New Delhi: The government Saturday announced a focused product scheme for footwear and leather sectors to enhance its productivity, quality and competitiveness.
Finance Minister Nirmala Sitharaman said the scheme will support design capacity, component manufacturing, and machinery required for the production of non-leather quality footwear.
The scheme, she said, is expected to facilitate employment for 22 lakh persons, generate a turnover of Rs 4 lakh crore and exports of over Rs 1.1 lakh crore.
“To enhance the productivity, quality, and competitiveness of India’s footwear and leather sector, a focus product scheme will be implemented,” she said.
The country’s leather and footwear exports are expected to touch $6 billion in the current financial year on account of healthy demand in key global markets.
The exports were $4.69 billion in 2023-24.
To promote leather exports, she also announced a full exemption of customs duty on wet blue leather.
According to Council for Leather Exports Chairman Rajendra Kumar Jalan, the industry is labour-intensive, providing employment to about 42 lakh people.
The sector has a total turnover of about $19 billion, which includes exports of $5 billion.
“The sector has the potential to reach a total turnover of $47 billion by 2030, which includes the domestic production of $25 billion and export turnover of $13.7 billion,” Jalan said.
Kanpur-based Growmore International Ltd MD Yadvendra Singh Sachan said that the Budget announcements will help in boosting manufacturing and exports.
PTI
