Rawhide collectors struggle amid price collapse

Seasonal rawhide collectors and madrasa authorities across the country are reeling from an unexpected price crash following Eid-ul-Azha, the peak season for the rawhide trade.

Despite heavy investments and efforts, many are now facing mounting losses as market prices fall far below expectations and government-fixed rates.

The Ministry of Commerce had increased the price of cowhide in Dhaka by Tk 5-10 per square foot, setting the official rate at Tk 60-65. But, traders said the market reality fell short. Most cowhides were sold at Tk 55-60 per square foot, with some deals made at even lower rates, according to UNB.

In Rangpur division, nearly 14 lakh animals were sacrificed this Eid, but rawhide traders are finding it difficult to recover their capital, our correspondent reports quoting the Department of Livestock Services.

Tariqul Islam from Gangachara upazila borrowed Tk 3 lakh and bought each cowhide for Tk 100-200, expecting to sell them for up to Tk 1,000. "The current offers don't even cover processing costs," he said.

Similar frustrations were echoed by traders in Kurigram, Lalmonirhat, and Nilphamari, who now face high storage costs and declining leather quality due to inadequate preservation facilities.

Photo: Orchid Changma

With no tanneries in the region, traders are dependent on Dhaka-based middlemen. Some wholesalers blame poor preservation by seasonal traders, while others argue that syndicates and a lack of government enforcement are to blame for the price disparity.

In Moulvibazar, the situation is equally grim. Local madrasas and orphanages, who traditionally rely on rawhide sales for funding, were shocked to find prices plummeting to Tk 250-300 per piece on Eid day.

"We brought 300 hides, but the low price has led to heavy losses," said Sadekul Islam, a madrasa teacher.

Hafiz Anwar Hossain, a local leather traders' leader, said that although the government provided salt, preservation knowledge remains lacking. Meanwhile, allegations of a market syndicate manipulating prices are growing.

In response, Moulvibazar's Additional Deputy Commissioner (General) Bulbul Ahmed said tighter monitoring and additional preservation support will be ensured.

He urged sellers to delay sales, if needed.

[Our correspondents from respective districts contributed to this report]