SME Times News Bureau | 11 Oct, 2018
The Central government has
approved a special package for employment generation in leather and footwear
sector, an official release said on Thursday.
The package involves
implementation of Central Sector Scheme - Indian Footwear, Leather &
Accessories Development Programme (IFLADP) with an approved expenditure of Rs.
2600 Crore for 2017-20, the Commerce Ministry release said.
The scheme aims at development
of infrastructure for the leather sector, address environmental concerns
specific to the leather sector, facilitate additional investments, generate
employment and increase production.
Enhanced Tax incentives will
attract large scale investments in this sector and reforms in labour laws
taking into account the seasonal nature of the sector will support economies of
In a major boost to the leather
industry in Tamil Nadu under the IFLADP four projects with a total outlay of
107.33 crore have been approved by the Department of Industrial Policy and Promotion (DIPP) to facilitate
upgradation of infrastructure, job creation and environmental sustainability.
The projects approved in Tamil Nadu are: upgradation of Tala
Trichy Common Effluent Treatment Plant (CETP)
at Trichy, Pallavaram CETP at Nagalkeni Chrompet, and SIDCO Phase-I CEPT at
Ranipet and Perundurai leather industries Eco Security Pvt. Ltd. at Erode.
DIPP has also given in-principal approval for mega leather
cluster at Bantala in West Bengal. This will generate employment for around
7000 people and lead to an investment of Rs. 400 to 500 crore.
The Leather Technology,
Innovation and Environmental Issues sub-scheme under IFLADP provides financial support at 70% of the project cost to
leather clusters to meet the prescribed pollution control discharge norms.
covers establishment, expansion, upgradation of CETPs, developing secure
landfills, common recovery units, management of sludge and any other techniques
for hazardous waste management.
A total of 9 projects for CETP
upgradation with a gross value of Rs. 469.18 crore and GOI assistance of
Rs.328.43 crore have already been approved under the sub-scheme. These projects
are under implementation.