Indonesia: Leather Footwear Market 2025

Leather Footwear Market Size in Indonesia

The Indonesian leather footwear market rose notably to $X in 2021, with an increase of 7% against the previous year. Over the period under review, consumption, however, recorded a relatively flat trend pattern. As a result, consumption reached the peak level of $X. From 2014 to 2021, the growth of the market remained at a lower figure.

Leather Footwear Production in Indonesia

In value terms, leather footwear production rose rapidly to $X in 2021 estimated in export price. In general, production, however, continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2013 when the production volume increased by 12%. As a result, production reached the peak level of $X. From 2014 to 2021, production growth failed to regain momentum.

Leather Footwear Exports

Exports from Indonesia

In 2021, overseas shipments of leather footwear were finally on the rise to reach X tons for the first time since 2018, thus ending a two-year declining trend. Overall, exports, however, showed a slight reduction. The most prominent rate of growth was recorded in 2015 when exports increased by 20% against the previous year. Over the period under review, the exports hit record highs at X tons in 2018; however, from 2019 to 2021, the exports remained at a lower figure.

In value terms, leather footwear exports soared to $X in 2021. In general, exports, however, showed a relatively flat trend pattern. The exports peaked at $X in 2018; however, from 2019 to 2021, the exports remained at a lower figure.

Exports by Country

The United States (X tons) was the main destination for leather footwear exports from Indonesia, accounting for a 29% share of total exports. Moreover, leather footwear exports to the United States exceeded the volume sent to the second major destination, China (X tons), threefold. The third position in this ranking was held by the UK (X tons), with a 5.6% share.

From 2012 to 2021, the average annual growth rate of volume to the United States was relatively modest. Exports to the other major destinations recorded the following average annual rates of exports growth: China (+13.7% per year) and the UK (-7.5% per year).

In value terms, the United States ($X) remains the key foreign market for leather footwear exports from Indonesia, comprising 29% of total exports. The second position in the ranking was taken by China ($X), with a 9.7% share of total exports. It was followed by the UK, with a 5.3% share.

From 2012 to 2021, the average annual rate of growth in terms of value to the United States stood at +2.6%. Exports to the other major destinations recorded the following average annual rates of exports growth: China (+15.8% per year) and the UK (-6.6% per year).

Export Prices by Country

The average leather footwear export price stood at $X per kg in 2021, approximately mirroring the previous year. In general, the export price, however, recorded a mild expansion. The pace of growth was the most pronounced in 2020 when the average export price increased by 11%. Over the period under review, the average export prices reached the peak figure at $X per kg in 2013; however, from 2014 to 2021, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices for the major overseas markets. In 2021, amid the top suppliers, the country with the highest price was South Korea ($X per kg), while the average price for exports to the United Arab Emirates ($X per kg) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to South Korea (+4.1%), while the prices for the other major destinations experienced more modest paces of growth.

Leather Footwear Imports

Imports into Indonesia

In 2021, overseas purchases of leather footwear decreased by -24% to X tons, falling for the second consecutive year after two years of growth. Over the period under review, imports saw a mild shrinkage. The most prominent rate of growth was recorded in 2016 with an increase of 90% against the previous year. As a result, imports attained the peak of X tons. From 2017 to 2021, the growth of imports remained at a lower figure.

In value terms, leather footwear imports declined to $X in 2021. Overall, imports, however, recorded measured growth. The pace of growth was the most pronounced in 2013 with an increase of 59%. Imports peaked at $X in 2019; however, from 2020 to 2021, imports remained at a lower figure.

Imports by Country

In 2021, China (X tons) constituted the largest supplier of leather footwear to Indonesia, accounting for a 43% share of total imports. Moreover, leather footwear imports from China exceeded the figures recorded by the second-largest supplier, Vietnam (X tons), twofold. The third position in this ranking was taken by Italy (X tons), with an 18% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from China stood at -6.3%. The remaining supplying countries recorded the following average annual rates of imports growth: Vietnam (+5.8% per year) and Italy (+18.6% per year).

In value terms, the largest leather footwear suppliers to Indonesia were China ($X), Italy ($X) and Vietnam ($X), with a combined 80% share of total imports. Cambodia, India, Singapore, Germany and Thailand lagged somewhat behind, together accounting for a further 8.9%.

Germany, with a CAGR of +50.0%, saw the highest growth rate of the value of imports, among the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average leather footwear import price stood at $X per kg in 2021, growing by 13% against the previous year. Over the period under review, import price indicated a resilient increase from 2012 to 2021: its price increased at an average annual rate of +5.3% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, leather footwear import price increased by +115.8% against 2016 indices. The most prominent rate of growth was recorded in 2017 when the average import price increased by 55%. Over the period under review, average import prices attained the maximum in 2021 and is likely to continue growth in years to come.

Prices varied noticeably by country of origin: amid the top importers, the country with the highest price was Italy ($X per kg), while the price for Cambodia ($X per kg) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by China (+5.1%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform