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theSauerReport®
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24 December: SEASON'S GREETINGS!!!!!!!!! Next updates 11 January. 22 December: Italian heavy hides up in price after meat exports to Turkey stopped. 21 December: Low grade big size hairsheep in good demand for cheap leather garments. 17 December: Strong demand for African airdried and drysalted hides pushes prices higher. 16 December: NO UPDATES: Due sudden illness of the editor last night no updates today. 15 December: LAMBSKIN TRADE - After continuous price hikes we knew this market was tricky. Now first stories about cancellations are emerging. 14 December: AUSTRALIA - Despite some softer signals last week, skin prices continue to rise due limited supplies. 10 December: United States - Huge hide sales and shipments end Nov/early Dec. show how firm the market still is. 9 December: This year till December 10.3 M cars were sold in the US but 11.9 M in China! 8 December: GERMANY - Abattoir hide prices seem on the rise again. 7 December: UNITED STATES - US beef consumption reducing. Present cattle herd the smallest since 1959. 3 December: Many believe heavy European bullhides have now bottomed. 2 December: Due pressure on wool prices in China, lamb and sheepskin prices possibly tiny bit softer. 1 December: China shows strong new interest in low priced 2nd division origin cattle hides in raw and wetblue. 30 November: European hide prices steady or slightly higher. Other origins unchanged. 25 November: Most markets for light material smell firmer. The word shortage is heard in more than one place. 25 November: Most markets for light material smell firmer. The word shortage is heard in more than one place. 24 November: Reduction of import tax in Turkey on German meat from 225 to 30% the real reason of todays oversupply of heavy German bull hides. 23 November: UNITED STATES - Thanksgiving holiday week. Most trade activity finishes by tomorrow night. 19 November: CHINA FOOTWEAR - Jan/Sep 2010 versus Jan/Sep 2009 exports show increase of shoe unit price by 13.7% to 10.25 USD/pair. For same period the Sauer Hide Index increased 51%. 18 November: United States - Prime Tanning, THE big name in American tanning filed for bankruptcy under chapter 11. 17 November: Italy fears that if heavy European hide prices drop too much, China will pick them all up at a bargain, leaving nothing for European tanners. 16 November: World hide prices stabilizing. 12 November: CHINA - Negotiations for new leather prices winter 2011 reportedly very very difficult. 11 November: AUSTRALIA - For sheep and lambskin prices only the sky is the limit. Will it crash? 9 November: FRANCE - Cattle breeders wanting for better animal prices blockade a number of the biggest abattoirs since sunday. 5 November_ United States: At least 4 famous footwear brands report very good results for Q3. 4 November: Mexican shoe industry asks government for an import ban on Chinese footwear. 2 November: Markets and prices hardly changed these last 2 weeks. Only lambskins quite firmer. 29 October: A pretty dull week with US and Australian hide prices steady while prices in Europe are subject to further downward pressure. 29 October: A pretty dull week with US and Australian hide prices steady while prices in Europe are subject to further downward pressure. 28 October: ARGENTINA: Gvmt order tanners to supply cheap subsidized leathers to local shoe industry. 27 October: Pressure to get hide prices down persists everywhere. 26 October: SPAIN - Hide auction at San Sebastian today showed ox/bull prices down 5% and cows 13% 22 October: Sheep and lambskin business with China very active. 20 October: China - Most tanners not pressed to buy hides. New season production starts only next month and still some stocks around. 19 October: United States cattle herd expected to shrink again in 2010. This would be 12th time in 15 years. 15 October: Strong demand for all suede skins and hairsheep crust. 14 October: German cowhides sold 10 cents down in Italy. 13 October: Tanners at Lineapelle insist lower raw prices are absolute must. 12 October: Big storm in New Zealand kills about one million lamb. 8 October: This was a dead week. China on holiday. USA trade in meetings. European exports hampered by falling Dollar. 6 October: Euro further up to over 1.39 Dollar. European hide sales to Asia ever more difficult. 5 October: American and European hides prices are going different ways. America up Europe down. 1 October: Prices for Argentine splits suitable for high suede boots reach all time highs. 30 September: Smelling a softer European hide market many Italian tanners decided not to buy anymore before Lineapelle. 29 September: South German hide prices easier. Finally the long awaited turn around in Europe? 28 September: Pressure mounts to see European hide prices reduce. 24 September: Italy buys good numbers of European and American cow hides. 23 September: Iran - Raw hide and skin prices moving up and against expectations. 21 September: All new SAUER INDEXES of this week are higher. No signs of a weaker global market. 17 September: USA - Hide market firmer. CHINA - More restrictions for tanners in Quanzhou and forced closures imminent. 15 September: Turkey shows good interest in Spanish baby lamb and double face at the ongoing Paris fair but bids too low. 14 September: More interest from upholstery sector for Brazilian TR2-3 wetblue but prices a guaranteed hard fight. 10 September: Chinese leather sector exports increased by 29% from 13.7 to 17.7 billion USD in the Jan./July 2010 period. 9 September: Lack of margins in tanning industry makes new victims. 8 September: UK kill expected to rise 3% this year to then drop 2% in 2011. 7 September: Looking forward to the next fair Le Cuir a Paris 14-16 September. 3 September: China - Shanghai fair served its purpose but could not really change the market or find solutions for present pricing problems. 2 September: All China Leather Fair - confirmed news says US Heavy Texas Steers sold at 77 USD delivered. Hence 76 does not sound impossible either. 1 September: All China Leather Fair - unconfirmed news says US Heavy Texas Steers sold at 76 USD delivered. Meaning 3 USD down from most offers. 31 August: All China Leather Fair opens in Shanghai tomorrow. Expectations are high but is it justified? Hide market looks softer. 30 July: HOLIDAY CLOSURE - NEXT UPDATES 30 AUGUST - HAPPY HOLIDAYS TO ALL 29 July: HOLIDAY CLOSURE - NEXT UPDATES 30 AUGUST - HAPPY HOLIDAYS TO ALL 29 July: Problems for raw exports from South Africa starting mid August. Vets will no longer sign health certificates. 28 July: More confirmations about the strong drop in orders for Chinese furniture makers. 27 July: Chinese tanners expect an orderly decline of hide prices for the near future due drying up of repeat orders for this winter and poor domestic business. 26 July: A new report states global meat production by leading producers dropped 2% in 2009. 23 July: UNITED STATES - Packer hide sales picked up at last traded or lower prices. 22 July: ARGENTINA - Cattle herd this year could drop below 12 million which would be a 10 year low. 21 July: SPAIN - San Sebastian hide auction yesterday showed exactly same prices as end June. 20 July: Sudden revival in demand from Asia for low grade material for working glove production. 20 July: Sudden revival in demand from Asia for low grade material for working glove production. 20 July: Sudden revival in demand from Asia for low grade material for working glove production. 19 July: Stronger EURO and lower hide prices in USA may force European exporters to Asia out of business if they dont reduce their USD prices. 16 July: Most European tanners dont believe hides will be cheaper in September but are hesitant to buy due lack of clear orders. 15 July: United States - Not seen in a long time: steerhides easier, cowhides firmer. 14 July: Very few lamb/sheepskins available in both Australia and New Zealand. 13 July: UNITED STATES - More signals that steer hide prices may have hit the ceiling. 12 July: Strict customs controls by Russia on leather garment imports from Turkey strangle a big part of the business. 9 July: Chinese footwear industry will not have its usual slow summer months this year. 8 July: American Packers try for higher hide prices. 7 July: New prices for South German hides should be fixed this week. 6 July: At Burgos hide auction in Spain on 2 July steer hide prices up 4-5%. 5 July: Hide markets still pretty stable. All options for future remain open. 2 July: Holland kicked Brazil out of the World Cup. Your editor is from Holland. Sorry but there is nothing from the leather trade today to beat this news. 1 July: Several places show hide prices which dont come down while sales are very disappointing. 30 June: At all hide auctions in Spain this week hide prices are up. Also in Italy domestic heavy ox/bulls costs more. 29 June: It looks like every country has a story/explanation/excuse about why so little is happening in the raw trade. 28 June: Activity in general much reduced due holidays which already started in Northern and Central Europe. 23 June: European tanners confused since orders for next summer season still missing. Hence raw purchases for September must wait. 22 June: NIGERIA - Not enough goatskins to satisfy suede demand. 18 June: Export hide sales from the USA for the week 3-10 June exceed 700,000 pieces - a high for this year. 17 June: CHINA back to work today after Dragon Boat Festival holidays. Market badly needs action from their side. 16 June: CROATIA - Heavier Baby Beef hides continuously taken up by Central European car leather tanners at firm prices. 15 June: Very little activity due Dragon Boat holidays in Asia. 11 June: UNITED STATES - Steerhides and Dairy cows now stable but Native and Branded cows on their way upwards now. 9 June: UNITED STATES - More steer hide sales reported at higher prices. 8 June: ARGENTINA - Hide prices down due reduced demand from shoe and leather good sectors. 7 June: UNITED STATES - Steer hide prices may have bottomed or reached turning point. Better wait for further confirmations. 4 June: My personal feeling is that the market is not as weak as thought at the beginning of the week. 3 June: SPAIN - Skin prices through the roof at 12 EUR for Merinos and Entrefinos, double face and napa. 2 June: Lots of people at the Guangzhou shoe fair in China but no important raw business reported so far. 1 June: No skin offers available in New Zealand despite the begging by tanners and agents. 31 May: While hide markets decrease, claims on high priced contracts arriving now, are on the increase. 28 May: Important lambskin auction in Spain sees prices decline. 27 May: European hide prices not coming down like USA since abattoirs do not follow world market with same speed. 26 May: China - Shoe production for winter season may continue due strong demand from USA and skip usual summer break. 25 May: SPAIN - lower prices at San Sebastian hide auction today. SAUER HIDE INDEX: down for the first time in over a year. 21 May: Office closed monday 24 May for Whitsuntide holidays 20 May: Cowhides for furniture upholstery are rapidly losing value in many countries. 19 May: WTO accepts to reinvestigate whether EU anti-dumping duties on footwear imports from China are correct. 18 May: Lamb kill in New Zealand further down. Traders must fight for skin offers. 17 May: A mystery which way business will develop. Too many factors which can influence: lower US hide prices - High US kill - Slow summer season - European financial problems - EUR/Dollar ratio. 14 May: Lower US hide prices plus a further falling Dollar versus Euro creates lots of confusion but maybe, chances as well. 12 May: Finally lower hide prices in the US. 11 May: The smell of a weaker market gets stronger. 10 May: United States - Leather Association USHSLA seeks help from Congress to solve container shipping problems. 7 May: United States - Hide market bit shaky. Cowhide prices easier. Others may follow. 6 May: Lower Euro makes European hides more competitive for Asian buyers. 5 May: Reactions from China to hide offers from Europe, Africa and Central America have much reduced. 4 May: Here and there bricks are loosening in the solid wall which is the hide market but it still holds. 3 May: United States - In spite of some hesitation most steer hide prices bit firmer again. 30 April: Argentinean meat industry on strike for two days. 29 April: For the first time since very long some lower price appear on American hide sales lists. 28 April: Austrian car leather tanners push South German bull hide prices up and up. 27 April: SPAIN - At the hide auction in San Sebastian today prices increased 8-12%. 26 April: FINLAND - Most slaughterhouses on strike. No kill. Hide prices up 25 cents/kg. 22 April: Unconfirmed news says optimism and good interest for leather furniture at the High Point fair in the US. 22 April: Foot and mouth disease in Japan for 1st time in 10 years. Meat exports stopped. 21 April: Worldwide more finished leather buyers are accepting to pay more. Many realize there is no way out if they want leather. 16 April: Brazil - Strong performance Q1 makes CICB review 2010 export forecast from 1.5 to 1.8 billion USD. 16 April: Brazil - The just finished FIMEC fair saw lots of attendance and optimism for the local market. Exports troubled by the falling dollar. 14 April: Nigeria - Goatskin prices doubled since November due strong demand suede and good quality season. 14 April: United States - This week till now Packers showed no enthusiasm to offer hides. 13 April: Signs of something which looks a bit like panic with certain Chinese tanners not finding a solution for high raw prices which cannot be recovered in leather sales. 12 April: Leather fairs in Brazil, FIMEC 13-16 April and Mexico, SAPICA 22-25 April. 9 April: Attention for the High Point furniture fair in the US opening 17 April and the future of the leather furniture industry. 8 April: Our statement yesterday that prices stabilized in most countries is no longer valid today! Many prices are up again. Argentina expects a record low kill this year. 7 April: Hide prices seem to have stabilized in most major producing countries. 6 April: Hide numbers in Brazil and Argentina came down a lot last year. Beef business does not seem to be that attractive any more to farmers. 1 April: A few days for things to calm down and become clear are necessary to find out where the market really is post Hkong fair. 31 March: APLF ended with certain asking prices above wildest imaginations. Coming days/weeks should show what was finally realized and what not. 30 March: Prices through the roof at the APLF fair in HKong. For the moment the sky is the limit as far as asking prices are concerned. But who pays them? 29 March: APLF Hkong opened today. Many people. All raw and leather stands in one hall. 29 March: APLF Hkong opened today. Many people but all raw and leather stands in one hall only. 26 March: No longer true that there are no hides. Good numbers cannot find buyers because of the price! 25 March: BELGIUM - Hide prices at todays Brussels auction up to 44% higher than end January. 24 March: ARGENTINA - Slaughter dropped 22% since January and hide prices increased 50% the last 6 weeks. 23 March: Shortage of transport facilities in USA and labor shortage in China hamper the trade. 22 March: After the Lineapelle fair not a single sign of easing prices. 19 March: World trade started to travel to Asia to end up at HKong fair 29 March. While prices continue to rise no one is very eager to sell before the event. 18 March: European hide prices through the roof but who pays? 17 March: ITALY - Hide price problem not solved at Lineapelle. Strong demand for suede. 16 March: ITALY - First echos about visitor numbers at Lineapelle are contradictory. First business news not expected before tomorrow night. 15 March: ITALY - tomorrow opening Lineapelle/Bologna for 3 days. 12 March: Irish hides sold at another 2 Dollars more to Asia this week. 11 March: American hide prices increase further but many Chinese buyers withdrew. Taiwan and Korea still buying. 10 March: Container and steamship shortage and sudden freight increases cause big disturbances in the leather industry pipeline. 9 March: European court dismisses claims and appeals from China that anti-dumping footwear duty is unfair. 8 March: SOUTH AFRICA - Very firm demand for both shoe and automotive leather. Not enough hides and skins available. 5 March: Asian tanners started paying the high American hide prices. European cattle herd reduced by 10 million head over 10 years. 4 March: Cowhide prices almost everywhere have lost touch with the possibilities of leather world. But what to do? 3 March: CHINA - Tanners G-8 reached consensus to increase leather prices in 2 stages, 1 Rmb/sqft for March and another 1 Rmb/sqft for April. 2 March: For European cowhide prices certain people are talking prices up to pure madness. 1 March: The Pakistan leather industry is urgently seeking help from its Government to survive the present crisis. 25 February: BELGIUM - Few hides sold during the Brussels hide auction today but afterwards all cowhides found takers at 18-22 cents more. 24 February: SPAIN - Hide auction in San Sebastian shows 10 cents higher prices again. 23 February: AUSTRALIA - Sheep and lamb prices going through the roof due very strong demand. 22 February: Many Chinese started work again today. This and next week may show us how the market really is. 19 February: No end to the incoming news of lower kills everywhere in the world. 18 February: Big cowhide price increases in France due strong demand from Italy. Other European hide prices may follow. 17 February: With China on holidays, leather world has fallen asleep it seems. 16 February: USA started this year with the smallest cattle herd since 1959 and the smallest cow herd since 1949! 15 February: Activity generally much slower due high prices, Chinese holidays and carnaval. 12 February: Wait, till the Chinese come back from their holidays. Happy New Year to all of them! 11 February: Quiet weeks to come. The Chinese close for their Lunar New Year holidays tomorrow. 10 February: India notices increasing interest for its finished products instead of its leathers. 8 February: The ever increasing raw hide prices are starting to cause more problems for tanners everywhere every day. Many, even in Asia, just have to let business pass since prices prove unworkable. 5 February: Brazil - Wetblue hide prices down and exporters pushing to sell. No sign of price reductions elsewhere in the world yet. 4 February: Rising raw hide prices pull the handbrake on trade but no price reduces yet. 3 February: ITALY - At the Anteprima show in Milan big Italian tanners made it known they need 20% more for their leathers. Will they get it? 2 February: Portugal - Tanners are starving for affordable hides to keep their factories running. Spanish buyers outbid them at the abattoirs. 1 February: Sauer General Hide index clearly shows medium/lower quality hide prices now following the best qualities on their way up. 29 January: United States - 2,3,4 Febr. the important WSA shoe show in Las Vegas. 28 January: Australian sheep and lambskin sales to China keep booming. 27 January: Chinese tanners blame high hide prices on reduced supplies, not on more leather orders. 26 January: SPAIN - At todays hide auction in San Sebastian hide prices up between 6 and 11 cents again. 25 January: Revival is the word for now! 22 January: Chinese tourists now biggest luxury goods buyers in France pushing Russians to second place. Chinese purchases increased 47% in 2009 in spite of crisis. 21 January: Uganda - Interest revives for corrected upholstery leather and thus for humpless Uganda hides. 20 January: Brazil - Positive echos from the ongoing Couromoda leather fair. Good sales for coming winter reported. 19 January: Jan. and Feb. brings us important leather fairs in Brazil, Ethiopia, India, France, Egypt and Mexico. 18 January: Firmer hide prices more based on reduced raw supplies than increased demand leather products. 15 January: Almost worldwide hide prices look firmer. 13 January: UK hide prices about 5 pence up from Xmas. Most other European countries firm as well. 12 January: North American cattle herd declined by 5 million in last 2 years. 11 January: Prices generally firm. Bad weather in Europe causes transport problems, reduces arrivals at abattoirs and thus hide production. |
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