Export permission has no effect on depressed rawhide market
Skip to main content
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
The Business Standard
SUNDAY, MAY 22, 2022
SUNDAY, MAY 22, 2022
  • Home
  • Economy
  • Stocks
  • Analysis
  • World+Biz
  • Sports
  • Splash
  • Features
  • Videos
  • Long Read
  • Games
  • Epaper
  • More
    • COVID-19
    • Bangladesh
    • Infograph
    • Interviews
    • Offbeat
    • Thoughts
    • Podcast
    • Quiz
    • Tech
    • Subscribe
    • Archive
    • Trial By Trivia
    • Magazine
    • Supplement
  • বাংলা
Export permission has no effect on depressed rawhide market

Trade

Mahfuz Ullah Babu
02 August, 2020, 08:15 pm
Last modified: 09 August, 2020, 09:34 am

Related News

  • India allows goods import from Bangladesh by rail, framework set
  • Malaysia touts trade access as US Indo-Pacific plan only a 'good beginning' -trade chief
  • US businesses keen to be part of Bangladesh's development; ink MoU for trade boost
  • Indonesian envoy: Dhaka-Jakarta trade to cross $2b mark this year
  • Bangladesh, Norway keen to broaden economic partnership

Export permission has no effect on depressed rawhide market

Since the perishable commodity is at its trough in a long-term price cycle, tanneries have got stuck with a huge stock lot, big merchants are still looking for unpaid bills and traders are averting an anticipated risk of losses

Mahfuz Ullah Babu
02 August, 2020, 08:15 pm
Last modified: 09 August, 2020, 09:34 am
Photo: Salahuddin Ahmed Paulash/TBS
Photo: Salahuddin Ahmed Paulash/TBS

Once rawhide procurement during Eid-ul-Adha was lucrative for the youth in neighborhoods across Bangladesh, but not anymore.

Since the perishable commodity is at its trough in a long-term price cycle, tanneries have got stuck with a huge stock lot, big merchants are still looking for unpaid bills and traders are averting an anticipated risk of losses.

This year, some agents of professional rawhide merchants have procured rawhides of sacrificial animals, of course, with an extremely cautious approach to avoid losses like what they incurred last year.

Almost no price – one-tenth of what it was five years ago – helped the religious charities receive a bigger portion of the Eid-ul-Adha rawhides this year. However, they are also not comfortable with very low-prices offered by the bulk procurers – Tk100-Tk200 for a piece of cowhide, and there is literally no price for goat hides.

Photo: Salahuddin Ahmed Paulash/TBS
Photo: Salahuddin Ahmed Paulash/TBS

Lack of activity of seasonal collectors and the conservative approach of regional merchants also led to some religious institutions opting out of their planned receipt of free rawhides on Eid Day.

However, regional wholesale traders are coming to the capital city hubs with whatever they have collected. The hide merchants are preparing for the next phase – preserving and looking for buyers, said Tipu Sultana, general secretary at Bangladesh Hide and Skin Merchants Association.

The Posta-based rawhide merchant is happy that the government has declared to allow rawhide export for the sake of price boost.

Bangladesh never exported rawhide, it was only wet blue – dried and hair plucked rawhide – until 1990.

The government would approve rawhide export consignments now on a case-to-case basis, according to a last week's declaration.

"Indian and Pakistani importers may show interest in our rawhide, but for the desired response from buyers, we need to spread information across the world that our rawhide is up for export now," said Tipu Sultan.

At the rawhide hub of Posta, Sunday appeared to be a price depressing day. Prices fell even from that last year, halved or even went down more in most cases.

Hides from even large cows are barely selling at above Tk500, and the rate is found to go down up to Tk130-150 for medium-sized cowhides.

Some traders are getting Tk10-20 for each goat hide that they have either bought at an even lower price or got for free.

The government reduced floor price for tanneries' procurement of rawhides by 20-30 percent this year. The effort to reduce the gap between reality and official rate, and the nascent official export window – nothing helped the Eid-ul-Adha market of rawhides.

Naturally, everyone is very cautious this year with the procurement rate, said Tipu Sultan.

Photo: Mohammad Minhaj Uddin
Photo: Mohammad Minhaj Uddin

Some regional merchants like Jamalpur district's Abu Yusuf and his boss are preserving hides with salt themselves to wait for a better price.

"We can preserve and store rawhides up to 90 days with our mere initial processing," Sultan said adding that this might help merchants get a better price.

This year, he anticipates rawhide arrival to decline by 40-50 percent amid the pandemic and floods.

On the other hand, M Shakhawat Ullah, general secretary at Bangladesh Tanners Association, predicts that the decline might be 30-35 percent at best.

He is not expecting a good response for rawhides from abroad.

Photo: Salahuddin Ahmed Paulash/TBS
Photo: Salahuddin Ahmed Paulash/TBS

"Besides, for better leather, you need cold storage within a week for salted rawhides," said the tanner's representative.

"We have the government-set rate for procurement from tanneries and that will be the pricing benchmark," he said adding, "We would begin procurement very soon."

Local leather goods manufacturers now consume around 40 percent of annual leather production in Bangladesh and the rawhide export plan, if clicks, might impact local supply of leather in the coming days, said Shakhawat Ullah.

Economy / Top News

Trade / Rawhide export / Rawhide

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  • VAT on sales of locally-produced APIs likely to go from FY23
    VAT on sales of locally-produced APIs likely to go from FY23
  • Project delays: The Sinohydro case
    Project delays: The Sinohydro case
  • Haji Salim surrenders before court, seeks conditional bail 
    Haji Salim surrenders before court, seeks conditional bail 

MOST VIEWED

  • India to import goods from Bangladesh by rail
    India to import goods from Bangladesh by rail
  • File image
    India allows goods import from Bangladesh by rail, framework set
  • Photo: Mohammad Minhaj Uddin/TBS
    Direct container shipping to the United Kingdom starts on Friday
  • Photo: Collected
    No barrier in wheat import from India: Tipu Munshi
  • Photo: Courtesy
    Ctg Chamber president slams edible oil hoarders
  • Photo: Mohammad Minhaj Uddin/TBS
    NBR to allow more firms easy release of goods from ports

Related News

  • India allows goods import from Bangladesh by rail, framework set
  • Malaysia touts trade access as US Indo-Pacific plan only a 'good beginning' -trade chief
  • US businesses keen to be part of Bangladesh's development; ink MoU for trade boost
  • Indonesian envoy: Dhaka-Jakarta trade to cross $2b mark this year
  • Bangladesh, Norway keen to broaden economic partnership

Features

Illustration: TBS

How the ban on porn sites spawned a local cybersex industry

1h | Panorama
3 best affordable sunscreens for all

3 best affordable sunscreens for all

1h | Mode
Warah uses three types of khadi material: a sheer and light one, a medium count and a thicker one.

Warah: Embroidered with culture and womanhood

3h | Mode
Photo: Courtesy

Misfit Technologies: A Singaporean startup rooted firmly in Bangladesh

3h | Panorama

More Videos from TBS

CV or Resume: Which one to create for job application

CV or Resume: Which one to create for job application

3h | Videos
Wheat prices double in India

Wheat prices double in India

17h | Videos
Is Washington-Moscow agreement possible?

Is Washington-Moscow agreement possible?

17h | Videos
Pigeon exhibition for the first time in Gazipur

Pigeon exhibition for the first time in Gazipur

22h | Videos

Most Read

1
Tk100 for bike, Tk2,400 for bus to cross Padma Bridge
Bangladesh

Tk100 for bike, Tk2,400 for bus to cross Padma Bridge

2
A packet of US five-dollar bills is inspected at the Bureau of Engraving and Printing in Washington March 26, 2015. REUTERS/Gary Cameron
Banking

Dollar hits Tk100 mark in open market

3
The story of Bangladesh becoming a major bicycle exporter
Industry

The story of Bangladesh becoming a major bicycle exporter

4
PK Halder: How a scamster rose from humble beginnings to a Tk11,000cr empire
Crime

PK Halder: How a scamster rose from humble beginnings to a Tk11,000cr empire

5
BSEC launches probe against Abul Khayer Hero and allies
Stocks

BSEC launches probe against Abul Khayer Hero and allies

6
The reception is a volumetric box-shaped room that has two glass walls on both the front and back ends and the other two walls are adorned with interior plants, wood and aluminium screens. Photo: Noor-A-Alam
Habitat

The United House: Living and working inside nature

The Business Standard
Top
  • Home
  • Entertainment
  • Sports
  • About Us
  • Bangladesh
  • International
  • Privacy Policy
  • Comment Policy
  • Contact Us
  • Economy
  • Sitemap
  • RSS

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net

Copyright © 2022 THE BUSINESS STANDARD All rights reserved. Technical Partner: RSI Lab