Sunday 24 / November / 2024
Agra: Leather Luxury is a modest leather footwear enterprise in Agra, in northern India's Uttar Pradesh state, which produces around 200,000 pairs of shoes annually.
Despite being a relatively smaller enterprise, Leather Luxury exports thousands of its shoes to Dubai. Agra is home to a number of such small-scale units that contribute significantly to the nation's overall production and add greatly to India's leather footwear exports.
As international footwear brands look to source their production needs, and with many also looking to diversify outside of China, the world's current largest producer and exporter of leather, experts believe that Agra would fit the bill.
For example, in the immediate aftermath of the COVID outbreak, German shoemaker Von Wellx announced that it would shift its manufacturing operations out of China to Agra.
The local shoemakers, however, believe that the country's domestic industry is already vibrant, and a government push, in line with the mission of 'Atmanirbhar Bharat' will further multiply their manufacturing capacity.
"I expect that the Indian shoe industry will become very high in the coming times, maybe five to tenfold better than what it is today. If we get some more grants and aid from the government and more incentives, I think the shoe industry will grow more than what we are expecting today.", says Rajeev Koccher, Owner of Leather Luxury.
According to the Council for Leather Exports, the Indian leather industry's key development driver is the country's footwear market.
In addition to footwear, India also produces a wide range of leather goods, including wallets, belts, and other accessories.
Manufacturing units of leather products are spread all over India, with small-scale units popping up on a regular basis.
While the majority of total production is used to meet the country's domestic needs, India has historically been a major leather exporter.
With a shift in trade and political dynamics, exports have experienced a sudden boom. Even the pandemic had little impact on the leather industry.
During the first pandemic wave in 2020-2021, India exported 1.49 billion USD worth of footwear alone. The figures jumped significantly to 2.05 billion USD in the financial year 2021-2022.
Europe and America have been the traditional consumers of Indian footwear, however, with the growing demand for India's high-quality leather products, India has found new markets in other parts of the world as well.
Javed Iqbal, Regional chairman of the Council for Leather Exports, says, "Our export target is 10 billion USD, which is five times more than the existing export numbers. We are working on it and will hopefully achieve it. We have put forth a few demands with regard to taxation, duty-free (import). So, we have achieved a lot in this sector. "
India's leather industry is aiming to touch the 10 billion USD export mark within the next three years.
Experts and manufacturers say the Indian footwear industry is growing in both scope and size because it has become increasingly competitive.
The infusion of technology has catapulted the industry onto the global scene, where it is directly competing with major global brands.
Experts say the government's production-linked incentive scheme, PLI, in the leather industry, especially in the footwear sector, has the potential to bring great dividends. They further predict that India will be able to surpass China in exports.
For now, Indian leather products are catching up with the best of the global brands and are not only shining domestically but globally as well.
