§1What this business is

Patterns are designed and graded, components clicked (cut) and skived, uppers stitched on flat and post machines, lasted over a last, soles attached, then finished, checked and boxed. The report suggests some imported second-hand machines bought locally. Shoe clusters named: Agra, Kanpur, Chennai, Kolhapur, Kolkata.

Capacity: 100 pairs a day, 30,000 pairs a year (300 days); year 1 at 50%.

§2Is it right for you?

Who it is for

Someone from a shoe cluster with dealer contacts and production experience.

Who it is not for

A newcomer without footwear know-how.

Advantages

  • India is the world's second largest footwear producer (report, citing Bata's FY17 annual report)
  • Skilled labour from footwear training institutes
  • Strong domestic demand
  • Profit grows fast with capacity

Drawbacks

  • Year-1 profit is very thin (2.0%)
  • Big brands dominate
  • The report gives no machine-wise list
  • Footwear BIS rules apply

Skills you need

  • Pattern design and grading
  • Clicking and closing
  • Lasting and sole attaching
  • Dealer and retail sales

Why difficulty 3/5: Multi-stage process and a crowded, brand-led market.

§3Market

Who buys

  • People aged 14 and above (the report's target)
  • Footwear retailers
  • Exporters

How it sells

  • Footwear dealers and wholesalers
  • Own retail or factory outlet
  • Export orders

Good to know

  • The report says India produces about 2.2 billion pairs a year, consumes about 90% at home, and is the third largest consumer after China and the USA.
  • Organised players named: Bata, Khadim, Metro, Liberty, Red Tape, Woodland and others.

§4Raw material & machinery

ItemQtyCost
Plant and machinery (the report prints only the total; it plans some imported second-hand machines bought locally)1 lot₹15,60,000

From: PMEGP sample project report — Leather Shoe Manufacturing Unit (prepared by Udyami/Samadhan)

  • Chrome-tanned cow softy upper leathermain upper material
  • PU solesouter soles
  • Rubber solution, adhesives, chemicals, lasts, punches, moulds and boxesavailable in shoe clusters
  • All raw material₹276 a pair in year 1

From: PMEGP sample project report — Leather Shoe Manufacturing Unit (prepared by Udyami/Samadhan)

Suppliers in Building Business Bazaar

Central Footwear Training Institute, Agra · Agra →Central Footwear Training Institute, Chennai · Chennai →Footwear Design & Development Institute, Chandigarh (Banur) campus · Banur →Footwear Design & Development Institute, Rohtak campus · Rohtak →Footwear Design & Development Institute, Noida campus · Noida →Footwear Design & Development Institute, Fursatganj (Raebareli) campus · Fursatganj →Footwear Design & Development Institute, Jodhpur campus · Jodhpur →Footwear Design & Development Institute, Guna campus · Guna →Footwear Design & Development Institute, Patna campus · Bihta →Footwear Design & Development Institute, Ankleshwar campus · Ankleshwar →Footwear Design & Development Institute, Chhindwara campus · Chhindwara →Footwear Design & Development Institute, Kolkata campus · Kolkata →

In our raw material database

Wet blue and crust leather →Adhesives and glues →

§5Licences & registration

  1. Udyam registration
  2. GST
  3. BIS certification under the footwear Quality Control Orders — check the current dates and any relief for micro units
  4. Trade licence
  5. IEC for export
  6. Trademark for your brand (optional)

We can do this registration for you

§6Schemes & subsidies

PMEGP fits (₹23.15 L manufacturing project); CGTMSE for collateral-free loans; Stand-Up India for SC/ST or women owners.

§7Money

How the investment is worked out: Samadhan report: plant & machinery ₹15.60 L, furniture ₹2.00 L, working capital ₹5.55 L = ₹23.15 L; 2,000 sq ft shed own or rented, not in the cost. (The report's executive summary also mentions ₹42.00 and 200 pairs a day, which do not match its cost tables.)

Working capital: Working capital ₹5.55 L (bank ₹5.00 L); 20 days of raw material and 10 days of finished stock.

Year not printed on the report — check current machinery prices.

How to prepare a loan file

§8Export potential

Confirm the HS code in the DGFT ITC(HS) lookup before you export

6403Footwear with outer soles of rubber, plastics or leather and uppers of leather

Export council / board: CLE

  • CLE (Council for Leather Exports) covers leather footwear.
  • Exports need an IEC from DGFT.

§9Risks — where people fail

  • Low early margins
  • Leather and sole price swings
  • Unsold sizes
  • Standards compliance

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working leather shoe manufacturing unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (Udyam registration, GST), a project report (DPR), and the scheme or loan file.
  3. Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.

§11Who to connect with

Not verified yet

Associations, clusters and training institutes — the directory is being built. Connect

§12Watch

There is no episode on this business yet. Shows are coming soon on the Podcast page.

Want to start Leather Shoe Manufacturing?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. PMEGP sample project report — Leather Shoe Manufacturing Unit (prepared by Udyami/Samadhan)

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.