India’s leather and footwear industry is on a strong growth path this year. Exports of leather, non-leather footwear, and related products grew by nearly 25% in 2024-25, already reaching USD 5.7 billion.

The Council for Leather Exports (CLE) is confident that shipments will go past USD 6.5 billion by the end of this fiscal.

Demand is rising steadily from both developed and developing countries. Exporters say markets like the US and the UK continue to show strong interest in Indian products.

“In 2024-25, we have exceeded the exports target by USD 1 billion set up by the department of commerce and going by this trend, our exports will cross USD 6.5 billion in 2025-26”

R Selvam, Executive Director, Council for Leather Exports

Despite global economic challenges, the sector remains resilient. Exporters are adjusting to international tariffs by offering discounts to maintain orders.

“From April 14-15, the situation is normal. We have suggested ‘zero-for-zero’ duty to the government in the proposed bilateral trade agreement with the US”

Rajendra Kumar Jalan, Chairman, Council for Leather Exports

Order volumes for the coming months are looking promising, with high demand from the US and UK markets.

The leather and footwear sector is a key employer, supporting around 42 lakh workers in India. The total value of this industry stands at USD 19 billion, out of which USD 5 billion comes from exports alone.

By 2030, the industry aims to double in size. Projections show a potential turnover of USD 39 billion, with domestic production contributing USD 25 billion and exports making up USD 13.7 billion.

Meanwhile, Chinese investors are also showing interest in India’s footwear manufacturing sector. Many are exploring partnerships with Indian firms to set up new units.

Source – The Economic Times