“How Tamil Nadu Became India’s Non-Leather Footwear Hub – Featuring KICL’s Role in the Industry”

“How Tamil Nadu Became India’s Non-Leather Footwear Hub – Featuring KICL’s Role in the Industry”

Tamil Nadu: India’s Emerging Non-Leather Footwear Hub

Tamil Nadu is rapidly establishing itself as the non-leather footwear capital of India. With major global brands like Nike, Puma, Crocs, and Adidas sourcing from the state, Tamil Nadu is positioning itself as a key player in the global footwear industry.

The Rise of Non-Leather Footwear in Tamil Nadu

For decades, India primarily focused on leather footwear manufacturing, with Tamil Nadu accounting for nearly 47% of India’s leather exports. However, global shifts in supply chains, rising labor costs in China, and India’s competitive advantages have led to a shift toward non-leather footwear production.

Tamil Nadu has capitalized on this opportunity by attracting top-tier Taiwanese contract manufacturers, including Shoe Town Group, Feng Tay, Pou Chen, and Hung Fu, who are now investing heavily in the state.

KICL’s Leadership in Footwear Manufacturing

Kothari Industrial Corporation Ltd (KICL) has been at the forefront of this transformation. Through JR One Kothari Footwear, a joint venture with Taiwan’s Shoe Town Group, KICL has set up a state-of-the-art manufacturing facility in Perambalur. This factory, which commenced operations in November 2023, has already produced over 2 million pairs of Crocs and employs 2,500 workers, 90% of whom are women. The investment in this facility is expected to reach ₹1,700 crore, creating 15,000 jobs in the coming years.

Furthermore, KICL has signed an MoU with the Tamil Nadu government to invest ₹5,000 crore in setting up additional footwear manufacturing facilities near Karur and Eraiyur to produce Adidas shoes. This expansion is expected to generate over 50,000 new jobs.

Economic and Social Impact

The growth of the non-leather footwear sector is driving economic inclusion and rural employment. Women from villages in Perambalur and other regions now have stable incomes, empowering them financially and socially.

For example, Jayalakshmi, a worker at JR One Kothari Footwear, shared how this opportunity transformed her life. Previously struggling with financial instability, she now earns ₹9,000 a month, gaining financial independence and respect in her community.

Challenges and the Road Ahead

Despite these successes, the industry faces challenges in building a local supply chain. Currently, most of the raw materials, including specialty chemicals, technical textiles, and adhesives, are imported. To address this, Tamil Nadu is actively working to develop a component ecosystem, with plans for two non-leather footwear parks in Madurai and Cuddalore. The goal is to achieve 25% localization within five years.

Tamil Nadu’s Future as a Global Footwear Hub

With strong government support, infrastructure development, and the presence of leading international manufacturers, Tamil Nadu is set to become a major global hub for non-leather footwear production. As KICL continues to expand its operations, it is playing a crucial role in positioning India as a competitive alternative in global footwear supply chains.

Stay tuned for more updates on KICL’s journey in revolutionizing the Indian footwear industry!

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