Leather Sector Global National Andhra Pradesh Slaughter Houses Animals Slaughtered Promotion of Leather Parks

Global Players in Leather Sector

Global Leather and Leather Products Trade

(percentage)
Others
29.7 22.0

China

Italy Indonesia
1.1 1.3 1.6 1.7

15.8
2.4

Taiwan Korea Romania

3.4 Spain Brazil 4.0 Germany India

3.0

France

4.0

10.0

Hong Kong

Global Leather and Leather Products Trade

(in US $ Mill)

21464

22386

Exports Imports
15433

10183 9649 7055 6701 5778 3930 3740 3628

3078

2566 2495

2334

2192 2226

China

Italy

Hong Kong

France

Germany

Spain

India

USA

Belgium

Indian Leather Map

India is the second largest footwear producer. India is the third largest exporter of saddlery and harness items. India is the third largest producer of leather goods after China and Italy India is the fourth largest supplier of leather garments. Annual Turnover/ Production - Rs 25,000 Crores Domestic Sales Rs 14,200 crores Annual Export - Rs 10,800 Crores (43%) 2.5 million employment direct and indirect Largest Livestock holding country - A sources about 10% global requirement of Leather. One employment for every Rs 35,000 investment Investment to turnover ratio 1:4

 Major production Centre : Tamil Nadu, West Bengal, Uttar Pradesh, Punjab & Andra Pradesh. Leather exports from India account for around 3% of the total global leather exports Indias consumption of leather products is expected to grow at around 3-4% per annum in the near future.
10th Plan (US $ mill) Domestic projections Footwear Segment Other Leather commodities Export Projections Finished Leather Leather Footwear Leather Garments Leather Goods Saddlery & Harness Leather Gloves Total 606 1035 328 511 76 138 6279 962 3192 416 905 240 273 12293 2198 1387 4338 1967 11th Plan (US $ mill)

Indian Leather sector Capacity after modernization during 10th Plan

Sector Tannery (mill. Sq. ft) Footwear (pairs per annum) Saddlery (pieces per annum) Leather garments (pieces per annum) Capacity 1,468 15.96 crores 28.38 lakhs 29.30 lakhs % Growth 29.11 49.01 30.00 53.00

Footwear Components (pairs per annum)

Leather Goods (pairs per annum)

9.30 crores
18.34 crores

36.00
43.00

Indian Leather Sector Exports Changing Segments

(in percentage)

Sector

2000-01 2005-06

Leather Garments
Leather Goods Finished Leather Leather Footwear Footwear Components Saddlery & Harness Non-Leather Footwear
Indian Leather Exports
2000-01 - US $ 1.9 billion 2005-06 - US $ 2.7 billion

24
23 19 19 12 2 1

12
24 23 28 7 3 3

 A major employment generator and contributor to social and gender equity, where 35% of women forces and workers. About 2.5 million employees are working and about 2.5 million employees working in-directly. The work force is expected to be increased by an another one million. Of the 321 million hides and skins processed annually by the industry, 85% is sourced domestically. A major export revenue earner for the country. Value addition through technologies and up gradation is highest in the country. Most plants are clustered within the states of Tamil Nadu, West Bengal, Uttar Pradesh, and Punjab Tamil Nadu accounts for 70% of leather tanning capacity (225 million processed pieces annually) in India and 38% of leather footwear & components. The exports from Tamil Nadu are about US $ 762 million, which account for 42% of Indian leather exports TN has over 9000 registered small and medium firms and about 70 large scale firms and about 40 composite firms

Animal Population top States

482.20 399.80

(in lakhs)

204.60

167.04

158.00
0.38

AP

UP

Mah

MP

TN

Rajasthan

A.P. provides 10% of Indias raw material, yet, tanning and finishing sectors have not grown significantly to completely utilize the available raw materials resources AP could tan only 5% of the raw materials due to lack of tanning facilities Balance 95% is transported to other States where value addition is undertaken at the cost of A.P. There are around 30 tanning units in AP with minimal tanning and processing capacity.

Number of Slaughter Houses

25
Adilabad Nizamabad

47 Karimnagar 32 26 Warangal

Hyderabad Srikakulam

24 Medak 0 5 Reddy Ranga 24

Mahabubnagar Kurnool

7
Khammam

30 16 37

Vizianagaram

8
Nalgonda

12 Guntur12

West Godavari Godavari Krishna

Visakhapatna m East

33

Prakasam

> 25 Nos Between 10 & 25 < 10

Anatapur

12

4
Kadapa

Nellore

63 Chittoor

Total Number of Slaughter Houses - 447

% Growth of Animals in AP & Animal Slaughtered during 2007-08

(in lakhs)
S.No Animal No. in 2005 No. in 2007 % increase No. slaughtered during 2007-08

1 2 3

Sheep Goat Buffalo

210.15 64.27 107.68

245.85 97.65 137.28

17.0 51.9 27.5

20.85 9.63 4.81

4
5

Cattle
Pigs

94.28
5.49

114.89
4.35

21.9
-20.8

1.16
0.89

District-wise animals Slaughtered during 2007-08

108411 Adilabad Hyderabad 188732 301779 Nizamabad Karimnagar Medak629451 0 364178 Ranga Reddy 330922 Mahabubnagar 218598 Kurnool 135718 Anatapur 78080 Kadapa 129264 Warangal 53297 Khammam 75518 Nalgonda 50230 142671 Visakhapatna m 130168 East Godavari Srikakulam 13490 Vizianagaram

West Godavari Krishna 97308 39368 Guntur 303103

52531Prakasam

Total Number of animals Slaughtered 37,34,891

Sheep Goats 20,84,583 9,63,586

Nellore 73510

218564 Chittoor

Buffaloes
Cattles Pigs

4,81,184
1,16,354 89,184

> 2.00 lakhs Between 1.00 lakh and 2.00 lakhs < 1.00 lakh

No of Animals slaughtered in AP during 2007-08

20.85

(in lakhs)
9.64 4.81 1.16 0.89
Pigs

Sheep

Goat

Buffaloes

Cattle

Total Animal slaughtered- 37,34,891

Promotion of LIDCAP Leather Parks/Projects

1. Krishnapatnam International Leather Complex 2. Shifting of Hyderabad Tanneries Promotion of Kunoor Leather Park 3. Promotion of Mega Leather Park at Rukmapur in Karimnagar 4. Promotion of Mega Leather show room at Autonagar, Vijayawada

5. Promotion of Mega Leather Park at Gangadhara Nellore in Chittoor

6. Promotion of 18 Mini Leather Parks and leasing to the SC entrepreneurs for setting up of leather products 7. HS Darga Leather Products Production & Training Centre 8. Tirupathi Leather Park Development

International Leather Complex 1. GO issued on 06-06-2008 2. Total Land 412.41 acres

1. Land in APIIC possession 104.92 acres

2. Land to be obtained from APGENCO 307.57 acres 3. Project Cost Rs 194.01 crores

1. LIDCAPs GOI grant - Rs 30.00 crores

2. IIDF 3. SPV Rs 50.00 crores Rs 114.01 crores

Shifting of Hyderabad Tanneries

Progress on the Kunoor (Bhongir), Nalgonda Leather Park

Total land 120 acres Total 10 units proposed - each in 5 acres LIDCAP 5 acres

GOI given Rs 3.00 crores, State Govt. given Rs. 1.75 cr

CETP completed with Rs. 2.28 cr. Rs 31.5 lakhs spent on approach road through PR Dept. Units in the Kunoor Leather Park M/s. Hamsa Impex Ltd. M/s. South India Prime Tanneries M/s. Ever Green Leathers M/s. Hyderabad Leathers M/s. Roshan best Tanners 4 units have completed construction, one unit commenced production, one unit completed machinery installation

Progress on the Kunoor (Bhongir), Nalgonda Leather Park

M/s Hamsa Impex Ltd. & M/s. South India Prime Tanneries
M/s Hamsa Impex Ltd. & M/s. South India Prime Tanneries

vacant
M/s. Roshan best Tanners

vacant
M/s. Hyderabad Leathers

V vacant CETP

vacant

LIDCAP

Progress on the Kunoor (Bhongir), Nalgonda Leather Park

M/s Hamsa Impex Ltd.

Common Effluent Treatment Plant

Leather Parks of LIDCAP

Rukmapur (134.31 acres) Jammikunta (25 acres)
Armoor (28.01 acres)
Nizamabad Medak Ranga Reddy Nalgonda

Mandamarri (25 acres)

Ghanpur Station (25 acres)

Adilabad Hyderabad Karimnagar Warangal Khammam

Kunoor (120 acres) Mallemadugu (25 acres)

Srikakulam Vizianagaram Visakhapatna m East

Duddeda ( 25 acres)
Dandepally ( 25 acres)

West Godavari Godavari Krishna Guntur

Vennelavalasa (30 acres)

Mahabubnagar Kurnool Anatapur

Nuzivedu (20.24 acres)

JinKunta ( 25 acres) Polepally ( 25 acres)

Kurnool ( 784 Sq Mts)

Prakasam

Kadapa

Nellore

Adigppula (3 4.25 acres)

Vijayawada (1 acre) ILC (412.41 acres)

Chittoor

Tirupathi ( 4.55 acres)

Rachepally ( 42.28 acres)

Gangadhara Nellore ( 417.77 acres)

HS Darga (43.08 acres)

Machinery installed in Leather Parks

Jammikunta (25 acres)
Nizamabad

Ghanpur Station (25 acres)

Adilabad Hyderabad Karimnagar Warangal Khammam Ranga Reddy Nalgonda Srikakulam Vizianagaram Visakhapatna m East

Duddeda ( 25 acres)

Medak

Dandepally ( 25 acres) JinKunta ( 25 acres) Rachepally ( 42.28 acres)

West Godavari Godavari Krishna Guntur

Vennelavalasa (30 acres)

Mahabubnagar Kurnool Anatapur

Nuzivedu (20.24 acres)

Prakasam

Kadapa

Nellore

Adigppula (3 4.25 acres)

Vijayawada (1 acre)

Chittoor

Tirupathi ( 4.55 acres)

HS Darga (42 acres)

Promotion of Mega Leather Park at Rukhmapur, Karimnagar (Footwear) 1. Covered in the CMs Announcement (dated: 11-4-2008) 2. Area of the land 134.31 acres at Rukmapur (V), Choppadandi (M) for establishment of Leather Park 3. CLRI prepared a Project Report for establishment of footwear complex for Rs 98 crores

Promotion of Mega Leather Park at Gangadhara Nellore, Chittoor (Tanning) 1. Area of the land 431.20 acres DKT land 235.59 acres DKT alienated land 14.86 acres Govt. Land 167.45 acres Patta land 13.50 acres 2. Location - 9 Kms from Chittoor, 40 Kms from Ranipet, 150 Kms

from Chennai, potential for the tanneries.

3. LIDCAP has paid Rs 73 lakhs on 16-9-2006 to District Collector.

Promotion of Mega Leather showroom at Autonagar, Vijayawada

LIDCAP is having its own land of about 4060.43
Sq. Mts in the Autonagar, Industrial Estate Vijayawada on the main road of Benz Cirle to Machilipatnam road. Only 403 Sq. Mts of land is being used for shoes / Chappal show room, office building and manufacturing unit. since 1974 The Area of the plot after the required minimum set offs on all side is 2,000 sq. mts (21,528 sft) It is proposed to construct a Mega Leather Complex with a private participation in the project.
BJR Mega Leather Show Room

It is proposed to construct two cellars (Lower Cellar

and Upper Cellar), Ground Floor plus 8 floor building complex.

Tirupathi Leather Park

LIDCAP is having 4.5 acres of land in the outskirts of the Tirupathi City 4 buildings are constructed of which one building (about 800 Sft) is leased to one small industry and one building (about 600 sft) is being used as Regional Office Two more buildings (of each 2000 sft) is for the purpose of training (presently not being used). It is proposed to lease this buildings along with foot wear training machinery and also part of the office building.