LAHORE: Recession in world leather market and downward trend in prices have caused 40 per cent decline in hides tanning business in the country during the three days of Eidul Azha.
According to the industry experts, about 7.3 million hides and skins worth approximate Rs6-7 billion were collected during Eid days as compared to Rs11-12 billion of previous years mainly due to falling prices of raw skins.
Pakistan Tanners Association chairman Muhammad Musaddiq, in a statement, said that during the Eid season tanners usually purchase bulk quantity of hides and skins each year valued of about Rs10-12 billion but due to economic recession in international leather market especially in China, Turkey and other European countries and depreciation in their currencies, the demand and export of leather from Pakistan has reduced.
The PTA chairman estimated that economic activity of around Rs155.18 billion is generated on Eid days, including Rs146.3 billion through animal sales and Rs7.38 billion through purchases of hides and Rs1.5 billion through allied industries.
