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Published
Jun 3, 2020
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Government names leather, footwear as key sectors for development with ‘Make in India’ campaign

Published
Jun 3, 2020

The government has named leather and footwear as one of the three main product categories it intends to uplift, as part of its ‘Make in India’ campaign, and is considering investment proposals.

The government intends to promote the leather footwear industry as part of its Make in India


The government is considering Make in India investment proposals totalling between $16 billion (Rs 1.2 lakh crore) and $17 billion, TNN reported.

The government would distribute the funding across proposed sectors with the aim of increasing domestic production. Customs duty on certain imports could be raised as a way of partially procuring the funds, TNN reported. 

“To increase manufacturing, ‘Make in India’ and employment, priority sectors have been identified and work has started in three- furniture, air conditioner, and leather and footwear,” prime minister Narendra Modi said, at the recent annual session of the Confederation of Indian Industry, TNN reported.

“Just in case of air conditioners, we import over 30% of our demand. We need to reduce this quickly. Similarly, we have a small share in global exports, despite being the second-largest leather producer.”
 
A further $1 billion has been suggested to ameliorate the leather footwear industry, in order to improve the quality of products and attract global investors, sources told the Times of India.

The government aims to increase domestic production once the coronavirus crisis subsides and has held talks on how to facilitate this, the Minister for Commerce and Industry Piyush Goyal told the Times of India. 

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