Leather Andina: Colombian betA new player has recently jumped into the Colombian tanning
Five tanneries of the Department of Quindìo, in the central area of the country, all with over twenty years of experience, have merged into a single large company – Leather Andina – with the purpose of entering the high-end market. The local economy is mainly devoted to coffee production and leather remains an active but secondary resource, fragmented into many small businesses (about 130) which struggle to organize production processes, to the point that almost 80% of the local raw materials is sold raw to tanneries of other regions of the country or abroad. These five tanneries are convinced that it’s more profitable exporting the final product to industries that operate in the mid-to high-end segment rather than confining themselves to the low profit margin of raw products. The new market requires, however, a more convincing partner than the single company, hence the need of a strong partnership. Thanks to the help of the Chamber of Commerce and INNpulsa Colombia (governmental emanation to promote enterprises, innovation and productivity), which supported the project, the company invested two million dollars in technology and machinery, with the purpose of doubling exports within three years.