| Abstract: | This article discusses the successful value-added chain within India's leather industry, and then draws contrasts with the evolution of the leather products industries of Kenya and Ethiopia. Much of India's success derives from the ability of its stakeholders—from government to industry—to set their own policies and priorities regarding the development of the leather industry. The fact that India selectively liberalized the entry of a variety of industries into the global economy added to the improved performance of its leather products sub-sector. By contrast, both Ethiopia and Kenya followed different policies regarding liberalization, with differing results. Although the leather industry is important for both countries, moving up the value-added chain remains tenuous at best for Kenya and only slightly better for Ethiopia. This article recommends that both countries need to formulate and implement policies that will move the leather industry from raw and semi-processed production outward to the leather products and leather goods sub-sectors. |
