Indian Footwear Industry
Domestic Footwear Industry in India
- With an Annual Turnover of around US$ 5.75 Bn, Exports is to the tune of US$ 2.5 bn & Domestic market estimated at US$ 3.25 bn
- Booming Retail Market
- Footwear retailing constitute about 38% in the total consumer market
- Men’s Footwear is about 50% of the market
- Ladies and Kids Footwear, Sport Footwear also have vast potential
Women Employment in the factory |
Strengths of Indian Footwear Industry|
- Raw Material availability
- Best Tanning Expertise
- Available Skilled Workforce
- Rapid Increase in Domestic consumption
- Increasing Capacity of the production units
- World class institutional support for designing & testing
- Changing product-mix in favour of Comfort & Women shoes
from Men and formal shoes
- Traditional presence in EU & USA
Indian footwear industry poised for growth
India has state-of-the-art manufacturing plants. The footwear sector has matured from the level of the manual footwear manufacturing method to the automated footwear manufacturing systems. Footwear production units are installed with world class machines. Manned by skilled technicians, these machines help to turn any new innovative idea into reality. Support systems created for the sector have indeed served the footwear industry well. India has a well developed footwear component manufacturing industry. The future growth of the footwear industry in India will continue to be market-driven, and oriented towards EU and US markets. With technology and quality of the footwear improving year after year, Indian Footwear industry is stamping its class and expertise in the global footwear trade.
Future growth of Indian footwear in India will continue to be market driven. The European countries and the US are major consumers for the Indian footwear.
- The Footwear sector is now de-licensed and de-reserved, paving the way for expansion of capacities on modern lines with state-of-the-art machinery.
- To further assist this process, the Government has permitted 100% Foreign Direct Investment through the automatic route for the footwear sector.
- Conducive Investment climate towards attracting overseas investments and increasing cost competitiveness.
- The Government of India is setting up dedicated Footwear Complex and Footwear Components Part where footwear clusters are located.
- There has been active interest in collaborating with Indian Footwear companies from European countries like Italy, Spain and Portugal.
Make in India Programme of Government of India – Footwear Sector
- The Government of India has launched ‘Make in India’ campaign on 25th September 2014, which is a major new initiative designed to facilitate investment, foster innovation, enhance skill development, protect intellectual property, and build best-in-class manufacturing infrastructure in India.
- Attracting Foreign Direct Investments and encouraging joint venture collaborations between foreign and Indian firms to manufacture in India is the major focus of ‘Make in India’ programme.
- Most importantly, the Make in India programme represents an attitudinal shift in how India relates to investors: not as a permit-issuing authority, but as a true business partner.
- Vision 2019 – Export Projection in US $ BN
Export of Footwear is projected to Grow to US$ 10.00 Bn by 2019-20 being 55% of total estimated export of US$ 18.5 Bn
- Domestic Market Projection in US $ BN
The Domestic Footwear market is projected to grow to US$ 11.05 Bn by 2019-20 being 65% of the total estimated market value of US$ 17 Bn
- Potential in Ladies & Children Footwear
- Ladies and Children Footwear segment to rise to 56% (US$ 5.6 bn) by 2019-20 of the total footwear export value of US$ 10 bn