Leather Pipeline: Brands forecast 20% drops in 2016
A number of high street brands have advised their suppliers to plan for about 20% less business this year, according to the author of our exclusive Leather Pipeline report.
Business remains quiet with many leather producers in Asia taking a break for the Chinese New Year holiday, but all over the globe tanners are becoming frustrated with the lack of clarity surrounding demand and are operating hand to mouth.
Some tanners in Europe say they are using all their efforts to prepare samples, and they are not resulting in solid orders.
The author warns that we are in a fragile situation in the raw material market - it will take very little to push it either way - and it is only the lower kills in Australia and parts of Europe have prevented excessive inventories of cattle hides.
Leatherbiz subscribers can read the report in full, as well as perspectives from the US and Germany, on the Market Info page.
