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Council of Leather Exports (CLE)

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Council of Leather Exports (CLE)
YAGAY andSUN By: YAGAY andSUN
April 19, 2025
All Articles by: YAGAY andSUN       View Profile
  • Contents

Introduction:

The Council of Leather Exports (CLE) is an apex body set up by the Ministry of Commerce & Industry, Government of India, to promote the export of leather and leather products from India. As a crucial industry for India's economy, leather exports contribute significantly to foreign exchange earnings and employment. CLE works towards enhancing the competitiveness of the Indian leather sector in the global market by providing a variety of services to its members, which include manufacturers, exporters, and suppliers within the leather industry.

Constitution:

The CLE is a non-profit organization, established by the Government of India under the Export Promotion Council Act. The council is governed by a Board of Directors, which includes representatives from the leather industry, as well as government officials. The constitution of CLE outlines its organizational structure, including various sub-committees that handle specific functions such as market promotion, product development, and industry research. The council is managed by an Executive Director, who oversees its day-to-day operations and ensures that the objectives outlined in its constitution are met.

Legal Framework:

CLE operates under the Foreign Trade Policy (FTP) and other legal provisions set by the Directorate General of Foreign Trade (DGFT). The council functions in accordance with the laws governing international trade, including compliance with quality standards, environmental regulations, and labor laws. CLE also works with the Ministry of Commerce to shape policies that promote the export of leather goods, ensuring that the sector operates within the framework of both national and international trade rules.

Functions:

The main functions of the CLE include:

  1. Promotion of Leather Exports: Organizing participation in international trade fairs, exhibitions, and buyer-seller meets to promote Indian leather products.
  2. Market Development: Identifying and entering new international markets for leather products, especially in regions such as the USA, Europe, and emerging markets.
  3. Research and Market Intelligence: Conducting detailed research on global market trends, consumer preferences, and competitor analysis to help exporters make informed business decisions.
  4. Training and Capacity Building: Offering workshops, training programs, and seminars to improve the skills of workers, manufacturers, and exporters in terms of design, quality control, and export procedures.
  5. Quality Assurance: Ensuring that leather goods conform to international quality standards by providing certification, quality control support, and technical guidance to manufacturers.
  6. Policy Advocacy: Representing the leather industry’s interests to the government and other stakeholders, especially concerning tariffs, export incentives, and industry-specific regulations.
  7. Financial Assistance: Assisting exporters with financial schemes such as export credit and subsidies under government initiatives to boost leather exports.

Schemes:

The CLE, along with the Indian government, implements various schemes and programs to support the leather sector:

  1. Market Access Initiative (MAI): Supports exporters in participating in global trade fairs, exhibitions, and events to build brand recognition and promote leather products.
  2. Focus Market Scheme (FMS): Provides financial assistance to exporters for exploring new and emerging markets.
  3. Transport Subsidy: Aids exporters with financial support to reduce logistics and transport costs when exporting leather goods.
  4. Duty Drawback Scheme: Offers refunds on customs duties paid on raw materials used in the production of leather goods that are subsequently exported.
  5. Financial Assistance Under the Foreign Trade Policy (FTP): Various incentives and duty-free imports for manufacturers who export leather products.

Products:

The CLE focuses on promoting a wide variety of leather products for export:

  1. Leather Footwear: Including men's and women's shoes, sandals, boots, and sports shoes.
  2. Leather Garments: Jackets, coats, trousers, skirts, and gloves.
  3. Leather Goods: Handbags, wallets, belts, wallets, and other fashion accessories.
  4. Leather Upholstery: Used for furniture and automotive interiors.
  5. Leather Components: Including leather panels and other sub-components used in industries such as fashion, automotive, and sports.
  6. Tanned Leather: Leather that is processed through tanning methods and is exported as raw material to other manufacturers for further processing.

Services:

The CLE offers a variety of services to its members:

  1. Export Consultancy: Providing expert advice on export procedures, customs regulations, and documentation requirements.
  2. Trade Promotion: Organizing participation in international trade events, exhibitions, and B2B meetings to help Indian leather exporters expand their reach.
  3. Skill Development: Offering training programs and seminars focused on the latest technology, design trends, and industry best practices.
  4. Market Research: Offering market intelligence services that provide insights into global demand trends, potential markets, and competitors.
  5. Quality Certification: Assisting exporters in obtaining quality certifications like ISO, HACCP, and other standards to meet international market requirements.
  6. Networking Opportunities: Facilitating interaction between Indian manufacturers and international buyers to help expand business relations and sales.
  7. Policy Advocacy and Representation: Representing the interests of the leather industry with the government and other agencies to advocate for policies that benefit the sector.

Membership:

To become a member of the CLE, exporters and manufacturers need to fulfill certain conditions:

  1. Eligibility: Membership is open to individuals or companies involved in the production, processing, or export of leather and leather products.
  2. Documentation: Applicants need to provide necessary business documents, such as GST registration, export license, and relevant industry certifications.
  3. Membership Benefits: Members can access the full range of CLE services, including participation in international trade fairs, market intelligence reports, training programs, and financial assistance schemes.
  4. Membership Fees: The membership fee is usually nominal and varies depending on the size of the company and the type of membership.

Website Link: https://leatherindia.org/

Conclusion:

The Council of Leather Exports (CLE) plays a pivotal role in promoting India's leather industry on the global stage. Through its functions, schemes, and services, the council provides critical support to exporters and manufacturers, helping them enhance their product quality, enter new markets, and improve their competitiveness in the international market. With its emphasis on training, research, policy advocacy, and quality certification, CLE ensures that India's leather products continue to meet the high standards expected in global markets, making India a leading exporter in the global leather industry.

 

By: YAGAY andSUN - April 19, 2025

 

 

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