India’s leather industry eyes $47.1 Billion turnover by 2030

India’s footwear and leather industry has set an ambitious target to reach an overall turnover of $47.1 billion by 2030, according to KR Vijayan, Chairman of the Indian Finished Leather Manufacturers and Exporters’ Association. This projection encompasses a $33.4 billion domestic market and $13.7 billion in exports, representing a significant leap from the industry's current turnover of approximately $17.26 billion.

To bridge this gap, Vijayan emphasized the necessity of investing in innovation and the adoption of advanced machinery. He also highlighted the environmental advantages of leather over synthetic alternatives, noting that non-leather products degrade more slowly and possess shorter lifespans, thereby posing a greater ecological threat.

India currently accounts for 13% of global leather production, leveraging a vast supply of raw materials, skilled manpower, and compliance with international environmental standards. The sector serves as a vital economic pillar, employing 4.42 million people—largely from economically disadvantaged backgrounds—with women making up 40% of the workforce in the leather products segment.

To sustain this momentum, the industry has called for government-backed Buyer-Seller Meets in Europe and the United States. Vijayan specifically recommended that the government facilitate the arrival of foreign designers for domestic leather fairs by subsidizing travel costs, noting that these professionals are instrumental in setting seasonal trends.

Despite its current prominence as the world's second-largest exporter of leather garments and saddlery, and the fourth-largest for leather goods, the sector faces immediate headwinds. While annual exports grew to $5.26 billion in the 2022-23 fiscal year, data through October 2023 showed a total of $2.81 billion, marking a 13% year-on-year decline that the industry aims to reverse through these strategic expansions.