A new, modernised tannery has begun operations in the city of Cachoeira, 109km from Salvador, Bahia state. The tannery is operated by Mastrotto Reichert, a partnership between Reichert Calçados, Brazil, and Conceria Mastrotto, Italy.
Approximately R$70 million (US$26 million) has been invested in the tannery, of which R$40 million (US$14.9 million) was used to purchase Italian machinery.
According to Erno Froeder, an intermediary between the companies and the government, 60% of the construction work was paid from the companies’ own resources and 40% came from guaranteed financing. The production capacity of the factory will be 1.3 million hides per year, which will be used primarily by the footwear sector in the state of Bahia. The furniture, clothing and upholstery markets will also be important to the company.