A senior official of the Chinese leathermakers association has urged the industry move away from low cost exports.

Commenting on the latest statistics from the China Leather Industry Association (CLIA), released last week, Su Chaoying, general secretary of the association said that although the recorded increases were welcome, it was imperative that the industry concentrated on higher-value exports.

“China's leathermakers should readjust their trade strategies to achieve sustainable development, despite rapid trade growth," Su said. “One of the features of China's leather trade is the export of large quantities at low prices.  It is not a normal phenomenon and one that can arouse anti-dumping or other protective measures from foreign countries.” In this context, he cited the European Union's likely decision to limit Chinese footwear imports.

Mr Chaoyang also highlighted the dangers presented by the industry’s continuing focus on Europe, North America and Japan. "If these three markets limit their leather imports from China, or market demand shrinks, China's leather industry will be hit hard." He said that with this in mind, the industry should take a closer look at markets such as Africa, the Middle East and South America.

According to the  figures, for January-May ’04, leather product exports were up 9.8% on the year before to US$6.51 billion, with a 198% surge being seen in fur garment exports, to $132 million. Finished leather exports climbed 17% to $530 million, while leather garment exports totalled $660 million (+4.6%) and leather footwear exports $2.24 billion (+10.6%). Leather product imports totalled $2 billion, an 18.3% increase on the year-previous.

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