New Delhi: The Government said in 8 June it would set up five integrated leather parks, declare Bihar and Jammu and Kashmir as thrust areas for developing tanneries and help industry meet environment norms to take the leather exports to $7 billion in the next four years.
“We have proposed setting up five integrated leather parks on the lines of the textile parks, in Chennai, Kolkata, Agra, Kanpur and Nellore (Andhra Pradesh),” Minister of State for Commerce Jairam Ramesh said here.
He said the scheme would require budgetary support between Rs500 crore and Rs700 crore and the proposal has been sent to Finance Minister P Chidambaram.
Declaring Bihar and Jammu and Kashmir as thrust areas for developing tanneries is another initiative underway by the Centre. Technical surveys by the Central Leather Research Institute have suggested that the best quality hides and skins of goat is available in Bihar while in J&K, quality sheet skin is an advantage for development of the sector.
“The sole tannery in Srinagar is closed,” the minister said, adding that the Centre would soon develop schemes for the two states.
While the footwear segment dominates the leather export industry, the non-leather footwear area has received a big boost with the start of Apache SEZ at Nellore in Andhra Pradesh where 90,000 Adidas shoes per month are being manufactured for exports.
“It is one of the few success stories in SEZs,” Ramesh said. He said South Koreans and Taiwanese are looking at India as their manufacturing hubs for leather goods.