Argentina: tensions between tanners and shoe manufacturers

18/01/2016
New tensions have risen between tanners in Argentina and their customers. In 2015, representatives of leathergoods manufacturers complained that tanners in the South American country were holding back from passing on any benefit of lower hide prices. At the start of 2016, the footwear industry levelled a similar complaint.

President of national footwear manufacturers’ association CIC, Miguel Hames, went on television in early January and complained that his member companies were experiencing hikes in finished leather prices of at least 25% and that, in some cases, tanners had put their prices up by as much as 40%.

“It’s something we just don’t understand,” Mr Hames said. “The hides these tanners are using are from here, from Argentina, and we know that they have a salary agreement with the tannery workers that will stay in place until June 30. Therefore, these price increases for finished leather should not be happening.”