A frustrated rawhide trader sitting beside his unsold hides at a market in Rajshahi — FE Photo FE Desk Report
Rawhide price debacle this year has caused severe losses to the small traders as well as the leather industry. The price slump has also hit hard the country's madrasas and orphanages as most of these institutions collect a big amount of money from the donation of rawhides to bear the expenses of the students.
Besides donations, these institutions individually bought rawhides from their limited funds.
Due to unprecedented low price of the hides some madrasas and orphanages buried the donated hides as they did not get even the collection expenditure. In Sylhet, a madrasha authority dumped about 840 pieces of hides in utter frustration.
Our Rangpur Correspondent says: A good number of madrasas and orphanages in the district are facing severe fund crisis this year owing to unprecedented slump in price of rawhides of the sacrificial animals.
According to sources, almost all the Hafizia madrasas and orphanages under the district have to depend on the money earned from the sale of donated rawhides of sacrificial animals to meet 60 per cent to 70 per cent of their expenses.
But this year they are apprehending acute fund shortage due to sudden drop in raw hide price caused by market manipulation by a syndicate during Eid-ul-Azha.
It is learnt that this year the madrasa authorities of the region could not earn expected amount of money from the sale of rawhide which they got in donation from the people. As a result, they are worried about running their institutions.
Sources at different madrasas said last year they could earn a significant amount of money from the sale of sacrificial animal hides during Eid-ul-Azha but this year the scenario is quite different. This year due to unusual low price of animal hides their future has become uncertain.
Expressing his disappointment, Sirajul Islam, a teacher at Abu Horaira Hafizia Madrasah and Orphanage in Rangpur city said they had to sell some 100 pieces of cowhide for around Tk 300 to Tk 350 per piece against the usual price of Tk 1,200 to Tk 1,700 per piece.
He said in the previous years they used to get a large amount of money from the sales proceeds of of rawhide, which could meet almost 70 per cent of the madrasas' expenses. But this year they have earned a paltry amount of money from cowhide sale which is much frustrating, he added.
Talking to the FE correspondent a number Hafizia madrasah authorities expressed their resentment saying that generally, madrasah students and sometimes teachers, go around collecting the animal hides with much enthusiasm and earn money by selling those in markets because they know it gives poor children opportunity to study. But this year's abnormally low price of cowhide has disheartened them. Their future seems to be bleak now, they added.
Our Bogura Correspondent adds: Some 150 madrasas in the district are worried over the acute low market price of rawhide this year.
Some madrasa authorities said they make a good fund during Eid-ul-Azha from the sale of hides of sacrificial animals donated by the locals.
"We run our madrasas with the money we get from the sale of skins. The present situation is really frustrating", they added.
Muhtamim, principal of Aljamiatul Arabia Shamsul Ulum Nishindara Madrasah said, "We got some 300 cow hides and sold them at Tk 1,53,000 and 250 goat skins at Tk 2,500."
"We would be able to earn Tk 0.4 million from the skins if fair market price prevails", he added.
Trader Tozammel Hossain said Tk 200 to Tk 250 has to spend for processing a cow skin. "In the situation if we do not get minimum price of the item, it will be hard for us to survive", he added.
District rawhide association president urged the government for ensuring good market price of rawhide for the sake of small traders.
Our Rajshahi Correspondent states: "We purchased a bull for the sacrificial purpose at Tk 1,08,00 and seven of our co-sharers intended to donate the raw-hide to a local madrasah but even after waiting till evening on Eid day, no member from the madrasah came to us to collect it", informed Abdul Hannan of Dargapara area of the city.
He added, "The situation has turned to such worse that neither the mosque nor the madrasah or orphanage authorities were expressing their interest to receive hides of sacrificial animals as a donation. Even the beggars were not interested to take it."
Hide storehouse owners in Rajshahi said due to cash crunch they failed to purchase rawhide this year. Referring to tannery owners they said, the demand for hide in the international market was waning.
There is a huge unsold stock of hide of last year. Moreover, the price of hide was also very low- the lowest in 31years. As a result, local Aratdars owe a huge amount of outstanding money from the tanners in Dhaka.
Meanwhile, by getting not the minimum price, hundreds of pieces of rawhide were dumped under soil or just thrown away in the dustbin or on the roadside.
Due to such a disastrous situation, seasonal rawhide traders and mainly the madrasahs, orphanages and mosques were the worst hit.
According to sources, several hundred to several thousand pieces of rawhide are donated to local orphanages, madrasahs and mosques on the Eid-ul-Azha day every year. Cost of three to four months of running any orphanage, madrasahs or mosque is usually maintained from the price of donated rawhide there. This year, due to steep fall in the price of rawhide, the authorities will find it hard to maintain those institutions.
Maulana Abdur Rahman of Malipara Orphanage under Natore district informed, every year, hide traders used to pay in advance to purchase rawhides from the orphanage authorities. But, this year, they said, they won't be able to purchase rawhide this year. So, none of us went to procure rawhide. He also said, though a large amount of money was received as donation by selling collected rawhide every year which were spent to run the orphanage but this year they did not get any money so they were depending completely on the mercy of Allah to feed and manage the orphans of the orphanage.
Mufti Maulana Mohammad Shahadat Hossain, Principal of Dargapara Islamia Jamia Madrasah, said nearly three to four months' cost of the madrasahs of the country is usually maintained from the money received by selling rawhides. This year most of the madrasahs will get a scanty or no money from selling rawhide to the local wholesalers.
Requesting anonymity, authorities of a madrasah in the divisional town, said they had collected some pieces of rawhide after the Qurbani but due to a plummeted price, failed to sell those. Later on, by spending money from their pockets, they carried those rawhides to a local warehouse. The owner of the storehouse said he would pay the price of the hide later on.
Jamal Uddin, Principal of Jamia Usmania Madrasah of Kantakhali, Rajshahi said the madrasah have 950 students of which more than 800 are residential ones. 700 students of the madrasah are supplied free three-time food by the madrasah authority.
He said Tk 700,000 is spent every month to maintain the cost of madrasah including food and other costs. Last year (in 2018) Tk 300,000 was realised from selling donated rawhides.
He said this year the madrasah authority collected 611 cow and bull hides, one buffalo and 1567 goat and sheep hides.
By selling those rawhides, the madrasah earned Tk 207,945 this year which is Tk 100,000 less than that of the previous year.
In this connection, he said, last year a piece of cowhide was sold at Tk 800 but this year it was less than Tk 300.
He further said hide industry is such a prized industry that its demand will never be decreased. Due to shortage of fund and conspiracy from certain quarters, the rawhide sector of the country faced a debacle this year.
Thousands of rawhides were destroyed this year simply for not getting any customer offering fair price. Had the government issued loan to the local and seasonal hide traders to purchase rawhides, the right or 'Haq' of the common people or orphan would be ensured, he added.
Our Jhenidah Correspondent adds: On the first haat day after Eid, only several thousand pieces of rawhides were brought to Rajarhat Rawhide haat on Saturday, the first haat after Eid-ul-Azha, whereas sixty to seventy thousand pieces were brought here previously when rawhides were much in demand.
Alauddin Mukul, general secretary of the Greater Jashore District Rawhide Traders' Association, said, "The lowest number of rawhides has been brought to Rajarhat this year since time immemorial."
Alauddin Mukul also said, "Suddenly there was publicity in newspapers and TVs that rawhide would be exported overseas. So, most small rawhide traders across the South-Western region preserved the rawhides with salt at their own houses."
Traders at Rajarhat also held the inclement weather responsible behind the lowest number of rawhide arrival there on Saturday.
Md Mukul said if the Commerce Ministry could implement the decision taken on the rawhide, then it would be possible to save the industry.
This is how thousands of rawhide traders throughout the country would get their due money from the tannery owners in Dhaka. Small rawhide traders have gone bankrupt, he added.
On Tuesday haat, each cow rawhide was sold at Tk 300 to Tk 700 here at Rajarhat.
And a goat hide was sold at Tk 30 to Tk. 80.
When asked if Rajarhat traders got any money from Dhaka's tannery owners, they said they received nearly 20 per cent of their due money.
It is alleged that the owners of the tannery bought the rawhide this year without paying the money to the small businessmen.
Mohammed Shahjahan from Mathbaria in Pirojpur on Tuesday said, "I brought 500 pieces of cow rawhide to Rajarhat today. I had to sell them for Tk 350 per piece, on an average. I incurred a loss of Tk 30,000 selling them."
Our Magura Correspondent writes: Seasonal rawhide traders in the district are counting heavy loss this season.
The district livestock office sources said about 34,000 animals have been slaughtered in the district during this Eid.
But the number of collected rawhides at the warehouse of wholesalers in the district is below 15,000.
The government fixed up skin price of cow for outside of Dhaka is Tk 35 to Tk 40 per square foot while goat hide (male) Tk 18 to Tk 20 and goat hide (female) Tk 13 to Tk 15 per square foot.
But not a single wholesaler has purchased skin with government fixed price. Moreover many sellers and seasonal traders have thrown their skin to bush failing to sell those.
Mazedul Hoque a college teacher of Khanpara area in the district town, said, "I went to a local wholesale trader to sell my goat hide. He offered me Tk 20 only. I left the hide in a garbage bin."
Golam Kader, director of Al Amin Orphanage in Dohar Par area, said, "Every year, the orphanage earns around Tk 0.3 million from the sale of rawhide. But this season our earning from animal skins is Tk 60,000."
Golam Robbani, a hide trader in Nanduali area of Magura town, said, "I took Tk 20,000 loan from local NGO to purchase hide and invested the total money in it. But I have earned Tk 7,000 by selling the skins. Let alone profit, I am now thinking how to repay my loan."
© 2024 - All Rights with The Financial Express
