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EU, US crises fail to dampen Indian leather item exports
Nov '11
In spite of difficult market conditions in major export markets like the EU and the US, India witnessed a five percent rise in its leather and leather items exports during the initial six months of current fiscal.

As stated by the Council for Leather Exports (CLE), leather exports grew by 4.87 percent to US$ 1,772 million during April-September period, as against exports worth US$ 1,690 million achieved during corresponding period of last fiscal.

While exports of segments like garments, footwear and leather goods grew positively during the review period, exports of segments like non-leather footwear, finished leather and footwear components depicted a fall during the period.

Footwear exports, which majorly contribute to country's leather exports, increased by five percent to US$ 683 million during the period, up from exports worth US$ 647 million achieved during the corresponding period of last year.

Leather garment exports, too, grew by eight percent from last year's US$ 183 million to US$ 199 million this year, while leather goods exports grew by 11 percent to US$ 413 million.

Around 74 percent of India's leather and leather item exports are towards the US and the EU, and hence the unforeseen crisis in these markets is a cause of concern, in the context of leather exports in the forthcoming months. Moreover, the fall in value of rupee in terms of US dollar is also likely to impact the value of exports.

Fibre2fashion News Desk - India

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