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Leather - Pipeline Industry ‘burdened’ by the growing supply of hides
10 January 2019


Beef production increased in 2018 and is likely to do so again this year, which isn’t the good news for the leather industry that it once would have been, according to the latest edition of our Leather Pipeline market intelligence report. 

The report, which can be accessed in full here, says there are no signs that global meat consumption is going to fall, despite anti-beef campaigning and the growing popularity of vegetarianism and veganism. 

As a result, a larger supply of hides and skins will be available to the leather industry. “This would have once been considered good news for the leather industry, but it is now a burden instead,” the Leather Pipeline warns.

Supply of raw material already exceeds the demand from leather manufacturers, so adding even more hides and skins into the equation is likely to drive prices down even further. 

Demand for leather is falling due to a lack of consumer demand for finished products made from it. The report suggests that if consumers are still willing to eat meat, they are still willing to buy leather products “if they are offered and if it is explained why they should be considered”.

It says the durability, value and functionality of leather must be promoted and that consumers must be educated about the qualities of this natural resource which would otherwise be destroyed. 

“Only a change in consumer attitude would force suppliers back to leather again,” the report explains. “Until then, there is no option but to work hard and to take every opportunity to bring leather as a material back to the attention of the average consumer.”

By Leatherbiz