Bangladesh鈥檚 leather footwear exports in July-May of the current financial year 2023-24 declined by nearly 26 per cent while the exports of non-leather footwear increased by nearly 7 per cent in the period, according to Export Promotion Bureau data.
Exporters attributed this shift to changes in global consumption patterns over the past few years, with artificial leather increasingly replacing traditional leather items.
They said that the overall global market size for leather footwear had shrunk due to factors such as high inflation and changing fashion trends.
Moreover, shipments of Bangladesh鈥檚 leather footwear decreased due to lack of environmental compliance in the tannery sector in the country, they said.
According to the EPB data, Bangladesh鈥檚 export earnings from leather footwear in the first 11 months of FY24 fell by 25.92 per cent to $477.24 million compared with those of $644.18 million in the same period of FY23.
However, the export earnings from non-leather footwear in July-May period of FY24 grew by 6.87 per cent to $463.33 million compared with those of $433.53 million in the same period of FY23.
The data showed that the export earnings from non-leather footwear more than doubled in the past five years.
The exports of non-leather footwear increased to $478.86 million in FY23 compared with those of $244.09 million in FY19.
鈥楧emand for footwear has shifted from leather to non-leather and synthetic items in recent years due to the global economic slowdown,鈥� Leathergoods and Footwear Manufacturer and Exporters Association Bangladesh president Md Saiful Islam told 抖阴精品 on Thursday.
He also said that fashion trends on the global market had changed due to high inflation, as the prices of non-leather footwear were much lower than those of leather items.
Saiful mentioned lack of environmental compliance in Bangladesh鈥檚 tannery sector as another reason for decreasing the export of leather footwear.
鈥極ur tanneries have shifted to Savar from Hazaribagh in Dhaka, but we have not ensured environmental compliance in the new industrial zone due to non-functional central effluent treatment plant,鈥� he said.
Saiful, also the managing director of Picard Bangladesh Limited, said that some companies obtained the certification from the Leather Working Group, but it was not enough to remain competitive on the global market.
鈥楪lobal buyers would not procure leather products from any company without LWG certification and hopefully many of the tanneries will able to obtain the certification within a year and then the exports of leather footwear will increase,鈥� he said.
Although leather items are costly, their lifespan is longer than that of artificial leather products, he mentioned.
The EPB data showed that Bangladesh鈥檚 export earnings from leather and leather good in July-May of FY24 fell by 14.17 per cent to $961.49 million compared with those of $1.12 billion in the same period of FY23.
