Continuation of Indian Footwear and Leather Development Programme

The Ministry of Commerce recently announced that the Indian Footwear and Leather Development Programme (IFLDP) is to continue from 2021-22 till 2026. The programme is to be implemented at a cost of Rs 1,700 crores.

What is IFLDP?

IFLDP will develop infrastructure for leather sector. It will facilitate additional investment. It will increase the production of leather goods. The programme will provide employment opportunities.

What is the plan?

• The programme will provide Rs 500 crores of financial for technological up gradation. The sectoral units shall use this amount for their modernisation.
• Also, the programme will provide Rs 100 crores of financial assistance for developing design studios. What will the design studios do? They will facilitate buyer – seller meet, promote export linkages, organize trade fairs, and display the designs to the international buyers. Over all, the studios will work as an interface between the buyers and sellers.

What are the sub schemes approved under the programme?

• Establishment of institutional facilities
• Sustainable technology and environmental promotion
• Establishment of institutional facilities
• Brand promotion
• Mega Leather Footwear and accessories cluster development
• Development of design studios

What is the financial plan?

The Government of India will provide 50% financial assistance. The limit of the assistance is fixed at Rs 10 crores. Every brand will get this assistance. The financial assistance is to be provided for three years. This is to promote the Indian brands at international market.

What is the need for the programme?

The leather manufacturing clusters are fragmented. They are located in varied parts of the country. It is greatly affected due to poverty faced by the producers and gender inequality. Also, India lacks sector specific skill and education. Not many are aware of the leather making processes and techniques. People who are already into the business lack technical skills. The programme will address these issues.

What are the benefits of the programme?

The programme will help India achieve many of its sustainable development goals. It will also help in reducing poverty, increasing economic growth, promoting gender equality, infrastructural development, etc.

Month: Current Affairs - February, 2022

Category: Economy & Banking Current Affairs - 2024 • Government Schemes Current Affairs