What happened this week: Well, basically one can copy last weeks report into this one. The kill remains very low.  European tanners are finally preparing for their holidays and only some limited interest to fill the production after the holidays has been noticed. As expected continental European business will almost slowdown to zero.  Consequently was the in focus of interest in the demand from the overseas destinations. Interest continued to be good for dairy cows. Some irregular destinations such as the Middle East showed interest in steers and even bought the odd load. The demand for dairy cows couldn’t be satisfied due to the low slaughter and also as a consequence of the steady and regular business over the past weeks if not to say months. However, the situation remains a bit misty as there are still rumours on the market (Italy) of cheap cow offers being around. Apart from isolated loads where sellers insist on shipment

of fresh hides or any other undisclosed reason we fail to believe, that there are many ‘‘normal’ hides really available.  Also export traders are still trying to graze around in the attempt to find coverage of forward sales. Selling prices were just steady or fractionally higher, but the weaker USD absorbed or reduced € values again. However, we continue to sense further underlying interest for hides in general on the present levels. Watching the  market for steers and heifers we have to consider, that actual levels in continental Europe are attractive for many non regular buyers. Checking some of the present levels in other markets one has to assume, that not many other hides of similar quality are available at lower or similar prices. In addition one has to realize, that the low kill in nit just a German problem, but also many other countries in the East or West face the same or a similar situation. So, leather business might not be better, nor leather prices higher, but the very low availability of hides is slowly but surely starting show its effects and many tanners are in the situation

to decide if they want to gamble on better kills in September or to cover at least the minimum to be caught if the higher seasonal kills will arrive late or too late or the demand might be sooner than expected. In general one can sense at least more underlying optimism about the future, than any time before this year. The kill: Still falling and getting less from week to week. With now the remaining parts of the country going on holiday we are getting more worried by the day at present. The problem is, that there is nothing what could bolster any hope for better volumes until the end of August, at least. What do we expect? We remain of the opinion, that the market remains in a steady to firmer tone with very limited trading volume. Little to nothing to sell and only overseas markets being open at present does not permit any expectations for any significant buying and selling activity. So, the markets will just be driven by coincidence or by developments from overseas (USA, Asia and others), or by the currency market. The fundamental tone is however, pretty solid at the moment.