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Indian Leather Industry: Taj Alam Shares Key Realities and Future Priorities

Xuzhou Hoffen Chemicals Co., Ltd. 2025-12-25 14:56:47

As 2025 draws to a close, we have compiled global perspectives reflecting the complexities of the leather industry. Leather Insiders is honored to spotlight the Indian voice shared by Mr. Taj Alam, Vice Chairman of the Uttar Pradesh Leather Industries Association and Managing Director of Kings International Ltd, one of India’s major leather players.

How would you describe the current state of India’s leather industry?

“Well, India’s leather industry primarily relies on the leather goods sector, which is affected by multiple factors such as global political instability, regional conflicts, economic slowdowns, inflation, and unemployment, leading to low productivity, sales, and profits. Even tanneries certified by the Leather Working Group (LWG) have not had sufficient business recently. Many tanneries nationwide, lacking adequate orders, have shifted to contract work just to cover their fixed costs.”

To what extent did the Trump-era tariffs impact the Indian leather sector?

“The Trump tariffs had a huge impact on India’s leather industry. With tariffs exceeding 50%, U.S. buyers could not bear such high prices, especially during a weak market. Moreover, the Indian government did not provide financial support to mitigate the effects of these high tariffs. As a result, exporters are waiting for tariff reductions to resume shipments that have been delayed for months. Some companies entirely dependent on U.S. buyers are currently idle.”

How do you assess the 2025 outlook for key segments such as footwear, leather goods, apparel, and other product categories?

“Now it’s December, and so far the year has been very challenging. Many workers have been laid off, exacerbating unemployment. This situation also affects product categories relying on contract work to maintain staff. Prices have dropped significantly, yet there has still been no substantial volume of business.”

What impact do you expect from the upcoming EU Deforestation Regulation (EUDR) on the leather industry and global fashion brands?

“Many EU member states are seeking to relax the upcoming EUDR regulations, as the current rules appear too strict for them to comply with. Additionally, exporters are not fully aware of the requirements and are not adequately prepared to meet this challenge.”

Looking ahead to 2026, what major challenges and opportunities do you foresee for India’s leather industry?

“I believe India and the U.S. should establish bilateral or free trade agreements similar to the U.K. and many other countries to facilitate trade. The high U.S. tariffs have caused significant losses for India. The Indian leather industry is going through a difficult period. As tanners and manufacturers, we must remain innovative, sustainable, cost-efficient, environmentally compliant, and quality-conscious to stay competitive.”

We thank Mr. Taj Alam for his valuable contribution to this issue, which aims to capture the voices of key global leather industry participants.

December 25, 2025 — Source: Leather Insider

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