Argentina: tanners under pressure to drop leather price
06/03/2015
Reports say Mr Costa wants “tanners to explain why they haven’t lowered the price they are charging their customers for finished leather”. He said tanners had not been slow in the recent past to ask the government to intervene when they felt the price of hides had gone too high.
Official government sources have said the price of hides in Argentina has fallen by 30% since November 2014 and the new ombudsman unit wants tanners to pass on some of the saving to footwear and leathergoods manufacturers.
In recent comments, Daniel Donikián, president of leathergoods manufacturers’ association CIMA, said the high price of leather had forced some of his member companies to consider using synthetic materials instead. He said: “This situation is forcing many producers to abandon what is a traditional Argentinean industry, renowned throughout the world, to start using synthetic materials instead of leather to make their products for the simple reason that products made from leather are becoming very expensive for consumers.”