Question : INEFFICIENT TANNING SECTOR



(a) whether Government are aware of the inefficiencies in the tanning sector in the country;

(b) whether such inefficiency at tanneries has adversely affected the export of leather goods;

(c) if so, the reasons for the inefficiencies in the tanning sector; and

(d) the steps taken to make improvement in that sector?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE & INDUSTRY ( SHRI E.V.K.S. ELANGOVAN)

(a) to (c): The tanning sector in the country is largely in the small scale sector and is facing the challenges of meeting environmental regulations, social obligations and rapidly changing technology and business practices. These are mainly due to lack of adequate capital investment and infrastructural constraints. The export of leather and leather goods has grown at more than 10% in Dollar terms during 2003-04.

(d) : Based on the recommendations of the Working Group on Leather & Leather Goods Industry, set up by the Planning Commission, the Government has allocated an amount of Rs. 400 crores for Indian Leather Development Programme. The programme covers technology upgradation / modernization, development of product specific industrial parks, human resource development, skill upgradation of rural artisans and market development.