Often, your love for luxurious leather goods ends in you purchasing Louis Vuitton handbags, Clarks shoes, or Burton suits, not knowing that some of the finest leather goods on the market are made in India. Today, India is one of the fastest-growing production centers for leather goods. In a market flooded by French as well as Italian companies, Indian leather products have made their own place in the world sector of leather goods. Here’s why.
Indian leather producers have realized that they need to increase their exports to sustain or boost their sales in key markets such as that of US, Japan, China and the rest of European countries. Nowadays, the majority of consumers around the world prefer purchasing products from countries in the developing world like India. This is due to the fact that Indian products are more affordable than those of developed nations. Indian exporters also are aware of the fact that over the future, if they continue to expand their business aggressively and expand their business, they’ll have the ability to obtain decent returns on their investments.
With competition between Indian exporters in global contracts growing more intense they are looking at new methods to draw customers. One such measure is reducing import duty on some goods supplied to the world. Imports of raw hide and clothes have been regulated through the Indian Ministry of Foreign Affairs since the nineteen-seventies. Today, even machinery and transport equipment, appliances and chemicals are imported to enhance the competitiveness of the Indian leather makers. According to an World Trade Organization study, Indian exporters benefit from the lowest level of taxes on textile imports.
Apparel that is imported from India includes dresses, shawls blankets, bed sheets, scarves, socks, shoes and gloves. A study conducted in September 2021 by Leishman showed that Indian exporters export apparel which is much cheaper than the cost of leather. In addition, Indian textiles have some top attributes in terms of quality, durability and color. They are also renowned for their use of the finest grade of leather as well as the most efficient techniques for manufacturing. According to the Indian Ministry of External Affairs over the past four years, the quantity of imports have increased by forty percent. In the same period the amount of exports is down by 20%.
According to an analysis by IDFC, Indian exported merchandise dropped eleven percent in value in fiscal year 2021, over the preceding year. But, the drop wasn’t as drastic as that which was seen in other countries such as China and Taiwan. The reason for the decline could be due to the entrance of foreign exchange earners into the Indian sector of leather. According to a study conducted by the IDFC, Indian exporters are losing millions of dollars to foreign exchange earners who are buying leather products on Indian markets.
But, this issue can be resolved however, if Indian manufacturers will start investing more money in research and development of new tanning facilities. If Indian textile production is looking to expand, then investing in these three areas is essential. As these are also major tourist destinations, they will get high traffic and this will help them increase their production as well as the number of jobs they fill.
On the other hand in the event that Indian leather producers aren’t able to invest in the research and development of more efficient tanning processes, then they may have difficulties in coming up with the most innovative and top quality leather products. It’s true that investing in the research and development of new processes and equipment can take a lot of money, but the returns can be massive. As the demand for handmade products from overseas is not going to decrease, export revenues from this industry can augment as well. Thus, this small purchase will enable the small and budding manufacturers of textiles to grow and prosper. At the end of the day, they will be able to satisfy the desires of their customers , which is to provide the best quality items at the lowest price.
Kanpur in the state of Kanpur and Bikaner are possibly two of the most famous leather regions located in the Eastern part of India. These two cities boast of many leather and textile factories that churn out products that are of every kind. There are many textile export warehouses and tanneries in the area. Some of the top companies producing high quality leather products include MNCPs such as Vishwa, Essar, Hindustan Shipyard Co. Ltd and MMC Asia. Beyond these there are a number of small-scale businesses located here that make products like the ghee, waki, and khadi sarees.