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Dhaka, July 25, 2025 – Germany has reaffirmed its commitment to supporting Bangladesh’s struggling yet promising leather industry, emphasizing the need for improved environmental compliance and labor standards to unlock its full potential. Speaking at the workshop titled “Shaping the Future of Tanneries in Bangladesh” held on July 17 at the Tannery Industrial Estate in Savar, Ulrich Kleppmann, Head of Development Cooperation at the German Embassy, highlighted the importance of collaborative efforts between the government and private sector to foster a sustainable business environment.
The event, co-organized by the German development agency GIZ and the Department of Inspection for Factories and Establishments (DIFE), brought together key stakeholders, including A H M Shafiquzzaman, Secretary of the Ministry of Labour and Employment, as well as representatives from government, private sector, labor organizations, and international development partners.
Despite the leather industry’s potential for nearly 90% value addition in manufacturing, Bangladesh’s leather exports have plummeted from $397 million in FY 2013–14 to just $142.5 million in FY 2023–24, far below the projected $5 billion export potential. Kleppmann stressed that aligning with international labor and environmental standards through domestic and international cooperation is critical to reversing this decline.
Germany’s ongoing support aims to make the sector safer, more inclusive, and environmentally sustainable, paving the way for economic growth. For more details on German Development Cooperation, visit https://dhaka.diplo.de/bd-en/topics/weitere-themen.
