Hazaribagh in the capital, once the hub of raw hide processing in the country, houses small leather goods manufacturers even on Saturday. Shabab Leathers Factory is situated on the fourth floor of a four-story dilapidated building. Products of this factory are exported to nine countries around the world.
But due to long closure during the July-August uprising, owner of the factory, Maksuda Khatun, faced huge losses. She has not yet been able to overcome those losses. However, she is trying to turnaround in her own way.
Hundreds of businessmen in Hazaribagh faced same situation as Maksuda during the anti-discrimination student movement in July. After overcoming the crisis, the businessmen are now trying to return to full production. They say that if there is no new crisis and they get help, they will be able to turnaround soon.
Maksuda Khatun has been running the factory for almost nine years with a 54-strong workforce.
She said, "Small and medium entrepreneurs have been going through various obstacles for the last two to three years. During the July-August movement, the factories had to be closed for two months. This caused huge losses. The situation was not so bad during the Covid pandemic. Because at that time people used to shop online. But this time, that was not possible because the internet was shut down. However, we are trying to restart the business little by little. We hope to overcome this situation even if it takes time.'
These factories in Hazaribagh produce various types of leather products including shoes, bags, belts, jackets. Currently, there are 350 to 400 shops, showrooms and leather goods factories under the cluster.
The Small and Medium Enterprises (SME) Foundation started visiting the area after the July-August movement. The organization's Managing Director Anwar Hossain Chowdhury said, 'We visited the Hazaribagh cluster a few days ago. We talked to them about the ongoing problems. They told us about their various problems. The main problem they are currently going through is financing. We have already held meetings with customers, banks and manufacturers. We are discussing how to support entrepreneurs.'
There are many organizations under the cluster that have been supplying products to various brands within the country. Hazaribagh Cluster President Tania Wahib has been involved in this profession for almost 20 years. She is working with seven leading organizations including Apex, Bata, Bay and Aarong.
Tania Wahib said, "Due to various crises going on in the world, import activities have been disrupted. Currently, consumers are increasingly dependent on domestic products. They have now realized that quality products are also made in our country. Due to this, an opportunity has been created for local entrepreneurs like us. We have to utilize this opportunity.'
Anwar Hossain Chowdhury of SME Foundation said, 'Currently, we are emphasizing on promotion. In that context, we are going to organize an exhibition. SME entrepreneurs from different parts of the country will participate in it; they will display their products. Buyers from foreign countries will also come. The exhibition will be held at the end of this month or the beginning of next month. Entrepreneurs will get a chance to attract new customers through this three-day exhibition.
The leather industry sector is facing various problems due to the Ukraine-Russia war, LC-related complications, and increasing bank interest rates, among others. However, they are moving forward with their business activities despite this.