Leather & Footwear Policy, 2025  |  Official Website of Invest UP, Government of Uttar Pradesh, India

Leather & Footwear Policy, 2025

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Key Highlights

  • Uttar Pradesh contributes nearly 46% of India’s total leather exports.
  • Agra is recognized as the “Footwear Capital of India”, while Kanpur leads in leather accessories, safety footwear, and saddlery.
  • The state contributes around 30% of India’s raw leather production.
  • Sector provides employment to over 1 million people in Uttar Pradesh.

Policy Objectives

  • Position Uttar Pradesh as India’s leading footwear & leather manufacturing hub.
  • Promote exports and global competitiveness.
  • Encourage domestic and foreign investments.
  • Generate employment through skill development initiatives.
  • Support modernization, innovation, and sustainable manufacturing.

Key Incentives & Benefits

Land Cost Grant

  • Up to 80% land subsidy for Mega Anchor Units & Clusters in Purvanchal, Madhyanchal & Bundelkhand regions.
  • Up to 35% land subsidy for standalone units.

Capital Subsidy

  • Up to 35% capital subsidy on eligible capital investment.
  • Incentives up to ₹1500 Crore for Mega Anchor Units & Clusters.
  • Allied Leather Units eligible for incentives up to ₹1200 Crore.

Stamp Duty Exemption

  • 100% exemption/reimbursement on stamp duty for eligible units.

Employment Generation Subsidy

  • Reimbursement of 100% Employer EPF contribution for 5 years.

Training Subsidy

  • Up to ₹20,000 per trainee for women, SC/ST, and differently-abled beneficiaries.

Power Tariff Subsidy

  • Subsidy of ₹2 per unit for 5 years for eligible industries.

R&D and Innovation Support

  • Up to 70% reimbursement for patents, trademarks, and GI registrations.
  • Support for Design Labs, Innovation Centres & Centres of Excellence.

Sustainability Incentives

  • Support for green manufacturing, renewable energy, pollution control, and sustainable leather alternatives.
  • Additional incentives for eco-friendly and bio-based leather production.

Infrastructure & Ecosystem Support

  • Dedicated leather parks with plug-and-play infrastructure.
  • Fast-track online land allotment through single-window system.
  • Support for clusters, MSMEs, ancillary industries, and export-oriented units.
  • Promotion of R&D, skill development, and global market access.

Policy and GO’s