India is upgrading the leather sector. Over 494 proposals for modernisation, technology upgradation and capacity expansion in leather and leather products manufacturing units have been received. Out of this, 166 proposals have already been approved involving total investments of Rs 285.67 crores. Another 83 proposals involving a total investment of Rs137.02 crores are under final scrutiny and expected to be placed before the competent authority for approval very soon.

Upgradation projects for 11 common effluent treatment plants in Tamil Nadu have already been approved involving a combined total project cost of Rs 506.47 crores. The execution of these sanctioned projects is in full swing during the current fiscal. A new greenfield mega cluster is coming up in Andhra Pradesh in an area of 537 acres. A brownfield project is coming up in Kolkata spread over an area of 108.07 acres. Approval has been given for a new cluster in Maharashtra.

In order to enhance production levels, infrastructure in the existing leather, leather products and footwear clusters will be upgraded. There is a proposal to create new clusters with plug-and-play model of factories in order to attract domestic and foreign investments, considering the huge cost of land for setting up new projects.