Despite entering their peak business season ahead of Eid-ul-Azha, tannery owners at the Savar Leather Industrial Estate are gripped by anxiety over inadequate waste treatment facilities and a sharp increase in the prices of salt and processing chemicals.
Industry stakeholders report that ongoing challenges in achieving international environmental certification and heavy reliance on a single export market are casting a shadow over the sector's prospects.
According to data from the Ministry of Fisheries and Livestock, more than 12.3 million animals are available for sacrifice nationwide this year, including approximately 5.7 million cattle and buffaloes, and over 6.6 million goats and sheep.
The total number of sacrifices is projected to exceed 10 million, with the vast majority of the resulting hides expected to be processed at the BSCIC Leather Industrial Estate in Harindhara, Savar.
During a visit to the estate on Tuesday (May 26), authorities were observed renovating the Central Effluent Treatment Plant (CETP), clearing drainage networks, and digging two temporary ponds to manage the imminent surge in solid and liquid waste.
While individual factories have stockpiled essential chemicals such as sodium sulfide, hydrated lime, and basic chromium sulfate, tannery owners expressed deep concern over the soaring cost of salt, the primary preservative for rawhides.
Industry sources state that the sector requires 80,000 to 85,000 tonnes of salt for the season.
Although the government has distributed approximately 11,500 tonnes of free salt to charities and orphanages, market prices for a 74-kilogram bag of salt have surged by Tk250, currently retailing between Tk930 and Tk950.
"The government has fixed the procurement price of raw hides between Tk60 and Tk70 per square foot, but selling at that rate in the current market is highly unrealistic," said Ripon Chowdhury, a local tannery owner.
"International market rates are hovering around $0.40 per square foot, and we cannot sell finished leather for more than Tk35 to Tk40. Given the high production costs, buying raw hides at the government-mandated price is commercially unviable."
A major structural issue highlighted by tanners is Bangladesh’s heavy dependence on the Chinese market, which limits local bargaining power.
"We are entirely reliant on China, and we have to accept whatever price they dictate," said Zakir Hossain, an official at Angela Tannery.
"Until we can secure Leather Working Group (LWG) certification and enter the European market, it will be incredibly difficult for this industry to turn a profit. The modern compliance measures promised during our relocation from Hazaribagh have still not been fully implemented."
Operational uncertainties also extend to infrastructure.
"We have prepared our salt and chemical reserves, but continuous electricity remains a major concern," said Ayub, an official at Ayub Brothers Tannery. "Without an uninterrupted power supply, a significant portion of the collected hides will rot."
Meanwhile, factory workers claim that the relocation to Savar has failed to improve working and living conditions.
"We relocated here in 2017, yet there is still no medical center, proper pharmacy, school, or recreational space for workers within this 200-acre industrial zone," said Mohammad Manik, a tannery worker.
Bangladesh Tanners Association (BTA) senior vice-president Shakawat Ullah stated that the national collection target for this season has been set at 10 million hides.
He urged grassroots traders and seasonal buyers to apply salt immediately after slaughter to preserve the quality of the leather before transporting it to the tanneries.
