POST TIME: 21 August, 2019 00:00 00 AM
Tangail rawhide traders see heavy losses

Tangail rawhide traders see heavy losses

Marginal and seasonal rawhide traders have incurred heavy losses as they have had to sell their commodities at throwaway prices in the Pakutia hide market of Tangail district.

The disappointed traders are blaming the wholesalers while the wholesalers are blaming the tannery owners.

Small and seasonal traders at Pakutia hat in Ghatail upazila of Tangail district said on Sunday that they had to sell hides, incurring losses of Tk. 200–300 per piece. Abdul Kader, who holds the lease of the Pakutia hide market, said more than 1 lakh pieces of hide were brought for sale in previous years. But this year, traders brought less than 50,000 pieces of rawhide after Eid. The necessary numbers of buyers from the tanneries cannot be found in the market. Only 10 to 12 agents of companies, small tanneries and local buyers from Bolla, Netrokona, Sirajgonj, Jamalpur and Kishoregonj district can be found in the market.

Gandha, a seasonal trader, said he has collected hides from the villages and preserved these for a few days using salt. A sum of Tk. 600–900 has been spent on each piece of hide as its price, taking into account salt and transportation costs. But the wholesalers and agents of tanneries are buying these at Tk. 300–600. The seasonal and marginal traders bought 200 to 300 pieces of hide and incurred losses of Tk. 200–300 per piece instead of logging profits. These seasonal and marginal traders have taken loans from NGOs and banks at high rates of interest.

Tannery agents who came to the market told this correspondent that the government did not provide bank loans for buying hides and skins. The government fixed Tk. 45–50 per cft as the price. Hence, the middlemen have to buy at Tk. 25–35 per cft because an additional Tk. 200 is spent on each piece of hide after buying it. Transportation costs, labour cost and the cost of salt also have to be counted. But the small traders are not selling the hides at that price.

The hides are preserved using fresh salt for sale after a month. Small and seasonal traders blamed the syndicate of tanneries and companies, who are the big buyers. Warehouse owners are now purchasing hides from middlemen at low prices and stockpiling them so that they can sell them when market prices rise, said Md. Jalal Mia, a trader of Tangail town. Small traders will be ruined if the market price remains static, said Abdul Kader, leaseholder of Pakutia hide market.

As a result of all this market tumult, the orphans and the distressed poor are being deprived of donations this year.

Moulana Solaiman Kashemi Mohatemim of Tangail’s Jamia Kasheful said the prices of hides of sacrificial animals are supposed to be given to the indigent, the distressed and the orphans. Some Qoumi Madrashas are being funded from the proceeds of the sales of sacrificial animals of Eid, which are donated to the institutions. This year, however, they have been totally deprived. The government’s intervention is such that the wholesalers and the owners of tanneries will be profited instead of the poor and the madrashas, he argued.