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Made byMade by::--

AbhijeetAbhijeet kumarkumar

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Hides and skins are the basic raw materials for

the leather industry, which originate from thesource of livestock.

There was an upsurge in the number of bovine

animals and goats and kids during 1990-

2005,while population of sheep and lambs wason a decline. Developing countries accounted

for around 78% of the total population of

bovine animals and 93% of world population

of goats and kids in 2005.

Introduction

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Footwear

Hand bags.

Leather belts

Straps of watches

Jackets

Jeans and accessories.

The indian leather &

productsincludes-

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India is the largest livestock holding country -

21% large animals and 11% small animals.

A source for 10% world leather requirement.

About 2.50 million workforce (30% women)

Annual production value is over U$ 4 billion.

Some important facts

and figures

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Annual export value is over U$ 2 billion

Export growth CAGR 8.20% (2000-04)

Promising technology inflow and FDI

High priority to occupational safety and workenvironment

Compliance to environmental standards

Immense potential for future growth (domestic as wellas export)

Contd

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(Value in Million Rs)

Category April July April July % Variation

2006 2007

inished Leather 10723.76 9126.02 -14.90%

eatherFootwear 12923.24 13793.02 6.73%

ootwear Components 3161.39 3959.72 25.25%

eather Garments 4419.47 3970.4 -10.16%

eather Goods 10140.36 8956.96 -11.67%

Saddlery & Harness 1021.38 1361.52 33.30%

on-LeatherFootwear 698.4 771.36 10.45%

otal 43088 41939 -2.67%

Source : DGCI & S

exportreportof 2006-07

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Structure of indian

leather exportof 2006-07

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Russia being cold country has huge demand for

leather.

Russians dress very stylishly , prefer to buy one

expensive item rather than lot of cheap ones.

They follow Italy style of fashion as in Italy fashion

changes after every six months.

Some facts

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Currentindian leather

exportto Russia Indian leather

manufacturers exported

387,000 pairs of shoes

worth $900,000 to

Russia in the first half of

2010.

Over the first eightmonths of 2010,leather

and shoe manufacturing

grew by 10.9% and

23.4%.

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Contd

33 indian companies

producing leather

bags,clothing,footwear

and accessories went to

Russia for exhibition.

There is huge demand

for indian leather duehigh demand in

germany,Great Britain,

and Italy.

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Major problems Chinese competition.

Environmental issues.

Impact of PETA(People

for Ethical Treatment of

Animals).

Cost Escalation.

Standard Processing.

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Possible solutions

Shifting of

manufacturing base.

Government support.

Investment by large

corporates.

New markets.

Diverse marketing

techniques.

Fairs and exhibitions.

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With its rich resource base of raw hides, skins and

human capital, Indian leather industry has the

capability to increase its share in global leather trade.

At present, Indian leather exports account for 3% of

the global trade with USA, Germany, UK and Spain as

major markets. The country has a lot of potential to

increase its share in these markets by utilizing itsunique advantage of economies of scale and the

capability to produce niche products

We have the potential

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Thank You..