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DEER SKIN TANNING WITH A PRODUCT FOCUS David Simek Simco Leather Corporation Today, I would like to address two topics: the procedures of tanning exotic leathers, specifically deer, and the viability and the future of exotic leather and the future of exotic leather markets in the U.S.
Today, I would like to address two topics: the procedures of tanning exotic leathers, specifically deer, and the viability and the future of exotic leather and the future of exotic leather markets in the U.S.
Simco Leather was founded in 1960 as a family business on a new and environmentally clean site in Johnstown, New York. We would come to realize the importance of this in the 1980’s when regulatory and monitoring procedures were required by the government.
With the following slides you can see the processes we use at Simco Leather. For those of you who are in the tanning industry or are familiar with tanning this will be just a rerun of what you already know. For the others who have not been involved in this industry it will help explain some of the complexities of making deer and other exotics into fine leather.
This slide is of our measuring machine or “cash register” as we refer to it. It is the last step before shipping.
Now, I’d like to share some thoughts about building an industry in exotic leathers. As you saw from our slides, the manufacture of fine leather from a wild animal is an intricate and complicated process. Some factors that occur in its production are not a consideration in packing house hides. Proper curing, storage, flaying or hide removal can detract from the final quality but cannot be controlled by the tanner or the purchaser. We can go to all the extra work to make a quality product but if markets are not there we still do not have a viable industry.
1. The raw hides should be readily available and as consistently uniform as possible.
2. The market must be researched to find a niche for the product. Small processors must find a manufactured product that is either overlooked or deemed unprofitable by large multi-national corporations. Products that are usually not produced by large companies include those that have too small production runs, too small profit margins, too tight time frames, or which demand too much attention to detail.
3. At each stage, from farm production to slaughtering, tanning, and manufacturing, we all must be diligently cost-conscious, or we will drive the end cost too high. Simco Leather is profitable in spite of massive changes in domestic leather production, very expensive regulatory mandates, union wages and benefits, and ever increasing chemical and equipment costs.
a) Fashions in the apparel industry change with the seasons and frequently in mid-season. Samples that are submitted will not all be in demand for a production run, however, those that are well received by the buyers will have to be produced in a short time frame.
b) Smaller operations can economically produce small runs of specialty items which can not be done by large volume manufacturers. As an example, Simco spends more than $1,000 a week on BASF chemicals, however, our volume is not sufficiently high enough for BASF to sell to us directly. Their costs to administer our account make it prohibitive. For small accounts like ours, BASF has to use an independent distributor.
c) If the production is domestic, the time frame is much less than from a Pacific Rim area and makes domestic contracts feasible for small producers. Conversely, small operators cannot compete successfully with standard colors and finishes for high volume
d) There is no area in our tannery that has not been made more efficient in the past decade. In addition, we never stop looking at ways to partner with others to get the job done better, faster, or cheaper depending on what is being demanded by the customer. If we neglect any area of production, we risk our profitability.
After being in business for 40 years, it is apparent to me that in the future, our large U.S. corporations will be heavily invested in the service sectors, emerging technologies, and finance. Smokestack industries will be secondary and most operations relegated to third
Our area of New York had been active in tanning Texas deer for many years but with the move of glove leather production and manufacturing overseas, it completely stopped. The small size of Texas deer makes it uncompetitive to northern white-tail in the traditional deer markets. Texas deer promoters will have to develop new markets within the limitations of the product.
In less than two decades, Simco has watched some of our customers go from 95o domestic manufacturing and 5% imports to just the opposite. The majority of our leather is going to be manufactured into products abroad and imported back into this country. However, our area supports several, highly successful manufacturing operations. Some sewing operations are done in the mid-Atlantic states, but custom work is still done locally. We’ve seen large volume, high end leather manufacturers move to offshore facilities, move again to Pacific Rim countries, and ultimately go out of business. Success does not always follow cheap overhead.
Foils and prints which are applied to leather are another unique product with endless possibilities in the fashion industry. I’ve brought some samples of these with me. Although not all of these are in demand at this time, it does give one an idea of potential uses.
Recently, we developed a nonchrome-tanned leather. which replicates brain-tanned leather used by Native Americans. This is being made into Native American products being sold through
In my experience, there is no one, big solution to establishing a domestic industry in exotic leather, but a series of small solutions. An example of an exotic leather business getting off to the wrong start, in may opinion was the ostrich industry. The ranchers we’ve done business with have been pursuing contracts with U.S. boot manufacturers. If this market had been properly researched, I’m sure that most ranchers would have seen that the lack of uniformity of their hides would be a deterrent to a large volume buyer. Even if a hide seller had a decent inventory of grade ones and twos, without an outlet for the balance of their inventory, it wouldn’t be long before they were out of business or in a serious cash shortfall. The variety of ostrich breeds and mixes across the
Basically, each region of the country will have different resources, different contacts, and different outlets. The successes in one area will enhance the chances of success for those in another. The key is not to lose sight of the goal which is to establish farm-raised deer as a quality leather. An industry starts by sharing knowledge as we are doing here today - and I’m very pleased to have been asked to contribute to yourconference.