Footwear Industry Gets a Boost from IDB Sri Lanka. Footwear Industry Identified as a Thrust Industry

03rd April 2013, www.dailynews.lk, By Ishara Mudugamuwa

The Industrial Development Board (IDB) of Sri Lanka has taken measures to develop the country's Leather and Footwear Industry to cut down on leather and footwear imports, IDB Chairman Udaya Kariyawasam said.

Addressing the media yesterday at the Information Department, the chairman said the government has identified the leather and footwear industry as a thrust industry. So it is important to increase the leather and footwear production and at the same time it is important to promote leather products among Sri Lankans. The IBD has recognized some important areas which should be developed to compete with the international market.

"At present the industry produces 75 percent of all shoes sold in the island. About 95 percent of the local shoes are made from non-leather (synthetic) materials or rubber. The remaining 25 percent of shoes sold in Sri Lanka are imported. This amounts to circa 10 million pairs per year. These are also made from non-leather (synthetic) materials. It is reasonable to assume the local companies will continue to try to seize some of that market, which offers low priced footwear at very competitive rates. These shoes are made from synthetic materials (non-leather) and therefore they offer no benefit for the prosperity of the leather manufacturing industry," Kariyawasam said.

He also said that the industry suffers from five major problems, which limit its ability to compete. Poor and insufficient leather, poor supply base for most material and components which are unsuitable for exported products, inadequate provision of training for operator and technical skills, poor mechanization and practices in production, no marketing strategy or brand identity for the industry.

"If the industry can open the export markets for leather footwear, it will target the overarching objective of this project which is to increase export earning and therefore will be more beneficial to the expansion of the industry, its employment levels and the country' s trade balance," he said.

IDB Director A. G. Karunadasa said leather products are environment-friendly and also using leather shoes is good for the health and has other advantages. He also said the IDB has already discussed with the University of Moratuwa and Colombo University Faculty of Fine Arts to develop the country's leather industry using modern technology and designs. The lack of skilled labour is a major problem in the leather industry. Therefore the IDB in association with the Tertiary and Vocational Education Commission has already introduced NVQ for those engaged in the industry.

Related Info :

• Sri Lanka's Footwear & Leather Fair 2012 in Colombo from February 10 to 12. 25 Indian Firms to Participate

• Sri Lanka Footwear & Leather Industry Show Remarkable Growth. Trade Show from 5 to 7 November 2010

Sri Lanka's Footwear & Leather Fair 2012 in Colombo from February 10 to 12. 25 Indian Firms to Participate

10th February 2012, www.ft.lk

The Indian Footwear Components Manufacturers Association (IFCOMA) is participating in the fourth Footwear and Leather Fair 2012 being organised by the Sri Lanka Export Development Board at BMICH, Colombo from February 10 to 12, 2012.

During this exhibition, twenty-five exhibitors from IFCOMA will be showcasing their products. This is the largest foreign participation in the fair. A special IFCOMA pavilion has been set up for this purpose that will showcase various components and products used in manufacture of shoes and footwear.

IFCOMA is the sole national Association of shoe component manufacturers representing the component sector in India. IFCOMA has long standing relations with Sri Lankan companies. In Sri Lanka, IFCOMA has organised four buyer seller meet in the years 2003, 2009, 2010 & 2011. They also participated in the Sri Lanka Footwear and Leather Fair organised in 2007.

The fair will provide a platform to showcase the talents and capabilities of the Sri Lankan footwear and leather products manufacturers.
The Indian footwear components industry is approximately US$ 100 million in size and has been growing consistently. The Indian component industry marched ahead in last two decades through developments and modernisation of various input products.

The component manufacturers have shaped up their production line to bring highly cost effective and innovative products viz the soles, lasts, fabrics, trims, jute insoles etc of various types to cater to the rapidly growing footwear & leather goods industry which is based on latest fashion trends and demanding innovations in designs and contemporary fashion styles.

Trade and investment cooperation between the two countries has been improving consistently. In 2011, the bilateral trade crossed US $ 4.85 billion which works out to about 16% of Sri Lanka’s global trade. India again emerged as the largest trading partner of Sri Lanka with an over 65% growth in bilateral trade compared to 2010. India is a leading investor in this country and also source of the largest number of tourist arrivals to Sri Lanka.

Sri Lanka Footwear & Leather Industry Show Remarkable Growth. Trade Show from 5 to 7 November 2010

01st November 2010, www.dailynews.lk, By Indunil Hewage

The Sri Lankan footwear industry has recorded a remarkable growth last year and a positive growth is also expected in the industry during this year. “More new players are coming to the footwear industry and many factories are opening in the face of existing healthy environment in the country.

More opportunities will be created in the Northern and Eastern areas in the future with the further developments in the industry,” Footwear Advisory Chairman Ranjith Hettiarachchi said. He said the Sri Lankan footwear industry has reached international level and is capable of fulfilling the local footwear requirements now.

Sri Lanka has a limited market and identifies new markets and foreign buyers for exporting Sri Lankan footwear products.

Arrangements have been made by authorities to have a safety net to protect the industry from cheap imported footwear coming from various countries to Sri Lanka.

“The lack of operating staff and leather has hampered the growth of the industry. The current workforce in the footwear sector is around 30,000 and the industry is engaged in importing leather from Chennai, India. In addition to that, raw material and machinery can be imported duty free to Sri Lanka now. This shows the platform has been made to develop the footwear industry similar to the international footwear market,” Hettiarachchi said.

A Sri Lankan delegation was sent to China recently with the assistance of the Export Development Board to obtain an idea about technical improvements in the footwear industry in China.

Earlier, two batches comprising Sri Lankan footwear designers and technicians underwent training at the Footwear Design and Development Institute in India with the assistance of the Industry and Commerce Ministry. “We are at the discussion level to set up training centres in the country and are in the planning stage to draw a five year master plan for the industry.

Having understood the commercial value of the footwear industry, ‘Footwear and Leather Fair 2010’ from November 5 to 7, will be held at the BMICH.

Industry and Commerce Ministry, Industrial Development Board and Sri Lanka Footwear and Leather Products Manufactures Association are organizing this. A special area has been reserved at the fair to display footwear and leather merchandise in terms of quality and designs capability.