Positive outlook for ostrich leather industry
10 July 2008After reaching a peak of US$42 per sq ft for Grade 1 in October 1993 before the market was deregulated, the price of ostrich leather entered a decline which resulted in prices bottoming out some ten years later. This was due to oversupply of ostrich leather triggered by over-production of birds.
Ostrich leather, along with other exotic leathers such as crocodile, lizard and python, is still regarded as a luxury item and with luxury goods worldwide maintaining high sales figures in the face of a weakening global economy, especially in the United States, consumer demand for ostrich leathergoods has made a comeback which will continue both in the medium and longer term. In light of this forecast, problems could arise in manufacturers not obtaining sufficient supplies of ostrich leather to fulfill latent demand. However, according to the Review of the Global Ostrich Industry - March 2008 written by Saag Jonker, president of Ostrich Products South Africa (Pty) Ltd (OPSA), the market for ostrich leather has already entered a new bull phase. Footwear and leathergoods manufacturers interested in making luxury, high margin, finished products from ostrich leather should read this authoritative report by Jonker so as to be able to plan ahead in the face of increasing ostrich raw material prices. He can be contacted at marita@opsa.co.za To read the complete report in English click on the following link: http://www.ostrichleatherco.co.za/review.html Or visit OPSA website at: http://www.ostrichleatherco.co.za Source: APLF news
