Central Government on 19th January 2022, has approved the continuation of Central Sector Scheme ‘Indian Footwear and Leather Development Programme (IFLDP)’ till 31.03.2026 or till further review, whichever is earlier.
Leather and Footwear industries are being beneﬁtted through this programme. IFLDP has been approved for implementation with six sub-schemes and the details are as under:
(i) Sustainable Technology and Environmental Promotion(STEP):- Assistance for each Common Eﬄuent Treatment Plant (CETP) would be @80% of the total project cost for North Eastern Areas with industry/beneﬁciary share would be 20% of the project cost and @ 70% of the total project cost for other areas with industry/beneﬁciary share would be 30% of the project cost with a limit of ₹ 200 crores.
(ii) Integrated Development of Leather Sector (IDLS):- Assistance provided to the sectoral units for their modernization/capacity expansion/technology upgradation @30% to Micro, Small and Medium Enterprise (MSME) units and 20% to other units. Financial assistance is provided for North Eastern Areas @40% of the cost of plant & machinery to MSME units and 30% to other units. 5% additional grant is provided for domestic manufactured machinery.
(iii) Mega Leather Footwear and Accessories Cluster Development (MLFACD): Assistance is provided @70% of the project cost in North Eastern areas and @50% of the project cost for other regions subject to depending on the total land area as mentioned in the guidelines and for land development, core infrastructure, social infrastructure, production facilities including ready to use sheds with plug and play facility, R&D support and export services excluding the cost of land with maximum Government assistance being limited to ₹ 125 crores.
(iv) Establishment of Institutional Facilities (EIF):- Assistance would be provided as a one-time grant-in-aid for the establishment/upgradation of the institutional infrastructure of Footwear Design and Development Institute (FDDI).
(v) Brand Promotion of Indian Brands in the Footwear and Leather Sector:- Central assistance would be provided 50% of the total project cost subject to the limit of ₹ 3 crores for each brand, each year for the next three years. The share of the Indian Manufacturer would be balance 50% of the project cost.
(vi) Development of Design Studios in the Footwear and Leather Sector:- Central assistance would be restricted to 50% of the total subject to a limit of Rs.10 crores for each design studio. The share of beneﬁciary would be balanced 50% of the project cost.