Indian Footwear and Leather Development Programme | 07 Feb 2022

For Prelims: IFLDP Scheme.

For Mains: Leather Industry, Government policies and interventions.

Why in News

Indian Footwear and Leather Development Programme (IFLDP) has been approved for continuation from 2021-22 with an approved financial outlay of Rs. 1700 crore.

  • IFLDP has been approved by the Union Cabinet as continuation of the erstwhile IFLADP (Indian Footwear Leather and Accessories Development Programme) till 31st March 2026 or till further review, whichever is earlier.
  • The IFLADP was announced with an expenditure of Rs. 2,600 crore for three financial years - 2017-18 to 2019-20.

What is IFLDP Scheme?

  • It is a Central Sector Scheme, which aims at development of infrastructure for the leather sector, address environmental concerns specific to the leather sector, facilitate additional investments, employment generation and increase in production.
  • Sub-schemes approved under the programme include:
    • Sustainable technology and environmental promotion; Integrated Development of Leather Sector (IDLS); establishment of institutional facilities; Mega Leather Footwear and Accessories Cluster Development; brand promotion; and development of design studios.
  • Development of design studios (proposed outlay Rs 100 crore) is a new sub-scheme and it would promote marketing/export linkages, facilitate buyer- seller meets, display designs to international buyers and work as interface for the trade fairs.

What is the Impact of erstwhile IFLADP ?

  • The programme has a direct benefit towards quality employment generation especially for women, skill development, decent work, making the industry more environment friendly and prompting a sustainable production system.
  • The leather clusters located in different parts of the country have accrued benefit in terms of reduction of poverty, gender equality, sector specific skill/education, etc., thus touching many of the Sustainable Development Goals (SDGs).
  • Other National Development Plans (NDPs) such as economic growth, generation of employment, good health and well-being, infrastructure development, affordable and clean energy and other environmental benefits are well-served by the IFLAD Programme.
    • Most of the NDPs align with the SDGs.

What is the current status of India’s Leather Industry?

  • India is the second largest producer of footwear and leather garments after China in the world and is the second largest exporter (after China) of leather garments in the world.
  • The industry is known for its consistency in high export earnings and it is among the top ten foreign exchange earners for the country.
  • India has an abundance of raw materials with access to 20% of world’s cattle and buffalo and 11% of the world’s goat and sheep population.
  • The Leather industry is an employment intensive industry providing job to more than 4 mn people, mostly from the weaker sections of the society.
  • Women employment is predominant in Leather products industry with about 30% share. The Leather industry in India has one of the youngest workforces with 55% of the workforce below 35 years of age.
  • The major markets for Indian Leather & Leather Products are USA, Germany, UK, Italy, France, Spain, Netherlands, UAE, etc.

Source: PIB