>>
Home / Knowledge / News / Textiles / Leather sector trapped in quagmire of troubles

Leather sector trapped in quagmire of troubles

30
Dec '08
The booming leather industry in India is going through a difficult phase due to the ongoing recessionary trends prevailing in the global markets. To make matters worse, the industry in India is also facing stiff competition from its Asian neighbours like China and Vietnam.

The slowdown in the global markets, rising production costs and the credit crunch are creating a sense of insecurity among the leather exporting community. To top it all, they are also not able to upgrade their machinery to compete with other Asian countries due to the prohibitively high interest cost.

According to sources, Kanpur which is the hub of leather manufacturing in the country, has been affected the most. Most of the small units which used to process orders on behalf of the exporters have either shut down or are operating at low capacities and in the process creating unemployment in the industry.

The biggest stumbling block in the global markets according to experts is that the Chinese government is paying up to nearly 14 percent in export subsidies to its leather exporters compared to 8 percent in India. China also has a competitive advantage in producing large volumes at low prices.

According to experts, the Indian leather industry is perfectly capable of manufacturing quality leather and goods, but is not able to take advantage of the fact due to constraints in technology, shortage of skilled labour and more so because of a fragmented industry base which is made up of small and medium size units.

The experts cite the high prices of fuel in the Indian market as a cause of concern for the industry. Despite prices of crude falling to four year lows, the prices of fuel in the Indian markets are yet to be lowered which in turn adds to production costs and in turn makes the exporters un-competitive in global markets.

The leather industry as a whole provides employment to nearly 2.5 million people in India and is also one of the biggest foreign exchange earners in the country. Experts aver that if the government does not intervene in the development of the sector it could lead to severe repercussions and large scale unemployment.



Fibre2fashion News Desk - India


Must ReadView All

Pic: Shutterstock

Textiles | On 19th May 2022

Vietnam needs to shift economic model to reach high-income status: WB

For Vietnam to realise its aspiration for reaching high income status ...

Pic: Shutterstock

Textiles | On 19th May 2022

IPEF to help enhance economic ties with Indo-Pacific nations: US

The Indo-Pacific Economic Framework (IPEF) proposed by the United...

Pic: Shutterstock

Textiles | On 19th May 2022

EU economy grows in Q1 2022, pace slightly slower than Q4 2021

The EU economy continued to grow in the first quarter of 2022, but at ...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Ensured payment of fee was least concern for students

Textile Industry, Head honchos

Textile Industry
Head honchos

Luxury is not just about high prices but ability to create desire

Textile Industry, Head honchos

Textile Industry
Head honchos

Fabric selection & recommendation based on client's brief

Ralph Tharpe,

Ralph Tharpe

The White Oak Legacy Foundation (WOLF) is dedicated to the history of...

Virginia Zingone,

Virginia Zingone

Italian Kids Brands (IKB) is the first showroom completely dedicated to...

Melissa McDermott,

Melissa McDermott

<span style="font-size: 12px;">Blue Bite was created to deliver the best...

Brad Holschuh, Wearable Technology Lab, University of Minnesota

Brad Holschuh
Wearable Technology Lab, University of Minnesota

A new study led by researchers at the University of Minnesota's Design of...

Serkan Gogus, Mogul Nonwovens

Serkan Gogus
Mogul Nonwovens

Mogul is a global player ranked among the top 40 nonwoven producers in the ...

Johann-Philipp Dilo, Dilo Group

Johann-Philipp Dilo
Dilo Group

German company Dilo Group is one of the leading equipment suppliers of...

Rocky Star, Label - Rocky Star

Rocky Star
Label - Rocky Star

<b>Rocky Star,</b> an Indian designer known for his inspiration from the...

Dahlia Razzrook, Label - Dahlia Razzook

Dahlia Razzrook
Label - Dahlia Razzook

London based designer, <b>Dahlia Razook</b> known for her luxury...

Prakruti Gupta Rao & Navin Rao, Brand - The Kaftan Company

Prakruti Gupta Rao & Navin Rao
Brand - The Kaftan Company

The Kaftan Company (TKC) is India’s most recognised brand for kaftans,...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments

ESTEEMED CLIENTS

IIGM Private Limited
Pt. Peraga Nusantara Jaya Sakti
Mayer & Cie. GmbH & Co. KG
Restoque S.A.
TESCO INTERNATIONAL SOURCING LIMITED
SHAHI Exports Pvt Ltd
Tommy Hilfiger
MAS Active / MAS Kreeda / MAS Bodyline
T.T. Limited
C;&A Sourcing International Ltd
Esprit Europe Services GmbH
TESTEX AG, Swiss Textile Testing Institute
G.A.S. unternehmenskommunikation gmbh
Messe Duesseldorf
Shanghai  Aige Exhibition Service Co., Ltd
Alison Hayes Romania
Asos
Sportmaster Ltd.
Comasia Limited
International Textile Manufacturers Federation
Brandix Lanka Limited
Rayonese Textile Inc., Division de Culp Inc.
Italian Trade Commission
International Sourcing Expo Australia
Lisa S.P.A.
Bluestem Global Sourcing Limited
Green Fibre
Thermore (Far East) Ltd.
Bluesign Technologies Ag
THE BOMBAY DYEING ;& MFG.CO. LTD
Nandan Denim Limited
Guess Europe Sagl,
Landmark Group
Inter Expo Center Ltd.
Xtema - Thomas Lebherz Textilmaschinen
Helly Hansen Far East Ltd
EUROVET ASIA LTD
Applied DNA Sciences Inc
Eastman Chemical Company
Color Service s.r.l.
Woolmark Services India Pvt. Ltd.
Thai Trade Center
Stahl Holdings B.V.,
Officina Meccanica Dora Enrico Srl
Target Corporation (MN)
Palexpo SA
EMBEE CORPORATION
Page Industries Limited (Bangalore)
The Top Form Brassiere Manufacturing Company Limited
DuPont de Nemours, Inc.,
Lacoste (Wanchai)
Kern – Liebers Textile
Gap International Sourcing Limited
Datatex Consulting Srl
Desigual - ABASIC, S.A.
VNU Exhibitions Asia
Datacolor AG Europe
G-Star Raw C.V.
GIOVANNI BOZZETTO S.p.A.
Maceton Limited
Thai Acrylic Fibre Company Limited
Itema Weaving (India) Private Limited
BIRLA CENTURY A DIVISION OF CENTURY TEXTILES AND INDUSTRIES
DyStar India Pvt. Ltd
John Varvatos
Hela Clothing Pvt Ltd
Mesdan SPA
Aramark Uniform ;& Career Apparel, LLC
GERBER TECHNOLOGY LTD.
BIANCA
J ;& P Coats
Gokaldas Exports Limited
Centric Software
HYOSUNG CORPORATION INDIA PRIVATE LIMITED
Lifestyle
Seasalt Limited
K AND D ITMACH EXPOSITIONS LLP
Indo Tex
The LYCRA Company Singapore  Pte. Ltd
Reiter India Private Limited
Aleph Srl
Rieter India Private Limited
Cat Tuong Real Estate Group Joint Stock Company
Dow Silicones Corporation
China World International Exhibition Company Limited
Splash
KAS Direct Sourcing
IFF Media Ag - International Media Services
Equinox Impex India
GHCL LIMITED
Shima Seiki Mfg. Ltd.
BRINKMANN GMBH
UBM China (Shanghai)
Boardriders Asia Sourcing Limited
Grasim Industries Limited
LC Waikiki
IKEA of Sweden AB
Lenzing Aktiengesellschaft - India
Zydex Industries
Loris Bellini S.r.l.
Weitmann & Konrad GmbH & Co. KG
Saurer Textile Solutions Pvt. Ltd.
IDH – The Sustainable Trade Initiative
Meera Dyestuff Industries
Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)
Huntsman (Singapore) Pte Ltd
JES MEDIA, INC
Walmart
Haelixa AG
Messe Frankfurt Exhibition GmbH
Recron Polyester from Reliance Industries Limited
Copenhagen Fashion Summit
Jindal Worldwide Limited
Aquarelle Clothing Limited
Truetzschler India Private Limited
X-Rite Asia Pacific Limited (HK)
Gloria Jeans
H. Stoll AG & Company KG
Puma
Savio Macchine Tessili S.P.A.
Groz-Beckert KG
Karl Mayer Textilmaschinenfabrik GmbH
Performance Days
Tradewind International Servicing
ZAITEX spa
NV Michel Van de Wiele
Rosset ;& Cia Limited
Alix Partners
COTTON COUNCIL INTERNATIONAL
BTSR International S.P.A.
BTC Textiles LLC
FESPA (Reigate)
Etam Group Strategy Hong Kong Limited
Taiwan Textile Federation (TTF)
BIMBA ;& LOLA SL
Calvin Klein
Lectra Technologies India Pvt Ltd.
EPCH
SUZHOU TUE HI-TECH NONWOVEN MACHINERY CO.,LTD
Abit
APLF Limited
Indofil Industries Limited - Specialty & Performance Chemicals Division
The LYCRA Company Singapore  Pte. Ltd
SYNERGIES HONG KONG LIMITED
FULGAR SpA
Chico’ FAS
Coats Digital Limited
PVH Corporation
TEXVALLEY MARKET LIMITED
Hirdaramani International Export Private Limited
Infor (Hong Kong) Limited
Brückner Trockentechnik GmbH & Co. KG
KIABI
Colours India Inc
Zünd Systemtechnik AG
Groz-Beckert East Asia LLP
CGS Inc.
Arvind Limited
Tchibo GmbH
Eurofins BLC Leather Technology Centre Ltd
Jiangsu Yingyang Nonwoven Machinery Company Limited
NITI Aayog
Gatsby Africa
Deckers Outdoor (Guangzhou) Consultant Co., LTD.
Midas Clothing Limited
Under Armour Global Sourcing Ltd
Tuyap Tum Fuarcilik Yapim A.S.
Lottmann Communications
TÜYAP IHTISAS FUARLARI A.S.
Nihalani Events Management
CSGIA(China Screen Printing & Graphic Imaging Association)
Istanbul Fuarcilik A.S.
H;&M Hennes ;& Mauritz (Far East) Ltd
Decathlon
Sateri (Jiujiang) Fiber Co.,Ltd
Amazon China
Lululemon Athletica Inc
Vianney Textil Hogar S.A. De C.V.
Sainsbury's Argos Asia Limited
USTER
Recron Polyester from Reliance Industries Limited
Lenzing Aktiengesellschaft
Permoda(Koaj/Armi/Pronto/Bkul)
N9 World Technologies Private Limited
Tory Burch Hong Kong Ltd
ITMA Services Pte Ltd
Varner AS Retail
Sportswear Company Spa
Benetton Group
Phong Phu international JSC (PPJ)
Flainox S.r.l.
Marzoli Machines Textile s.r.l.
Vardhman Textile Ltd
OVS Hong Kong Sourcing Ltd.
Kornit Digital Asia Pacific Ltd
Newtech Textile Technology Development (Shanghai) Company Limited
Babyshop
Chori Company Limited

May 2022

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search