Demand for ‘green’ leather puts pressure on in Brazil
12/03/2008
The leather industry in Brazil has said reductions in herd sizes as packers renew their stock are putting pressure on their supply chain.
Demand for ‘green’ leather from Brazil is in high demand, industry representatives have said, and lower hide numbers are now pushing prices up.
The president of the Union of Tanning Industries of Matto Grosso (Sincurt), Marcelo Paes de Barros, has complained that tanneries are being pressed on both sides by high cost of raw materials and by falling prices for leather in the export market.
The president of Brazilian Centre for Tanning Industries (CICB), Luiz Augusto Siqueira Bittencourt, commented: “The way out of this would be to reduce the taxes we have to pay to import hides. If raw material is in short supply in Brazil, we should be able to supplement it by importing hides.”