US Tariffs: AP Leather Product Exports Face Odds
AP has been sending leather handbags for ladies, shopping bags of artificial plastic material, shopping bags, wallets, purses, jewellery boxes, gloves for sports, belts, bandoliers, travel goods, trunks and other articles with outer surfaces of leather to the US on a regular basis.
Vijayawada:AP’s leather product exports worth over Rs 125 crore are facing odds in view of the US imposition of 50 per cent tariff on items from India from August 27.
AP has been sending leather handbags for ladies, shopping bags of artificial plastic material, shopping bags, wallets, purses, jewellery boxes, gloves for sports, belts, bandoliers, travel goods, trunks and other articles with outer surfaces of leather to the US on a regular basis.
These come from districts like Krishna, Guntur, Chittoor and Nellore. In 2022-23, AP exported leather products worth over Rs 80 crore; by 2023-24, the volume of leather exports touched over Rs 100 crore; and by 2024-25, it reached up to Rs 125 crore.
Though AP is yet to further improve its leather products exports especially to the US, the tariff hike is feared to hit even the existing export potential, unless alternative markets are found overseas.
Only a few firms are existing in AP to export leather products, but they are a worried lot, fearing losses.
Though AP had set up the Leather Industries Development Corporation, it has been in a state of neglect for a long time. The TD-led NDA government appears to be in the process of reviving it, to give a major boost to the industry for both domestic and international markets.
LIDCAP managing director in-charge Lavanya Venu said, “We are in the process of development and expansion and at present we are not having any export of leather products to overseas.”
