Insufficient Supply Of High Quality Leather Is A Hindrance To Vietnam'S Footwear Industry

< p > over reliance on imported leather raw materials has made Vietnam's a href= "http://www.91se91.com/news/index_c.asp" > footwear industry < /a > less competitive in the domestic and foreign markets, but this situation can not be changed for a while, insiders said.

According to the introduction, imported leather has increased the cost of shoe making in Vietnam and hindered the development of export that can create employment. However, Vietnam is still looking for effective solutions to deal with the shortage of leather raw materials and investors' lack of interest in leather industry.

< /p >

< p > local media recently reported on a shoe maker in Vietnam, Pingyang province. Although the shoe maker had obtained an export contract, he lost about $100 thousand because of inferior leather materials.

The head of the company said it was difficult to control the quality of the imported raw materials, but her company had no choice but to import it, because the quality of the homemade leather was not up to the standard of producing high quality shoes.

She says local raw materials are usually made of small pieces of Bull Hide, and many of them are damaged.

< /p >

Moreover, the supply of low quality domestic raw materials is not enough to meet the demand of local a href= "http://www.91se91.com/news/index_c.asp" > shoe-making less than /a. DiepThanhKiet, vice chairman of Vietnam leather, shoemaking and bags Association (Lefaso), said that the leather produced in China can only meet the demand of 20% to 30% of shoemaking manufacturers.

Therefore, Vietnam's heavy reliance on imported leather can only continue.

According to Lefaso, Vietnam spent 2 billion 730 million dollars in the first 9 months of this year to import raw materials for shoes and clothing production from China, Korea, Taiwan, China and Thailand.

< /p >

< p > < < a href= > http://www.91se91.com/news/index_p.asp > Vietnam < /a > footwear industry relies heavily on imports of leather raw materials. The products of China, Singapore and Thailand sell about 150 million pairs of shoes in Vietnam market at a competitive price and quality design each year.

According to data from the Hu Zhiming Footwear Association, shoe manufacturers in the city have reported that sales have dropped by about 20% since the beginning of this year.

Nguyen VanKhanh, director of the Leather Association of Hu Zhiming, said that because Vietnam's investment in leather processing required a lot of money and investors had to prepare for the first one or two years without making money, it was difficult to develop leather processing industry.

< /p >

Less than P, intentional investors will also be able to retreat because they find that they are not competitive with China and lack competitiveness.

Hu Zhiming city plans to build a leather industrial park, but it has been shelved. That's why, he said.

Hu Zhiming currently has about 100 shoe makers, but there are only 10 leather processing plants, with a capacity of about 10 tons per day, according to the association.

< /p >

The total value of footwear production in Vietnam in the first 11 months of this year is US $7 billion 400 million, which is 14.2% higher than that in the same period last year, according to data from the P.

< /p >

< p > related links: < /p >

Vietnam has a rich and cheap labor force. Secondly, Vietnam's footwear exports to the United States, the European Union and ASEAN enjoy many preferential policies, which is one of the countries that are less affected by international trade restrictions and anti-dumping. P

< /p >

< p > however, the supply of raw materials is insufficient and mechanization is not popularized. The shoe industry in Vietnam has fallen into the bottleneck of development: the machine penetration rate is very low, mainly relying on a large number of labor force, semi mechanical semi manual sewing machine and cutting machine operation.

It also faces stringent quality standards from international shoe buyers from the European and American markets.

Therefore, Vietnam's domestic shoe enterprises have begun to gradually apply modern technology in the production management process to reduce risks.

< /p >