Skin trading dull with extremely lower market prices in N-dists
Tuesday, 1 December 2009
The skin traders of the northern districts are unhappy as business is dull and have blamed the extremely low fixed purchasing prices for hides and skins of sacrificial animals by the big traders in the city this year, reports BSS.
Many seasonal skin traders have been incurring losses as they have no alternative but to sell their purchased skins at the fixed lower prices, below Tk 30 per square foot, to the traders in the region.
The small-scale seasonal skin traders, who did not maintain liaison with the big buyers at the arats, are the worst victims as they had no clear idea about the latest skin prices fixed in the capital by the exporters and big merchants.
According to skin market sources in Rangpur, Dinajpur, Naogaon, Joypurhat, Bogra, Gaibandha and other areas, there are adequate supplies of hides and skins as the people sacrificed more animals due to comparatively reasonable prices of animals.
The buying prices of hides and skins were reduced by the larger merchants in the capital by up to 50 per cent now than a couple of weeks ago forcing the local skin traders to purchase hides and skins at abnormally lower rates from the smaller and seasonal skin traders.
The skin traders alleged that despite various government efforts, there might be some 'unfair' skin traders in the city who have created the situation by reducing skin prices abnormally despite positive signals from international markets.
"We are now hopeless and do not know whether the market situation will improve or not as demand of the commodity in the global markets will definitely increase following worldwide recovery from economic recessions in recent months," they said.
The 'organised syndicates of smugglers' might take advantage of the prevailing situation to smuggle out the commodity through the porous northwestern borders unless the law enforcers take special steps to prevent it, sources said.
Larger skin traders Mohammad Zahid of Panchbibi in Joypurhat, Alauddin Pramanik and Abul Kalam Azad of Naogaon, Abdul Latif Khan and Abul Khayer of Rangpur said that millions of taka of the past is still lying with the merchants and tanneries in the capital.
Skin traders Abdus Sobhan and Shamsuddin Ahmed of Dinajpur, Abul Hossain and Hafiz Uddin of Panchagarh, Abdul Khaleque of Syedpur in Nilphamari and Solaiman Ali of Polashbari in Gaibandha told the news agency that they could not predict the market situation.
"I have purchased only a few animal skins fearing losses and already sold those to the larger traders without keeping any profit margin because of the abnormal market situation," seasonal skin trader Majnu Sonar of village Mathurapur in Badalgachi Upazila of Naogaon said.
Market sources said that the small and seasonal skin traders might have purchased over 1.6 million (16 lakh) pieces of sacrificial animal skins this time and have been supplying those to the urban 'arats' and 'godowns' in the region.
The number of procured skins is higher than that of the previous year, which is now being processed by the large traders before sending those to the tanneries and traders in the capital from the region.
The big skin traders in the 'arats' have been purchasing skins of cows from the small and seasonal traders at rates between Tk 300 and Tk 800 and only a few number of extra large skins is being purchased at Tk 1,000.
Some of the rural seasonal traders, who were not in course with the latest market situation and fixed prices, purchased cow skins from the common people at rates up to Tk 1,000 and are now, are incurring losses.
Similarly, this section of seasonal skin traders, though their number is few, are forced to sell the goat skins at rates between Tk 40 and Tk 60 to the large traders after purchasing the same at rates between Tk 35 and 70 from the people on an average.
However, the seasonal skin traders in the urban areas are not incurring losses as they had regular contacts with the large traders and 'arats' and they had purchased skins as per the corresponding fixed lower prices, market sources said.
Leaders of the Skin Traders' Cooperative Society of several northern districts said that the number of sacrificed animals was higher this year causing better supply, but the prices of skins are very low due to various reasons causing a very dull business.
Many seasonal skin traders have been incurring losses as they have no alternative but to sell their purchased skins at the fixed lower prices, below Tk 30 per square foot, to the traders in the region.
The small-scale seasonal skin traders, who did not maintain liaison with the big buyers at the arats, are the worst victims as they had no clear idea about the latest skin prices fixed in the capital by the exporters and big merchants.
According to skin market sources in Rangpur, Dinajpur, Naogaon, Joypurhat, Bogra, Gaibandha and other areas, there are adequate supplies of hides and skins as the people sacrificed more animals due to comparatively reasonable prices of animals.
The buying prices of hides and skins were reduced by the larger merchants in the capital by up to 50 per cent now than a couple of weeks ago forcing the local skin traders to purchase hides and skins at abnormally lower rates from the smaller and seasonal skin traders.
The skin traders alleged that despite various government efforts, there might be some 'unfair' skin traders in the city who have created the situation by reducing skin prices abnormally despite positive signals from international markets.
"We are now hopeless and do not know whether the market situation will improve or not as demand of the commodity in the global markets will definitely increase following worldwide recovery from economic recessions in recent months," they said.
The 'organised syndicates of smugglers' might take advantage of the prevailing situation to smuggle out the commodity through the porous northwestern borders unless the law enforcers take special steps to prevent it, sources said.
Larger skin traders Mohammad Zahid of Panchbibi in Joypurhat, Alauddin Pramanik and Abul Kalam Azad of Naogaon, Abdul Latif Khan and Abul Khayer of Rangpur said that millions of taka of the past is still lying with the merchants and tanneries in the capital.
Skin traders Abdus Sobhan and Shamsuddin Ahmed of Dinajpur, Abul Hossain and Hafiz Uddin of Panchagarh, Abdul Khaleque of Syedpur in Nilphamari and Solaiman Ali of Polashbari in Gaibandha told the news agency that they could not predict the market situation.
"I have purchased only a few animal skins fearing losses and already sold those to the larger traders without keeping any profit margin because of the abnormal market situation," seasonal skin trader Majnu Sonar of village Mathurapur in Badalgachi Upazila of Naogaon said.
Market sources said that the small and seasonal skin traders might have purchased over 1.6 million (16 lakh) pieces of sacrificial animal skins this time and have been supplying those to the urban 'arats' and 'godowns' in the region.
The number of procured skins is higher than that of the previous year, which is now being processed by the large traders before sending those to the tanneries and traders in the capital from the region.
The big skin traders in the 'arats' have been purchasing skins of cows from the small and seasonal traders at rates between Tk 300 and Tk 800 and only a few number of extra large skins is being purchased at Tk 1,000.
Some of the rural seasonal traders, who were not in course with the latest market situation and fixed prices, purchased cow skins from the common people at rates up to Tk 1,000 and are now, are incurring losses.
Similarly, this section of seasonal skin traders, though their number is few, are forced to sell the goat skins at rates between Tk 40 and Tk 60 to the large traders after purchasing the same at rates between Tk 35 and 70 from the people on an average.
However, the seasonal skin traders in the urban areas are not incurring losses as they had regular contacts with the large traders and 'arats' and they had purchased skins as per the corresponding fixed lower prices, market sources said.
Leaders of the Skin Traders' Cooperative Society of several northern districts said that the number of sacrificed animals was higher this year causing better supply, but the prices of skins are very low due to various reasons causing a very dull business.