Date:17/09/2004 URL: http://www.thehindubusinessline.com/2004/09/17/stories/2004091701840500.htm

Back Roadmap soon to touch $2.4-b leather footwear exports by `09

Mohan Padmanabhan

A new trend that was emerging was the practice of employing more and more trained women workers in shoe factories.

Kolkata , Sept. 16

A CLEAR roadmap for the leather footwear sector to achieve annual exports of $2.4 billion (Rs 11,280 crore) by 2008-09 will be ready soon. The Noida-based Footwear Design & Development Institute (FDDI), under the Commerce Ministry, which has been commissioned to carry out a comprehensive study on the export prospects of footwear sector, is expected to complete the study soon.

Talking to Business Line at his Chennai office recently, Mr Rafeeque Ahmed, Chairman of Farida Shoes, and President of Federation of Indian Export Organisations (FIEO), who also heads FDDI, said the institute will craft a five-year vision plan to take footwear exports from the current $800 million to $2.4 billion by 2008-09.

Describing the target as an achievable number, he said the study project, which also has the active participation of other key bodies such as the Council for Leather Exports (CLE) and the Central Leather Research Institute (CLRI), would be submitted to the Union Government for suitable policy prescriptions.

Describing the leather industry in the South, especially in the North Arcot district covering areas like Ranipet, Vellore, Ambur etc., as having a huge potential for employment generation, Mr Ahmed said a new trend that was emerging was the practice of employing more and more trained women workers in shoe factories which have easy-to-handle machines. The work atmosphere, according to him, was extremely good.

Going by the UPA Government's broad programme for job creation in the rural sector, he said leather, with a huge employment potential, was best suited for this. Labelling the existing work culture in leather sector in North Arcot district as very good, he said some 2.4 lakh people are now employed in this 100-year old traditional industry in the region.

Citing the need for greater industry-government tie-ups to make Indian footwear exports more competitive, he said the proposed International Footwear Components Park at Irunkattukottai in Tamil Nadu (near the site of Hyundai's automobile factory) as a major import substitution venture. Some Rs 10 crore under the 10th Plan has already been set aside for this project to be executed through a Special Purpose Vehicle, under the guidance of CLE. It is to be completed within a year's time. Mr Ahmed informed that three Italian and one Chinese shoe component manufacturers have shown interest in this international park, for which the State Government has already allotted the required land.