Ikea names Pakistani leather supplier
Scandinavian home furnishing company Ikea has named Royal Leather Limited as its supplier of finished leather from Pakistan.
Ikea has more than 131,000 workers in 41 countries, generating annual sales of over EUR 24.7 billion.
Agha
Saiddain, Royal Leather’s marketing director, said it had been
granted supplier status for its environmental standards.
The leather industry in Pakistan is facing severe hardships because of power shortages and shortages of raw materials, he said. He added that 800 tanneries in the country are functioning at 70% capacity and urged the government to take steps to save the industry.
Recently published
figures show that, in spite of a 4.7% decline in export
earnings in the 2011-2012 financial year compared to the previous
July-June period, the country’s leather exports sector is still a $1
billion industry.
Over the year, Pakistan exported 24.6 million square metres of finished leather, valued at $445.3 million, declines of 14.3% and 4.2% respectively.
