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Friday, 2 May 2014

CHENNAI LEATHER MARKET - MAY 2014

Posted on 08:50 by vikash gupta


CHENNAI LEATHER MARKET

V.M. Khaleelur Rahman 

Arrivals of tanned goat skins continue to be limited in the Chennai leather market. Exporters of leather and leather goods prefer big skins in upper, lining and also suede selections.  There is good demand particularly for lining selections. Prices are at around the following indications:

TR1/2/3 lining combined in 5/8 sq. ft. Rs.50, separate TR1 lining in the same size Rs.52,  5/8 sq. ft. All Suede Rs. 52, ABC suede Rs.55, 4/6 sq. ft.  All Suede Rs.49 and ABC suede Rs.51 per sq. ft., Run 4/7 sq. ft. Rs.80, 5/7 sq. ft. Rs.85, R/V/IF 5/7 Rs.70 per sq. ft. Exporters find it difficult to obtain good quality Run selection.

Rejection and Langda are sold at around Rs.32 and 20 per sq. ft. respectively. 

RAW SKINS

Normal raw goat skins are sold between Rs.180 and 200 per piece in most of the national raw centres but better selections fetch higher prices. Raw sheep skins are sold at around Rs.300 per piece.  There is good demand for both goat and sheep skins as tanners and exporters continue to operate in the market. There is abnormal increase in the prices of kip and calf skins. Good quality hides are sold at around Rs.1300 per piece. 

FOREIGN TRENDS

It is learnt that some business has taken place for Japan at around the following prices:

F/C sheep leather

5.5 sq. ft. All Suede JY 250, LDT JY 200 and Rejection JY 160 per sq. ft. C&F by sea 

F/C goat leather

5.5 sq. ft. All Suede JY 235 per sq. ft. C&F by sea.

Due to some import problems some big Hong Kong customers are facing, Indian leather exporters are not able to get big orders. However there are reports of some business taking place. Exporters are quoting at around the following prices at present. 

                                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 4/7
0.6/0.8 mm
ABC - 40/40/20%
3.00
Goat milled leather
4/7
0.6/0.8 mm
E/D -50/50%
2.00
Goat suede leather
4/7
0.6/0.8 mm
ABC Suede
All Suede
2.75
2.50
Goat lining leather

4/7
0.5/0.7 mm
TR-1
1.65
6/9
0.6/0.8 mm
TR-1
1.75
                                            
                                                          F/C SHEEP LEATHERS
Material
Size/sq.ft.
Substance
Selection
Price US$ per sq. ft. C&F
Sheep Nappa leather for garments
5/8
0.6/0.8 mm
ABC
3.25
Sheep Upper leather for shoes
4/7
0.6/0.8 mm
ABC
3.00
Sheep lining leather
4/7
0.5/0.7 mm
TR-1
1.90
Sheep lining leather
5/8
0.6/0.8 mm
TR-1
 2.00

Many small leather exporters are out of business due to strict inspection of leathers by the customs authorities as per norms for identification of finished leathers. Tanners say that for every shipment they have to produce a certificate from the CLRI to the effect that their leathers are in accordance with the prescribed norms. 

An exporter pointed out that “if the government does not amend the existing norms for identification of finished leather, it will not be possible for the struggling small tanners and exporters to continue in business. They feel that their years long demand for the same has fallen on deaf ears”. 

SHOES AND SHOE UPPERS

As far as leather products like shoes and shoe uppers are concerned, there is good demand for them. The customers in the U.S, the U.K, Italy etc. continue to place their orders with different suppliers here. It is this sector which is providing a very good employment opportunities to thousands of men and women in Tamil Nadu and elsewhere. 

(VMK in Indian Leather, May 2014)
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