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GOVERNMENT OF INDIA
MINISTRY OF COMMERCE & INDUSTRY
DEPARTMENT FOR PROMOTION OF INDUSTRY AND INTERNAL TRADE
RAJYA SABHA
UNSTARRED QUESTION NO. 1658.
TO BE ANSWERED ON FRIDAY, THE 13TH FEBRUARY, 2026.
DOMESTIC LEATHER MACHINERY MANUFACTURING
1658. SHRI MOHAMMED NADIMUL HAQUE:
Will the Minister of Commerce and Industry be pleased to state:
(a) the number of indigenous machinery manufacturing units established or expanded under
Government incentive schemes since 2020; and
(b) the incentives and technology collaborations facilitated by the Department for Promotion
of Industry and Internal Trade (DPIIT) for the same?
ANSWER
THE MINISTER OF STATE IN THE MIN ISTRY OF COMMERCE & INDUSTRY
(SHRI JITIN PRASADA)
(a) & (b): With regard to capital goods, the Ministry of Heavy Industries is implementing Scheme
for “Enhancement of Competitiveness in the Indian Capital Goods Sector” Phase II with
the objective to encourage technology development, research and augment the
manufacturing infrastructure of the country. The scheme is sector agnostic under which
any new machine can be developed. Under this Scheme, the projects are sanctioned to
Project Implementing Organizations (PIOs) in association with the Industry Partner(s)
and MHI provides Government assistance upto 80% of the project cost and the rest is
contributed by the Industry Partner(s).
For strengthening the Leather & Footwear, the Department for Promotion of Industry
and Internal Trade is implementing the Central Sector Scheme, Indian Footwear and
Leather Development Programme (IFLDP) for creation of modern infrastructure,
promotion of environmental sustainability, facilitation of investment, employment
generation and enhancement of production capacity. The Scheme comprises of six sub-
schemes under which financial support is provided for technological upgradation,
capacity expansion of new and existing units, establishment of common CETPs and
hazardous waste management facilities in clusters, development of world-class industrial
infrastructure, strengthening global brand positioning of Indian manufacturers, and
promotion of design innovation and skill development, including establishment of design
studios and upgradation of infrastructure of an Institution of National Importance. Under
one of its sub scheme Integrated Development of Leather Sector (IDLS), financial
assistance is extended to new and existing units for technology upgradation, capacity
expansion, modernization, with additional incentives for use of indigenously
manufactured machinery. As on date, 857 units have been provided assistance amounting
to ₹567.84 crore in the sub scheme.
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