India rank on 6th position in the world’s leather exports after Germany. Indian leather exports amounted to USD 823 million in 2017, with maximum leather products of buffalo animal were supplied by the country. The share in value of leather goods made up of buffalo animal recorded 38.75% in the said year. As per report on leather exports of India, the highest leather shipments departed from Tamil Nadu state, which shared 51.98% value to total India’s leather exports. Here is an overview of India’s leather export market (state-wise) with trade figures recorded in year 2017.
- Tamil Nadu: 51.98%
- Uttar Pradesh: 37.98%
- West Bengal: 3.92%
- Maharashtra: 2.76%
- Himachal Pradesh: 1.32%
Main leather exports comprise of skins and hides such as buffalo, cow, goat, sheep nappa and wet blue. Purses, leather gloves, handbags, garments, footwear, briefcases and wallets are some of the products exported from India. Chennai in Tamil Nadu, Kanpur in Uttar Pradesh, Mumbai in Maharashtra, Delhi, Agra, Sonepat, Ludhiana, Kolkata, Pune, Ernakulum and Calicut are the major production centre in India. Let’s have state-wise analysis of export of leather goods from India with trade figures recorded in 2017.
Top 5 Indian States of Leather Exports in 2017
Tamil Nadu is the largest leather producing state in India and net leather goods supplier state of India, which recorded maximum shipments departed from the Chennai Airport. It shared 51.98% value to total leather exports in 2017. This Indian state exported leather goods worth USD 428 million in the said year.
Animal Name: Leather goods manufactured from skins & hides of goat recorded the highest export shipments from the Tamil Nadu state. From total 51.98% leather export share of Tamil Nadu, leather of goat animal shared 23.25% value in 2017. India supplied goat leather goods worth USD 191 million in the said year.
Indian Port: The highest number of leather shipments departed from Tamil Nadu’s Chennai Airport, which accounted 38.79% share in value during 2017. Leather manufacturing companies in India shipped leather goods worth USD 319 million from this port in the said year.
Foreign Country: The highest number of leather shipments from Tamil Nadu, India departed to Hong Kong in 2017. From the state’s total share in value of 51.98%, Hong Kong recorded 17.80% share in value. Tamil Nadu shipped leather goods worth USD 146 million to Hong Kong in the said year.
Uttar Pradesh stood as the 2nd largest India state of leather exports. It shared 37.98% value to total India’s exports of leather products. This state supplied leather goods worth USD 312 million in 2017.
Animal Name: Uttar Pradesh exported leather goods manufactured mostly from buffalo animal in 2017, which accounted 35.61% shared in value. It recorded USD 293 million export value in the said year.
Indian Port: Among ports of Uttar Pradesh, Panki ICD recorded the highest leather export shipments of USD 77 million recorded in 2017. It shared 9.39% value to total India’s leather exports.
Foreign Country: Hong Kong, Italy, China, Vietnam, Malaysia, Spain, Indonesia and Korea are biggest leather markets for Uttar Pradesh.
West Bengal is the 3rd largest leather exporting state of India. The leather exports from this state stood at USD 32.29 million which represented 3.92% of the total leather exports.
Animal Name: The leather prepared from goat and cow skins are majorly exported from West Bengal to other countries and recorded 2.34% and 1.26% share value of total leather exports.
Foreign Country: Hong Kong, Italy, China, Vietnam and Korea are the largest countries from where leather is exported from this state.
Maharashtra is one of the largest leather exporting states of India. The leather exports from this state stood at USD 22.74 million and represented 2.76% value of the total output.
Animal Name: From this state, leather prepared from rawhide skins of cow, goat, sheep, buffalo, cow calf and bovine are exported.
Foreign Country: Hong Kong, Italy and China are biggest countries from where leather is exported from this state.
Himachal Pradesh is also known for its leather export business. Leather exports from this state recorded USD 10.89 million which represented 1.32% of the total value.
Animal Name: Buffalo calf, buffalo, cow and cow calf are the animals from which leather is prepared to export.
Foreign Country: The maximum leather shipments from this states are exported to Hong Kong, China, Indonesia and Germany majorly.
Council for Leather Exports of India
The Council for Leather Exports (CLE) of India is an autonomous non-profit organization, which is entrusted with export promotion activities of leather goods and the development of the Indian leather industry. Around 3.500 companies who are manufacturing/exporting leather and leather products are members of the Council.
Leather Export Market of India in 2017
Indian leather industry currently is one among the 8 largest industries for export revenue generation in India. It has become biggest livestock producer in the world with total capacity of 1.8 billion square feet of leather production annually. The industry of leather in India has the credit of being one of the oldest manufacturing industries catering to the worldwide market from the 19th century. It has developed to a large extent and is the second largest producer next to China. It occupies a prominent place in the Indian economy in view of its massive potential for growth, employment and exports. Today, India produces approx. 700 million pairs of leather footwear every year and accounts for an 18% share of the total Indian leather export. So, leather footwear export from India accounts for the largest share of leather exports in India.
To boost footwear industry, the government of India has come up with the following initiatives:
- Footwear industry in India is now de-reserved and de-licensed, which provide expansion of capacities on modern lines with state-of-the-art machinery.
- Government has also permitted 100% Foreign Direct Investment (FDI) through the automatic route for the footwear sector. Nearly 75% of the leather products are exported to the European Union and the United States of America.