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

1

“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.

2

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

3

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

5

University of Dhaka

6

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

7

2.13.3 ORGANOGRAM OF ACI TRADING LIMITED (FOCUSING LEATHER CHEMICAL DIVISION)

17

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

8

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 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.

14

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.

15

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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mailto:[email protected]

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.

22

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

23

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:

24

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.

26

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


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


Total 23.01 76.99 100


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



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


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


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


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


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


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


Table 6.6: Yearly Raw Materials used for Producing 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


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


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


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


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


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


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



62

Weak Marketing 86%


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



Weak Marketing 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



Conducive Industrial Policy 58%



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


Conducive Industrial Policy66%




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



Hartals, strike, and other disturbances 68%



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



Lack of Trained Labour 64%


Hartals, strike, and other disturbances60%


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


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


& Pocket Handbook of Leather Technology, 2004, BASF

8.3.2 Crust Section:


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


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


& 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


Total 38982 268076 307058


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


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


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


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


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


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


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.


ShareShare1. TFL, Germany 25%


3. Buckman, Singapore 15%

4. TH Bohme 15%

5. Schill & Seilacher, Germany 5%

6. Scitan, Italy 5%


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.


ShareShare1. TFL, Germany 25%



4. Seicie, Italy 10%

5. Schill & Seilacher, Germany 5%


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.


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.


ShareShare1. Clariant, UK 35%

2. TFL, Germany 20%



6. Rock Chem 5%


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.


ShareShare1. Local 55%

2. Clariant, U.K 10%


4. Kemira 5%


7. Tanning Agents: 6000-8000MT /Year Price: 50-150Tk Per Kg.

#S#SL.L.


ShareShare1. BASF, Germany 30%

2. Bayer, Germany 30%

3. American Chemical Co. 15%

4. Sulchome, Italy 10%


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.


ShareShare1. Buckman, Singapore 40%


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.



2. TFL, Germany 10%

3. Clariant, U.K 10%

4. Clowan 10%


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%

87

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.



2. TFL, Germany 25%

3. Clariant, UK 20%


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.




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.



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.




3. TFL, Germany 10%

4. Hodgeson 10%


Product Name: (Tamol AW), BASF;(Neosyn-N), Clarient;(Compound DLS), Hodgeson;

5. Fatliquors: 1800-2000MT /Year Price: 70-350Tk Per Kg.

#S#SL.L.


ShareShare1. Smith & Zones 30%

2. TFL, Germany 20%


4. Clariant, UK 10%

5. Zshimmer & Schwarz 5%


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


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


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


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


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


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


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


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


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

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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

114

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

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