Shocked! Over a hundred tanneries are selling leather at a low price! Leather industry experts shout 'cheated'! 3500 employees were forced to lay off wildly in the factory!

Bangladesh will actively address the issue of the Savar Leather Industry Park

On October 6th, Salehuddin Ahmed, advisor to the Ministry of Finance and Planning of Bangladesh, held talks with relevant officials from the Bangladesh Federation of Leather, Leather Products and Footwear Exporters (BFLLFEA) and the Bangladesh Leather Traders Association. He stated that the leather industry in Bangladesh should not be underestimated, especially in terms of export diversification, as the leather industry has enormous potential.

At the press conference after the meeting, Salehuddin also expressed his views on the current difficulties of more than 100 tanneries in the Savar tannery park. Salehuddin stated that in the future, we will establish a dedicated committee to investigate the issues in the Savar Leather Industrial Park, including efforts to fully utilize the energy efficiency of the central wastewater treatment plant (CETP) in the park.

BFLLFEA Chairman Mohiuddin Ahmed Mahin stated that the tanneries in the Savar Leather Industrial Park are mostly export-oriented. However, due to the fact that CETP in the park has been partially operational for many years, over a hundred tanneries in the park are unable to obtain international certification, resulting in them having to sell leather at prices lower than nearly 70% -80% of the global market.

Mahin regrets to say that due to the incomplete use of CETP in the Savar Leather Park, their leather cannot receive a fair price. The current predicament is entirely attributed to the Bangladesh Small Home Handicraft Corporation (BSCIC) responsible for the management and operation of the Savar Leather Industry Park, "said MA Rashid Bhuiyan, Chief Consultant of BFLLFEA." This is a complete 'lie'! Government officials previously forced us to move the leather factory to the Savar Leather Industry Park, but there was no complete infrastructure here, and CETP did not achieve full operation from start to finish, which resulted in us being unable to operate our leather business normally for many years

Rashid said, "The main demand at present is to fully utilize the necessary infrastructure, such as CETP and other facilities. More than 100 tanneries in the park urgently need LWG certification so that their leather can obtain a relatively reasonable price in the international market. At the same time, we hope that the government can implement interest free loans for these tanneries to give them a breathing space

Salehuddin responded that the current government will actively address these issues and establish a committee as soon as possible to further discuss solutions.

Nepal's shoe manufacturers are facing difficulties

On October 9th, according to multiple media reports, Nepal's largest footwear brand Goldstar Shoes was unable to export goods from over 100 trucks to India due to the inability to obtain certification from the Bureau of Indian Standards (BIS).

The Bureau of Indian Standards (BIS) was established two years ago and has implemented strict management policies in the past two months. The bureau issues mandatory certification certificates for products imported into India and sold in India to ensure compliance with relevant Indian standards.

It is reported that 60% of Goldstar Shoes' products are exported to India. Over the past 30 years, Goldstar Shoes has been exporting shoes to India, especially to the densely populated states of Bihar and Uttar Pradesh. But in the past month, the company's export goods have been banned by Indian authorities without any formal notice.

Vidushi Rana, Executive Director of Goldstar Shoes, said, "Due to the inability to obtain BIS certification in India, our Bhairahawa factory has been closed for nearly a month. Now our footwear business is stagnant and we can only lay off employees. We have 3500 employees, of which 1200 were laid off before Desai, and we are now preparing to lay off another 1000

Rana said, "Our goods have met all the standards set by India, but they are still unwilling to issue us a BIS certificate. When we asked Indian officials to explain, they only said it was a 'superior order'

Rana stated that she has contacted relevant departments and the Nepalese Embassy in New Delhi multiple times, but to no avail.