Hide buyer interest in the US waned significantly after sellers countered bids, leading to limited market activity to close the week to Friday January 24, according to several market participants.

Recently released US export sales data showed strong cured hide sales to Mexico, attributed to a tanner with a contract to purchase large volumes quarterly, which are then reported to the USDA in sizable increments. Wet blue export sales to Italy and Vietnam were also substantial, likely driven by demand in the footwear sector.

The strength of the US dollar continued to deter international tanners, as it made rawhides more expensive for foreign buyers. Despite this, one major packer reported selling a good amount of carryover inventory early in the week, leaving them in a favorable position by the week’s end and ahead of the Lunar New Year holiday.

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