Is Leather Expensive: Factors that influence its price.


Let’s face it, we’d all love to own a top-quality leather sofa, jacket or handbag at some point in our lives. Looking at the price tag of these items can quickly crush those dreams. But should we be so quick to judge leather just because of its high price tag? What are the factors that influence its price?

Leather price is dictated by the type of leather, its quality, how rare it is, the tanning and dyeing process it undergoes and where the leather comes from. Longevity & lifespan, durability, strength and the craftsmanship involved make full grain leather the most expensive type of leather.

To make a comparison let’s look at the price of leather vs silk. Silk is also a natural fibre. Which would you say is more expensive? The answer is silk, prices vary from about $60 – $80 per kilogram while the wholesale price of leather ranges from $9.8 – $27.3 per kilogram. Cottons price ranges from $2.8 – $4.9 per kilogram. When compared to silk and cotton leather is not outrageously expensive then considering the costs that go into producing leather hide. It is also stronger, lasts longer and can be used to make a wider variety of items.

What Factors influence the price of leather

The main factors that influence the overall cost of leather:

  1. Type of leather
  2. Quality of leather
  3. How rare is the leather
  4. Tanning process of leather
  5. What country the leather is produced in
  6. Dyes and colouring process
  7. Longevity of leather
  8. Manufacturing Quality and Leather brand name.
  9. Other factors

Type of Leather.

The type of leather will have a big influence on its price. The difference in price between cowhide or alligator or ostrich is considerable. Cowhide is the most widely used leather (65%) followed by sheep, pig and goat (34%). Alligator and ostrich are much rarer and produced in much smaller numbers. These hides require intricate and specific processes in order for them to be used as leather. They are called exotic leathers and make up about 1% of all leather production and therefore fetch a much higher price.

Quality of leather.

Quality has a big influence on price. Full grain leather is the best quality leather. No portion of the hide is removed, and the pattern marks are still visible on this type of leather. A hide of this quality with no visible scratches, marks or blemishes will fetch a high price.

Top grain leather is the second best grade and is less expensive than Full grain. It’s still excellent quality leather as only a top layer of the hide has been removed. This type of leather is strong and durable and is also fairly expensive.

Genuine leather is considered a lower grade than full or top grain. Most people think of genuine leather as the best quality leather, but this is not actually the case. It will fetch a lower price than full or top grain leather.

Below genuine leather is bonded leather, which is only about 10-20% leather. The rest is made up of offcuts and scraps joined together. The price of bonded leather is therefore cheaper than the 3 higher grades.

The quality and grade of leather plays a huge role in dictating its retail price as blemish and scratch free hides go for a higher price.

How rare is the leather will influence its price.

As mentioned above if the leather is Exotic or rare, it’s much more expensive. These hides make up about 1% of all leather produced worldwide. They usually come from animals that have smaller populations, are endangered or their populations are strictly controlled. Permits and paperwork may be needed in order for these hides to be imported or traded.

Tanning process of leather.

The tanning process has big influence on price. There are a variety of tanning processes. Vegetable tanned leather uses natural ingredients such a tree bark and tannins and is more labour intensive and therefore more expensive.

Chromium tanned leather is quicker as it uses chemicals which help to speed up the process and also make it cheaper.

The tanning process can take as little as 1 day but can also take as long as 6 months to complete depending on the type of leather. The longer tanning takes the higher the price of the leather.

Not all leathers are tanned using the same process. Ostrich leather, for example undergoes a very unique tanning process compared to cowhide. It needs to be very accurate and precise. This specialized process increases the price. Here’s a link to a post i wrote on Ostrich leather if you would like to know a bit more about it.

Fire retardant leather for the automotive industry also requires a very specific tanning process in order to meet their strict regulations and guidelines.

What country the leather is produced in.

Country of origin is very important in dictating the overall price. Cowhide from Europe will usually fetch a higher price than cowhide from Africa. Why? Hides from Africa tend to be lower quality because the hides are exposed to more insect bites and pests than in Europe. The climate/ environment in Africa is generally harsher than Europe, which affects hide quality.

Stricter quality control and grading standards in Europe vs Africa or South America can also influence the price.

Dyeing and colouring process.

Some leathers are fully dyed and others semi-dyed. Full dyeing is more expensive as the process is more intricate and takes longer than semi-dyeing leather. Only the best quality hides are fully dyed. The colour leather is dyed also plays a role in determining the price. Darker colours are cheaper due to the fact that they are more common.

Unique or less common colours are more expensive to produce. White leather is much more expensive to produce than darker leather as a unique tanning and dyeing process is needed. These extra more complicated procedures drive up the cost to manufacture.

Longevity of leather.

Full grain or top grain leather can last decades if cared for properly. Cotton, linen, wool and silk on the other hand have a much shorter lifespan. For this reason leather offers excellent value as it doesn’t need to be replaced every 2 or 3 years. Manufacturers factor this into their pricing as a good quality sofa or handbag will not need to be replaced as often as a fabric sofa or handbag. Check out my post on the lifespan of leather if you would like to know how long leather really lasts.

To make sure your leather lasts decades check out this link to Amazon for the best Leather conditioner.

Manufacturing Quality and Leather brand name.

Unfortunately, this more than any of the factors above influences the overall price of leather. Companies like Versace, Gucci can charge premium prices for their bags, shoes, wallets as their reputation allows them to manufacture to the highest quality and standards with no compromise. Italian leather is known the world over for its quality and excellent craftmanship.

Other outside factors Influencing the price of leather.

Custom or import duties, taxes on leather imports can also have an impact on pricing. Labour costs vary from country to country. China has a huge cheap labour force compared to Italy or France and this helps keep their costs lower. Transport and shipping costs are also built into the final price. The exchange rate difference between countries can fluctuate and also have an effect on pricing.

What is the most expensive leather.

Shell Cordovan is the most expensive leather in the world. It is produced from horses and is very scarce as only a few breeders worldwide raise these horses for their leather. The tanning process for this type of leather can take up to 6 months to complete.

Exotic leathers such as crocodile, ostrich, elephant, python etc. will always be in demand and fetch a high price. If you would like to know more about rare and expensive leathers check out this article I posted recently on rare and exotic leather.

What is the cheapest leather

The cheapest “leather” you can buy is bonded leather. This leather is made up of various pieces and bonded together. Hence the name bonded leather. It’s nowhere near the quality, strength and beauty of Full grain leather and can therefore be sold for a much cheaper price.

Conclusion

Leather is more expensive than most other materials but it’s definitely worth its price. Factors like quality, longevity, rareness and type of leather all need to be analysed before you can make a proper assessment about the overall price of leather. When you compare the price of other natural materials, like silk, leather can actually be relatively cheap. Thanks for reading.

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