19 October 2023

Leatherbiz Market Intelligence - Better demand, or raw material stockpiling?


We published the latest Leatherbiz Market Intelligence newsletter on October 17. It provides a reminder that, in the face of new reports of war and the loss of life, this time in the Middle East, events in the leather pipeline seem mundane.

Nevertheless, the main story in the leather industry is the ongoing contrast between the situation in Europe and that in the rest of the world, particularly China.

Most raw material suppliers report continued good demand from China, as long as the goods are within a certain price range, the newsletter reports. Many commentators believe, though, that the true demand for leather is unlikely to have increased significantly and that the purchases we have seen are more likely to be about building up stocks at favourable prices.

In any case, in Europe, the situation is much worse, Market Intelligence makes clear.

Overall, the market situation remains fragile and it is difficult to see any sustainable improvement in leather demand. Isolated areas are an exception, but this is not enough to achieve a general improvement.

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