Uttar Pradesh’s leather sector is poised for global expansion, with exports projected to double to $120 million, driven by rising demand in Europe and Africa. The state’s new Footwear and Leather Policy 2025 aims to position UP as a manufacturing hub, leveraging skilled labor, eco-friendly innovations, and strategic trade agreements to boost production and attract investments.
Uttar Pradesh’s Leather Sector Aims for Global Dominance
Uttar Pradesh (UP), a key player in India’s leather industry, is gearing up to strengthen its foothold in global markets, with a new strategic roadmap outlined in the proposed Footwear and Leather Policy 2025. The state’s leather sector, centered in cities like Kanpur and Agra, is witnessing a resurgence, driven by increasing export demand and supportive government initiatives. Recent posts on X highlight that UP’s leather exports are expected to double from $60 million to $120 million, fueled by growing markets in Europe and Africa, as well as a free trade agreement (FTA) with the United Kingdom.
The leather industry in UP, particularly in Kanpur, is renowned for its tanning, footwear, and saddlery production. The state accounts for a significant share of India’s leather exports, with Uttar Pradesh contributing 27.77% to the national total in FY24, a marginal increase from 25.80% the previous year. Kanpur’s leather cluster, with nearly 350 tanneries, supports over 100,000 households and is a major economic driver. However, environmental concerns, particularly water pollution in the Ganga River Basin, have pushed the industry toward sustainable practices. The state is adopting eco-friendly tanning technologies, such as waterless chrome tanning developed by CSIR, to reduce environmental impact.
The Footwear and Leather Policy 2025, discussed in a recent high-level meeting chaired by Chief Minister Yogi Adityanath, focuses on integrating production, design, research, and training to attract global investors. The policy aims to create 2.2 million new jobs and position UP as a global manufacturing hub for footwear and leather products. It emphasizes modernizing infrastructure, with initiatives like the Leather-Footwear Park in Kanpur, which is set to enhance export capabilities.
UP’s strategy also capitalizes on global trade shifts, positioning the state as a “China Plus One” hub amid US-China trade tensions. By strengthening eco-compliance and fostering innovation through a proposed National Leather Tech Hub under CSIR-CLRI, UP aims to attract global buyers seeking sustainable alternatives. The state is also leveraging its abundant raw material base—India holds 20% of the world’s cattle and buffalo population and 11% of its goat and sheep population—to meet rising demand.
Recent investments, particularly in Tamil Nadu and UP, signal optimism for the sector. Major Taiwanese footwear manufacturers, including Pou Chen Group and Feng Tae, have signed agreements to establish production units, boosting UP’s export potential. Additionally, innovations like vegan and plant-based leather alternatives, such as those made from areca palm and banana leather, are gaining traction, addressing global demand for cruelty-free products.
The state’s focus on sustainability and compliance with international environmental standards is critical. The Indian Footwear and Leather Development Programme (IFLDP), with an allocation of Rs. 1,700 crore, supports infrastructure upgrades and eco-friendly practices like zero liquid discharge in tanneries. These efforts aim to mitigate the environmental challenges posed by tanning, which has faced scrutiny for chemical waste and water pollution.
UP’s leather exports, particularly to the US, Germany, and the UK, are seeing positive trends after a 10% decline in FY24 due to weak demand in Western markets. With the FTA with the UK and growing interest from 25 EU countries, the state’s leather products, including footwear and saddlery, are poised for a strong recovery. The Council for Leather Exports (CLE) projects the industry to reach a turnover of $47.1 billion by 2030, with footwear constituting 50% of this target.
Disclaimer: This article is based on recent news, reports, and posts on X, reflecting current trends and projections in Uttar Pradesh’s leather industry. Information is sourced from industry bodies like the Council for Leather Exports, government announcements, and market analyses. Readers are advised to verify details through official sources for investment or policy-related decisions.