NEW DELHI: As global slowdown has started to spread its wings to various labour-intensive sectors of Indian economy, leather industry that mainly depends on foreign markets to sell its products is set to focus on optimum utilisation of available raw materials to maximise returns. This is also the point where mutual cooperation among the neighbouring countries assumes significance as it will help in strengthening the exports level.
In an exclusive interview to SME News, Shankar Dawn, president of Indian Leather Products Association, said, “Mutual cooperation among neighbours definitely needs to improve. According to me, the exports can go up if steps and measures are taken to boost cooperation and the economic conditions. Both the aspects need to be strengthened and only then the situation can witness any improvement.”
The Indian leather industry enjoys a prominent place in the economy as it has strong potential for employment and growth. This sector can attain desired results with strategies to counter raw material crisis along with development of a regional brand image.
Many feel that it is high time for the leather industry finds new ways apart from means to enhance its share in the global market by taking different measures such as market and product diversification strategies, lowering transaction costs and also changing design efficiency. Dawn added, “Market diversification has potential to enhance the productivity of leather industry. Apart from diversification, ample thought and analysis needs to be given by market experts in regard to this.”
The Indian leather industry should adopt such steps that not just improve its productivity but also strengthen its global foothold.