It is in this context that the Leather Research Industry Get-together (LERIG) 2000, in the Central Leather Research Institute (CLRI) on January 27 has chosen `Modernisation Outlook for Development and Empowerment of Leather sector' (MODEL) as the key theme, T Ramasami, director of CLRI said here on Tuesday. The chairman of the Council for Leather Exports (CLE) MM Hashim and other captains of the leather industry were present at the press meet.

"The discussions at LERIG have been structured in the form of two panel discussions, three sessions on technology-related topics, three sessions on finance-related themes and three round tables on policy subjects. There will be an experience sharing session in which previous experience of tanners in modernisation would be discussed. A trend forecast for design innovation was also introduced at LERIG.

The modernisation fund is much below the expectations of the industry. The original proposal was for over Rs 1,000 crore. The fund announced is only a little over Rs 40 crore, with 25 per cent of this as grant from the Government. There is also cap on the grant both for the small and big industries.

The whole issue has to be viewed in the background of the World Trade Organisation's (WTO) action. Interest subsidy and other facilities with commercial bearing will be subject to WTO action. A grant for technological innovation would be out of its purview. Moreover, modernisation has to be tested with benchmarking of technologies based on unit value realisation and the opportunities of value-addition to materials through technologies.

LERIG will discuss these and other related subjects like criteria for packaging technologies for modernisation, its main challenges and benefits, the financing mechanism, scale of requirements of finance and essential policy adjustments in industrial, trade and environmental areas. The technical sessions will consider process technologies, mechanisation, human skill and creative financing.

Another major topic of discussion is trade and commerce. The Indian leather sector is moving to a market-driven state from policy-driven. And this calls for serious adjustments in trade and commerce policies. The WTO will be another challenge. Discussions will be focussed on quantitative restrictions, preparations for free trade and brand building.

Plan for Vision 2010
Leather Vision 2010 launched in January 1999, targets quantitative increases in global share of Indian leather sector in export trade through qualitative upgradation of industry. According to T Ramasami, director of CLRI, a consensus master plan is required to achieve fully the goals of the vision.

Panel discussion among the regional heads of CLE has been organised. The discussions aimed at arriving a blueprint for enacting the main objectives of the Vision is chaired by the joint secretary in the Union commerce ministry.