The Government of India is expanding its leather, footwear and accessories manufacturing infrastructure with new Mega Leather, Footwear and Accessories Clusters (MLFACs) scheme across multiple states. The projects are being developed in Tamil Nadu, Bihar, Madhya Pradesh and Maharashtra with a combined investment of ₹898 crore (~$93.8 million)
The announcement was made during an interactive meeting organized by the Council for Leather Exports (CLE) on June 8, 2026 at Taj Connemara, Chennai. Nidhi Kesarwani, IAS, Joint Secretary, Department for Promotion of Industry and Internal Trade (DPIIT), said the clusters are aimed at attracting new investments and boosting exports from the leather and footwear sector.
The clusters are being established in Muzaffarpur, Bihar; Sitapur, Madhya Pradesh; Raigad district, Maharashtra; and Ranipet, Tamil Nadu.
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Kesarwani said the parks have already attracted investments and are expected to bring in more as development moves forward.
“One of the parks is still coming up in Maharashtra. They are in the initial phases of development. So, it will grow, and I think quite a good amount of investment will be made.”
– Nidhi Kesarwani, IAS, Joint Secretary, DPIIT
The Mega Leather, Footwear and Accessories Cluster (MLFAC) at Panapakkam in Ranipet is being developed across 290 acres. The total cost of the project is ₹271 crore (~$28.3 million), and the Union government’s contribution is ₹125 crore (~$13 million).
Kesarwani added that exports will remain a key focus area for the new clusters as the government looks to strengthen India’s position as a manufacturing destination for leather, footwear and accessories.
The government also announced that a ₹50 crore (~$5.23 million) Zero Solid Waste Discharge facility will be established in Ranipet to convert leather industry solid waste into industrial-use salt and support environmental sustainability.
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