Mega Leather Cluster to Come Up at Nellore
The Ministry of Commerce & Industry has given approval to the establishment of Mega Leather Cluster at Kota Mandal, Nellore district, Andhra Pradesh. The central government has assured assistance of a budget of Rd 125 Crore towards the project.
Minister of Commerce & Industry, Smt Nirmala Sitharaman in a letter to the Chief Minister, Andhra Pradesh mentioned that “It gives me immense pleasure to inform you that proposal for establishment of Mega Leather Cluster at Kota Mandal, Nellore district, Andhra Pradesh has been approved with a central government assistance of Rs 125 Crores”.
The project sanctioned under Indian Leather Development program would create state of the art infrastructure for labour intensive units and is expected to generate employment for 20,000 people and leverage an investment of at least Rs 500 Crores in the first phase itself. The Minister requested the Chief Minister that due process related to award of contract etc. be completed so that the central government could release the funds to start the project as soon as possible.
The leather sector offers employment to over 30 lakh people. It has to be noted that leather and leather based goods are now being counted among the 25 focus areas under the ‘Make in India’ initiative. The plans are also on by the central government to increase leather exports to $15 billion by the year 2020. The number stands at 7 billion dollars real time.
This is an added feather in the cap for Nellore and particularly the region of Rayalaseema, now booming with foreign investment collaboration as well as on shore initiatives. More details about project will confirmed by the State Government Office shortly.