India's manufacturing-based export of leather, leather products, and footwear increased by 5.25 per cent in terms of the rupee during Aril-October period of the current fiscal as compared to the last corresponding period, the Lok Sabha was informed on Thursday.
"As per the information received from Council for Leather Exports (CLE), the manufacturing based export of leather, leather products and footwear from India increased. During the current year, exports showed an increase of 5.25 per cent in rupee terms as compared to the same period last year," stated Minister of State of Commerce and Industry C R Chaudhary in a written reply.
India exported leather, leather products and footwear of Rs 217505.94 million in April-October period of 2017, which went up to Rs 228929.42 million during the current year's corresponding period, thus registering a growth of 5.25 per cent.
"Leather industry occupies a prominent place in the industrial map of the country. India is the second largest producer of footwear, second largest exporter of leather garments, the fifth largest exporter of leather goods and third largest exporter of saddlery and harness items," said the minister in the written reply.
According to the minister, Uttar Pradesh and Maharashtra are major production and export centres of leather, leather products, and footwear. As per the membership records of CLE, Uttar Pradesh contributed a share of 31.35 per cent in total exports of leather, leather products and footwear from the country while Maharashtra contributed 2.28 per cent during 2016-17.
As per information received from Council for Leather Exports (CLE), the manufacturing based export of leather, leather products and footwear from India increased from USD 5.65 billion in 2016-17 to USD 5.74 billion in 2017-18, growing by 1.65 per cent. "The exports showed a decline of 9.84 per cent and 3.56 per cent in dollar terms during 2015-16 and 2016-17 respectively," he further said.
"The major reasons for the decline in exports are due to external factors, namely, recession in the major market of European Union, to which about 55 per cent of exports are directed, instability in middle-east, stiff competition from polyurethane garments to the leather garments segment, decrease in demand of non-leather footwear in African countries due to emergence of production centres in those countries and competition from China and decrease in global imports of finished leather," added the minister in the reply.
Disclaimer: No Business Standard Journalist was involved in creation of this content