Uttar Pradesh Footwear, Leather, and Non-Leather Area Development Policy 2025 | 21 Aug 2025

Why in News? 

In a move to enhance UP's status in the global footwear, leather sector, the Uttar Pradesh (UP) government has approved the Uttar Pradesh Footwear, Leather, and Non-Leather Area Development Policy 2025. 

Key Features of Policy 

• Export Boost: The policy seeks to boost Uttar Pradesh's share in leather and non-leather exports by attracting international investments, with dedicated investment drives conducted in countries like China and Japan. 
• Modernization: Emphasis on upgrading technology, modernizing production facilities, and launching training programs to improve product quality and generate employment. 
  • Establishment of Centres of Excellence (CoEs) in the leather and footwear sector. 
  • Grants to support IPR (Intellectual Property Rights) development, covering up to Rs. 1 crore per unit. 
• Skill Development: Training centers will focus on upskilling youth, with specialized courses designed in partnership with educational institutions. 
  • Targeted to create approximately 22 lakh jobs in the sector over the next five years, with a significant focus on employing women and people with disabilities. 
• Dedicated Leather Parks: The government will create large plots of land and establish dedicated leather parks with plug-and-play facilities, waste treatment plants, and state-of-the-art infrastructure. 
  • Kanpur, Agra, and Unnao will see the establishment of mega-leather parks to cater to growing demand. 
  • Special incentives for setting up operations in underserved areas like Bundelkhand and Purvanchal. 
• Financial Incentive: The policy includes provisions to support both new and existing businesses by providing incentives and subsidies for setting up new leather parks and clusters. 
  • 25% Capital Subsidy for setting up leather parks or clusters on 50+ acres. 
  • 100% Exemption on Stamp Duty for land purchase related to the project. 
  • Reimbursement of 50% transportation costs for exporting products to markets outside Nepal, Bangladesh, and Bhutan for the first three years. 
• Sustainability Focus: 50% Reimbursement for adopting carbon credit certification, renewable energy certifications, and energy audits. 
  • 75% Subsidy for obtaining international sustainability certifications. 
  • Support for adopting biodegradable tanning agents and waterless dyeing technologies.