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Development Of Leather Industry In Uganda Is In A Bottleneck

2014/9/25 17:19:00 14

UgandaLeather IndustryMarket Quotation

The leather and associated industry association of Uganda recently investigated the development of leather industry in the country. The results showed that the development of leather industry in Uganda was seriously hampered by the backward processing capacity and the lack of wastewater treatment plants. Most of the raw skins must be exported in the form of raw materials or semi finished products.

It is understood that Uganda consumers buy 25 million pairs of shoes a year, of which only 1 million are made in China, and the rest are from imports. Many consumers in Uganda think that the quality of domestic leather products is so poor that they prefer to import leather products or domestic ones.

There are 7 medium-sized tanneries and some small leather factories in Uganda, but these tanneries do not have the capacity to produce finished leather. They only make the raw leather into wet blue, and then export semi-finished products to other countries to get the finished leather. This lack of production capacity seriously restricts the development of leather industry in the country.

According to statistics from the Uganda Bureau of statistics, Uganda produces 1 million 400 thousand cowhide, 3 million 100 thousand goat skin and 680 thousand sheepskin each year. And the actual use of the current situation is 1 million 200 thousand per year. Cowhide 2 million 400 thousand sheepskin and 580 thousand sheepskin.

In addition to the constraints of backward processing capacity, environmental problems in some tanneries in Uganda also restrict the development of the industry. Under normal circumstances, Tanner The waste water washed by animal skins should be treated and used for the extraction of fertilizers. At present, some tanneries are accused of environmental pollution caused by the waste generated during the production process, partly due to the lack of sewage treatment plants which are turning waste into treasure, and partly because most tanneries are located in the central area of the city.

The lack of electricity will also affect. Uganda Leather products production and trade income. The trade director of the Tsun Sheng bird tannery has appealed to Transmission Companies in Uganda to install direct lines to tanneries to reduce the energy consumption of current transportation.

According to the insiders, Uganda leather processing enterprises urgently need to increase their production capacity. Meanwhile, increasing the finished leather processing plants in Uganda will not only increase the output of leather products, but also provide employment opportunities for the younger generation.

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Recently, the bankruptcy procedure of Slovenia garment giant Mura has entered the right track. Its core part, AHA Mura, will be auctioned in mid October, and the auction price is expected to be 4 million 600 thousand euros.

AHA Mura currently has 460 employees. In July, it produced 25 thousand garments, with a turnover of 580 thousand euros, with a net loss of 88 thousand euros. The company has ample orders, but faces 6 million 300 thousand euro tax liabilities.

Although there are already some potential buyers, it is not expected that the first auction will be successful. If the auction fails, the second auction will be launched immediately. According to the court's request, AHA Mura will be sold within a year, otherwise the company will be closed.

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