India Aims for USD 50 Billion Leather and Footwear Industry by 2030: Piyush Goyal

The meeting, which gathered over 120 key stakeholders, was a platform to discuss industry growth, quality control, and global competitiveness.

In a pivotal stakeholder interaction held in New Delhi, Union Minister of Commerce and Industry Shri Piyush Goyal set a bold target for India’s Leather and Footwear industry, aiming to scale it up to USD 50 billion by 2030. The meeting, which gathered over 120 key stakeholders, was a platform to discuss industry growth, quality control, and global competitiveness.

Minister Goyal urged the industry to embrace a larger vision and showcase world-class products through a large-scale exhibition, inviting both domestic and international brands. He emphasized the need for synergy within the sector to develop a state-of-the-art Design Studio and globally competitive footwear designs.

Highlighting the role of Quality Control Orders (QCOs) in ensuring product quality and promoting the "Make in India" brand, Goyal assured that the government would make the QCO certification process as smooth and flexible as possible. He acknowledged concerns about QCOs but emphasized their long-term benefits for the industry. Notably, micro and small units under MSMEs are exempt from the QCO requirements, and a grace period is provided for old stock.

The Department for Promotion of Industry and Internal Trade (DPIIT) has issued two QCOs for the leather and footwear sector, effective from August 1, 2024. Manufacturers can declare old stock before this date and sell it until June 30, 2025. Exemptions include micro and small units and soles for footwear intended for export.

The interaction featured extensive discussions on the implementation of QCOs and other industry issues, with participants from prominent bodies such as the Footwear Design and Development Institute (FDDI), Council of Leather Exports (CLE), Central Leather Research Institute (CLRI), and National Productivity Council. Leading industry figures from Puma, Nike, Adidas, Reebok, Bata, Skechers, Liberty, Metro Shoes, and Red Tape also attended.

India's leather and footwear industry stands as a significant contributor to the economy, being the second-largest producer of footwear globally and accounting for 10.7% of global production. The sector contributes approximately 2% to India's GDP and employs around 4.42 million people, primarily young individuals and women.

The government’s initiatives under the Indian Footwear and Leather Development Programme (IFLDP) aim to enhance infrastructure, address environmental concerns, attract investments, and increase production in the sector. Minister Goyal concluded the interaction with a reaffirmation of the industry’s commitment to "Make in India" and "Atmanirbhar Bharat," confident that the QCOs will be embraced as part of the sector's growth and development strategy.