PTA predicts further decline in leather exports

24/05/2012

With Pakistani leather exports already having fallen 10% over the last year, the Pakistan Tanners Association (PTA) predicts a further 10% drop in 2012-3.

PTA South Zone chairman Khurshid Ahmed attributed the decline to water and energy shortages, rising manufacturing costs and competition from other leather-producing nations in Asia.

According to the PTA, hide and skin prices have increased because live animal exports to Iran and Afghanistan have led to a lack of basic raw materials.

Mr Ahmed claims water shortages have affected the quality of the leather produced in Pakistan, resulting in fewer exports to China, Korea, Italy, Germany and Spain.

He warns that if conditions do not improve, leather producers will be forced to move their units to other countries.

This should be taken seriously by the government, he suggests, because apart from contributing significant revenues, the country’s leather sector is one of its major employers.