Developing the Leather Industry in Bangladesh
This brief examines the benefits, priorities, and possible strategies for developing the leather industry in Bangladesh.
To shift the country’s economy to a higher growth trajectory and sustain high economic growth, the manufacturing and export bases need to be diversified. Leather is one of the industries with considerable potential for development, using Bangladesh’s large supply of lowcost labor and raw material. The industry has the potential to participate in global value chains, enter a new market, and serve the growing domestic demand.
With its abundance of labor and natural resources and successful development experiences in the ready-made garments industry, Bangladesh is ideally suited for the production of leather such as high-value leather goods and footwear.
- The leather industry has considerable potential for development using Bangladesh’s large supply of low-cost labor and raw material. The industry can contribute significantly to diversifying export and boosting export earnings.
- The key priority is to develop an efficient and environment and labor-compliant domestic tannery industry.
- To realize the leather industry’s full potential, well-coordinated policy actions are required.
- With proper investment and policy reforms, the leather industry can attract significant investments in the sector, diversify and substantially boost its exports, and achieve its target of $5 billion in export earnings.