Tamil Nadu Chief Minister M K Stalin on Monday 17th December inaugurated the foundation stone ceremony for a major non-leather footwear manufacturing facility by the Taiwanese Hong Fu Industrial Group.
The event, held virtually from Chennai, marks a significant step in Tamil Nadu’s journey to becoming the footwear capital of India.
The new facility is being developed at the Sipcot Industrial Park in Panapakkam, Ranipet district. Spanning 200 acres, the project represents a massive investment of Rs.1,500 crore (~US$180 Million) and is expected to generate employment for 25,000 people.
Notably, 85% of the workforce will be women, showcasing the state’s commitment to gender-inclusive job creation.
During the event, Chief Minister Stalin highlighted Tamil Nadu’s proactive approach toward attracting investments from Taiwanese companies. He credited the state’s pioneering footwear policy for helping secure a cumulative Rs.6,550 crore (~US$800 Million) in investments in the sector.
“This latest development is a testament to Tamil Nadu’s industrial growth. The investments we’ve attracted have created 86,150 job opportunities across districts like Perambalur, Villupuram, Kallakurichi, Ariyalur, and Ranipet, the majority of which benefit our young women,”
Chief Minister Stalin, shared on X (formerly Twitter).
State Industries Minister TRB Rajaa also emphasized the project’s significance, calling it another milestone in Tamil Nadu’s non-leather footwear industry. He added, “This project reinforces Tamil Nadu’s position as a global footwear hub.”
Hong Fu Industrial Group, one of the world’s largest manufacturers of non-leather athletic footwear, produces around 200 million pairs of sports shoes annually, generating a revenue of $3 billion.
The company partners with top global brands like Nike, Adidas, Puma, Reebok, Under Armour, and Vans.
The Panapakkam facility is the result of two Memorandums of Understanding (MoUs) signed with the Tamil Nadu government. The first MoU, signed in April 2022, pledged an initial investment of Rs1,000 crore (~US$125 Million).
This was followed by an additional Rs.500 crore (~US$60 Million) investment in January 2024, bringing the total investment to Rs.1,500 crore (~US$180 Million).
“India’s rapid economic growth and growing global influence make it a natural choice for our latest expansion.”
TY Chang, Chairman of Hong Fu
He further acknowledged Tamil Nadu’s supportive industrial environment as a key factor in the company’s decision.
“This establishment represents an opportunity to empower communities, provide thousands of jobs, and contribute to Tamil Nadu’s inclusive development goals.”
Aqeel Panaruna, Florence Shoe Company, a joint venture partner and stakeholder in the facility
