The Council for Leather Exports has lowered the target for leather exports in 2001-02 following a steep fall in exports to the US and UK during the first quarter and a reduction in export orders. The target has been lowered from $2.223 billion to $2.195 billion after the first quarter results fell short of the quarterly target by about 14%.

The downward revision has become necessary as, barring finished leather, exports registered negative growth of 0.97% during the first quarter, CLE sources said. This has resulted from the slide in Indian exports to major importing countries such as the US (4.9%) and the UK (14.7%), the sources said.

The first quarter exports stood at $477 million, an increase of 8.13% over the same period last year, but less than the target of $555 million.

Targets for finished leather, which exceeded the target during the first quarter, have been increased from $428 million to $500 million, while that of leather garments was maintained at $520 million.

The CLE, meanwhile, has submitted an indicative mid-term plan for exports and strategies, 2001-06, to the Union’s commerce ministry for sustained growth during the period.

Source: Daily Financial Express, New Delhi