No.14/005/ILDP/ 2008-09
Sept 22, 2008

Members of the Council,

Dear members,

Sub: Indian Leather Development Programme (ILDP) approved for implementation during 11th Five Year Plan 2007-2012

The Council is pleased to inform that the Department of Industrial Policy & Promotion (DIPP), Ministry of Commerce & Industry, Govt. of India has approved Indian Leather Development Programme (ILDP) for the leather sector for implementation during the 11th Five Year Plan period 2007-2012. The total outlay approved for ILDP is Rs.912.67 Crore. This increased outlay is as against the outlay of Rs.400 Crore during the previous 10th Plan period.

The thrust of the ILDP scheme is on technology up gradation, modernization, capacity building, addressing environmental concerns, human resource development etc of the leather sector. Attracting investments into the leather sector is also one of the priority areas of ILDP.

A copy of the Notification No.5/17/2007 dated 29th August 2008 issued by the DIPP is attached herewith. The Office Memorandum of even number and date issued by DIPP gives brief information on various schemes and outlay thereof approved for implementation during 11th Plan. The individual schemes will be implemented through different agencies, which will be notified by the DIPP in due course.

IDLS SCHEME: In regard to IDLS Scheme, the grant of assistance is increased from the present ceiling of Rs.50 Lakhs (@ 30% for SSI and 20% for non-SSI units) to Rs.2 Crores @ 20% to all units above the assistance of Rs.50 lakh. In other words, the assistance will be provided @ 20% if the grant amount is above Rs.50 Lakh within the ceiling of Rs.2 crores. The scope of the scheme is also enhanced to include new units.

The implementation agencies for IDLS scheme would continue to be CLRI (for tanneries) and FDDI (for leather products).

It is given to understand that the DIPP will issue detailed guidelines of the new IDLS scheme shortly. As and when notified, the new IDLS scheme is likely to take effect from 29th Aug 2008. The guidelines will be hosted in the website of DIPP www.dipp.nic.in Members may browse the DIPP website regularly so that they can download the new IDLS scheme as and when it is hosted. The Council will also inform members immediately after new IDLS scheme is notified.

With warm regards,

Dr K Elangovan
Executive Director