The leather industry in Bengal is apprehensive of a raw material shortage as strict enforcement of animal slaughter regulations by the state government is set to disrupt supplies of cow and buffalo hides, traders said.

The impact is likely to be visible after Eid al-Adha, traditionally a peak season for hide availability, as Muslim clerics claimed that cow sacrifice during the Eid celebrations in the state on Thursday dropped to "negligible levels" under the stringent regulations, which the community chose to abide by.

Indian Leather Products Association (ILPA) president Md Azhar told PTI that the raw material shortage could worsen the situation for the industry, an already stressed sector facing weak global demand and logistical disruptions.

“This is not only about Bakrid. The concern is over stricter regulations on cattle slaughtering and sale and purchase of cows and buffaloes, which will impact overall hide availability,” Azhar said.

Traditionally, after Eid al-Adha, hides are available in abundance because a large number of cows and buffaloes are slaughtered during the occasion, he said, adding that such supplies support the tanning industry for months.

Under the stricter regulatory regime and enforcement of the Bengal Animal Slaughter Control Act 1950, the authorities have intensified checks on cattle transportation, documentation and slaughter practices, while the sale and purchase of cows and buffaloes are being closely monitored, industry sources said.

Cow and buffalo hides are extensively used by Kolkata’s leather industry, which processes millions of square feet of leather annually and manufactures a wide range of export-oriented leather goods.

Cow hides are generally preferred for premium leather products such as garments, wallets and handbags because of their finer texture, while buffalo hides are mainly used for durable footwear, industrial leather and saddlery items.

The Bengal leather industry is estimated to have an annual turnover of Rs 23,000- Rs25,000 crore, including exports worth around Rs 10,000 crore, according to the stakeholders.

“Prices of hides will increase, aggravating problems when the sector is already reeling under margin pressure and lower exports due to the US tariff imposition, the Iran conflict and the Strait of Hormuz-related shipping disruptions,” Azhar said.

The Hormuz crisis is leading to lower container availability, he said, adding that demand is "weak and the biggest concern now is protecting workers’ livelihoods".

According to Azhar, around 6-7 lakh workers are directly or indirectly dependent on the leather industry in and around Kolkata.

India imports nearly 50 per cent of its hide requirement, and any decline in supply from Bengal — one of the country’s major leather hubs — would further increase dependence on overseas raw material shipment, he said.

Leather Exports Council Chairman Ramesh Kumar Juneja acknowledged that the availability of leather raw material in the state would decline due to the cattle slaughter regulations, but said the industry will have to obey the law of the land.

“There will be some reduction in local availability of hides, but the situation can be managed through imports. Industry already imports about 50 per cent of its requirements, as domestic supply is not adequate. Imports will increase, but there will be no crisis for production,” Juneja told PTI.

He said hides could be sourced from countries such as New Zealand, Australia and parts of the Middle East.

“There is also no issue with shipments from New Zealand and Australia as those routes do not involve the troubled Strait of Hormuz,” Juneja added.

Kolkata’s leather cluster, centred around the Bantala Leather Complex, is among the country’s major processing hubs and exports leather garments, bags, wallets, footwear and saddlery products.

However, the leather sector in Bengal has already been facing multiple headwinds, including slowing global demand, rising compliance costs and geopolitical uncertainties impacting freight movement and export orders, industry stakeholders said. Exports from the sector have declined in recent months due to these geopolitical headwinds.

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