India's Leather Export Declines By 10% In FY24

New Delhi, May 14 (KNN) India's export of leather and leather products, including sports goods, witnessed a significant decline of nearly 10 per cent in the fiscal year 2023-24 (FY24), dropping from USD 4.75 billion in the previous fiscal to USD 4.28 billion.

The primary reason for this downturn was attributed to poor demand from major markets like the United States and Europe, reported businessline.

Tamil Nadu, the largest exporter of leather products in India, was hit the hardest by this slump.

The state's export of leather products plummeted by 18 per cent, from USD 2.04 billion in FY23 to USD 1.66 billion in FY24, according to data from the Central Government.

Consequently, Tamil Nadu's contribution to the total leather exports of India dropped from 43.20 percent in the previous year to 37.77 per cent in FY24.

On the other hand, Uttar Pradesh, the second-largest exporter of leather products, marginally increased its share from 25.80 per cent in the previous year to 27.77 per cent in FY24.

Israr Ahmed, Vice President, Federation of Indian Export Organisations (FIEO), attributed the decline in exports from Tamil Nadu to the poor demand from major markets like the US and Europe, reflecting the overall trend across India.

However, Ahmed expressed optimism for the state's future, stating that the situation will change in the next couple of years with the entry of major Taiwanese companies that have already commenced construction of large manufacturing facilities in the state.

(KNN Bureau)