Tannery owners will get a loan of Tk 600 crore from banks to buy leather.
Defaulters can reschedule with a 3% downpayment.
The decisions were taken at an inter-ministerial meeting at the Ministry of Commerce on Thursday, said Commerce Secretary Tapan Kanti Das.
Already 1.2 crore square feet of leather has been sanctioned for export, another 1 crore square feet will be sanctioned in a few days.
For this Eid-ul-Adha, 1.19 crore animals are ready for sacrifice. However, the number of sacrificial animals will be less due to the coronavirus pandemic.
Demand for leather is increasing in the international market. So this time the price of the rawhide will be higher, said the Commerce Secretary.