Leather traders call for spl govt steps during Eid
Sunday, 7 December 2008
The leather industry has called for special government initiatives during the upcoming Eid to help the sector as it faces the fallout of the global economic crisis, reports bdnews24.com.
"Due to the global economic hardship, international buyers have become more reserved in their expenditure and a lot of orders of leather products have been cancelled," Rezaul Karim, president of the leading leather goods association, said Saturday.
"The leather sector is faced with bad times," Karim said at a press conference jointly organised by Bangladesh Finished Leather Goods and Footwear Exporters Association (BFLLFEA) and Bangladesh Tanners Association.
The country still has unsold leather products costing about Tk 5.0 billion (500 crore), Karim said.
"The market has fallen by 40 to 50 per cent and the price of good leather has fallen by 50 per cent," the BFLLFEA president added.
"If the government and the banks do not support the leather business at this time, the whole industry will face jeopardy," he warned.
The leather sector must have loans at low interest, cut in interest on previous loans, more time to pay back loans, and assurance of advance loans in view of Eid, the leather association chief said.
The two associations and leather businessmen fixed the rate of animal hide for this season prior to the press conference.
In Dhaka, the price of each square feet of animal hide has been fixed between Tk 25 and Tk 30 while the rate is between Tk 20 and Tk 25 outside the city.
"Due to the global economic hardship, international buyers have become more reserved in their expenditure and a lot of orders of leather products have been cancelled," Rezaul Karim, president of the leading leather goods association, said Saturday.
"The leather sector is faced with bad times," Karim said at a press conference jointly organised by Bangladesh Finished Leather Goods and Footwear Exporters Association (BFLLFEA) and Bangladesh Tanners Association.
The country still has unsold leather products costing about Tk 5.0 billion (500 crore), Karim said.
"The market has fallen by 40 to 50 per cent and the price of good leather has fallen by 50 per cent," the BFLLFEA president added.
"If the government and the banks do not support the leather business at this time, the whole industry will face jeopardy," he warned.
The leather sector must have loans at low interest, cut in interest on previous loans, more time to pay back loans, and assurance of advance loans in view of Eid, the leather association chief said.
The two associations and leather businessmen fixed the rate of animal hide for this season prior to the press conference.
In Dhaka, the price of each square feet of animal hide has been fixed between Tk 25 and Tk 30 while the rate is between Tk 20 and Tk 25 outside the city.