Part I: General News
Vietnam
A country with a relatively small number of livestock population (8.5 million cattle and 1.3 million goats- FAO compendium 2011) generated 3.13 billion dollars from the sale of footwear to USA, UK, Belgium, Japan, China in during the period January-May 2013.
Colombia
Massive importation of cheap footwear from China raised public anger in Colombia. Colombian tanneries and shoemakers are said to be in difficult situation due to more than 30 million pairs of shoes that were imported from China at less than 1 USD per pair. There was a countrywide protest on June 7, 2013 against the massive imports of Chinese shoes, the export of raw hides and the difficult situation for leather tanneries and shoemakers.
Brazil
Exports of hides and skins made by SECEX (Foreign Trade Secretariat), for the month of May 2013, showed record amounts in the second consecutive month, surpassing the value achieved in the same month last year and compared to April this year. The month of May shows a total value of US$ 229.3 million, an increase of 6.8% compared to May 2012, whose value was US$ 196.3million, and an increase of 5.0% compared to April 2013, whose value was US$ 218.4million
.
The Centre for the Brazilian Tannery Industry (CICB) announced its plan to organize the 2nd CICB Sustainability Forum on 28th August 2013, during the next Courovisao (International Fair of Components, Leather, Chemicals, Equipment and Accessories for Footwear and Manufactured Goods).
The forum is said to bring together world-renowned experts to present and discuss the newest ideas, concepts and sustainable practices to the entire tannery chain. Among the expected speakers, the Italian Federico Brugnoli will be there. Federico Brugnoli is a specialist in sustainability, life cycle assessment and leather performance management and responsible for UNIDO’s technical report concerning the carbon footprint in leather.
Michael Appleby, Chief Scientific Adviser of the British organization World Society for the Protection of Animals will also be another panelist in charge of the panel: Leather, Past and Future: Ecology, Economy and Ethics of Sustainability.
For further information please visit www.brazilianleather.com.br and www.cicb.org.br.
China
All China Leather Exhibition (ACLE), known as the premier event for international companies seeking opportunities in China's huge markets will have its next Fair in Shanghai from 4 to 6 September. The Leather Industries of America will participate for the first time, while Germany and Turkey will have bigger pavilion size compared to their previous participations. As per the information released by organizers more than 1,100 exhibitors and 22,000 visitors are expected.
For further information visit http://www.aclechina.com/
KENYA
The market for leather and leather products is said to be improving - especially for cow and goat - with demand coming from China and Italy. Some exporters have accepted offers for wet salted even though they have to pay the 80% duty. Wetblue hide sales have been reported as well at the current prices.
KLDC, UNDP-NDMA strengthen skills building for Lodwar/Dadaab Project Representatives
Kenya Leather Development Council (KLDC) has yet again partnered with United Nations Development Programme through National Drought Management Authority (UNDP-NDMA) to facilitate a Basic Leather and Leathergoods Training for the Lodwar/Dadaab project representatives. The exercise took place at the Animal Health and Industry Training Institute (Ahiti), Kabete and 16 participants attended the workshop between 29th April, and 10th May, 2013.
The move was informed by the need to ensure adequate skills building to facilitate proper management of the respective projects in Lodwar and Dadaab. The trainees are expected to serve as Trainers of Trainers (ToTs) once the rural tannery and leathergoods units in the respective project areas initiate operationalization.
The Lodwar/Dadaab Projects are the results of a liaised effort between KLDC and UNDP/NDMA to enhance resilience and promote rural development in the drought-prone areas of Turkana and Garissa County through feasible value added initiatives. The Project took off in September, 2012 and KLDC has maintained a technical role throughout the conception, initialization and construction phase of the project which was completed in May, 2013.
Management teams for both projects have already been instituted and the trainings are designed to provide the project representatives with technical hands-on skills in the operations of a tannery as well as leathergoods units.
Mr. Harrison Ndungu, Capacity Building Representative- KLDC served as the Project Coordinator.
 |
 |
| Leather belts and cardholders designed by trainees during the training at Ahiti. | |
ETHIOPIA
Ethiopian leather and leather product exports brought in 111.5 million USD during the 2012/13 fiscal year 11 months period. The Government encourages exporting of finished leather or leather products. Unfinished leather like Wet blue exportation is highly discouraged with export tax of up to 150%.
Part II: Some Indicative Prices of Leather and Leather Products
Product name |
Grade |
USD/sqft fob/ori/c/off |
|
Ethiopia |
|
|
|
full aniline |
i-iii |
2.60-3.00 |
|
“ |
iv |
1.95-2.60 |
|
“ |
v |
1.70-1.95 |
|
Semi aniline and golf leather |
i-iii |
2.10-2.70 |
|
“ |
iv |
1.75-2.05 |
|
“ |
v |
1.45-1.75 |
|
Resin lining |
A |
1.25-1.50 |
|
|
B |
0.95-1.20 |
|
Fully finished Cow upper leather |
TR (i/iv) |
1.05-1.50 |
|
|
v |
0.80-1.05 |
|
aniline lining |
A |
0.90-1.15 |
|
|
B |
0.70-0.90 |
|
Kenya/Uganda |
|
|
|
Suspension dried hides |
Weight/pce 8/12 lb |
2.80 nominal |
|
|
iv grade |
2.20 nominal |
|
|
v grade |
1.75 nominal |
|
Wetsalted hides (Kenya) |
|
|
|
|
i/ii |
1.65 |
|
Wetblue hides |
|
|
|
Sqft/pce =av 23/27 |
tr/iv/v/vi |
1.00-1.10 |
|
av 31/33 |
tr/iv/v |
1.10 |
|
av 20/26 |
vi |
0.70 |
|
|
vii or rejects |
0.55 |
|
Sqft/dzn |
t/r iv/v |
68.00 |
|
55/60 |
vi |
36.00 |
|
“ |
vii |
21.00 |
|
“ |
tr/iv/v |
70.00 |
|
Wetblue goats |
|
USD/dzn fob/ori/c/off |
|
sqft/dzn 55/60 |
tr/iv/v |
70.00 |
|
sqft/dzn 70/75 |
|
75.00 |
|
sqft/dzn 55/60 |
vi |
38.00 |
|
sqft/dzn 40/50 |
vii |
22.00 |
|
|
|
|
|
Malawi |
|
USD/kg cfr/ori/c/off |
|
Kg/pce, 14/16 |
i/ii |
1.65-1.68 cfr/ori/c |
|
Suspension dried goatskins Lb/100 pcs, 90/100 |
i/iii |
42.00 cfr/ori/c/off |
|
Drysalted hides kg/pce, 9/+ av 10/11 |
a/b |
1.85 |
|
Sudan |
|
|
|
Drysalted hides, kg/pce, av 10/11 |
|
USD/kg cfr/ori/c/off |
|
|
a/b |
1.85 |
|
Zambia |
|
USD/pce cif/t/c/off |
|
10 |
|
29.50 |
|
15 |
|
43.50 |
|
19 |
|
53.50 |
|
27 |
|
63.50 |
Source: Compiled from Sauer Report and other sources
Abbreviations
a/b/c; Private quality indication by supplier; 'a' is not necessarily 1st grade, etc
Av: Average
c: cash payment
cif: Cost, Insurance & Freight
fob: Free On Board
off: Offered
ori: Price payable to supplier in country of origin of the goods
pce : Piece
sqft: Square Feet
t: Price Payable to Traders outside the country of origin of the goods
