Leather Luxury, a modest leather footwear enterprise based in Agra, Uttar Pradesh, stands as a testament to India’s burgeoning leather industry. Despite its smaller scale, the company produces approximately 200,000 pairs of shoes annually and exports thousands to Dubai. This contribution is part of a larger network of small-scale leather units in Agra that play a crucial role in India’s leather footwear exports.
Agra: A Hub for Leather Production
Agra, renowned for its small-scale leather enterprises, significantly impacts India’s overall leather production. With global footwear brands seeking new manufacturing locations and diversifying from China, Agra has emerged as a viable alternative. Notably, German shoemaker Von Wellx decided to relocate its production to Agra following the COVID-19 outbreak, highlighting Agra’s growing prominence in the global leather market.
Government Support and Industry Growth
Local shoemakers in Agra are optimistic about the industry’s future, attributing their confidence to government initiatives aligned with the ‘Atmanirbhar Bharat’ mission. Rajeev Koccher, Owner of Leather Luxury, envisions a substantial growth in the Indian shoe industry, predicting a potential five- to ten-fold increase in the coming years with additional government support and incentives.
India’s Export Success
According to the Council for Leather Exports, the Indian leather industry’s growth is primarily driven by the footwear sector. In addition to footwear, India produces a variety of leather goods, including wallets, belts, and accessories. Despite global challenges, India’s leather exports have thrived. For instance, footwear exports rose from 1.49 billion USD in 2020-2021 to 2.05 billion USD in 2021-2022.
Expanding Markets and Future Goals
While Europe and America have traditionally been major markets for Indian leather products, India is now exploring new international markets due to increasing demand for high-quality leather goods. Javed Iqbal, Regional Chairman of the Council for Leather Exports, aims for a 10 billion USD export target, reflecting the sector’s robust growth potential.
Industry Strengths and Future Outlook
India’s leather sector is bolstered by a wealth of raw materials, skilled labor, and modernized manufacturing units. The government’s Production-Linked Incentive (PLI) scheme is expected to further enhance the industry’s global competitiveness. With continued modernization and technological advancements, India is poised to challenge China’s dominance in leather exports.
India’s leather industry not only contributes significantly to the ‘Made in India’ campaign but also showcases the country’s potential as a global leader in leather production and export.