Академический Документы
Профессиональный Документы
Культура Документы
1.
Finished Leather
2.
Leather Goods
Livestock In Bangladesh:
Bangladesh has a fairly large livestock population to support a strong and
growing tanning industry. Table II shows that cow hides account for 56% of the
production, goat skins for 30% and buffalo makes up the rest. 5 The current
output in Bangladesh is about 200 million sq.ft. of leather annually. Apart
from bovine hides, buffalo, goat and sheep; a good quantity of kangaroo hides
(pickled condition/wet-blue) are imported from Australia and finished in
Bangladesh, shoes are made of this kangaroo leather for export, mostly to
Japan. Some ostrich leather is also imported from Australia for production of
high quality and high priced bags and wallets for re-export to Australia.
Export Scenario:
At present leather and leather products are exported to about 53 countries of
the world. The major importing countries are: Italy, Brazil, Germany,
Singapore, China and the USA. EPB sources report that export earnings from
leather goods was US$ 287.78 million in 2004-2005, out of which, about 80%
are from leather and the rest is from finished leather goods.
Million US
200
15
0
100
50
0
The above graph exhibits that the export growth rate of Bangladesh leather
sector declined initially in the year 1998-1999 because there was economic
recession in Bangladesh due to massive flood. During this period (from 1998 to
2005), the growth rate was highest in 2000-2001 (16.32%). In the year 20022003 export growth rate was negative because of the global economic recession
as a consequence of the War in Iraq, the Twin Tower (9/11) incident, rise of
international terrorism, fundamentalist orientations, etc. Export growth rate
for the year 2004-2005 was 8.22%. Foreign investment to the industrial leather
sector of Bangladesh has been very limited. Till March 2010, the total foreign
investment in the industrial leather sector was $116.12 million, which is only
1.33 per cent of the total foreign direct investment into the country.
Industry Life Cycle: Growth Potential
The leather industry with over Taka 160 billion annual export earnings is the
countrys biggest third foreign exchange earner after the RMG and the frozen
food sectors. Local and foreign experts believe that this sector could replicate
the successes of the Readymade Garment (RMG) sector if the government and
genuine entrepreneurs join hands for effective cooperation and develop the
sector with a comprehensive strategic plan. Leather industry is growing all over
the world both in market potentials and in installed capacity. For Bangladesh,
export earning only from leather was US$ 160 million in 2010- 2011 and it is
expected to reach US$ 235 million in 2015-2020 as the demand for quality raw
material for finished leather goods is increasing in developed countries. The
size of the global footwear market is enormous as well. A thorough analysis of
the historic data shows that factors like demographic composition, depth and
reach of urbanization and distribution of wealth have consistently shaped the
growth of the footwear industry. Though till now Bangladesh has shown poor
performance in the leather goods sector, it has a good growth potential if
entrepreneurs can avail modern technology to diversify their products and
designs according to international market trends and apply modern tools for
marketing & promotion.
Realizing this sectors growth potential, Bangladesh Government has reiterated
its decision to treat the industry as one of the thrust sectors and reduce
interest rates for industrial credit to this sector to seven percent (7%). The
government has already decided to develop a leather industrial area at Savar,
outside Dhaka where tanneries from Dhaka would be shifted to free the
Hazaribagh area and the river Buriganga in general, where most of the
India
Like China, the leather and leather goods sector of India has benefited the
most from a long-term development policy. Obviously it capitalises on its
natural advantages of abundant raw materials, plentiful and low-cost labour, a
large pool of skilled and trained human resources, a strong artisan shoemaking tradition as well as an immense domestic market. Certainly India
remains far behind China because it has in the last decade been more
Conclusion:
Developed countries are treating Bangladeshs leather sector as secure for
investment. However, the sector has a rather constrained demand structure in
the domestic market due the limited national purchasing power. Nevertheless,
industry insiders are expecting a growth in the domestic market in
consideration of the fact that approximately 10% of Bangladeshs total
population (around 15 million) is estimated to have an income level comparable
to that of the developed countries. Hence, there appears to be a large
unexplored domestic market for footwear and other leather products for
Bangladesh with an estimated demand for 30 million pairs per year.
The footwear sub-sector of Bangladesh earned revenues in excess of US$250
million in 2010-2011. The European Union (EU) is the biggest destination for
footwear exports with a 60% share, followed by Japan with 30%, and the rest
of the world accounting for 10%. Bangladesh has only a 1% share of the world
footwear market.
Reference:
https://www.scribd.com/doc/200188840/Introduction-to-bangladeshLeather-Industry
www.researchgate.net/...Bangladeshi_leather_Industry_An_overview_of Recent
Sustainable Developments
http://edupedia.educarnival.com/analysis-of-leather-industry-of-babgladesh/