Post# 1565882502

15-Aug-2019 9:21 pm


Cowhide :

Now before you enthusiastic jump in into hide business, let me present some analysis. And I am putting it down in English so that those that can't grok won't read it, and we save a lot of time avoiding un-necessary arguments.

Now 20 years back a cattle price 15k. Its hide sold for 1,500/=. That's 10% of the cattle price. Now due to inflation price of everything has increased. That cow now gets sold for 80k. And with that rate its hide should have been priced at 12k BTD. In reality it's getting sold for 500/=, and people are upset for not getting 1k for it.

This large drop in price is itself an indication of the value these hides hold in the market. Even if the next year it gets sold for 800/=, they are still taking it almost for free, as collection, transport and the salting cost won't be covered by it.

This in a situation where 1 kg of meat sells at 500 to 600 taka. And meat distributed on Eid are conventionally sold at 30% higher price for it's high quality. Basically you have distributed more value to each of the poor meat collectors on that day by giving 1 kg of meat each, and paid the Madrasa less than the price of 1 kg of meat by handing over the 20 kg weighted hide to them.

15-Aug-2019 9:21 pm

Published
15-Aug-2019