Taiwanese footwear firm may soon invest up to USD 100 mn to set up unit in TN: CLE

A Taiwanese footwear manufacturing firm is likely to invest up to USD 100 million (about Rs 710 crore) for setting up a manufacturing facility in Tamil Nadu, the Council for Leather Exports (CLE) said on Wednesday.

CLE Chairman P R Aqeel Ahmed said the Taiwan-based firm is a leading player in footwear sector.

"They will soon invest USD 50 million-USD 100 million to set up a manufacturing unit in the state. It would employ 25,000 to 50,000 people in the next two years," he said.

Ahmed said the company showed interest after CLE sent an invitation for setting up a unit in Tamil Nadu.

He added that the state government would provide all support to the company so that it can start work at the earliest.

Further, he said the central government's move to increase import duty on footwear will help domestic industry and exporters in leather sector.

"This year we are expecting healthy growth in exports," he said, adding that the India International Leather fair in Chennai saw huge participation.

The labour intensive sector has huge potential to earn foreign exchange for the country and create jobs for youth, he said.

Leather sector's exports from India stand at around USD 6 billion, of which Europe accounts for about 70 per cent.

The sector employs about 42 lakh people.