Indian footwear market to reach USD 90 million by 2030
Kochi: Indian footwear market, currently valued at USD 26 billion, is expected to reach USD 90 billion by 2030.
A significant shift in leather shoe production is happening due to government regulations and quality control orders (QCOs) that were introduced in the country recently, a release said on Monday.
Non-leather footwear demand (sports shoes, running shoes, casual wear, and sneakers) is expected to increase from 25% to 75% market share by 2030.
The increasing preference for non-leather footwear, influenced by younger, fashion-conscious customers with more disposable income, is the reason for this demand for non-leather footwear.
India’s global share of non-leather footwear is pretty low. The industry faces challenges in expanding its presence in this category, which dominates global trade.
However, there are plenty of opportunities for growth, especially in non-leather footwear, with a focus on quality, design, and technological advancement to make this sector a global leader for non-leather footwear products, etc.
R. Selvam, Executive Director, Council for Leather Exports (CLE), who inaugurated the National Conference on Quality and Technical Standards for Global Business, said, “The Tamil Nadu Footwear and Leather Products Policy 2022 is currently under implementation, and it has proven to be a boon to the footwear industry as Tamil Nadu has attracted investments from several leading non-leather footwear manufacturers in Taiwan to set up their factories in Tamil Nadu to produce sports footwear (non-leather footwear manufacturing) on a mass scale.”
“Feng Tay Enterprises (a Taiwan-based company) and Kothari-Phoenix Group have already invested in Tamil Nadu. High Glory Footwear, a subsidiary of the world’s largest contract manufacturer of branded athletic and casual footwear, Pou Chen, and Hong Fu Industrial Group have pledged their investments and are in the process of setting up their manufacturing operations in various parts of Tamil Nadu.”
“These new investments will generate additional employment opportunities and livelihoods for the local people, and the state already accounts for about 40% of the national exports from the leather and footwear industry, and it is a certainty that Tamil Nadu will now be part of the global supply chain for sports shoe brands like Nike, Adidas, etc.”
According to Dr. V. L. Indira Dutt, President, Andhra Chamber of Commerce, “the future of industry’s survival is based on compliance in global markets, and it will be a key to successful market access. There are a plethora of new regulations, standards, and certifications that industry is not aware of, and therefore increasing awareness of these compliance and regulatory requirements is the critical need of the hour to avoid rejection of exports and domestic sales.”
According to Rama Venugopal, Chairman, Sub Committee on Standards & Regulations, Andhra Chamber of Commerce, “India has tremendous growth potential, and our national conference on quality and technical standards plays an important role in boosting numerous opportunities by creating widespread awareness of the opportunities India has to offer in both trade and business.”