Tamil Nadu has firmly established itself as a leader in India’s footwear industry, excelling in both leather and non-leather segments. With strong government support, significant employment generation, and a growing emphasis on non-leather products, the state is poised to enhance its global footprint in the footwear sector.

Industry Overview

Leadership in Footwear

Tamil Nadu plays a crucial role in India’s footwear manufacturing industry, contributing significantly to both leather and non-leather segments. The state is a key hub for footwear exports, supported by an extensive manufacturing ecosystem.

Employment Generation

The sector generates over 200,000 jobs, with a focus on rural employment, particularly benefiting women.

Economic Contributions

Aspect	Tamil Nadu’s Contribution	Global Context
Production Share	38% of India’s total footwear and leather output	India competes with major producers like China and Italy
Leather Exports	47% of India’s total leather exports	China and Italy dominate the global leather export market
Employment	200,000+ jobs, with a majority in rural areas	China and Vietnam employ millions in the sector
Infrastructure	Mega Footwear Park at Panapakkam in Ranipet district	Specialized parks in Vietnam and Indonesia for footwear production
Market Trends	Transition towards non-leather footwear due to global demand	The global synthetic leather market is growing rapidly
Global Market Size	The global leather footwear market is valued at $134.35 billion (2023), CAGR 3.1% until 2030	The synthetic leather market is valued at $38.98 billion, growing at 7.8% CAGR

Non-Leather Footwear: A Strategic Shift

Government Initiatives

The Footwear and Leather Products Policy 2022 has been instrumental in driving growth in non-leather footwear manufacturing. The government has introduced favorable policies to attract investment and promote exports.

Investment in Infrastructure

A Mega Footwear Manufacturing Park has been established in Panapakkam, Ranipet district, further strengthening Tamil Nadu’s industrial capabilities.

Market Trends and Growth Potential

Global Shift Towards Athleisure and Non-Leather Footwear

• Casual and athleisure footwear demand is rising globally, leading to a shift towards synthetic and sustainable materials.
• Tamil Nadu is strategically positioned to capitalize on this trend by focusing on non-leather manufacturing, aligning with global sustainability goals.

Employment Growth and Expansion

• Leading contract manufacturers in Tamil Nadu have created 130,000 jobs, with 90% of the workforce being women.
• New investments in factory expansions will further increase job creation and production capacity.

Competitive Edge and Future Growth

Government Support and Strategic Investments

• Tamil Nadu’s Footwear and Leather Products Policy 2022 provides incentives for non-leather footwear production.
• Investments in specialized parks, like Panapakkam, position Tamil Nadu as a key global manufacturing hub.

Conclusion

Tamil Nadu is emerging as a dominant player in the global footwear industry, balancing its traditional strengths in leather manufacturing with a strategic focus on non-leather products. With favorable government policies, a strong employment base, and increasing infrastructure investments, the state is well-positioned to capitalize on global trends and expand its market presence.

The continued emphasis on sustainable, high-quality, and cost-competitive footwear production will reinforce Tamil Nadu’s role as a key hub in the evolving global footwear landscape.