Chennai Leather Market - February 2018

CHENNAI LEATHER MARKET

V M Khaleelur Rahman

Chennai leather market is almost normal in tanned goat skins. Exporters of footwear are showing interest mostly for 4/6 sq. ft. Fifths and Inferior Fifths at around Rs.75 and 65 per sq. ft. respectively. Demand for Run selection is meagre at around Rs.90 per sq. ft. Suede, Lining, Rejection and Langda selections are also slow in movements. Prices available for them in 4/6 sq. ft. size are at around Rs.40, 33, 12 and 9 per sq. ft. respectively. Tanners are not able to make money. They complain the present market is not workable at all. It has to be noted that they have to pay Rs.15 per sq. ft. as tanning expenses for converting raw skins to tanned skins. They suffer heavy losses in selling their Rejection and Langda.

As far as raw goat skins are concerned, prevailing prices are between Rs.50 and 200/- per piece depending on area, quality, size and selection.

Tanners are quoting as follows:

E.I. Tannd Goat Skins:

3/5 sq. ft. Run Rs.95, Fifths Rs.80, Inf. Fifths Rs.70 and LIF Rs.60

4/6 sq. ft. Run Rs.90, Fifths Rs.75, Inf. Fifths Rs.65 and LIF Rs.55

4/6 sq. ft. Suede Rs.40 and Stout Suede Rs.44

4/6 sq. ft. Lining Rs.35 and 5/7 Lining Rs.38

Rejection Rs.13 and Langda Rs.10

All prices are per sq. ft.

Export Business

It is learnt that some big exporters are able to sell their upper and lining leathers at around US $ 2.25 and 1.75 per sq. ft. respectively but small exporters find it difficult to market their goods in the world market due to limited demand and heavy competition by foreign exporters. However Indian exporters are endeavouring their best to market their products which are world class in quality. Japanese customers have started showing interest for goat, sheep and cow leathers. Many Chennai based exporters have made offers to them. Market is expected to pick up slowly. It is hoped that the Rs.2600 crore package announced by the government for the leather and footwear sector will benefit the leather industry which is in a bad shape now.

Offers of exporters are at around the following prices:

                                      S/C OR F/C GOAT LEATHERS

Material	Size/sq. ft.	Substance	Selection	Price US$ per sq. ft. C&F
Goat upper leather	4/7	0.6/0.8 mm	ABC/DE	2.40/1.85
Goat milled leather	4/7	0.6/0.8 mm	TR-1	1.75
Goat suede leather	4/7 5/8	0.6/0.8 mm 0.6/0.8 mm	All Suede	2.10 2.20
Goat lining leather	4/7	0.5/0.7 mm	TR-1	1.75
	6/9	0.6/0.8 mm	TR-1	1.85

                                                       

                                   F/C SHEEP LEATHERS

Material	Size/sq.ft.	Substance	Selection	Price US$ per sq. ft. C&F
Sheep Cabretta leather	4/7	0.6/0.8 mm	ABC	2.10
Sheep Cabretta leather	6/9	0.8/1.00 mm	ABC	2.25
Sheep lining leather	4/7 5/9	0.5/0.7 mm 0.6/0.8 mm	TR-1 TR-1	1.70 1.80

4/6 sq. ft. All Suede JY 200, LIF Suede JY 170 and Rejection Suede JY 115

6/9 sq. ft. All Suede JY 210, LIF Suede JY 180 and Rejection Suede JY 125

IILF 2018 at Chennai

The leather industry is eagerly looking forward to the 33rd edition of India International Leather Fair to be held from 1^st to 3^rd February 2018 at Chennai Trade Centre, Nandambakkam, Chennai. As usual many leading national and international companies, producing leather, leather products, chemicals, machinery etc., are participating in it exhibiting their latest products. It will have on display the entire range of products from raw materials to finished products. No doubt it will provide necessary guidelines to the leather industry to march forward by increasing production and export.

(Writer’s e-mail id: vmk1234@yahoo.com)