A clutch of Taiwanese companies making global footwear brands are setting up manufacturing units in Tamil Nadu, the latest being Pou Chen Corporation, which signed an MoU with the state government on Monday and committed to an investment of Rs 2,302 crore.

High Glory Footwear India Pvt Ltd, a subsidiary of Pou Chen, is setting up a non-leather footwear manufacturing unit at the SIPCOT Industrial Park in Kallakurichi’s Ulundurpettai.

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According to a state government statement, the memorandum of understanding (MoU) is expected to generate jobs for over 20,000 people in the non-leather footwear sector over a span of 12 years.

In the first week of April, the Tamil Nadu government had allotted 130 acres to Taiwan-based Hong Fu Group at Panapakkam SIPCOT in the state’s Ranipet district to set up a Rs 1,000-crore non-leather footwear unit.

The proposed plant is expected to create 20,000 jobs. Footwear manufacturer Hong Fu serves a host of global brands such as Nike, Puma and Converse. The group had signed an MoU with the state government in this regard in April last year.

The Pou Chen MoU is also expected to generate jobs for over 20,000 people, especially for youth and women. It was also in lines with the government’s policy of ensuring industrial growth in the state’s backward districts and would greatly help newly created Kallakurichi district in employment generation.

Pou Chen Group, the largest branded athletic and casual footwear manufacturer in the world, is an original equipment and design manufacturer for major international brands such as Nike, Adidas, Asics, New Balance, Timberland and Salomon.

The group is a multi-brand supplier with superior flexibility and proven excellence in manufacturing capability.

Over the years, there has also been a smaller but significant non-leather footwear industry in Tamil Nadu primarily driven by small and medium-sized enterprises (SMEs). The state has a slew of major non-leather footwear manufacturing clusters, including Ambur, Vaniyambadi, Ranipet and Cheyyar.

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After the state’s success in the leather footwear and goods industry, major players in the sector in Tamil Nadu witnessed the emergence of the global non-leather footwear industry.

Last year, chief minister M K Stalin launched the Tamil Nadu Leather and Footwear Products Policy, which aims to attract nearly Rs 20,000-crore investment in the sector. A major share of this is expected to be in the non-leather sector and will eventually result in employment opportunities for up to 2 lakh people in the state by 2025.