Export of leather products from the country has increased from USD 5015.41 million in 2012-13 to USD 5908.82 million in 2013-14 showing an increase of 17.81 %. A positive growth of 14.04% has been registered in the export of leather and leather products during the period April, 2014 - January, 2015 (USD 5628.50 million) as compared to the corresponding period April, 2013 - January, 2014 (USD 4935.43 million).

 To boost export of leather and leather products from India, leather sector has been included as one of the Focus Sectors under ‘Make-in-India’ programme launched by the Government which includes short term and medium term initiatives like scaling up of availability of finished leather, skilled manpower and establishment of a technology mission. The Government has adopted various measures under Foreign Trade Policy 2009 -14 such as i) 4% Duty credit scrip under Focus Product Scheme for notified leather products and footwear, ii) 2% Duty Credit Scrip for Finished Leather under Focus Product Scheme, iii) Duty free import entitlement of specified items @ 3% of FOB value of exports realized during the preceding financial year, iv) Zero Duty Scheme implemented under Export Promotion Capital Goods Scheme (EPCG), v) 1% Duty Credit Scrip under Status Holders Incentive Scrip (SHIS) scheme for leather sector (excluding tanning sector) for import of Capital Goods, vi) Recognition of Kanpur, Ambur and Agra as “Towns of Export Excellence” for leather products and vii) Implementation of Incremental Exports Incentivization Scheme. Assistance is also being provided to the Leather Sector under Indian Leather Development Programme (ILDP), Market Access Initiative (MAI) and Market Development Assistance (MDA) schemes of Ministry of Commerce and Industry.

This information was given by the Minister of State (Independent Charge) in the Ministry of Commerce & Industry Smt. Nirmala Sitharaman in a written reply in Rajya Sabha today.

Export incentives for the leather sector bolster competitiveness through duty credit scrips and import facilitation measures. The government designated the leather sector as a Focus Sector under Make-in-India and maintains a package of export incentives under the Foreign Trade Policy, including Duty Credit Scrips for various leather products and capital goods, duty-free import entitlements linked to prior export value, zero-duty EPCG provisions, recognition of select towns as Towns of Export Excellence, and market development and access assistance to enhance supply, skills, and technology adoption.