The leather industry is a major contributor to the Indian economy, generating over 2.5 million jobs. India is one of the largest producers and exporters of leather and leather products globally. It is the second largest producer of footwear and leather garments, and third largest producer of saddlery and harness items. However, the industry faces threats from environmental regulations, rising competition, and dependence on imports. To sustain long-term growth, the industry needs to invest in modern production technologies and develop the domestic market.
Tanneries and leather industries in pakistanSakina Rubab
This slide share encloses introduction,history,present status of the leather industry in Pakistan.Most important is the process from raw skin/hide to leather or finished product.Problems,their possible solutions and the scope are also discussed.Hope you find it helpful.
Tanneries and leather industries in pakistanSakina Rubab
This slide share encloses introduction,history,present status of the leather industry in Pakistan.Most important is the process from raw skin/hide to leather or finished product.Problems,their possible solutions and the scope are also discussed.Hope you find it helpful.
We, the students of Indira Institute of Management, Pune have discussed the International and Indian views on Leather Industry. We discussed the major initiatives taken by the Indian Government for the Leather industry and have suggested leather substitutes in it.
Reference - www.ibef.org
September 2015 Edition of BEACON, A Monthly Newsletter by SIMCON.
Inside this issue:
About Us
Our Team
INDUSTRY ANALYSIS : Textile Industry
COMPANY ANALYSIS : Arvind Mills
BRAND ANALYSIS : MTV
Concept of the month: Market Share Paradox
Event Report : Consulting Induction Program
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The results revealed the present status of their operations
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3. Leather is one of the most widely-traded
commodities globally. The growth in
demand is driven by the fashion industry,
especially footwear, furniture and interior
design, and the automotive industry,
among others.
Indian Leather Industry is the 5th
largest in the
world.
The exports from the Indian leather sector
earn Rs. 1,06,910 million and provide direct
employment to more than 2.5 million
people.
4. The leather and the leather products sector
has been identified as one of the unique
sectors which has the advantage of both
value addition and export potential
The major markets for Indian leather
products are Germany, Italy, the UK, the US,
Hong Kong, Spain, France, the Netherlands,
the UAE, Portugal and Belgium.
For the period 2007-08 to 2011-12, India's
leather exports grew at a rate of 8.2 per
cent, reaching US$ 4.86 billion in 2011-12.
6. The Council for Leather Exports (CLE) is
an autonomous, non-profit organization,
which is entrusted with export promotion
activities and development of the Indian
leather industry. About 2,400 that
manufacture/ export leather and leather
products are members of the Council.
7. Own raw material source - 21% of world cattle &
buffalo and 11% of world goat & sheep population
are housed in India.
2 Billion sq. feet of leather produced annually.
2nd largest producer of Footwear and Leather
Garments.
3rd largest producer of saddlery and harness items.
Generating employment for 2.5 Million people,
mostly from the weaker sections with 30% women
predominance.
Nearly 60-65% of the production is in the small / micro
sector.
14. Strengths:-
•Uniqueness of Leather
•Fashion Choice
•Fine Quality of Skins
•Abundance of Human Resource
•Easily Accessible Raw Material
•Prevalence of Production Chain from Village to
Fashion
•Policy Support from the Government
•Encouragement by International-Development
Agencies
15. Weakness:-
•Traditional Processing Technology
•Dependence on Imported Machines and
Components
•Inadequate Internal Demand
•Pollution Problem
•High Degree of Subjectivity in Quality Assessment
and Grading
•Widely Dispersed Units
•Insufficient Enterprising Attitude of the Industry
•Poor Database
•Technology Management and Financial Problems
16. Opportunities:-
•Incentive from the Government
•Advances in Modern Biology, Genetics,
Chemical Engineering, Computers and
Electro polymer Science
•Opulence of Synthetic Support Materials
•Preference for Indian Leather –The Goodwill
factor
17. Threats:-
•Environmental Pollution may force closure of
Tanneries unless relocated to a specified cluster
•Liability Aspects of Pollution
•High Price of Leather & Leather products
•Inelastic Supply of Raw Material
•Perpetual Dependence on Western Market
•Rising Aggressive Competition from International
Players
•Challenges from Synthetics
18. CONCLUSION:
Back in 1970s, the Indian leather industry was one of the
major contributors of the Indian economy. It not only had
reasonable share in the GDP but was generating many
employment opportunities for its citizens. To be more
precise and accurate on quantitative data we have divided
the leather industry into two major categories i.e. the
leather processing sector and the leather goods
manufacturing sector
19. Investment in leather goods manufacturing sector of
leather industry is producing many types of leather goods
i.e. shoes, sandals, bags of all kinds, leather jackets,
leather hats, covers for many articles etc. Historically,
leather jackets, traditional shoes and traditional hats called
Karakul were produced in the country .Overall analysis
shows that huge investment opportunities exist to be
availed by existing and new firms. History shows that the
industry was highly profitable while access to domestic and
international markets. All needed is the implementation of
a well studied and formulated action plan by the investors
to yield generous profits and sustain long-term growth.
20. REFERENCES:-
•Council for Leather Exports (CLE)
•website: www.leatherindia.org
•ll India Skin and Hide Tanners & Merchants Association
(AISHTMA)
•website: http://www.aishtma.com
•indian Finished Leather Manufacturers & Exporters
Association (IFLMEA)
•website: http://www.iflmea.net/svs.aspx
•indian Footwear Components Manufacturers Association
(IFCOMA)
•website: www.ifcoma.org
•indian Leather Products Association (ILPA)
•website: http://www.ilpaindia.org
•indian Leather Technologists’ Association (ILTA)
•website: http://www.iltaonleather.com/
•central Leather Research Institute (CLRI)
•website: www.clri.org