Lok Sabha Question No. 5542 (UNSTARRED), answered on 2018-04-02
Subject: Tannery Industry
Ministry: COMMERCE AND INDUSTRY
Asked by: RAVINDRA VISHWANATH GAIKWAD

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT OF INDUSTRIAL POLICY & PROMOTION

## LOK SABHA

UNSTARRED QUESTION NO. 5542. TO BE ANSWERED ON MONDAY, THE 2 ND  APRIL,  2018.

## TANNERY INDUSTRY

## 5542.  PROF. RAVINDRA VISHWANATH GAIKWAD:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state:

## वाणिज्य एवं उद्योग मंत्री

- (a) whether the Government is contemplating to downsize the tannery industry in the country and if so, the details thereof and the reasons therefor;
- (b) the  amount  of  subsidy  provided  by  the  Government  to  the  businessmen engaged in tannery industries in the country during the last three years; and
- (c) whether the declining trade business of tannery industry has also affected the imports and exports and if so, the details thereof?

## ANSWER

## वाणिज् य एवं उद्योग मंत्रालय में राज् यमंत्री (श्री सी.आर. चौधरी) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI C.R. CHAUDHARY)

- (a): No Madam.
- (b): During last three years, the Government has provided grant of Rs. 30.31 crore for modernization & technology upgradation of 82 tanning units in the country. Further,  assistance  amounting  to  Rs.  4.14  crore  has  been  released  for providing  financial  support  to  upgradation  of  Common  Effluent  Treatment Plants (CETPs).
- (c): As per data of DGCI&S, overall exports from leather industry have shown a growth  of  1.79%  in  dollar  terms  as  shown  below  which  shows  revival  of exports in the Indian leather industry with details as under:

## (Value in Million USD)

| S. No.   | PANEL                         |   APRIL,2016 - FEBRUARY,2017 |   APRIL,2017 - FEBRUARY,2018 | Growth%   |
|----------|-------------------------------|------------------------------|------------------------------|-----------|
| 1        | Finished Leather              |                       805.93 |                       795.87 | -1.25%    |
| 2        | Footwear                      |                      2244.77 |                      2257.79 | 0.58%     |
| 3        | Footwear Components           |                       286.83 |                       328.56 | 14.55%    |
| 4        | Leather Garments              |                       501.03 |                       490.5  | -2.10%    |
| 5        | Leather Goods and Accessories |                      1272.84 |                      1319.97 | 3.70%     |
| 6        | Saddlery and Harness          |                       129.97 |                       142.27 | 9.46%     |
|          | Total                         |                      5241.37 |                      5334.96 | 1.79%     |

Source: DGCI&S

As regards imports of leather, leather products and footwear industry in India, it has shown increasing trend in 2016-17 as compared to 2015-16 as under:

## (Value in Million USD)

| CATEGORY             |   2014-15 |   2015-16 |   2016-17 | % change (2015- 16)   | % change (2016- 17)   |
|----------------------|-----------|-----------|-----------|-----------------------|-----------------------|
| RAW MATERIALS        |     87.07 |     62.76 |     57.25 | -27.92%               | -8.78%                |
| FINISHED LEATHER     |    646.02 |    595.75 |    552.34 | -7.78%                | -7.29%                |
| LEATHER FOOTWEAR     |    116.97 |    119.14 |     79.46 | 1.86%                 | -33.31%               |
| FOOTWEAR COMPONENTS  |     26.03 |     27.53 |     78.36 | 5.76%                 | 184.63%               |
| LEATHER GARMENTS     |      5.14 |     10.68 |      1.67 | 107.78%               | -84.36%               |
| LEATHER GOODS        |     88.86 |     93.51 |     68    | 5.23%                 | -27.28%               |
| SADDLERY AND HARNESS |      0.36 |      0.25 |      0.32 | -30.56%               | 28.00%                |
| NON-LEATHER FOOTWEAR |    280.48 |    274.14 |    377.87 | -2.26%                | 37.84%                |
| TOTAL                |   1250.93 |   1183.76 |   1215.27 | -5.37%                | 2.66%                 |

Source: DGCI&S

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