Zimbabwe’s leather industry is set to receive a $1.6 million grant from the Common Market for Eastern and Southern Africa (Comesa) to capacitate leather companies, an official has said.
The leather industry which is currently operating at 25 percent of capacity requires around $50 million to be fully capitalised.
Deputy Minister of Finance Terence Mukupe said yesterday that the money will be used to revive tannery and other clothing value chains.
“We are getting a grant of close to €1.4 million to resuscitate our leather industry. We have huge stock holdings of hides which are not being processed,” Mukupe said.
“Almost every tannery in Zimbabwe is closed probably the only tannery that is doing anything is the one that is linked to Bata because Bata has a market for its shoes, they are the ones who buy hides.”
He added that around 40 percent of the cattle hides were being thrown away due to lack of processing equipment. – The Source