Chennai, Feb 22: The Tamil Nadu government is working to put in place a separate policy for the leather sector following a proposal made by the Federation of Indian Export Organisations (FIEO) southern region. The state government is likely to rope in soon a private consulting agency for an in-depth study of this segment, it is learnt. The Council of Leather Exports (CLE), the Central Leather Research Institute (CLRI) and the FIEO are expected to lend a helping hand in the study and in the drawing up of a framework for the policy.The main thrust of the new leather policy, according to vice-president of the Business Consulting Group (BCG) Sridhar Venkiteswaran, will be to make state intervention a viable proposition to bring about a faster growth of the leather sector in Tamil Nadu. The BCG was commissioned by the FIEO to do a study and make a presentation to the state government recently on the export potential from Tamil Nadu in select segments like leather, cotton textiles, synthetic textiles, consumerelectronics, automobiles and auto-ancillary, etc.
The in-depth study, Venkiteswaran said, will focus on relevant issues like what the state needs to do to retain its production in the leather sector and its share of exports in leather products and accessories, as well as measures that would be needed to beef up existing production and enhance overall productivity in the sector. among the priorities that the state government would need to stress is the re-starting of 250 tanneries that have been closed by a Supreme Court order for creating pollution and environmental degradation in the Ranipet-Ambur-Vaniambadi industrial belt.
The tanneries employed a total of 8,000 to 9,000 workers who are now out of job. The tanneries remain closed because they do not have common effluent treatment plants (CETPs), funds for which are yet to be cleared by the state government Tamil Nadu has close to 900 tanneries which were shut down because of the Supreme Court order. However recently some 600 tanneries have begunoperation and another 100 may begin work soon.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
