Despite recent global trade tensions and calls from U.S. President Donald Trump for companies to manufacture domestically or face tariffs, India’s export of non-leather footwear and leather products to the United States remains unaffected, according to the Council for Leather Exports (CLE).
The U.S. stands as India’s largest market in this sector, accounting for nearly 19.5% of the country’s global non-leather footwear and leather exports, which totaled $4.3 billion in the fiscal year 2024. This translates to approximately $835 million in exports to the U.S.
R. Selvam, the Executive Director of CLE, during the press meet on Friday the 31st of Jan, 2025 highlighted that the current global trade environment presents a significant opportunity for India.
Many international brands are relocating their manufacturing bases from China due to ongoing trade tensions between the U.S. and China. Manufacturers from Taiwan are also shifting operations to India, enhancing the country’s position as a production hub.
The U.S. imports approximately $34 billion worth of non-leather footwear and leather products annually from various countries, but India’s share in this market is relatively small at about 1%.
Selvam pointed out that the U.S. is unlikely to produce these goods domestically to meet its demand, which suggests a continued reliance on imports from countries like India.
This shift could lead to increased production within India itself, providing dual benefits: fulfilling U.S. demand and boosting local manufacturing capabilities.
Looking ahead, the leather and footwear industry in India aims for a turnover of $47.1 billion by 2029-30, with domestic sales expected to contribute $33.4 billion and exports projected at $13.7 billion.
The industry plans to double its turnover from $23.7 billion during FY 2023-24, anticipating that footwear consumption in India will rise from two pairs per person to four pairs over the next five years.
This increase is expected to boost production volume from 2.6 billion pairs annually and create an additional 2.5 million jobs beyond the existing 4.4 million employed in the sector.
Source – Times of India
