Question

Write a short note om leather industry in india??

Answer 1

Leather Industry occupies a place of prominence in the Indian economy in view of its massive potential for employment, growth and exports. There has been increasing emphasis on its planned development, aimed at optimum utilisation of available raw materials for maximising the returns, particularly from exports. The leather industrial sector comprises of: a) tanneries (where raw hides and skins are converted into leather) b) factories transforming leather into a variety of consumer products such as footwear, garments and outerwear, and assorted leather goods such as wallets, passport cases, key chains, handbags and brief cases. Apart from the quality of raw material, the process of its conversion into leather and, later, of the design, product development and process of manufacture, of products play a key role in adding value to it. Some features of Indian leather industry • The Government policies on leather and leather product export started changing from 1974. Priorities were given for export of value added goods. From the year 1991 onwards only finished leather were exported and export of raw or semifinished leather was banned; • Many tanners started setting up factories for manufacturing leather products after 1991-92 like shoe uppers, shoes, garments and leather goods. Similarly many shoe and garment manufacturers began to seek backward linkage, by taking on lease or setting up tanneries. This is a unique development in India, a tanner becoming product maker and the product sector setting up tanneries or leasing out tanneries; • At the same, as incentive to the exporters, the import duties on capital goods have been reduced; • Until 2002, the leather sector was reserved for small scale sector and this may have prevented Foreign Direct Investment (FDI) in this sector. The FDI in this sector from August 1991 to December 2005, is US$ 51.84 millions. This is only 0.15% of total FDI inflows and ranked at 30; • Today the industry ranks 8th in the export trade in terms of foreign exchange earnings of the country; • India is largest livestock holding country; • The Indian leather sector meets 10% of global finished leather requirement. 

Answer 2

I hope this pic of your answer