In the backdrop of appreciation of the Chinese currency (RBM) against the US dollar, Peoples Republic of China has become a potential business avenue and a big market for Pakistani leather for being cheaper to manufacture shoes, garments and other products.
The Pakistani tanning companies who participated in the Shoes and Leather Fair held at Guangzhou Convention and Exhibition Centre, Pazhou Island, China from June 1-3, 2011, not only earned over $10 million from on-spot sale but also made future contracts for exporting finished leather worth millions of dollars from Pakistan, said Agha Saiddain, Director of Pakistan Pavilion while talking to Business Recorder on his return from China. It is pertinent to mention that 24 leading leather manufacturers took part under the aegis of Pakistan pavilion that was set up by the Pakistan Tanners Association in collaboration with the Trade Development Authority of Pakistan (TDAP), he said.
The Pakistan pavilion attracted a large number of buyers/visitors from various countries including Japan, Hong Kong, Taiwan, Italy, Malaysia, Turkey, Germany, Korea, Spain, Brazil, Thailand, Vietnam, USA, Sweden and Denmark to see the finest exposition of finished leather of all sorts and products. Result oriented discussions also took place with the foreign buyers during the exhibition, he added.
Guangzhou the coastal city of China and industrial belt for shoes has a growing consumer base, trend and quality conscious market buyers and a retail network at its best for shoes and leather. The PTA member tanners are keenly engaged in catering to the needs of this potential market to yield maximum share for the exclusive purpose of boosting Pakistan's exports, he maintained.
Agha Saiddain said that the exhibition was considered lucrative not only from economic point of view, as good business was transacted but also from marketing perspective, as Pakistani finished leather and leather products being considered super fine all over the world attracted the potential foreign buyers/customers, which caused to tie up best business relations with buyers from different countries.
He said that because of consecutive participation in the exhibition, the Pakistani tanners have so far concluded bilateral trade contracts with a number of foreign buyers interested in their quality products. These transactions yielded a good deal of foreign exchange business, besides, establishing conducive bilateral business relations in the ultimate national market. The overall feelings of the Chinese buyers were that prices of Pakistan leather have jumped to the level where it is no more workable for their factories, he said.
Pakistani exporters may bring their prices down to retain their market share in China.
With a view to make Pakistan's participation more result oriented in future, it is felt imperative that massive marketing/publicity of Pakistan's participation should be arranged well before; preferably two - month earlier of the commencement of the Fair, through the Pakistan Embassy, Beijing or Consulate General of Pakistan in Shanghai and Guangzhou.
He said that the Commercial Counsellor, Embassy of Pakistan, Beijing, Dr Naeem Khan and Consul General, Consulate General of Pakistan, Guangzhou, Mohammad Iftikhar Anjum also visited the pavilion and met with the exhibitors concerned individually. They also appreciated the presentation of products/leather articles to catch the potential customers/buyers.