Leather Chemical Industry
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Transcript of Leather Chemical Industry
To Study the Current Market To Study the Current Market Scenario and the Future Prospect Scenario and the Future Prospect of the Leather Chemical Industry of of the Leather Chemical Industry of BangladeshBangladesh
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“To Study the Current Market Scenario and the Future Prospect of
Leather Chemical Industry of Bangladesh”
Internship ReportInternship Report
Submitted To:MR. AZMAL HOSSAINMR. AZMAL HOSSAIN
Executive DirectorACI Trading Limited.
Submitted By:Mohammad Tawhid ReazMohammad Tawhid Reaz
Internee, ACI Trading Limited.
A D V A N C E D C H E M I C A L I N D U S T R I S L I M I T E D 245, Tejgaon Industries Area,
Dhaka- 1208.
Date: 25 June, 2006.
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June 24, 2006
Mr. Golam Mohammed ChowdhuryChairmanInternship & Placement OfficeInstitute of Business AdministrationUniversity of DhakaDhaka-1000
Dear Sir:
Subject: Internship Report on “To study the current market scenario and the future prospect of the leather chemical
industry of Bangladesh”.
It is my pleasure to present this Report on “To study the current market scenario and
the future prospect of the leather chemical industry of Bangladesh” as a requirement for completing my Masters in Business Administration with concentration in Marketing. The report presents my findings and analyses on the Leather chemical industry of Bangladesh and the project I worked on for the last 10 weeks in ACI Trading Limited.
I am grateful to you and my supervisors; Mr. Mustaque Ahmed, Assistant Professor, IBA and Dr. Azmal Hussain, Executive Director, ACI Trading Limited, for giving me the opportunity to carry out this report.
With kind regards
Sincerely yours,
Mohammad Tawhid ReazRoll 037Batch 38
MBA ProgramInstitute of Business Administration
University of Dhaka
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Acknowledgement
In preparing this report for ACI Trading Limited, I Have received commendable support
from all the employees of Leather division of ACI Trading Limited.
I am very much grateful to my organizational supervisor Mr. Azmal Hossain, Executive
Director, ACI Trading Limited, to give the opportunity to work on such a challenging
project. He has given me all kind official support to complete the report perfectly.
I like to thank Mr. Saiful Azam Kashem, Senior Technical Sales Officer, Mr. Munirul
Islam, Technical Sales Officer and Mr. Abul Khayer of ACI trading limited for helping me
in every aspect for the completion of the report.
I am very much indebted to my supervisor Mr. Mustaque Ahmed, Assistant Professor,
IBA, University of Dhaka for giving me direction at different times to prepare this report. It
is his guided supervision that resulted in successful completion and timely submission of
the report.
I am thankful to my friend Mr. Fahim bin Asmat, Program Assistant, Leather Sector
Business Promotion Council (LSBPC) to let me study their valuable research reports and
guide me with his expert opinion.
I also like to thank all the librarians of various libraries to let me utilize their library
facilities, all the experts, members of different leather and tanners associations, and all the
other interviewees to help me with their resourceful contribution. (N.T: Name of the main
interviewees and the organization visited for completing this report is given in Appendix)
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June 25, 2006
Mr. Azmal HossainExecutive DirectorACI Trading Limited
Dear Sir:
Subject: Internship Report on “To study the current market scenario and the future prospect of the leather chemical
industry of Bangladesh”.
It is my pleasure to present this Report on “To study the current market scenario and the future prospect of the leather chemical industry of Bangladesh” as a requirement for completing my Masters in Business Administration (MBA) program with concentration in Marketing. The report presents my findings and analyses on the Leather chemical industry of Bangladesh and the project I worked on for the last 10 weeks in ACI Trading Limited.
I am grateful to you for your organizational co-operation as an organizational supervisor and to my supervisor; Mr. Mustaque Ahmed, Associate Professor, IBA and Prof. Golam Mohammed Chowdhury, Chairman, Placement & Internship Program, Institute of Business Administration for giving me the opportunity to carry out this report.
With kind regards
Sincerely yours,
Mohammad Tawhid ReazRoll 037Batch 38
MBA ProgramInstitute of Business Administration
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University of Dhaka
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TABLE OF CONTENTS
Pg.
EXECUTIVE SUMMARY 1
CHAPTER ONE 3
1. INTRODUCTION 31.1. ORIGIN OF THE REPORT 31.2. OBJECTIVE 31.2.1 BROAD OBJECTIVE 31.2.2 SPECIFIC OBJECTIVES 31.3 SCOPE OF THE RESEARCH 41.4 METHODOLOGY 41.5 LIMITATIONS 5
CHAPTER TWO 6
2. ABOUT THE ORGANIZATION 62.1. COMPANY PROFILE AT A GLANCE 62.1.1 STRATEGIC BUSINESS UNITS 62.1.2 SUBSIDIARIES 62.1.3 EXECUTIVE MANAGEMENT 72.1.4 FINANCIALS (YEAR ENDING DEC, 2004) 7
2.2 BACKGROUND 82.3 COMPANY MISSION 82.4 COMPANY VISION 82.5 VALUES 92.6 DISTRIBUTION NETWORK 92.7 BUSINESS UNITS 10
2.7.1 ACI PHARMACEUTICALS 102.7.2 ACI CROP CARE AND PUBLIC HEALTH DIVISION 102.7.3 ACI CONSUMER BRANDS 102.8 MANUFACTURING STANDARDS 112.9 DIVERSIFICATION INTO NEW INDUSTRIES 112.10 ACI FORMULATION LIMITED 122.11 QUALITY POLICY 122.12 BUSINESS PERFORMANCE AND GROWTH SCENARIO OF ACI LIMITED 132.13 ACI TARDING LIMITED 15
2.13.1 ORGANOGRAM- BUSINESS MANAGEMENT 162.13.2 ORGANOGRAM- BUSINESS SUPPORT FUNCTIONS 16
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2.13.3 ORGANOGRAM OF ACI TRADING LIMITED (FOCUSING LEATHER CHEMICAL DIVISION)
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2.13.4 MISSION 182.13.5 STRATEGIC OBJECTIVE 18
2.13.6 INDENT SALES GROWTH FROM 2002-2005 & BUDGET 2006 182.13.7 EX-STOCK SALES GROWTH FROM 2002-2005 & BUDGET 2006 192.13.8 PROFIT & LOSS BUDGET 2006 202.13.9 SWOT ANALYSIS OF ACI TRADING LIMITED 212.13.10 BUSINESS STRATEGY 21
2.13.11 KEY DIFFERENTIATING FACTORS THAT ATTRACTS CUSTOMERS 222.13.12 PRODUCTS, CUSTOMERS & SUPPLIER BASE UP TO 2005 222.13.13 MAJOR DEVELOPMENT THROUGH INITIATIVE IN 2005 232.13.14 INITIATIVE TO BE TAKEN IN 2006 23
CHAPTER THREE 24
3. LEATHER INDUSTRY OF BANGLADESH 24
3.0 LEATHER INDUSTRY BACKGROUND 243.0.1 THE LEATHER INDUSTRY IN BANGLADESH 243.0.2 THE BEGINNING OF THE TANNERY 243.0.3 POST LIBERATION PERIOD 253.0.4 PRESENT CONDITION 25
CHAPTER FOUR 27
4. PRODUCTION 27
4.0 LEATHER SECTOR IN THE ECONOMY OF BANGLADESH 27
CHAPTER FIVE 31
5 LEATHER EXPORT 31
5.1 LEATHER EXPORT PERFORMATION OF BANGLADESH 31
5.2 SALES & EXPORTS OF LEATHER SECTOR ENTERPRISE/FIRMS 34
5.2.1 SALES & EXPORTS: LEATHER PROCESSING 35
5.2.2 SALES & EXPORTS: FOOTWEAR 36
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5.2.3 SALES & EXPORTS: LEATHER GOODS 36
CHAPTER SIX 39
6 RAW MATERIALS 39
6.1 RAW MATERIALS USED BY THE LEATHER FIRMS 40
6.2 RAW MATERIALS: LEATHER PROCESSING 40
6.2.1 RAW MATERIALS FOR WET BLUE 40
6.2.2 RAW MATERIALS FOR CRUST 41
6.2.3 RAW MATERIALS FOR FINISHED LEATHER 43
6.2.4 RAW MATERIALS: FOOTWEAR 43
6.2.5 RAW MATERIALS: LEATHER GOODS 44
6.3 AVAILABILITY OF RAW MATERIALS IN BANGLADESH 45
CHAPTER SEVEN 46
7 SWOT ANALYSIS 46
7.1 STRENGTHS 467.1.1 STRENGTHS OF THE FIRMS: LEATHER PROCESSING 467.1.2 STRENGTHS OF THE FIRMS: LEATHER FOOTWEAR 477.1.3 STRENGTHS OF THE FIRMS: LEATHER GOODS 48
7.2 WEAKNESSES 507.2.1 WEAKNESSES OF THE FIRMS: LEATHER PROCESSING 507.2.2 WEAKNESSES OF THE FIRMS: LEATHER FOOTWEAR 517.2.3 WEAKNESSES OF THE FIRMS: LEATHER GOODS 52
7.3 OPPORTUNITIES 537.3.1 OPPORTUNITIES OF THE FIRMS: LEATHER PROCESSING 537.3.2 OPPORTUNITIES OF THE FIRMS: LEATHER FOOTWEAR 547.3.3 OPPORTUNITIES OF THE FIRMS: LEATHER GOODS 55
7.4 THREATS 567.4.1 THREATS OF THE FIRMS: LEATHER PROCESSING 567.4.2 THREATS OF THE FIRMS: LEATHER FOOTWEAR 577.4.3 THREATS OF THE FIRMS: LEATHER GOODS 59
CHAPTER EIGHT 60
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8 PRODUCTION STAGES 60
8.1 PRODUCTION STAGES IN LEATHER PROCESSING INDUSTRY 608.2 PRODUCTION STAGES IN LEATHER GOODS & FOOTWEAR INDUSTRY 618.3 DESCRIPTION OF THE VARIOUS STAGES OF LEATHER PROCESSING 628.3.1 WET BLUE SECTION 628.3.2 CRUST SECTION 638.3.3 FINISHING SECTION 64
CHAPTER NINE 65
9.0 LEATHER CHEMICALS & ACCESSORIES 65 (DATA COLLECTED FROM PRIMARY SURVEY)
9.1 CHEMICALS & ACCESSIORIES: LEATHER SECTOR 669.1.1 CHEMICALS: LEATHER PROCESSING: WET-BLUE 669.1.2 LEATHER PROCESSING: CRUST LEATHER 689.1.3 LEATHER PROCESSING: FINISHED LEATHER 699.2 CHEMICAL AND ACCESIORIES : FOOTWEAR 709.3 CHEMICAL AND ACCESIORIES : LEATHER GOODS 72
CHAPTER TEN 73
10.0 MAJOR PLAYERS OF THE LEATHER CHEMICAL INDUSTRY 73 (DATA COLLECTED FROM PRIMARY SURVEY)
10.1 MARKET SHARE OF MAJOR BEAM HOUSE CHEMICAL SUPPLIERS
(WET BLUE)73
10.1.1 TOTAL QUANTITY WISE MARKET SHARE (WET BLUE) 7610.2 MARKET SHARE OF CHEMICAL SUPPLIERS (WET BLUE TO CRUST) 7710.2.1 TOTAL QUANTITY WISE MARKET SHARE (CRUST) 79
10.3 MARKET SHARE OF CHEMICAL SUPPLIERS (CRUST TO FINISH) 8010.3.1 TOTAL QUANTITY WISE MARKET SHARE (FINISHING) 80
CHAPTER ELEVEN 81
11 FINDINGS AND RECOMMENDATIONS 81
11.1 PROBLEMS OF ACI TRADING AND STAHL INLEATHER CHEMICAL 83
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MARKETING
APPENDIXAPPENDIX A1 A1 85
APPENDIXAPPENDIX A2 A2 91
APPENDIXAPPENDIX A3 A3 92
APPENDIXAPPENDIX A4 A4 95
APPENDIXAPPENDIX A5 A5 96
APPENDIXAPPENDIX A6 A6 98
APPENDIXAPPENDIX A7 A7 107
APPENDIXAPPENDIX BB 111
APPENDIXAPPENDIX CC11 113
APPENDIXAPPENDIX CC22 117
REFERENCESREFERENCES 118
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Executive Summary
The history of the leather sector and tannery industry in Bangladesh started when R.P Saha set up
first tannery in Narayanganj back in 1940. It was later shifted to Hazaribagh area of Dhaka, which
turned into a location that now accommodates a large number of tannery units of the whole country.
At present, the leather sector of Bangladesh has 220 processing units located at different parts of
the country (mainly in Hazaribagh, Dhaka). But only 28 tanneries are in operation, among them 20
are operating in crust section and 8 are in finishing section.
Total capital invested in the tannery industry is estimated at Tk 2.5 billion, of which
government/bank finance is about Tk 1.2 billion. Bangladesh currently produces about 20.0 million
sq. meters of leather and leather goods per year. Contribution of leather sector (hide &skin, leather
and leather goods, and footwear except rubber) to GDP is 0.31 (at constant price) in FY 2003.
According to Leather Sector Census Study,2005 total production of wet blue leather in 2003 was
3,50,60,000 square feet, crust leather 6,61,72,000 square feet, finished leather 13,48,20,000 feet,
whereas 1,67,66,000 pairs of leather footwear were produced in 2003 and 766000 pieces of leather
goods were produced in 2003. In 2004, 247 million square feet raw hides were available for the
leather industry, among which cow and buffalo hides were 184 million square feet and goat and
sheep skin were 6 million sq.ft. According to a report published by FAO in 2003 the numbers of
bovine animals in Bangladesh were 2,48,30,000 in 2002; the number of sheep and lambs were
11,43,000 and there were 3,44,00,000 goats and kids in Bangladesh.
Bangladesh has exported leather and leather goods worth 220.93 Mn. US$ in 2004-2005, whereas it
has exported 211.41 Mn. US$ valued leather and leather goods in 2003-04. The export target for
2005-06 is 235 Mn.US$ in which the export performance achieved in July2005-November2005
was 96.21Mn. US$. Total export of Bangladesh in 2004-05 was 8654.52Mn. US$, so the
contribution of the leather sector export to the total export was 2.55% in 2004-05. The main
exporting countries are Hong Kong, Italy, Japan, Vietnam, Republic of Korea, Taiwan etc.
Raw hides used for producing wet-blue are mainly procured from local sources. Locally, raw hides
are collected mainly from leather depot located at Dhaka, Chittagong, Comilla, Kushtia, Natore and
Rangpur. Only an insignificant volume of camel hide is imported from external sources. South
Africa was the only source of camel hide imports in 2003. Wet blue, raw materials for producing
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crust is mainly collected from local sources particularly from Dhaka. A small quantity of wet-blue
to prepare crust leather is collected from Chttagong and Jessor. Very insignificant volume of raw
materials is imported. In 2003, only about 1.5 percent of total raw materials (wet blue cow and
camel) were imported from South Africa, Australia, and Brazil. Crust leather used for producing
finished leather is also collected mainly from local sources. Only a very insignificant volume of
cow crust is imported to produce finished leather. In 2003, cow crust was imported from Australia
valued Tk.34 million.
There are hundreds of importers, merchants and suppliers are supplying chemicals required for the
whole leather industry. The processing of raw hides to finished leather mainly classified into three
different stages 1) Wet Blue, 2) Crust and 3) Finishing section.
In 2003, 3202MT (worth 8,46,23,000Tk) leather chemical used for wet blue leather stage in
Bangladesh. In which 1956MT (worth 2,06,85,000Tk) was local made and 1274MT (worth
6,39,38,000Tk) was imported. In the same year 901MT (worth 119041000Tk) chemical used in
crust stage, in which 885MT was foreign supply and 16MT was local supply. On the other hand
130 MT (worth taka 46468000) chemical used for finishing section, in which 120MT collected
from outside and 10MT was collected from local sources.
The major chemical suppliers are Germany, Holland, UK, Italy, and India. Recently local
merchants are also importing from China, Singapore etc.
In addition of finding out the whole scenario of the leather sector of Bangladesh, this study mainly
focused to identify the major chemical suppliers in the different stages of leather processing. To
find out the main chemicals required in various stages of finished leather production was also the
prime consideration of this study. The market share contributed by the suppliers in various stages
was the main finding of this report. Along with primary and secondary survey, in depth interview
and Expert opinions have been taken for the final modification and recommendation of the whole
research. Why the big suppliers are loosing their market and why small and new suppliers are doing
well and getting the market acceptability has also been discussed in this research material.
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Chapter-OneChapter-One
Introduction
1.1. Origin of the Report
This internship report was prepared as a compulsory requirement for the MBA degree.
From the program office of the Institute of Business Administration (IBA), I was placed as
an intern in ACI trading limited. The project is titled “To study the current market scenario
and the future prospect of the leather chemical industry of Bangladesh”. The project was
assigned to me by my supervisor at ACI Trading Limited, Mr. Azmal Hossain, Executive
Director of ACI Trading Limited. It was overseen by my faculty advisor Mr. Mustaque
Ahmed, Associate Professor, Institute of Business Administration, University of Dhaka.
1.2. Objective
1.2.1 Broad Objective
To understand the current market situation and the future business prospect of the leather
chemical industry of Bangladesh from the viewpoint of ACI Trading limited.
1.2.2 Specific Objectives
To achieve the broad objective the following specific objectives are required to be achieved.
1. Identify the major market players of leather chemicals (especially in value addition
section).
2. To analyze the ins and outs of the tannery industry of Bangladesh.
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3. To compare the marketing strategies of all the major chemical suppliers in
Bangladesh and to find which marketing strategy the clients prefer.
4. To find out the proper marketing strategy for ACI Trading limited to increase their
market share in crust and finishing section.
1.3. Scope of the Research
This report is basically a requirement of ACI trading limited to understand the details of
tannery industry in Bangladesh. ACI trading limited is the agent of Stahl (Holland), a well
renowned chemical supplier in the world. From the ACI’s point of view, they want to know
their competitors and how they are marketing in Bangladesh.
To know the major leather chemical market players in Bangladesh, the tannery factories
and their leather technologists are the main focus of this research. All the organized bodies
related to leather sector such as Bangladesh Chemical Importers and Merchants
Association, Bangladesh Tanners Association, Bangladesh Finished Leather, Leather goods
and Footwear Exporters Association, Bangladesh Leather Manufacturers Association,
Bangladesh Leather Importers Association are the major considerations of this research.
Leather Sector Business Promotion Council (LSBPC) was the prime source of all research
papers necessary for this study.
1.4. Methodology
To find out the major leather chemical market players in Bangladesh, I basically separated
the respondents in three different divisions 1) Leather Technologists and employees of
various tanneries, 2) Members of chemical importers and merchants association and 3) The
leather chemical retailers or whole sellers.
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In depth interview of the first two respondent divisions have been scrupulously scrutinized.
Both formal question answer session and informal discussions were the part of this
research. Primary interviews of the third respondent sections have been made, which was a
questionnaire based interview. Convenient sampling method was applied for selecting the
interviewees.
All the findings have been verified by numerous experts, leather technologists, and well
renowned leather chemical merchants of Bangladesh.
Although, there are not enough secondary materials available in Bangladesh, Leather
Sector Business Promotion Council (LSBPC) of Bangladesh has been repeatedly visited
and they helped me by providing all their necessary secondary materials.
1.7. Limitations
1. The main problem in dealing with leather sector is that, there are not enough
secondary research materials and published information available in
Bangladesh.
2. All the associations other than Bangladesh Finished Leather, Leather goods and
Footwear Exporters Association are not well organized to give the exact
information; most of them even don’t have their internal annual reports.
3. Since the whole leather sector of Bangladesh is shrinking day by day, the
researchers are not focusing this sector well enough comparing to the booming
sectors of Bangladesh like RMG.
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Chapter-TwoChapter-Two
About The Organization
2.1 2.1 Company Profile at a Glance:
Company Name : Advanced Chemical Industries (ACI) Limited
Address : ACI Centre, 245, Tejgaon Industrial Area, Dhaka-1208.
Phone : +88-02-9885694
Fax : +00-02-9886029
E-mail : [email protected]
Web Page : WWW. ACI-BD. COM
Company Logo :
2.1.1 Strategic Business Units:
Pharmaceuticals
Consumer Brands
Agribusiness-
a) Crop Care and Public Health
b) Animal Health
2.1.2 Subsidiaries:
ACI Trading Limited
ACI Formulation Limited
Apex Leather crafts Limited
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ACI Salt Limited
2.1.3 Executive Management:
Mr. M Anis-Us-Dowla Chairman
Dr. Arif-Dowla Managing Director
Mr. M Mohibuz Zaman Chief Operating
Officer,
Pharmaceuticals.
Dr. F H Ansarey Executive Director,
Agribusiness.
Mr. Azmal Hossain Executive Director,
Trade.
Mr. Syed Alamgir Executive Director,
Consumer Brands.
Mr. Muallem A Choudhury Executive Director,
Finance & Planning.
Mr. Towfiqur Rahman General Manager,
Operation.
Mr. Priyatosh Datta General Manager,
Quality Assurance.
Ms. Sheema Abed Rahman General Manager,
Corporate Service.
Mr. Pradip Kar. Chowdhury Financial Controller
2.1.4 Financials (Year Ending December 2004):
Authorized Capital: Taka 500 Million.
Paid-Up Capital: Taka 161.70 Million.
Sales: Taka 2,558 Million.
Numbers of Employees: 2161
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2.2 Background:
ACI was established as the subsidiary of Imperial Chemical Industries (ICI) in the East
Pakistan in 1968. After independence the company has been incorporated in Bangladesh on
the 24th of January, 1973 as ICI Bangladesh Manufactures Limited and also as Public
Limited Company. This Company also obtained listing with Dhaka Stock Exchange on
28.12.1976 and its first trading of share took place on 09.03.1994. Later on May 05, 1992,
ICI Plc divested 70% of its shareholders to local management. Subsequently the company
was registered in the name of Advanced Chemical Industries Limited. Listing with
Chittagong Stock Exchange was making on 22 October, 1995.
Advanced Chemicals Industries (ACI) Limited is one of the leading conglomerates in
Bangladesh, with a multinational image. ACI is a Public Limited Company with a total
number of 19,653 shareholders. Among these, there are three foreign and fifty local
institutional shareholders. The company has diversified into five major businesses. Beside
these, the company has a large list of international associates and partners with various
trade and business agreements.
2.3 Company Mission:
ACI’s mission is to enrich the quality of life of people through responsible application of
knowledge, skills and technology. ACI is committed to the pursuit of excellence through
world-class products, innovative processes and empowered employees to provide the
highest level of satisfaction to its customers.
2.4 Company Vision:
To realize the mission ACI will:
Endeavor to attain a position of leadership in each category of it businesses.
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Attain a high level of productivity in all its operations through effective and
efficient use of resources, adoption of appropriate technology and alignment
with our core competencies.
Develop its employees by encouraging empowerment and rewarding
innovation.
Promote an environment for learning and personal growth of its employees.
Provide products and services of high and consistent quality, ensuring value
for money to its customers.
Encourage and assist in the qualitative improvement of the services of its
suppliers and distributors.
Establish harmonious relationship with the community and promote greater
environmental responsibility within its sphere of influence.
2.5 Values:
Quality
Customer Focus
Fairness
Transparency
Continuous Improvement
2.6 Distribution Network:
The company maintains strategically located sales centers in 198 different locations across
the country. It has developed an advanced distribution system through its more than 300
skilled and trained manpower and a large fleet over 80 vehicles. The distribution system is
capable of handling continuing volume of diverse range of products from the various
businesses.
The company’s distribution centers are highly streamlined, computerized and automated.
We are capable of maintaining a cold chain for some specialized range of products such as
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vaccines and insulin. The combination of this advanced function and multi dimensional
capabilities make it possible to handle hundreds of products efficiently.
2.7 Business Units:
2.7.1 ACI Pharmaceuticals: In 2004, ACI Pharmaceuticals ranked 11th in the
Bangladesh pharmaceuticals industry. It provides the market with a wide
selection of drugs across all major therapeutic classes, and also offers some
specially medicines. ACI Pharmaceutical represents AstraZeneca, Eli Lily and
UCB in Bangladesh.
2.7.2 ACI Crop Care and Public Heath Division: This Division is holding the
leadership position in the industries; Animal Health has experienced one of the highest
growth rates in this sector. ACI Agribusiness has partnerships with several international
conglomerates including Ceva Santhe Animale, Invesa, UCB, Isago Asia and Boreegaad
Taicang Chemical Co. Ltd.sdx.
2.7.3 ACI Consumer Brands: This Division is a leading Fast Moving Consumer
Goods (FMCG) company in Bangladesh. In the liquid antiseptic and mosquito repellant
categories, this division is a very strong market leader. Foreign partners represented in by
this division include Godrej Consumer Products (for hair care and skin care ), Parle Group
(for Parle G biscuits), Beiersdorf, Germany (for Nivea range of Products) and Colgate
Palmolive.
ACI has formed joint ventures with leading FMCG and agribusiness players in the region.
These are:
Asian Consumer Care Private Ltd: Joint venture of ACI and Redrock
Limited, for distribution of various ranges of Dabur products in Bangladesh.
ACI holds 50% stake in the venture.
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Tetly ACI Bangladesh Ltd: Joint venture of ACI and Tetley Group of
United Kingdom for distribution of Tetley products in Bangladesh, with
ACI having 50% shareholding.
Many ACI products have crossed our national boundary and are being successfully
exported to various countries in Asia, the Middle East and the CIS region. The responsible
of foreign consumers to our products has been encouraging.
2.8 Manufacturing Standards:
ACI has three separate manufacturing plants in the outskirts of Dhaka. The
Pharmaceuticals plant is located at Narayanganj; ACI Formulations has been setup in
Gazipur and the Tetley factory has been built at Konabari. ACI Limited is the first
company in Bangladesh to have attained the ISO 9001 certification for Quality
Management and ISO 14001 for Environment Management. The Trading subsidiary has
also received ISO 9002 certificate. At our manufacturing facilities, we follow CGMP
guidelines and standards recommended by World Health Organization (WHO) for
pharmaceutical formulations.
2.9 Diversification into new industries:
ACI Limited is venturing into new areas of business, as part of its diversification
initiatives. Two such businesses being set up are ACI Salt Ltd. And ACI Godrej Agrovet
Private Limited.
ACI Salt Ltd: ACI has set up its salt plant in Rupganj, on the bands of the
Shitalakhya river. The plant will produce refined iodized salt through
Thermal Evaporation System. ACI has used technology from China Heavy
Machineries Corporation (CHMC) in establishing the plant. The end product
will be high quality, free-flowing salt with even, crystallized grains. The
iodine content of ACI salt will have a stability of more than 6 months. The
project has been undertaken at an approximate cost of Taka 32 crores.
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ACI Godrej Agrovet Private Limited: Godrej is a pioneer in the packaged
meat business in India. It is also the market leader in the poultry industry,
and the owner of ‘Real Good’ brand. ACI and Godrej have a joint venture in
Bangladesh to set up an Integrated Poultry Project. Under this project, ACI
Godrej Agovet has already set up a feed mill at Sirajganj. This is fully
automatic pellet poultry and fisheries feed mill, which uses technology from
Jiangsu Muyang group of China. The company has also set up a hatchery at
Joynabazar, on the Dhaka Mymenshingh road, with technology from
Godrej. The plans for this project also include establishing Grand Parents
and Parent Stock breeding farms. The investment in the project is Taka 8
crores, with ACI Limited having 50% shareholding of the company.
2.10 ACI Formulation Limited:
ACI Formulations Limited (ACI FL) is a subsidiary of ACI Limited, located at Gazipur, in
the outskirt of Dhaka.
ACI FL manufactures majority of the products of ACI strategic Business Limited except
for Pharmaceuticals division. The factory is equipped with the state-of-Art facilities for
product formulations and process innovation. These include modern computerized
equipment like HPLC and GLC.
The product range manufactured at ACI FL include Crop Protection Chemicals like
insecticides, herbicides and fungicides in granular, powder and liquid forms, Mosquito
Pesticides in the forms of aerosols, vaporizers and coils, and households chemicals like
toilet cleaners and hand wash.
2.11Quality Policy
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ACI aims is to achieve business excellence through quality by understanding accepting,
meeting and exceeding customer expectations.
ACI follows International Standards on Quality Management System to ensure consistent
quality of products and services to achieve customer satisfaction. ACI also meets all
national regulatory requirements relating to its current business and ensures that current
Good Manufacturing Practices (CGMP) as recommended by World Health Organization is
followed for its pharmaceutical operations.
The management of ACI commits itself to quality as the prime consideration in all its
business decisions. All employees of ACI must follow documented procedures to ensure
compliance with quality standards.
The pool of human resources of the company will be developed to their full potential and
harnessed through regular training and their participation in seeking continuous
improvement of work methods.
2.12Business Performance and Growth Scenario of ACI
Limited:
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Figure No: 2.1
Figure No: 2.2
25
0
500
1,000
1,500
2,000
2,500
3,000
1999 2000 2001 2002 2003 2004
Net Sales Income Profit Before Tax
sales & profit Growthsales & profit Growth
14.21%14.21%
Figure No: 2.3
2.13 ACI Trading Limited
ACI Trading Ltd is one of the leading Trading Houses in Bangladesh. Originally it was
ICI Pakistan Ltd established as the subsidiary of Imperial Chemical Industries (ICI) in the
then East Pakistan. After independence of Bangladesh the operation continued as ICI
Bangladesh Ltd. In July 1994 ACI Ltd another divested part of ICI PLC UK for
Pharmaceuticals and Agrochemicals operation purchased ICI Bangladesh Ltd from ICI
PLC and renamed it to ACI Trading Ltd.
ACI Trading Ltd has been accredited with ISO 9002 certification since June 1997 for its
Quality System on indenting business. The Company is mainly involved in marketing and
sales of various Industrial Chemicals, Petrochemicals, Plastics, Pharmaceuticals, Leather
and Shoe finishes. Textile Dyes and Auxiliaries through Indent sales. It has four business
divisions such as Chemicals, Textile, Leather and Water Pumps. To render technical
service ACI Trading has two separate technical application laboratories for textile and
leather businesses.
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We represent ‘World Class Products’ in Bangladesh from ICI and some other multi-
nationals like ExxonMobile, Solvay Interox, Enichem, Huntsman Tioxide, Magadi Soda
Co., Stahl UK Ltd, Onga Australia Pte Ltd etc. We also represent some reputed Principals
form Asian countries mostly from India, Singapore and Malaysia.
This is a 60% owned subsidiary. ICI, Zeneca, Exxon, Stahl are leaders in their respective
fields and ACI have excellent market share of their products in Bangladesh.
The major responsibilities of ACI Trading are:
- Representing various international companies
- Procuring raw materials
2.13.1 Organogram – Business Management
Figure No: 2.4
2.13.2 Organogram – Business Support Functions
27
Managing Director
Executive Director,Pharma
Executive Director,
Agro
Executive Director,
Consumer
Executive Director,
Trade
Executive Director,Operation
Figure No: 2.5
2.13.3 Organ gram of ACI Trading Limited (Focusing Leather Chemical Division)
Managing Director
General Manager,Corporate
FinancialController
General Manager,
Distributor
CommercialManager
Audit Manager
28
Figure 2.6
2.13.4 Mission :
Dr Arif DowlaManaging Director
Azmal HossainExecutive Director
(Trading)
A KhayerCoordination Officer
Textile Division Leather Chemical Division Chemical Division
M S DastidarAsst. Manger, Commercial
Saiful Azam Kashem
Sr. Technical Sales Oficer
Munirul IslamTechnical Sales Oficer
29
Want to be a leading trusted quality Trading Company to earn confidence of the customers.
To establish a long-term business relation by offering quality products & services from
World Class chemical companies in alignment with our core values.
2.13.5 Strategic Objective :
• To sustain and improve Market Share for the key products
• To offer World Class products from reputed sources
• Increase ability to compete in the industry by developing people
• To render superior service (technical & logistics) to customers
• To maintain & improve business relation with our Principals
• New Products Sourcing from reputed manufacturers
• Aggressively grow Ex-stock Trading with calculative risk
• To ensure stable earning through balanced product port-folio
• Taking care of our shareholders interest.
2.13.6 Indent Sales Growth from 2002-2005 & Budget 2006
Growth %
2003 31.77
2004 57.08
2005 8.31
2006 20.61
30
2.13.7 Ex-stock Sales Growth from 2002-2005 & Budget 2006
Reason for variance 05
UCB Film not contributed although budgeted in ’05 Allocation & price constraint of ExxonMobil Plastics
for 3 months Scares of Foreign Exchange & restriction on L/C by
Central Bank
Assumption for Bud’06
Increase customer & product base New initiative for aggressive growth
Reason for variance’05
Less ExxonMobil Plastics sales due to strategic import Stahl sales was behind due to recession in Leather
Industry
Assumption for Bud’06
To increase ExxonMobil Plastics sales with calculative risk
To increase Textile Auxiliaries sales through Cola Project
To increase sales of MEC, Cereclor Inclusion of other products like TiO2, PET
31
2.13.8 Profit and Loss Budget 2006
2.13.9 SWOT Analysis of ACI Trading Limited
Strength• On going need base training of people (Management & Technical)
Growth %0
2003 -3.87
2004 3.36
2005 74.03
2006 46.83
32
• Well groomed Employees & Professional approach• Association of global famous brand (ExxonMobil, ICI)• Loyal customer base for World Class products• Quality perception of customer for products & services from ACI • Support of ACI conglomerate & its image
Weakness
• Achievement depends on supplier’s own strategy• Much dependent on few major suppliers• Some major Raw Material suppliers absence in Portfolio• Uncompetitive price & longer lead-time (Europe vs. India/China)• Technical support is based on suppliers’ priority
Opportunity
• More Local & Export orientated industries coming up• Sourcing Chinese suppliers for some major RM• New business line expansion (API, PET, PS etc)• Value addition of products (Textile, Leather)• Increase Ex-stock Trading (existing & new)
Threat
• Indian & Chinese cheaper RM suppliers• Local basic RM manufacturers coming up• Increase of competition taking advantage of IT
2.13.10 Business Strategy
To nourish the Strength
• More need base training of people (Management & Technical)• Build more relation with major supplier• Exert Professional Behavior to maintain the reputation of ACI• Proactive approach to customers for relationship marketing
To turn Weaknesses to Strength
• Find suppliers for some major Raw Material not in range• Update suppliers with market & competition on regular basis • Insist supplier for technical support showing business potentiality
33
To avail Opportunities
• Increase customer base• Increase product base• Step for Value Addition• Increase trading of Ex-stock
To turn Threat to Opportunity
• Take advantage of IT to form chemical data-base for new opportunity.• Try sourcing of RM from India & China
2.13.11 Key differentiating factors that attracts customers:
• Quality, price, timely delivery with clean documents• Technical Assistance/Information to customers about int’l price• Proactive involvement in customers purchasing decision• Excellent relation with loyal customers• Highly professional & customers caring sales people
2.13.12 Products, Customers & Supplier Base Up to 2005
Chemical Textile Leather Total
Total Product base
60 35 70 165
Total customer
70 36 60 166
Total supplier
29 4 2 35
2.13.13 Major Development through initiative in 2005
1) Re-start of Ex-stock sales of ExxonMobil Plastics2) Increased customer & Product base through trials for Textile Auxiliaries
34
3) Introduction of C&TP from Stahl India4) Appointed a Retailer for Stahl Leather Chemical sales5) Irregularities caused by Sales Manager, Leather (Mr Mizan) mostly adjusted with
customer satisfaction6) Sourcing PET from China7) Sourcing API from India & China8) Measurable & Comparable items Software development9) Weekly sales Meeting with all SBU with EDT10) Study on Textile Auxiliaries Market through Internee
Projects/Suppliers looked for
1) H2O22) Paints3) Bulb & Tube Lights4) Dry Cell Battery5) Adhesive Tapes6) Lady Napkin
2.13.14 Initiative to be taken in 2006
1. Value Addition – Textile Auxiliaries2. ICI Paints India (J.V.)3. Value Addition for Beam House Chemicals for leather4. More trials of Text. & Leather Chemicals to increase customer & Product base5. Dyes & Optical Brightener sourcing – India, China6. Introduction more Traders for Textile Aux. credit sales7. Recruit sales person for Chemical & Textile division8. Implementation of Program for Measurable & Comparable items related to sales
performance9. Engage two Internee for Chemical & Leather Market Study10. Interaction with knowledgeable & experienced persons from Faculties and Trade11. Aggressive Plan to become a big Trading House by 2008
Chapter-ThreeChapter-Three
Leather Industry of Bangladesh
35
3.0 Leather Industry Background3.0 Leather Industry Background
3.0.1The Leather Industry3.0.1The Leather Industry
in Bangladeshin Bangladesh
Tannery transforms raw hides and skins into leather for manufacturing articles like shoe-
upper, bag, suitcase, belt, wallet and jacket. In the past, leather processing was done
manually using certain indigenous chemicals.
3.0.2 The beginning of the Tannery
The first tannery in Bangladesh territory was set up at Narayanganj by RP Saha in the
1940s. It was later shifted to Hazaribag area of Dhaka, which turned into a location that
now accommodates a large number of tannery units. During the period before Partition of
Bengal (1947), almost all the raw hides and skins available in East Bengal were exported to
west Bengal, particularly to Calcutta and processed there. In fact the tannery industry of
Bangladesh originated after its relocation from Narayanganj to Hazaribagh in Dhaka in
1951. At that time there were 54 tanneries in the country and out of those 30 belonged to
the Pakistani owners. Development of tannery industry in East Pakistan started after the
Partition with an influx of tanners displaced from India and subsequently, with the
establishment of subsidiaries of some companies of West Pakistan. The tanning industry in
East Pakistan and export of leather from the province were mainly in the hands of the non-
Bengali people. A few tanning units, however, belonged to Bengali entrepreneurs but they
were small and of cottage type and they used to process leather mainly for the domestic
markets. Most non-Bengali tanners processed wet-blue and sent the product to West
Pakistan where it was further processed and finished for producing different consumer
36
goods. Till 1960, tanneries of East Pakistan used to process raw hides and skins applying
salt and then drying them in the sun and the material thus developed was known as shaltu.
3.0.3 Post Liberation Period3.0.3 Post Liberation Period
During the war of liberation in 1971 the non-Bengali tanners of Bangladesh left the country
abandoning about 30 tannery units owned by them. After the war, the new government of
Bangladesh vested the management of these units on a newly formed Tannery Corporation,
which was expected to convert them into finished leather manufacture units. Unfortunately,
the corporation did not serve the purpose because of lack of experience and other reasons
including corrupt practices. Later, the government relinquished the Tannery Corporation
and handed over the management of most of these tanneries to Bangladesh Chemical
Industries Corporation (BCIC). Three of them were given to Bangladesh freedom fighters
welfare trust. Both the authorities had miserably failed to manage the tanneries. In 1982,
the government transferred them to private entrepreneurs in pursuance of its general policy
of disinvestments, which had allowed some enterprising Bengalis with little or no
experience in the industry to start wet-blue production.
3.0.4 Present Condition
At present, the leather sector of Bangladesh has 220 processing units located at different parts of the country (mainly in Dhaka) as follows: -
Dhaka (Hazaribag) - 194 unitsDhaka (Dhamrai/Savar) - 3 ”Gazipur (Kaliakoir) - 1 ”Jessore (Noapara) - 1 ”Chittagong - 18 ”Jamalpur - 1 ”Rangpur - 1 ”Khulna - 1 ”
Total : 220 units
37
Only about 50% of the above units are well equipped for processing crust and finished leather. But only 28 tanneries are in operation, among them 20 are operating in crust section and 8 are in finishing section.
According to the records of the Bangladesh Tanners Association, about 3,000 workers are
employed in the tanning industry. Besides, there are about 100 qualified technologists
including foreign nationals who are working in different tanneries. Total capital invested in
the tannery industry is estimated at Tk 2.5 billion, of which government/bank finance is
about Tk 1.2 billion. About 1,500 persons are involved in the process of collecting raw
hides and skins and making them available at tannery units. About 100 organizations
import chemicals for use in tannery industry. Some reputed tanneries of Bangladesh are
Dhaka Leather, Apex Tannery, Lexco, Karim Leather, Samata Tannery and Bay Tannery.
38
Chapter-Four
Production
4.0 Leather Sector in the Economy of Bangladesh
The Leather sector plays a significant role in the economy of Bangladesh in terms of its contribution to export and domestic market. Bangladesh currently produces about 20.0 million sq. meters of leather and leather goods per year. The total production of leather and leather goods shows an increasing trend over the years. Beginning with the 1993/94, the production increased from 14.60 in 1993/94 million sq. meters to 15.90 million sq. meters in 1995/96. It fell to 11.95 million sq. meters in 1996/97. Since 1996/97, there has been a steady increase in the production of leather and leather goods that reached 19.91 million sq. meters in 2000/2001. The following table shows the production of leather and leather goods in the country.
Leather sector is perceived to be one of the important economic sectors in Bangladesh. As a single sector of the economy, the sector contributes modestly to the country’s GDP. Contribution of leather sector (hide &skin, leather and leather goods, and footwear except rubber) to GDP is 0.31 (at constant price) in FY 2003.
Table 4.1: Production of Leather & Leather Goods
Year Unit (Million Sq. Meter)
1993-94 14.601994-95 15.001995-96 15.901996-97 11.951997-98 12.121998-99 16.21
1999-2000 18.312000-2001 19.912001-2002 17.30
2003 22.85*2004 20.78**
Source: Bangladesh Economic Survey, Ministry of Finance, 2002
39
*Leather Sector Census Study, LSBPC, 2005 **Approximate Data from LSBPC
The quantum index of leather and leather goods production increased to 131 in 1998/99 compared to the base year (1988/89=100) and that of leather footwear production rose to 193 for the same period. It is therefore evident that leather is increasingly being used in the production of footwear. The following table shows the trend of production of leather and leather footwear during the 1990/91 through 1998/99 period.
Table 4.2 : Quantum IndexTable 4.2 : Quantum Index of Leather and Leatherof Leather and Leather
Goods and LeatherGoods and Leather FootwearFootwear
(Base: 1988/89=100)
YearProduction Index
Leather & Leather Goods Leather Footwear1990-91 84.34 100.031991-92 92.97 100.071992-93 108.72 110.931993-94 123.44 139.481994-95 126.77 161.761995-96 133.85 174.461996-97 100.84 185.951997-98 102.25 123.171998-99 136.76 192.841999-00 154.41 186.712000-01 165.85 216.672001-02 146.37 229.47
Source: Statistical Year Book of Bangladesh 2002, Bangladesh Bureau of Statistics
Table- 4.3 : Yearly production of Leather Sector by Different Enterprises/Firms
Firm Types Total Production
40
Wet blue (000 sqf.) 35060
Crust (000 sqf.) 66172
Finished (000 sqf.) 134820
Leather Footwear (000 pairs) 16766
Leather Goods (000 pcs.) 766
Note: Data for the period Jan.-Dec.2003.
Source: Leather Sector Census Study, LSBPC, 2005
Table 4.4: Leather Production of the renowned Tanneries of Bangladesh:
Name of the Organization
Annual Production (SFT/Month)
Product
Apex Tannery 1700,000Crust, Printed Bag, Semi Aniline, C\G Glaze Kid
Bay Tannery 600,000Crust, Resin Coat, Semi Aniline C\G, Lining, Brush Off,
SAF Industries 600,000Crust, Semi Aniline C\G, Glaze Mild, Lining,
Bata Shoe co (BD) ltd 400,000C/G, Box Sandle, Semi Aniline, Creasy Horse, Lining
Bengal Leather Complex 500,000Polishable Finish, Crust, Semi Aniline,
Dhaka Hide & Skins 1400,000 Crust, Milled Bag, Repolisable, S/A
H&H /H.B Tannery 500,000Crust, Glaze Kid, C/G, Resin Goat, S/A, Lining
Phoenix Leather 400,000 Crust, C\G, S\AKarim Leathers 500,000 Crust, S\A
Lexco Ltd. 200,000 C\G, S\ASamina Tannery 500,000 Crust, S\A
Riff Leather 200,000 Crust, C\G, S\AModina Tannery 150,000 Crust, S\AReliance Tannery 600,000 Re polish able, Crust,
B.S Leather 200,000 Re polish able, Crust,Progoti Leather Complex 500,000 Crust
Vulua Tannery 600,000 CrustKalam Brothers 300,000 CrustAmin Tannery 200,000 CrustAnwer Tannery 200,000 Crust
Cottege Customer 1000,000 Crust, Repolishable, S/A
41
Total 11250,000 SFT/MONTH
Total Annual Production: 135,200,000 SFT/YearTotal Annual Production: 135,200,000 SFT/YearTotal Crust Production = 101,400,000 SFT/YearTotal Crust Production = 101,400,000 SFT/Year
Total Finish Production = 33,800,000 SFT/YearSource: Shajedul Alam, Internship Report, June 19, 2004, Institute of Business Administration, University of Dhaka;
Source: Magazine, Dhaka International Leather Fair 2005
Table 4.6: Number of Animal Population in Bangladesh (thousand head)
Types 1990 1995 1996 1997 1998 1999 2000 2001 2002 (est.)Bovine Animal
24016
24859
24433
24816 2422024480
24730
24830
24830
Sheep and Lambs
873 1070 1124 1158 1110 1121 1132 1143 1143
Goats and Kids
21031
30330
33312
34478 3350033800
34100
34400
34400
Source: FAO, 2003
42
247 Mio Sq.FtTotal:
63 Mio Sq.ftGoat & Sheep
184 Mio Sq.Ft.Cow & Buffalo
Table4.5: Availability of Raw Materials
Chapter-FiveChapter-Five
Leather ExportLeather Export
5.01 Leather Export Performance of Bangladesh: The ever highest export
performance was achieved in 2000-2001 due to the mad cow disease in EU but after 11 th
September incident, the declining trend cannot be prevented due to the less value addition
capability and non-sustainable nature of the leather sector industry of Bangladesh. The
export performance of Bangladesh after 1999 is shown in table4.1. The Leather export is
almost 2.5 percent to the total export of Bangladesh. Table 4.2 shows how the percentage
of leather export to the total export is decreasing year after year.
Table 5.1: Export performance: From July 1999
Leather (Mn. US$) % Increase or DecreaseJuly 1999- June2000 246.89 -July 2000- June2001 290.68 +17.76%July 2001- June2002 252.49 -13.13%July 2002- June2003 229.72 -9.01%July 2003- June2004 211.41 -7.97%July 2004- June2005 220.93 +4.50%
43
Export Target for July 2005- June2006
235.00
Export Performance for July 2004-Nov 2005
84.37 -
Export Performance for July 2005-Nov 2006
96.21 +14.03%
Source: Export Promotion Bureau of Bangladesh.
Table 5.2: Percentage of the Leather Export to the Total export of Bangladesh:
(Value in million dollar)Year Total Export Leather, Leather
Footwear and Leather Goods export
Leather, LeatherFootwear and Leather Goods as % of Total
Export1998-99 5312.86 219.39 4.39
1999-2000 5752.20 246.89 4.302000-2001 6467.30 290.68 4.502001-2002 5986.09 252.49 4.222002-2003 - 229.72 -
44
2003-2004 7602.99 211.41 2.782004-2005 8654.52 220.93 2.552005-2006 10159.20* 235.00* 2.31
Source: Export Promotion Bureau of Bangladesh (EPB) *Export Target
Hong Kong, Korea Rep., Italy, Japan are the main export destinations of the leather goods
of Bangladesh. Though the Leather export performance of Bangladesh is decreasing day by
day but still some countries like China, Taiwan, Vietnam are showing their interest to
import more leather goods from Bangladesh. In comparison to India and Pakistan the
export performance of Bangladesh shows a very uncomfortable figure. The main reason for
that is the infrastructure of the sector. Although the RMG sector of Bangladesh is booming
even after the post MFA era, foreign investors are not showing interests to invest in the
leather sector of Bangladesh. Even the local investors are not interested to invest in leather
sector, though there are lots of places Bangladeshi investors can invest easily.
Table 5.3: Country Wise Export of leather and Leather Goods during the period of July2004 – March 2005:
Value in ‘000’ US$Country Export Country Export Country ExportArgentina 5 India 1679 Saudi Arabia 2Australia 279 Indonesia 153 Singapore 137Austria 2 Italy 29791 S. Africa 243Belgium 65 Japan 10723 Spain 5701
Benin 21 Korea DPR. 39 Sri Lanka 11Brazil 745 Korea Rep. 20151 Taiwan 7953
Cambodia 426 Local Sale 540 Thailand 742Canada 35 Mexico 1123 Turkey 8China 6049 Myanmar 21 U.A.E 23
Czech Rep. 5 Netherlands 634 U.K 1059East Timor 13 Norway 37 U.S.A 645El Salvador 50 Oman 10 Ukraine 69
Finland 1 Pakistan 62 Uruguay 575France 753 Philippines 166 Venezuela 40
45
Germany 189 Poland 3767 Vietnam 8681Greece 26 Portugal 51
Hong Kong 54584 Qatar 6Hungary 4 Samoa 5
TotaTotall
158621
Source: Foreign Trade Statistics of Bangladesh, 2001-2002
Table 5.4: Export of Leather, Leather Footwear and Leather GoodsTable 5.4: Export of Leather, Leather Footwear and Leather Goods Million US$
Year Leather Leather Footwear Leather Goods Total
Export % of Total Export % of Total Export % of Total1998-1999 168.25 76.69% 46.55 21.22% 4.59 2.09% 219.391999-2000 195.05 79.00% 48.26 19.55% 3.58 1.45% 246.892000-2001 253.93 87.36% 33.63 11.57% 3.12 1.07% 290.682001-2002 207.33 82.1% 41.29 16.4% 3.87 1.5% 252.492002-2003 191.23 83.2% 35.06 15.3% 3.43 1.5% 229.722003-2004 211.41 79.50% 50.86 19.13% 3.64 1.37% 265.91 Bangladesh Export Promotion Bureau
5.02 Sales and Exports of Leather sector Enterprises/Firms
Table show that during January-December 2003, the collective sales of the leather sector firms stood at Tk.23045 million. Of the total sales of the firms, over 75 percent are sold outside the country. Leather processing units exported most of their products that accounted for about 85 percent of their total sales revenue during 2003. Footwear manufacturing firms’ sales revenue from exports accounted for about 40 percent of their total revenue. Leather goods manufacturing firms exported its entire volume of production during 2003.
Table 5.5 : Yearly Value of Sales and Exports by Types of Firms (Tk 000)
Firm Types Sales (Local) Exports Total Sales
Leather Processing 2847600 15622354 18429954
Leather Footwear 2456349 1682140 4138489
Leather Goods 0 437389 437389
Total 5303949 17741883 23005832
Note: Data for the period Jan.-Dec.2003.
46
Table 5.6 : Yearly Value of Sales and Exports by Types of Firms (%)
Firm Types Sales (Local) Exports Total Sales
Leather Processing 15.42 84.58 100
Leather Footwear 59.35 40.65 100
Leather Goods 0 100 100
Total 23.01 76.99 100
Source: Leather Sector Census Study, LSBPC, 2005
5.2.1 Sales and Exports: Leather Processing
Leather processing firms’ sales value stood at about Tk.18470 million during January-December, 2003 (Table 4.7). Exports revenue accounted for about 88 percent from the crust leather and over 97 percent from the finished leather produced by the leather processing enterprises. Except for an insignificant volume, most wet-blue leather is locally used for the production of crust/finished leather. The survey data show that as a whole about 85 percent products of the leather processing firms are exported and total export value stood at Tk. 15622 million (during January-December 2003).
Table5.7 : Annual Volume of Sales and Exports by the Leather Processing Firms (in 000 sqf.)
ProductCategory
Local SalesTotal
Local SalesTotal
ExportsTotal Sales
Volume in sf.Direct Through Agent
Wet Blue 35060 0 35060 0 35060
Crust 5281 3400 8681 57491 66172
Finished 4814 0 4814 130006 134820
Note: Data for the period Jan.-Dec.2003.
Source: Leather Sector Census Study, LSBPC, 2005
Table 5.8: Yearly Sales and Exports by the Leather Processing Enterprises/Firms (Tk000)
Products category
Local SalesTotal
Local SalesTotal
Exports
Total Sales Volume (in Tk. 000)
Direct Through Agent
Wet Blue 1959300 0 1959300 0 1959300
Crust 318850 220000 538850 4141826 4680676
Finished 349450 0 349450 11440528 11789978
47
Total 2627600 220000 2847600 15622354 18429954
Note: Data for the period Jan.-Dec.2003.Source: Leather Sector Census Study, LSBPC, 2005
Table 5.9: Annual Value of Sales by the Leather Processing Enterprises/Firms (%)
Products category
Local Sales Total Local Sales
Total Exports
Total Sales valueDirect Through Agent
Wet Blue 100.0 0 100.0 0 100Crust 6.81 4.70 11.51 88.49 100Finished 4.58 0 2.96 97.04 100Total 18.36 1.54 15.42 84.58 100Note: Data for the period Jan.-Dec.2003.Source: Leather Sector Census Study, LSBPC, 2005
5.2.2 Sales and Exports: Footwear
Still over 50 percent of the footwear manufacturing enterprises’ production is locally consumed. Total local sales stood at Tk.2456 million for the period January-December 2003. Export sales of the footwear firms for the period were Tk.1682 million.
Table 5.10: Yearly Sales and Exports by the Leather Footwear Enterprises/Firms
Local Sales TotalLocal Sales
TotalExports
Total Sales Direct Throug
h Agent
Volume (pair)843550
00
8435500
8309750
16745250
Value in Tk.’000245634
90
2456349
1682140
4138489
Note: Data for the period Jan.-Dec.2003.
Table5.11: Annual Sales and Exports by the Leather Footwear Firms (%)
Local SalesTotal
Local SalesTotal
ExportsTotal Sales Direct Through
Agent
Volume (pair) 50.38 0 50.38 49.62 100
Value in Tk.’000 63.39 0 59.35 40.65 100
Source: Leather Sector Census Study, LSBPC, 2005
5.2.3 Sales and Exports: Leather Goods
All leather goods manufacturing firms (covered under census) are export oriented. Their total sales volume, which is same as their exports, stood at Tk.437 million during the period January-December 2003.
48
Table5.12- Yearly Sales and Exports by the Leather Goods Enterprises
Local SalesTotal
Local SalesTotal
ExportsTotal Sales Direct Through
Agent
Volume (pcs) 0 0 0 764100 764100
Value in Tk.’000 0 0 0 437389 437389
Note: Data for the period Jan.-Dec.2003.Source: Leather Sector Census Study, LSBPC, 2005
Table 4.3 showed the country wise export figure of Bangladesh and the Table 4.13 shows
how country wise export figure changed during 2000-2003 to 2003-2004.
Table 5.13: Country wise changes in Export of Leather: (Value in `000’ US$)
Countries2002-2003 2003-2004
Value% of Total Value % of Total
Hongkong 69039 36.10 72026 34.06Italy 38621 20.20 43601 20.62
Koria Rep. 13736 7.18 19779 9.36Japan 15029 7.86 15188 7.18
Taiwan 11556 6.04 11850 5.61Vietnam 4928 2.58 11500 5.44
Spain 6821 3.57 9709 4.59China 5932 3.10 7655 3.62
Mexico 2027 1.06 2160 1.02UK 1507 0.79 1228 0.58
France 1779 0.93 1106 0.52USA 983 0.51 631 0.30
Germany 818 0.43 549 0.26Others 18450 9.65 14430 6.84Total 191226 100.00 211412 100.00
Source: EPB Export Statistics
49
Table 5.14: Company wise Export of Leather Goods & Footwear from Bangladesh(Export Period: 01/01/2005 ~ 24/11/2005)
Source: Leather goods & Manufacturers & Exporters Association of Bangladesh.
Name of the Company Value in US$Legacy Footwear Ltd. 5508573.5Jennys Shoes Ltd. 3775499.81Picard Bangladesh Ltd. 3130611.97Leatherex Footwear Ltd. 1631819.61H.N Shoes Ltd. 1054264.91Cosmic Jute & Leather Ind. Ltd. 884406.75Shampan Shoes Ltd. 771231.60Savar Ind. Pvt. Ltd. 507352.22Bangladesh Export Ltd. 432373.06Landmark Footwear Ltd. 221137.63Vannara Corporation Ltd. 219053.3RMM Leather Ind. Ltd. 164923.28Apex Leather Craft Fashion 149779.03Bani Footex 131864.3Bay Footwear 131660Advanced Ind. Management Co. Ltd. 103890.61Malim BD. Co. Ltd. 85356.65MAMC 84174.50Surma Leather & Footwear Ind. Ltd. 74735.5Sonali Ansh Ind. Ltd. 68737.68Apex Footwear Ltd. 63310Legacy Footwear Ltd. 61119.88Hara Leather 46843Rexus Leather Club 40270Crown Leather Products Ltd. 29219Creative Products 27365Anowara Leather 14520Tropical Shoes Ltd. 7560
50
Chapter-Six
Raw Materials
6.1 Raw Materials used by the Leather Firms
From the survey data it is transpires that raw materials used by the leather sector firms are procured mainly from local market. Except for an insignificant proportion, almost all raw materials of wet blue i.e. raw hides are collected from the local sources. Raw materials for crust leather and finished leather are wet-blue and crust respectively. About 99 percent of the raw materials of wet blue, crust and finished leather are sourced locally. Of the broad categories of leather firms, footwear sector used highest proportion of raw materials (includes finished leather, lining leather sole, etc.) from external sources, which is 3.13 percent of the total used by the sector.
Table 6.1 -: Yearly Raw Materials used in the Leather Sector to produce different types of product (in Tk.000)
Types of ProductName of Raw
materialsLocal Foreign Total
Wet blue Raw hides 1276262 5040 1281302
Crust Wet blue 2756629 41300 2786474
Finished Crust 7428519 34000 7462519
FootwearFinished, lining leather, Sole etc.
1146399 38236 1184635
Leather GoodsFinished & lining leather
90466 0 90466
Source: Leather Sector Census Study, LSBPC, 2005
Table 6.2 -: Yearly Raw Materials used in the Leather sector by types (%)
Types Name of Raw materials Local Foreign Total
51
Wet blue Raw hides 99.60 0.40 100
Crust Wet blue 98.93 1.07 100
Finished Crust 99.54 0.46 100
FootwearFinished, lining leather, Sole etc.
96.77 3.23 100
Leather Goods Finished & lining leather 100 0 100
Source: Leather Sector Census Study, LSBPC, 2005
6.2 Raw Materials: Leather Processing
Leather processing units or tanneries produce wet-blue, crust, and finished leather. In producing wet-blue and crust, the firms use raw hides and wet-blue as raw materials respectively. Crust leather is used as raw materials for producing finished leather.
6.2.1 Raw Materials for Wet Blue
Raw hides used for producing wet-blue are mainly procured from local sources. Locally,
raw hides are collected mainly from leather depot located at Dhaka, Chittagong, Comilla,
Kustia, Natore and Rangpur. Only an insignificant volume of camel hide is imported from
external sources. South Africa was the only source of camel hide imports in 2003.
Table 6.3 : Yearly Raw Materials used for Producing Wet Blue
Hide and Skin
Local Foreign Total
Quantity(000pcs)
Value in Tk.000
Quantity(pcs)
Value in Tk.000
Quantity(000pcs)
Total ValueTk.000
Cow 856 1074032 0 0 856 1074032
Buffalo 107 88835 0 0 107 88835
52
Goat 1035 97495 0 0 1035 97495
Sheep 115 12034 0 0 115 12034
Cow/Buffalo head 41 3866 0 0 41 3866
Camel 0 0 4 5040 4 5040
Total 2154 1276262 4 5040 2158 1281302
Source: Leather Sector Census Study, LSBPC, 2005
Table 6.4 : Yearly Raw Materials used for Producing Wet Blue (%)
Raw materials for Wet blue
Local Value (%)
Foreign Value (%)
Total Value(%)
Cow 100 0 100
Buffalo 100 0 100
Goat 100 0 100
Sheep 100 0 100
Cow/Buffalo head 100 0 100
Camel 0 100 100
Total 99.60 0.40 100Source: Leather Sector Census Study, LSBPC, 2005
6.2.2 Raw Materials for Crust
Wet blue, raw materials for producing crust is mainly collected from local sources
particularly from Dhaka. A small quantity of wet-blue to prepare crust leather is collected
from Chttagong and Jessor. Very insignificant volume of raw materials is imported. In
2003, only about 1.5 percent of total raw materials (wet blue cow and camel) was imported
from South Africa, Australia, and Brazil .
Table 6.5 : Yearly Raw Materials used for Producing Crust Leather
Raw materials for crust
Local Foreign Total
Quantity (000sqf)
Value in Tk.000
Quantity (000 sqf)
Value in Tk.000
Quantity(000sqf)
Total Value Tk.000
Cow 23358 1524583 530 33300 23888 1557884
Buffalo 11210 447936 0 0 11210 444480
Goat 11016 603330 0 0 11016 603330
53
Sheep 1848 161580 0 0 1848 161580
Others 240 19200 0 0 240 19200
Camel 0 0 100 8000 100 8000
Total 47672 2756629 630 41300 48302 2786474
Source: Leather Sector Census Study, LSBPC, 2005
Table 6.6: Yearly Raw Materials used for Producing Crust (%)
Raw materials for crust
Local Value (%)
Foreign Value (%)
Total Value(%)
Cow 97.86 2.14 100
Buffalo 100 0 100
Goat 100 0 100
Sheep 100 0 100
Others 100 0 100
Camel 0 100 100
Total 98.52 1.48 100
6.2.3 Raw Materials for Finished Leather
Crust leather used for producing finished leather is also collected mainly from local
sources. Only a very insignificant volume of cow crust is imported to produce finished
leather. In 2003, cow crust was imported from Australia valued Tk.34 million.
54
Table 6.7 : Yearly Raw Materials used for Producing Finished Leather
Raw materials for finished
Local Foreign Total
Quantity(000sqf)
Value in Tk.000
Quantity(000 sqf)
Value in Tk.000
Quantity(000sqf)
Total ValueTk.000
Cow Crust 55488 4396440 400 34000 55888 4396840
Buffalo Crust 8822 494124 0 0 8822 494124
Goat Crust 23019 1979055 0 0 23019 1979055
Sheep Crust 5412 558900 0 0 5412 558900
Total 92741 7428519 400 34000 93141 7462519
Source: Leather Sector Census Study, LSBPC, 2005
Table 6.8 : Yearly Raw Materials used for Finished Leather (%)
Raw materials for finished
Local Value (%)
Foreign Value (%)
Total Value(%)
Cow Crust 99.23 0.77 100
Buffalo Crust 100 100 100
Goat Crust 100 100 100
Sheep Crust 100 0 100
Total 99.55 0.45 100
6.2.4 Raw Materials: Footwear
Other than finished leather, some other raw materials as lining leather, artificial sole,
insole-leather etc. are used in producing footwear by the footwear-manufacturing firms.
Footwear manufacturing units imports comparatively greater volume of raw materials (as
compared to leather processing and leather footwear sector) from external sources.
Footwear manufacturing units imported over 3 percent of their total raw materials
amounted to about Tk. 38 million during January to December 2003. Sources for local raw
materials are mainly Dhaka and Chittagong. Of the external sources, finished leather is
mainly collected from Pakistan and China. Artificial sole is imported mainly from India,
Indonesia, China and Taiwan, and lining leather is collected mainly from China, Taiwan
55
and Pakistan. China, India and Italy are the major sources of in-sole leather. Some
footwear raw materials are also imported from Canada, France and Germany.
Table 6.9: Yearly Raw Materials used for Producing Footwear
Name of raw materials for footwear
Local Foreign Total
Quantity sqf. 000
Value in Tk. 000
Quantitysqf. 000
Valuein Tk. 000
Total quantity
Total value Tk. 000
Finished Leather 9932 823434 225 25350 10157 848784
Lining Leather 2944 134023 506 8960 3450 142983
Artificial Sole 1806 155317 855 3266 2661 158583
In-sole Leather 639 33063 45 660 684 33723
Others 7 562 0 0 7 562
Total 15328 1146399 1631 38236 16959 1184635
Table6.10 : Raw Materials used for Footwear (%)
Raw materials for Footwear
Local Value (%)
Foreign Value (%)
Total Value(%)
Finished Leather 97.01 2.99 100
Lining Leather 93.73 6.27 100
Artificial Sole 97.94 2.06 100
In-sole Leather 98.04 1.96 100
Others 100 0 100
Total 96.77 3.23 100
Source: Leather Sector Census Study, LSBPC, 2005
6.2.5 Raw Materials: Leather Goods
The leather goods producing firms that are very few in number use basically finished leather and lining leather as raw materials. The value of the raw materials used by the leather goods manufacturing units constitute less than 8 percent of the raw materials used by the footwear manufacturing units. All of the raw materials of the leather goods manufacturing firms are collected from local sources.
Table 6.11: Yearly Raw Materials used for Producing Leather Goods
56
Raw materials for crust
Local Foreign Total
Quantity (000sqf)
Value in Tk.000
Quantity (000 sqf)
Value in Tk.000
Quantity(000sqf)
Total Value Tk.000
Finished Leather
1365 87366 0 0 1365 87366
Lining Leather 50 3100 0 0 50 3100
Total 1415 90466 0 0 1415 90466
Source: Leather Sector Census Study, LSBPC, 2005
6.3 Availability of raw material in Bangladesh
Table 6.12Total Number (Head)
Hides & Skins (piece)
Hides & Skins (Sq.ft)
Cow/Buffalo/Calf 24.31 million 5.31 million 116.00 millionGoat/Sheep 32.70 million 19.70 million 64.00 million
Source: 1. Bureau of Statistics 2. Livestock Census 3. ITC 4. FAO
Table6.13 Availability of raw material (Division wise) (Piece)
Dhaka Chittagong Rajshahi Khulna TotalCow/Buffalo/Calf
13,78,700 12,60,500 15,90,800 10,72,700 53,02,700
Goat/Sheep 39,40,000 43,37,000 55,16,000 59,07,000 1,97,00,000
Source: 1. Bureau of Statistics 2. Livestock Census 3. ITC 4. FAO
Chapter-Seven
57
SWOT Analysis
7.1 S trengths
7.1.1 Strengths of the Firms: Leather Processing
The SWOT analysis is based on the opinions of the leather sector firms. The survey reveals that ‘higher productive capacity’ is the main strength of the maximum number of firms of the leather processing industry. Main strengths of the leather processing industry as identified by the leather processing firms in the survey are as follows:
Table 7.1: Strengths of the Leather Processing Firm
Strengths Percent of Total Firms
Production capacity 70%
Competitive price 67%
Cheap Labour 66%
Market Information 56%
Better management 54%
Figure: 7.1 Strengths of the Leather Processing Firms
58
With high installed capacity and better utilization of that capacity, firms can economize on the costs and offer competitive price. It is recognized that the element of competitive price is related to productivity and cost of production. Hence firms with better productive capacity can offer better price to their clients. Generally, productivity of the big firms is expected to be higher than that of smaller firms with low productive capacity. Availability of cheap labour is another common advantage in the leather processing. This sector is relatively more labour-intensive than other two sectors (footwear and leather goods).
7.1.2 Strengths of the Firms: Leather Footwear
As is leather-processing industry, ‘higher productive capacity’ is the main strength of the maximum number of firms operating in the footwear industry. The major strengths of the firms as identified in the survey (as opined by the firms) are as follows:
Table 7.2: Strengths of the Leather Footwear Firm
Strengths Percent of Total Firms
Production capacity 74%
Better quality of management 66%
Sufficient supply of processed leather 65%
Trained manpower 60%
Quality Control 58%
59
Figure: 7.2 Strengths of the Leather Footwear Manufacturers
Footwear firms appear to have emphasis on the quality of management of the firms. Adequate supply of processed leather (from the leather processing firms) is the third most important factors that determine the strength of the footwear firms. Quality control appears to have provided competitive advantages to a good number of firms.
7.1.3 Strengths of the Firms: Leather Goods
Better management quality, and quality control came up as the main strengths of the leather goods producing firms. A list of major strengths of the footwear manufacturing firms as identified in the survey (as opined by the firms) are presented in table 7.3.
Table 7.3: Strengths of the Leather Goods Firm
Strengths Percent of Total Firms
Better management Quality 71%
Quality control 69%
Sound environmental management 64%
Market information 60%
Production Capacity 48%
60
Figure: 7.3 Strengths of the Leather Goods Manufacturers
As in case of footwear, leather goods manufacturing firms also appear to put considerable emphasis on better management quality and quality control. Environmental management and market information have also been identified by considerable percentages of firms as may be expected from a hundred percent export oriented industry.
7.2 W eaknesses
7.2.1 Weaknesses of the Firms: Leather Processing
Size of the firms and financial crisis are found to be the main weaknesses of the firms operating in the leather processing industry. The major weaknesses of the firms as identified in the survey (as opined by the firms) are as follows:
Table 7.4: Weaknesses of the Leather Processing Firm
Weaknesses Percent of Total Firms
61
Low Volume of Production 82%
Financial Crisis 80%
Weak Marketing 64%
Inefficient Management 46%
Figure: 7.4 Weaknesses of the Leather Processing Firms
In global context the smaller leather processing firms produce lower quantity that precludes them in attaining economies of scale. Generally, leather-processing firms face financial difficulty and have no marketing strategy. Of the leather processing firms, 46 percent identified inefficient management as one of their main weaknesses.
7.2.2 Weaknesses of the Firms: Leather Footwear
‘Financial Crisis’ is found to be the main weakness of the leather footwear industry. The major weaknesses of the footwear firms as identified in the survey (as opined by the firms) are as follows:
Table 7.5: Weaknesses of the Footwear Firm
Weaknesses Percent of Total Firms
Financial Crisis 92%
62
Weak Marketing 86%
Low Volume of Production 84%
Uncompetitive Product Price 80%
Figure: 7.5 Weaknesses of the Leather Footwear Manufacturers
Generally, footwear firms face financial difficulty and lack effective marketing strategy. Size of the firms in global context is smaller which is a notable obstacle in achieving economies of scale and offering competitive price.
7.2.3 Weaknesses of the Firms: Leather Goods
In line with leather footwear, ‘financial Crisis’ is found to be the main weakness of the leather goods manufacturing industry. The major weaknesses of the leather goods firms as identified in the survey (as opined by the firms) are as follows:
Table 7.6: Weaknesses of the Leather Goods Manufacturing Firm
Weaknesses Percent of Total Firms
Financial Crisis 88%
Weak Marketing 87%
Low Volume of Production 87%
Uncompetitive Product Price 74%
63
Figure: 7.6 Weaknesses of the Leather Goods Manufacturers
About 90 percent leather-goods manufacturing firms have identified ‘financial difficulty’ as their one of the major weakness. The firms also lack effective marketing strategy. Size of the leather goods firms in global context is smaller which is a notable obstacle in achieving economies of scale and offering competitive price.
7.3 O pportunities
7.3.1 Opportunities of the Firms: Leather Processing
‘Cheap Supply of Labour’ is found to be the main aspect the opportunities the leather processing firms enjoy. The major aspects of opportunities of the leather processing firms as identified in the survey (as opined by the firms) are as follows:
Table 7.7: Opportunities of the Leather Processing Industry
Opportunities Percent of Total Firms
Cheap Supply of Labour 82%
Sufficient Supply of Hide and Skin 64%
Stable Global Demand 62%
Favourable Business Environment 60%
Conducive Industrial Policy 58%
64
Figure: 7.7 Opportunities of the Leather Processing Firms
It is obvious that availability of cheap labour can provide considerable cost advantage to the firms of a particular area/location. Leather Processing firms located in Bangladesh have been availing the opportunity. Supply of raw materials, global demand of the footwear, and business environment are also found to be positive from the firms’ point of view.
7.3.2 Opportunities of the Firms: Leather Footwear
‘Stable glocal demand’ is found to be the main aspect of the opportunities the footwear firms currently have. The major aspects of opportunities of the footwear firms as identified in the survey (as opined by the firms) are as follows:
Table 7.8: Opportunities of the Footwear Industry
Opportunities Percent of Total Firms
Stable Global Demand 60%
Conducive Industrial Policy 58%
Favourable Business Environment 57%
Cheap Supply of Labour 51%
Duty Free Access in Major Markets 51%
65
Figure: 7.8 Opportunities of the Leather Footwear Manufacturers
The footwear firms found the current stable global demand condition for the Bangladeshi footwear is a major aspect of opportunity on the way towards expanding export markets for footwear. The industrial policy and business environment are found to be positive for them and availability of cheap labour is an added advantage.
7.3.3 Opportunities of the Firms: Leather Goods
The ‘Industrial Policy’ is found to be positive for the leather goods manufacturing firms. The major aspects of opportunities of the leather-goods firms as identified in the survey (as opined by the firms) are as follows:
Table 7.9: Opportunities of the Leather Goods Industry
Opportunities Percent of Total Firms
Conducive Industrial Policy66%
Favourable Business Environment 60%
Cheap Supply of Labour 58%
Stable Global Demand 58%
Duty Free Access in Major Markets 51%
66
Figure: 7.9 Opportunities of the Leather Goods ManufacturersThe industrial policy and business environment, and cheap supply of labour are found to be advantageous for the leather goods manufacturing industry, as opined by most firms of the industry. Current global demand condition appeared to be favourable for these firms.
7.4 T hreats
7.4.1 Threats to the Firms: Leather Processing
‘Disruption of electricity’ is found to be the main aspect of threat to the leather processing firms of Bangladesh. The major aspects of threats of the leather processing firms as identified in the survey (as opined by the firms) are as follows:
Table 7.10: Threats for the Leather Processing Industry
Threats Percent of Total Firms
Disruption of Electricity74%
Hartals, strike, and other disturbances 72%
Unstable Policy Environment 68%
External Competition 64%
Lack of Trained Labour 62%
Environment consciousness in Importing Countries 60%
Shortage of Water Supply 58%
67
Figure: 7.10 Threats of the Leather Processing Firms
Practically, ‘disruption of electricity’ and ‘hartal strike etc.’ are very common aspects of threats facing by the industry sector of the country in general. Inadequate infrastructural facilities like insufficient supply of electricity and shortage of water supply affect optimum capacity utilization, volume of production, and destroy cost advantage. Such problem is particularly threatening in an atmosphere of growing global competition. Moreover, environment consciousness in importing countries mainly in the developed world is the cause of concern for the exporting countries like Bangladesh where environmental issues are not strongly addressed both in firm and policy level. Moreover, Firms also do not get sufficient trained people.
7.4.2 Threats to the Firms: Leather Footwear
As in leather processing sector, ‘disruption of electricity’ is found to be the main aspect of threat to the footwear firms of Bangladesh. The major aspects of threats of the footwear firms as identified in the survey (as opined by the firms) are as follows:
Table 7.11: Threats for the Footwear Industry
68
Threats Percent of Total Firms
Disruption of Electricity74%
Hartals, strike, and other disturbances 68%
External Competition 68%
Environment consciousness in Importing Countries 60%
Shortage of Water Supply 58%
Figure: 7.11 Threats of the Leather Footwear Manufacturers
Inadequate infrastructure facilities like insufficient supply of electricity and shortage of water supply are among the major causes of concern for the footwear firms. Growing external competition and environment consciousness in the importing countries may affect the export market of the footwear firms in coming days.
7.4.3 Threats to the Firms: Leather Goods
69
In line with the leather processing and footwear sectors, ‘disruption of electricity’ is found to be the main aspect of threat to the leather goods manufacturing firms of Bangladesh. The major aspects of threats of the leather goods manufacturing firms as identified in the survey (as opined by the firms) are as follows:
Table 7.12: Threats for the Footwear Industry
Threats Percent of Total Firms
Disruption of Electricity74%
Lack of Trained Labour 64%
External Competition 62%
Hartals, strike, and other disturbances60%
Environment consciousness in Importing Countries 58%
Figure: 7.12 Threats of the Leather Goods Manufacturers
Other than inadequate supply of electricity, leather goods manufacturing firms face lack of trained labour force to be employed. Growing external competition and environment consciousness in the importing countries may affect the hundred percent export-oriented leather goods sector of the country in near future.
Chapter-Eight
Production Stages
8.1 Production Stages in Leather Processing Industry
70
Finished
Crust Leather(Natural /dyed)
Sorting
Buffing & Dedusting
Impregnation &
Drying
Hydraulic Pressing
Rebuffing & Dedusting
Color Coating (By pad/spray Roller
coater)
Drying
Ironing/Embossing
Color Coating (By Sprayer & drying)
Plating/Glazing
Finished
Wet Blue
Raw/wet saltedHides & Skins
(Sorted & Trimmed)
Raw/SaltedWeighing
Washing & Soaking (in drum/
paddle/pit)
Liming (In drum//paddle/pit)
Fleshing
Pelt Weighing
Deliming (in drum)
Bating (in drum)
Pickling (in drum)
Tanning (in drum)
Wet Blue
Scudding
Crust
Wet blue Leather
Splitting
Shaving
Shaved weighing
Neutralization
Retaining/Dyeing
Fat liquoring(in drum)
Setting
Drying (Vacuum/ Tunnel/Natural)
Conditioning (By sawdust/ water)
Staking
Toggle Drying
Trimming
Crust
Samming
71
8.2 Production Stages in Footwear and Leather Goods Industries
Designing
Pattern Making Designing of Footwear
Footwear Leather Goods
Designing
Pattern Making of Leather Goods
Cutting
1. Selection of Leather/Materials2. Cutting3. Splitting4. Skiving
Cutting
1. Selection of Leather/Materials2. Cutting3. Splitting4. Skiving
Closing
1. Embossing/ Printing2. Adhesive3. Folding4. Strap cutting5. Stitching
Closing
1. Embossing/ Printing2. Adhesive3. Folding4. Strap cutting5. Stitching
Finishing
Total Finishing Work
Finishing
Total Finishing Work
Footwear Leather Goods
72
8.3 Description of the various Stages of Leather Processing:
8.3.1Wet-Blue Section:
Name of operation Objectives Generic names of chemicals
Chemicals Required
Curing/ Preservation
Dehydration
Soaking Restore Moisture to original condition
Soaking Preservatives/ Enzymes
Sodium sulfide, sodium hydroxide, sodium tetra sulfide Decaltal types, formic acid, bi sulfite solution, sodium bi sulfite.
Liming and Unhairing
Removing the hair and opening up of fibre structure for tannage
Liming Auxiliaries Sodium sulfide, Sodium hydrosulfide. Hydrated lime powder (calcium hydroxide). Seldom slaked lime (lime paste). Sodium chlorite
Washing after liming
Cleaning for fleshing and start delime by thorough washing
Fleshing Removing fat and surplus flesh to give a Cleaner surface for better penetration of the subsequent chemicals
Deliming Replacing strong alkali, Reducing Swelling
Deliming agents Hydrochloric acid, Sulfuric acid, Formic acid, acetic acid, Lactic acid, Boric acid, Ammonium chloride, Sodium meta by sulphate
Bating Producing a smooth, clean grain by enzyme action, removing unwanted proteins
Bating Agents Enzymes, wood flour as carrier substance, ammonium salts, neutral salts as buffering and deliming agents
Pickling Prepaing pelt for chrome tanning by acidification
Pickling Agents Formic Acid
73
Name of operation Objectives Generic names of chemicals
Chemicals Required
Chrome Tanning Making Leather resistant to purification, Increasing Thermal Stability
Tanning Agents Chrome Tanning Agents, (chromium(III) salt, ca. 25 % Cr2O3, ca. 33 % basicity), Aluminium tanning agent( ca. 16 % Al2O3, ca. 50 % basicity.) Combination of Al and Cr ( Ca. 14 % Al2O3, ca. 3.0 % Cr2O3; ca. 20 % basicity.)Other agents: Chromium (acelate, Sulphate, chloride) potassium dichromate etc.
Sammying To remove the unbound water so that the hide can be split or shaved with an even or consistent moisture content
Splitting To reduce thickness and separate splitting part
Shaving The final adjustment for thickness
Source: Leather Sector Census Study, LSBPC, 2005
& Pocket Handbook of Leather Technology, 2004, BASF
8.3.2 Crust Section:
Name of operation Objectives Generic names of chemicals
Chemicals Required
Neutralization Preparing Tanned leather for retannage
Neutralizing Agents Sodium Carbonate, BoraxSodium Bicarbonate, Ammonium Bicarbonate, Sodium (Sulphite, Thiosulphate, acetate, formate), Calcium Formate etc.
Retanning Using suitable chemicals for the final product requirement
Retanning Agents Phenol, Nepthalane, B- Napthole, Aromatic Ether
Dyeing To impart requisite colour on leather
Dyes
Fat liquoring To soften the leather Fat Liquoring Agents Untreated oils, fats and waxes Emulsified oils and fats Chlorinated oils and fats Sulfonated oils, fats and fatty alcohols, Oxidation products of oils and fats
74
Name of operation Objectives Generic names of chemicals
Chemicals Required
Setting Out Removing wrinkles as much as possible and mechanically held water before drying
Drying Removal of water without damaging Leather quality
Conditioning Controlled addition of moisture
Staking/Vibration Soften by separating the fibres
Toggle Drying Complete the drying under streching condition
Trimming Removal of irregular edges, damaged portion
8.3.3 Finishing Section:
Name of operation ObjectivesSorting To examine Quality and select different grades for
end productsBuffing Up gradation of lower grade leather through
shaping/ buffing of grain surfaceFinishing Producing the finished film
a. Ground Coat Providing suitable base for better adhesion and makes the leather surface smooth, uniform and impermeable
b. Season Coat Covering the major proportion of the film thickness and getting skewed between ground and top layer, Sealing from both sides by impermeable ground and top layer
c. Top Coat Providing required degree of gloss, feel handle and final appearance of the finished leather
Pressing Providing smooth or embossed/ printed surface with ironing/ plating
Milling Mechanically softenning of the semifinised leatherFinal Gradation Examine quality and allocate each finished piece of
gradeMeasuring
Source: Leather Sector Census Study, LSBPC, 2005
& Pocket Handbook of Leather Technology, 2004, BASF
75
Chapter-Nine
LEATHER CHEMICALS & ACCESSORIES
(Data Collected from Secondary Survey)
9.0 Chemicals and Accessories: Leather Sector
A number of chemicals are used in the leather processing, footwear manufacturing and leather goods manufacturing units most of which are foreign chemicals. In terms of value, above 87 percent chemicals used by the leather sector firms are of foreign origin. Above 95percent (of the total value) of the chemicals used in the productions of crust and finished leather are foreign. Over 70percent (of the total value) of the chemicals used by the footwear manufacturing are foreign made. Data collected from the secondary sources show that leather goods manufacturing units depend mainly on local chemicals (Table *.2).
Table 9.1: Yearly value of Chemicals used by the Leather Sector Firms (by sources)
Production typeLocal
Value in Tk.000Foreign
Value in Tk.000Total, Value
in Tk.000
Wet-Blue 20,685 63,938 84,623
Crust Leather 2322 116720 119042
Finished Leather 1679 44791 46469
Footwear 12660 42609 55269
Leather Goods 1636 18 1654
Total 38982 268076 307058
Source: Leather Sector Census Study, LSBPC, 2005
Table 9.2: Distribution of Chemicals used by the firms of the Leather Sector (%)
Production type
Local Value Foreign Value Total Value
Wet-Blue 24.44 75.56 100
76
Crust Leather 1.95 98.05 100
Finished Leather
3.61 96.39 100
Footwear 29.70 70.30 100
Leather Goods 90.0 10.0 100
Total 19.20 80.80 100
Table 9.3: Yearly Value of Accessories used by the Footwear and Leather Goods Manufacturing Units (by sources)
Types of Production
Local ForeignTotal
Value in Tk.000
Value % of Total
Value in Tk.000
Value%of Total
Value in Tk.000
Value%of Total
Footwear 73961 80.76 17616 19.24 91577 100
Leather Goods 237 27.40 628 72.60865 100
Total 74198 80.30 18244 19.70 92442 100
Source: Leather Sector Census Study, LSBPC, 2005
Most accessories used by the footwear and leather goods manufacturing enterprises are
locally made. As a whole, about 20 percent of the accessories used in the production of
footwear and leather goods are foreign made. About 81 percent (of the total value)
accessories used by the footwear-manufacturing units are local accessories.
9.1 Chemicals: Leather Processing
9.1.1 Leather Processing: Wet-Blue
Secondary data show that over 75 percent (of total value) of the chemicals used for the production of wet-blue by the tanneries are foreign-made. There are chemicals that are supplied by both local and foreign sources like sodium chloride, sodium carbonate, ammonium sulphate, sulphuric Acid, Bating Agent etc. However, some chemicals like enzymatic soaking agent, sodium formate, masking agent etc. are exclusively supplied from external sources (Table 9.4). In 2003, major suppliers of the chemicals were Germany, China, Italy and UK .
Table 9.4: Yearly Value of Chemicals used for the Production of Wet-Blue
Name of Chemicals
Local Foreign Total
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
77
Sodium chloride 1630.84 13,642 4 86 1634.84 13,728
Soaking Agent 72.835 2,770 17.8 1,021 90.135 3,791
Enzymatic Soaking Agent
- - 15.54 2,359 15.54 2,359
Sodium Sulphide - - 228.65 4,880 228.65 4,880
Lime Auxiliaries 16.8 690 72.015 6,509 87.715 7,199
Bactericide - - 13.825 482 13.825 482
Ammonium Chloride
1 - 46.745 1,149 47.745 1,149
Sodium Carbonate 0.55 161 44.17 984 44.72 1,145
Oxalic Acid - - 14.18 658 14.18 658
Sodium Formate - - 48.23 1,387 48.23 1,387
Magnesium Oxide - - 27.915 3,926 27.915 3,926
Ammonium Sulphate/Dolomite
138 1,518 18.86 534 156.86 2,053
Bating Agent 13.13 181 53.59 3,343 62.02 3,524
Sulphuric Acid 74.46 1,342 8.41 301 82.87 1,643
Formic Acid 5.77 168 73.55 4,123 78.55 4,291
Basic Chrome powder
2.1 89 512.92 24,572 513.02 24,661
Sodium Bicarbonate
0.65 11 54.12 1,789 54.77 1,799
Masking Agent - - 6.96 1,129 6.96 1,129
Preservative 0.125 113 6.96 4,706 6.79 4,819
Total 1956.26 20,685 1274.47 63,938 3202.38 84,623
Source: Leather Sector Census Study, LSBPC, 2005
9.1.2 Leather Processing: Crust Leather
As the survey data show over 98 percent of the chemicals used for the production of crust
leather (from wet-blue) are foreign made. Other than a few chemicals like basic chroming
sulphat, phenolic syntan etc. generally chemicals have both local and foreign suppliers.
However, very insignificant volumes of local chemicals are used as compared to the
foreign chemicals. Foreign chemicals used are mainly made in Germany, UK, Holland,
and Italy .
78
Table 9.5: Yearly Value of Chemicals used for the Production of Crust Leather
Name of Chemicals
Local Foreign Total
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
Basic Chroming Sulphate
- 0 79.46 3564 79.46 3564
Sodium Formate 0.75 21 47 1233 47.75 1254
Na-EDTA 1 94 2.36 217 3.36 311
Acrylic syntan 2 176 83.28 9022 85.28 9198
Phenolic syntan - 0 57.50 7891 57.50 7890
Melamine /Urea syntan
2 212 72.16 8601 74.16 8813
Replacement syntan
1.8 225 82.97 9222 84.77 9447
Vegetable extracts 2.5 188 130.89 8742 133.39 8930
Dyestuffs 1.4 770 54.22 31506 55.52 32275
Fat Liquors 3.5 473 196 26408 199.5 26880
Formic Acid/Acetic acid
1 51 58.54 31667 59.54 3217
Dye Auxiliaries - 0 12.69 2559 12.69 2559
Preservative 0.13 113 5.1 3633 5.23 3745
Aldhyde Tannin - 0 3.68 956 3.68 956
Total 16.07 2322 885.86 116720 901.84 119041
Source: Leather Sector Census Study, LSBPC, 2005
9.1.3 Leather Processing: Finished Leather
Over 95 percent (of the total value) of the chemicals used in the production of finished leather (from crust) are foreign-made. Except for a few, almost all chemicals have domestic suppliers, however, uses of local-made chemicals are very limited. Most of the chemicals used to produce finished leather are made mainly in Germany, Italy, UK, and Holland.
Table 9.6: Yearly Value of Chemicals used for the Production of Finished Leather
Name of Chemicals
Local Foreign Total
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
Quantity (MT)
(Value in Tk.000)
79
Acrylic binder 0.75 37 10.33 3296 11.08 3334
Butadyne binder 0.8 40 1.75 495 2.55 535
Protein Binder 0.8 50 14.83 3867 15.63 3917
Wax emulsion 0.3 81 7.97 3081 8.27 3162
Penetretor 0.17 15 14.34 3958 14.51 3973
Nitrocellulose binder
4.16 1172 13.29 4712 17.45 5884
Poly Eurathane binder
0.75 52 14.70 4778 15.46 4830
Dye liquid 0.1 100 8.67 7312 8.77 7412
Filler 0.35 20 4.13 1222 4.49 1242
Pigments 1.4 60 12.54 3083 13.94 3143
Acetic Acid 0.05 2 2.47 170 2.52 172
Matting Agent 0.13 17 3.69 1498 3.81 1515
Film Modifier 0.05 20 4.08 3906 4.14 3926
Pull-up Wax - 0 2.44 949 2.44 949
Pullup oils - 0 4.02 1450 4.02 1450
Cross linkers 0.02 10 0.355 900 .37 910
Solvent - 0 0.35 105 .35 105
Formal dehyde - 0 0.05 3 .05 3
Total 9.83 1678 120 44790 129.83 46468
Source: Leather Sector Census Study, LSBPC, 2005
9.2 Chemicals and Accessories: Footwear
Table 9.6: Annual Chemical used for the production of Footwear Local Foreign Total
Name of Chemicals Quantity in Kg Value in Tk Quantity in Kg Value in Tk Quantity in Kg Value in Tk
Aqua Solar 0 0 2.5 6250 2.5 6250Aciton 0 0 130 26000 130 26000Batal Acid 10 1500 0 0 10 1500Belco 37 9300 0 37 9300EMK 10 100 85 25500 95 25600Gail Goods 0 0 3 6300 3 6300Glace 0 0 1009 402520 1009 402520Hardner 0 0 790 723000 790 723000Lacker 20 3000 0 0 20 3000
80
Ligar 0 0 9 1440 9 1440Liquid Spray 0 0 25 11750 25 11750Latex 0 0 2600 260000 2600 260000MEK 0 0 630 78900 630 78900Oxalic 0 0 600 27000 600 27000Polishing Cream 22 6600 60 17400 82 24000Powder Dice 0 0 500 18000 500 18000Pasting 19505 1462500 0 0 19505 1462500Primer 0 0 1760 607000 1760 607000Pigment 10 2000 0 0 10 2000Spray 0 0 48 17700 48 17700Solution 19500 1365000 5000 400000 24500 1765000Shining 0 0 1800 2160000 1800 2160000Split 0 0 40 1200 40 1200Solvent Laker 20 2100 15 3000 35 5100Season 15 1500 0 0 15 1500Sufar 25 1500 0 0 25 1500Thinner 0 0 3570 286700 3570 286700Tolbin 0 0 1550 131250 1550 131250Adhesive 0 0 7200 1008000 7200 1008000Ecosolar 0 0 4.5 6850 4.5 6850Cleansing Agent 0 0 20 700 20 700Zinc acid 25 2500 0 0 25 2500Staric Acid 25 1500 0 0 25 1500Antioxident 25 1250 0 0 25 1250MBT 25 1205 0 0 25 1205TBT 25 1250 0 0 25 1250Total 39299 2862805 27451 6226460 66750 9089265
Both domestic and foreign made chemicals are used in the production of footwear. Adhesive constitute the main head of chemical. Some chemicals like batal acid, belco, lacker, pasting, sufar are exclusively supplied by the local sources, and some chemicals used like aqua solar, aciton, thinner, tolbon etc. are of foreign origin. About 70 percent of the total chemicals used (of the total value) are foreign made. Most of the foreign chemicals are made in UK, India, Taiwan, Malaysia and Germany.
A number of accessories like bukless, belt, button, catel, deco, eyelet etc. are used by the
footwear manufacturing firms to produce footwear. About 80 percent (of the total value)
of the accessories used by the footwear-manufacturing units are locally made. A few
accessories like deco, catel tap, and eyelet used by the footwear firms are exclusively
foreign made. Most of the foreign accessories are made in Korea, Hong Kong, India,
Taiwan and Italy.
Table 9.8: Yearly Value of Accessories used for the Production of Footwear (Value in Tk.000)
Name of accessories Local Foreign
81
Total
Buckles 248 7087 7335
Belt 1313 1248 2561
Button 7903 475 8378
Catel 11 201 212
Catel tap 0 1799 1799
Daco 0 1640 1640
Eyelet 0 128 128
Others 70356 386 70742
Total 79831 12964 92795
Source: Leather Sector Census Study, LSBPC, 2005
Packaging and labeling materials like paper board box, tracing paper, poly bag, carton etc. are collected from local and as well as foreign sources. About 50 percent of the packaging and labeling materials used by the footwear firms are of foreign origin. China, Italy, and Korea were the main suppliers of the packaging and labeling materials for footwear industry in 2003.
9.3 Chemicals and Accessories: Leather Goods
About 90 percent of the chemicals (of the total value) used by the leather goods manufacturing units are locally made (Table 9.9). Accessories used by the leather goods manufacturing units include bukless, belt etc. Over 70 percent of the expenses on accessories of the leather goods manufacturing units are on foreign made accessories. Hong-Kong was the main supplier of the foreign made accessories for the leather goods firms in 2003. Packaging and labeling materials used by the leather goods manufacturing units are locally made.
Table 9.9: Yearly Value of Chemicals used in the Leather Goods Manufacturing Units
Chemicals Local Foreign Total
Adhesive 1630 18 1648
Lacker 2 0 2
TBT 4 0 4
Total 1636 18 1654
Table 9.10: Yearly Value of Accessories used in the Leather Goods Manufacturing Units (value in Tk.000)
Accessories Local Foreign Total
Bukless 63.5 600 663.5
82
Belt 151.5 24 175.5
Button 15 0 15
Others 7 4 11
Total 237 628 865
Source: Leather Sector Census Study, LSBPC, 2005
Chapter-Ten
Major Players of the Leather Chemical Industry(Data Collected from Primary Survey)
10.1 Market Share of Major Beam House Chemical Suppliers (Wet Blue)
1. Soaking Agent: 550-600MT /Year Price: 100-120Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. ACI, Bangladesh 50%
2. BASF, Germany 30%
3. Others 20%Source: Primary survey
Product Name: Lissapol, ACI; Lisapen-PA-WB, BASF
2. Soaking Enzyme: 300MT /Year Price: 150-190Tk Per Kg.
83
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. TFL, Germany 25%
2. BASF, Germany 20%
3. Buckman, Singapore 15%
4. TH Bohme 15%
5. Schill & Seilacher, Germany 5%
6. Scitan, Italy 5%
7. Others 15%Source: Primary survey
Product Name: (Pellvit C, Pellvit DPH), TFL; (Basozym-S20), BASF;(Busan-40L), Buckman;(Vinkol A), Schill & Seilacher;
3. Liming Auxiliaries: 750-900MT /Year Price: 65-120Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. TFL, Germany 25%
2. BASF, Germany 20%
3. Buckman, Singapore 10%
4. Seicie, Italy 10%
5. Schill & Seilacher, Germany 5%
6. Others 30%Source: Primary survey
Product Name: (Erhavit-MB), TFL; (Mollescal AGN, Mollescal LS), BASF;(Buspers 77432), Buckman;(Saical-FC), Seicie;
84
4. Deliming Agents: 1000MT /Year Price: 8-15Tk Per Kg.
Chemicals: Sodium Meta Bi-Sulphate, Ammonium Sulphate, Ammonium Chloride
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Local 75%
2. China, Thiland 25%
Product Name: (Delimer-AR), Neochemica;
5. Bating Agents: 500-600MT /Year Price: 60-100Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Clariant, UK 35%
2. TFL, Germany 20%
3. Buckman, Singapore 15%
4. BASF, Germany 10%
6. Rock Chem 5%
7. Others 15%Source: Primary survey
Product Name: (Oropon-G, Oropon-ANZ, Vulal-K), TFL; (Basozym-C10), BASF;(Bate-PBW1), Buckman;( Z.H Bate) ZH chemical;
6. Pickling Agents: 1500-1700MT /Year
Chemicals: Sulphuric Acid Price: 15Tk. Per kg.
85
Formic Acid Price: Salt (NaCl) Price: 10Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Local 55%
2. Clariant, U.K 10%
3. BASF, Germany 10%
4. Kemira 5%
5. Others 20%Source: Primary survey
7. Tanning Agents: 6000-8000MT /Year Price: 50-150Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. BASF, Germany 30%
2. Bayer, Germany 30%
3. American Chemical Co. 15%
4. Sulchome, Italy 10%
5. Others 15%Source: Primary survey
Product Name: (Chromosol-B), Bayer; (Chromitan-B), BASF;(Chromix-B33), American Chemical Co.;
8. Preservatives: 100-120MT /Year Price: 750-850Tk Per Kg.
86
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Buckman, Singapore 40%
2. Bayer, Germany 30%
3. Chemicolor/ Yorkeshire 10%
4. ATC, France 5%
5. Others 15%
Product Name: (Prevental-Z), Bayer; (Busan-30L), Buckman;(Tolcide-2230), Chemicolor/Yorkeshire;
9. Basifying Agents: 500-700MT /Year Price: 110-120Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. BASF, Germany 30%
2. TFL, Germany 10%
3. Clariant, U.K 10%
4. Clowan 10%
5. Others 50%Source: Primary survey
Product Name: (Neosym-MGO), Clowan; (Chromitan-B), BASF;(Chromino-FB), TFL; (Tanbase), Clariant;
10.1.1 Total Quantity wise Market Share (Wet Blue)
Sl. No. Name of the Suppliers Approximate Market Share (%) 1 BASF, Germany 25%2 Clariant, UK 22%3 Bayer, Germany 20%4 American Chemical Co. 8%5 TFL, Germany 5%6 Buckman, Singapore 5%
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7 Others 15%
Figure 10.1:
10.2 Market Share of Chemical Suppliers (Wet Blue To Crust)
1. Neutralizing Agents: 500MT /Year Price: 90-160Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. BASF, Germany 25%
2. TFL, Germany 25%
3. Clariant, UK 20%
4. Buckman, Singapore 10%
5. Others 20%
Product Name: (Butan 7810), Buckman; (Tamol GA, NNOL), BASF;(Sellasol NG), TFL;
88
(BS3), Smith & Zones;(Probal-PRA), Clariant;(PAKS), Bayer;
2. Retanning Agents: 3000-4000MT /Year Price: 115-180Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. BASF, Germany 50%
2. Bayer, Germany 30%
3. Others 20%
Product Name: (Basyntan-AM, Basyntan- DLE, Syntan-DLE, Relugan), BASF;(Tanizon-OS, Ratingan- R7), Bayer;
3. Dyes: 1000MT /Year Price: 300-1200Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Clariant, UK 40%
2. BASF, Germany -
3. Guama -
4. Stahl, Holland -
5. Others 30%
Product Name: (Beige-L), BASF;(Black-PNT), Guama/Chika;(Brown-574), Croda;
4. Dyeings Auxiliaries: 250-350MT /Year Price: 70-350Tk Per Kg.
89
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Clariant, UK 20%
2. BASF, Germany 20%
3. TFL, Germany 10%
4. Hodgeson 10%
5. Others 40%Source: Primary survey
Product Name: (Tamol AW), BASF;(Neosyn-N), Clarient;(Compound DLS), Hodgeson;
5. Fatliquors: 1800-2000MT /Year Price: 70-350Tk Per Kg.
#S#SL.L.
SupplierSupplier MarkeMarkett
ShareShare1. Smith & Zones 30%
2. TFL, Germany 20%
3. BASF, Germany 10%
4. Clariant, UK 10%
5. Zshimmer & Schwarz 5%
6. Others 25%Source: Primary survey
Product Name: (Lypoderm), BASF;(Chromopol, Choripol), TFL;(Derminol, Dermalix), Clariant;(Eureka-172), Atlas;(SLP), Yorkeshire;(Coralon), Stahl;
90
10.2.1 Total Quantity wise Market Share (Crust)
Sl. No. Name of the Suppliers Approximate Market Share (%) 1 BASF, Germany 33%2 Clariant, UK 20%3 Bayer, Germany 17%4 TFL, Germany 10%5 Others 17%
Source: Primary survey
Figure10.2
91
10.3 Market Share of Chemical Suppliers (Crust To Finished Leather)
Name of the products: Coating Agents (Top Coats, Base Coats); Binders; Cross linkers; Colloidal Fillers, Wax Fillers, Penetrator, Acrylic Resins; Pigments; Dyes; Thinners etc;
Quantity: Total: 550-600 MT/Year,
Note That: Although the result obtained from the secondary data shows the annual requirements of leather-finishing chemicals is 1550MT but from the primary survey it has been confirmed that annual finishing chemical consumption is 550-600MT.
Sl. No. Name of the Suppliers Approximate Market Share (%) inFinishing
1 ALPA, Italy 25%2 BASF, Germany 20%3 Stahl, Holland 18%4 Clariant, UK 10%5 TFL, Germany 5%6 Finice(Italy) 5%7 Horiyana Chemicals 5%8 Buckman, Singapore 2%9 Others(Indian & Italian) 10%
92
Figure 10.3
Chapter Eleven
Findings and Recommendations
As the whole tannery industry of Bangladesh is getting squeezed day-by-day, the negative impact of it is obviously affected the leather chemical market of Bangladesh. Since on this small industry more than fifty chemical merchants and organizations are operating, price; marketing policy; relationship marketing; technical support by the chemical suppliers; are scrupulously observed by the tanneries of Bangladesh.
Ten years back BASF and some other big chemical suppliers led the leather chemical
market single handedly and played monopoly game with their consumers. At that time
they took high price from the buyers. But now there are numerous competitors available
on the market. Now, buyers can choose their own sellers since they have their
alternatives. In the description bellow I tried to find out some basic marketing factors of
leather chemical industry.
93
1. Technical Support: The leather chemical marketing and selling requires reliable
technical services. Suppliers can sell their product only then, when they can make it sure
to the buyers that the chemical is really useful for fulfilling buyer’s special purpose. So, if
you don’t have good and skilled technical sales person you are no way near in the
competition.
2. Price: Price has always been a huge factor in leather chemical industry. Big suppliers
are getting away from the good notice of their clients because of their high price
comparing to their Chinese and Indian counter products. Freight cost, taxes, currency
exchange rate have always played a big factor for the ultimate price of the chemical.
Most of the Chinese and Indian products are proved to be less costly than most of the
well-known German, Dutch and English chemicals.
3. Relationship Marketing: Since the whole leather chemical market is very narrow,
each and every one knows one another very well. But then again one has to maintain a
very good relationship with the buyers. Most of the buyers want to purchase their
chemicals on credit basis. So, you have no option but to sell your product on credit.
Since, chemical selling requires post purchase technical support, one has to make it sure
their chemical is doing better than competitors one in each and every aspect.
Discount can be offered for buying bulk amount.
Most of the buyers are facing difficulties in getting loan from the bank to purchase their
raw materials. A supplier can also make a link with the banks to give loan to the tanneries
for buying chemicals form them.
4. Lead Time:
Some times buyers have to buy a bulk amount of chemicals for their production. In most of the cases suppliers are not able to supply beyond a certain amount of chemicals, then they require importing chemicals from the manufacturing agents. Lead-time plays a big
94
role in that particular case. If a supplier cannot maintain its declared time of supply, obviously the buyers will be dissatisfied.
5. Quality:
No matter in which way you have sold your chemical to the buyers you have to make it sure that you are selling a quality product. You have to remember that it is not the one time selling policy you want to follow. Only, the good quality product can ensure long term selling policy.
11.1 Problems of ACI Trading and Stahl in Leather11.1 Problems of ACI Trading and Stahl in Leather Chemical MarketingChemical Marketing
1. Price: Most of the Stahl products are costlier than their competitor’s counter
products. Although Stahl has very good brand image in Finishing chemical
section but high price is one of the factor for which Stahl is loosing market
towards the Indian and Chinese products. Even in some cases their chemicals are
costlier than BASF, ALPA and TFL’s chemicals. Actually, Stahl has to wait for
their shipment from Holland. Fluctuations of Euro play an important part to
fluctuate the price of the chemicals. ALPA (The market leader in finishing
Leather chemical section) arranges shipment from two sources, one is India and
another one is Italy. ALPA gives emphasize to the customers choice from where
they want to get the shipment. In case of shipment from India, ALPA offers lower
price in US Dollar. The other benefit, they can avoid the risk of frequent Euro
fluctuation. Not only ALPA but also other competitors are practicing this strategy
as well (BASF India, TFL Sri Lanka, BUCK MAN Singapore, etc).
2. Organizational Hierarchy of ACI Trading Ltd and insufficient technical
person in the leather chemical division: ACI Trading Limited is one the
subsidiaries of Advanced Chemical Industries (ACI), Bangladesh Limited. The
95
Company is mainly involved in marketing and sales of various Industrial
Chemicals, Petrochemicals, Plastics, Pharmaceuticals, Leather and Shoe finish,
Textile Dyes and Auxiliaries through Indent sales. It has four business divisions
such as Chemicals, Textile, Leather and Water Pumps. To render technical service
ACI Trading has two separate technical application laboratories for textile and
leather businesses.
In the Leather chemical division there are only two persons working, a) Senior
Technical Sales Officer, b) Technical Sales officer. There was a manager in this
division, but after his death this position is vacant now.
The hierarchy of Leather Chemical Division:
With the vacation of the mangers post, both the sales officers have to report directly to the
Executive Director. Insufficient personnel in the leather chemical division and
vertical hierarchy seem to be a noticeable problem for ACI Trading Ltd. ALPA,
the market leader in leather finishing, has eight technologists working for
Bangladesh market (Three Bangladeshi Technical persons, two Indian
technologists, three Technologists from ALPA, Italy). In comparison to that Stahl
has only two technical sales officers of Bangladesh and one Pakistani technologist.
Executive DirectorACI Trading Limited
Manager, Leather (Vacant)
Senior Technical Sales officer
Technical Sales officer
96
Training of these technical personnel is very necessary. ALPA, Italy arranged regular
training for agent technologist and train up on latest development that helps to
promote Chemicals to tanneries. Stahl and ACI should arrange training on
regular basis.
Job placement is another key strategy taken by the market leader ALPA. They appointed
technicians from India and occupied most of the finishing units in Bangladesh.
These technologists are working as shadow technologists of ALPA and at the same
time Tannery management also pleased for that and finally ALPA gets good
business.
97
Appendix A-1
Members’ List of Bangladesh Finished Leather, Leather goods and Footwear Exporters’ Association (BFLLFEA)
Category: Tannery
SL Name of the Firm Address Phone Contact Person and Designation
1. M/S Al Madina Tannery M/S Al Madina Tannery 55/2, Hazaribagh, Dhaka 8611579019343789
Alhaj Nur Mohammed Managing Director
2. M/S Amin Tannery Ltd. 60/1, Hazaribagh, Dhaka 86104750171561660
Mr. Abdul Kader Managing Director
3.M/S Anowar Tannery (Pvt) Limited 104, Hazaribagh, Dhaka 9664078
506168Mr. Md. Dil Jahan BhuiyanManaging Director
4.
M/S Apex Tannery Ltd. Off: 65-66 Motijheel C / A (2nd Floor)Fact: 127 Hazaribagh, Dhaka
9551203956076695511178625635-7
Mr. A.K.M Rahmatullah, Managing Director
5. M/S Awal LeatherM/S Awal Leather Complex Complex
69, Hazaribagh, Dhaka 86267288118981
Mr. M. A. Awal Managing Director
6. M/S Abul Khair Tannery 121/5, Sher-e-Bangla Road, Hazaribagh, Dhaka-1209
86217870172126126
Hazi Md. Abul KhairProprietor
7. M/S Ayub Brothers Tannery Ltd. 143/1 Hazaribagh Dhaka
866518 Mr. Shahjahan Managing Director
8. M/S Azmir Leather 116/E, Hazaribagh, Dhaka-1209 8626925 Mr. Md. Shahid UllahProprietor
9. M/S Aziz Tannery Ltd. 148/2, Hazaribagh, Dhaka-1209 Mr. Md. Asifur RahmanManaging Director
10. M/S Bangladesh Fine Leathers Processing Ltd.
Alta Plaza (3rd Flor) House # 1Road # 10, Dhanmondi, Dhaka
81248068626485
Mr. Anam Haque Managing Director
11. M/S Bata Shoe Company Bangladesh Limited
Tongi, Gazipur, (Dhaka) 9800501-59800513
Mr. G Stricker Managing Director
12.M/S Bay Tanneries Ltd. 21, Hazaribagh, Dhaka 8611445
8611468011855496
Mr. Shamsur Rahman Managing Director
13.M/S Bengal LeatherM/S Bengal Leather
ComplexComplex147, Hazaribagh, Dhaka-1209 8614077
86159770171538060
Mr. Md. Tipu SultanManaging Director
14. M/S Bengal Peli Export Company HazaribaghDhaka
9122452500197
Mr. Md. Anwar Hossain Proprietor
15.M/S Bikrampur Tannery Ltd. 180/2 Hazaribagh, Dhaka 9110690 Mr. S.M. Habibur
RahmanManaging Director
16. M/S Cresent Tannery Ltd. 143 Hazaribagh, Dhaka 9663659 Mr. Md. Abdul KaderChairman
98
17.M/S Dhaka Hides & Skins Ltd. 147, Hazaribagh, Dhaka 8611268
9669849Mr. M. A. Rashid BhuiyanManaging Director
18. M/S Dhaka Tanneries Ltd. 124, Hazaribagh, Dhaka 86151798613563
Mr. Md. NUrul HudaManaging Director
19. M/S Diamond Tannery Ltd. 73, Hazaribagh, Dhaka 0189216979 Mr. Abdul Hakim Managing Director
20. M/S F. K. Leather Complex Ltd. 95/3A, Hazaribagh, Dhaka 502411506921
Mr. Kutub UddinChairman
21. M/S Green ArrowM/S Green Arrow Tannery Tannery
135, Hazaribagh, Dhaka 5036508614182
Mr. Tofail Ahmed Managing Director
22. M/S Great Eastern Tannery (PVT) Ltd
42, New Paltan Lane, Azimpur, Dhaka-1205 86268879666128
Alhaj Mohd IdrishManaging Director
23.M/S H & H Leather Industries Ltd. House # 69, Road # 8/A
Dhanmondi R/A, Dhaka 911377691112098111526
Mr. M. Nasir Managing Director
24.M/S H. B. Tannery Ltd. House # 69, Road # 8/A
Dhanmondi R/A, Dhaka 81115269111209
Mr. M. Fayaz Director
25. M/S H. R. C. Leather Complex 1. TC Bhaban, Kawran bazarDhaka
9128991-2 Mr. Sayeed Hossain Chowdhury, Chairman
26. M/S Haroon Leather Ltd. 18, Kamal Ataturk Avenue (16th Fl)Banani, C/A, Dhaka
88249798821024
Mr. Rizwan HaroonManaging Director
27. M/S Helal Tannery M/S Helal Tannery 74, Hazaribagh, Dhaka 8616305 Mr. Md. Belal Hossain Proprietor
28.M/S Helena EnterpriseM/S Helena Enterprise
Ltd. No.2Ltd. No.278, Hazaribagh, Dhaka-120959/60, Gazmohol, Hazaribagh, Dhaka-1209 (?)
863109796607540171591647
Mr. Mohammad Mizan
29. M/S Ibrahim Leathers M/S Ibrahim Leathers 123/1 Hazaribagh, Dhaka 8625162 Mr. Md. Ibrahim Proprietor
30. M/S International Tannery Hazaribagh, Dhaka 504401508863
Mr. Md. Fajlu MiaProprietor
31. M/S Jamila Tannery Ltd. 112, Hazaribagh, Dhaka
5084669112832
Mr. Shaiqur Rahman Managing Director
32. M/S Janata Tanning Industries Ltd. 180, Hazaribagh, Dhaka 86185568626727
Mr. Abul Kashem Managing Director
33. M/S Javed Tannery M/S Javed Tannery 119, Sher-e-Bangla Road Dhaka
8117674 Mr. Tipu Sultan Proprietor
34. M/S Kader LeatherM/S Kader Leather Complex Complex
54/F Moneshwar, Hazaribagh, Dhaka
8116424 Mr. Abdul Kader Proprietor
35.M/S Kalam Brothers Tannery Ltd. 109/2 Hazaribag, Dhaka 8626727
86185560171561646
Mr. Md. Abul Kalam Azad Managing Director
36.M/S Karim Leathers Ltd. 180, Hazaribagh, Dhaka 8616584
86112868611129
Alhaj Rejaul Karim AnsariManaging Director
37.M/S Kid Leather Ind. Ltd. Off: 62/1, Purana Paltan, Dhaka
Fact: 19 Sher-e-Bangla Road, Hazaribagh, Dhaka
86122869563453
Mr. Md. S.A.M.M. NuruddinManaging Director
99
38. M/S Leather Ind. of Bangladesh Ltd.
54/1 Sher-e-Bangla Road, Hazaribagh, Dhaka
86105168614242
Mr. Abdul Rahman SalesManaging Director
39.M/S Lexco Limited M/S Lexco Limited 146, Hazaribagh, Dhaka 9669397
86260828625147
Mr. M. A. Matten ChairmanMr. Harun Or-RashidManaging Director
40. M/S Madina Tannery M/S Madina Tannery 114, Kobi Nazrul Islam Road Sadharghat, Chittagong
031-613916031-617605
Mr. Abu Mohammad Managing Director
41.M/S Manzur Industries Ltd. Dhaka Chamber Building
65-66, Motijheel C/A Dhaka95511179566182-3
Mr. Quazi Anwarul Hoq (Tariq)Director
42. M/S Millat Tannery M/S Millat Tannery 116/6, Hazaribagh, Dhaka 5048658611264
Mr. Md. Nurul Alam Proprietor
43.M/S Mitali TanneryM/S Mitali Tannery 71/4 Gojmohol, Hazaribagh, Dhaka 8612917
9665916Mr. Mr. Hazi Abul KashemProprietor
44. M/S Mukti Tannery M/S Mukti Tannery 141/2 Hazaribagh, Dhaka 8616586 Mr. Osman Gani BhuiyanManaging Director
45. M/S Mukta TanneryM/S Mukta Tannery 34/C, Hazaribagh, Dhaka-1209 9660674 Mr. Sayed Md. ShidullahProprietor
46. M/S ParamountM/S Paramount Tanneries Tanneries
181/2 Sher-e-Bangla Road, Hazaribagh, Dhaka
86260560189220471
Mr. Akbar Hossain Managing Director
47. M/S Pioneer Tannery Ltd. 21, Hazaribagh, Dhaka
8623428 Mr. Ziaur Rahman Managing Director
48.M/S Pragati LeatherM/S Pragati Leather
ComplexComplex55/1 Hazaribagh, Dhaka 9663121
86264850171524804
Mr. Md. Asadullah Managing Director
49.M/S R. M. M International Ltd. Suit # 601, Concord Tower
113 Kazi Nazrul Islam Avenue, Dhaka9345963-4 Mr. Mohiuddin Ahmed
MahinManaging Director
50.M/S R/ K. LeatherM/S R/ K. Leather
ComplexComplex153/A, Hazaribagh, Dhaka
011 867105 Mr. Md. Nurul Amin Chowdhury Managing Director
51.M/S Rana Leather Ind. Ltd. 70, Dilkusha C/A, Dhaka
9, Hazaribagh Dhaka9566025-69564509508909
Mr. A. K. Shamsul AlaminManaging Director
52.M/S Reliance Tannery Ltd. 48/2/K, Moneshwar Road, Hazaribagh, Dhaka 8625119
86274250171898832
Mr. Md. Shajahan Managing Director
53. M/S Riff Leather Ltd. 4, CDA Noxious Industrial AreaKalurghat, Chittagong
031-670764031-671220
Alhaj Abul Kalam Director
54. M/S Roushan Tanneries 78, Hazaribagh Dhaka
504696801624
Mr. Amin Uddin Babul Managing Director
55. M/S Ruma Leather Ind. Ltd. 131, Hazaribagh, Dhaka 96643178627144
Eng. M. Abu TaherManaging Director
56. M/S S & S Tannery 86/1, Hazaribagh Dhaka
9662523 Mr. Md. Abdur Rahim Proprietor
57. M/S SAF Industries Ltd. Akij Chember 73, Dilkusha, C/A, Dhaka
95522879666142
Mr. S. K. Momin Uddin Managing Director
100
9666151
58.M/S Samata Leather Complex Ltd. 120, Sher-e-Bangla Road, Hazaribagh,
Dhaka 861110286113729662731
Mr. Mansur Ahmed Chairman
59.M/S Samina Tannery Pvt. Ltd. 36/1 Kalunagar, Hazaribagh,
Dhaka96603848625266011850698
Abdus SamadManaging Director
60. M/S Shadhin Tannery M/S Shadhin Tannery Hazaribagh, Dhaka
8616963 Mr. Faruque Ahmed Managing Director
61.M/S Shafiq Leather Corporation Ltd.
43/1, Sher-e-Bangla Road, Hazaribagh, Dhaka
86161119669385
Mr. Sidul Islam ChowdhuryManaging Director
62. M/S Shahjalal LeatherM/S Shahjalal Leather ComplexComplex
20, Hazaribagh, Dhaka
8619457502709
Mr. Shahjalal MazumderManaging Director
63. M/S Superior Leather Industry Ltd. 19, Sher-e-Bangla RoadHazaribagh, Dhaka
8612268 Mr. S. A. M. M. Nuruddin Managing Director
64. M/S Taj Tannery Ltd. 148, Hazaribagh, Dhaka
8610285 Mr. Mujibur Rahman Managing Director
65.M/S The Earth International Tannery
86/2 Sher-e-Bangla Road, Hazaribagh, Dhaka
8618826506910
Mr. Alhaj M. A. Satter BhuiyanProprietor
66.M/S Vulua Tannery Ltd. 109, Hazaribagh,
Dhaka 86118518118981011859031
Mr. M. A. Awal Managing Director
67. M/S Yousuf Brothers Tanneries Pvt. Ltd.
62, Hazaribagh,Dhaka
86147498613083
Mr. Mohammed Yousuf Managing Director
68. M/S Yousuf Leather Corporation Ltd.
124/2, Hazaribagh, Dhaka
86251628614895
Hazi Mohammed Bashir Managing Director
101
Appendix A-2Members’ List of Bangladesh Finished Leather, Leathergoods and
Footwear Exporters’ Association (BFLLFEA)Category: Leathergoods
SL Name of the Firm Address Phone Contact Person and Designation
1. M/S Alamin Brenton Leather Goods Limited
70, Dilkusha Commercial Area Dhaka
9566025-69564507
Mr. Jahangir AlaminManaging Director
2. M/S Asian Leather Complex 143/1, Hazaribagh, Dhaka-1209 9664322 Mr. Md. Monir HossainManaging Director
3. M/S Bangla Tan Leather Products 148/3, Hazaribagh, Dhaka
503502500905
Mr. Alhan M. A. MateenChairman
4. M/S Crown Leather Products Ltd. Star Center (1st Floor) House # 2/A, Road #138, Gulshan-1
98807998317259
Mr. Serajul Islam Managing Director
5. M/S Crystal Corporation Ltd. Shilpo Plot # 9, Block C, Tajmahal Road, Mohammadpur
325449244862
Mr. Engr. A. S. M. Rafid Managing Director
6. M/S Dhaka Leather Crafts M/S Dhaka Leather Crafts 147, Hazaribagh Dhaka
966470-070171530159
Mr. Joynal Abedin Bhuiyan Proprietor
7. M/S Fortuna Leather Craft M/S Fortuna Leather Craft 131, Hazaribagh Dhaka
96643178627144
Engr. M. Abu Taher Managing Director
8. M/S Madina Leather Complex 117, Hazaribagh, Dhaka-1209 9661157 Mr. Bellal HossainManaging Director
9.M/S Picard Bangladesh Ltd. Sky Lark Point, Suite No. 9J1, 24/A,
Bijoynagar, 175, Syed Nazrul Islam Sarani, Dhaka
9354996-40171522170
Mr. Md. Saiful Islam Managing Director
10. M/S R. M. M International Ltd. Suit # 601, Concord Tower113 Kazi Nazrul Islam Avenue Dhaka
9345963-4 Mr. Mohiuddin AhmedManaging Director
11. M/S Sonali Aansh Industries Ltd. Lal Bhaban (1st Floor) 18, Rajuk Avenue, Dhaka
95562518613132
Mr. Nurul Islam PatwariManaging Director
12. M/S Spectra Leathergoods Ltd, Namazi Chamber (1st Floor) 16, Motijheel C/A, Dhaka
95653019564543
Mr. Sohail Askar Managing Director
13. M/S Uttama Leather Production Star Center (1st Floor), House # 2/1Road # 138, Gulshan-1, Dhaka
98807998825007
Mrs. Shaikh Selina IslamManaging Director
Appendix A-3Members’ List of Bangladesh Finished Leather, Leathergoods and
Footwear Exporters’ Association (BFLLFEA)Category: Footwear
SL Name of the Firm Address Phone Contact Person and Designation
1. M/S Amit Footwear Ltd. Flat # 2/503 20, Eastern Tower 20, New Eskaton Road, Dhaka
98040460171542895
Mr. Sukumar ChowdhuryManaging Director
2. M/S Apex Footwear Limited M/S Apex Footwear Limited Plot # 3DS, Road No. 113/A, Gulshan-2, Dhaka
88282588821591
Syed Manzur ElahiChairman
3. M/S Bata Shoe Company Bangladesh Limited
Tongi, Gazipur, (Dhaka) 9800501-59800513
Mr. G Stricker Managing Director
4. M/S Bay Footwear Ltd. 21, Hazaribagh, Dhaka 9663966 Mr. Shamsur Rahman
102
96669948623428
Managing Director
5. M/S B S Leather ComplexM/S B S Leather Complex 13, Moneshwar road, Hazaribagh, Dhaka-1205
86159219619934
Mr. Shohel Ahmed (Dilu)Managing Director
6. M/S Cosmopolitan Shoe Ind.M/S Cosmopolitan Shoe Ind. LtdLtd
House#303, Road#19/B, New DOHS, Mohakhali, Dhaka
9261145
7. M/S Comfort Footwear Ltd. 86, Laboratory Road (Gd. Floor)Dhaka
8612415500516
Mr. Moinul Ahsan Managing Director
8. M/S Continental Footwear Ind. Ltd. 240, New Elephant Road, Dhaka 8616238612408
Mr. Abul Kashem
9. M/S Desma Shoe Industries Ltd. 10, Kazi Nazrul Islam Avenud (2nd Fl)Kawran Bazar, Dhaka
81140538110782-3
Mr. Kazi Shahed Hasan Ferdous, Managing Director
10. M/S Dhaka Footwear Ltd. 147, Hazaribagh, Dhaka
96698498611268
Mr. M. A. Rashid Bhuiyan
11.M/S H. N. Shoe LimitedM/S H. N. Shoe Limited House # 69, Road # 8/A
Dhanmondi R/A, Dhaka 911377691112090171523223
Mr. M. NasirManaging DirectorMr. M. Amirullah Executive Director
12. M/S Inter Fashion Leathers & Footwear Ind. Ltd.
Room # 410, DCCI Building 65-66 Motijheel C/A, Dhaka
95605919567986
Mr. Farukh Ahmed Managing Director
13. M/S Jenny Shoes Ltd. House # 06, Road # 68AGulshan-2, Dhaka
88263508824885
Mr. M. Nasir Khan Managing Director
14. M/S Lalmai Footwear Ltd. Khan Mansion (5th Flor)107, Motijheel C/A Area, Dhaka
95673129569458
Mr. Aminur Rashid Managing Director
15. M/S Landmark Footwear Ltd. 67, Lake Circus, (Dolphin Lane)Kolabagan, Dhaka
93383698312626
A. K. M. Afzalur Rahman Managing Director
16. M/S Leatherex Footwear Industries Ltd. House # 34/1 (Gr. Fl) Road # 10/ADhanmondi, Dhaka.
8112543 Mr. Mohammed Nazmul Hassan, Managing Director
17. M/S Legacy Footwear Ltd. 168/A, Green Road, Dhaka 404684011858976
Mrs. Shahnaz Sultana Managing Director
18. M/S Lexco Footwear Ltd. 146, Hazaribagh, Dhaka 9669397503502
Mr. Harun-Or-RashidManaging Director
19.
M/S Madina Shoe Ind. Ltd. Baitul Hossain Building (Suite-1204), 27, Dilkusha C/A, Dhaka
9564042955620871694950175013459
Md. Shafizul Islam Khandaker Managing Director
20. M/S Malim Bangladesh Co. LtdM/S Malim Bangladesh Co. Ltd 290/1 Shonargaon RoadDhaka
98033669803737
Mr. Delwar Hossain Managing Director
21. M/S Phulhar Footwear Ltd. Meherba Plaza, 33 Topkhana Road, Dhaka
9570346-8 Mr. Md. Ziaur Rahman Managing Director
22. M/S Rever Side Leather & Footwear Ind. Pvt. Ltd.
2/1, R/K mission Road, Dhaka
95631629560147-9
Mr. Abu S. M. Baqibillah Executive Director
23. M/S Rumana Shoe Industries Ltd. 45/B, Dilu Road, New Eskaton, Dhaka 8113648 Mr. S M Abul KashemManaging Director
24. M/S Savar Industry (Pvt) Ltd. Savar EPZ Area Dhaka
8311252 Mr. Akihisa OsomuraManaging Director
25. M/S Shampan Shoes Ltd. Rahman Chamber (5th Floor) 12-13 Motijheel C/A Dhaka
95631859565325
Mr. Shamsuddin AhmedExecutive Director
26. M/S Surma Leather & Footwear Ind. Ltd. 34, Bangabahdu Avenue (3rd Floor) 9557913 Mr. Mahbubur Rahman
103
Dhaka-1000 9558790 SikderManaging Director
27. M/S S A Leather and Shoe Ind. Ltd. Malliker Para, Sonargaon, Narayangonj
86163050171378494
28. Leather Plannets Limited (?) House # 159, Road # 01, DOHSBaridhara, Dhaka
9887422 Mr. Harun MiahManaging Director
29. M/S Brother Chemicals Ltd. (?) 9/1, Gozmohol, HazaribaghDhaka
5016229551725
Mr. Md. Abul Kalam AzadChairman
30. M/S S. A. K. International Co. (?) House # 296, Road # 04, DOHS Baridhara, Dhaka
9883926502030
Shakil Ahmed Khan Proprietor
31. M/S Tivoli Bangladesh Ltd. (?) 49, Gulshan S/A Gulshan – 1, Dhaka
98853628821153
Mr. A. H. Mustafa Kamal Managing Director
32.
M/S Velex Agences Ltd. (?) 62/1 Purana Paltan, Motijheel C/A, DhakaFac: 121/5 Sher-e-Bangla Road, Hazaribagh-Dhaka
95634049563453
Mr. S. A. M. M. Nuruddin Managing Director
33.M/S Nitol Export (?) 71, Mohakhali C/A, Nitol Centre,
Dhaka-12129887074-688557940189238109
Mr. Abdul Matlub AhmadManaging Director
Appendix A-4Appendix A-4
Members’ List of Leathergoods & Footwear Manufacturers’ and Exporters’ Association of Bangladesh (LFMEAB)
Category: Leathergoods
SL Name of the Firm Address Phone Contact Person and Designation
1. M/S Apex Leathercraft Fashion & Accessories Ltd.
House#296, Road#4, DOHS Baridhara, Dhaka Cantonment, Dhaka-1206
98839260171592979
Mr. Shakil Ahmed Khan Managing Director
104
2. M/S Aurora 10/1, Iqbal Road, Mohammadpur, Dhaka-1207
81176960189257031
Mr. Md. Shahidul Huq Managing Partner
3. M/S Cosmic Jute & Leather Industries Ltd.
561, Pakuria, Bhadhalodi, Uttara, Dhaka-1230
89168060189357570
Mr. Md. Shaheen AhmedManaging Director
4. M/S Crown Leather Products Ltd. 179, East Kafrul, Dhaka CantonmentDhaka-1206
98721490189803083
Mr. Serajul Islam Managing Director
5.M/S Jass Leather Industries Ltd. 89, Motijheel C/A (3rd Floor)
Suit No. 62, Dhaka 95599790171458649
Mr. Jainal Abedin Raton Managing Director
6.M/S Koninoor Leather Products Ltd. Amanullah Complex
87, Islampur Road, Dhaka956640295663960171523675
Mr. Hossain A. Sikder Managing Director
7. M/S Picard Bangladesh Ltd. Sky Lark Point, Suit no 9J124/A, Bijoynagar, Dhaka
9354993-40171522170
Mr. Md. Saiful Islam Managing Director
8.M/S Sonali Aansh Industries Ltd. Lal Bhaban (1st Floor), 18 Rajuk Avenue
Dhaka 955625195633220171536721
Mr. Nurul Islam PatwariManaging Director
9.M/S Universal Leather Products Erectors House (9th Floor)
18, Kamal Ataturk Avenue, Banani C/A, Dhaka-1213
9880102-5 Mr. M. Naser Rahman (MP)Managing Director
Appendix A-5
Members’ List of Leathergoods & Footwear Manufacturers’ and Exporters’ Association of Bangladesh (LFMEAB)
Category: Footwear
SL Name of the Firm Address Phone Contact Person and Designation
1. M/S Amit Footwear Ltd. House # 30, Road # 6, Sector 3Uttara Model Town, Dhaka-1230
9804046 Mr. Sukumer Chowdhury Managing Director
2.M/S Apex Footwear Ltd. Celebration Point,1st Floor, Plot # 3,5
Road # 113A, Gulshan-2, Dhaka882825886203000171531722
Mr. Syed Nasim Manzur Managing Director
3.M/S Bay Footwear Ltd. 21, Hazaribagh, Dhaka-1209 8611468
86123350171560794
Mr. Ziaur Rahman Managing Director
4. M/S H. N. Shoes Ltd. House # 69, Road # 8/A Dhanmondi R/A, Dhaka
81115269111209
Mr. M. Nasir Managing Director
5.M/S Jenny Shoes Ltd. Jennys House, House # 6, Road # 68/A
Gulshan-2, Dhaka-1212882635088248850171535117
Mr. Nasir Khan Managing Director
6. M/S Lalmai Footwear Ltd. Khan Mansion (5th Floor) 107, Motijheel C/A, Dhaka
95673129569458
Mr. Aminur Rashid Managing Director
105
0171538012
7. M/S Landmark Footwear Ltd. 64, Bijoy Nagar (3rd Floor) Kakrail, Dhaka-1000
93383698312626
Mr A. K. M. Afzalur Rahman Managing Director
8.M/S Leatherex Footwear Ind. Ltd. House # 34/A, Road # 10/A
Dhanmondi R/A. Dhaka 811254391291920189227559
Mr. Nazmul Hasan HohilManaging Director
9. M/S Legacy Footwear Ltd. 64, Bijoynagar, Kakrail, Dhaka
8319663 Mr. Kazi Rafi AhmedManaging Director
10.
M/S Madina Shoe Industries Ltd. Suit # 1204, Baitul Hossain Building27, Dilkusha C/A, Dhaka-1000
9667745955620871694950175013459
Mr. Md. Shafiqul Islam Managing Director
11. M/S Surma Leather & Footwear Ind. Ltd.
Corner Court, 29 Toynbee Circular RoadMotijheel C/A, Dhaka
95579139558790
Engr. Mr. Sultan A. Sikder Director
12.M/S Tropical Shoes Ind. Ltd. A. R. Tower (3rd Floor)
24, Kamal Ataturk Avenue, Banani, Dhaka-1213
88151428815144
Mr. M. Anisur Razzaque Managing Director.
13.Bangladesh Export Ltd. 24, Kamal Ataturk Avenue,
Banani, Dhaka881514288151440171538338
Mr. M. Anisur Razzaque Managing Director.
Appendix A -6
Members’ List of Bangladesh Tanners Association (BTA)Category: Tannery
106
SL Tannery/ Organization AddressAddress Phone Contact Person
1. M/S. Taj Tannery 148. Hazaribagh. Dhaka- 1209. 8610285 Md. Mizanur Rahman
2. M/S. Chowdhury LeatherM/S. Chowdhury Leather & Co& Co
95/7.Gazmahal, Hazaribagh.Dhaka- 1209
966075486310970171526220
Md. Harun Chowdhury
3. M/S. Helena Enterprise 95/7.Gazmahal. Hazaribagh.Dhaka- 1209.
9660754 Md. Mizanur Rahman
4. M/S. R M Leather 95/7.Gazmahal. Hazaribagh.Dhaka- 1209.
9660754 Md. Monir Hossion
5. M/S M B Tannery LtdM/S M B Tannery Ltd 44/1, Sher-e- Bangla RoadHazaribagh. Dhaka- 1209.
8614663 Md Mozaffar Rahman
6. M/S Pubali TanneryM/S Pubali Tannery 44. Sher-e- Bangla RoadHazaribagh. Dhaka- 1209.
9660508 Md. Mozibur Rahman
7. M/S Abul Khair Tannery 125/1. Sher-e- Bangla RoadHazaribagh. Dhaka- 1209.
8621787 Hazi Md. Abul Khair
8. M/S. Nur Trading Corporation 119. Hazaribagh. Dhaka- 1209. 8631554 Md. Abdul Awal
9. M/S. Forhed LeatherM/S. Forhed Leather CorporationCorporation
99. Hazaribagh. Dhaka- 1209. 9662836 Md. Abdul Hai
10. M/S. Noakshli Tannery 107. Hazaribagh. Dhaka- 1209. 8628867 Mukbul Ahmed
11. M/S. Shadhin TanneryM/S. Shadhin Tannery 101. Hazaribagh. Dhaka- 1209. 8614354 Farque Ahmed
12. M/S. Mamun TradesM/S. Mamun Trades 91. Hazaribagh. Dhaka. 1209. 9661733 Md. Moharaf Hossain
13. M/S. H N Brothers 41/23/15. Zigatola, New Rd.Hazaribagh. Dhaka- 1209.
9662836 Md. Amir Hussain
14. M/S. Eusuf Tannery Ltd 135/2. Hazaribagh, Dhaka- 1209. 018- 244985 Md. Bashir Ullah
15. M/S. Majdhi Tannery 136/3. Hazaribagh, Dhaka- 1209. 8626492 Md. Hossain
16. M/S. Kohinoor Tannery Ltd 130. Hazaribagh, Dhaka- 1209. 9669001 Md. Humiyan Kabir
17. M/S. Bangla Ten Leather 148/3. Hazaribagh, Dhaka- 1209. 9125651 Md. Masum
18. M/S. F K Leather 95. Gazmohal, Hazaribagh, Dhaka- 1209. 8624082 Md. Katub Uddion
19. M/S. F F M Leather Complex 94/1. Hazaribagh, Dhaka- 1209. 9660509 Md. Sha Alam
20. M/S. Rahman Oversize 44. Sher-e- Bangla Rd. Hazaribagh, Dhaka – 1209.
8614663 Md. Fazrul Rahman
21. M/S. Rahman Enterprise 39. Zigztola. Hazaribagh. Dhaka- 1209 Md. Azizur Rahman
22. M/S. Sonali Haide 44/1, Sher-e- Bangla Rd, Hazaribagh, 9660508 Md. Mahabubur Rahman
107
Dhaka- 1209.23. M/S. Bearied Leather Complex 45/1. Sher-e- Bangla Rd, Hazaribagh,
Dhaka- 1209.8610543 Md. Akbar Hossain
24. M/S. Shodesh Tannery 116/D, Hazaribagh, Dhaka- 1209. 502264 Md. Shohied Ullah
25. M/S. Urmi Trade International 136/2, Hazaribagh, Dhaka- 1209. 8620535 Md. Abul Kaham
26. M/S. Zia Leather Complex 1310, Auture Dupo, Chittagong. 31- 682645 Md. Abu Musa
27. M/S. Gulshan TanneryM/S. Gulshan Tannery 90, Hazaribagh, Dhaka- 1209. Md. Salim Ahmed
28. M/S. Great Strean Tannery 48, Sher-e- Bangla RdHazaribagh, Dhaka- 1209.
29. M/S. Chinaze Tannery Pvt Ltd 50, Sher-e- Bangla RdHazaribagh, Dhaka- 1209.
8626492 Al hazi Kazi Abdul Kadir
30. M/S. Yousuf Leather Corporation 124/2, Sher-e- Bangla RdHazaribagh, Dhaka- 1209.
8129864 Hazi Md. Bashir
31. M/S. Shatee Leather 136/5, HazaribaghDhaka- 1209.
8612109 Md. Abul Kalam
32. M/S. Feni Tannery Pvt Ltd 113, HazaribaghDhaka- 1209.
8628529 Md. Golam Rabbani
33. M/S. Kasim Tannery 110, Hazaribagh, Dhaka- 1209. Md. Abul kasam
34. M/S. Asia Tannery 137, Hazaribagh, Dhaka- 1209.
35. M/S. Nashet Tannery 138, Hazaribagh, Dhaka- 1209. Md. Salim
36. M/S. Sonali Tannery 111/A, Hazaribagh, Dhaka- 1209. Md. Babul Mia
37. M/S. Fanche Leather Enterprise 95, Gozmohal, HazaribaghDhaka- 1209.
9662840 Md. Shamsul Huda
38. M/S. Razibe Leather Complex 95/4, Gozmohal, HazaribaghDhaka- 1209.
9662840 Md. Shamsul Huda
39. M/S. Son Light Tannery 122, Hazaribagh, Dhaka- 1209. Hossain Ahmed
40. M/S. Karsaj Tannery 92, Gozmohal, HazaribaghDhaka- 1209.
8625078 Md. Hanif
41. M/S. Chanpur Tannery 93, Hazaribagh, Dhaka- 1209. Md. Sarij Miha
42. M/S. Oversige Tannery 139, Hazaribagh, Dhaka- 1209. Nasir Ullah
43. M/S. Capital Tannery 94, Hazaribagh, Dhaka- 1209. Master Sayead Ullah
44. M/S. Naru Bhai Tannery 97, Hazaribagh, Dhaka- 1209. Abu Kausar Jahangir
45. M/S. Comilla Tannery 98, Hazaribagh, Dhaka- 1209. Md. Nur Nabi
46. M/S. Royel Tannery 100, Hazaribagh, Dhaka- 1209. 9228857 Md. Momin Ullah
47. M/S. Juliet Enterprise 81, Hazaribagh, Dhaka- 1209. 8614354 Md. Shaidul Hoque Master
108
48. M/S. Lieen Enterprise 100, Hazaribagh, Dhaka- 1209. 8616975 Sha Emrean Photoeary
49. M/S. Ibrasim Tannery 105, Hazaribagh, Dhaka- 1209. Md. Israfil
50. M/S. Shatter Tannery 105, Hazaribagh, Dhaka- 1209. Ahdur Shatter
51. M/S. Mother Tannery 104, Hazaribagh, Dhaka- 1209. S M Awlad Hossain
52. M/S. Manik& Sohaj Brotgers Tannery
79/A, Hazaribagh, Dhaka- 1209. 8628867 Mukbul Ahmed
53. M/S. Anjuman Trading Corporation 79, Hazaribagh, Dhaka- 1209. Md. Hanif
54. M/S. Morshed Brothers Tannery 83/A, Hazaribagh, Dhaka- 1209. 9662533 Md. Nur Nabi
55. M/S. International Tannery 83, Hazaribagh, Dhaka- 1209. Md. Fazlu Miha
56. M/S. Mizan & Suman Tannery 89/1, Hazaribagh, Dhaka- 1209. 8611204 Md. Hossain
57. M/S. Mamtaj Tannery 84, Hazaribagh, Dhaka- 1209. Md. Jalal Uddion
58. M/S. Jindhabad Tannery 84, Hazaribagh, Dhaka- 1209. Md. Momin Ullah
59. M/S. Muzaheed Tannery 80, Hazaribagh, Dhaka- 1209. Balal Hossain
60. M/S. Salam Tannery 75, Hazaribagh, Dhaka- 1209. Md. Abdus Salam
61. M/S, Bhi Bhi Tannery 64, Hazaribagh, Dhaka- 1209. Md. Shakanter
62. M/S. Jalal Tannery 117, Hazaribagh, Dhaka- 1209. 8118204 Sala uddion
63. M/S. Metto Tannery 67/2, Hazaribagh, Dhaka- 1209. Jamal Ahmed
64. M/S. Golden Leather Industries 65/2, Hazaribagh, Dhaka- 1209. Md. Amir Hossain
65. M/S. Islamia Tannery 65, Hazaribagh, Dhaka- 1209. M SB Sala Ahmed
66. M/S. Shahi Tannery 68, Hazaribagh, Dhaka- 1209. Md. Samsul Islam
67. M/S. Sodor Tannery 60, Hazaribagh, Dhaka- 1209. 8625230 Md. Torea Ullah
68. M/S. Hazi Mazharul Hoq Ltd 79/1, Water Workers RdPosta, Dhaka- 1209.
Md. Gopran
69. M/S. Sumon Tanney 57/2, Hazaribagh, Dhaka- 1209. Hazi Md. Shajahan
70. M/S. Lakhi Tannery 68, Hazaribagh, Dhaka-1209. Md. Shajahan
71. M/S. A B S TanneryM/S. A B S Tannery 42, Hazaribagh, Dhaka- 1209. Md. Abu Bakker Siddque
72. M/S. East Asia Tannery Ltd 12/2, Sher-e- Bangla RdHazaribagh, Dhaka – 1209.
8625268 Md. Bajlur Rahman
73. M/S. Phoenix Leather Complex 180/C, Sher-e- Bangla Rd 8625268 Md. Bajlur Rahman
109
Hazaribagh, Dhaka – 1209.74. M/S. Arafat Leather Complex 6/1, Sher-e- Bangla Rd
Hazaribagh, Dhaka – 1209.017- 524925 Hafaz Md. Mozzamal Hoq
75. M/S. Marson Tannery 45/1, Hazaribagh, Dhaka- 1209. Md. Estak Ahmed76. M/S. Ashan Habibe & Brother 123/3 Sher-e- Bangla Rd
Hazaribagh, Dhaka –1209.Md. Akterurzzaman
77. M/S. Mamun Tannery 91, Hazaribagh, Dhaka- 1209. 9661733 Md. Mosaraf Hossain
78. M/S. Iland Tannery 122/A, Hazaribagh, Dhaka- 1209. Md. Tajul Islam
79. M/S. Udion Corporation 124/1, Hazaribagh, Dhaka- 1209. Md. Amanat Hossain
80. M/S. Reshni Complex 100/2, Hazaribagh, Dhaka- 1209. 9118857 Md. Humayan Kabir
81. M/S. Latif Leather Complex 83/1, HazaribaghDhaka – 1209.
8612098 Md. Hamidul Islam
82. M/S. J R Leather Export 42/10. Sonatongho , HazaribaghDhaka- 1209.
Jamala Khatun
83. M/S. Hossain BrothersM/S. Hossain Brothers TanneryTannery
68/1, Hazaribagh, Dhaka- 1209 8613770, 0175 042959
Hossain Ahmed Bhuiyan
84. M/S. Kalu Leather Corporation 43, Sher- E Bangla RoadHazaribagh, Dhaka- 1209
9667075 Mahabub Alam
85. M/S. Aziz Tannery 148/2, Hazaribagh, Dhaka- 1209 Samsur Rahman
86. M/S. Globe Tannery Ltd. 118, Sher-e- Bangla RoadHazaribagh, Dhaka- 1209
M A Bari
87. M/S. S & S Tannery Hazaribagh, Dhaka-1209 Md. Abdur Rahim
88. M/S. J A Leather 61, Hazaribagh, Dhaka-1209 Md. Abdul Ajij
89. M/S. Johir Trading Industries 121/4, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Johir
90. M/S. H S Tannery 47, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Hafez Ahmad
91. M/S. Chowdhury & Co. 121/A, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Hasan Chowdhury
92. M/S. Jakir Hossain Tannery 120/1, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Shekantor Hossain
93. M.S. Zoobli Tannery 70, Hazaribagh, Dhaka-1209 Nurul Haque
94. M/S. Leather Complex Pvt. Ltd. 11, Kalu Nagar, Hazaribagh, Dhaka-1209 Md. Ibrahim
95. M/S. T Ahmed Tannery 87, Hazaribagh, Dhaka-1209 Ali Ahmed
96. M/S. Nabipur Tannery 141/A, Hazaribagh, Dhaka-1209 Md. Abdul Wahab
97. M/S. Nobarun Tannery 56, Hazaribagh, Dhaka-1209 Md. Iqbal Hossain
110
98. M/S. City Leather Tannery 30, Monesshore Road, Hazaribagh, Dhaka-1209
Hazi Md. Ali
99. M/S. New Kajol Tannery 30/A Monesshore Road, Hazaribagh, Dhaka-1209
Sala Uddin Ahmed
100. M/S. Muslim Tannery 30, Monesshore Road, Hazaribagh, Dhaka-1209
Hazi Somsher Ali
101. M/S. Milon Tannery 58, Hazaribagh, Dhaka-1209 Zohir Ahmad
102. M/S. Moon Tannery 105/1, Hazaribagh, Dhaka-1209
Md. Abul Kashem
103. M/S T-Para Tannery 49, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Aminul Islam Babul
104. M/S. Kalam & Brothers Tannery 120/2, Hazaribagh, Dhaka – 1209
Md. Abul Kalam
105. M/S. Mohin Tannery 59/1, Hazaribagh, Dhaka-1209 Abdul Odud Mia
106. Ms. United Tannery Ltd. 139, Hazaribagh, Dhaka-1209 Md. Sala Uddin Chowdhury
107. M/S. M S Tannery 121/3, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Ruhul Amin
108. M/S. Abul Bashar Tannery 135/B, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Abul Bashar
109. M/S. Dhaka Nagar Tannery 98, Hazaribagh, Dhaka-1209 Abul Hossain
110. M/S. Jasim Tannery 30/3, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Sala Uddin
111. M/S. M I Tannery 122, Hazaribagh, Dhaka-1209 Hazi Ismail Hossain
112. M/S. Komla Tannery 125/1, Hazaribagh, Dhaka-1209
Hazi Nurul Islam
113. M/S. Gokul Tannery 121, Hazaribagh, Dhaka-1209 Md. Mozammel Hossain
114. M/S. Bengal Peli Export Co. 94/1, Hazaribagh, Dhaka-1209 Md. Anwar Hossain
115. MS. Poiran Tannery 117/1, Hazaribagh, Dhaka-1209
Alhaj Md. Shofi Ullah
116. M/S. Alea Tannery 106, Hazaribagh, Dhaka-1209 Md. Nurul Huda
117. MS. Iqbal Brothers Tannery 135/C-2, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Sasuddin Munshi
118. MS. Mukta Tannery 24/C, Kalunagar, Hazaribagh, Dhaka-1209 Sayed Md. Shahidullah
119. Prominent Tannery Ltd. 25, Prominent Avenue, 3, PC Culture, Mohammadpur, Dhaka-1207
Major Monjur Kader (Retd) M.P
120. M/S. Sayful Leather 121/2, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Hazi Md. Sofi
121. M/S. Miraz Leather Complex 13/1, Hazaribagh, Dhaka-1209 Md. Monir Hossain
122. The Noakhali Tannery Dotter Hat, Miazdi Court, Noakhali Md. Moazzem Hossain
111
123. M/S. Ismail Leather Corporation 121/B, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Ismail
124. M/S. Prince Tannery 135, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Zahangir Hossain
125. M/S. Al-Hera Leather Industries Ltd. 79, Water Works Road, Posta, Dhaka Hafez Muzahidul Haque
126. M/S. Dincum Shoes Ltd. House# 14, No.1 PC Culture Road, Mohammadpur, Dhaka-1207
Hasan Showrozit
127. Hi-tech Leather Complex Ltd. (Shohid Tannery)
111, Hazaribagh, Dhaka-1209 Md. Mozaffar Hossain
128. M/S. Luna Tannery 66, Hazaribagh, Dhaka-1209 Hazi Monir Uddin Ahmad129. Chrome-veg tannery Ltd. 115, Hazaribagh, Dhaka-1209 Md. Salim
130. M/S. Rubi Leather Complex 71/4, Gozomohol, Hazaribagh, Dhaka-1209
Md. Shahjahan Bhuiyan
131. M/S. Salam Leather Corporation 71/4/C, Gozomohol, Hazaribagh, Dhaka-1209
Hazi Md. Abul Bashar
132. M/S. Atique Leather Complex 54/2, Hazaribagh, Dhaka-1209 Hossain Ahmed Bhuiyan
133. M/S. Greenwage Tannery 133/3, Hazaribagh, Dhaka-1209 Md. Shirah-ud-doullah Bahar
134. Hena Leather 44/1, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Mozibur Rahman44/1,
135. M/S. Rabeya Khatun Tannery 49/3, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Zamadul Haque
136. M/S. H L Enterprise 38, Sonatongor, Hazaribagh, Dhaka – 1209
Md. Abul Hashem
137. M/S. Dil Bahar Tannery 116/B, Hazaribagh, Dhaka-1209 Md. Mostoffa Mia
138. M/S. S A Leather 44/C, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Mozaffar Rahman
139. R A N Leather 44/B, Sher-e- Bangla RdHazaribagh, Dhaka – 1209
Md. Masukur Rahman
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Appendix A-7
Bangladesh Chemical Importers & Merchants Association124, Hazaribagh, Dhaka-1209, Tel: 8622608
SL Name of the Importer Name of the Firm Address
1. Md. Mizanur Rahman(Mesbah)Chairman (BCIMA)
AIM Associate/ Imaco 124 Dhaka Tannery Market, Hazaribagh
2. Md. Mohsin Bhuiyan Latex Tradelink 20, Sher-e-Bangla road, Hazaribagh
3. Md. Khasrul Alam M/s Tanvir & Co 130 KohinoorTannery market, Hazaribagh
4. Md Mokhlesur Rahman 28, Sonatongar, Zikatola, Dhaka
5. Md. Morshed Haider Haider Traders 28, Sonatongar, Zikatola, Dhaka
6. Md. Bulbul Aiub B.N.C 3/6, Sonatongar, Zikatola, Dhaka
7. Md. Tofail Ahmed T.A Trading 130 KohinoorTannery market, Hazaribagh
8. Md. Habibur Rahman Rupsi Traders 124 Dhaka Tannery Market, Hazaribagh
9. Hazi Rabiullah Taj Chemical 124 Dhaka Tannery Market, Hazaribagh
10. Md. Altaf Hossain A.H Enterprise 99 Hazaribagh Dhaka
11. Mazakat Harun ManikGeneral Secretary (BCIMA)
Chemitan Limited 124 Dhaka Tannery Market, Hazaribagh
12. Md. Azizul Haque Hawladar Romo Enterprise 99 Hazaribagh Dhaka
13. Maksudur Rahman Shopon Gonipur Agency 87, Sher-e-Bangla road, Zikatola
14. Mostofa Akter Hossain Fair International 86, Sher-e-Bangla road, Zikatola
15. Md. Abul Hossain Labony Traders 124 Dhaka Tannery Market, Hazaribagh
16. Abdur Rouf Sabuj Chemirex International 20, Sher-e-Bangla road, Zikatola
17. T.M Manjur Hossain Mahai Trading 146 Hazaribagh Dhaka
18. Md. Iunus Khan 165 Agrabad Chittagong
19. Abu Musa 27 kalurghat Chittagong
20. Md. Mijanur Rahman 130 Agrabad Chittagong
21. Md. Amanullah 115, Sher-e-Bangla road, Khulna
22. Md. KhodaBoks 23 Farajipara, Dalmil Road, Khulna
23. Sirajul Islam 24/2 Azimpur, Dhaka
24. Abul Khayer Bhuiyan 58, Terribazar, Chittagong
25. Md Aiub Ali 155, Dewanhat, Chittagong
26. Md. Alauddin Hawladar Bibir Pukurpar, Barisal
27. Md. Habibur Rahman Babul Alokanda, Barisal
28. Md. Sayedul Islam 49, Station Road, Dinajpur
29. Azmal Hossain Bhoje Talukdar Guest House, Syedpur, Nilphamari
30. Md. Zahangir Hossain 6/1 Armanitola, Dhaka
113
31. Md. Ainul Haque 10/2 Armanitola, Dhaka
32. Rafiqul Islam Badal 23 TantiBazar Dhaka
33. Md. Faruq Hossain 23 TantiBazar Dhaka
34. Iliasur Rahman Badal M/s Ilias & Brothers 10 Chalk MughalTuli, Dhaka
35. Samsul Alam 20 Sena Kalyan Bhaban, Motijheel, Dhaka
36. Md. Aworangojeb 53 Motijheel, Dhaka
37. Shamim Iqbal 67 Motijheel, Dhaka
38. Shahnewaj Khan Borobazar Ananda Mahol, Mymensing
39. Md. Sadequr Rahman 10 Station Road, Mymensing
40. Md. Selim Reja Babubazar, Jessore
41. Jafar Ahmed Myzdi Court, Noakhali
42. Abul Kalam Azad 26, Bangshal Road, Dhaka
43. Abdur Rouf Mollah 31 Nyabazar Market, Dhaka
44. Abdur Razzak Bishwas 35 Urdu Road Dhaka
45. Hazi Bulbul Ahmed 35 Urdu Road Dhaka
46. Md. Lutfur Rahman 14/15 Ispahani Building, Motijheel, Dhaka
47. Md. Delwar Kader 6 Motijheel, Dhaka
48. Md. Shakawat Hossain
49. Amar Saha Trade Exchange 20, Sher-e-Bangla road, Zikatola
50. Abdus Sattar 130 KohinoorTannery market, Hazaribagh
51. Monjurul Haque Niru M.A Corporation 9, Dewan monjil, Sonatongar, Dhaka
52. Md. Dulal
53. Md. Fazlul Mukit Progressive Leather & Footwear Co.
20, Sher-e-Bangla road, Hazaribagh
54. Md. Zakir Hossain
55. Md. Shafiqul Islam
56. Md. Tarikul Islam (Mukul) R.M International 124 Dhaka Tannery Market, Hazaribagh
57. Khondaker Ahad Ahmed Organo MultiTrade Int’l H: 7, R: 4, Dhanmondi, Dhaka
58. Abul Kalam Azad A.T.L 143/A Hazaribagh
59. Md. Nurul Anwar Exim Trade Int’l 950/B Yakub Building, Khatunganj, Chittagong
60. Md. Faruk Hossain 1/5 Mizan Tower, Kalyanpur, Dhaka
61. Md. Rafiqul Islam Babul M/s Link Int’l 20, Sher-e-Bangla road, Hazaribagh
62. Hazi Md. Abdus Salam B.S Trading Co. 143/A Hazaribagh, Dhaka
63. Rawsan Uz Zaman
64. T.M Delwar Hossain Bangladesh Leather Syndicates 13 Sahjahan Tannery Block, Hazaribagh
65. T.M Belayet Hossain 96/4 Monesshar road, Zikatola
66. S.M Kamrujjaman 124/B Hazaribagh, Dhaka
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67. Sirajul Islam SF Trading 130 KohinoorTannery market, Hazaribagh
68. Md. Tarek Hossain All Leather Trade 48, Sher-e-Bangla road, Hazaribagh
69. Hazi Md. Yusuf M/s Lipi Leather 115 Hazaribagh
70. A.K Moniruzzaman Romisa Int’l 124 Hazaribagh, Dhaka
71. Moklesur Rahman Patwari Milon Enterprise 124 Hazaribagh, Dhaka
72. Abul Kalam Azad Imon Trading Corp. 15/F Zikatola
73. Md. Siddikur Rahman Buckman Laboratories 15/F Zikatola
74. Khaza Ahmed Asia Trading Corp. 20 Sahjahan Tannery Block, Hazaribagh
115