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A Brief Note On ' Euro Zone Crisis Significantly Affected Indian Leather Industry

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1. ‘EURO ZONE CRISIS CONSIDERABLY AFFECTED INDIAN LEATHER INDUSTRY’

According to says Council for Leather Export, “Indian leather exports were registering an appreciable growth of more than 15% in Dollar Terms during the first seven months of 2014-15, but, eventually ended with a moderate growth of 9.37% during the fiscal 2014-15, primarily due to the Euro Zone crisis”.

A decline in value of Euro followed by the crisis in Euro Zone is likely to have a negative effect on India’s export to European region, which accounts for around 18% - 19% of India’s total leather exports. The exports from key areas like Leather and Gems & Jewellery, which holds a major contribution in India’s total exports to the region were said to have witnessed a negative effect in the initial months of the current fiscal due to the Euro Zone crisis.

2. LEATHER INDUSTRY – YET TO PUT THE BEST FOOT FORWARD
This is one paradox – the leather industry. On one end, Leather Industry is often blamed for being the primary contributor in the contamination of rivers and also creating health problems. While on the other, it is heralded as one of leading forex earners for India and the hope of livelihood to approximately 25 lakh citizens in the country. Of late, this ‘Focus sector’ in the Make in India programme seems to be experiencing chill winds from various directions. Will it be long before we hear “S.O.S”?

3. BEEF SCARE HITS LEATHER INDUSTRY HARD AND MANY LOSE JOBS.

The growing uneasiness relating to the

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