Small Scale Tannery (Leather Processing Unit)

Small Scale Tannery (Leather Processing Unit)
Starting a tannery or leather processing unit is a lucrative business. We intend to provide a detailed tannery business plan to the entrepreneurs. Tannery is a hide and skin processing unit that produce quality finished leathers. Leather products manufacturing companies are the major consumer of finished leather. Leather tanning is one of the traditional industries in India.

The livestock industry of our country is very promising. So the hide and skins are readily available here. Hide and skins are the major byproduct of the meat processing centers. Large animals are said to have “hides” (e.g. cow hide, buffalo hide) and smaller animals are said to have “skins” (e.g. goat skin, sheep skin).

Most of the world output of leather is produced from cattle hides, goat skins and sheep skins. Hides and skins undergo a number of processing stages before a final product called finished leather is reached. According to your investment capacity and the raw material availability.

Tannery Market Potential:
Growth of the tannery business depends on demand for the finished leather. Demand for the finished leather is increasing not only in the domestic market but also in the international market. India is the major leather exporter globally. The major exporting countries are Germany, Italy, Hong Kong, Spain, USA, China, and Korea.

Availability of labor, good quality of hides and skins are the major reasons for the extensive growth of the leather industry. Technical assistance from Central Leather Research Institute are boosting the growth.

Tannery Setup & Machinery:
Location selection is the most important factor in setting up the processing unit. It is advisable to start the tannery in an industrial zone. Small scale tannery demands an area of 5000 Sq Ft built up area. Must have the extra open sky premises within the unit.

Check the transportation facility and the availability of the skilled labors. Electricity and water source are the major concern in establishing the leather processing unit. You may need to arrange a ground water supply arrangement for your factory.

Tannery Machinery: Leather processing unit by two ways. One is semi-automatic and another is fully automatic. Advisable to start the unit as a fully-automatic basis. Procure the total plant from a reputed machinery manufacturer. Here we put a list of some basic requirements.

Drum with 5HP motor shaft pulley, Lace Cutting Machine.
Electrical Unit Heater for Stuffing Drum 5HP. Electrical Hand Operated Setting Out Machine.
Shaving Machine – single width, Spraying Machine with Dryer. Brushing Machine with Dryer, Hydraulic Press.
Miscellaneous other equipment.

Finished Leather Manufacturing Technology:
Step I: First of all, you have to procure the wet blue skins from other plants. Procure raw hides and skins. After procuring, you have to classify the skin.
Step II: Re-tanning: This involves re-treatment of wet blue skins, which are placed in drums.
Step III: Pre-finishing activities: In this section, skins are “horsed up” (i.e., racked for a period of time set out), color dyed, stretched, dried using hot air, and then ironed.

Step IV: Finishing: This involves classification and cutting (including sorting and trimming), spraying, and final conditioning. It includes staking, buffing, and milling. The latter operations are all carried out “dry”.

Raw Materials For Tannery: The major required raw material is Wet Blue Hides. You have to procure Lacquer emulsions, Sodium bicarbonate, Sodium acetate, Formaldehyde and Dyes (different colors).

Hire employees for the operation. Hire the employees in the top level administration very carefully. A production manager and one finance head are the musts. You can plan according to the size the output of your tannery.

Wishing you all the best,
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