Power cuts have forced 2,000 to leave Tamil Nadu leather industry

18/12/2012
Leather industry leaders in the Indian state of Tamil Nadu have confirmed that cuts in energy have forced tanners and manufacturers of footwear and leathergoods there to leave the industry.

In comments to local media, Rafeeque Ahmed, chairman of the Council for Leather Exports, said recently: “As many as 2,000 people have gone out of the industry from this district alone.”

He confirmed that the situation had mostly affected small and medium-sized companies, but warned that Vellore district accounts for almost 30% of the Indian leather industry’s annual revenues of $5 billion.

Power cuts there can last for up to 10 hours a day.

Reports put the total number of tanneries in India at the moment at 2,091, 45% of which are in Tamil Nadu, 26% in West Bengal and 18% in Uttar Pradesh.