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Leather trade eyes WalMart pie

Our Bureau

Kolkata Dec. 5

DOMESTIC leather exporters are targeting a 20 per cent share of the total imports of footwear made by WalMart, the US-based retail giant, the Chairman of the Council for Leather Exports, Mr S.S. Kumar, said here today.

Speaking to reporters after the inauguration of a seminar in association with Assomac of Italy, he said a team from WalMart visited the factories of select shoe manufacturers in November 2003.

"WalMart imports $1.5 billion of footwear and we are targeting a 20 per cent share of this within the next three years," Mr Kumar said. The visit was facilitated by the council as part of its US market development programme.

Exports of leather footwear from India grew by 7.28 per cent in the April-July 2003 period over that of the same period in 2002 and stood at $154.8 million. Along with non-leather footwear and leather goods it was the only leather export segment with positive growth rates this year.

Meanwhile, he said that efforts were on to promote two special economic zones for leather in the city. While one of this is proposed to be located in the Leather Goods Park being promoted by the Indian Leather Promotion Association (ILPA), the other is proposed to be set up in the Calcutta Leather Complex being promoted by M.L. Dalmiya Construction Company.

Mr M.K. De, West Bengal Director of Industries, said that ILPA, which was developing the Leather Goods Park, had submitted a proposal for developing the park as a SEZ along with a plot for domestic units.

During his presentation at the seminar on `Upgradation of design/technology of leather goods units in West Bengal', Mr Kumar said that Assomac would help promote joint ventures in leather and leather goods, besides helping in the setting up of the leather goods park. He said that 30 potential and promising leather goods units were being shortlisted to be part of this project.

On completion of the project, which will be assisted by Italian experts, a generic report would be prepared which would form the basis of an upgradation plan for the leather industry.

A target of bringing about a 30-50 per cent increase in leather exports in five years has been set.

Mr Bansgopal Chowdhury, State Cottage and Small-Scale Industries Minister, said that there were 2,000 leather goods units and 523 tanneries in the State.

Mr Mario Pucci, International Relations Manager of Assomac, said that two tanning experts were likely to be sent to the city in February to evaluate the industry's status and its requirements and then submit a plan for upgradation.

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