CLOSURE OF TANNERIES IN CTG
Leather traders limping along
Industry insiders urge the govt to set up a dedicated tannery estate
NAZIMUDDIN SHYAMOL | Tuesday, 2 June 2026
CHATTOGRAM, June 01: The tannery industry in the port city is steadily declining, as most tanneries have shut down due to a lack of government support and obstacles created by various agencies, including the Department of Environment (DoE).
There were around 30 tanneries in Chattogram before the country's independence, while the government nationalised the tanneries following independence. Subsequently, these enterprises were sold to the private sector.
Highlighting Chattogram's long-standing leather business heritage, President of the Greater Chattogram Raw Leather Traders Cooperative Association Md. Muslim Uddin said, "Most of the businessmen here have inherited the trade from their ancestors. They have been doing business since the Pakistan period. Even after independence, there were 22 tanneries in Chattogram, but the leather industry is suffering from a deep crisis today due to financial constraints, environmental problems and the wrong policies of the previous government."
Karnaphuli Tannery, Rowshan Tannery, Chattogram Tannery, Orient Tannery, Meghna Tannery, Jaman Rahman Tannery, Jubilee Tannery, Madina Tannery, Metropolitan Later Industry, and Reef Leather Limited were among the 22 tanneries. Even a decade ago, these factories were producing leather goods, but of them only two are now in operation while the remaining have already closed.
Reef Leather Limited, established in 1991, was the last major investment in the tannery sector in Chattogram. Since then, no new tannery has been set up.
Most of the tanneries were developed in the Antura Depot and Jalalabad areas in Chattogram while only Reef Leather Limited is located in Kalurghat Industrial Area.
Director of Reef Leather Industry Limited Muklesur Rahman said, "The leather and tannery sector is very important for Bangladesh as there is abundant rawhide. During Eid-ul-Azha alone, Chattogram supplies more than 700,000 pieces of rawhide every year. But unfortunately, most tanneries in Chattogram have shut down due to owners' negligence and a lack of investment."
If a dedicated tannery zone is established in Chattogram, the sector will be profitable, he said, adding that with modern technology and facilities, and given the availability of raw hides, the industry has significant potential for expansion in the port city. He urged the government to set up a special zone for tanneries in Chattogram like in Dhaka.
The government is, however, going to set up a special zone for tanneries on 300 acres of land in Mirerswari Economic Zone (MEZ). Bangladesh Small Industries Corporation (BSIC) sources said the government will set up three special zones for tanneries-one in Savar, one in MEZ and the other in Rajshahi.
Newly-elected President of Chattogram Chamber of Commerce and Industry Amirul Haque said of the total demand for rawhide, Chattogram supplies 40 to 50 per cent. If a special zone for tanneries is set up, the sector will be profitable, he added.
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