William Tucci, general director of Bader tanning group (which focus their production on leather for car interiors), points out that, out of the 11 countries where his group is currently operating, Uruguay is the most expensive one, with regard to costs, just after Germany. On the other hand, some managers who were in charge of Zenda tannery, at JBS Couros, tell about their strategy to survive as wet blue, and not finished leather, was their final accomplishment: in Uruguay, production costs are three times higher than the ones in Brazil. Busqueda, a South American magazine, spotlights Uruguayan tanneries (as recalled by leatherbiz.com): while waiting for some benefits coming from lobbying interventions in Montevideo, the leather industry is hindered by high costs and by Brazilian competitors, who look invincible. The overall situation, as we said a few weeks ago, is very serious: over the last 10 years, employees decreased by 67 per cent. According to local press, things might get even worse.
High costs to jeopardize Uruguayan leather industry: “Only Germany is more expensive, while in Brazil we spend one-third”
