The Indian footwear industry is a dynamic and rapidly growing sector with its fair share of opportunities and challenges. Here’s a comprehensive overview:

Current Market:

• Size and Growth: The Indian footwear market is valued at USD 24.86 billion in 2023 and is expected to grow at a CAGR of 4.84% until 2028. This robust growth is driven by several factors like rising disposable incomes, increasing urbanization, and a growing emphasis on fashion and lifestyle.
• Segments: The market is segmented into leather footwear (largest segment) and non-leather footwear (sports shoes, sandals, etc.).
• Production and Consumption: India is the second-largest global producer of footwear, making over 2 billion pairs annually. However, almost 95% of production is consumed domestically, highlighting the strong local demand.
• Major players: Prominent players include domestic brands like Bata, Action Shoes, Campus, and international brands like Puma, Nike, Adidas. E-commerce platforms like Myntra, Flipkart are also playing a significant role in shaping the market.

Future Outlook:

• Promising growth: The future looks bright for the Indian footwear industry, with continued growth expected due to factors like:
  • Rising disposable incomes and changing consumer preferences
  • Increasing urbanization and demand for branded footwear
  • Growing online retail penetration
  • Increasing focus on comfort and functionality
• Challenges: Addressing factors like fragmented market structure, high import duties, and concerns about quality will be crucial for sustained growth.

Here are some good Footwear stocks to consider investing in that:

1. Relaxo Footwears

Relaxo Footwears Limited is the largest footwear manufacturing company in India, which deals in non-leather products i.e. rubber/EVA slippers, canvas shoes, sport shoes, sandals, school shoes and other types of footwear. It is also the leader in ‘value’ segment footwear.

2. Campus Activewear

Campus Activewear Limited (“Campus”) was incorporated on September 24, 2008, and is one of India’s largest sports and athleisure footwear brands in terms of value and volume. The company manufactures and distributes a variety of footwear like Running Shoes, Walking Shoes, Casual Shoes, Floaters, Slippers, Flip Flops, and Sandals, available in multiple colors, styles, and at affordable prices.

3. Lehar Footwears

Incorporated in 1994, Lehar Footwears Ltd is a mass -footwear manufacturer and brand distribution company.