Union Textiles Minister Giriraj Singh on Wednesday, 8 July 2026 shared projections from the Council for Leather Exports (CLE) indicating that Free Trade Agreements will help India's leather goods and footwear exports reach $14 billion by 2030, signalling the government's confidence in FTA-led trade growth for the sector.

Context

Singh shared the CLE projection via the NaMo App, citing the apex export body's assessment that ongoing and concluded FTAs will be the primary driver of growth in leather and footwear shipments. The post, written in Hindi, states: 'FTA se 2030 tak leather goods aur footwear ka export badhkar $14 arab tak pahunchega: CLE' — ('FTAs will help leather goods and footwear exports grow to $14 billion by 2030: CLE'). The minister's amplification of the CLE estimate signals that the Ministry of Textiles views FTA-driven market access as central to its export strategy for the sector.

Policy Backdrop

India has signed several significant trade agreements in recent years that include concessions for leather and footwear. The India-UAE Comprehensive Economic Partnership Agreement (CEPA), signed in 2022, reduced tariffs on a range of leather and footwear lines, while the India-Australia Economic Cooperation and Trade Agreement (ECTA), also signed in 2022, opened duty concessions for select leather goods into the Australian market.

The Foreign Trade Policy 2023, a five-year framework launched to guide India's merchandise export ambitions, explicitly identified leather and footwear as priority labour-intensive sectors. These policy instruments, combined with the Production Linked Incentive (PLI) scheme for textiles introduced in 2021, have layered domestic production incentives on top of improved market access abroad. Ongoing FTA negotiations with the United Kingdom and the European Union are closely watched by the leather industry for their potential to unlock two of the world's largest consumer markets.

Stakeholders and Impact

India's leather and footwear sector is dominated by MSMEs and is highly employment-intensive, making export growth in this segment a direct lever for job creation. The CLE, as the apex body under the Ministry of Commerce that tracks and promotes leather exports, has consistently flagged preferential market access as the single biggest enabler for Indian exporters competing against established players such as China, Vietnam, and Bangladesh.

Leather goods and footwear exporters stand to benefit most directly from reduced import duties in partner countries, which can make Indian products price-competitive in markets where they currently face higher tariff walls. Cluster-level modernisation programmes and infrastructure upgrades in traditional leather hubs such as Agra, Kanpur, Chennai, and Kolkata are expected to complement the demand-side gains from FTAs.

What's Next

The trajectory of the $14 billion target by 2030 will be tracked through quarterly CLE export data releases, which will indicate whether actual shipment growth is keeping pace with projections. The outcome of active FTA negotiations — particularly with the UK and the EU — will be a key determinant, as those markets represent significant volume potential for Indian leather goods and footwear. Any new tariff schedules notified under concluded or forthcoming agreements will be closely monitored by exporters and industry bodies alike.