New Zealand tannery to stop manufacturing finished deer leather for export
12/07/2019
The company manufactures this material at its tannery in Washdyke, on New Zealand’s South Island. It is sent to a number of luxury brands, many of which are in Europe.
"We have arrived at a point where, for reasons beyond our control, the production and export of our luxury product is no longer a viable option," chairman Gary Monk said in a statement.
He said the supply of fine New Zealand deer skins has become “increasingly constrained” and that the company is also suffering as a result of the ongoing trade dispute between the US and China, which he said has put the global deer skin market “in turmoil”.
Explaining this comment, NZLL said the trade dispute has resulted in Chinese tanners cancelling orders for US deer skins. As a result, it said these skins have found their way to Europe and are distorting the market there, preventing the company from making “sustainable returns” on its material.
NZLL now plans to focus operations at its Washdyke facility on cattle hide and deer skin processing for local suppliers.