Tanggulangin leather handicraft was initiated in 1939 when few craftsmen made bag and suitcase. In 1976, a cooperation was established, Koperasi Industri Tas dan Koper (Intako), with 27 members. The capital was originated from member savings. Later, the member grew until 354. But after the mud volcano phenomenon, many craftsmen closed the activities, and few were surviving by making as order. The media exposed mud volcano, and make people think that Tanggulangin was part of area flooded by mud, that made the visitors to Tanggulangin decrease severely. Geographically, Tanggulangi is approximately 5 kilometers from the source of mud volcano.

Tanggulangin is one of Sidoarjo icon, that produces bags, suitcase, wallet, belt and shoes.The quality is good, and the price is very competitive. Ccraftsmen tried to rise again, by undertaking Tanggulangin Fair in 2008, to show public that the inductry is still exist. Beside that, they also conducted roadshow in several cities in Indonesia showing that Tanggulangin was not drown by the mud.

The design and quality of Tanggulangin products are guaranteed. Italy Govt ever gave loan to Tanggulangin, for Casual Shoes Craftsmen Training, and Italy agreed to purchase the shoes from Tanggulangin and craftsmen working in this project will be rewarded with Italian license.