Leather Industry Market: Fierce Competition Between India And China

Although the euro zone crisis has predicted that the order from the region will inevitably decrease next year, India leather enterprises believe that orders from China to India will effectively compensate for losses from Europe.

AliAhmedKhan, executive director of India leather export Bureau (CLE), told India financial memorabilia that the EU region is

Other potential markets in India include the United States, Japan, Russia, Canada and Australia.

But these markets

China is now facing the problem of rising cost and labor shortage.

CLE predicts that European orders to China will be diverted to India, which may make up for some of the reduction in European orders.

At present, the total amount of leather trade in the world is about $116 billion, and India, as a country with abundant labor resources and abundant raw material resources, has only 3 billion 500 million dollars in leather trade, accounting for only 3% of the world's total.

In contrast, China's leather trade amounted to 25 billion US dollars, accounting for 22% of the world's total trade.

Interestingly, 12-15 years ago, China and India were in the same running line, with an export volume of only US $1 billion.

CLE chairman MRafeequeAhmed said that China's leather goods enterprises not only forgot to buy some enterprises and brands in the target market, such as the United States, while rapidly increasing production.

This makes it easier for Chinese companies to gain market access and increase exports.

India enterprises are now beginning to try similar ways to increase market opportunities in the US (accounting for 9% of India's total leather exports).

At present, the main concern of India enterprises is the footwear brand and circulation enterprises in the United States.

For leather clothing market, competition between China and India is fierce.

India is the second largest manufacturer of leather garments in the world, after China.

The annual output of leather garments worldwide is about 120 million, of which 70 million are made in China.

India's annual output capacity is 16 million.