Bangladesh currently contributes to less than 1% of the global leather market, yet both the government and private sector see significant potential for growth. The government has set a target of achieving 9.16% growth in FY 2025–26, aiming to reach $1.3 billion in leather and leather goods exports, while private sector leaders project the industry could expand to $5 billion by 2030 and $10 billion by 2035 with the right support. However, the sector’s full potential remains constrained by structural challenges such as the incomplete operation of the central effluent treatment plant (CETP) and the absence of internationally recognized certifications like the Leather Working Group (LWG), which limit global competitiveness. To address these barriers, the government needs to adopt RMG-like growth-friendly policies, streamline governance by placing sectoral leadership under a single ministry, and extend facilities such as bonded warehouses to ease export operations. At the same time, industry players must invest in technology upgrades, compliance, and sustainability practices to better serve global clients. With coordinated public and private sector efforts, Bangladesh’s leather industry can transform into a major export growth driver and position itself more competitively in the global market.

Fig: Bangladesh’s leather and leather goods export projection