Fw: Chennai Leather Market - October 2018

CHENNAI LEATHER MARKET

V M Khaleelur Rahman

Much activity was not seen in the Chennai leather market during the month of September 2018 as exporters of leather and leather products were slow in their purchases of tanned goat skins due to limited orders at hand and summer holidays abroad. However there are reports of some patchy business in higher grades of tanned goat skins at almost unchanged prices. There is no demand for lower selections.

Raw hides and skins are also very slow in movements as quite a large number of tanners have either considerably reduced or stopped their productions. Only some big tanners show interest only for some selected high quality raw goat skins and even their purchases are limited as they find it difficult to sell their finished products at home as well as abroad.

Quotations of tanners are as follow:

E. I. Tanned Goat Skins

Grain Selection:

4/6 sq. ft. Run Rs.85, Fifths R.70, Inf. Fifths Rs.60 and LIF Rs.50

Suede Selection:

4/7 sq. ft. Rs.40

Lining Selection:

4/6 sq. ft. 35 and 5/8 Rs.40

All prices are per sq. ft.

Quotations of Exporters

F/C sheep leather

4/6 sq. ft. All Suede JY 185, LIF Suede JY 155 and Rejection Suede JY 105

6/9 sq. ft. All Suede JY 195, LIF Suede JY 165 and Rejection Suede JY 115

All per sq. ft. C&F by sea.

                            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	2.30
Goat milled leather	4/7	0.6/0.8 mm	TR-1	1.70
Goat suede leather	4/6	0.6/0.8 mm	All Suede	1.80
Goat lining leather	4/7	0.5/0.7 mm	TR-1/2/3	1.60/1.50/1.40
	6/9	0.6/0.8 mm	TR-1/2/3	1.70/1.60/1.50

                        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	2.00
Sheep Cabretta leather	6/9	0.8/1.00 mm	ABC	2.10
Sheep lining leather	4/7 5/8	0.5/0.7 mm 0.6/0.8 mm	TR-1 TR-1	1.70 1.80

 

                       
 Closure Order for Kanpur Tanneries

In Kanpur shock prevails among tanners as the UP administration has passed an order asking them to keep their tanneries closed from 15th December 2018 to 15th March 2019 to prevent pollution in the river Ganga at Allahabad, about 200 kms downstream from Kanpur, during Kumbh mela when lakhs of pilgrims will take holy dip in the river.

It is reported that more than 350 tanneries situated in and around Kanpur will be affected very much suffering a loss of about Rs.2000 crore and recovery will be almost impossible.

According to Mr. Taj Alam, President, Uttar Pradesh Leather Industry Association, during previous festivals tanners had been asked to "interrupt wet-end processing for a short time around particular important dates". But this time the order is drastic and the closure is for as long as three months. He has further said that this would "threaten jobs and export revenues to a great extent". It is also feared that employees would shift to other states and overseas customers will cover their requirements from other countries like Pakistan, Bangladesh and China.

It remains to be seen how the UP government is going to tackle this issue in a way acceptable to all concerned.

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