United Kingdom – Hides freely sold at revised lower prices
Published: 15 Dec, 2021
There is the general feeling that, following further downward price corrections, the bottom of the market may have been found. Oxheifer hides can freely be sold and delivered to Italy, and there is reported to be plenty of interest from Italian tanners at the latest price level. New sales to Italian tanners are for smaller amounts to be delivered prior to the Christmas holidays, and then some sales for delivery in January 2022.
Chinese tanners have also reportedly shown more interest in hides over the past week, though there have been very few oxheifer hides sold to this destination, the bulk of the business being for cowhides, which have increased in price such is the current demand. Shipments are to avoid the Chinese New Year period, which is early February 2022, which this time around is easier to do given the slow freight shipment speed. In normal times, a container could be booked, loaded and shipped to a Chinese port within five to six weeks, but now this can take up to two weeks just to find a container available, while the shipping times are longer and the price is much higher.
Although interest from Italian tanners has increased, there is still a nagging worry about the automotive industry and how the first quarter of 2022 will pan out, which is one reason why some tannery groups are being cautious in the volumes they purchase at this time.
Green prices have held firm, not unsurprising with hide sales being made freely, and slaughters are at near normal levels with the restaurant trade reporting to be particularly buoyant.
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