Azerbaijan: Leather Market 2022

Leather Market Size in Azerbaijan

After four years of growth, the Azerbaijani leather market decreased by -11.1% to $X in 2021. Over the period under review, the total consumption indicated a strong expansion from 2012 to 2021: its value increased at an average annual rate of +7.4% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Leather consumption peaked at $X in 2020, and then dropped in the following year.

Leather Production in Azerbaijan

In value terms, leather production totaled $X in 2021 estimated in export price. Over the period under review, the total production indicated a remarkable increase from 2012 to 2021: its value increased at an average annual rate of +6.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, production decreased by -0.9% against 2019 indices. The most prominent rate of growth was recorded in 2014 when the production volume increased by 38% against the previous year. Over the period under review, production reached the maximum level at $X in 2019; however, from 2020 to 2021, production remained at a lower figure.

Leather Exports

Exports from Azerbaijan

In 2021, the amount of leather exported from Azerbaijan skyrocketed to X tons, with an increase of 91% against the previous year's figure. In general, exports, however, continue to indicate a slight reduction. The exports peaked at X tons in 2013; however, from 2014 to 2021, the exports failed to regain momentum.

In value terms, leather exports skyrocketed to $X in 2021. Overall, exports enjoyed buoyant growth. As a result, the exports attained the peak and are likely to continue growth in the immediate term.

Exports by Country

Turkey (X tons) was the main destination for leather exports from Azerbaijan, accounting for a 70% share of total exports. Moreover, leather exports to Turkey exceeded the volume sent to the second major destination, Ukraine (X tons), more than tenfold. India (X tons) ranked third in terms of total exports with a 1.9% share.

From 2012 to 2021, the average annual rate of growth in terms of volume to Turkey amounted to -5.0%. Exports to the other major destinations recorded the following average annual rates of exports growth: Ukraine (+52.2% per year) and India (+11.8% per year).

In value terms, Turkey ($X) remains the key foreign market for leather exports from Azerbaijan, comprising 61% of total exports. The second position in the ranking was held by Ukraine ($X), with a 2.4% share of total exports. It was followed by India, with a 1% share.

From 2012 to 2021, the average annual rate of growth in terms of value to Turkey stood at +2.9%. Exports to the other major destinations recorded the following average annual rates of exports growth: Ukraine (+49.9% per year) and India (+0.8% per year).

Export Prices by Country

The average leather export price stood at $X per ton in 2021, remaining constant against the previous year. In general, the export price, however, recorded buoyant growth. The pace of growth was the most pronounced in 2014 an increase of 76%. The export price peaked at $X per ton in 2020, and then dropped modestly in the following year.

Prices varied noticeably country of destination: the country with the highest price was Turkey ($X per ton), while the average price for exports to China ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Turkey (+8.2%), while the prices for the other major destinations experienced a decline.

Leather Imports

Imports into Azerbaijan

In 2021, purchases abroad of leather was finally on the rise to reach X tons after three years of decline. Overall, imports continue to indicate a prominent increase. As a result, imports attained the peak and are likely to continue growth in the immediate term.

In value terms, leather imports skyrocketed to $X in 2021. In general, imports posted perceptible growth. Over the period under review, imports reached the peak figure at $X in 2017; however, from 2018 to 2021, imports stood at a somewhat lower figure.

Imports by Country

In 2021, Iran (X tons) was the main supplier of leather to Azerbaijan, accounting for a 106% share of total imports. Moreover, leather imports from Iran exceeded the figures recorded by the second-largest supplier, Turkey (X tons), threefold. The third position in this ranking was held by China (X kg), with a 1% share.

From 2012 to 2021, the average annual growth rate of volume from Iran amounted to +77.5%. The remaining supplying countries recorded the following average annual rates of imports growth: Turkey (+6.5% per year) and China (-19.9% per year).

In value terms, Iran ($X), Turkey ($X) and China ($X) constituted the largest leather suppliers to Azerbaijan.

Among the main suppliers, Iran, with a CAGR of +54.8%, recorded the highest rates of growth with regard to the value of imports, over the period under review, while purchases for the other leaders experienced mixed trend patterns.

Import Prices by Country

The average leather import price stood at $X per ton in 2021, almost unchanged from the previous year. Over the period under review, the import price, however, showed a perceptible decline. The most prominent rate of growth was recorded in 2013 an increase of 22%. Over the period under review, average import prices hit record highs at $X per ton in 2015; however, from 2016 to 2021, import prices remained at a lower figure.

Prices varied noticeably country of origin: the country with the highest price was Italy ($X per ton), while the price for China ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by China (+18.4%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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