Written By:
Murtaza Kazmi & Ahsan Raza
Pakistan is recognized as one of the top countries in the world with respect to finished leather industry in after sales service along with value added services. Pakistan currently focuses more on import but the time has come they have to focus more on exports and products have to be exported all year long unlike seasoned exports of leather and garments. Leather goods have the potential to be developed for international market products have to be available locally. Local market leather goods have already been adopted and people are using it frequently due to imported quality considerable demand has been noticed.
Garment manufacturers did not spend money and time for research and development Pakistan is facing tough competition with all the countries that produce items technical improvements, market research adoption of new techniques and improvement in designing are must and work units have to be more efficient.
The export of leather and leather garments now stands at 345 million dollars. There has been seen and increasing tendency in the value added products exports as can be seen from the figures of leather garments export during 1996-97 than previous years i.e. the exports of leather garments was 345 million dollars, i.e. 107 million dollars higher i.e. compared to more than the exports of tanned leather which is 238 million dollars. The commerce minister has accepted another demand of the exporters by allowing samples, labels etc. Duty free and quick release of such samples and labels will help execution of export orders.
Leather sector has now to face a challenge in the open markets. It is not only competition with the under developed or developing countries but the industry now also have to compete with the developed countries. Being producer of finished leather and leather products, Pakistan is facing tough competition with all the countries that produce these items. Technical improvements, market research, adoption of new techniques and improvements in designing are a must now, besides the units have to be more efficient.
Our Pakistani leather goods have potential to be developed in international markets up to international exports standards. Due to some facts the major chunk of the product the indigenous material which is available locally. In the local markets leather goods sales are increased as people have already been adopted this product and people are using frequently and leather goods make good give away at present. But in the last few years the imported quality considerable demand has been noticed for the foreigners.
Our observations says that leather items have comparative edge as leather products used over gift items from Pakistan the products like carpets, leather jackets, wood and other handicrafts leather products have edge on these products. But due to more quality improved issues the packing of all Pakistani exported leather goods product packing needs to be improved. We need to concentrate more on the prices level that needs to bring down to the international standards during the product manufacturing because it has been noticed as higher leather product prices in Pakistan. This can easily be achieved as manufacturing units are boost for exports production and export orders are proceed year around.
Due to further increase exports item of leather goods it needs a high level of promotion up to international standards so leather goods should be pushed further. The goods need to be more value added incentive. If the new item is introduced it can create its own place in the market due to high promotion without hurting those exports that currently exported from Pakistan. Leather industry of Pakistan has great chance to grow and become export oriented industry. The leather based industry sector are contributing about Rs 20 billion to the National Economy and employ more then 250,000 workers.
The leather industry Tanneries and garments compared with available domestic raw hides and skins on the other developed countries tanneries were closing down and leather garment manufacturers not being able to complete as the third world country closed down the factory. As profit tanners and garment manufacturers did not spend money and time for R&D. The leather sector industry is having tough time while taking place worldwide. Leather industry faces challenge in the open markets.
The competition when it comes to a developed country like USA and Pakistan is immense. As Pakistan needs technical improvements, market research, adoption of new techniques and improvements in designing are a must to compete. In this year Pakistan leather export increased up to 14% in top business. The “Highways Creation Pvt Ltd” representative at Karachi Mr. Danish Khan has said, that export of leather garments of Pakistan was on top of the list and the leather gloves was on second which shows improvement. The current government is supporting all those who work on finished leather within Pakistan, which is good sign for the prosperity of this industry and ultimately the country.
