Tanners ready to buy rawhide but merchant won't sell
Sunday's meeting at Commerce Ministry may break the stalemate
Published : Friday, 16 August, 2019 at 12:00 AM Count : 706
Leaders of Bangladesh Hide and Skin Merchant Association said they will not sell any rawhide to tanners until they get the previous arrear bills of 3 to 5 years they are holding back. The matter will come up for a decision at a tripartite meeting in Commerce Ministry next Sunday.
They blamed the tanners for starving them of enough cash. It was a set game to hold them back from taking strong buying initiatives to force seasonal traders to sell their stock at throw away price. Many dumped their rawhide in absence of buyers. Tanners must accept the responsibility and clear the previous arrears now staggering over Tk 3 billion.
Delwar Hossain, President of the Association on Thursday said about 98 per cent tannery owners are in default of making payment of arrear bills for the last two years. They are holding the market hostage.
He said tanners were complaining of a 'syndicate' of rawhide merchants. "They must prove it, they have to explain it," he said. He further said, "Now even if tanners want to buy rawhide from us from Saturday, we will not sell a single piece until the matter has been decided at the meeting at Commerce Ministry on Sunday. Meanwhile, President of Bangladesh Tanners' Association (BTA) Shaheen Ahmed on Wednesday said at a press conference, the government's decision to export rawhide is not acceptable, it will affect the local tannery industry.
Tanners will start to buy rawhide from August 17 (Saturday). "They will get the government-fixed prices when they will sell to us," Shaheen said.
He further said the Association knows the Ministry of Commerce is going to open export of rawhide in this situation. He said it will threaten hundreds of indigenous leather industries. The newly set up leather industrial estate in Savar will be completely ruined for lack of raw materials.
He said we have invested over Tk 7,000 crore in the leather industry and it can't be at risk. BTA president said they will buy salted rawhide at government fixed price from August 25. Md Mofizul Islam, Commerce Secretary said he has reviewed the current situation with the leaders of Bangladesh Tanners Association at the Ministry of Commerce. He said, "In view of the discussion, they have agreed to buy rawhide from merchants on urgent basis from August 25. Now, if merchants have their own points, the next course of action will be decided at Sunday meeting," he said.