Lok Sabha Question No. 4882 (UNSTARRED), answered on 2025-04-01
Subject: Setting up of Leather Park
Ministry: COMMERCE AND INDUSTRY
Asked by: Shri Sribharat Mathukumilli

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE

## LOK SABHA

UNSTARRED QUESTION NO. 4882.

TO BE ANSWERED ON TUESDAY, THE 01 ST  APRIL, 2025.

## SETTING UP OF LEATHER PARK

## 4882.  SHRI SRIBHARAT MATHUKUMILLI:

Will the Minister of COMMERCE AND INDUSTRY be pleased to state: वाणिज्य एवं उद्योग मंत्री

- (a) the  details  of  leather  parks  set  up  in  the  country,  including  their  locations, investment made and employment generated, State-wise;
- (b) whether the Government has identified new locations for establishing leather parks under various schemes including in Andhra Pradesh and if so, the details thereof;
- (c) whether  any  specific  incentives  or  subsidies  are  being  provided  to  attract investments in leather parks and if so, the details thereof;
- (d) the details of exports and domestic production facilitated through these leather parks in the past three years; and
- (e) whether the Government received any proposals for setting up a leather park in Andhra Pradesh and if so, the status thereof?

## ANSWER

## वाणिज्य एवं उद्योग मंत्रालय में राज्य मंत्री ( श्री णिणिन प्रसाद ) THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY (SHRI JITIN PRASADA)

- (a) & (b): The  Government  of  India  (GoI)  has  approved  the  Central  Sector  Scheme 'Indian  Footwear  and  Leather  Development  Programme  (IFLDP)'  with  an allocation  of  ₹1700  crore  for  the  period  of  2021-26  or  till  further  review, whichever  is  earlier.  One  of  the  sub-schemes  of  IFLDP,  Mega  Leather Footwear  and  Accessories  Cluster  Development  (MLFACD)  which  aims  to create  world-class  infrastructure  and  to  integrate  the  production  chain  in  a manner  that  it  caters  to  the  business  needs  of  the  leather  and  domestic footwear industry market and exports.

5  projects  have  been approved under MLFACD sub-scheme of IFLDP. The State wise details of location,  Special  Purpose Vehicle (SPVs), extent, total approved project cost and Government of India share is placed at Annexure-1. The GoI share of the approved projects has already exceeded the allocated outlay of the sub-scheme. The tenure of the sub-scheme of IFLDP is till March, 2026. Therefore, no proposal is being considered under the sub-scheme.

- (c): MLFACD sub-scheme under IFLDP is implemented to attract investment in leather  clusters.  The  Government  of  India  is  providing  graded  assistance @50% of the total project cost (@70% of the project cost in Northeastern areas) for  land  development,  core  infrastructure,  social  infrastructure,  production facilities including ready to use sheds with plug and play facility, R&D support and  export  services  excluding  cost  of  land  with  maximum  Government assistance limited to ₹ 125 crore under MLFACD.
- (d): These projects are not yet completed, and therefore no production or exports have been facilitated through these projects.
- (e): As per National Single Window System (NSWS) Portal, no such proposals have been received from Andhra Pradesh under MFLACD sub-scheme of IFLDP.

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## ANNEXURE-I ANNEXURE  REFERRED  TO  IN  REPLY  TO  PARTS  (a) & (b)  OF  THE  LOK

SABHA UNSTARRED QUESTION 4882 FOR ANSWER ON 01.04.2025.

## Mega Leather Footwear and Accessories Cluster Development (MLFACD)

(Rs. In crore)

| S.No.   | Name of the Project              | SPV    | Total Land Total   | Total Land Total      | Approved GoI share   |
|---------|----------------------------------|--------|--------------------|-----------------------|----------------------|
|         |                                  |        | Area (Acres)       | Approved Project Cost |                      |
| 1.      | Mehwal, Muzaffarpur, Bihar       | BIADA  | 62.17              | 140.95                | 70.00                |
| 2.      | Morena, Madhya Pradesh           | MPIDC  | 157.00             | 222.81                | 106.185              |
| 3.      | Ratwad, Raigad, Maharashtra      | MIDC   | 153.13             | 256.42                | 125.00               |
| 4.      | Panapakkam, Ranipet, Tamil Nadu  | SIPCOT | 347.69             | 271.33                | 125.00               |
| 5.      | Ramaipur, Kanpur, Uttar Pradesh* | MLCLD  | 240.00             | 402.12                | 125.00               |
| Total   | Total                            | Total  | Total              | 1293.63               | 551.185              |

* In Principle Approval

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