Major Factors Affecting Hide and Skin Production, Quality and the Tanning Industry in Ethiopia

Ethiopia has 55.03 million cattle, 27.35 million sheep and 28.16 million of goats. This places the country as one of the richest countries in livestock resources. For instance, its potential for production of hide and skins was estimated at 3.78 million cattle hides, 8.41 million sheep skins and 8.42 million goat skins in 2012/13. Currently 27 tanneries in Ethiopia produce all forms of hides and skins and finished leather for the domestic and export markets. Ethiopian hide and skin have good reputations in the international leather market for their unique natural substances. This raw material of the leather industry is mainly derived from local areas of the country where basic amenities for slaughtering and subsequent marketing are either not in existence or lacking. Despite the production potential of hides and skins, the leather industry are still constrained by the poor quality of raw materials, lack of an efficient market structure, a weak extension service, competition from local/rural tanning industries and a lack of price incentive for production of good quality raw material. Tanneries state that only 10 to 15% of harvested skins qualify for top grades, with the rest downgraded and rejected mainly due to deterioration of skin quality owing to skin diseases and various defects.