Rawhides are not being sold at government-fixed rates. The government raised Tk 5 per square foot of rawhide.
This has been learned after visiting the capital’s Mohammadpur, Science Laboratory, and Posta in Old Dhaka on Eid-ul-Azha, Saturday, and speaking with both buyers and sellers.
The price of cowhides is largely similar to last year's, whereas buyers have shown reluctance to purchase goat hides as they did in previous years.
Visiting these areas, raw cowhides were seen being sold between Tk 700-900. Smaller hides were being sold for up to Tk 600. Last year, cowhide prices were largely the same. Besides, goat hides were sold for Tk 5-10 each—similar to last year’s prices.
According to the Department of Livestock Services, there was a demand for approximately 10.38 million of sacrificial animals this year, while about 12.45 million animals, including cows and goats, were prepared for sacrifice. Tannery owners set a target to collect 8-8.5 million of hides during this year’s Eid season.
On 26 May, the Ministry of Commerce fixed the prices for sacrificial animal hides. In Dhaka, salted cowhide was priced at Tk 60–65 per square foot (up from 55–60 last year).
Outside Dhaka, the price was set at Tk 55–60 per square foot (up from 50–55). The minimum price for rawhide in Dhaka was set at Tk 1,350 and Tk 1,150 outside Dhaka. Additionally, salted hide of castrated goats was priced at Tk 22–27, and goat hide at Tk 20–22.
The wholesales in Posta area of Lalbagh, Old Dhaka, is one of the biggest areas for rawhide processing. Visiting the area around 4:00 pm on Saturday, seasonal traders and madrasa officials were seen arriving with rawhides on rickshaws, vans, and trucks. Warehouse owners were seen bargaining and buying the hides, and wholesale traders were also seen buying hides while sitting on chairs on the roadside.
Several warehouse owners and wholesalers said they were purchasing cowhides for Tk 700–900 each. Most sacrificial animals are medium-sized cows, and their hides are sold for Tk 700–800.
Trader Shahidul Islam was seen sitting on a plastic chair and buying hides in Posta. He purchased more than a hundred hides until 4:30 pm. He told Prothom Alo that seasonal traders often overpay when buying hides without knowing the market. However, the market is not doing well. He said they were buying hides for Tk 700–900.
Md Sharif, owner of Suman and Sons, was seen overseeing the hide purchases. He said they were purchasing each cowhide for Tk 700–900. According to him, processing each hide, including salt and labour costs, would cost around Tk 350–400. Since the market sees slump, they are purchasing hides at slightly lower prices than last year.
Seasonal trader Kawsar Ahmed brought 13 raw cowhides from the Kalabagan area to Science Laboratory for sale in the afternoon. He had bought them at Tk 600–700 and was asking for Tk 1,200 per hide. However, no warehouse owner or tanners was willing to pay more than Tk 750. Finally, he sold them all at that rate.
Kawsar Ahmed said the hides he brought should have sold for at least Tk 850–900 each. But he had to sell them at a loss. After paying van fares and a helper's wage, he would be left with nothing.
Sajedul Khair, director of Kalam Brothers Tannery, was purchasing hides from seasonal traders. This tannery plans to collect 100,000 to 150,000 salted hides this year. They aim to collect at least 10,000 raw hides within the two days of Eid.
Sajedul Khair said they bought most cowhides today from seasonal sellers at Tk 750–850, and they are paying per hide about Tk 30–50 more than last year.
Some very large hides were seen selling for as much as Tk 1,500. For instance, seasonal trader Rafiqul Islam was buying hides in the Mohammadpur Town Hall area in the afternoon. He said he bought over 60 hides since the morning. He paid Tk 3,000 for the hides of two cows that were purchased for Tk 3.2 million.
Sakhawat Ullah, senior vice chairman of Bangladesh Tanners Association (BTA), said there were more small cowhides this year. However, overall supply of hides is good.
According to him, the price per hide is Tk 100–150 higher than last year. He also said that tannery companies aim to collect 500,000 to 600,000 raw hides this year. These companies typically buy hides directly to help stabilise the rawhide market.