Commerce Minister calls to raise leather exports to $ 7bn by 2010

22 Jul '05

4 min read

Shri Kamal Nath, Union Minister of Commerce & Industry, has called upon the leather industry to increase India's leather exports to US $ 7 billion by the year 2010 from the present level of US $ 2.3 billion and to boost production in the leather sector to US $ 14 billion within the next five years.

Participating in an interactive meeting with the leather industry, organised by the Council for Leather Exports (CLE) here this afternoon, Shri Kamal Nath said the effort should be to occupy at least 5% of world trade in leather within the next five years, as this would generate over one million additional jobs in the country.

“We have identified the leather industry as a 'Thrust Sector' in view of significant export growth prospects and enormous employment potential, particularly in semi-urban and rural areas. The Department of Industrial Policy & Promotion has a special Integrated Leather Development Programme for the leather industry, in order to modernise and upgrade it. We have sanctioned Rs.290 crore for this”, the Minister said.

A sum of Rs.71 crore had also been provided in last one year alone by the government to support industry initiatives for specific infrastructure development and environmental safeguard measures in different leather clusters across the country, he added.

Value-added leather products today constitute nearly 80% of India's leather exports, with footwear alone (both leather and non-leather) accounting for 36%, marking the transition of India from an exporter of raw hides and skins to a reliable source of value-added leather products.

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