The Hindu Business Line : Leather industry aims at $5-b exports by 2007

LEATHER exporters have been given a $5-billion export target by 2007, the newly elected Chairman of the Council for Leather Exports (CLE), Mr S. Kumar, has said.

Addressing a press conference here on the occasion of the International Leather Goods Fair (ILGF), which is to be held here between March 8 and 10, he said that to begin with, the CLE had set a target of $3 billion exports by 2005, against the level of about $2-billion now.

"This should translate into a one per cent share for the country in total world exports as against a share of 0.7 per cent now,'' he said.

The quantum jump would be achieved through increased market access initiative scheme (MAIS), market promotion support activities and other marketing efforts like participation in international leather fairs.

"The Commerce Ministry's MAIS has complemented the CLE's focussed marketing efforts particularly in the US, Canada and Japan — which together account for 35 per cent of global import of leather and leather products.''

Reviewing India's current export performance, he said that after the 23 per cent export growth of 2000-01, when exports touched $1.96 billion, there was a 1.63 per cent slippage in the following year to $1.93 billion due to adverse international developments.

During the first 11 months of the current fiscal, exports were pegged at $1.79 billion.

Turning to the eastern region that accounted for 21 per cent of leather exports, Mr Kumar said that the eastern region exporters (especially West Bengal) accounted for 65 per cent of the country's leather goods exports comprising items such as wallets, bags and industrial and other types of gloves.

The CLE Chairman was confident that the eastern region exports could be vastly improved with the setting up of the leather goods exports park for which 100 acres had been sought from the State Government. "We have sought SEZ status for this park,'' he said. Mr Ranjan Chatterjee, Executive Director of India Trade Promotion Organisation (ITPO), which helps the Indian Leather Products Association organise ILGF, said business transaction at this fair was expected to touch Rs 10 crore against Rs 6 crore last year.

This optimism is based on the fact that there is increased overseas participation — 33 against last year's 27 countries. China is expected to send a delegation this year. Participation is also expected from the US, Canada, Australia, Belgium, Italy, Japan and Russia among other countries.

The fair would be bigger this year and in all 62 companies would be taking part.

However, another official of ITPO mentioned that the upcoming leather complex here had vastly boosted business at the India International Leather Fair, which concluded in Chennai a month ago.

"Business worth Rs 509 crore was transacted at this fair on account of machinery buying for the Bantala leather complex,'' he said.

Article E-Mail :: Comment :: Syndication

Stories in this Section
UNEP ties up with banks to boost solar home systems

Citric acid imports brought under dumping duty

Jaswant's just a click away

Asbestos cement producers resent `vilified campaigns'

Kerala: Bill to prevent defacement of places

Sand turns a scarce commodity

Germany keen to boost trade ties

Discussion on bio-larvicide put off

It's a good innings for hotels too

High land prices a hurdle for Mangalore SEZ plan