Bulletin

We have been talking to many suppliers and buyers from many countries and the underlining theme is “where are my margins”.

EU new passenger car sales declined for the fourth consecutive month in December, continuing the downward trend that started with the introduction of WLTP in September.

This week saw the Cologne Furniture Leather fair. Attendance was said to be high and reports we have received suggest that good sales have been made on the high-end leather but few takers for lower grade material, this is said at present to be worth very little.

The market remains very sluggish. A trader notes how a number of his colleagues appear to be talking the market up.

With meat consumption at record levels across the world this surely would mean leather production to be at similar levels. Unfortunately, this as we know is not the case, but why?

Maize producers have not harvested the expected quantity due to a lack of rainfall. 

Since the start of 2019 there has been a rise in hide prices by approximately 16% on steer hides and 35% cow hides.

One of our sources has reported that following a visit to tanners in the Arzignano area they can confirm most are still carrying large stocks built up during 2018 so only need to buy certain grades of hides to cover or if they see some attractive prices being offered.

The market in Greece has been described as somewhat crazy with sellers accepting prices 30% below the asking prices.

The situation in the salted hide market has turned from bad to worse in January.