Lok Sabha Question No. 2462 (UNSTARRED), answered on 2016-08-01
Subject: Indian Leather Development Programme
Ministry: COMMERCE AND INDUSTRY
Asked by: VINAYAK BHAURAO RAUT, KONDA VISHWESHWAR REDDY, Shrirang Appa Barne, GEETHA KOTHAPALLI

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

## LOK SABHA

UNSTARRED QUESTION NO. 2462. TO BE ANSWERED ON MONDAY, THE 1 ST  AUGUST, 2016.

## INDIAN LEATHER DEVELOPMENT PROGRAMME

## 2462.  SHRI VINAYAK BHAURAO RAUT:

SHRI KONDA VISHWESHWAR REDDY:

SHRI SHRIRANG APPA BARNE:

SHRIMATI KOTHAPALLI GEETHA:

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

## वाणिज् यवव द्यग ं ्री

- (a) whether the Government has rolled out Indian Leather Development Programme (ILDP) to  augment  raw  material  base  through  modernization  and  technology  upgradation  of leather units, if so, the details thereof;
- (b) whether  the  Indian  Leather  Industry  has  been  facing  environmental  concerns,  human resource constraint, etc.;
- (c) if so, whether the Government has implemented a scheme all over India during the 12th Five Year Plan period to address the said environmental concerns and to enhance skill development to meet the human resource constraint; and
- (d) if so, the details thereof and the achievement made so far under the scheme?

## ANSWER

## वाणिज् यवव द्यग ााज् यं ्रीस् वतं ््रभााा(स्रींतंरीिरंमलााीरीतंाांि( THE MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF COMMERCE & INDUSTRY (SHRIMATI NIRMALA SITHARAMAN)

- (a): Yes Madam. The 'Indian Leather Development Programme' (ILDP) a central sector scheme, is under implementation with an approved outlay of Rs. 990.36 crore, during 12 th Plan period with the following six sub-schemes:
- 1) Integrated Development of Leather Sector (IDLS) Assistance is provided for technology up-gradation/modernization of leather units as investment grant @30% to small & micro units and @20% to other units through nationalized banks with maximum assistance of Rs.2 crore for each product line.
- 2) Human  Resource Development (HRD) -Assistance is provided for placement linked skill development training to unemployed persons @  Rs.  15,000  per  person  and  for  skill  up-gradation  training    to  employed workers @ Rs. 5,000 per employee. For training of trainer's assistance@ Rs. 2  lakh  per  trainer  is  provided.  The  placement  of  75%  of  trained  persons  is mandatory for availing assistance related to skill development training component.
- 3) Mega  Leather  Cluster  scheme  The  sub-scheme  aims  at providing infrastructure  support  to  the  Leather  Industry  by  establishment  of  Mega

Leather Cluster. The minimum land area required for Mega Leather Cluster is 25  acres  to  be  set  up  without  tanneries  and  40  acres  with  tanneries. Assistance  upto  50%  of  the  project  cost  is  provided  by  the  Government  of India under the scheme, excluding cost of land and with maximum assistance limited to Rs. 125 crore.

- 4) Support to Artisan scheme Assistance is provided for Support to Artisans for  formation  of  Self-help  groups  (SHGs),  product  development,  capacity building, providing centralized common  facilities centers and marketing linkages.
- 5) Leather  Technology,  Innovation  &  Environmental  Issues  Assistance  is provided  for  up-gradation/installation  of  Common  Effluent  Treatment  Plants (CETPs)  @  50%  of  the  project  cost. Pilot  Projects  under  Technology Benchmarking  for  leather  units,  organizing  Environment  Related  Workshops and Pilot projects for Solid Waste Management are also eligible for assistance under the scheme.
- 6) Establishment of Institutional Facilities Providing infrastructure by way of establishment  of  two  new  branches  of  Footwear  Design  and  Development Institute (FDDI), with assistance of Rs. 100 crore for each branch, in the States of Punjab and Gujrat.
4. (b): Yes Madam. Leather industry and tanning activity in particular, all over the World is linked  to  environmental  concerns.  Footwear  and  Leather  products  sector  has  high employment potential and there is a demand for skilled and trained workforce in the footwear manufacturing, design, marketing and retails sector.
5. (c) & (d): Yes Madam. To address the human resource constraint and environmental concerns being  faced  by  Indian  Leather  Industry,  two  sub-schemes  of  the  Indian  Leather Development  Programme  (ILDP),  namely  'Human  Resource  Development'  and 'Leather Technology, Innovation and Environmental Issues', respectively, are under implementation, during the 12 th plan period, the details of which are as under:
6. (i) Human Resource Development (HRD) During  12 th Five  Year  Plan,  total 3,73,916 unemployed persons have been trained and  3,00,113 trainees have been given placement in leather and footwear industry, so far. Further, under Placement Linked Skill Development Training, a target of 1,44,000 unemployed persons has been set for 2016-17. In addition 6000 workers have been provided skill up-gradation training. The total funds released under HRD sub-scheme of ILDP during 12 th Five year Plan is Rs. 542.56 crore.
7. (ii) Leather Technology, Innovation & Environmental Issues During 12 th Five Year  Plan,  assistance  has  been  provided  to  2  CETP  projects  having  Zero Liquid Discharge (ZLD) technology at SIDCO-II and Dindigul (Tamil Nadu) out of 6 the CETPs approved during 11 th Five Year Plan. Rs. 2.27 crore and Rs. 12.53 crore have been released for these projects respectively. One Project of Solid Waste Management in Calcutta Leather Complex has been completed with GOI assistance of Rs. 95.12 lakh under ILDP.

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