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Study-of-Indian-Leather-Industry-2003

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INDIAN LEATHER INDUSTR Y
Submitted by,

AHSAN JAVED
ROLL NO. BM-A-20 POST GRADUATE DIPLOMA IN BUSINESS MANAGEMENT

Submitted to,

DR. SHAMSHER
YMCA BUSINESS SCHOOL

PRICING AND DOCUMENTATION

INDIAN LEATHER INDUSTRY

ACKNWOLEDGEMENT

“FOR

EVERY

OPPORTUNITY

MAY

GOD

BE

THANKED” I am very thankful to our teacher Dr. Shamsher for his great assistance of the to make the successful his able accomplishment learnt a lot. I am also thankful to my friends and colleagues for their support and endurance while preparing this project. I would like to thank all the people who have directly or indirectly helped me in completing this project, as and when I required. project. Through

guidance and knowledge-based interactions, we have

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INDIAN LEATHER INDUSTRY

AHSAN JAVED

PREFACE

The project Indian Leather Industry has been carried out with a view point of understanding the role of Leather Industry in the Indian Trade and Indian economy. As per the objective of the project, I have tried to explain, analyze and interpret the role of Leather sector in Indian as well as in international trade.

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INDIAN LEATHER INDUSTRY

TABLE OF CONTENTS
CHAPTE R    

TOPIC
Acknowledgement Preface Executive Summary Objectives Of The Study

PAGE NO. 02 03 08 10

1.

INTRODUCTION TO LEATHER INDUSTRY:
 An Overview  History Of Leather  World Scenario  Environmental Products Aspects for Leather

11 12 14 17

2.

THE INDIAN LEATHER INDUSTRY:
 Indian Scenario  Composition Of Indian Leather Exports  Strengths Of Indian Leather Sector

18 20 21 22
4

Export Potential:
 India’s Export Of Leather And Leather Products For Five Years

INDIAN LEATHER INDUSTRY

 Import Scenario  Major Importing Countries Of Indian Leather And Leather Products  Analysis Of India’s Export Potential  Strategies For Indian Leather Sector  Major Issues Affecting The Sector

25 26 29 32 35 37 39 41 42 44

Export Performance:
 Major Highlights  Country-Wise Analysis  Trend In Major Importing Countries Of Leather Products  Port-Wise Export Performance SWOT Analysis of the Indian Leather Industry

3.

GOVERNMENT ROLE IN INDIAN LEATHER INDUSTRY:
 Prospects For Indian Leather Exports  INDAIN Leather Development Program (Implementation During 11th Fine Years Plan)  Supplement To Foreign Trade Policy 2004-2009 Announced On 26th February, 2009  Relief Measures Announced By Government Of India To Exporters  Government Support – Policies  Leather Industry Tariffs

45 47 51 54 57 58

4.

LEATHER INDUSTRY-TRADE ORGANIZATIONS:
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INDIAN LEATHER INDUSTRY

 Major Production Centres  Leather Institutes  Council For Leather Exports  Main Markets  International Leather Organizations

60 62 64 66 67

5.

PROMOTION AND MARKETING OF INDIAN LEATHER INDUSTRY:
 Entry Into The Market: Basic Consideration  Recent Marketing Efforts To Promote The Indian Leather Industry  International Leather Fairs In India 2008-09  Connecting Indian Leather To The World - Cle At International Fairs/BSMs  List Of Road Shows Organized / To Be Organized In Overseas Countries  Role Of Exim Bank In Promoting Indian Leather Sector

71 74 75 77 78 79

6.

EXPORT PROCEDURES AND DOCUMENTATION RELATING TO INDIAN LEATHER INDUSTRY:
 Export Documents  Documents Related To Goods  Certificates Related To Shipment  Documentation  Dutiable Shipping Bills  Documents Related To Payment

80 83 85 86 88 89
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INDIAN LEATHER INDUSTRY

 100% E.O.U  Export Procedure  List Of Documents Required To Be Submitted By The Exporter To The Various Authorities, Organization And Agents

96 98 103

7.

FINANCING:
 Pre- Shipment Finance  Post –Shipment Finance  Procedure

106 109 110

8.

FUTURE PROSPECTS OF INDIAN LEATHER INDUSTRY:
 Leather Industry Targets $7 Billion Exports By 2011  Integrated Leather Development


111 112 113 115 116 121 123

Leather Sector Impact-Interim Budget 2009-10

   

Conclusion Weaknesses of Indian leather indusrty Remedial measures Impacts of current recession on Indian leather industry

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INDIAN LEATHER INDUSTRY

   

Leather industry glossary Leather products
Leather Exporters in India Indian Leather Manufacturers

126 144 155 158

EXECUTIVE SUMMARY
The basic objective of undertaking this project was to study the role of Leather Industry in Indian economy, to examine the export potential of leather products, to analyze the various Documents for findings out the adequacy and precision of export facilities by financial institutions and the role of Indian Government in Indian leather sector. I collected the data using various primary and secondary sources. (The sources of data collection have been mentioned at required chapters in my report).
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INDIAN LEATHER INDUSTRY

The Leather Industry is a significant segment of the foreign trade in India. India ranks eighth among the leather producing countries in the world. The industry is labor intensive. The Indian leather industry is provided with institutional infrastructure support through premier institutions like Council for Leather Exports, Central Leather Research Institute (Chennai), Footwear Design & Development Institute (Noida), National Institute of Fashion Technology (New Delhi), etc in the areas of technological development, design and product development and human resource development. The various phases of export are offer and receipt of confirmed orders, production and clearance of the products for exports, shipment, negotiation of document and realization of export proceeds and obtaining various export incentives.

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INDIAN LEATHER INDUSTRY

OBJECTIVES OF THE STUDY

1.

To study the role of Leather Industry in Indian economy.

2.

To

examine

the

export

potential

of

leather

products.
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INDIAN LEATHER INDUSTRY

3. To analyze the various Documents for findings out the adequacy and precision of export facilities by financial institutions. 4. To explain the role of Indian Government in Indian Leather Sector.
5.

To suggest any improvements necessary in the existing Leather Industry.

CHAPTER ONE

INTRODUCTION TO LEATHER INDUSTRY
THE LEATHER INDUSTRY – AN OVERVIEW:
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INDIAN LEATHER INDUSTRY

The leather industry occupies a place of prominence in the Indian economy in view of its massive potential for employment, growth and exports. There has been an increasing emphasis on its planned development, aimed at optimum utilization of available raw materials for maximizing the returns, particularly from exports. Indian leather industry today has attained well merited recognition in international markets besides occupying a prominent place among the top seven foreign exchange earners of the country. There came the long awaited dusk to the complacence of the Indian manufacturers,(the village leather industry in particular) When the long slammed doors of global markets were opened to the leather industry. As already project by various economic wizards, the leather manufacturers met challenge with a renewed vigor and started capturing markets like Germany, U.S, Italy, U.K., and France. The very fact that a major market like U.S. has been chosen to build up positive image for the Indian leather products and to promote joint ventures adds one more feather in the cap of leather industry in presenting a strategy so remarkable.

“Leather Fashion”- A Hot Tip:
When one talk of leather products coupled with their bulk exports, naturally the buzzword “fashion” comes in question. In order to survive in market already filled with competitors, it is indispensable for an exporter to be at par with the latest fashion development in the country in which he is exporting the goods. When the fashion speaks for itself, it can play a stimulating role as spearhead of an entire industrial sector .A search for light, purity, clear lines has been acclaimed at the basis for fashion in the leather products. Elegance is the back with the timeless, thorough bred city –dwellers-inspirations that will characterize this look. City fashion has new focal points in this new trend towards elegance. Talking about the contemporary fashion, one
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INDIAN LEATHER INDUSTRY

cannot ignore the timeless crocodile and python prints in elegant cameo tones have a slightly old fashioned look that is now very fashionable. The traditional grained leather, caviar, sharkskin, lizard, clusters and fabrics prints are Omni present, with two-tone effect and high shine. Thus with the coming back of such age old and traditional taste in leather products, one cannot clearly defined that this is the era of renaissance in the Indian. The leather industry has undergone a dramatic transformation from a mere exporter of raw materials in the sixties to that of value added finished products in the nineties. Policy initiatives taken by the Government of India since 1973 have been instrumental to such a transformation. In the wake of globalization of Indian economy supported with liberalized economic and trade policies since 1991, the industry is poised for further growth to achieve greater share in the global trade.

HISTORY OF LEATHER
The primitive man, even more than 7000 years ago, made and used leather goods. He dried fresh skins in the sun, softened them by pounding in animal fats and brains, and preserved them by salting and smoking. Of course, the products were crude, made for protection than as fashion. The Egyptians and Hebrews developed around 400 BC, the process of vegetable tanning that involved simple drying and curing techniques Under the Arabs during the middle Ages, the art of leather making became quite sophisticated. Morocco and cordovan leathers were in great demand. The ancient puppet theatre in the southern India used primarily leather dolls. The tradition continues even today. Following the industrial revolution in Europe, power driven machines were introduced to perform operations such as splitting, fleshing, and dehairing. The chemical tannage were introduced towards the end of 19th century

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INDIAN LEATHER INDUSTRY

COMMON LEATHERS:       cattle, including calf and ox sheep and lamb goat and kid equine animals, including horse, mule, and zebra buffalo pig and hog

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INDIAN LEATHER INDUSTRY

WORLD SCENARIO:
WORLD LIVESTOCK POPULATION:
Hides and skins are the basic raw materials for the leather industry, which originate from the source of livestock. There was an upsurge in the number of bovine animals and goats and kids during 2007-2008, while population of heap and lambs was on a decline. Developing countries accounted for around 78% of the total population of bovine animals and 93% of world population of goats and kids. World bovine animal’s population stood at 1,529 million heads in 2008. India had the largest number of bovine animals (283 million heads) with a share of 19% followed by Brazil (13%), China (9%) and USA (6%). World sheep and lambs population stood at 1,079 million heads in 2008. With a total population of 170 million heads, China had a share of 16% in the world sheep and lambs population. India (6%) lagged behind at third position, with a population of 62 million heads. World goats and kids population stood at 807 million heads in 2008. China has the highest population of goats and kids, which stood at 195 million heads in 2008. Although in 1990, India had the highest population of goats and kids (21% of the total), it was overtaken by China in 1995 and the gap between the two countries has been widening.

WORLD RAW HIDES AND SKINS PRODUCTION:
World production of raw hides and skins was nearly 7 million metric tonnes, of which production of bovine hides and skins alone accounted for 90% in 2008. Developing countries are the major producers of raw hides and skins. China played a significant role in turning developing countries as the major source of global imports of raw hides and skins.

WORLD LEATHER EXPORTS:
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INDIAN LEATHER INDUSTRY

World leather exports grew moderately, by a CAGR of 7.3%, from US$ 46 billion in 2000 to US$ 61 billion in 2004. World leather exports can be categorized in to raw hides and skins (40%), leather articles (49%) and fur skins (11%).

China, Hong Kong, Italy, USA and France are major exporters of leather in the world. World leather articles exports increased by a CAGR of 8.06%, from US$ 22 billion in 2000to US$ 30 billion in 2004. China constitutes 34% of the total leather articles exports. Hong Kong (17%), Italy (11%) and France (9%) are other major exporters. India’s exports of leather articles have stabilized around US$ 1,033 million in 2008.

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INDIAN LEATHER INDUSTRY

WORLD LEATHER IMPORTS:
World leather imports can be classified in to raw hides and skins, leather articles and fur skins, with a share of 38%, 55% and 7% of the total world leather imports, respectively. Leather articles are predominantly imported by USA, Spain, UK and Belgium; whereas China, Mexico, Turkey and Romania are mainly into imports of raw hides and skins. Hong Kong, USA and Italy are chief importers of fur skins. World imports of leather articles are estimated to have grown marginally from US$ 27 billion in 2000 to nearly US$ 34 billion in 2008. USA, the largest importer of this product, is predominantly captured by China. China’s share in USA’s import of leather articles has increased gradually, from 54% in 2000 to 70% in 2008.

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INDIAN LEATHER INDUSTRY

ENVIRONMENTAL ASPECTS FOR LEATHER PRODUCTS:
Manufacturers who produce environmentally sound products will enjoy a competitive advantage in all business relations. The pitch has to be to successfully emphasis the environmental soundness of the product in the information to the buyers since major attention is being paid to the increasing role of the environmental regulations. Therefore, the manufacturers have to view their products and production processes not just by looking at traditional aspects like price, quality, customer demands, etc. but also at the environment. Environmentally sound production, consequently, opens new market opportunities. The regulations concerning the ban on the use of Azo Dyes and PCP need to be specially taken care of. Use of both these inputs has been banned due to their carcinogenic nature. Likewise, for compliance with the German packing regulations, Indian suppliers have to stick to the basic principle that packaging material be reusable and recyclable. Consumers may have a tendency to choose products, which are easily recognizable as such and are labeled according to legal stipulations. The hallmark for these environment-friendly products is normally referred to as ‘ECO-LABEL’. This indicates that the product is manufactured in consonance with the environmental regulations.
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INDIAN LEATHER INDUSTRY

CHAPTER TWO

THE INDIAN LEATHER INDUSTRY
INDIAN SCENARIO:
With about 15% of the world livestock population, India accounted for only 8% of the leather production in 2008.The Indian leather industry consists of 42,000 small-scale industry (SSI) units, which account for 75% of the total production. Nearly, 2.5 million people earn their livelihood from this sector. A survey by Central Leather Research Institute (CLRI) estimated that about 1,600 tanneries were present in India in 2000. The concentration of tanning industries is mainly in Tamil Nadu, with a share of 52%. Other states where tanning industry is concentrated include West Bengal and Uttar Pradesh. Small scale
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INDIAN LEATHER INDUSTRY

sector accounts for large processing capacity ranging from 7087% for different leather products.

INDUSTRY AT A GLANCE:
 The Indian leather Industry occupies a place of prominence in the Indian economy in view of its substantial export earnings, employment generation and growth.  There has been increasing emphasis on its planned development, aimed at optimum utilization of available raw material for maximizing the returns particularly from exports.  The export of leather and leather products increased manifold over the past decades. The export increased from Rs. 290 mn in 1956-57 and from Rs. 30760 mn in 1991-92 to Rs. 140007.33 mn in 2007-08.  Today the industry ranks 8th in the export trade in terms of foreign exchange earnings of the country.  The composition of export of leather and leather products from India has undergone a structural change during the last three decades, from merely an exporter of raw material in the sixties to that of value added products in the nineties. The value added finished products presently constitute around 80% of the total export from the Industry, which was mere 7% in 1956-57.  India accounts for a share of 2.62% in the global leather trade during 2006. With the exclusion of non-leather footwear, this is slightly higher at 3.41%.


  

India is the largest livestock holding country -21% large animals and 11% small animals. A source for 10% global leather requirement Annual production value US$ 5 billion Annual export value US$ 3.47 billion
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INDIAN LEATHER INDUSTRY
      

Export growth CAGR 11.91% (5 years) About 2.50 million workforce (30% women) Promising technology inflow and Foreign Direct Investment Top priority to occupational safety and work environment Meticulous concern for consumer safety Compliance to environmental standards Enormous potential for future growth (domestic as well as export) .

COMPOSITION EXPORTS:

OF

INDIAN

LEATHER

Composition of Indian leather exports has undergone a radical change, from being a mere exporter of raw hides and skins, to a status of an exporter of value added leather products. From 199192, India has been exporting only finished leather because of export restriction on semi finished leather. Total leather and leather manufactures exports stood at Rs.10, 286 crores in 200405. Leather footwear is the largest component of leather exports, with a share of 26%.

ESTIMATED PRODUCTION CAPACITIES: ITEM
Hides Skins

CAPACITY
65 million pieces 170 million pieces
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Leather Footwear Leather shoe uppers Non-leather footwear Leather Garments Leather Goods Industrial Gloves Saddlers & Harness Source: CLRI

909 million pairs 100 million pairs 1056 million pairs 16 million pieces 63 million pieces 52 million pairs 12.50 million pieces

STRENGTHS SECTOR:

OF

INDIAN

LEATHER

 Own raw material source – 2 billion sq ft of leather produced annually  Some varieties of goat / calf / sheep skins command premium position  Strong and eco-sustainable tanning base  Modernized manufacturing units  Trained / skilled manpower at competitive wage levels
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INDIAN LEATHER INDUSTRY

 World-class institutional support for Human Resources Development and R & D activities  Presence of support industries like leather chemicals and finishing auxiliaries  Presence in major markets – Long Europe experience  Preferred sourcing by several international brands – Pierre Cardin, Versace, NEXT, Hugo Boss, Tommy Hilfiger, Florsheim, Clarks, K shoes, DKNY, Liz Claiborne, Guess etc.  Strategic location in the Asian landmass

EMERGING STRENGTHS
 Design     




development initiatives by institutions and individuals. Continuous modernization and technology up gradation. Economic size of manufacturing units. Constant human resource development programme to enhance productivity. Increasing use of quality components. Shorter prototype development time. Delivery compliance. Growing domestic market for footwear and leather articles.

EXPORT POTENTIAL:
INDIA’S EXPORT OF LEATHER AND LEATHER PRODUCTS FOR FIVE YEARS:

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INDIAN LEATHER INDUSTRY

India’s Export was growing at a CAGR of 11.91% in the last 5 years. Global leather import trade was growing at a CAGR of 8.77% during last 5 years.

YEARS
2003-04 2004-05 (VALUE 555.71 767.73 301.08 539.21 52.71 2216.45 18.20% 607.73 910.77 329.44 585.72 61.71 2495.37 12.58% 2005-06 2006-07 2007-08

CATEGORY
Finished Leather Footwear Leather Garments Leather Goods Saddlery & Harness Total % Growth

IN MILLION US$)
636.27 1045.24 333.30 660.17 77.52 2752.50 10.30% 724.00 1236.91 309.91 706.28 82.33 3059.43 11.15% 766.93 1475.83 343.99 784.95 105.81 3477.52 13.67%

Source: DGCI&S

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The leather industry, one of the major foreign exchange earners of the country recorded significant growth since the beginning of the decade. Today the share of the value added finished products in the total exports from leather sector are 80% as against 20% in 1970s.

Export Scenario for the last 5 Years

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INDIAN LEATHER INDUSTRY

% Share of Leather Products in Export Performance (2007-08):

IMPORT SCENARIO:

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INDIAN LEATHER INDUSTRY

INDIA’S IMPORT OF RAW HIDES & SKINS AND LEATHER FOR FIVE YEARS:

YEARS CATEGORY
Raw Hides & Skins Leather TOTAL 2003-04 49.80 171.01 220.81 2004-05 50.21 212.70 262.91 2005-06 58.21 233.11 291.32 2006-07 69.58 288.85 358.44 2007-08 84.12 336.56 420.68

(VALUE IN MILLION US$)

MAJOR IMPORTING COUNTRIES OF INDIAN LEATHER AND LEATHER PRODUCTS
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INDIAN LEATHER INDUSTRY

THE COUNTRY-WISE PERFORMANCE FOR FIVE YEARS:
(Value in Million US$)

COUNTRY
GERMANY ITALY UK USA HONG KONG SPAIN FRANCE NETHERLAND S UAE PORTUGAL BELGIUM CHINA AUSTRALIA DENMARK SWEDEN CANADA KOREA REP. SOUTH AFRICA SWITZERLAN D AUSTRIA GREECE

200304
329.82 285.02 250.65 251.58 226.97 161.23 109.82 57.75 37.39 34.07 24.24 22.87 32.03 24.66 19.61 25.59 25.47 20.64 16.64 19.12 21.11

200405
350.79 258.23 313.69 290.42 247.68 176.70 140.00 65.68 48.03 38.38 35.10 34.51 36.41 30.84 23.49 29.70 30.98 21.71 18.35 21.23 19.53

200506
363.24 317.04 345.54 318.36 252.15 200.18 143.72 82.95 52.34 42.20 40.20 38.71 43.22 40.46 25.82 34.80 34.45 24.38 21.54 23.38 21.94

200607
410.08 413.35 359.84 317.59 279.72 185.78 174.04 100.82 62.55 49.92 43.01 42.52 39.38 42.30 29.01 32.17 36.28 35.23 21.92 21.79 24.22

CAGR 2007- GROWT 08 H%
488.72 479.04 414.32 306.69 267.93 212.07 196.17 133.37 74.53 56.06 54.53 51.90 49.74 49.08 38.81 35.90 28.80 27.49 25.47 25.43 23.38 10.33%. 13.86%. 13.38%. 5.07%. 4.23%. 7.09%. 15.60%. 23.27%. 18.82%. 13.25%. 22.46%. 22.73%. 11.63%. 18.77%. 18.60%. 8.83%. 3.11%. 7.42%. 11.22%. 7.39%. 2.58%.
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SAUDI ARABIA JAPAN RUSSIA INDONESIA FINLAND IRELAND NEW ZEALAND OTHERS TOTAL

10.61 10.37 11.33 8.42 4.23 4.08

12.08 10.57 8.05 10.22 6.62 5.77

14.63 12.37 11.49 12.66 7.72 4.56

15.77 12.26 17.18 12.17 9.87 5.46

15.53 15.41 14.95 14.90 14.33 8.07

9.99%. 10.40%. 7.17%. 15.33%. 35.66%. 18.59%. 7.32%. 20.27%. 11.91%.

4.22 3.28 5.64 6.05 5.60 166.91 207.33 216.81 259.15 349.30 2216.45 2495.37 2752.50 3059.43 3477.52

Source: DGCI & S

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Country-wise Export Performance (2007-08):

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ANALYSIS OF INDIA’S EXPORT POTENTIAL:
India’s major export markets for leather handbags are USA, Germany, UK and Spain. In UK and Spain, Italy is the top exporting country of leather handbags. However, China has overtaken Italy and emerged as major exporter in markets like USA, Canada, Hong Kong and Russia. India has lot of potential in these markets, as it has unique advantage of economies of scale and capability of producing niche products. Footwear is a critical segment for the Indian leather industry as this is expected to be the engine of growth for the Indian leather sector. Currently, the trend in export of Indian footwear has been encouraging; however the trend for footwear components exports has been declining. India’s exports of footwear components have dropped from US$ 238 million in 2000-01 to US$ 164 million in 2004-05. Top importers of leather footwear uppers in the world are China, United Kingdom and Canada. World leather garments exports have increased over the years. USA, Germany and Japan were the largest importers of leather garments in the world in 2004. India was placed among the top three exporting countries of leather garments in these markets. Further, India is the largest sourcing partner of leather garments to Spain and Italy, which are the major markets for Indian leather garments. India’s other major export markets are Germany, USA and France. But, India must be cautious of China, as its unit price of leather garments is cheaper than that of India.

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INDIAN LEATHER INDUSTRY

INDIAN LEATHER FOOTWEAR INDUSTRY
India is the world's second largest producer of footwear; its production estimated over 700 million pairs per annum. At about US $ 300 million per year, footwear accounts for 18 percent share of total exports of leather exports. Various types of shoes produced and exported from India include dress shoes, casuals, moccasins, sports shoes, horacchis, sandals, ballerinas, and booties. Major production centres are Chennai (Madras), Delhi, Agra, Kanpur, Mumbai (Bombay), Calcutta and Jalandhar. Most of the modern footwear manufacturers in India are already supplying to well establish brands in Europe and USA. The large domestic market and the opportunity to cater to world markets make India an attractive destination for technology and investments. Equally relevant is it for the footwear components industry, at this juncture, it is posed for real growth and diversification.

INDIAN LEATHER GOODS INDUSTRY
Items produced by this sector include, in addition to bags, handbags, hand gloves and industrial gloves, wallets, ruck sacks, folios, brief cases, travel ware, belts, sports goods, upholstery and saddlery goods. A surfeit of modern units in Chennai, Kanpur and Calcutta employing skilled human resources and equipped with modern and sophisticated machinery account for a diversified range of superlative small leather goods including bags, purses, wallets, industrial gloves etc. made of quality leathers of cows, sheep, goats and buffaloes. The products meet the requirement of bulk buyers and consumers in Europe, USA and Australia.

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INDIAN LEATHER INDUSTRY

The major market for Indian leather goods is Germany, with an off take of about 25 per cent of the leather goods produced in India followed by USA, UK, France and Italy. With products ranging from designer collections to personal leather accessories, this sector has a share of 20.53 per cent in the leather industry, while maintaining an average growth rate of 11 per cent recorded in the last five years.

INDIAN SADDLERY INDUSTRY
India is one of the largest producers of saddlery and harness goods in the world. The saddlery industry was established in the 19th century primarily to cater to the needs of military and police. From then on initiatives were taken to develop, the industry and today there are over 150 units in the organised sector, out of which approximately 105 are 100% export oriented units. Kanpur, in the state of Uttar Pradesh, is a major production centre for saddlery goods in India accounting for more than 95% of the total exports of saddlery items from India. Kanpur, because of its specialization in tanning and finishing of buffalo hides is the only centre in the country where harness leather, which is major input for saddlery industry, is manufactured. The export of saddlery and harness items has showed an annual growth rate of about 40% reaching DM 64 million during 1998-99. The major importers of Indian saddlery are Germany, USA, UK, France, Scandinavia, Netherlands, Japan, Australia and New Zealand.

INDIAN LEATHER GARMENTS INDUSTRY
The Leather Garment Industry occupies a place of prominence in the Indian leather sector. The product classification of leather garments comprise of jackets, long coats, waist coats, shirts,

33

INDIAN LEATHER INDUSTRY

pant/short, children garments, motorbike jackets, aprons and industrial leather garments. Indian leather garments, which entered the world market only in the mid-eighties with exports of Rs. 15 crores in 1997-98, account for about Rs. 1530 crore in 1997-98. The major export destination of leather garments from India is Germany. In 1997, German imports of leather garments aggregated DM 1786 million of which DM 304 million worth of imports went from India. India, China and Turkey were the major suppliers of leather garments for the German market, as they accounted for about 78% of the market share. Among the three major exporting nations of leather garments, India maintains a similar level of market share of about 20%, in both German and EU markets. Other markets for India include Italy, U.K., U.S.A. France, Spain and Netherlands. Recently, successful attempt had been made for exports to Denmark, Switzerland and Canada.

STRATEGIES FOR INDIAN LEATHER SECTOR
The Indian leather industry is targeting over US$ 5 billion exports by 2010 and is expected to add about additional 1 million direct and indirect jobs during this period. At present, the industry employs 2.5 million people directly and indirectly.

SHIFTING OF MANUFACTURING BASE:
Major world tanning firms are in the process of shifting their manufacturing base to developing countries due to high wage levels and strict environmental norms in developed countries. Factors such as availability of leather, production know-how,
34

INDIAN LEATHER INDUSTRY

processing of shoes work in India’s favour. India could effectively use these advantages to augment its share in global production and exports.

GOVERNMENT SUPPORT:
Technology up gradation and Modernization of the entire leather Value chain should be given priority. Recently, the Government has approved Rs. 290 crores for modernization and technology up gradation programme.

STRONG PRODUCTION BASE:
The industry should lay emphasis on design and technology, quality and innovation and economies of scale. Skill development for the manpower engaged in the sector is vital for enhancing the export potential of this sector.

INVESTMENT BY LARGE CORPORATES:
Indian leather industry is dominated by household and small scale sectors. Corporate presence would enhance the capability of producing quality leather products. The large capacity would also bring down the unit cost and increase the competitiveness in international markets.

NEW MARKETS:
Diversification of export markets is another important strategy for Indian leather industry. Consolidation in new markets such as Croatia, Slovakia and Serbia would sustain the export growth momentum for the Indian leather industry. Imports of leather articles by these countries have increased in the range of 2030% in a period of five years.
35

INDIAN LEATHER INDUSTRY

NEW TRENDS:
The industry needs to keep itself abreast with latest fashion trends in the sector. It is observed that Italian buyers pay attention not only to the quality of the leather products but also to the accessories used in the garments. It is imperative that adequate care is taken about the packing material.

DIVERSE MARKETING TECHNIQUES:
India needs to adopt aggressive marketing techniques in order to endure global competition. The industry could undertake business delegation to secure overseas investments and technology partnerships, besides building brand image. Developing countries like India should have two pronged marketing strategy of simultaneously targeting both low price and high quality markets, rather than the traditional strategy of being a low price-low quality supplier.

ENABLING INFRASTRUCTURE:
The development of the Calcutta Leather Complex is a positive sign as all amenities are available at one place. Such exclusive leather complexes could be developed in other major production centres. Improvements in efficiency of ports, internal transport, customs procedures and supply chain management are necessary for augmenting the productivity and exports in this sector.

FAIRS AND EXHIBITIONS:
It is imperative that Indian exporters participate in fairs and exhibitions organized in the international market. It could serve as a good platform to showcase our products. Lack of information
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INDIAN LEATHER INDUSTRY

about Indian leather manufacturers also acts as a hurdle for international buyers.

TRAINING FACILITIES:
Training programmes should enable the industry to foresee and adapt to changing trends and technology. It is imperative that the staff is skilled and well qualified to train the students. Further, programmes need to be conducted to make Indian exporters aware of different standards and requirements in the global market to ensure that Indian exports do not get rejected due to environmental norms.

MAJOR ISSUES AFFECTING THE SECTOR
The issues that are hindering the export growth of the Indian leather industry are as follows:

ENVIRONMENTAL ISSUES:
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INDIAN LEATHER INDUSTRY

The leather industry is traditionally considered as a polluting industry in the tanning and finishing stages of the production chain. Global standards set by importing countries affect the entry and increase the cost of market access to products of developing countries. Usage of many chemicals has been banned by various countries. The product specifications for leather are constantly under review, leading to greater stringency.

IMPACT OF PETA:
Campaigns by NGOs, such as People for Ethical Treatment of Animals (PETA), related to cruelty against animals have led to boycott of Indian leather products by many foreign companies.

WTO RELATED MATTERS:
With the advent of WTO, the average and bound tariffs for manufactured products have fallen in the developed countries. However, the average and bound tariffs for leather products remain relatively high. Many developed countries are implementing Technical Barriers to Trade (TBT) as Non-Tariff Barriers to restrict leather exports from developing countries like India.

COST ESCALATION:
Leather exporters have to meet domestic as well international environmental norms. Testing and certification requirements add to the However, it is observed that small supplier firms may not be able to comply with stringent environmental standards. High costs of compliance impose real economic costs on firms.

CHINESE COMPETITION:
38

INDIAN LEATHER INDUSTRY

Chinese leather industry ranks top on the raw material resources, product yield and import and export trade in the world. China is one of the major competitors to India’s leather sector as it has the capability to produce large volume at low price. Chinese leather exports have increased by three-fold after its entry into WTO.

THE INDIAN LEATHER INDUSTRY IS ORGANIZED AS FOLLOWS
     Tanning & finishing Footwear & Footwear Components Leather Garments Leather Goods (bags, wallets, belts, gloves, accessories) Saddlery and harness articles

EXPORT PERFORMANCE

39

INDIAN LEATHER INDUSTRY

Analysis of Export Performance of leather and leather products during April-October 2008 vis-à-vis April- October 2007

1.0 INTRODUCTION:
As per DGCI& S monthly export data, the export of leather & leather products for the period April-October 2008 touched US$ 2250.79 million against the performance of US$ 2024.62 million in the corresponding period of last year, registering a positive growth of 11.17% in Dollar Terms. In rupee terms the export touched Rs.98058.07 million against the previous year’s performance of Rs.82370.01 million showing a positive growth of 19.05%.

A Statement showing the Product-wise Export performance during April-October 2008 vis-à-vis AprilOctober 2007 is given below:

CATEGORY Finished Leather Leather Footwear Footwear Components Leather Garments Leather Goods Saddlery & Harness Non-Leather Footwear TOTAL Source : DGCI &S

(Value in Million Rs) APR-OCT APR-OCT

2007
19298.36 26372.66 6565.61 8484.11 18039.54 2488.15 1121.58 82370.01

% VARIATION 20384.69 5.63% 31939.30 21.11% 7207.17 9.77% 11381.91 34.16% 23276.98 29.03% 2654.77 6.70% 1213.25 8.17% 98058.07 19.05%

2008

40

INDIAN LEATHER INDUSTRY

CATEGORY Finished Leather Leather Footwear Footwear Components Leather Garments Leather Goods Saddlery & Harness Non-Leather Footwear TOTAL

(Value in Million US$) APR-OCT APR-OCT

2007
474.35 648.23 161.38 208.54 443.40 61.16 27.57 2024.62

2008

% VARIATION 467.90 -1.36% 733.12 13.10% 165.43 2.51% 261.26 25.28% 534.29 20.50% 60.94 -0.36% 27.85 1.02% 2250.79 11.17%

1.1 MAJOR HIGHLIGHTS:
 Export of Footwear (leather, footwear components & non-

leather footwear) has increased from US$ 837.18 million during April-October 2007 to US$ 926.40 million in AprilOctober 2008, registering a growth of 10.66%  In Dollar terms, leather footwear has alone grown by 13.10% and footwear components by 2.51% and Nonleather footwear by 1.02%.  In Dollar terms, export of Leather Garments has increased by 25.28% and Leather Goods by 20.50%. Export of Saddlery & Harness and Finished Leather marginally declined by 0.36% and 1.36% respectively.

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INDIAN LEATHER INDUSTRY

2.0 COUNTRY-WISE ANALYSIS


The major markets for Indian leather products are    


     

Germany (13.63%) Italy (13.30%) UK (11.61%) USA (9.48%) Hong Kong (7.08%) France (5.72%) Spain (5.72%) Netherlands (4.21%) U.A.E., (2.58%) Denmark (1.69%) Belgium (1.55%) Australia (1.41%)

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INDIAN LEATHER INDUSTRY

These 12 countries together accounts for nearly 77.98% of India’s total leather products export.



Overall positive growth is seen in markets likeo o o o o o o o o

Germany 9.51% USA 11.98% UK 8.68% Italy 10.20% France 21.26% Spain 11.37% Netherlands 27.73% Australia 12.55% Denmark 39.89%

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INDIAN LEATHER INDUSTRY



Overall decline is seen in markets likeo o o o

Hong Kong 9.29%, Russia 15.86%, Greece 14.55%, South Africa 23.25%.

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INDIAN LEATHER INDUSTRY

3.0 TREND IN MAJOR IMPORTING COUNTRIES OF LEATHER PRODUCTS
Country Germany Italy UK USA France Spain Netherlands U.A.E. Australia Hong Kong (In Million US$) April-Oct April-Oct % Variation 2007 2008 280.06 306.71 9.51% 271.71 299.42 10.20% 240.37 261.23 8.68% 190.61 213.44 11.98% 106.18 128.76 21.26% 115.64 128.79 11.37% 74.18 94.75 27.73% 42.29 58.08 37.32% 28.15 31.69 12.55% 175.66 159.35 -9.29%

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INDIAN LEATHER INDUSTRY

Source: DGCI & S

4.0 PORT-WISE EXPORT PERFORMANCE
As per the Port-wise compilation for the period April-October 2008, export of leather and leather products from all the Regions are showing positive growth.

(Value in Million US$) Region APROCT 2007 Souther n 865.20 Western 382.98 Eastern 276.55 Norther n 226.43 Central 46.51 Others 226.96 Total 2024.62 Share in Total Export 42.73% 18.92% 13.66% APROCT 2008 909.55 433.01 332.66 Share in Total Export 40.41% 19.24% 14.78% 11.64% 3.22% 10.72% 100.00% % Variation

5.13% 13.07% 20.29% 15.68% 55.81% 6.27% 11.17%

11.18% 261.93 2.30% 72.47 11.21% 241.18 100.00% 2250.79

Note: This is purely based on port-wise compilation and does not reflect the accurate regional performance: Source: DGCI& S

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INDIAN LEATHER INDUSTRY

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INDIAN LEATHER INDUSTRY

SWOT ANALYSIS OF THE INDIAN LEATHER INDUSTRY
STRENGTHS
• •

High Growth Ready availability of highly skilled and cheap manpower Large raw material base Policy initiatives taken by the Government Major part of the industry is unorganized Limited scope through public (many businesses Difficulty in bank cost of are family-owned) obtaining loans private for private issues mobilizing funds and placements and Capability to assimilate new technologies and handle large projects

OPPORTUNITI ES


• •

THREATS

Rising potential market in the domestic



Continuous emphasis on product development design up gradation.



Growing fashion consciousnes s globally



Use information technology

of

and decision support software help eliminate the length of the production cycle different products
• • • •

resulting in high borrowing

to

WEAKNESSES
Lack of warehousing support from the government International price fluctuation Huge labour force resulting in high labour charges Lack of strong presence in the global fashion market
• •

Stricter High

international standards competition East other countries countries from and Asian European

for

Use

of

e-

Lack

of

communication facilities skills
48

commerce in

Unawareness of international

and

INDIAN LEATHER INDUSTRY

direct marketing

standards by many players

CHAPTER THREE

GOVERNMENT ROLE IN INDIAN LEATHER INDUSTRY
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INDIAN LEATHER INDUSTRY

PROSPECTS FOR INDIAN LEATHER EXPORTS:
Exports has brightened in the recent year as India has emerged natural and alternate supplier of leather and leather goods to the global market. India has one of the highest concentrations of cattle population and produces close to 10% of global leather every year. Within the export basket, finished leather exports still constitute a significant 24%. Footwear as is known is the main driver of growth with more than 41% of the share in the export market. India with its advantage in the availability of raw material and large number of people available in the employment sector with its low manufacturing cost provides ample opportunities for entrepreneurs to invest and grow. Government of India policy of allowing 100% FDI has opened the gate for global leather entrepreneurs to explore this leather rich country. Special Economic Zones (SEZs) are created in India for producing leather products. These zones are deemed foreign territories where exports and imports are duty free. A foreign investor can own his factory in these zones and could repatriate 100% profit. There are huge concessions in taxes with five year holiday on the profit tax (income tax) and another five year with lesser percentage of tax as compared to units outside the SEZ. Plots are available in SEZ for investments Joint ventures and business collaborations are the known business models in Indian leather sector. As the consumption in the domestic market is increasing day by day, India is poised to import large quantities of leather from abroad. It would be beneficial for the overseas brand owners to forge business partnerships with the existing manufacturers in India with or without equity participation and manufacture goods for domestic market. Large numbers of living examples of JVs are there for anyone to see.

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INDIAN LEATHER INDUSTRY

Government of India is facilitating the development of infrastructure by promoting leather product parks. These parks are expected to have a complete link in the supply chain and they are expected to increase the production of leather goods and products in the next five years.

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INDIAN LEATHER INDUSTRY

INDIAN LEATHER DEVELOPMENT PROGRAMME (ILDP)
IMPLEMENTATION DURING 11TH FIVE YEAR PLAN (2007-12)
Leather Sector is the 10th largest manufacturing sector in India and it plays an important role in Indian economy in view of its substantial overall output, export earnings and employment potential. The Leather Sector employs 2.5 million people with majority from weaker sections of the society and about 30% women. The Sector is dominated by small and medium enterprises. In order to augment raw material base, enhance capacity, address environmental concerns, human resource development, attract investment and global marketing of Indian Leather, the Central Government has approved implementation of the Indian Leather Development Programme (ILDP) for the 11th Five Year Plan comprising of the following components :I.

INTEGRATED DEVELOPMENT OF LEATHER SECTOR (IDLS) (Outlay Rs. 253.43 crores): This is a 10th plan scheme and is being continued in the 11th plan. The scope of the scheme is enhance to include new units. The scheme would provide assistance in the form of Investment grant @ 30% to SSI and 20% to Non-SSI upto grant of Rs. 50 lakh. Assistance will be provided @ 20% if the grant amount is above Rs. 50 lakh within the ceiling of Rs. 2 crores. The disbursement above Rs. 25 lakh would be made in four equal installments.

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INDIAN LEATHER INDUSTRY

II.

LEATHER TANNING COMPLEX AT NELLORE (Outlay Rs. 29 crores): This project was proposed to be implemented during the 10th Five Year Plan. However, the project could not take off for want of decision from the Government of Andhra Pradesh. This project aims to increase the capacity of the tanning sector. The project is proposed to be implemented during the 11th Plan. Government of Andhra Pradesh has transferred the required land to LIDCAP, an institution expected to implement the project. A provision of Rs. 29 crores is approved during 11th plan as assistance to develop the infrastructure of the tanning park.

III.

ESTABLISHMENT OF BRANCH OF FDI (NIFDT) AT FURSATGANJ (OUTLAY RS. 7.17 CRORES): The institute would be a branch of the footwear design and development institute, Noida and would be equipped with facilities of the latest technologies to provide training of international standard with latest technology. The assistance from the Department to the project is Rs. 13.53 crores out of which Rs. 6.36 crores has been released during the 10th plan period. The balance of Rs. 7.17 crores has also been released in December 2007 i.e., during the plan period.

IV.

FOOTWEAR COMPLEX (OUTLAY RS. 3 CRORES): this is an going scheme of the 10th plan and aims to build a footwear complex near Chennai in 153.65 acres and provide infrastructure facilities for housing large footwear manufacturing units. Infrastructure development towards design and testing centre, display centre, warehousing, common power plant etc. would be provided. State Industries Promotion Corporation of Tamil Nadu Ltd.
53

INDIAN LEATHER INDUSTRY

(SIPCOT), a State Government undertaking is the implementing agency. The Central Government has released Rs. 11 crores during the 10th plan and the balance of Rs. 3 crores would be released during the 11th Five Year Plan period.

V.

SADDLER DEVELOPMENT (OUTLAY RS. 10 CRORES): Harness and saddler comprise a wide range of products. The industry had identified up gradation and development of skilled manpower, standardization and development of components accessories and tools, development of iow cost indigenous machinery, and improvement in production techniques and processes as major areas of concern. International Institute of Saddlery Technology and Export Management (Kanpur), a special purpose vehicle constituted under the overall guidance and superintendence of IIT (Kanpur) would continue to provide skilled human resources to meet the of the sector and function as an R & D base for the industry. In order order to achieve the above stated objectives an allocation of Rs. 10 crores has been approved for the XI plan period.

VI.

SUPPORT TO ARTISAN (OUTLAY RS. 40 CRORES): there are various clusters in Indian making traditional footwear and other leather goods. The aim of component is to promote the clusters at various forums as they are the integral part of rural Indian economy and have potential for generating local employment and export. The artisan clusters (both rural and urban) would be supported for enhancing their designs as per the changing trends and fashion, corpus for revolving funds and obtaining bulk raw material, grant base livelihood support, marketing support
54

INDIAN LEATHER INDUSTRY

linkages. The broad objective of this component would be to ensure better and higher returns to the artisans.

VII.

HUMAN RESOURCE DEVELOPMENT (OUTLAY RS. 60 CRORES): HRD mission would target the non-traditional potential workforce in the rural areas. The project would train and prepare the individuals in the rural areas to be fit to work in medium to large industrial units that are likely to be set up. Up gradation of skills of persons already employed in the sector besides training for trainers/ supervisors would also be undertaken. The scheme would lay stress on skill development and technical development especially in cutting and stitching. The training proposed under the scheme would be output linked where at least 75% of those trained would be placed in the industry.

VIII.

UP-GRADATION OF FACILITIES OF FDDI AND ESTABLISHMENT OF OTHER SUCH INSTITUTES AND CENTRES (OUTLAY RS. 300.07 CRORES): In leather sector, about 3,800 people are trained every year. Against this supply, the demand of the industry is around 1,00,000 skilled person every year for the next five years. In order to meet the growing demand of more skilled person the up gradation of existing facilities has become essential. Rs 10 crores, would be provided for the up gradation of existing FDDI campus at Noida. Assistance would be provided in the form of one-time grant for the creation of capital assets and permanent infrastructure and no recurring cost would be provided. It is proposed that at least three new FDDI campuses each in Tamil Nadu, West Bengal and Haryana would be established
55

INDIAN LEATHER INDUSTRY

at a cost of Rs. 96.69 crores each during the 11th Plan period to meet the growing demand of leather industry.

IX.

UPGRADATION OF INFRASTRUCTURE FOR ENVIRONMENT PROTECTION IN LEATHER SECTOR (OUTLAY RS. 200 CRORES): Leather industry and tanning activity in particular, all over the world is linked to environmental concerns. An allocation of Rs. 200 crores has been made in 11th five year plan to address these concerns. Projects for meeting environment concerns would be funded with 50% grants from central Government, 15% from State government and remaining 35% from the industry. The entire Operation and maintenance costs would be borne by the industry.

X.

MISSION MODE (10 CRORES): This programme envisages attracting investments into the sector and includes provision for research, programme support, surveys and concurrent evaluation etc in leather field. Besides, provisions has also been made for cost on account of advisory and consultancy services in respect of various projects under ILDP being implemented in the 11th Five Year Plan.

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INDIAN LEATHER INDUSTRY

SUPPLEMENT TO FOREIGN TRADE POLICY 2004-2009 ANNOUNCED ON 26TH FEBRUARY, 2009
Union Minister for Commerce and Industry Shri Kamal Nath announced the Supplement to Foreign Trade Policy 2004-09 on February 26, 2009. The major benefits announced in this supplement are given below:

PROMOTIONAL SCHEMES FOR LEATHER, TEXTILES ETC.
 An amount of Rs. 325 Crores would be provided under Promotional Schemes for Leather, Textile etc. for exports made with effect from 1.4.09. The details of the promotional schemes are expected to be notified in due course.

DEPB
 Duty credit scrips under Chapter 3 and under DEPB scheme shall now be issued without waiting for realization of export proceeds. The exporters shall be required to submit proof of export proceeds realization within the time limits prescribed by Reserve Bank of India. The issuance of these benefits without BRC would be subject to a Bank Guarantee/LUT in terms of Circular to be issued. This provision shall be applicable for applications made on or after 1.4.2009.

ADVANCE AUTHORISATION
 Export obligation period against advance authorizations has been extended up to 36 months in view of the present global economic slowdown.
57

INDIAN LEATHER INDUSTRY

Supply of an Intermediate product by the domestic supplier directly from their factory to the Port against Advance Intermediate Authorization, for export by ultimate exporter, has been allowed.  For Advance Licenses issued prior to 1.4.2002, the requirement of MODVAT/CENVAT certificate dispensed with in cases where the Customs Notification itself prescribed for payment of CVD. This will help in closure of a number of pending advance licenses.  In case of Advance Authorization for Annual Requirement where Standard Input-Output Norms are not fixed, the provisions in Customs Notification have been amended in line with Foreign Trade Policy. 


PREMIER TRADING HOUSES
 At present, Govt. recognizes Premier Trading Houses based on an export turnover of Rs.10, 000 crores in the previous three years and the current year taken together. In view of the prevailing global slowdown, the threshold limit for recognition as Premier Trading House has now been reduced to Rs.7500 crores.

OTHER FACILITATION MEASURES

 Re-imbursement of additional duty of excise levied on fuel under the Finance Acts would also be admissible in respect of EOUs.

58

INDIAN LEATHER INDUSTRY



Re-credit of 4% SAD, in case of payment of duty by incentive scheme scrips such as VKGUY, FPS and FMS, has now been allowed.

 As per the existing procedure, applicants have to submit individual invoices certified by the jurisdictional excise authorities for claiming duty drawback claims. Further, for getting refund of Terminal Excise Duty deemed export ER-1 / ER-3 are required as documentary proof evidencing payment of excise duty. A simplified provision has now been introduced and exporters can now submit a Central Excise certified statement in lieu of individual invoices and a Monthly Statement confirming duty payment in lieu of ER-1/ ER-3, for the purpose of Deemed Export Benefits.

 Electronic Message Transfer facility for Advance Authorization and EPCG Scheme established for shipments from EDI ports w.e.f. 1.4.2009. Requirement of hard copy of Shipping Bills dispensed with for Export Obligation discharge.

In addition to the above, DGFT and Department of Revenue provisions have been aligned in following matters:

59

INDIAN LEATHER INDUSTRY

 Utilization of Duty Credit scrip allowed under Reward Schemes of/ DEPB, of FTP for payment of duty under EPCG Scheme.

 Notification of DFIA scheme aligned with FTP provisions.  Department of Revenue shall issue necessary clarification implementing provisions of FTP related to EOUs, thereby allowing them to supply goods and services at Zero Duty to authorized organizations notified for Zero Duty import.

RELIEF MEASURES ANNOUNCED GOVERNMENT OF INDIA TO EXPORTERS:

BY

The Government of India had earlier announced a package of relief measures to the exporters on account of the losses suffered by the exporters due to steep appreciation of Indian Rupee against overseas currencies in the past 8-9 months. The relief measures included upward revision of the DEPB Rates uniformly for leather and leather products by 3%, reduction of the interest rates on pre-shipment and post-shipment Rupee Export Credit by 2% for the period Apr. 1- Dec. 31st, 2007 for Leather Products and 10% reduction in ECGC Premium on Coverage Charges.

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INDIAN LEATHER INDUSTRY

SERVICE TAX EXEMPTION SPECIFIED SERVICES:

ON

CERTAIN

The Department of Revenue, Ministry of Finance, Government of India has issued a Service Tax Notification, dated Oct. 2007. The Service Tax exemption has been granted on the following services: S. No. Taxable Services

Classification Description under Finance Act, 1994 (1) (2) (3) 1. Section Services provided to an exporter by an 65(105)(d) insurer, including a re-insurer carrying on general insurance business in relation to insurance of said goods 2. Section Services to any person, by a port or any 65(105)(zn) person authorized by the port, in relation to port services, in any manner; 3. Section Services provided by a technical testing and 65(105)(zzh) analysis agency in relation to technical testing and analysis of said goods where such technical testing and analysis is required to be undertaken as per the written agreement between the exporter and the buyer of the said goods 4. Section Services provided by an inspection and 65(105)(zzi) certification agency in relation to inspection and certification of export goods where such technical inspection and certification is required to be undertaken as per written agreement between the exporter and the buyer of the export goods
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INDIAN LEATHER INDUSTRY

5.

6.

7.

Section Services to any person, by other port or any 65(105)(zzl) person authorized by that port in relation to port services, in any manner; Section Services provided for transport of said goods 65(105)(zzp) from the inland container depot to the port of export Section Services provided for transport of said goods 65(105)(zzzp) from the inland container depot to the port of export



EXTENSION OF 2% INTEREST REDUCTION ON RUPEE EXPORT CREDIT UP TO MARCH 31ST, 2008:

The Reserve Bank of India (RBI) vide Notification dated July 13,2007 announced 2% reduction in interest rates on preshipment and post-shipment credit for the period Apr. 1 – Dec. 31, 2007 to exporters of certain products including Leather Products. The RBI has now issued a notification dated Oct. 6, 2007 (copy enclosed) extending this benefit to exporters of various products including leather products up to March 31st, 2008.



PERMISSION OF INTEREST EARNING ON EEFC ACCOUNT:

As members are aware, Exchange Earner’s Foreign Currency (EEFC) accounts are currently permitted to be maintained in the form of non-interest bearing current accounts.
62

INDIAN LEATHER INDUSTRY

The RBI has issued a Notification dated Oct. 6th, 2007 through which exporters maintaining EEFC accounts are permitted to earn interest on EEFC account to the extent of outstanding balances of US $ 1 million per exporter. Members may note that this is a temporary measure valid up to Oct. 31st, 2008. Accordingly, it will now be possible for account holders to maintain outstanding balances to the extent of US $ 1 million in the form of term deposits up to one year maturing on or before 31st October 2008. The rate of interest will be determined by the banks themselves.

GOVERNMENT SUPPORT – POLICIES
 The entire leather sector is now de-licensed and dereserved, paving way for expansion on modern lines with state-of-the-art machinery and equipments.
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INDIAN LEATHER INDUSTRY

 100% Foreign Direct Investment and Joint Ventures permitted through the automatic route  100% repatriation of profit and dividends, if investments made in convertible foreign currency. Only a declaration to this effect to the Reserve Bank is required.  Promotion of Industrial Parks (one leather park in A.P; one leather goods park in W.B; one footwear park in T.N. and one footwear components park in Chennai)  Funding support for modernizing manufacturing facilities during Tenth Plan period 2002-07  Funding support for establishing Design Studios  Duty free import of all types of raw materials  Duty-free import of embellishments and components under specific scheme  Concessional duty on import of specified machinery for use in Leather Sector.  Duty neutralization/remission scheme in place like DEPB and Duty Drawback  Liberal import-export of consumer products and components  Gradual lowering of import tariff - Peak Rate 10%  Simplified import-export procedures, facilitating quicker customs clearances

LEATHER INDUSTRY TARIFFS

64

INDIAN LEATHER INDUSTRY

THE DUTY PRESENTLY APPLICABLE ON RAW MATERIALS, CAPITAL GOODS AND INPUT USED BY THE LEATHER & LEATHER PRODUCTS INDUSTRY ARE BRIEFLY STATED BELOW: The raw hides and skins falling under Customs Tariff Heading No. 41.01, 41.02 & 41.02 is exempted from import duty in accordance with Chapter 41 of the Customs Tariff Act. The import of wet blue chrome tanned leather, crust leather, finished leather of all kinds including splits and sides thereof exempted from customs duty in terms of CN 17/2001 vide SI No. 136. These are exempted from Countervailing Duty also. Raw, tanned dressed fur skins etc., including lamb fur skins falling under Chapter 43.01 & 43.02 have been exempted from Basic Customs duty in terms of SI No. 137 of CN 17/2001. 265 specified machinery & equipments for use in leather & leather products Industry are eligible for concessional import duty of 5% as per List 6 of CN 17/2001. And these are also exempted from levy of Countervailing Duty (CVD) Certain leather chemicals, finishing axillaries, components, consumables etc used in leather & leather products Industry are eligible for concessional import duty 25% CVD equivalent to Central Excise duty is leviable on such inputs. These are listed under List 3A & 3B of CN17/2001 vide SI No. 159. The import of saddle tree required for Harness & Saddlery goods Industry and which fall under Sub Heading 3926.90 of the Customs Tariff, is allowed at concessional duty of 5% in terms of SI.No. 128 of CN 17/2001. The import of fasteners and poly wadding materials and certain other inputs are allowed duty free import by the manufactureexporters of leather garments to the extent of 3% of their previous year’s export performance. Tags, label, printed bags, stickers, belts, buttons or hangers,
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INDIAN LEATHER INDUSTRY

imported by bona fide exporters, are exempted from duty in terms of SI No. 130 of CN 17/2001. Tanning extracts like wattle extract, quebracho extract etc are allowed to be imported with 10% Basic Customs Duty. No countervailing duty is leviable on Wattle Extract falling under Chapter 3201.20. However, import of other vegetable tanning extracts under Chapter 32 would continue to attract countervailing duty of 16%. 4% Special Additional Duty of Customs (SADC) will continued to levied on imports of all items. However, the imports under Advance Licenses, DEPB Scheme, EPCG Scheme etc are exempted from levy of Special Additional Duty of Customs,. 10% surcharge on the Basic Customs duty has been removed for all the imports. Leather chemicals and finishing axillaries, component, accessories and consumables indigenously produced will be subject to 16% Central Excise duty.

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INDIAN LEATHER INDUSTRY

CHAPTER FOUR

LEATHER INDUSTRY-TRADE ORGANIZATIONS
The Indian leather Industry occupies a place of prominence in the Indian economy in view of its substantial export earnings, employment generation and growth. There has been increasing emphasis on its planned development, aimed at optimum utilization of available raw material for maximizing the returns particularly from exports

MAJOR PRODUCTION CENTRES:
The major production centers in India for leather and leather products are located in:

SOUTH REGION
Tamil Nadu Chennai, Ambur, Ranipet, Vaniyambadi, Trichy, Dindigul Andhra Pradesh Karnataka Hyderabad Banglore

NORTHERN REGION
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INDIAN LEATHER INDUSTRY

Punjab Haryana

Jalandhar Ambala, Gurgaon, Panchkula and Karnal

Delhi

Delhi

EASTERN REGION
West Bangel Kolkatta

CENTRAL REGION
U.P. Kanpur, Agra

WESTERN REGION
Maharashtra Mumbai (Bombay)

LEATHER INSTITUTES

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INDIAN LEATHER INDUSTRY

 Central

Leather Research Institute (CLRI),Adyar, Design and Development Institute

Chennai 600020.
 Footwear

(FDDI),Noida 201301.
 National

Institute of Fashion Technology (NIFT),

New Delhi 110016.
 Anna

University, Sardar Patel Road, Guindy, Chennai Institute of Science and Technology, 173,

600025.
 Bharath

Agharam Road, Selaiyur PO, Chennai 600073.
 Dr.

B.R. Ambedkar Regional Engineering College, of Leather Technology,Salt lake City,

P.O., REC Jalandhar 144011.
 College

Calcuttta 700091.
 Central  AVI

Footwear Training Institute (CFTI), Agra.

School of Fashion and Shoe Technology, Design Centre,5477/72, Kikarwala Chowk, Karol Footwear Training Institute (CFTI), 65/1,

S.C.O., 493-94, 2nd Floor, Sector 35-C, Chandigarh.
 Shoe

Bagh, New Delhi 110005
 Central

GST Road, Guindy, Chennai 600032.

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INDIAN LEATHER INDUSTRY

 Indian

Institute of Leather Products (IILP), 102,

Mangalapuram, SIDCO Industrial Estate, Ambattur, Chennai.
 Prototype

Development
Guindy

and

Training

Centre
Estate,

(PDTC), National Small Industries Development Organization,
 VTA

Industrial

Ekkaduthangal, PO, Chennai 600097.

Institutes of Leather and Leather Products,21, Institute of Technology,Muzaffarpur Engineering College, Anna Salai,

Kailashgiri Road, Udaendram, Vaniyambadi 635734.
 Muzaffarpur

842003.
 Priyadarshini

Konamedu, Vaniyambadi, 635751, Vellore Distt.
 Harcourt

Butter Technological Institute, Kanpur

208002.

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INDIAN LEATHER INDUSTRY

COUNCIL FOR LEATHER EXPORTS
The council for Leather Exports was set up in July 1984.A nonprofit company registered under the Indian Companies Act, 1956, the Council functions under the Ministry of Commerce, Government of India. The council is entrusted with export promotion activities and overall development of the Indian leather industry. The Council’s activities also include promoting Foreign Direct Investment and Joint Ventures in the Indian Leather industry. The CLE serves as a bridge between Indian leather exporters and buyers all over the world. COUNCIL’S SERVICES TO THE INDIAN LEATHER INDUSTRY:  Collecting, Collating and disseminating world market intelligence.  Updating the information on global trends in fashion and design, product development.  Dissemination of information of commercial and technological nature through seminars and magazines.  Organizing participation of Indian exporters in international fairs and buyer-seller meets.  Sponsoring sales-cum-study teams and trade delegations.
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 Inviting foreign experts for providing technological inputs to Indian leather exporters.  Organizing international leather fairs in India. COUNCIL’S SERVICES TO OVERSEAS BUYERS INCLUDE:  Serving as a focal point for disseminating information on Indian manufacturers and exporters.  Organizing visits of buyers’ delegations dealing with trade information.  Liaising with various international organizations dealing with trade information.  Providing trade and commercial information on Indian leather industry

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MAIN MARKETS
NORTH AMERICA For leather jackets of high value these people are ready to pay any price. GERMANY For shoes and upper shoe. EUROPE For valets, purses, hand bags and ladies item CIS For all products together more than 25% goes to these parts. OTHER MARKETS: DENMARK, SAUDI ARABIA, SOUTH AFRICA
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LATIN AMERICA becoming strong markets for India.

INTERNATIONAL LEATHER ORGANISATIONS U.S.A.
ALCA
The American Leather Chimists Association c/o University of Cincinnati - Tanners Bldg, P.O.Box 210014 CINCINNATI, OHIO 45221-0014 E-mail: donmezk@email.uc.edu

FFANY
Fashion Footwear Association of New York 1414, Avenue of the Americas, Suite 203 NEW YORK, N.Y. 10019 The Fashion Footwear Association of New York, fondly known as FFANY, is a non-profit organization. Our goal is to promote and improve the general awareness and demand for fashion footwear and related products and to serve as an advocate of the multibillion dollar footwear industry globally. FFANY represents 300 corporations, and 800 of the most prestigious footwear brandnamesworldwide.
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FFANY's primary purpose is to organize and implement 6 international trade shows a year in New York City. All arkets are held at the Hilton New York located at 1335, Avenue of the Americas at 54 th Street

FIA
Footwear Industries of America 1420 K street, NW suite 600 WASHINGTON, DC 20005

LLGMA
Luggage and Leather goods manufacturers of America Inc.

NSRA
National Shoe Retailers Association Trade organisation representing independent shoe retailers. 7150, Columbia Gateway Drive, COLUMBIA, MD 21046

SSIA
Shoe Service Institute of America Robert J. Galvin - Webmaster 12114 Old Line Center Waldorf, 20602 BALTIMORE, MD SSIA is the Trade Association for the shoe repair industry in North America. Founded in 1904, its members are wholesalers, manufacturers and importers of shoe repair and shoe care products and machinery.

VENEZUELA
CAFACA
Venezuelan Association of Manufacturers of Components and Products for the Footwear Industry. Av. San Felipe, Quinta Adina 65, La Castellana, CARACAS 1060 E-mail:cafaca@hotmail.com CAFACA promotes the interests of its members both at a national
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and international level and is developing an export programme for the Venezuelan components sector. It is also sponsoring the components fair EXPOCOMP 200.

VIETNAM
LEFASO VN
Vietnam Leather and Footwear Association 25, Ly Thuong Kiet Str. HANOI E-mail: hhdg@hn.vnn.vn Year of establishment: 1990 Vietnam Leather and Footwear Association (LEFASO VN) is a social economic affiliated and voluntary organization representing manufacturers, traders, technical and science researchers and services suppliers engaged in the industry from all sectors of the economy those are operating in Vietnam. The Association is established and run on the principles of voluntary, equality and mutual benefits among the members. The Association has its own logo, stamp and account. Working regulation of the Association has been approved by the Minister of Industry. Targets of the Association are to conduct economic affiliated activities, designate and coordinate in action among the members relating to manufacture, exportation, importation, material supply, product consumption, etc… in the leather and footwear business, aimed at taking fullest account of the existing potential, improving product quality and social - economic effects to the member enterprises, in the meantime, increasing competitive edge in export markets and representing a voice for the member's interests.
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Vietnam Leather and Footwear Association has become an official member of the Asian International Footwear Association since 1996. The Association plays a key role in promoting international cooperation, providing technical - technological and training support and giving related information. Organization of the Association: The Executive Committee includes 16 members representing all economic sectors involved in the industry throughout the country. The Permanent Committee consists of 7 members: Chairman, 05 Vice Chairman and General Secretary. Secretarial group managed by the General Secretary, help the Executive and Permanent Committee. The Association is now having 90 members and new members are continuing to join the Association Vietnam Leather and Footwear Association looks forward to having cooperation with all organization and companies at home and abroad on the different areas of the industry.

VIETNAM LEATHER AND FOOTWEAR PRODUCERS ASSOCIATION
Head Office: 26, Le Dai Hanh Str. HANOI The Vietnam Leather and Footwear Producers Association is a volunteer organization with more than 60 members of different economic components in manufacturing and trading areas ; leather, shoes, rubber, plastic, canvas, imitation leather and other fields of activity concerned. The association has relations with Leather and Footwear Associations of many countries in the region and in the world. The association has pleasure to get new members from the country and abroad based on the principle of volunteer and abiding by the regulations of the Association.

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CHAPTER FIVE

PROMOTION AND MARKETING OF INDIAN LEATHER INDUSTRY
ENTRY INTO CONSIDERATION THE MARKET: BASIC

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A potential supplier seeking to enter the market must ensure first of all that he can compete with other suppliers on quality and price. Before embarking on an export venture, the exporter must be assured about his product and to which segment he wants to serve. A delicate care of following points can go along a long way is enabling the exporter to reach the right market.  Segmentation of the market.  Supplying to the upper most group-elite cream of the society.  Since the product is very expensive, the supplier cannot compromise even on simple aspect which may “deglamourize” the hide.  The supplier should make many pieces since they are exclusive – unique.


Since the manufactures is a social trends setters, he has to always keep ahead as Constant. he has to offer something new, Change is always i.e. to say that in the export market

 One should never think of reducing the price as for the buyer, even if it is an exceptionally high price because the buyer, here are abnormal buyers not normal buyers.  One should never supply a very big quantity at any given movement he should each month. Large export organization particularly manufactures exporters maintain a separate research development with qualify staff for his purpose. In department collects information about foreign market from all available sources and agencies. Even surveys are conducted. The conclusion drawn from such research activities
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are supplied to policies maker for forming short term and long term marketing strategies, which play a decisive role in the success of the whole marketing efforts which is very well accepted at the government level and also at the level of business at present. Various official and all other agencies collect and publish market information for the benefits of exporters, such information is important in all types of research activities. In fact, research activities, a lot of secondary information is available in export marketing though official and non- official agencies in India. The government has made elaborate institutional arrangement to help exporters in the field of market intelligence. It is imperative that before we sell or market the leather product in the international market, we make a very close look and the intensive about the various factors influencing the selling of the product. Needless to say, that the study has to be in the light of such factors pertaining to the importing country. Absolute care, through sincerity, correctness and relevance of data, right channels and perfect contacts alone can lead the exporter to know the market well. An exporter should thus, take care of the following points while marketing the products:  Climate  Tradition  Demand  Government policy  Competition  Fashion

CLIMATE:

A careful study of the geographical condition and demand of the country in which the goods to be exported enables the marketing manager to trigger the right shot in matters international business. The temperate belt in both the hemisphere is considered as an ideal location for leather products.
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TRADITION:

Tradition plays an important role in marketing the leather product. However, this applies only to a few of the leather products, such as shoes or the whole foot ware range in general as regard other leather products such as jacket the impact of tradition dampens.

DEMAND:
The need for the particular leather product in the country where it is exported should be ascertained. The demand and supply should be on even terms. If the demand is less then we might fail to market our product successfully.

GOVERNMENT POLICY:

The most instances of different government policies in different countries are that of quantity restraint or a quota restriction. In most of the other countries where quantity restraint is applicable it is the government which fixes the quota for a particular product and the local suppliers do not suffers.

COMPETITION:
One of the intelligent ways of entering the export market in a particular country with the level of quality and the price of the competitors.

FASHION:

Fashion is one of the most important and to some extends, rather inconvenient factor, which affects the selling of the leather products. It is the most important because fashion trends and fashion sensitivity are more apt in the U.S. and western European countries. Coincidentally, leather product enjoys a good market in these countries. Again, it is an inconvenient factor for an ordinary exporter because of its flexibility. The fashion trends seem to change every year and so-called fashion trends have an equal urge to discard the things, which are out of fashion as they have for embracing the things, which are in fashion. It is therefore, the
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duty of the marketing manager to either stay or tune with the latest fashion or created a new test for the consumer. The latter one being difficult is not just impossible to be done with a careful study of the previous marketing trends. Qualitative advertising and sales promotion policies new test can be developed.

RECENT MARKETING EFFORTS TO PROMOTE THE INDIAN LEATHER INDUSTRY
 International Fairs & Buyer- Seller Meets.  International Leather fairs continued to be an effective medium of establish business relation with potential overseas buyers.  The council current year organize participation of Indian leather exporters in 15 major international fairs. Several are in European Union, USA and China.  Buyer – Seller meets between Indian product exporter and overseas importer in several countries like Spain, Portugal, Brazil, Venezuela, Chile, Argentina, Australia, New Zealand, Finland & Estonia.

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INTERNATIONAL LEATHER FAIRS IN INDIA 2008-09
S.N o. DETAILS OF THE FAIR PARTICULARS OF THE ORGANIZER India Trade Promotion Organisation Pragati Bhawan, Pragati MaidanNew Delhi 110001. India Trade Promotion OrganisationPragati Bhavan, Pragati Maidan,New Delhi - 110 001(India) Phone: 91-11-23378802, 23371965 Fax: 91-11-23371869, 1492, 1493 www.dilfleatherfair.com

PRODUCTS Leather Goods (like wallets, purses, hand bags, travelware etc.,), Leather Garments, Footwear (including nonleather footwear), Footwear Components, Finished Leather, Accessories, Saddlery & Harness items

1

Delhi International Leather Fair Pragati Maidan New Delhi Oct 16-18, 2008

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2

Leather Goods ( like wallets, purses, hand bags, India travelware etc.,) International Leather Garments, Leather Fair Footwear Chennai, India ( including nonleather footwear), Footwear Jan. 31- Feb. Components, 3,2009 Finished Leather, Accessories, Machinery and Chemicals

India Trade Promotion OrganisationPragati Bhawan, Pragati MaidanNew Delhi - 110 001. India Trade Promotion OrganisationPragati Bhavan, Pragati Maidan,New Delhi - 110 001(India) Phone: 91-11-23371390, 23371822 Fax: 91-11-23371874, 1492, 1493 www.iilfleatherfair.com

3

India Trade Promotion OrganisationPragati Bhawan, Pragati MaidanNew Delhi 110001. International Leather Goods like India Trade Promotion Leather Goods wallets, purses, OrganisationPragati Fair Kolkata , bags, travelware, Bhavan, Pragati India luggageware small Maidan,New Delhi - 110 leather goods , 001(India) Feb. 22-24, footwear and leather Phone: 91-11-23371390, 2009 garments 23371822 Fax: 91-11-23371874, 1492, 1493 Email: ppy@itpo-online.com www.ilgfleatherfair.com

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CONNECTING INDIAN LEATHER TO THE WORLD CLE AT INTERNATIONAL FAIRS/BSMS
The Council for Leather Exports regularly organizes Group Participation of Indian Member Companies in many leading international leather product fairs and tradeshows. In countries where there are no appropriate leather product fairs but which have good potential for Indian leather products, the Council organizes exclusive interactive Buyer Seller Meets (BSM), taking the assistance of local agencies to market and coordinate the event. The Government provides funding assistance to the Council and to Exporters for participation in Fairs & BSM's under the Market Development Assistance (MDA) Scheme and the Market Access Initiative Scheme (MAIS), subject to certain eligibility conditions.

WSA Show, Las Vegas, USA, Feb. 12-14, 2009 Magic Show, Las Vegas, USA, Feb. 16-19, 2009 Buyer Seller Meets in Saudi Arabia & Jordan during Feb/March 2009
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BTS Fair of Shoes, Leather & Leather Goods, Poznan, Poland, March 9-11, 2009 ILM Winter Styles – International Leather Goods Fair, Offenbach, Germany, March 20-22, 2009 Global Shoes Fair Dusseldorf, Germany, March 1315,2009

LIST OF ROAD SHOWS ORGANIZED / TO BE ORGANIZED IN OVERSEAS COUNTRIES
BY THE CLE DURING 2008-09

• • • •

Madrid, Alicante SPAIN May 27-29, 2008 Sao Paulo, Novo Hamburgo BRAZIL July 2-4, 2008 Madrid, Elche SPAIN Nov 24-26, 2008

Birmingham UK Feb 15-17, 2009 alongside the Moda Footwear and Moda Accessories Milan, ITALY March 5, 2009, alongside the MICAM and MIPEL Fair


HONG KONG March 31- April 2, 2009, alongside the APLF - Fashion Access & Materials Manufacturing & Technology Fair


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ROLE OF EXIM BANK IN PROMOTING INDIAN LEATHER SECTOR

Export Import Bank of India (Exim Bank) has helped the leather exporting units to modernize and upgrade their production facilities, install pollution control and environmental safety systems of internationally accepted standards and develop export market for value added products through strategic export market development plans. Exim Bank implemented Agency Development Project, joining International Finance Corporation World Bank to support small and leather sector. Line of Credit and Export hands respectively with (IFC), Washington and the medium enterprises in the

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CHAPTER SIX

EXPORT PROCEDURE AND DOCUMENTATION RELATING TO THE INDIAN LEATHER INDUSTRY
DOCUMENTATION AND PROCEDURAL REQUIREMENTS EXPORT DOCUMENTS:
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Commercial documents Regulatory Pre-shipment documents

COMMERCIAL DOCUMENTS:
Commercial documents are those which, by customs of trade, are required for affecting physical transfer of goods and their title from the exporter to the importer and the realization of export sale proceeds. 14 out of 16 commercial documents have been standardized and aligned to one another. Shipping order and bill of exchange could not be brought within the fold of the aligned documentation system because of their very different data elements and having a very little in common with other commercial documents. The commercial documents may be classified into:  Principal documents  Auxiliary documents PRINCIPAL DOCUMENTS: 1. Commercial invoice 2. Packing list 3. Bill of lading 4. Combined transport documents 5. Certificate of inspection/quality control 6. Insurance certificate/policy 7. Certificate of origin 8. Bills of exchange and shipment advice AUXILIARY DOCUMENTS: 1. Performa invoice 2. Intimation for inspection 3. Shipping instructions
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4. Insurance declaration 5. Shipping order 6. Mate receipt 7. Application for certificate of origin 8. Letter to the bank for collection/negotiation of documents

REGULATORY PRE-SHIPMENT DOCUMENTS:
Regulatory pre-shipment export documents are those which have been prescribed by different government departments/bodies in compliance of the requirements of various rules and regulations under relevant laws governing export trade such as export inspection, foreign exchange regulations, export trade control, customs etc. There are 9 regulatory documents associated with the pre-shipment stage of an export transaction and are as follows: 1. Gate pass-I/Gate authorities) pass-II (prescribed by central excise

2. AR4/AR4A form (prescribed by central excise authorities ) 3. Shipping bill/bill of export (prescribed by central excise authorities ) • For export of goods • For export of duty free goods • For export of dutiable goods • For export of goods under claim for duty drawback 4. Export application (prescribed by port trust) 5. Receipt for payment of port charges 6. Vehicle ticket 7. Exchange control declaration prescribed by RBI GR/PP forms 8. Freight payment certificate
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9. Insurance premium payment certificate The different commercial regulatory documents may be classified into:


Documents related to shipments,

 Documents related to payment;  Documents related to inspection,  Documents related to excisable goods  Documents related to foreign exchange regulations.

DOCUMENTS RELATED TO GOODS

(I) INVOICE:


CUSTOMS INVOICE

The customs invoice is used in lieu of the commercial invoice in a few importing countries for customs purposes, but the importer
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often needs a commercial invoice too. The customs invoice can be in a form called the certificate of value. The invoice is selfcertified by the exporter. Certain importing countries may require their importers, not the exporters in the exporting country, to provide the completed customs invoice for customs clearance.


CONSULAR INVOICE

The consular invoice is a specific invoice issued by the Consul of the importing country. Many importing countries, mainly less developed countries, have already phased out this invoice. It is used for customs clearance and other purposes; as such any errors or omissions on the invoice may cause problems and fines at the customs in the importing country. The consular invoice is a form of non-tariff barrier. The exporter's declaration normally is included in a consular invoice. The consular legalization and payment of a consular fee is required. The consular fee can be a percentage of the FOB invoice value.

(II) PACKING LIST:
The packing list is the detailed list of contents of the shipment, including quantities, items, model numbers, dimensions and net and gross weights. A packing list should specify per carton or crate the number and type of units of material inside. The shipper gets the packing list ready at the time the goods are being is prepared for shipping.

(II) CERTIFICATE OF ORIGIN:
The Certificate of Origin is only required by some countries. In many cases, a statement of origin printed on company letterhead will suffice. Special certificates are needed for countries with which the United States has special trade agreements, such as Mexico, Canada and Israel.

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CERTIFICATES RELATED TO SHIPMENT

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(I) MATE RECEIPT: Mate receipt is a receipt issued by the commanding office of the ship when the cargo is loaded on the ship, and contains information about the name of the vessel, berth, date of shipment, description of packages, marks and numbers, condition of the cargo at the time of receipt on board the ship etc.

(ii) SHIPPING BILL: Shipping bill is the main document for obtaining custom permission for shipping goods. This document is of four types Free shipping bills  Drawback shipping bills  Ex-bond shipping bills (III) AIRWAY BILLS: Airfreight shipments are handled by air waybills, which can never be made in negotiable form. (IV) BILL OF LADING: It is a contract between the owner of the goods and the carrier (as with domestic shipments). For vessels, there are two types: a straight bill of lading which is nonnegotiable and a negotiable or shipper's order bill of lading.

DOCUMENTATION
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Generally documentation is perceived to be the most complex, difficult and critical activity of export marketing particularly in India. Successful consummation of an export order needs innovative skills and meticulous planning including proper compliance and subsequent documentary provision. One may categorize export documents into three dimensions on the basis of their role in smooth flow of trade.

REGULATORY CONTROL IN INDIA
After becoming an exporter company it is required to obtain a (RCMC) from the relevant export promotion council, commodity board or any other designated body. This certificate is needed for getting some more export incentives given by the Government of India. Next step in becoming an exporting unit is to obtain importer-exporter code number from director general of foreign trade. A) GR FORM / PP FORM: GR FORM / PP FORM in duplicate are required for every consignment for obtaining customs clearance. This form is needed as a legal requirement under the Foreign Exchange Regulation Act of India. GR FORM is needed for all consignments other than ones being shipped by post, while PP FORM is needed for goods going by post. B) DOCUMENTATION: Various documents originated during export marketing activities of Moserbaer are defined below:

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SALE ORDER / CONTRACT:

It is a premiere document that has to be generated in any transaction. It is an agreement between buyer and seller, in which seller has agreed to buy them, at an agreed price with specified delivery terms. Delivery terms may be F.A.S, F.O.B, and C&F etc.


F.A.S (FREE ALONG SIDE):

In this seller has the obligation to deliver the goods alongside the vessel on the quay. The buyer has to bear all the cost and risk of loss or damage to the goods.

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DUTIABLE SHIPPING BILLS

F.O.B (FREE ON BOARD)
When the delivery condition is F.O.B, the seller has the liability to load the goods / materials on the vessel specified by the buyer. The transportation, insurance and other agreements are to be made by the buyer.

C & F (COST AND FREIGHT)
The seller must pay the costs and freight necessary to bring goods to the named port of designation but the risk of loss and damage to the goods is transferred from the seller to the buyer. In case of “International Trade” the buyer and seller separated by distant boundaries. The buyer or seller initiates the formation of contract by sending purchase order or sale order respectively. Sometimes the buyer intimates the seller by sending the purchase order, or if seller finds the initiative lucrative, he sends his sale order to the buyer. Thus in this way the parties enter into a contract with each other. Such type of contract is known as “Constructed Contract”. Various contents of sale order are listed below: a. Price of the product b. Quantity and quality of the product c. Period of delivery d. Port of delivery e. Standard terms and condition f. Types of financial arrangements
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g. Payment terms

DOCUMENTS RELATED TO PAYMENT

(i) LETTER OF CREDIT:
Under L/C the buyer promise to pay the seller on due date. In this type of credit, the buyer’s liable to pay. It is thus also known as banker’s commercial or documentary credit. It is commonly referred as commercial L/C as it a means to opening a credit in favour of someone, under which payment will be made provided that certain conditions are fulfilled within given time. PARTIES INVOLVED IN L/C: 1. Buyer or importer 2. I) Issuing or opening Bank II) Reimbursing Bank 3. Seller or exporter or beneficiary 4. I) Advising / confirming Bank II) Paying Bank III) Negotiating Bank Based on security, L/C can be classified into 3 types: 1. REVOCABLE OR IRREVOCABLE:
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A revocable L/C can be cancelled or modified, by the buyer at any time without any notice to the seller. An irrevocable L/C cannot be cancelled without prior notice to the seller of exporter.



2. CONFIRMED OR UNCONFIRMED: When the bank authorized by opening bank confirms an irrevocable L/C, it becomes confirmed. Otherwise the L/C is unconfirmed. 3. RECOURSE OR WITHOUT RECOURSE: If the advising bank pays the seller but does not get reimbursing from the opening bank, then this bank can recover the whole money with interest from the seller. But in case of without recourse, the liability of the exporter ends after he has deposited the required documents and received payments.

(ii) BILLS OF EXCHANGE:
It is a document for the goods exported. It is the means of collecting money through banking channels and also a method of payment by credit. A bill of exchange is also referred as “Draft”. It is a legal document. In India, Section 5 of Negotiable Act, 1881, defines bill of exchange as“An instrument in writing containing an unconditional order, signed by the maker, directing the person to pay certain amount”.

(iii) BANK CERTIFICATE OF PAYMENT
It is a certificate issued by the negotiating bank of the exporter, certifying that the bill covering particular consignments has been
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negotiated and that the proceeds received in accordance with exchange control regulation in the approved manner.

(iv) DISPATCH INSTRUCTION:
Dispatch instruction is almost like sale order. It is an instruction or order given by the company’s marketing department to the plant to dispatch specified goods to the port of any other designations. Contents of dispatch instruction are given below: a. Specification and quantity of materials to be transported b. Port of dispatch c. Shipment schedule d. Place and port of schedule e. Name of the buyer

(v) A.R.4 FORM:
It is an application, by the company to the central excise department of custom, for excise relief. In India exportable goods are exempted from duty. Hence if the company exports goods to foreign countries, to gain foreign exchange, it applies to central excise department to get exemption, from excise duty, by giving application in a prescribed format under rules – 158, 185, 1730. This application is known as the A.R.4 FORM. The contents of A.R.4 FORM are listed below: a) Name and address of range officer
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b) Name of the company c) Port of loading d) Country of loading e) Central excise regd. No. f) Number and description of goods g) Gross weight / net weight h) Value of goods i) Weight and quantity of goods j) Duty rate and amount k) Amount of rebate claimed l) Remarks m) Declaration of the company

(v) DELIVERY INVOICE:
The plant prepares it at the time of removal of goods from the plant. It is meant for excise purpose. It contains the following: a. Quantity of goods dispatched b. Price of goods c. Mode of dispatch d. Port of dispatch e. Buyer’s details f. A.R.4 reference

(vi)
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PROFORMA INVOICE:
It is basically a form of quotation by the seller to the buyer. It is a sort of invitation to the buyer from the seller to place a firm order to him. It is deposited with the custom clearance for estimation of excise duty. It helps in getting custom clearance. A Proforma invoice contains: a. Exporter’s name b. Consignee’s name c. Notify’s name d. Buyer’s name e. Countries of origin f. Designation

(vii) TEST CERTIFICATE:
It is a verification certificate that shows that the goods shipped have the required cast no. and percentage composition.

(viii) INSPECTION CERTIFICATE:
It is a document which certifies that the goods have been inspected (prior to shipment). This certificate is generally desired by the importer so that he can be sure that right types of goods ordered are being send by the exporter. In India certain goods are subjected to quality control. For this purpose an agency called (EIC) was created.

(ix) G.R FORM:
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It is one of the most important documents in international business. This form is obtained from R.B.I. This form is filled by the exporter and is endorsed by the customs. This form is one kind of guarantee given by exporter to R.B.I. The exporter gives guarantee that within “six” months of transaction the foreign currency involved will be realized. G.R FORM contains: a. Exporter’s name and address b. Invoice no. And date c. Consignee’s name and address d) Port of loading and discharge e) Country of designation f) Exchange rate g) Currency of invoice h) Net & gross weight, particulars, description

(x) SHIPPING BILL:
It is the main document on which custom permission for export is given. It is custom document. It is a document, which is necessary for loading the cargo on ship. It contains the following: a. Exporter’s name and address b. Invoice no. And date c. Port of loading d. Port of designation e. Details of packages and goods
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f. Analysis of export value; currency; amount

(xi) MATE RECEIPT:
When the cargo is loaded on the ship, the commanding officer / captain of the ship will issue the receipt called the “mate receipt” for goods loaded. It contains the following information:a. Name of the vessel b. Berth c. Date of shipment d. Description of packages etc

(xii) BILL OF LADING:
It is a document which is issued by the shipping company acknowledging the receipt of goods mentioned there / in and undertaking that the goods are in condition and will be delivered to the consignee, provided that the freight specified therein is duly paid. It serves the following 3 purposes:  It is a document of title of goods shipped,  It is a receipt for goods, received by the steamship company,  It contains the terms of the contract between the shipper and shipping company

(xiii) MARINE INSURANCE:
When the goods are transported from one place to another there is always risk involved. Hence to avoid such transit losses, marine insurance is taken up. In India there are various insurance companies, such as General Insurance Company. Insurance Policy is normally done through agents.
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Marine insurance contains the following: a. Name and address of the subsidiary of insurance company b. Claim payable c. Name of the insured d. Vessel no. e. Place of dispatch f. Port of loading and dispatch g. Destination h. Insured value i. Terms of insurance j. Particulars and description of goods

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100% E.O.U:
Export Oriented Units means an industrial unit offering for its entire production, excluding rejects and items otherwise specifically permitted to be supplied to the domestic Tariff Area (DTA). Such units may be set up under the Export Oriented Unit (EOU) scheme or Export Processing Zone (EPZ), Electronic Hardware Technology Park (EHTP). Such units may be engaged in manufacture/production or trading of any goods, like Hardware. Units engaged in service activities may also be considered on merits. The scheme of 100% Export Oriented Units (EOUs) was introduced in the year 1980 with the objective of generating of production capacity for exports by providing an appropriate policy frame work, flexibility of operations and incentives. In order to enable them to operate successfully in the international markets, such units are allowed to import machinery, raw materials and components and consumables free of customs duties, and if procured indigenously, full exemption of excise duty is available. These units have to operate under customs bond and are expected to achieve the levels of net foreign exchange earnings fixed by the Board of Approval as a percentage of their exports. EOUs are governed by the following basic terms and conditions: • It may be established anywhere in India subject to location criteria, local zoning laws and environmental regulations. • The unit will undertake to manufacture in bonded area and to export its entire period ordinarily of five years. • If a unit approved under this scheme is unable for any reason, to fulfill its export obligations, the Board of Approval will review the case and recommend the future course of action to be taken in regard to that unit. • Once a 100% EOU is de-bonded, it would have to pay the following duties.

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• Customs duty on capital goods on the depreciated value but at the rate prevailing at time of import. • Customs duty on unused raw materials, components, consumables and spares of value at the time of import at rates in force at the time of clearance. • In respect of excisable goods, excised duty without any depreciation and at rates applicable at the time of clearance. EOUs established anywhere in India and export 100% its products except certain fixed percentage of sales in the domestic Tariff Area as may be permissible under the policy.

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EXPORT PROCEDURES
STEP

1:

ENQUIRY
The starting point for any Export Transaction is an enquiry. An enquiry for leather should, inter alia, specify the following details or provide the following data.
 Leather Type

 Part Number (Preferably the OE Makers' Part No.)  Full description of the required product.  Size details - Standard or oversize or undersize  Drawing, if available  Sample, if possible  Quantity required  Delivery schedule  Is the price required on FOB or C& F or CIF basis  Mode of Dispatch - Sea, air or Sea/air  Mode of Packing  Terms of Payment that would be acceptable to the Buyer – If the buyer proposes to open any Letter of Credit, any specific requirement to be complied with by the Exporter  Is there any requirement of Pre-shipment inspection and if so, by which agency  Any Certificate of Origin required - If so, from what agency STEP

2
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PROFORMA GENERATION
After studying the enquiry in detail, the exporter - be it Manufacturer Exporter or Merchant Exporter - will provide a proforma invoice to the Buyer. STEP

3

ORDER PLACEMENT:
If the offer is acceptable to the Buyer in terms of price, delivery and payment terms, the Buyer will then place an order on the Exporter, giving as much data as possible in terms of specifications, Part No. Quantity etc. (No standard format is required for such a purchase order)

STEP

4

ORDER ACCEPTANCE
It is advisable that the Exporter immediately acknowledges receipt of the order, giving a schedule for the delivery committed.

STEP

5

GOODS READINESS & DOCUMENTATION
Once the goods are ready duly packed in Export worthy cases/cartons (depending upon the mode of dispatch), the Invoice is prepared by the Exporter. If the number of packages is more than one, a packing list is a must.

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Even If the goods to be exported are excisable, no excise duty need be charged at the time of Export, as export goods are exempt from Central Excise, but the AR4 procedure is to be followed for claiming such an exemption. Similarly, no Sales Tax also is payable for export of goods.

STEP

6

GOODS REMOVAL FROM WORKS
There are different procedures for removing Export consignments to the Port, following the AR4 procedure, but it would be advisable to get the consignment sealed by the Central Excise authorities at the factory premises itself, so that open inspection by Customs authorities at the Port can be avoided. If export consignments are removed from the factory of manufacture, following the AR4 procedure, claiming exemption of excise duty, there is an obligation cast on the exporter to provide proof of export to the Central Excise authorities. STEP

7

DOCUMENTS FOR C & F AGENT
The Exporter is expected to provide the following documents to the Clearing & Forwarding Agents, who are entrusted with the task of shipping the consignments, either by air or by sea. 1. Invoice 2. Packing List 3. Declaration in Form SDF (to meet the requirements as per FERA) in duplicate. 4. AR4 - first and the second copy 5. Any other declarations, as required by Customs
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On account of the introduction of Electronic Data Interchange (EDI) system for processing shipping bills electronically at most of the locations - both for air or sea consignments - the C&F Agents are required to file with Customs the shipping documents, through a particular format, which will vary depending on the nature of the shipment. Broad categories of export shipments are:
• • • •

Under claim of Drawback of duty Without claim of Drawback Export by a 100% EOU Under DEPB Scheme

STEP

8

CUSTOMS CLEARANCE
After assessment of the shipping bill and examination of the cargo by Customs (where required), the export consignments are permitted by Customs for ultimate Export. This is what the concerned Customs officials call the ‘LET EXPORT’ endorsement on the shipping bill. STEP

9

DOCUMENT FORWARDING
After completing the shipment formalities, the C & F Agents are expected to forward to the Exporter the following documents: 1. Customs signed Export Invoice & Packing List 2. Duplicate of Form SDF 3. Exchange control copy of the Shipping Bill, processed electronically 4. AR4 (original & duplicate) duly endorsed by Customs for having effected the Export 5. Bill of Lading or Airway bill, as the case may be. STEP

10
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BILLS NEGOTIATION
With these authenticated shipping documents, the Exporter will have to negotiate the relevant export bill through authorized dealers of Reserve Bank, viz., Banks. Under the Generalized System of Preference, imports from developing countries enjoy certain duty concessions, for which the exporters in the developing countries are expected to furnish the GSP Certificate of Origin to the Bankers, along with other shipping documents. Broadly, payment terms can be:
• • •

DP Terms DA Terms Letter of Credit, payable at sight or payable at... days

Step11

BANK TO BANK DOCUMENTS FORWARDING
The negotiating Bank will scrutinize the shipping documents and forward those to the Banker of the importer, to enable him clear the consignment. It is expected of such authorized dealers of Reserve Bank to ensure receipt of export proceeds, which factor has to be intimated to the Reserve Bank by means of periodical Returns. STEP

12

CUSTOMS OBLIGATION DISCHARGE
As indicated above, Exporters are also expected to provide proof of export to the Central Excise authorities, on the basis of the Customs endorsements made on the reverse of AR4s and get their obligation, on this score, discharged.

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STEP

13

RECEIPT OF BANK CERTIFICATE
Authorized dealers will issue Bank Certificates to the exporter, once the payment is received and only with the issuance of the Bank Certificate, the export transaction becomes complete. It is mandatory on the part of the Exporters to negotiate the shipping documents only through authorized dealers of Reserve Bank, as only through such a system Reserve Bank can ensure receipt of export proceeds for goods shipped out of this country.

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LIST OF DOCUMENTS REQUIRED TO BE SUBMITTED BY THE EXPORTER TO THE VARIOUS AUTHORITIES, ORGANIZATION AND AGENTS: TO THE CUSTOMS AUTHORITIES:
1. 2. 3. 4. 5. 6. 7. 8. 9. Shipping Bill Commercial Invoice GR.form (original & duplicate) Shippers Declaration form Copy of export contract / L.C / exporters order Inspection certificate AR4 / AR4a / AR5 form Export license ( wherever necessary ) Weighment certificate (wherever necessary )

TO THE PORT AUTHORITIES:
10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. Export Application / Dock Challan Cart Ticket / Chit Shipping Order Port Trust of the Shipping Bill L/C (where required) Commercial Invoice Bill of Lading Insurance Policy (certificate) Bill of Exchange GR. Form (duplicate copy) Bank certificate (three copies) Export inspection certificate (wherever required) Certificate of origin Shipment Advice

TO THE BANK:

TO THE LICENSING AUTHORITIES:
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24. Application for Exporter-Importer Code number in duplicate 25. Application in Prescribed 26. Copy of Export Order / L.C. 27. Statement of Export 28. Bank Receipt / Draft for Application Fee 29. Bond / Legal Undertaking toward Export Obligation 30. Chartered Engineers Certificate

TO THE EXPORT PROMOTION COUNCIL:
31. Application for Registration form cum member certificate 32. Bank Certificate regarding financial Soundness

TO THE MARITIME COLLECTOR OF CENTRAL EXCISE:
33. Application in form ‘C’ 34. Duplicate copy of AR-4 form 35. Non negotiable copy the B/L or the shipment certificate

TO THE EXPORT INSPECTION COUNCIL
36. 37. 38. 39. 40. ext. Application in the prescribed form Copy of Letter of Credit Copy of export contract Commercial Invoice Bank passbook showing credit in favour of EIA to the of Inspection fee or bank draft/crossed cheque for fee

TO RBI:
For Remittance of foreign exchange for the payment of claims 41. Application form 42. Copy of Invoice 43. Sales contract 44. Bill of lading 45. Inspection / analysis report
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TO EXPORT – IMPORT BANK:
For direct financial assistance to Exporters. 46. Export contract 47. Letter of credit or letter of Guarantee from Importer 48. Balance sheet of Exporter 49. Statement of Profit and Loss A/C. in the transaction covered by the contract. 50. Statement regarding the projection of the credit requirement

TO THE BANK (FOR PACKING CREDIT)
51. 52. 53. 54. 55. Proforma invoice Original RR endorsed to the Bank Copy of Dispatch advice Copy of Order or L/C. Application form

FOR MEDIUM CREDIT
56. Export contract 57. L/C or Guarantee form Importer 58. Statement giving reasons why exports are made on deferred payment arrangement.

TO THE E.C.G.C.
For Export Risk Insurance 59. Proposal form 60. Bank Certificate about financial position 61. Application form for fixing the credit limit. Document required by importing countries. 62. Consular Invoice (mainly required by Latin America, Middle Eastern countries) 63. Certificate of value 64. Combined certificate of origin and value (mainly required by Common wealth countries) 65. Customs invoice (for U.S.)

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66. Health certificate for exports of foods product, seeds, vegetable, fish, etc. 67. Certificate of origin 68. Generalize system of preference certificate of origin.

CHAPTER SEVEN

FINANCING
The government of India has introduced several schemes to finance the various needs of Indian exporters. Basically, the finance available to Indian exporters can be classified into two broad categories as follows: I) PRE- SHIPMENT FINANCE II) POST- SHIPMENT FINANCE

Pre shipment finance or packing credit are also known as shortterm credit refers to any loan to an exporter for financing the purchases, processing, manufacturing of packing of goods as defined by RBI as its name suggest it covers credit extended by banks prior to the shipment of goods, in effect, a packing credits is a loan against exportable stocks. It is a shot term credit because it is granted for the short period of time say about 6 months as against medium and long term credit extended for
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period beyond 6 months, except where the period is extended otherwise.

PRE-SHIPMENT FINANCE IN INDIA, THREE CATEGORIES, NAMELY:
 Packing Credit – Clean or secured.

CLASSIFIED

INTO

 Advance against incentives receivable from the Government.  Advance against Duty Drawback. Packing credit can also be put into following four categories, depending upon the nature of production and procurement system concerning the export commodity.  Extended packing credit loan.  Packing credit loan (hypothecation)  Packing credit loan (pledge)  Secured shipping loan.

PACKING CREDIT TO INDIAN EXPORTERS 1. ELIGIBILITY
Packing credit is available to all exporters whether merchant-exporters, export/trading/star trading houses and manufacturer-exporters. Even manufacturers of goods supplying to export/trading/star trading houses and the merchant exporters are eligible for this credit provided They produce a letter from the concerned merchant exporter/export/trading/star trading house that a portion of the order has been allotted to them detailing the goods to be supplied. The merchant exporter/export/trading/star trading house neither has availed not wish to seek packing credit in respect of the appropriate order, from any other bank/source.
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The letter from the merchant exporter of export/trading of star trading house is countersigned by the bank advising the letter of credit.

2. PURPOSE/PRODUCT COVERED
Packing credit advance is generally available to eligible exporters/manufacturers for the purpose of manufacturing or purchasing or transporting or processing of warehousing of packing and shipping of goods meant for export of goods. It is available to all exporter/product groups subject to stipulated conditions hence the RBIs interest rate structure is uniformly applicable to export of all the commodities made by all exporters. No advance at concessive rate of interests is allowed against products, which will not be eventually exported.

3. APPLICATION FOR PACKING CREDIT:
For obtaining packing credit, a formal application giving details of credit, a requirement is to be made to the bank. While some banks have evolved forms for the purpose, others either accept the application on general loan forms or on plain paper.
4.

DOCUMENT REQUIRED:

Following documents are to be submitted along with the application from for packing credit.  Confirmed export order/contract of I/c etc in original.  Undertaking that advance will be utilized for specific purpose of procuring/manufacturing/shipping etc of the goods meant for export only stated in the related confirmed export order or the I/c.
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 Joint and several demands promote signed on the behalf of firm as well as the partner individually.  Letter of continuity (signed on the behalf of firm and partner individually).  Letter of pledge to secured demand cash against goods (in case of pledge) or agreement of hypothecation to secure demand cash credit (in case of hypothecation).  Letter of authority to operate the account.  Agreement to utilize the money drawn in term of contract.  Letter of hypothecation of bills.  Partnership deed in case of partnership firm or memorandum of association, Article on association, Certificate of Incorporation and commitment of business for public/private limited companies with certify copy of board resolutions.  Audited/final financial statements for the pat 3/5 years.  Copy of income tax/wealth tax assessment order for the past 2/3 years in the case of sole proprietary and partnership firm.  Copy of RBIs code no (CNX).  Copy of a valid RCMC (Registration cum Membership Certificate) held by the exporter.  Appropriate policy/guarantee of ECGC.  Any other document required by the bank.

II) POST –SHIPMENT FINANCE:
Post shipment credit/finance means any loan or any other credit provided by any institution to an exporter of goods from India, from the date of extending the credit after shipment of goods to the date of realization exports proceeds, and includes any loan or advance granted to an exporter, on consideration of or on the security of any drawback or any cash receivable by way of incentives from the government. CATEGORIES: 1. Negotiations/payments/acceptance of export documents under letter of credit, 2. Purchase /discount of export documents under confirmed orders/exports contracts,
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3. Advances against bills sent on collection basis. 4. Advances against exports on consignment basis. 5. Advances against un draw balances. 6. Advances against duty drawback entitlement. 7. Advances against retention money. 8. Finance exports under deferred payment agreements, turnkey projects, and construction contract, etc.

PROCEDURE
For availing post-shipment finance facilities, following procedure is to be followed. 1. Enclose the documents with covering letter (signed by the authorized signatory) indicating the type of facility required i.e. negotiation, purchase or discount etc. the proceeds to be credited to current/packing credit account any forward rate to be used for transactions, instructions regarding collection charges from drawees, documents to be released against payment/acceptance, etc.
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2. Document should be correctly drawn and authenticated. 3. Obtain a seller’s contingency policy in case of C&F/F.O.B. contracts.

CHAPTER EIGHT

FUTURE PROSPECTS OF INDIAN LEATHER INDUSTRY

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LEATHER INDUSTRY EXPORTS BY 2011:

TARGETS

$7

BILLION

Exports from India's leather sector are likely to reach $7 billion by 2010-11, according to Union Commerce & Industry Minister Kamal Nath. This is up from $2.7 billion, the current export earnings from the leather sector with an annualized growth of around 8 percent. The Indian leather industry has set $7 billion export target by 2011. It is eager to forge tie-ups’ with various Italian leather goods designers to achieve the target, Tapan Nandy, president of the Indian Leather Product Association.  An Italian delegation, which had visited Kolkata recently, showed interest in India's leather industry.

 Italy's Arpel Group, an international school for shoes & leather accessories designing, is currently looking for partners in India.

 Retail major Wal-Mart is also eyeing the Indian leather sector.

 The International Leather Goods Fair, which is being organized by the India Trade Promotion Organization, the Council for Leather Exports and the Indian Leather Products Association, will have business visitors from the US, West Europe, Canada and Latin America. More than 68 companies from India and one each from Italy and China would take part.
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 At present, eastern India's share in the export basket is 15%, which can go up to 25% if projects like the Calcutta Leather Complex at Bantala and the recently proposed Dhantala Leather Complex start operation within 2008, Nandi said. The region is likely to export leather goods worth $ 0.33 billion in 2006-07.

INTEGRATED LEATHER DEVELOPMENT:
An Integrated Leather Development Program is being implemented with the central allocation of Rs.400 crore, focusing on modernization of manufacturing facilities in all segments of the leather sector. The program could be extended during the 11th Plan period (2007-2012).

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LEATHER BUDGET

SECTOR

IMPACT-INTERIM 2009-10

The Leather Export Sector is extremely disappointed that the Interim Budget 2009-10 offers very little for the leather or exporting sectors. The single supportive measure announced is that of extension of 2% interest subvention for pre and post shipment rupee export credit, from the prevailing validity of March 31, 2009 to September 30 2009. The recently released Index of Industrial Production indicating Indian industry had grown year–on-year by minus 2% in December 2008, had highlighted the leather sector as being one of the industries that registered the largest production declines at -11.4% Indeed, for some time now, tanneries in Kanpur, Kolkata and Chennai have been running at near-idle levels indicating that the supply chain is drying-up and no orders are being placed by product manufacturers for raw material. The latter are operating at well below - up to 50% - of their normal levels, for there has been a spree of cancellations and reduction of orders by overseas buyers. As per current feedback, new orders are being booked only to the extent of 30% of last year’s level. There is a serious apprehension that exports will fall significantly in the coming months, thereby causing severe problems in production and employment. We anticipate that there could be a loss of several thousand jobs in the next 3 months. Our slowdown is to be contrasted with the aggressive booking of additional orders by Chinese manufacturers, who in the background of supportive intervention measures are able to give price reductions in the range of 15-20%; as informed by our buyers. In this background the Council for Leather Exports had represented to the Government for immediate measures in the form of revision of Drawback rates to pre-revised level of 2007125

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08, Enhancement in the Duty free Import limit for manufacturerexporters from the existing 3 to 5% of FOB Export Turnover ; Increased weightage for leather products from 1.25% to 2.5% under the Focus Product Scheme, extension of the Focus Market Scheme to EU & USA as these 2 markets account for 75% of Indian leather sector exports, and Service Tax Exemption for 19 notified services & permitting of Service Tax exemption on overseas agent’s commission at actual instead of at a percentage of FOB Value. The leather sector is a volume employment provider, particularly in rural /semi urban areas and a significant foreign exchange generator for the economy – it is our plea that the above requests towards reviving export prospects and business be expeditiously addressed, so that the industry and its workers are helped out of this precarious situation

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CONCLUSION


India’s export of leather & leather products during the first seven months of the current financial year 2008-09 i.e. AprilOctober 2008 touched US$ 2250.79 million recording a growth of 11.17% and in rupee terms the growth percentage is 19.05%. Footwear alone holds a major share of 41.16% in India’s total leather products export trade. The Export target fixed for the year 2008-09 is US$ 4000 million and the export achievement for the first seven months ie. (April-October 2008) is 56.27%.





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WEAKNESS OF INDIAN LEATHER INDUSTRY

LEATHER INDUSTRY NEEDS TO EXPLORE NEW POTENTIAL MARKETS
UNITED NEWS OF INDIA New Delhi, Oct 8: Indian Leather industry needs to broad base its exports to new frontiers, besides reorienting and restructuring its plan for growth to face the increasing competition from other Asian countries like China, Indonesia, Thailand and Vietnam.  The Rs 20,000 crore-leather industry which exports products worth Rs 7,000 crore showed a positive growth of 10.8 per cent in dollar terms during 1998-99 but constitutes only seven per cent in the country's export basket.

 According to an Assocham paper on the status of the Indian leather industry, exports on footwear and leather goods have grown at a faster rate than leather garments.
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 The exports of finished leather remained more or less stagnant at around $ 300 million, while footwear have increased their value from $ 200 million in 1993-94 to around $ 281 million, garments from $ 350 million to about $ 425 million and leather goods from $ 230 million to around $ 350 million, it said.

 The Indian leather industry has attained merited recognition in the international market with the export of finished leather, leather footwear, footwear components, leather garments, leather goods and saddlery and harness.

 The present trends indicate that the domestic demand for the leather footwear has picked up significantly and is of the order of 200 million pairs per annum. The price in India is higher than the export price, so the government and the industry will have to take cognizance of this aspect.

 At this juncture, with the complex problems on the export front like ban on the use of pentachlorophenol as preservative and the use of arylamine group of dyes along with increasing local demand at more lucrative prices, the leather industry has to reorient and restructure its plan for growth, the paper said.

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 The annual availability of 166 million pieces of the hides and skins is the main strength of the industry which is expected to be 218 million pieces in 2000.

 India has a large raw material base with a population of 194 million cattle, 70 million buffaloes and 95 million goats and it ranks first among the major livestock holding countries in the world. With 48 million of sheep, it claims the sixth position.

 With the tanning and the finishing capacity for processing 192 million pieces of hides and skins per annum spread over different parts of the country mostly on modern lines, the capability of India to sustain a much larger industry with her raw material resource is evident.  The Assocham paper indicated that direct and indirect employment of the industry is around two million. The skilled and semi-skilled workers constitute nearly 50 per cent of the total work force.

 Apart from a significant foreign exchange earner, leather industry has a vast potential for employment generation among weaker sections of the society and women is immense.  With the proposed support to the unorganized/artisan sector by government of India and National Leather Development
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Programme (NLDP), along with the leather technology mission (LTM), productivity levels of artisans and small scale sector could change dramatically as, need of the hour, the quality of product.

 Nearly 70 per cent of India's export of leather and leather products are to the European countries, besides this the industry continue to hold Germany, USA, UK, Italy and France as its major markets.

 Exports to Germany alone account for 22.2 per cent followed by the US 15.6 per cent, the UK 14 per cent and Italy 12 per cent.

 NLDP, with the assistance from UNDP and the Government of India, was launched in 1992 for the integrated development of the leather industry in areas of education and technical training, research and development in effluent control, export expansion and coordination through select institutions in the country.

 The programme also upgraded the training system for design and manufacture of footwear, garments and leather products.
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 As part of brand promotion under the market development assistance programme, soft loans have been proposed for brand promotion of leather products.

 The status paper suggested that the tanneries need to adopt and change to industry-friendly chemicals in leather processing units so that they have a ready acceptance abroad.

 The leather industry is much concerned over the duty drawback rates and recommended that separate rates for products manufactures using duty free finished leather be fixed. Tanners have also recommended `free-export' policy for all types of leather to increase their global reach. The paper suggested that the ban on import of second-hand capital goods should be revoked as it would limit the modernization of tanneries, especially in small scale sector which cannot bear the high cost of new machinery and also recommended the introduction of foreign investment into this sector.

 A case study on the footwear industry indicated that though the market size has been increase, the value of domestic consumption has been nearly stagnant. Though exports
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have increased, effort should be made to expand the domestic market too.

 According to industry experts, with the increase in middle class population, the consumption patterns are likely to change radically with brand names, including the foreign ones, crowding in the market. So, there is huge potential to expand the domestic market. As of today India has less than one per cent share of world trade.

 According to provisional figures available from DGCIS, value of exports of the leather footwear has shown an increase but for footwear components it has declined.

 For leather products, the value of exports has increased from Rs 102 crore in April 1999 to Rs 126 crore in April 2000. But for the leather components, the decline remained marginal from Rs 84 crore in April 1999 to Rs 82 crore in April 2000.

 In terms of export by the country, the US tops the list with imports worth Rs 35 crore in 1999 followed by the UK with Rs 28 crore and Germany with Rs 11 crore of imports. In

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footwear components, Germany tops the list with Rs 18 crore worth of imports.

 The footwear industry needs to explore new potential markets like Brazil, Argentina, Chile, Peru and Colombia as these countries could also be used as source for quality hides and wet blues. Higher quality standards and adherence to eco-regulations are required to be maintained to ward off the threat of increasing competition from neighboring countries.

OTHER WEAKNESSES:
 No quality specifications, poor quality accessories  Competition from low price markets like Pakistan,

Ethiopia, Indonesia and Kenya.  Did not project position of products, positioning is wrong not match to Italian target is just to match Pakistan.  No brand name.  Unorganized sectors.  So many scams, corruption in government.  No research & development.

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REMEDIAL MEASURES


There is a need to modernize the processing technology through which is possible to improve the quality of the leather this technological up gradation can minimize the problem of pollution. The shortage of raw material should be overcome somehow in order to sustain the growth in experts. In this context the treatments of splits become very important. Proper and fuller utilization of splits will have to be restored to, thereby attaining a higher recovery from the same quantum of raw material. The unutilized manufacturing capacity of the unit needs to be harnessed in the best possible manner so that the total cost of production can be brought down. As far as financial problems are concerned; the bands and the financial institutions should come forward by providing liberal financial assistance. Specific areas of tariff Reduction in the import duty on chemical and machinery which go directly in the production of exports. Provision of export finance as well as term loans at lower rate of interest or even without interest. It is necessary to change the export profile to fall with the global import profile in order to derive the maximum benefit from the available raw material, skill and traditional industry.
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In order to encourage domestic value addition to retain a larger share of the product price within the country. It is necessary to make available quality furnished leather to the manufacturers or expo0rters of value-added products, and export of semi-tanned leather export may be brought under quota system.  The proposal to use the world bands export-marketing fund for this sector, and set up proper efficient treatment plants must be pressed.

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IMPACT OF CURRENT RECESSION ON LEATHER INDUSTRY
As the Europe and the United States market is worsening, the 2.5 million people in leather export industry in India will be laid off 500 thousand people. The 500 thousand people have to face with the unemployment. Since the beginning of September, the production of exports of leather industry has started to decline, in November the leather and leather products exports fell by 15%, whereas in December it dropped by 20%. Since September, there have been 350 thousand to 500 thousand people being unemployed, and another 500 thousand people are facing unemployment.

IMPACT OF GLOBAL SLOWDOWN ON LEATHER EXPORTS AND REMEDIES
AN ARTICLE PUBLISHED ON FEB 2ND, 2009

PROBLEM BEHIND LEATHER EXPORT INDUSTRIES:
Indian Leather industry is moving towards an unprecedented crisis with the slowdown of global economy. With the economies of US, Europe and Japan plummeting together, India has also witnessed fall in GDP growth from around 9% last financial year to 7% in the current financial year. It is projected to dip even further to around 5.5 % - 6% for Year 2009 - 10. The leather exports sector which witnessed a growth 20% in the first half of 2009 got dented by the global slowdown in the
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subsequent months. The main reason is attributed to the decline in orders from Western markets, especially the US and UK. The European Union and the US are the two biggest markets for Indian leather export firms which stand at 65% and 25% respectively in terms of India's export share of Leather products. Secondly Chinese Govt. is generously helping Chinese exporters to follow an aggressive exports policy which help them to bag the orders in the competition. It is a matter of big concern for our Leather Industry which is mainly dependent upon its exports rather than domestic sales. Indian exports of leather is estimated at 3.5 billion INR and its domestic market is hovering around 2.5 billion INR. The main reason behind this could be that our leather industry cannot rely on its domestic market as the retail sector is still immature to sell the export products. Leather exporters are being inextricably caught in a situation where buyers are delaying fresh orders besides delaying their payments on existing orders and on top of that they are also asking for huge discounts. It seems that if the problem is not addressed on time, it would adversely affect the small scale and tiny industries and also have an impact on big businesses, leading to job-loss and closure of units over the next few months. It is estimated that around 2-3 lakh workers can lose their jobs in leather industry which has employed around 25 lakh total workers.

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INDIAN LEATHER INDUSTRY

REMEDIES TO BOOST LEATHER EXPORT INDUSTRIES
Need of the hour is to take proactive and logical steps to tackle the situation effectively which can only happen with the matched efforts on the part of both Government and Industry. Mr. Habib Hussain (Chairman of leather exports council) while addressing the issue has suggested a three-pronged approach to tackle the situation. “He emphasized on creating the required infrastructure and have long-term plans, " Providing subsidized term loans to exporters who have suffered losses due to slow down"Treating US and Europe in focus markets scheme. “Innovative product designs at competitive rates. In addition to the above, some immediate measures are needed to alleviate the plight of the leather exporters. Govt. should increase the drawback rates, reduce delays in export incentive reimbursement, Increase duty free import limit for manufacturing exporter on the % of export value, and increase weight age of leather goods under focus product scheme. All these steps are necessary to retain the big global brands which source from India which can otherwise go to China who has cost advantage to play with.

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LEATHER INDUSTRY GLOSSARY
Leather Industry Glossary - A collection of frequently used terms, abbreviations and jargons used in the Leather Industry with their definition and meanings.

A:
Ageing The process by which certain types of leather are at some stage of manufacture allowed to lie in piles to "age". Alum Tanning A process of tanning with alum, used in combination with salt, egg yolk and other substances. Used for the original feathery golf balls. "In 1845 we more than doubled that. Hard work it was. I can still smell the leather, feel the heat. We used to use a chest clamp to literally compress and push those goose down feathers into the ball. Of course you cut six strips of bull hide and you soaked it in alum and of course you took three of 'em and stitched them inside out there, and the feathers went back in, and you compressed and compressed, and the idea being that as the leather shrinks as it dries out and the feathers expand. Then that gives you the compression." Quoted by Wally Uihlein, Sept 1998, at St.Andrews Golf Congress.

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Aluta Roman name for tawed (alum tanned) leather. Aluta was used for sails in Venice, and for shoe uppers in ancient Greece. Aniline Leather Leather which retains its colour only from dyestuffs rather than from pigment, and as a consequence looks more natural.

B:
Bag and case leather A general term for the leathers used in travelling bags and suitcases. It does not include the light leathers employed for women's fancy handbags. The staple material for bag and case leather is cowhide. Bag Leather A form of vegetable tannage in which the skins are sewn together in pairs to form bags and floated in tan liquor. This method avoids drawn grain and gives good spread of leather. Basil Bark tanned pickled sheepskins. Bating The process prior to tanning proper where the fibres of a hide or skin which have been plumped or swollen by liming are reduced and softened, thus assuring pliability in the product. The word is a form of "abate" in the sense of reduce. Beamhouse The area of the tannery where the unhairing and liming processes are carried out. Before modern machinery the processes of fleshing, scudding and others were carried out over specially designed wooden beams using curved two handled knives with sharp or blunted edge according to the operation. Hence the name.

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Belt leather Leather used for the leather going into men's clothing belts. Belting leather Leather employed for the transmission of power for machinery. The great bulk of this leather is made from the butts of highgrade cattle hides. In Europe a certain amount of buffalo hide is also used. Boarding A process of finishing a side or skin by folding it with the grain side in and rubbing the surface together under pressure. Gives a distinct look, and creates "box" look when done two ways and "willow" when done only in one direction. Bougie Leather Leather from the town of Bougie in North east Algeria. Famous in the fifteenth century. Box Calf or box sides Calf or side leather which has been boarded in two directions. Buffing Sandpapering the leather with sandpaper or emery paper for various reasons such as the creation of a suede like nap on suede, a nubuck finish on grain, or for the preparation of corrected grain leather. Sometimes done on the flesh side to tidy up its appearance

C:
Cabretta Leather A wrongly named hair sheep. When the Portuguese first went to Brazil they mistook the indigenous hairsheep for goats and called them cabrettas (kids). The skins were exported to the USA by the Blue Funnel Line (later the Booth Group) and the name cabretta stayed with them. Now all hairsheep skins have taken the generic name cabretta. Much used in footwear leather and sport glove leather.
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California Banknotes In "Two Years Before the Mast" Richard Henry Dana describes how he sailed from Boston to California in 1834 to collect hides. He explains how hides are dried and loaded onto the ships before returning to the East Coast. Since California had nothing else of wealth at that time the dried hides were known as "California Banknotes". "The hides are brought down dry, or they will not be received. When taken from the animal they have holes cut in the ends, and are staked out, and thus dried in the sun without shrinking. They are then doubled once, lengthwise, with the hair side usually in, and sent down upon mules or in carts, and piled above high-water mark: and then we take them upon our heads, one at a time, or two, if they are small, and wade out with them and through them into the boat." On page 140 of the book detailed at the end is a fine description of the full cure process used to prepare the hides for a wait of over a year before they would get back to Boston around the Cape for tanning. Hides were valued in Boston at 12 and a half cents a pound dry salted and the captain got 1% commission. Ships would spend nearly a year collecting and accumulating hides up and down the California cost to make the journey worthwhile. On Dana's ship they brought back 40,000 hides. Carding Leather A special type of side leather used on the cards of cotton machinery. The leather lies flat against the beds of the cards, the teeth being forced through. Chamois leather A soft leather originally made from the skins of the Alpine antelope known as the chamois but at the present time from the fleshers of sheepskins. Certain grades used to be used in gloves and fancy articles but the staple employment is for cleaning and polishing, primarily automobile. Chamois is characterised by an ability to absorb at least three times its own weight of water. Shoemakers, but unlike cordwainers they work with old leather.Cobblers are essentially repairers.

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Combing leather The name applied to the leather used on the combing rolls of cotton machinery and manufactured of calfskin or side leather. Conditioning When leather is dried after retanning, dyeing and fatliquoring the fibres tend to stick together and the leather is hard. The fibres are separated and the leather softened by staking. Staking is best done at about 18% humidity and so a little humidity has to be put into the dry leather. This is most commonly done by a water spray and then piling the leather long enough for the moisture to even out. Adjusting the moisture content before staking in this way is called conditioning. Cordovan The shell of a horse hide, often tanned with a sulphur tannage.As such it was a soft vegetable tanned leather first made in Cordoba in Spain, and followed by goat, sheep and pigskin leathers with a similar formula.Cordovan leather has good wearing characteristics, and I non porous.The horse product still tends to be called “shell cordoban leather”. Cordovan Leather Developed in Spain in the 8th century, when the Moors arrived in Spain. Made from the skin of the mouflon (Ovis Musimom). This hair sheep now only survives in Corsica and Sardinia. It was tanned with alum and later with alum (Koninklijke Bibliotheek says sumac was not introduced until the 15 th century). Best brilliant scarlet type was tawed with alum and dyed with kermes. Cordwainers From Cordovan leather. At first made many types of leather articles. In Middle Ages specialised in Shoes. Cordwainer is from the French word “cordonnier” and came to England in 1066 with the Norman Invasion.After Cordoba fell in the 12 th century English Crusaders brought back this alum tanned goat skin.It was considered the highest quality shoe leather in Europe. Cordwainers work only with new leathers.

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Corrected Grain Chrome tanned side leather which is buffed with emery paper on the grain side to remove defects and then has a plastic resin and pigment finish built up on the leather. Used for shoe upper leather. Crupp leather A semicircular portion of leather taken from the butt of stuffed vegetable tanned horse hide. Crust Leather dried after tanning. Since chrome leather dried immediately after tannage will go hard, change charge and become difficult to rewet, this drying normally takes place after a basic retanning and fatliquoring. Leather is frequently traded worldwide in this state, although tanners normally prefer to buy wet blue or pickle which gives them more flexibility of processing. Currying A term practically equivalent to dressing and finishing, but confined chiefly to heavy leather (Latin corredare, to prepare or dress).

D:
Deliming A process preparatory to tanning proper to reduce the swollen and rigid fibres of a hide or skin after liming. Dongola Tannage a. A vegetable and alum tannage developed in Gloversville, New York, in the 1860's to compete with the expensive kid tannage for gloves. Used hair sheep. Dongola is a town in the Sudan, and there is a breed of hair sheep named after it. "Dongola, strictly speaking, is alum, salt, and gambier only, used together in one solution. Dongola is especially applied to glazed and dull kid. For full dongola the process is commenced in very weak gambier liquor, with the full proportion of alum and salt, and the gambier is gradually strengthened. Dull dongola is ironed like kid in the finish. It is said to be sometimes glazed with a blood seasoning,
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and then dulled by a mixture of soap and oil, followed by slating with a smooth round -edged slicker, but it is generally sized". b. Dongola tannage.- gambier, alum, and salt make what is known as dongola leather. There are many modifications of this process. Fine leather is made by tanning the skins first in gambier or quebracho liquor, and then giving them an alum and salt retannage. For 200 average skins, a mixture is prepared of 5lb. of alum, 9lb. of salt, 24lb of flour, 10lb. of egg-yokes, or a corresponding quantity of sulphonated oil, and 8 to 10 gallons of water. The flour is made into paste with cold water. The alum and salt are dissolved in part of the water, and the flour paste is slowly stirred into the solution. The oil or the egg-yoke mixed with warm water is next added, and the whole mixture is thoroughly stirred. The tanned skins are drummed with this mixture one hour, then dried, colored and finished, thus making soft, durable leather. This mixture may also be used on untanned skins as come from the bate or drench. They should be drummed with it, dried, kept in crust for some time, then wet-back and tanned with chrome liquor, the result being soft durable leather. The combination tannage of gambier, alum, and salt can also be applied in the following manner: The bated and washed skins are placed in gambier liquor in a paddle. From 3 to 5lb. of gambier are used for one dozen skins. After they have started to absorb the gambier, from 8 to 16 oz. of alum and 8 oz. of salt are added to the liquor, for each dozen skins, and the paddling is continued until the tannage is complete, which takes 18 to 36 hours. The leather is then washed in warm water to remove the adhering tan, next fatliquored with acid fat-liquor, dried, wet-back, colored, dried again, and finished. After the alum and salt have been added it is customary to put the skins, together with the tanning liquor, into a drum and run them for a few hours or until thoroughly tanned. Some soluble oil may also be added to the liquor and applied to the leather toward the end of the tanning process. Excellent leather is also made by taking the skins out of the gambier liquor when they are well struck through, striking them out and then drumming them with a paste of water, flour, alum, salt, and either egg-yoke or soluble oil, drying and then coloring them with a basic dye and titanium-potassium oxalate. The color of the leather can be modified by adding a solution of
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fustic or other dyewood to the gambier liquor, and the entire process may be reversed. The skins may be first drummed with alum and salt and then tanned with gambier. Heavy skins may be tanned with gambier, alum, and salt. After the leather is dry, it can be colored with acid or basic dies: and, if not fatliquored immediately after tanning, drummed with acid fatliquor or with an emulsion of oil and soap, staked and finished. Drenching A process for reducing the plumped fibres of a hide or skin. It accomplishes approximately the same purpose as bating and basically in the same way - that is, through soaking in a fermenting solution. Some authorities, however,, restrict the term bating to the process using ferments of manures and the term drenching to that using damp sawdust, bran, middlings, or a solution of lactic acid or some other chemical having a similar action. Drums The collective term for the rotary vessel in which many processes of tanning are now carried out.

E:
Ecrase Usually highly polished goatskin leathers showing differences in colour tone coinciding with the natural goatskin grain. Extractv A solution of a tanning material, normally vegetable.

F:
Fatliquoring Using fats and oils in appropriate mixes to lubricate and soften the fibre structure of leather, given the leather the required softness for its eventual end use.

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Football Leather Leather for covering the outside of soccer balls. Originally made of pigskin, then of cattlehide splits, and more recently of PU laminated splits. Lately leather has been somewhat replaced by full synthetics. Flesher The flesh piece from a thick woolly sheep which has been split into two layers. Used to make chamois. The grain is made into a skiver. Sometimes for cost and easy maintenance the material is part tanned and then split. The grain is then called a pliver. The flesh created in this latter way will not make true chamois. Frizing The process of removing the grain of a skin by exposure to a strong lime liquor over an exceptionally long period,, sometimes as much as eight weeks. Such skins, after tanning are finished on the fine fibres under the grain. This is the method used in the manufacture of mocha glove leather and of certain classes of buckskin. (11) Full grain leather Leather whose grain has not been sandpapered or buffed to hide defects

G:
Glove Leather A self-explanatory term which, however, covers two rather distinct classes: the leather going into utilitarian or work-gloves and made of a variety of hides and skins, of which the most important are horsehides, cattlehide splits, calfskins and pigskins; and the leather going into dress-gloves, including those for street, riding, driving, and sports wear. the latter is tanned predominately from sheep and lambskins; but there is a considerable item made of deerskin and a small one of pigskin, while an important item for the highest grades of women's fine gloves is tanned in a few countries of Europe from kidskins.

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Guilds (Gilds) Western European trade associations, grew strongly in the 12th and 13th centuries to protect and promote trade groups. Data from the Brewers’ Company in London show that their were at least 14 different guilds concerned with leather listed in London in 1422).

H:
Handlers One of the series of pits or vats in which heavy leathers are tanned with bark or vegetable extracts. They are usually worked with stronger liquors than the suspenders, but with weaker liquors than the layers. Heavy Leathers A term distinguishing sole leather, belting leather, and harness leather proper from other classes which are referred to collectively as light leathers. Helvetia Leather Oil tanned hide from which not all the excess grease is removed. Hydraulic leathers A collective term sometimes used for the cattle hide leathers, chiefly rawhide and combination tannages, employed in pump valves, as piston packing, oils seals and so forth.

I:
In the hair; in the wool; in the raw A group of more or less equivalent terms used to describe stock that has not yet undergone any of the processes of leather manufacture. In the rough; in the crust; in the white; in the blue A group of approximately equivalent terms used to describe stock which has been tanned,, but not finished. In the rough or rough tanned is most commonly applied to vegetable tanned cattle hide leathers; in the crust and in the white to vegetable, alum or
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formaldehyde tanned sheepskins and lambskins; and in the blue to chrome tanned skins particularly goatskins. The use of the term in the white needs to be distinguished from that mentioned in the following definition. See also Wet White and Wet Blue. In the white; in the pickle Two roughly equivalent terms used to describe stock which has undergone the processes preliminary to tanning, but has not been actually tanned. Historically in the pickle is restricted to sheepskins and lambskins; in the white, in this sense, is used for practically all other classes of hides and skins.

J:
Japanning A process of preparing the oil for, and the process of, manufacturing patent leather

L:
Larrigan Leather An American speciality made of light cattle hide and used in the manufacture of the heavy moccasins worn by lumbermen to guard against slipping when walking on wet logs. Latigo Leather The Spanish word latigo means a whiplash and this leather was originally tanned for that purpose; but as a technical term in the present day American trade, latigo means the straps used for cinching saddles of the McClellan, cowboy and Mexican types. This leather is usually prepared from cattlehides by a combination tannage. Layers The last set of vats or pits in which heavy leather is tanned, containing the strongest liquor. The hides in these pits are laid flat - originally with layers of tan bark between them.

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Leather For the avoidance of all ambiguities and doubts, which may and do grow upon the definition and interpretation of this word leather, it is enacted, and declared by these presents, that the hides and skins of ox, steer, bull, cow, calf, deer, red and fallow, goats and sheep being tanned or tawed, and every salt hide is, shall be, and ever hath been reputed and taken for leather. Act of Parliament. UK year 1604. (2) Light Leather Leather for clothing, gloving and shoe uppers mostly chrome tanned. Liming A process preliminary to tanning, which serves one or both of two purposes: (1) to loosen the hair or wool on a hide or skin, preparatory to dehairing; and (2) to plump or swell the fibres as of the processes necessary to prepare the substance for the action of the tan liquors. Liming is always required for the latter of these purposes.

P:
Paddles A name applied to certain types of machinery with rotating arms, which are used in various tanning operations for agitating hides or skins in process. Use more water than drums, allowing larger floats and consequently gentler action. Mostly used in the soaking and liming areas. Painting A process for loosening hair or wool (usually the latter) which is employed with skins whose protective covering is so valuable as to make it desirable to avoid injuring it by soaking in a lime liquor. The process is carried out by painting the flesh side of a skin with a depilatory substance, containing sodium sulphide or arsenic. Nowadays this is the usual method with sheepskins bearing the higher grades of wool. Before it was invented, such skins were usually dehaired by sweating.
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Parchment See Pergamum. Pasting A method of drying where wet leather is pasted onto a glass or steel plate and then allowed to dry in controlled conditions - often a tunnel with various chambers adjusted to fit the planned removal of moisture. Most used with side leather. Holds the area well, but if not well retanned the leather can feel hard and empty. There is a danger of the paste damaging the grain or interfering with the finish. US tanners are most skilled in this drying method. Pelt This word means, strictly speaking, any kind of skin (Latin pellis, related to the German felle, a skin, and the English word fell, now preserved only in fellmonger). The word is somewhat loosely used in the leather industry, but its only common applications nowadays are to sheepskins in two or three slightly differing senses: to the skin proper, to distinguish it from the wool that grows on it; to dewooled sheepskins, as a pickled pelt or a fellmongered; or in some countries to a woolskin bearing the shortest recognised staple. Pergamum Town near Izmir (Smyrna) in Asia Minor. Parchment (from Latin "carta Pergamena") supposedly first made there in 3rd cent BC. When the King of Pergamus was building a great library in rivalry with the library of the King of Egypt in Alexandria, the latter placed an embargo on the exportation of papyrus from Egypt to hamper competition. The King of Pergamus thereupon perfected the manufacture of parchment for the making of books. A more comprehensive discussion of this is given by the Koninklijke Bibliotheek.Since it is very interesting I quote from their website: Parchment was used chiefly for writing, first on a scroll - as is still the case in Israel - and from the second century BC onwards in book form. To make a book, the rectangular cut sheets might be folded one or more times. The skins of sheep and goats from the areas round the Mediterranean were rarely more than 50 cm long by 40 cm wide. In northern regions we find larger
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skins and also calfskins being used to make books. The term pergamena is first used in the Edict of Diocletian (301 AD); until that time the term membrana had been used. It is generally accepted that the use of a new term indicates a new or modified product, but so little is known about the parchment of those days that it is impossible to say with any certainty whether this was the case here. One of our few informants about pre-Christian times is the (unreliable) Roman historian Pliny. He writes that the king of Pergamon (in present-day Turkey), Eumenes II (197-159 BC), was forced to look for alternative writing materials when the import of papyrus from Egypt was suspended. This is supposed to have led to the invention of parchment. Although parchment had been known at least eight hundred years before this date, Pergamon did have a reputation for good quality parchment in classical antiquity. The great change occurred around the fourth century AD, when people started manufacturing parchment using lime water. Until the fourth century skins were mostly treated with salt, flour and other vegetable products that were used to remove the hairs and to prepare the skin. The lime water method may have been introduced by Jews and Arabs to Spain in the early Middle Ages, after which it spread throughout the rest of Europe. Jewish parchment was lightly tanned on the surface with vegetable tannins. Another technique, the splitting of skins, was also known to the Jews and Arabs, even before the middle Ages. In the West the traditional procedure to obtain the required thickness was to shave the full skin. Formulas and depictions of parchment manufacturing have come down to us, especially from the late Middle Ages. There is considerable correspondencebetween these mediaeval formulas and those used by modern parchment makers, and even the processing and tools have not changed fundamentally. For the most part, parchment manufacture is still a matter of handwork. Picker Leather The picker is the mechanism on either side of a power loom that throws the sharp pointed shuttle and receives it again as it is
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thrown back. For arming this mechanism, long experience has found nothing equal to a special, very tough leather, usually rawhide - either cattle or buffalo. Such picker leather is made extensively in the North of England and in parts of the USA, partly from native cattle hides and partly from imported buffalo hides. Pickling A preliminary process for preparing hides and skins for tanning, largely by adjusting the pH with acid and controlling the swelling with salt. It is also use as stable way of holding material, after unhairing, for transport between plants and countries and for trading.

R:
Retanning A process subsequent to the main tannage when the character of the leather is adjusted by the addition of further alternate types of tanning material. Thus synthetic or vegetable tans may be added to a chrome leather to adjust certain characteristics. Roans Sumac tanned sheepskins. Rockers A device for the continuous agitation of hides when suspended in pits or vats in order to hasten the operation of the liquors. Rolling One of the final operations in the manufacture of sole leather, by which it is given a smooth surface and even thickness. Russia Leather Leather characterised by its odour. "Anglo Russias" are skins treated with birch tar oil to imitate the smell of Russia leather. “The Russians have manufactured for a long time a variety of red leather called Juncten. This leather has an agreeable and characteristic odor, does not mould even in damp places, and is not attacked by insects.

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Russia Leather Originally and properly calfskin shoes leather, dressed with birch oil and distinguished by its odour rather than its appearance.

S:
Santa Croce.. ..... Igualada, Vic, Alcanena, Solofra, Lyon, Arzignano, Guadalajara, Kano, Northampton, Ambur, Ranipet, Vaniyambada, Millau, Kano, Graulhet, Mazamet, Gloversville Some of the places in the world which are centres for the leather industry Samm, sammying The mechanical extraction of moisture from leather after a processing stage. Most normally done on wet blue after chrome tanning, using a machine which carries the leather through felts. Scud A film or deposit of waste matter appearing on the surface of leather in process after certain operations, esp. bating. Scudding One of the preliminary processes preparatory to tanning. After bating or drenching the excess fermenting materials, together with dirt, fatty matter, hair follicles, short hairs, and glandular tissue, are worked out of the hide or skin.Mostly done by hand using a blunt two-handed knife over a curved beam. Can be done by machine. Setting out This mechanical process is used at various stages in the finishing of leather to counteract the shrinking and stiffening resulting form the processes that have gone before.Most common after retanning, fatliquoring and dyeing. Normally done by machine using a knifed cylinder with blunted blades. Some modern machines combine sammying and setting and some incorporate a heated roller to help set the grain in a smooth tight configuration. Striking out is a similar process for heavy, vegetable tanned leather.
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Shagreen From Turkish "saghri" and means the croup of a beast. Originally made in Persia from hides of asses, horses and camel, probably untanned. Seeds of a species of Chenopodium were trampled into the skin when it was moist and shaken out when it dried, thus leaving granular indentations. The material was then stained. In the 17th cent and later, shagreen was made either of finely granulated shark skin or of the skin of a ray fish, whose pearl like papillae were ground flat, leaving a lovely pattern. Side Leather Large hides are cut in half down the backbone to make them easier to handle in the tannery. Each piece is called a side. Most shoe leather made from cattle hides is produced as side leather, while most upholstery leather produced from hides is processed as whole hides. Increasingly the cutting of hides into sides is done after tanning, at the wet blue stage. Skirting leather A specialised cattlehide leather used for the skirts or hanging portions of saddles that come between the legs of the rider and a horse's flanks. Skivers The grain of the wool sheepskin when it has been split in order to prepare a suede leather for manufacture into chamois leather. Normally tanned with vegetable materials for use as in shoe lining, bookbinding or leathergoods. Slat Vegetable tanned sheepskin produced from a skin whose wool has been removed by the sweating process. Mazamet in France is a famous source of slats. Splits The lower flesh side section of a hide (normally) or a skin after it has been split. Normally made into a suede split.

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Staking Mechanical softening of leather. Done by hand by pulling skins over a moon shaped knife, but mostly by machines of which tow types are common. The old "grab" staker with crocodile jaws which come together at a point where the operator offers the hide or skin and pulls the leather away from him while he restrains it carefully and the vibrating through feed machine invented in Czechoslovakia in the sixties. The former is more precise, but is also more labour intensive and skilled, while if not used carefully will lead to tearing and loss of area. Stocks A wooden device previously used in oil tannages especially for chamois. Two wooden hammers pound the oil into the leather prior to hanging in a hot room for the oil to oxidise. The hammers are driven by an eccentric wheel. This process is now done in drums where temperature and humidity can be carefully controlled. Strop Leather The leather from which razor strops are made. The best grades are tanned from the shells of horse hides. Suede The finish produced by running the surface of leather on an emery wheel, with the result of ruffling up the fibres and giving it a "nappy" appearance. The grain of leather may be suede finished (called nubuck) but the process is more appropriate to flesh or split surfaces. The name was applied (originally in France) to a glove leather of Swedish origin and only later to the finish that characterised the material. Suspenders One series of vats or pits used in tanning heavy leathers, the hides being hung so as to be exposed as freely as possible to the action of the liquor. The suspender pits usually contain the weakest liquor, and the hides are treated in them before passing to the handlers and layers.

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Swamp An area near the Manhattan side of Brooklyn bridge just south of the current City Hall set aside for tanning in 1664. Remained for 275 years. Sweating A process for loosening the hair or wool on a hide or skin by hanging the pieces near together in a close atmosphere, thus encouraging bacterial action. It has now become comparatively rare, being confined to out of the way places or primitive industries, and to a few special trades like that centering about Mazamet in France

T:
Tawing The old English term applied to the process of making leather with alum to distinguish it from tanning in a strict sense, the latter term having been originally confined to leather making with vegetable tanning agents. The English word has now become nearly obsolete, but in French the distinction between tannage and megissage is still strictly drawn. Tacking A process of stretching leather at certain stages in the manufacture by tacking it on a frame or board. the method seems crude and slow, but is very effective for counteracting the shrinkage which follows certain operations, without applying excessive strains on particular portions of a piece. Toggling A modernised method of tacking to dry leather, using toggles to hold the leather instead of nails. Originally the toggles were fixed into holes in a perforated metal plate which was put in an oven. More modern machines find and clip the leather mechanically.

V:

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Vacuum Drying A method of drying leather taking advantage of the fact that moisture evaporates more quickly under vacuum. The wet leather is laid out on a wet steel plate (often slicked, a form of hand setting out) and the vacuum head brought down. After retanning and fatliquoring the leather can be dried to either 30% and then hang dried or in some circumstances fully dried direct. Drying only takes two to five minutes. A newer use of vacuum drying involves using a rubber base instead of stainless steel. While the leather is under vacuum this rubber base expands outwards, stretching the leather out from its centre. I have seen a page of newspaper pulled into jigsaw-sized pieces by this machine. It is not so good for taking out large amounts of moisture but good for the drying after conditioning and staking of soft leathers. Avoid using it just for area gain. Vellum Vellum is practically the same thing as parchment but is made of calfskin. The word is derived from the Latin vitulus, a calf, whence our word veal. Drum leather is a specialised form variety of vellum, made nowadays in diminished quantities for the purpose indicated by its name.

W:
Wet Blue Chrome tanned leather. Chrome tanning creates a blue colour in the leather and there is a natural safe resting stage just after tanning when the leather is both wet and blue. A significant stage in which leather is traded semi-processed worldwide. Wet White Hides and skins with the hair or wool removed and preserved after a light aluminium tannage. More stable than pickle. Increasingly used as an intermediate stage for transporting and selling hides and skins

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LEATHER PRODUCTS
LEATHER CRAFTS SUPPLIES
Leather Leather Leather Leather Leather Leather Leather Leather Leather Fringes Ribbons Straps Belt Blanks Threads Buttons Toggels Strings Tassels
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Leather Beads Leather Clasps Leather Buckles Leather Clips Leather Clamps Leather Eyelets Leather Zippers Leather Cords Leather Pipings Leather Laces Suede Leather Laces Nappa Leather Laces Buff Leather Laces Cow Leather Laces Goat Leather Laces Leather Belting Laces Calf Leather Lacings Leather Braids Braided Leather Cords Braided Leather Lacings



LEATHER MACHINERY & EQUIPMENT:

Airing-Off Machines Band Filtration Plant Boarding Machines Buffing Machines Carding Machines CO2 De-Liming Equipment Cooling Plants Degreasing Plants Desalting Equipment Dosing Equipment Drying Machines Dyeing Machines Felt Products Finish Dryers Fleshing Handling Equipment
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Hand Tools Hide Curing Machines Hide Siding & Stamping Machines Leather Testing Equipment Measuring Machines (Wool-on) Milling Machines Packing Equipment Palletising & Depalletising Equipment Pigment Pumps Plating & Ironing Machines Polishing Machines Printing Machines Rebalding Machines Roll Coating Machines Rotary Filtration Plant Salt Applicators Sammying Setting Machines Seasoning Machines Shaving Compactors Shaving Machines Skiving Machines Spiral Knives Waste Treatment Equipment Stretching Machines Testing Machines Trimming Machines Weaving Equipment Tying Machines Vacum Dryers Machines Weighting Machines Wet Wheel Machines Wool Compactors Wool Pulling Machines Wringers Machines Air Blast De-dusting Machines Area Extension Machines Band Knife Splitters Brushing Machines Bundling Machines
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INDIAN LEATHER INDUSTRY

Chrome Recovery Equipment Color Matching & Dosing Equipment Conditioning Machines Curtain Coating Machines Dehairing / Unharing Machines Dust Control Machines Extractors Machines Filter Presses Finishing Machines Fleshing Machines Glazing Machines Heat Recovery Machines Hide Processing Machines Hide Washing Machines Linked Processing Lines Milling Drums Padding Machines Perforating Machines Plate Washing Machines Platting / Embossing Machines Pressing Machines Putting Out Machines Recirculation Systems Roller Machines Rotary Shearing Machines Sammying Machines Scudding Machines Setting Out Machines Shaving Conveyors Siding Machines Sorting Machines Splitting Machines (Lime / Wet Blue) Spraying Machines Stacking Machines Swabbing Machines Tipping Machines Trimming Tools Turn-Key Tannery Washing Equipment
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INDIAN LEATHER INDUSTRY

Wet Buffing Machines Wheeling Machines Wool Dryers Wool Removal (Sweating) Machines



LEATHER CHEMICALS:

Acetic Acid Acrylic Retans Adhesives Alkalies Ammonium Chloride and Sulfate Antioxidants Antirock Sprays Bactericides Bates and Enzymes Binders Bleaching Chemicals Borax, Boric Acid Calcium Formate Casein Cationic Oils Caustic Potash Caustic Soda Chestnut China Clay Colloidal Clay Defoamers Degras Degreasing Agents Dehairing / Unhairing Agents Deodorizers Detergents and Soaps Disinfectants Disodium Phosphate Dispersing Agents Dry Colors and Pigments Dyeing Auxiliaries
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INDIAN LEATHER INDUSTRY

Egg Yolk Emulsified Oils and Waxes Emulsifiers Esters Fat Liquors Fillers Finish Strippers Urethane Finishes Water Resistant Finishes Finishing Agents Flame Retardants Formic Acid Fragrances Fungicides Furrier Supplies Hematine Hydrogen Peroxide Impregnants Leather Care Products Leveling Agents Ligno Sulfates Magnesium Hydroxide Marine Oils Neats Foot Oils Neutralizing Agents Oborants Penetrating Agents Pigments Plasticizers Plate Release Wax Quebracho Acrylic Resins Synthetic Resins Resin Binders Resin Emulsions Sequestering Agents Slip Agents Soaking Assistants Sodium Bicarbonate and Carbonate
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INDIAN LEATHER INDUSTRY

Sodium Bichromate Sodium Bisulfate Sodium Bisulfite Sodium Formate Sodium Hexa-Mata Phosphate Sodium Hydroxide Sodium Sulfide Sodium Sulphate Sodium Sulphydrate Stain Resistants Stuffing Compounds Sulfated Oils Sulphonated Tallow Sulphuric Acid Surfactants Swabbing Oils Syntans Tallows Tanning Extracts Waste Control Chemicals Waterproofing Agents Waxes Whitening Materials Zirconium


LEATHER RAW MATERIALS:

Bovine Hides Brine Cured Hides Buffalo Leather Cabretta Leather Calf Skins Chamois Crust Hides Dry Hides Fish Leather Deer Hides Horse Leather Kangaroo Leather
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INDIAN LEATHER INDUSTRY

NuBuck Leather Pickled Hides Pigskins Rabbit Hides Leather Raw Hides Snake Leather Sheep Leather Skivers Slink Skins Wet Blue Hides Wet Salted Hides



LEATHER FURNITURE
Sofas Chairs Sectionals Recliners

Leather Leather Leather Leather



LEATHER ACCESSORIES
Bags Tote Bags Saddle Bags Golf Bags Handbags Shoulder Bags Travel Bags Duffle Bags Book Bags Bean Bags Briefcase Bags Leather Bags Laptop Bags Camera Bags
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Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather

INDIAN LEATHER INDUSTRY

Leather Wallets Ladies Leather Wallets Men's Leather Wallets Leather Passport Wallets Leather Chain Wallets Leather Travel Wallets Leather Credit Card Wallets Leather Purses Leather Backpack Purses Leather Coin Purses Leather Cases Leather Phone Cases Leather Key Cases Leather Pen Cases Leather Cigar Cases Leather Passport Cases Leather CD Case Leather Card Holders Business Card Holders Credit Card Holders Leather Business Organizers Leather Key Chains Leather Picture Frames Leather Jewelry Boxes Leather Briefcase Leather Backpacks Leather Portfolios Leather Portfolios


LEATHER FASHION JEWELRY
Chokers Necklaces Bracelets Hair Clips Arm Bands Earrings Rings

Leather Leather Leather Leather Leather Leather Leather

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INDIAN LEATHER INDUSTRY



LEATHER GARMENTS & CLOTHING

Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather Leather

Shirts Jackets Trousers Vests Coats Jeans Gloves Chaps Shorts Caps Blazers Thongs Overcoats Belts

Kids & Children’s Leather Clothing Girls Leather Skirts Girls Leather Tops Kids Leather Jackets Kids Leather Shorts Kids Leather Trousers Kids Leather Gloves Mens Leather Garments Mens Leather Shirts Mens Leather Jackets Mens Leather Trousers Mens Leather Vests Mens Leather Coats Mens Leather Jeans Mens Leather Caps Mens Leather Overcoats Mens Leather Gloves Mens Leather Shorts Mens Leather Blazers
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INDIAN LEATHER INDUSTRY

Mens Mens Mens Mens Mens Mens

Leather Leather Leather Leather Leather Leather

Hats Belts Outerwear Innerwears Thongs Chaps

Womens Leather Garments Womens Leather Lingerie Womens Leather Shirts Womens Leather Tank Tops Womens Leather Tops Womens Leather Coats Womens Leather Jeans Womens Leather Jackets Womens Leather Skirts Womens Leather Trousers Womens Leather Vests Womens Leather Shorts Womens Leather Panties Womens Leather Capris Womens Leather Thongs Womens Leather Bra Womens Leather Overcoats Womens Leather Gloves Womens Leather Pants Womens Leather Belts Womens Leather Blazers Womens Leather Chaps Industrial Clothing Industrial Leather Gloves Industrial Leather Shoes Industrial Leather Trousers

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LEATHER EXPORTERS IN INDIA
Following are the names of few leather exporters in India.
Anira Exports - Bombay. Antler Leather - Chennai Aress International Asiatic Leather Handicraft - Calcutta. AVS International Pvt.Ltd
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INDIAN LEATHER INDUSTRY

Carlo - Manufacturer and exporter of quality leather goods. Chandrani Compliments & Export Private Limited. Classic Export - Calcutta. Crescent Export Syndicate - Calcutta. DCP Synthetics Pvt Ltd Edcons Exports Private Limited. - Calcutta. Export Collection Farinni Exports Pvt. Ltd. - Calcutta. Fuzz Leathers Genius Leathercraft Ltd GPK Exports - Calcutta Hatigor Exports Limited. IGT Exports Ltd. - Govt. of India Recognised Export House. Jalan Exports Kabir Leathers KAG Exports - Maduri. Kamal Exports Leatherman Mahanati Exports Private Limited. MB Export International Mercury Exports Packtec Enterprises Puma Exports Private Ltd - Calcutta. Punihani International Tuhina Leather Industries - Bangalore. Skin Craft
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INDIAN LEATHER INDUSTRY

Tara Exports.

Etc.

INDIAN LEATHER MANUFACTURERS

ISLAM INTERNATIONAL Wholesale exporter and supplier of briefcases including leather briefcases, leather portfolio, leather executive briefcases, designer leather briefcases, leather business portfolio and leather presentation portfolio. Address: 29 Miajaan Ostager Lane, 1st Floor, Kolkata - 700 017, India

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INDIAN LEATHER INDUSTRY

Phone: +(91)-(33)-22833627 Fax: +(91)-(33)-22893528 Website: http://www.islam-international.com/ HORE COTTAGE INDUSTRIES PVT. LTD. Wholesale suppliers of ladies leather bags, leather designer bags, leather hand bags, men's leather wallet, leather wallet purses, leather shoulder bags, leather evening bags, leather ladies purse, ladies leather wallets and leather pouches. Address: 160, Lake Town, A Block, Kolkata - 700 089, India Phone: +(91)-(33)-25345447 Fax: +(91)-(33)-25345447 Website: http://www.horecottage.com/ MAHA LEATHER Manufacturer and exporter of finished leather, raw leather like sheep leather, goat finished leather, cow leather, buff leather, upholstery leather, printed dry mill leather, soft shoe upper leather used for making seat cover, furniture, home furnishings. Address: 1/388, Shanmuga Nagar, Pozhichalur, Chennai - 600 089, India Phone: +(91)-(44)-22521688 Fax: +(91)-(44)-22521688 Website: http://www.indiamart.com/mahaleather/ RUDRA ENTERPRISES Deals in selling and manufacturing of leather card holder, leather business card holder, leather credit card holder. Also deals in pvc files, leatherite punchless clip files, small leatherite punchless clip files, F/S punchless clip files and file folder. Address: 3645-47/10-11, Gali Lohe Wali, 3rd Floor, Chawri Bazar, New Delhi 110 006, India Phone: +(91)-(11)-23947481/30518241 Fax: +(91)-(11)-23918281 Website: http://www.anejaplastic.com/ MEGAA INDIAN ARTS Supplier and manufacturer of various leather goods and leather accessories like leather key rings, leather files, leather folders, portfolio planners, leather bags, crafted leather carry bags, leather portfolio bags, leather executive bags etc. Address: 9th Floor, Flat-A9, CIC Building, 33A, Chowringhee Road, Kolkata 174

INDIAN LEATHER INDUSTRY

700 071, India Phone: +(91)-(33)-40219200/22172461 Fax: +(91)-(33)-22172713 Website: http://www.megaaindianarts.com/ FARIS EXPORT Engaged in manufacturing and exporting of leather equestrian products, animal leather clothing, leather saddles, leather bridles, leather headstalls, leather brest plates, leather rugs, leather riding chaps and leather brest collar. Address: M. G. 4 / 4, K. D. A. Colony, Jajmau, Kanpur - 208 010, India Phone: +(91)-(99350)-29920 Website: http://www.indiamart.com/farisexport/bridle.html NEW ERA OVERSEAS, NEW DELHI Producing and exporting handmade paper gifts such as slip pad, greeting card, letter writing set, pen stands, printed and dry flower greeting card, gift box, hanging lamp shade, photo frames, wine carry bags. Address: C-49, Vivek Vihar, Phase-I, Delhi - 110 095, India Phone: +(91)-(11)-22168326/22158326 Fax: +(91)-(11)-43061308 Website: http://www.neweraoverseas.com/ KUDOS EXPORTS Deals in manufacturing and exporting of pet use products that includes dog collar, dog blanket, saddle bag, synthetic saddles, hoof boots and western bridle. Also supplies breeches, leather jackets and horse rugs. Address: 283 C, Shyam Nagar, Kanpur - 208 013, India Phone: +(91)-(512)-3200522/2423611 Fax: +(91)-(512)-2423611 Website: http://www.indiamart.com/kudosexports/

IMAGES INTERNATIONAL Producers and suppliers of leather goods and accessories like designer leather belts, fancy leather photo frames, designer leather folders, fashion leather glass cases, decorative leather pen holders, leather file folder and other leather accessories.
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INDIAN LEATHER INDUSTRY

Address: 43-A, L. G. F., Amrit Nagar, South Extension, Part-1, New Delhi - 110 003, India Phone: +(91)-(11)-24656111/24644040 Fax: +(91)-(11)-24644040/24602039 Website: http://www.imagintl.com/ AA TO ZZ BUYING SERVICES Suppliers of leather goods such as leather garments, quality leather goods, designer leather goods, fashion leather goods, leather handicrafts and leather apparels. Address: B-291, Okhla Industrial Area Phase -1, New Delhi - 110 022, India Phone: +(91)-(11)-26811347 Fax: +(91)-(11)-26811345 Website: http://www.indiamart.com/indiabuyingservices/ P.S. DAIMA AND SONS Indian manufacturer, supplier and exporter of a wide range of leather laces including round leather lacing, split suede leather lacing, buff leather lacing, braided bolo leather lacing, calf craft leather lacing etc. Address: RZ-156, Sayed Nangloi, New Delhi - 110 087, India Phone: +(91)-(11)-25252690/25266744/25254281 Website: http://www.psdaimaandsons.com/laces.html NEW ERA OVERSEAS, DELHI Engaged in supplying of leather products like embossed leather journals, leather photo frames, stitched leather journals, leather sleeves, leather writing journals, blank leather journals, refillable leather journals and suede leather journals. Address: C-49, Vivek Vihar, Phase - I, Delhi - 110 095, India Phone: +(91)-(11)-22168326/22158326 Fax: +(91)-(11)-43061308 Website: http://www.leatherjournals-accessories.com/ DAFFODILS OVERSEAS Manufacturers and exporter of leather bags, leather wallets, leather handbags, leather purses, leather coin pouches, ladies leather wallets, gents leather wallets, leather designer bags, ladies leather purses, leather wallet and leather executive bags. Address: 40/1404, Jayhind Subhash Nagar, Chembur, Mumbai - 400 074, India
176

INDIAN LEATHER INDUSTRY

Phone: +(91)-(22)-65217315 Website: http://www.indiamart.com/daffodilsoverseas/ SUDESH ART & CRAFTS PVT. LTD. Manufacturer and supplier of various leather bags like designer leather bags, decorative leather bags, colorful leather bags, designer ladies bags, jewelery pouches, embroidered pouches etc. Address: E-36 / 202, Jawahar Park, Laxmi Nagar, Vikas Marg, Delhi - 110 092, India Phone: +(91)-(11)-43043577 Fax: +(91)-(11)-43043577/22824244 Website: http://www.sudesh-artncrafts.com/ THINK FASHION, DELHI Engaged in manufacturing and exporting variety of leather bags including embroidered leather bag, fashion leather bags, designer leather bag, soft sheep leather bag, tanned leather bag along with leather belts and leather purses. Address: B- 2548, IInd Floor, Dsidc, Narela, New Delhi - 110 040, India Phone: +(91)-(11)-27783246 Fax: +(91)-(11)-27783246 Website: http://www.thinkfashionin.com/leather-bags.html BALAJI INDUSTRIES, MAHARASHTRA Manufacturers and exporters of leather bags, leather ladies purses, leather purses, portfolio bags, office bags, camera bags, hand bags, shoulder bags, travel bags, laptop bags, leather hand purses, leather camera cases and office cum laptop bags. Address: Gala No. -103, Everest Tiles Compound,18 Indl Area, Piparia, Silvassa, Daman - 400017, India Phone: +(91)-(22)-24012390 Fax: +(91)-(22)-24012390 Website: http://www.balajimaniks.com/ POPPYS INTERNATIONAL Manufacturer and exporter of leather goods, leather fashion accessories, ladies bags, leather shoulder bags, travelling bags, leather wallets, leather portfolios, leather belts, leather business organizers, leather key rings and fashion key chains. Address: 87/111, Bhannana Purwa, Kalpi Road, Kanpur - 208 003, India
177

INDIAN LEATHER INDUSTRY

Phone: +(91)-(512)-3016092,3016093 Fax: +(91)-(512)-2691160 Website: http://www.indiamart.com/poppysinternational/ DHARANI EXPORT-IMPORT SERVICES (P) LTD. Exports and supplies an extensive range of leather chemicals such as nitro cellulose, acpol grounds, aksol binders, ambilac cems and ambilac clears. Also offering food colours, allura red food colours, black PN food colours and food flavours. Address: 20/1, VVD Road, Tuticorin - 628 003, India Phone: +(91)-(461)-2330856/4000900 Fax: +(91)-(461)-2325551 Website: http://www.indiamart.com/dharani-exim/ EMMAR INTERNATIONAL Manufacturer and supplier of leather gift sets such as wallets gift sets, business gift sets, corporate leather gift sets, promotional gift sets, occasional gift sets, handcrafted gift sets, designer gift sets and decorative gift sets. Address: 613, Raheja Centre, 214, Nariman Point, Mumbai - 400 021, India Phone: +(91)-(22)-22831577/22834562/22831672 Fax: +(91)-(22)-22872242 Website: http://www.emmarinternational.com/leather-bags.html GIFTS AND PROMOS WORLD WIDE Manufacturer and exporter of corporate gift items, corporate leather gifts, leather key chains, promotional pens, leather bags, carry bags, desktop utility items, promotional caps, promotional t-shirts, promotional mugs, promotional umbrella and awards. Address: No. 18/19, Eden Gardens, S. T. Road, Deonar, Mumbai - 400 088, India Phone: +(91)-(22)-25565422 Fax: +(91)-(22)-25586161 Website: http://www.giftspromos.com/ NALSONS (INDIA) Manufacturers and suppliers of leather bags including suede leather bags, nappa leather bags, buffalo leather bags, cow leather bags, calf leather bags, designer leather bags, leather hand bags, leather shoulder bags and ladies leather bags. Address: B-77 Old Jasola Village, Behind Apollo Hospital, Mathura Road, New
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INDIAN LEATHER INDUSTRY

Delhi - 110 025, India Phone: +(91)-(11)-65434794 Fax: +(91)-(11)-29943726 Website: http://www.nalsons.com/ ASIAN ADORES Manufacturing leather diaries covers, leather journal covers, leather book covers, leather notebook covers, leather agenda covers, leather passport cases, document holders, leather portfoilos, leather planners, leather organizers and folders. Address: 105, Madhu Industrial Estate, Mogra Village Road, Andheri (East), Mumbai - 400 069, India Phone: +(91)-(22)-28348890/28350577/28218292 Fax: +(91)-(22)-28350577 Website: http://www.adoragifts.com/agenda-covers.html JUST HIDES Engaged in manufacturing of leather organizers, leather schedulers, leather key holders, leather bags, fancy leather handbags, leather wallets, leather key chains, folders, hip pouches, belt pouches, pencil pouches, key pouches and toilet pouches. Address: 17, P.K Rangaswamy Street, Thiruvalluvar Nagar, Vellore - 632 001, India Phone: +(91)-(416)-4203828 Fax: +(91)-(416)-4205828 Website: http://www.indiamart.com/justhides/ GUTS AND GLORY LEATHERS Manufacturing and exporting all types of leather equestrian goods such as leather saddlery, leather harness, leather horse rugs, leather horse bridles and leather horse halters. Also deals in winter rugs, nylon fabric rugs and woolen blanket rugs. Address: 102/88, Wajidpur Jajmau, Kanpur - 208 010, India Phone: +(91)-(512)-3268264 Fax: +(91)-(512)-2464261 Website: http://www.bridlenhalter.com/ JAGDHAN INTERNATIONAL Manufacturers and exporters of promotional leather gift items like leather belts, pencil case, cosmetic case, cushion covers, dairy cover, womens bags, clutch purses, wallets and card holders.
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INDIAN LEATHER INDUSTRY

Address: 248/3/B, G.T. Road (N), Liluah, Howrah - 711 204, India Phone: +(91)-(33)-26557672/26554052 Fax: +(91)-(33)-26551821 Website: http://www.jagdhan.com/ ABHISHEK IMPEX, MUMBAI Specializes in manufacturing and exporting leather chemicals, industrial leather chemicals and organic leather chemicals like as monochloroacetic acid, chloroethanoic acid, chloroacetic acid, chloracetic acid and other chemicals for industrial use. Address: 202/A2-1, Veer Hanuman Nagar, LM Road, Dahisar(W), Mumbai - 400 068, India Phone: +(91)-(22)-28933984 Fax: +(91)-(22)-28912615 Website: http://www.abhishek-impex.com/monochloroacetic-acid.html BAG MAKER Exporters and manufacturers of mens leather wallets and purses available sheet nappa and suede leather in different colours like black, brown and tan. Also supplying womens nylon bags, womens beach bags, womens tote bags. Address: Plot No. 522 , 523, Sector - 37, Pace City - II, Gurgaon - 122 004, India Phone: +(91)-(124)-4228000 Fax: +(91)-(124)-4228005 Website: http://www.bagmakerindia.com/mens-leather-wallets.html RADIANT CHEMICALS, MUMBAI Manufacturer and exporter of adhesives & chemical like water soluble colorant, water insoluble colorant, electrical chemical, leather industry chemical, oilfield chemical, oilfield corrosion inhibitor, paper & plastic industry chemical. Address: 155 / 57, Samuel Street, Hingkee Bldg, 3rd Floor, Off. No. 304 & 305, Mumbai - 400 009, India Phone: +(91)-(22)-66311933/23471934 Fax: +(91)-(22)-23471934 Website: http://www.radiantchemicals.com/ SAHYOG EXPORTS PVT. LTD. Suppliers and exporters of ladies footwear, gents footwear, leather footwear, ladies leather slippers, gents leather footwear, gents leather slippers, fancy leather
180

INDIAN LEATHER INDUSTRY

slippers, ladies leather wedges, ladies chappals and ladies beaded slippers. Address: 9 & 29, Makharia Indl. Complex, Plot No- 27, Mahakali Caves Road, Andheri (East), Mumbai - 400 093, India Phone: +(91)-(22)-26873628/26873835/66921785 Fax: +(91)-(22)-26874596 Website: http://www.indiamart.com/sahyogexports/leather-designer-footwear.html SHIVAM NARROW FABRICS Manufacturers, suppliers and exporters of leather cords, leather drawcords, leather belts, leather tapes, leather laces, leather threads, leather strings and various types of woven customised tapes. Address: 34- Q, Laxmi Industrial Estate, Link Road, Andheri (W), Bombay - 400 053, India Phone: +(91)-(22)-26335010/66922244/40670670/40107411-12-13-14-15 Fax: +(91)-(22)-66922244 Website: http://www.snfexports.com/ RAMA KRISHNA GOYAL SHOP - M Engaged in manufacturing and supplying of leather goods such as leather album, leather files, leather folders, embossed leather folders, plain leather diary, handmade leather photo album, leather wrist bands, karol leather folders, leather wallets, etc. Address: 59, Koliwara, Udaipur - 313 001, India Phone: +(91)-(294)-2417089/2528382 Fax: +(91)-(294)-5101520/2417089 Website: http://www.handmadepaperproduct.com/ MADHAV INTERNATIONAL Manufacturing and exporting designer footwear like ladies hand embroidered party slippers, embroidered leather slippers and leather hand painted ladies slippers. Also offers embroidered hand bags and beaded bags for ladies. Address: R. Z.-54, Chandan Colony, Village Saidulajab, Ignou/ Neb Sarai Road, P. O. Mehrauli, New Delhi - 110 030, India Phone: +(91)-(11)-65145300/29532456 Fax: +(91)-(11)-29536456 Website: http://www.madhavfashions.com/leather-accessories.html

181

INDIAN LEATHER INDUSTRY

LEATHER CHOICE, CHENNAI Leading supplier of leather handbags, fancy handbags, fashion handbags, ladies handbags, ladies fancy handbags, leather travel bags, designer leather travel bags along with fashion leather jacket, designer leather jacket and men leather jacket. Address: 1, Muthu Street 1st Floor, Periamet, Chennai - 600 003, India Phone: +(91)-(44)-25612959 Fax: +(91)-(44)-25615565 Website: http://www.indiamart.com/leatherchoice/ TRANSWORLD TRADING INC. Manufacturers and wholesale suppliers of handcrafted ladies footwear, mens leather footwear, ethnic footwear, v shape light weight footwear and eva sole synthetic upper footwear. Address: 2994/2A, Street No. 17, Ranjit Nagar, New Delhi - 110 008, India Phone: +(91)-(11)-65480516 Fax: +(91)-(11)-25703954 Website: http://www.indian-handicrafts-manufacturers.com/ladies-mensfootwear.html AQSA INTERNATIONAL Manufacturer and exporter of finished leather like sheep skin leather, finished sheep leather, processed sheep leather, sheep nappa leather, brown nappa leather, black nappa leather, nubuck sheep leather and sheep cabretta leather. Address: 1105/D, PJ Nehru Road, Vaniyambadi - 635 751, India Phone: +(91)-(4174)-228501 Fax: +(91)-(4174)-226311 Website: http://www.indiamart.com/aqsainternational/ UNITED EXIM KANPUR Manufacturer and exporter of leather belts, beaded leather belts, embossed leather belts, designer leather belts, woven leather belts, metallic buckle belts, brass buckle belts, double punch belts, vintage stud belts, fashion leather belts. Address: 14/106, Civil Lines Kanpur, Kanpur - 208001, India Phone: +(91)-(512)-2530512 Fax: +(91)-(512)-2530512 Website: http://www.indiamart.com/unitedexim/ SHARMA LEATHER PRODUCTS P. LTD.
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INDIAN LEATHER INDUSTRY

Manufacturer and exporter of men's leather bags, ladies leather bags, leather travel bags, leather office bags, leather laptop cases, leather portfolio bags, leather handbags, ladies leather shoulder bags, leather wallets and leather purses. Address: 10 F, East Topsia Road, Kolkata - 700 046, India Phone: +(91)-(33)-22853211/32901680 Fax: +(91)-(33)-22853992 Website: http://www.sharmaleather.com/ GREEN EARTH INTERNATIONAL Manufacturers and exporters of wide range of fashion and designer bags including ladies hand bags, shoulder bags, beach bags, festive occasional bags, printed bags, jute pouches, jute leather bags, jute fashion bags and union fabric bags. Address: 32, Armenian Street, Ist Floor, Kolkata - 700 001, India Phone: +(91)-(33)-9830026178/25837230/22725935 Fax: +(91)-(33)-25832622 Website: http://www.baghunt.com/high-fashion-bags.html PARADISE NOBLE CREATIONS Engaged in supplying of leather products like leather horse saddles, horse harness, leather horse bridles, leather halters, leather chaps and stirrup leather. Address: 20- A, Co Operative Industrial Area, Kanpur - 208 022, India Phone: +(91)-(512)-2295113 Fax: +(91)-(512)-2218267 Website: http://www.indiamart.com/paradisenoble/ PARAS INDIA EXPORTS Exporters and sellers of beaded canvas bags, leather bags, suede leather bags, canvas bags, embroidered bags, jute carry bags, embroidered canvas bags, denim bags, denim back pack, jute bags. Also offer leather cushion covers and kitchen gloves. Address: D-16/175, Sector - 7, Rohini, New Delhi - 110 085, India Phone: +(91)-(11)-65731089 Fax: +(91)-(11)-47019723 Website: http://www.indiamart.com/parasindiaexports/ SG EXPORTS Engaged in manufacture and supply of finished leathers such as finished cow leathers, silk printed leathers, embossed finished leathers, stretched leathers and
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INDIAN LEATHER INDUSTRY

finished buff leathers available in different colors, prints and patterns. Address: 31, 1st Floor, Functional Industrial Estate Patparganj, New Delhi - 110 092, India Phone: +(91)-(11)-22158059 Fax: +(91)-(11)-22158078 Website: http://www.sbmdubai.com/leather-products.html KHALIQUE SONS INTERNATIONAL Engaged in exporting and manufacturing of horse leather clothing, animal leather clothong, leather saddle, leather halter, leather lead, horse leather saddle, leather saddle, horse saddle, dogs coats, horse rugs, exercise sheets and combo fly sheets. Address: 4/25, Bhikampura Street, Farukhabad - 209 625, India Phone: +(91)-(5692)-246042 Fax: +(91)-(5692)-246489 Website: http://www.indiamart.com/khaliquesons/ SKIN CRAFT Engaged in manufacturing of leather garments of men and women such as leather coats, ladies leather dresses, leather long coats, leather overcoats, leather trench coats, leather jackets, men's leather coats, leather trousers and leather jeans. Address: B-12/3, Okhla Phase-11, New Delhi - 110 020, India Phone: +(91)-(11)-41707250/41707251 Fax: +(91)-(11)-41707252 Website: http://www.indiamart.com/skincraft-leather-garments/ RIYA IMPEX Manufacturing and suppling of leather footweats, leather shoes, leather boot, leather ballerina. Also supply woven ready made garments, leather shirts, ladies jackets, ladies long coats, leather trousers, men's manfred. Address: A-9, Milap Nagar, Uttam Nagar, New Delhi - 110 059, India Phone: +(91)-(11)-28566104/28565080 Fax: +(91)-(11)-28565207 Website: http://www.indiamart.com/riyaimpex/ HI-GLO HOLO IMAGES PVT. LTD. Manufacturing and exporting different types of stickers, labels and hologram sticker like printed hologram labels, 3d holographic films, 3d hologram labels, dome labels, hologram labels, hologram shrink labels, metal labels and tamper
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INDIAN LEATHER INDUSTRY

proof holograms. Address: Near Bhakra Bridge, Vill Rauni, Patiala-Nabha Road, Patiala - 147 004, India Phone: +(91)-(175)-2366852/2366998/2365691 Fax: +(91)-(175)2366998/2366852 Website: http://www.indiamart.com/higlo/ POOJA EXPORTS Engaged in manufacture of leather bags, leather wallets, leather business planners, leather executive bags, leather business organizers, ladies hand bags, leather briefcase, leather card holder, leather mobile cover, leather file folders and key chains. Address: A/67, Jai Bajrangbali Co-op Society, Khambdev Nagar, Sion-bandra Link Road, Mumbai - 400 017, India Phone: +(91)-(22)-24072860 Fax: +(91)-(22)-24072860 Website: http://www.indiamart.com/poojaexports/ DHIREN CHEMICAL INDUSTRIES Manufacturer and supplier of leather industry chemicals, leather treatment chemicals such as wetting agent & emulsifier, emulsifiers for fat liquors, apeo free biodegradable for wetting detergent, for degreasing and for dispersing. Address: 118, Panorama, R. C. Dutt Road, Baroda - 390 007, India Phone: +(91)-(265)-6621219 Fax: +(91)-(265)-2331119 Website: http://www.indiamart.com/dhirenchemical/ BLACK JACK INDIA LIMITED Manufacturer, supplier and exporter of leather tool bags, leather carpenter apron, leather dry wall bag, leather two pockets nail bag, fixed hammer holder, revolving hammer holder. Address: D - 63, South City - 1, Gurgaon - 122 001, India Phone: +(91)-(124)-3250048/4269922/23 Fax: +(91)-(124)-4269766 Website: http://www.blackjacktools.com/tool-bags.html AKIN SONS
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INDIAN LEATHER INDUSTRY

Dealers and manufacturer of safety shoes like industrial safety shoes, safeguard safety shoes, work safety shoes, men's safety shoes, antistatic safety shoes, leather safety footwears, leather safety shoes and mens safety footwears. Address: 557, Pati Ram Street, Delhi - 110 006, India Phone: +(91)-(11)-23236730 Fax: +(91)-(11)-23231420 Website: http://www.indiamart.com/akinsons/ PAM INTERNATIONAL Manufacturers and exporters of ladies leather hand bags, fashion handbags, fancy handbags, leather evening handbags, leather travel bags, leather executive bags, ladies leather wallets, mens leather wallets, leather purses and leather coin purses. Address: 15, Janak Road, Kolkata - 700 029, India Phone: +(91)-(33)-24610493 Fax: +(91)-(33)-24610493 Website: http://www.indiamart.com/pamxports/ STAR ADVERTISERS engaged in supplying and exporting of leather goods & accessories such as leather desk accessories, leather office laptop bags, leather office briefcase, leather corporate bags, leather desk sets, leather corporate planners, etc. Address: 1/371-B, Shastri Colony, Main Link Road, Faridabad - 121 001, India Phone: +(91)-(129)-4044866/6517331 Website: http://www.indiamart.com/staradvertisers/ V. I. FASHIONS Manufacturers and exporters of fashion bags such as leather fashion bags, colored fashion bags, ladies fashion bags, designer fashion bags, crafted fashion bags. Also sells leather shopping bags, leather wallet, leather evening bag, leather purse, etc. Address: 24/6 Kustia Masjid Bari Lane, Kolkata - 700 039, India Phone: +(91)-(33)-26671806 Fax: +(91)-(33)-22874502 Website: http://www.indiamart.com/vifashions/ INTERLABS HAS Engaged in production of corporate gifts and promotional gifts like handmade
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INDIAN LEATHER INDUSTRY

paper gifts, paper gift bags, paper note books, gents leather wallets, ladies leather wallets, leather travel bags, executive leather bags and wooden paintings. Address: 6262/26 & 6262/26/2, IDGAH Road, Cross Road No. 8, Interlabs Complex, Ambala - 133 001, India Phone: +(91)-(171)-2633304 Fax: +(91)-(171)-2643484 Website: http://www.indiamart.com/interlabs-has/ ARESS INTERNATIONAL Manufacturing and exporting leather bags, leather purses, leather hand bags, ladies leather bags, leather wallets, mens leather wallets, ladies leather wallets, designer mens leather wallets. Address: 98, Sarai Jullena, 2nd Floor Near Escorts Heart Institute, New Delhi 110 025, India Phone: +(91)-(11)-65352942/23230330 Fax: +(91)-(11)-26906751 Website: http://www.aressintl.com/leather-hand-bags.html

ANGEL FASHIONS Exporters and suppliers of leather accessories like mens wallets, leather wallets, fancy leather wallets, black leather wallets, multiple pockets leather wallets and designer leather wallets. Also offer mens wear formal shirts and pants. Address: No. 3/188 Muthamizh Nagar, Kodungaiyur, Chennai - 600 118, India Phone: +(91)-(44)-25590570 Website: http://www.indiamart.com/angelfashions/readymade-garments.html PADMAVAHINI SAFE TECH PRIVATE LIMITED Engaged in manufacturing and exporting of leather gloves like leather industrial gloves, leather safety gloves, leather leg guard, driving gloves, leather welding gloves, comfortable leather gloves. Also deals in pvc hand gloves, hosiery hand gloves. Address: Door No. 7/140- 5, Ruby Matriculation School Road, Keeranatham, Saravanampatti, Coimbatore - 641 035, India Phone: +(91)-(422)-6531222 Website: http://www.indiamart.com/padmavahinisafetech/
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INDIAN LEATHER INDUSTRY

TECHNO COLOR CORPORATION Manufacturer and wholesale supplier of leather dyes and leather dyes colors. Also export acid mordant dyes, acid milling dyes, non-benzidine direct dyes, acid dyes, acid metal complex dyes, textile and fabric dyes, solvent dyes and food colors. Address: Pitru Chhaya, Sanghvi Estate Govandi Station Rd, Govandi(E), Mumbai - 400088, India Phone: +(91)-(22)-25576668/24071961/55973368 Fax: +(91)-(22)-25576578 Website: http://www.indiamart.com/technocolour/ SECOND MAY INTERNATIONAL Manufacturers of ladies leather handbags, leather touch bags, leather organizers, leather coin purses, canvas bags, jute bags, fashion bags, beach bags, packing bags, wine bags, multipurpose bags and mobile covers. Address: D- 147, EPIP, Site- 5, Kasna, Greater Noida - 201 306, India Phone: +(91)-(120)-6456844/6549094 Fax: +(91)-(120)-2341194 Website: http://www.secondmay.net/wine-gift-leather-bags.html

SFM BUYING SERVICES Buying house and exporters of leather bags, ladies leather bags, designer leather bags and ladies designer leather bags. Also supplying wall hanging, stuffed wall hangings, designer wall hangings and decorative wall hangings. Address: Khasra # 10/1, (4-6) Old Highway, Delhi - Gurgaon Road, Samalka, New Delhi - 110 037, India Phone: +(91)-(11)-25061203/25061119/25061120 Fax: +(91)-(11)-25061201 Website: http://www.indiamart.com/sfmbuyingservices/ ESS AAR UNIVERSAL PRIVATE LIMITED Manufacturer and exporter of footwear soles and slippers including shoes soles, PU soles, footwear soles, leather footwear soles, men footwear soles, mid soles, female feet soles, kids footwear soles, bathroom slippers, ladies slippers, mens slippers. Address: A-40/1, Site- IV, Industrial Area, Sahibabad - 201 010, India
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INDIAN LEATHER INDUSTRY

Phone: +(91)-(120)-2896012/2896074 Fax: +(91)-(120)-2895951 Website: http://www.essaarpu.com/polyurethane-soles.html SADDLES INC, BANGALORE Engaged in manufacturing and exporting of aniline leather, glazed leather, nappa leather, polished leather, soft leather. Also available with finished aniline leather, stallion leather, mustang leather, nappa studio and napkin holder. Address: 131, 6th cross, 4th A main, N.S. Palya, Btm II Stage, Bannerghatta Road, Bangalore - 560 076, India Phone: +(91)-(80)-26783120/26781965 Fax: +(91)-(80)-26783121 Website: http://www.indiamart.com/saddlesinc/ BENGAL EXPORTS Exporting and manufacturing ladies leather bags, leather hand bags, ladies leather hand bags, ladies hand bags, designer bags, hand purses annd ladies leather purses. Also deals in minerals, food grains, garments and other fashion accessories. Address: 60, Lenin Sarani, 2nd Floor, Kolkata - 700 013, India Phone: +(91)-(33)-22469796/22263993 Fax: +(91)-(33)-22469803 Website: http://www.indiamart.com/bengalexports/

RAJU SAFETY PRODUCTS Engaged in manufacturing and supplying of industrial safety products like safety hand gloves, nylon harness, helmet with tourch, safety shoes, fire suits, life jacket, window climbing belt and leather safety belts. Address: 312, Abubakar Chawl, Bagicha, Dharavi, Mumbai - 400 017, India Phone: +(91)-(22)-24028377 Fax: +(91)-(22)-24018271 Website: http://www.indiamart.com/raju-safety/ PIONEER OVERSEAS Manufacturing woven leather rugs, hand woven leather rugs, leather mats and woven leather mats in various designs and textures. Address: 217, Suneja Tower-II, District Center, Janakpuri, New Delhi - 110 058, India
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INDIAN LEATHER INDUSTRY

Phone: +(91)-(11)-25511126 Fax: +(91)-(11)-25551026 Website: http://www.pioneer-overseas.com/ J.S. CREATIONS Manufacturers and exporters of leather products like leather bags, ladies leather bags, leather wallets, leather purses, leather clutches, leather credit card holders, leather passport holders, leather planners, leather portfolios and leather cases. Address: 14/E, Tiljala Shibtola Lane, Kolkata - 700 039, India Phone: +(91)-(33)-23443445 Fax: +(91)-(33)-23444575 Website: http://www.indiamart.com/jscreations-leather-goods/ A. N. PAL CHOWDHURY ENGG ENTEPRISES Engaged in manufacturing and supplying of leather wallets, ladies leather wallets, mens leather wallets, tirfold leather wallets, bifold leather wallets, leather chain wallets along with scaffolding couplers, column clamps, props clamps. Address: 23-A, Netaji Subhas Road, 3rd Floor, Room No. 11, Kolkata - 700 001, India Phone: +(91)-(33)-26518511/26511511 Fax: +(91)-(33)-22304471 Website: http://www.anpengg.com/whatweoffer.html POOJA INTERNATIONAL Leading manufacturer and exporter of fashion footwear, designer footwear, embroidered footwear, ladies sandals, beaded sandals, mens leather shoes, leather formal shoes, designer shoes, party wear sandals and fancy sandals. Address: 29-NC, Block- B, New Alipur, Kolkata - 700 053, India Phone: +(91)-(33)-24588213 Fax: +(91)-(33)-24788420 Website: http://www.indiamart.com/poojainternational/ COLORSOFPASSION Manufacturer and wholesale exporter of leather mojris, designer leather mojris, fancy leather mojris, ladies leather mojris and trendy leather mojris. Also manufacture leather cushion covers, leather belts and leather automobile seat covers. Address: 212/213, Building No.5 Jogani Industrial Estate, Mumbai - 400 022,
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INDIAN LEATHER INDUSTRY

India Phone: +(91)-9892211017 Fax: +(91)-(22)-24057887 Website: http://www.indiamart.com/colorsofpassion/ CALBOT & CO. Manufacturer, supplier and exporter of leather products such as leather animal figurine, decorative leather animal figurine, leather camel figurine, leather horses figurine, leather deer figurine, leather elephant figurine and leather giraffe figurine. Address: D- 110, Sector- 40, Noida - 201 303, India Phone: +(91)-(120)-4340211/3250756 Website: http://www.indiamart.com/calbot/ BAWA LEATHERS Manufacturer and supplier of Indian markets for leather bags, leather executive bags, leather travel bags, laptop bags, medical representative bags, leather briefcases, leather wallets and leather kit bags. Address: 11071, Street No. 2, Doriwalan, Karol Bagh, New Delhi - 110 005, India Phone: +(91)-(11)-32600727 Website: http://www.indiamart.com/bawaleathers/ CRESCENT TANNERY Exporters and manufacturers of leather organizers mobile phone covers, leather jackets, telephone diary, pen holders, key rings, pouches, designer wallets, leather bag, bags, travel bags, coin purses and other leather accessories. Address: 81/1 Tiljala Road, Kolkata - 700 043, India Phone: +(91)-(33)-23448923/23434210 Fax: +(91)-(33)-23438869/22843651 Website: http://www.crescenttannery.com/ AMERICOS INDUSTRIES INC. Manufacturing organic solvents and pigments, organic polymer resins, leather soft chemicals, textile softeners, dyes, chemicals and colors like speciality chemicals, dyestuffs, dpdf colors for denims, textile enzymes. Address: B-610/611, Ganesh Plaza, NR Navrangpura Post Office, Ahmedabad 380 009, India
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INDIAN LEATHER INDUSTRY

Phone: +(91)-(79)-26447781/26447782/26447736 Fax: +(91)-(79)-26447736 Website: http://www.kenencoregroup.com/organic-polymer-resin.html SRF FABRICS Engaged in manufacturing and supplying of variety of leather bags, laptop bags, laptop computer bags, leather laptop bags, leather laptop computer bags, designer laptop bags, designer leather laptop bags and strap handled laptop bags. Address: 1254/3 , New Bhawani Peth, Burudipool, Pune - 411 042, India Phone: +(91)-(20)-26356287/26332881 Website: http://www.indiamart.com/srf-fabrics/ AEON OVERSEAS manufacturers and exporters of handicraft products, handmade paper, handmade photo albums, handmade gift boxes, handmade gift bags, triangular boxes, handmade journals and handmade notebooks. Address: D14 / 07 First Floor, The Presidency, Ardee City, Sector 52, Gurgaon 122 012, India Phone: +(91)-(124)-4144490 Fax: +(91)-(124)-2572762 Website: http://www.indiamart.com/aeonoverseas/handmadepaperitems.html GEETANJALI IMPEX DELHI Manufacture and supply leather wallet, mens leather wallet, card holder, business card holder, gents wallet, designer leather wallet, visiting card holder, laptop bag, promotional laptop bag, file folders, leather file folders and travel utility kits. Address: D- 153, Sector - 40, Noida - 201 301, India Phone: +(91)-(120)-4340905/43409056 Website: http://www.indiamart.com/geetanjaliimpex/

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INDIAN LEATHER INDUSTRY

BIBLIOGRAPHY
INTERNET SITES:


www.google.com



http://dgciskol.gov.in/Dgcis.htm



www.ministyofcommerce.com



www.tradeportalofindia.com

• www.indianleathercouncil.com



www.wikipedia.com



www.councilofleatherexport.com

• www.eximbankindia.com

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INDIAN LEATHER INDUSTRY

BOOKS
• Marketing management – By Philio Kotler


Britannica encyclopedia

ARTICLES:
• IICCI – Short Market Overviews-the indo-Italian chamber of commerce and industry



Strategies for Enhancing the Competitiveness of Leather Industry in India, by Mrs. Anamika Singh



EXIM BANK: RESEARCH BRIEF,Indian Perspective and Export Potential

Leather

Industry:

194

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...the fold of globalization. Bangladesh with its expanding sway of exports and imports is no exception to that. Globalization is increasingly becoming more and more popular, because most of the countries see their better fortune in this arrangement. Globalization covers a wide range of issues, economic, political, cultural, etc. There are scopes of win-win gains of the involved countries in their dealings. Since the issue of globalization is more a dream than reality, an effort was made to make the readers more aware about the issue, so that they take more interest in implementing the nobler ideas of globalization. Bangladesh has been trying to bring structural changes in her economy- increasingly expanding the contributions of industries in GDP, trade liberalization, boosting up exports, exporting more manpower in abroad, encouraging them in sending remittances, and alluring the investors (both foreign and non-residents of Bangladesh) for DFI. The country found the results encouraging and more efforts will be rewarding. Recently, Bangladesh has taken efforts to diversify her trade, find out new markets for her exports- both traditional and non-traditional items, even vegetables to many countries including neighboring countries. The regional connectivity, which is under active consideration of various adjoining countries and agreements have already been made, and in some case operations are underway for bringing big opportunities for Bangladeshi...

Words: 11046 - Pages: 45

Premium Essay

Global Sourcing

...KOLEJ UNIVERSITI TUNKU ABDUL RAHMAN Faculty of Accountancy, Finance & Business Academic Year 2014/2015 ( SEMESTER 1 ) Executive Summary Marks & Spencer is a company which had a history of 56 years and operating till now. The co-founder is actually Michael Marks and later joined by Thomas Spencer in 1894 to create Marks & Spencer. The main product which produced by Marks & Spencer is clothing line and then expand to food industries. Marks & Spencer are successful because of they know how to apply the sourcing strategies within their supplier around the world. There are two types of strategies implemented by Marks & Spencer, combination of in-house and third party manufacturing for food s line and third party contracting or sourcing for clothing section. Tesco is the choice from us to compete with Marks &Spencer; Tesco had their own sourcing strategy to compete with their rival within the same industries line such as group food sourcing (GSF) and regional supply base making the right product at affordable pricing. Tesco do developed its own brand which is cheaper in price and better qualities control. The last sourcing Strategies is Sourcing global, which they have contract with the supplier around the world. The sourcing strategy for Marks and Spencer has disadvantages and advantages which affect the company performance. Lastly, we recommended enhancement in their sourcing strategy by comply with China supplier in Clothing line or green field investment...

Words: 4197 - Pages: 17