Leather Garments – A Note

Global Scenario:

The global imports of leather garments had marginally declined from US$ 4149.57 mn in 2008 to US$ 3681.13 mn in 2012. India accounts for a share of 15.31% in the global leather garments imports
A Statement showing global import of leather garments viz-a-vis India’s export and share during 2008 to 2012 is given below:

(Value in Million US$)

	2008	2009	2010	2011	2012
WORLD IMPORT	4149.57	3359.21	3602.36	3927.39	3681.13
INDIA'S EXPORT	426.17	428.62	425.04	572.45	563.54
% SHARE OF INDIA	10.27%	12.75%	11.79%	14.57%	15.31%

Major importing countries of Leather Garments:

(Value in Million US$)

Country	2008	2009	2010	2011	2012
USA,PR,USVI	641.87	437.24	483.63	485.18	494.17
GERMANY	523.19	449.97	471.11	561.21	436.12
FRANCE	361.49	326.33	349.02	368.63	340.74
ITALY	293.32	230.63	242.24	278.88	219.65
HONG KONG	140.55	113.61	140.54	185.25	195.26
UNITED KINGDOM	224.21	184.61	179.54	195.92	188.31
SPAIN	238.11	205.88	178.9	191.36	181.06
RUSSIAN FED	76.16	63.4	118.41	129.09	145.82
CHINA	46.31	42.39	66.93	127.54	143.18
NETHERLANDS	159.09	132.57	143.92	161.63	140.71
JAPAN	177.75	166.32	180.22	138.75	135.27
TURKEY	95.16	114.72	109.68	87.07	112.02
SWITZ. LIECHT.	141.79	118.58	110.55	127.88	110.93

Source: ITC, Geneva

These 13 countries together accounts for a share of 78.41% in global leather garments import

Top Exporting countries of Leather Garments and India’s ranking:

(Value in Mn$)

Country	2008	2009	2010	2011	2012
ITALY	637.79	466.97	565.64	725.65	699.2
CHINA	1008.22	792.75	870.66	689.75	652.54
INDIA	426.17	428.62	425.04	572.45	563.54
PAKISTAN	475.27	350.79	367.95	373.73	344.01
GERMANY	309.12	259.75	248.76	300.51	261.86
FRANCE	179.63	162.54	171.53	204.07	196.81
HONG KONG	175.86	151.87	156.9	186.34	189.06
TURKEY	256.12	192.96	181.7	181.26	166.95
USA	216.37	170.39	153.77	154.77	156.09
SPAIN	114.2	122.94	95.49	118.01	126.29

Source: ITC, Geneva

Indian Scenario:

Leather garments form a significant segment of the Leather Industry in India. Leather garments production capacity is estimated to be 16 million pieces annually. India produces different types of leather garments i.e., jackets, long coats, waist coats/shirts, pant/shorts, motorbike jackets, industrial leather garments, leather aprons etc.

India is the second largest producer of leather garments, next only to China, which produces 70 million pieces of the total global trade volume of about 120 million pieces.

It is a matter of great pride that Indian leather garments have been making giant strides in the world of fashion. National Institute of Fashion Technology and National Institute of Design lends design support to make continuous fashion statements. These Institutes provides well trained personnel and imaginative designers. India’s acknowledged strength is leather tanning and its ability to produce a wide variety of fashion leathers.

India’s Export of Leather Garments:

(Value in Million US$)

2008-09	2009-10	2010-11	2011-12	2012-13	2013-14
426.17	428.62	425.04	572.45	563.54	596.16

Source: DGCI& S

• India’s export of Leather Garments increased from US$ 426.17 mn in 2008-09 to US$ 596.16 million in 2013-14, growing at a CAGR of 6.94%
• India’s export of leather garments accounts for a share of 10.09% in India’s total leather trade of US$ 5908.82 million in 2013-14.
• India’s position as the third largest global supplier of leather garments is only going to strengthen given the availability of quality raw material coupled with skilled craftsmanship.
• Major brands like ARMANI, ZEGNA, ABERCROMBIE & FITCH, MARCO POLO, MANGO, COLEHAAN, ANDREW MAARC, GUESS source Leather Garments from India.

India’s Export of Leather Garments – Major markets:

The major markets for Indian Leather Garments are Germany with a share of 23.23%, France 11.55%, Spain 12.17%, Italy 10.07%, USA 9.459%, UK 6.68%, Netherlands 3.77%, Denmark 4.49% and Canada 2.19%.

(Value in Million US$) (Source: DGCI& S)

Countries	2008-09	2009-10	2010-11	2011-12	2012-13	2013-14
Germany	100.26	109.18	110.72	153.96	130.63	138.5
USA	22.2	17.04	21.96	31.92	42.19	56.33
UK	27.92	25.07	21.84	30.43	34.69	39.83
Italy	70.13	64.96	59.59	71.41	61.92	60.08
France	42.28	55.53	60.94	69.38	76.34	68.88
Spain	48.47	51.08	46.4	66.32	66.94	72.58
Netherlands	15.72	16.87	17.39	23.02	21.41	22.47
Australia	3.6	5.64	4.84	6.61	5.7	5.4
Denmark	23.86	19.74	19.09	18.82	19.55	26.79
Canada	7.86	8.64	6.96	10.51	13.02	13.11
Switzerland	3.92	4.08	3.33	5.1	4.57	5.88
Sweden	7.96	6.46	6.76	6.79	8.05	9.5
Austria	4.3	4.63	4.06	4.82	4.48	5.82
Belgium	7.45	8.46	8.52	9.42	7.96	6.13
Portugal	4.19	3.64	2.67	2.51	2.37	2.34
UAE	4.13	4.33	4.08	3.9	2.82	10.37
China	0.05	0.26	2.67	12.47	8.29	4.63

Quantity-wise Export of Leather Garments: (In Pcs)

	2012-13
Children Garments	66,740
Leather Jackets (Gents)	2,419,185
Leather Long Coats (Gents)	24,304
Leather Pant/Shorts (Gents)	461,937
Leather Waist Coats/Shirts (Gents)	68,076
Leather Jackets (Ladies)	3,190,755
Leather Long Coats (Ladies)	73,877
Leather Pant/Shorts (Ladies)	390,286
Leather Waist Coats/Shirts (Ladies)	82,272
Other (Leather Garments)	2,495,525
Leather aprons	502,054
Industrial Leather Garments	332,758
Motorbike Jackets	3,316
Total	10,111,085

CLE Membership Records

Region-wise Export of Leather Garments : (In pcs)

Region	2012-13 (Qty In Pcs)	Value in Mn Rs.	% share value-wise
South	1,944,001	9144.4	30.44%
Central	2,003,411	377.5	1.26%
West	124,223	598	1.99%
East	1,354,406	771.6	2.57%
North	4,685,044	19148.6	63.74%
Total	10,111,085	30040.1	100%

CLE Membership Records

Global Import of Leather Garment:

(Value in Million US$)

	2008	2009	2010	2011	2012
WORLD IMPORT	4149.57	3359.21	3602.36	3927.39	3681.13
INDIA'S EXPORT	426.17	428.62	425.04	572.45	563.54
% SHARE OF INDIA	10.27%	12.75%	11.79%	14.57%	15.31%

As per the officially published data of ITC, the global import data is available till the year 2012. However, based on the trend, we have projected the global import to reach around US $ 4 Bn in 2013.

Projections for India’s Export in the next three years

Based on the Current trend, the India’s Export Target as below was fixed in the Vision 2020
Document.

The projection for export of garment has been worked based on the share it holds in the total exports of India.

Value in US$ Mn

Product	2013-14	2014-15	2015-16	2016-17
Total Exports	5908.82	7200	9000	10000
Leather Garments	596.16	792	1080	1300
% Share	10.09%	11.00%	12%	13%