Hide prices where they should be.
Published: 30th May 2017
Port Elizabeth, SA – The volatility of the Rand is always a factor. When it was at R12.30 to the Dollar, we were definitely paying too much for hides. At R13,20, hide prices are back where they should be.
Hides are less price sensitive than skins for us because there is a big local market with the automotive industry whereas all skins are for export.
There’s definitely a downturn in China for lower quality hides, partly linked to their problems with pollution. We can still sell the lower grades – you can always sell them for a lower price – but the mood is different.
There’s a shortage of hair sheep skins, and the quality is getting poorer and poorer as we get closer to winter.
With Merinos, demand is steady. – [+27 (0)41 484 4591, cpcgroup@capeproduce.co.za]
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