Transcript Leather Sector Skill Council (SSC) - DDU-GKY

LEATHER SECTOR SKILL
COUNCIL (SSC)
Overview of Indian Leather Industry
A prominent sector in Indian economy in terms of
employment generation and export earnings
Strong production base - Annual production - US $ 8.5
Billion (Exports USD 5 billion and Domestic market USD
3.5 billion)
3.04% share in global leather trade of US$ 159.89 billion
(2011)
Value-added finished products constitute 80% of exports
from a mere 7% in 1956-57
Overview of Indian Leather Industry
70% production from SMEs
Employs 2.5 million workforce
Women constitute 30% of work force in organized units
India is
- Second largest producer of footwear and leather
garments
- Fifth largest exporter of leather goods & accessories.
- Third largest exporter of saddlery & harness items.
- Produces about 2 billion sq.ft. of leather, meeting 10%
of the global requirement.
Export Performance of Indian Leather Industry in last 2 decades
Economic liberalization programme in 1991 aids growth.
Exports from Indian leather industry - USD 1.48 billion in 1990-91 - USD 5 billion in
2012-13.
Value added products (Bags, Wallets, Belts, Gloves, Garments, Saddlery and
footwear) - 80% of exports.
Exports in Million USD
5
4.5
4
3.5
3
2.5
2
1.5
1
0.5
0
5
1.48
1990-91
1.96
2000-01
2012-13
Export Performance of Indian Leather Industry
in last 10 years
5
Million USD
4.5
4
3.5
3
4.86
2.5
2
1.5
1
1.87
3.05
2.75
2.21 2.49
3.54 3.59 3.4
5
3.96
0.5
0
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
Share of product segments in exports
2012-13
Projected Growth in exports
Exports projected to grow at 20% per annum & reach USD 12.40 billion by
2017-18
14.0
12.0
10.0
8.0
6.0
4.0
2.0
5.0
6.0
7.2
8.6
10.4
12.4
0.0
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18
Value in Million USD
Projected growth in domestic market
Domestic leather & leather products industry – present value
USD 3.5 million - to grow at 12% per annum – reach USD 6.17
billion by 2017-18.
7.00
6.00
5.00
4.00
3.00
2.00
4.92
4.39
3.50 3.92
5.51
6.17
1.00
0.00
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18
Value in Million USD
Employment in Leather Industry
 An estimated 2.5 million workforce is employed in leather industry
Workforce Concentration
( in millions)
0.3
12%
1.1
44%
Finished Leather
1.1
44%
( 1.1 million)
Footwear and Components
(1.1 million )
Leather Garments and Goods
(0.3 million )
Employment Projections in Leather Industry
Leather Industry Employment (millions estimated)
3
2.7
2.5
2.7
2.4
2.2
2.0
2
1.3
1.3
1.4
1.7
1.6
1.5
1.4
1.5
1.9
1.6
1.8
2.0
2.5
2.3
2.1
Footwear &
Components
1.7
1
0.3
0.4
0.4
0.4
0.5
0.5
0.5
Finished
Leather
0.6
0.6
0.6
0.7
Leather
Garments &
Goods
0
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
 The expected employment by 2022 is 7.1 million, needing an additional 4.6
million workforce across various segments
Skill Levels of Workforce

90% of workforce in leather industry are under unskilled
and semi-skilled categories.
Education
Percentage of People
CA, MBA
1-2 %
Other Graduates
3-5 %
Engineers
1-2 %
Diploma or Equivalent
certification
2-3 %
ITI & other Vocational
Courses
1-2 %
Class 12th/10th & below
85-90%
Action Plan of Leather Sector Skill Council
Develop National Occupational Standards (NOS) for 50 job roles in in
next 2 years.
 NOS for 17 job roles – formation under progress.
NOS for following 5 job roles – completed
Job Roles Identified
Assistant Operator - Finished
Leather
Buffing Operator – Finished
Leather
Stitcher – Leather Goods/
Garments
Assistant Operator - Footwear
Cutter - Footwear
NSQF
Segment and Role details
Level
Tannery based mechanical processes –
2
Helper (multi-skilled)
3
4
2
4
Finished Leather – Buffing Operations
Leather Goods/ Garments – Stitching
Operations
Footwear Processes – Helper (multiskilled)
Footwear – Cutting Operations
Note : NSQF- National Skills Qualification Framework. This is fixed by
NSDC based on the level of a particular job role in the industry
Action Plan of Leather Sector Skill Council ( Contd..)
• Appoint 3 accredited institutions and 410 training institutions
•Development of Labour Market Intelligence System (LMIS),
•Facilitation of development of Contents and Curriculum for
identified National Operating Standards (NOS) through accredited
partners.
•Training the workforce through 410 training institutions
•Signing MOUs with industry players for employing the workforce.
• Leather SSC Expected to provide certification to about 2 million
learners/workforce by 2020 (43% of the estimated new workforce of
4.6 million and 26% of the total workforce of 7.1 million by 2020).
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