Despair at Hazaribagh over rawhide ban

Tanners and employees of different leather units at Hazaribagh in the capital expressed Saturday worries over restrictions imposed on entry of rawhide into the area.
They fear that the leather sector will incur huge financial losses if restrictions imposed by the government linger on.
There was no supply of rawhide at Hazaribagh tanneries on the day, they said, adding that every day nearly 7,000 pieces of rawhide enter Hazaribagh.
But the ban on entry of rawhide into the area deprived them of trading transaction between Tk 140 million and Tk 150 million on Saturday, according to tanners.  
If restrictions on supply of rawhide go on for a long time, the leather sector might face a dearth of raw materials, they said, adding that ultimately it will put a negative impact on the sector.  The tanners said it will take them one more year to fully relocate their units to Savar Leather Industrial Park from Hazaribagh.  
"We are ready to relocate our tannery units. But we need some time for shifting of heavy machinery," Treasurer of Bangladesh Tanners Association (BTA) Mizanur Rahman told the FE.
He said two out of four modules of Central Effluent Treatment Plant (CETP) at Savar are yet to be completed.
Besides, work on the drainage system at Savar Industrial Park for releasing waste into CETP is yet to be completed apart from power and gas connection lines.
Mr Rahman said, "It takes one month to preserve salt-mixed rawhide. Then it needs further process. So, if the ban on entry of rawhide goes on for an indefinite period, rawhide might be smuggled out of the country."
He added: "In such a situation, it will be difficult for the tanners to operate their factories at Savar."  
Asked whether they would request the government for giving some more time for entry of rawhide into Hazaribagh he said, "We are trying to meet with the government high-ups soon and seek some more time."    
He said out of allocated 155 plots to the tanners, nearly 50 units could go for full operation by July.  
While talking to the tanners, they said restriction imposed by the government has been continuing since April 1, 2016. Tanners started preserving rawhide temporarily at Posta instead of Hazaribagh, they added.
Tanners have been passing their days with great anxiety following the directives issued by the High Court for relocation of tannery units along with the government ultimatum and pressure from foreign buyers for timely shipment of leather goods, they said.
They further said they would shift their units to Savar. But the way the government is pressing them would put a negative impact on the sector.  
Mr Rahman said the traders who purchased rawhide should be allowed to enter Hazaribagh for a brief period. Otherwise traders in rural areas who collect rawhide will suffer financial losses, he mentioned.  
Meanwhile, members of law enforcement agencies were seen patrolling the tannery area on Saturday in order to resist entry of rawhide.  
Police have been deployed at Jigatala intersection, Azimpur intersection and two others points to halt entry of rawhide, an official of Hazaribagh Police Station told the FE.
As per the directives of the higher court, the government has taken the move to relocate tannery units from Hazaribgah to Savar.
The government has built the leather industrial park at Savar at a cost of over Tk 10.78 billion. It has also allocated Tk 2.50 billion to the tanners for relocating their units.
The buyers of European Union (EU) are also putting pressure for relocation of environment-friendly tanneries at Savar.  
Bangladesh exported leather and leather goods and footwear worth US$ 1130.51 million in the fiscal year (FY) 2014-15. From July 2015 to January 2016, the volume of export was $ 663.02 million against the target of 707.47 million, according to BTA.
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