Date:14/04/2004 URL: http://www.thehindubusinessline.com/2004/04/14/stories/2004041401720400.htm

Back South's share in leather exports falls

Our Bureau

Kolkata , April 13

LEATHER exports from the southern region registered a 4.31 per cent growth during April to December 2003 over that of the same period in the previous year.

However, the overall share of the region slipped marginally from 45.65 per cent to 45.18 per cent during the period under review.

Exporters in all the other regions shared the plight of the southern States barring the northern region, which increased its share in the total export basket from 11.82 per cent in the April to December 2002 period to 13.26 per cent in the same period in 2003.

While India's total leather exports grew by 5.4 per cent in dollar terms during this period, the northern region registered a 18.27 per cent growth, against single-digit growth recorded by all the other regions and a negative growth shown by the central region.

It may be mentioned here that the three southern States - Tamil Nadu, Andhra Pradesh and Karnataka are among the major production centres of leather and leather products.

In Tamil Nadu - Chennai, Ambur, Ranipet, Vaniyambadi, Tiruchi and Dindigul are the main production centres, while in the other two States the activities are centred around the capital cities.

A study of the available official statistics given by the DGCIS shows that the southern region has shown negative growth rates in exports of finished leather, leather goods and footwear components with exports in the last category slipping by 25 per cent.

India's leather exports grew by 5.4 per cent during the April-December period when leather footwear exports increased by 20.05 per cent and was considered to be the main engine of growth which propelled the industry towards the $2-billion export mark in 2003-04.

The southern region has done well in exports of footwear (where it has increased its share) as well as in saddlery and harness.

Exports of non-leather footwear from the South has increased by 286.19 per cent against the 171.12 per cent increase shown by India as a whole during this period.