Eid rawhide market faces price crash

FE REPORT | Published: June 01, 2026 00:15:17

Prices of sacrificial animal hides fell below the government-fixed rates this year, causing heavy losses to seasonal traders and small-scale intermediaries, insiders said on Sunday.
According to them, rawhide prices plunged due to tanners' liquidity crisis, rising preservation costs for salt and labour, and rising reliance on low-priced Chinese leather.
Visits to some areas including Mohammadpur, Tejgaon, Science Lab, Kamalapur and Posta (Lalbag) revealed that stakeholders blamed each other for the lower prices.
Although the government raised the price of salt-treated cowhides by Tk 2.0 per square foot (sqft) this year, market operators said the actual trading prices failed to reflect the official rates.
According to government-set rates, a small salted hide (16-20 sqft) should fetch Tk 990-1,200, a medium-sized cowhide (21-30 sqft) Tk 1,300-1,850, and a large cowhide (31-40 sqft) Tk 1,900-2,600.
In several parts of Dhaka city and its adjoining areas, hides were sold at Tk 150 to Tk 200 less than the last year's price.
Cowhide was offered at Tk 450-1000 a piece based on size by wholesalers and tanners' representatives, said seasonal traders.
Meanwhile, goat hide became a burden for many people who sacrificed animals as no one wanted to buy or carry it.
Subrata Roy, a manager at the Posta wholesale rawhide trading hub, said they collected 2,700 rawhides out of their targeted 4,000 pieces this year.
"Tanners are now procuring rawhide directly from seasonal traders," he said.
Many seasonal traders, who collect hides from households during Eid, complained that they lacked the technical expertise to assess hides based on square footage and were forced to accept whatever prices buyers offered.
"We purchased three hides for Tk 1,600, expecting to make a small profit. But buyers offered only Tk 900 for the same," said Abdul Mannan, a seasonal trader who went to Posta from the city's Tejgaon area.
"There is no bargaining power for small traders like us," he said.
Tanners and wholesalers attributed the market slump primarily to a severe liquidity shortage among 'aratdars' and tannery owners.
Several wholesalers told the FE that many tanneries were yet to settle the previous years' outstanding dues, which badly affected their ability to purchase hides at competitive prices.
"Some traders are owed several crores of taka. Without receiving those funds, it is impossible for us to offer better prices this year," he added
According to traders, preservation costs have also risen sharply. Salt, chemicals and labour cost between Tk 150 and Tk 200 per hide, up by Tk 50 from the previous year.
On the other hand, Small cowhides were selling at Tk 200-300 a piece while that of medium-sized fetched Tk 300-500 and larger ones ranged between Tk 500 and Tk 800. Buyers said they were highly cautious due to rising costs and uncertainty over final demand from tanneries.
"If the quality of hides is not satisfactory, buying those at government-fixed rates becomes risky," said one trader involved in bulk procurement. "The market simply does not support such rates at the moment."
Representatives of several 'madrasas', which traditionally collect sacrificial hides to support educational and welfare activities, also expressed disappointment over this year's low returns.
"The income from collection and sales of hides has dropped significantly," said Saidur Rahman, a madrasa teacher at the city's Aftabnagar area.
"Many institutions spent time and deployed manpower for collecting hides, but the proceeds were far below the expectations. Some are questioning whether the effort is worthwhile."
However, students from various madrasas were seen collecting hides of sacrificial animals after Eid-ul-Azha.
Temporary bamboo sheds were set up in front of different mosques and madrasas to store hides collected from households.