According to DGCI&S data, India’s leather, leather products and footwear exports reached $4.75 billion in FY2025-26, a marginal decline of 1.66% compared to $4.83 billion recorded in FY2024-25.
Even though total exports went down slightly, the detailed segment data shows a mixed picture. Some traditional product categories have declined, while other product categories have shown growth.
Segment Performance (All values are in USD)
| Segment | FY 2024-25 ($) | FY 2025-26 ($) | YoY Change (%) |
|---|---|---|---|
| Leather Footwear | $2.01 Billion | $1.95 Billion | -3.03% |
| Leather Goods | $1.32 Billion | $1.25 Billion | -5.00% |
| Leather Garments | $353.82 Million | $416.29 Million | +17.65% |
| Finished Leather | $446.68 Million | $399.08 Million | -10.65% |
| Non-Leather Footwear | $252.92 Million | $261.97 Million | +3.58% |
| Footwear Components | $244.17 Million | $253.38 Million | +3.77% |
| Saddlery & Harness | $205.39 Million | $220.38 Million | +7.30% |
| TOTAL | $4.83 Billion | $4.75 Billion | -1.66% |
Note: Leather Gloves data does not appear as a separate commodity in DGCI&S export records. We believe Leather Gloves figures are included within the Leather Goods segment. We will update this if separate data becomes available.
In rupee terms total exports actually grew 2.62% from ₹40,845 crore to ₹41,914 crore in FY2025-26
Leather Footwear remained the largest export segment at $1.95 billion, though it declined 3.03% from the previous year.
Leather Goods, the second largest segment at $1.25 billion, fell 5.00%.
Finished Leather recorded the steepest drop at 10.65%, closing at $399.08 million.
On the positive side, Leather Garments emerged as the standout performer with 17.65% growth, reaching $416.2 million.
Saddlery & Harness grew 7.30% to $220.3 million.
Footwear Components and Non-Leather Footwear posted modest but steady gains of 3.77% and 3.58% respectively.
The FY2025-26 numbers cannot be read without context. Indian exporters faced one of the most disruptive external environments in recent years.
The US reciprocal tariff shock was one of the defining events of the year. From the end of August 2025, Indian exporters faced steep duties of 50% on goods entering the United States. The pressure lasted nearly 5 months before a breakthrough came on February 3, 2026, when the White House announced a duty reduction.
The West Asia crisis added another layer of pressure at the end of the financial year. Exporters reported freight costs climbed as vessels rerouted away from the Red Sea and Gulf region, adding 15 to 20 days to transit times for Europe and the US via the Cape of Good Hope.
Despite the headwinds, there are structural positives building. The Council for Leather Exports (CLE) has pointed to recent and ongoing trade agreements with the USA, EU, UK, EFTA countries, New Zealand and Oman as significant long-term opportunities to boost exports, attract investment and strengthen the supply chain.
The 1.66% decline in FY2025-26 is not a collapse. It is an industry that absorbed extraordinary external shocks and held close to its previous year numbers. The growth in Leather Garments, Saddlery & Harness and Footwear Components signals that Indian exporters are moving up the value chain even as traditional categories face pressure.
Detailed segment-wise breakdowns covering destination countries, top markets and trade trends will be published over the coming days as part of Leathernews.org’s FY2025-26 Export Intelligence Series.
