Goyal sets USD 50 Billion target for leather and footwear industry to achieve by 2030

New Delhi [India], July 26 (ANI): Union Minister of Commerce and Industry Piyush Goyal encouraged stakeholders in the Leather and Footwear industry to scale up the industry to USD 50 billion by 2030 during his interaction in Delhi.

The Ministry of Commerce and Industry stated that the minister also encouraged the industry to showcase world-class products through a large-scale exhibition, inviting participation from domestic and international brands. He called for synergy within the industry to develop a Design Studio with state-of-the-art infrastructure and globally competitive footwear designs.

Goyal highlighted the importance of Quality Control Orders (QCOs) for ensuring product quality for consumers and promoting the Make in India brand. He also stated that the industry will benefit from the implementation of QCOs in the long run. To address industry concerns regarding QCOs, the minister assured that the government would make the QCO certification procedure smooth and flexible for the industry.

He also added that micro and small units under MSME would continue to be exempted from the purview of QCOs.

The ministry informed that to ensure quality footwear for consumers and promote the Make in India brand, the Department for Promotion of Industry and Internal Trade (DPIIT) has notified two QCOs dated March 15, 2024, for the leather and footwear sector, which will become effective from August 1, 2024. Manufacturers were given a chance to declare old stock before August 1, 2024, and sell the declared stock by June 30, 2025. Micro and small units and imports of soles for making footwear for export purposes are exempted from the purview of QCOs.

The interaction between the minister and leather industry stakeholders included deliberations on the implementation of QCOs for the Leather & Footwear Sector effective from August 1, 2024, and other issues pertaining to the Leather and Footwear industry.

“The interaction saw a participation of more than 120 stakeholders including representatives from bodies like Footwear Design and Development Institute (FDDI), Council of Leather Exports (CLE), Central Leather Research Institute (CLRI), National Productivity Council, Invest India, Bureau of Indian Standards, representatives from associations like Confederation of Indian Footwear Industries (CIFI), Indian Footwear Component Manufacturers Association (IFCOMA), representatives of Retailers Association of India (RAI),” said the Ministry of Commerce and Industry.

The ministry highlighted that the leather and footwear industry in India is a dynamic sector driving economic growth. With its roots deeply embedded in Indian tradition and its eyes set on future possibilities, this industry exemplifies the harmonious blend of time-honoured craftsmanship and modern technology.

It added that with immense employment and export potential, India stands as the second-largest producer of footwear, contributing 10.7 per cent of global production, highlighting the industry’s capability and global competitiveness.

The leather and footwear sector contributes around 2 per cent of India’s GDP, generating employment for approximately 4.42 million people, mainly consisting of young age population and women workforce.

According to the ministry of commerce and Industry, India is producing and exporting in various product segments such as Leather, Saddlery & Harness, Leather Apparel, Leather Gloves, Leather Goods like bags, trunks, and other accessories, Leather Footwear, Non-Leather Footwear, and Footwear Components.

The Government is spearheading initiatives under the Indian Footwear and Leather Development Programme (IFLDP) scheme, which aims at developing infrastructure, addressing environmental concerns, facilitating investments, generating employment, and increasing production in the leather & footwear sector.