Leather exports to cross USD 6 bn this fiscal: CLE

New Delhi: The country's exports of leather and leather products would cross USD 6 billion in 2022-23 on account of growing demand for these products in global markets, CLE said on Monday.

Council for Leather Exports (CLE) Chairman Sanjay Leekha said that the changes in global market dynamics caused by the pandemic have created huge export opportunities for the sector.

“The emerging business opportunities coupled with the slew of trade agreements signed and in pipeline and the active support of the government will help in sustaining the export growth in the remaining months of this year,” he said.

“Considering these factors, the industry is confident of crossing the export value of USD 6 billion this year,”  Leekha said, adding the sector is aiming at USD 10 billion by 2025-26.

The shipments from the sector rose by 32.5 per cent to USD 4.9 billion in 2021-22 from USD USD 3.7 billion in the previous year.

Leekha said that healthy export growth witnessed in 2021-22 is continuing this year also, with export of leather, leather products and footwear increasing from USD 621.50 million in April–May 2021 to USD 887.40 million in April – May 2022.

“Export to USA has registered a growth of about 78.5 per cent, increasing from USD 128.49 million in April – May 2021 to USD 229.40 million in April– May 2022,” he said adding shipments to India's largest market - Europe too registered a growth of 44.6 per cent to USD 317.04 million during the first two months of this fiscal.

Further exports to other potential markets like Canada, Australia, the UAE have also grown this year.

The signing of trade pacts with the UAE and Australia would help in further boosting the outbound shipments, Leekha said.