Wong King Hang has been in the leather industry for a long time.  He is presently the Honorable Chairman of the Hong Kong Hide & Leather Traders' Association although, these days, he concentrates on his main activity of leather chemicals.  It takes him into China every week and from his perspective of being based in Hong Kong but selling into the mainland he is well placed to observe developments from twin vantage points.  "I was in the tannery business," he explains, "but I got rid of my tanneries and now I act as the (sole) China agent for two European chemical companies: DyStar and the Chimont Group.  We offer a full range: all the way from beamhouse to finished product".   His customer base includes both local Chinese-owned and Hong Kong invested tanneries.  The competition is tough but, "Price is important, yes, but really it's about forming a relationship: it's about service." He deals with technicians, "Helping them solve problems." And, of course, it's essential to keep a good stock in China to deal with urgent problems.

Although recent events in the global economy make caveats mandatory to any forecast Mr Wong believes  the leather market is still booming because leather is no more expensive than in the past. People can afford to buy leather products. There is an increase in the demand for shoes, handbags, etc. (especially in China). The price remains stable partly because the supply of hides and skins is increasing due to the increased demand of meat and slaughter which, in turn, ensures the growth of the tanning industry.

However, the growth rate of tanneries and chemical companies exceeded that of the industry thus, inevitably, some companies in the industry had to close.  He notes too that the growth rate of the chemical supply industry is greater than the growth rate of the leather market itself so it is unavoidable that some chemical factories need to close.

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