• By Kamakshi Bishnoi
  • Fri, 25 Apr 2025 11:56 AM (IST)
  • Source:JND

The Uttar Pradesh government is set to roll out a new leather and footwear policy with a strong focus on increasing exports and generating employment in the state’s thriving leather sector. The draft policy has been finalised and submitted for government approval.

The upcoming policy emphasises the development of private leather and footwear industrial parks, offering attractive incentives to investors. A capital subsidy of up to Rs 80 crore will be provided for setting up private industrial parks spanning more than 100 acres. 

For parks developed on land between 25 and 100 acres, a maximum capital subsidy of Rs 45 crore has been proposed. Additionally, 100 percent stamp duty exemption will be granted on land purchases for these parks.

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The policy sets a clear target: generate 20 jobs for every Rs 1 crore invested. Each unit established under the policy is expected to create between 1,000 and 3,000 employment opportunities.

To ensure sustainable development, the policy mandates that at least 25 percent of the total park area be developed as open and green space. Developers will be required to invest a minimum of Rs 200 crore for the overall development of a cluster and at least Rs 150 crore for the development of individual plants, manufacturing units, or allied infrastructure. Construction and operational readiness must be achieved within five years.

Uttar Pradesh holds a commanding 46 percent share in the country’s total leather exports, with Agra, Kanpur, and Unnao emerging as the major hubs. Over 200 tanneries are currently operational in these districts, reinforcing the state’s dominance in the leather and footwear industry.

The new policy is expected to strengthen this leadership by encouraging private investment, enhancing global competitiveness, and creating thousands of new job opportunities across the state.