Speaking to journalists at the start of the FIMEC international leather and footwear exhibition in Novo Hamburgo, Brazil, Frank Paus, head of marketing and sales in the leather business unit of Lanxess, said REACH legislation would have a huge impact on the leather chemicals industry in the near future. Under REACH–which comes into force in June–chemical manufacturers will be obliged to register information on the safety of their products on a central database.

Mr Paus said that the cost of testing and registering products could cost the whole chemicals industry as much as €1.2 billion initially and, in such a competitive market, this is a cost that companies such as his will be unable to pass on to their customers. “The whole thing is a very tiring and painful exercise,” he added. “There is a real danger that chemical manufacturers will lose interest in supplying to Europe and, if they cannot pass on the high innovation costs, they will probably innovate less–in Europe at least.”