Chennai Leather Market - December 2018

CHENNAI LEATHER MARKET

V M Khaleelur Rahman

There seems to be no change for the better in Chennai leather market. Even the purchases of big exporters of leather and leather products are not regular. Rains also affected the market. A few tanners who are doing E.I. tanned goat skins despite difficulties have reduced their productions as business is not workable. As regards tanned sheep skins no tanner seems to be interested in it as demand is very negligible both at home and abroad. However F/C sheep skins are produced to some extent and sold in the market.

The prices paid for higher grades of tanned goat skins are erratic. However tanners are quoting Rs.95 and 85 for 3/5 and 4/6 sq. ft. Run/V/IF combined. Business concluded seem to be limited. While Suede and Lining in 4/6 sq. ft. are sold at around Rs.38 and 35 per sq. ft. respectively, Rejection and Langda are not easily sold. Huge stocks are available in the market.

Wet blue goat and sheep skins, buffalo and cow hides are also slow in movements.

Export Business

It is learnt that big exporters are able to do some contracts in S/C and F/C goat upper and lining leathers at different prices depending on quality and selection. The usual 3/5 or 4/6 sq. ft. upper and lining leathers are sold at around US $ 2.20 and 1.75 per sq. ft. respectively. Pakistan and Bangladesh are the big competitors in the international market.

There is no report of any fresh business with Japan. An exporter said that he has to execute a contract entered into with his Japanese customer and he is working on it.

Exporters say that slow tendency continues in local as well as export business. Marketing has become a big task.

As far as shoe industry is concerned, big shoe manufacturers are able to fetch contracts with their best efforts and sacrifice in prices. Some big shoe factories in places like Ambur are doing well and employees are satisfied. But this is not the case with many other units which are struggling for contracts.

Quotations of tanners:

E. I. Tanned Goat Skins

Grain Selection:

3/5 or 4/6 sq. ft. A/B/C Rs.95, D/E/F Rs.70

Suede Selection:

4/6 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 180, LIF Suede JY 150 and Rejection Suede JY 100

6/9 sq. ft. All Suede JY 190, LIF Suede JY 160 and Rejection Suede JY 110

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	3/5 or 4/6	0.6/0.8 mm	ABC	2.35
Goat milled leather	4/7	0.6/0.8 mm	TR-1	1.75
Goat suede leather	4/6	0.6/0.8 mm	All Suede	1.85
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	1.75 1.85

           

           

(Writer’s email id: vmk1234@yahoo.com)