India's Leather Garments Industry

Leather garments form a significant segment of the Leather Industry in India. Leather
garments production capacity is estimated to be 16 million pieces annually. India produces
different types of leather garments i.e., jackets, long coats, waist coats/shirts, pant/shorts,
motorbike jackets, industrial leather garments, leather aprons etc.

India is the second largest producer of leather garments, next only to China, which produces
70 million pieces of the total global trade volume of about 120 million pieces.

It is a matter of great pride that Indian leather garments have been making giant strides in
the world of fashion. National Institute of Fashion Technology and National Institute of Design
lends design support to make continuous fashion statements. These Institutes provides well
trained personnel and imaginative designers. India’s acknowledged strength is leather tanning
and its ability to produce a wide variety of fashion leathers.

A Statement showing global import of leather Garments, India’s export and share
during 2004-08 (Value in Million US$)

Leather Garments
2004 2005 2006 2007 2008
WORLD IMPORT 4007.04 3836.92 3768.09 3980.21 4128.33
INDIA'S EXPORT 329.44 333.30 309.91 345.34 426.17
% SHARE OF INDIA 8.22% 8.69% 8.22% 8.68% 10.32%

India’s export of Leather Garments increased from US$ 333.30 in 2005-06 to US$ 428.52
million in 2009-10, growing at a CAGR of 6.48%.

India’s export of leather garments accounts for a share of 12.60% in India’s total leather trade
of US$ 3400.97 million in 2009-10.

India’s position as the fourth largest global supplier of leather garments is only going to
strengthen given the availability of quality raw material coupled with skilled craftsmanship.

Major markets for Indian leather garments are the USA, Germany, France, Italy, Spain, UK,
Japan, Netherlands, Hong Kong, Switzerland, Belgium, Canada, Austria, Denmark, Russia,
Greece, Sweden and Portugal. These 18 countries account for a share of 93.83% in India’s
total leather garments exports.

In the global leather garments imports, the USA alone accounts for a share of 15.54%,
followed by Germany 12.67% and France 8.75%

Major brands like Pierre Cardin, Tommy Hilfiger, Versace, DKNY, Hugo boss, Liz Claiborne, Ann
Taylor, Nautica, Kenneth Cole, Charter Club, Daniel Hector source Leather Garments from
India. With modern technology with state-of-the-art machinery installed in the production
units, India is come to be recognized as a major producer of quality leather garments in the
globe. Leather Garments industry’s accelerated development and growth is being aided by the
capacity expansion and modernization efforts of the private industry and the Government of
India’s encouraging policy measures.
India’s Export of Leather Garments – Country-wise

LEATHER GARMENTS
COUNTRY APR-MAR % share % change
2008-09 2009-10 2009-10
GERMANY 100.26 109.16 25.47% 8.87%
U.S.A. 22.20 17.03 3.97% -23.32%
U.K. 27.92 25.07 5.85% -10.18%
ITALY 70.13 64.95 15.16% -7.38%
FRANCE 42.28 55.55 12.96% 31.39%
HONG KONG 2.02 1.67 0.39% -17.37%
SPAIN 48.47 51.09 11.92% 5.40%
RUSSIA 0.51 1.09 0.25% 112.96%
NETHERLANDS 15.72 16.88 3.94% 7.35%
AUSTRALIA 3.60 5.48 1.28% 52.16%
NEWZEALAND 0.13 0.13 0.03% 0.32%
DENMARK 23.86 19.73 4.60% -17.30%
GREECE 3.61 2.64 0.62% -26.76%
CANADA 7.86 8.65 2.02% 9.96%
SWITZERLAND 3.92 4.08 0.95% 4.23%
SWEDEN 7.96 6.46 1.51% -18.90%
S. AFRICA 0.44 1.04 0.24% 135.67%
AUSTRIA 4.30 4.63 1.08% 7.73%
BELGIUM 7.45 8.47 1.98% 13.66%
JAPAN 1.18 1.34 0.31% 13.23%
PORTUGAL 4.19 3.63 0.85% -13.48%
CHINA 0.05 0.26 0.06% 396.89%
IRELAND 0.00 0.03 0.01% 14344.61%
U.A.E. 4.13 4.39 1.03% 6.52%
INDONESIA 0.00 0.00 0.00% 0.00%
KOREA REP. 0.13 0.11 0.03% -15.37%
FINLAND 1.05 0.56 0.13% -46.82%
SAUDI ARABIA 0.10 0.63 0.15% 531.08%
OTHERS 22.71 13.79 3.22% -39.27%
TOTAL 426.17 428.52 100.00% 0.55%