The tannery site currently operated by Vitelco Leather in Lichtenvoorde, Netherlands will be sold to the municipality of Oost-Gelre and redeveloped for residential housing, marking the end of tannery activities at this location.

Despite the closure, PALI Group will continue to market hides from its in-house slaughterhouse in various forms including raw hides, wet blue, crust, and finished calf leather.

The company’s fully integrated supply chain and individual hide traceability system will remain in operation, continuing to set it apart in the global leather market.

The municipality of Oost-Gelre, which includes Lichtenvoorde, is currently facing a housing shortage and has identified the tannery site as a key opportunity for development.

In addition to odor-related concerns, the tannery’s central location has hindered other urban development efforts in the area.

These combined factors led to a mutual agreement between PALI Group and the municipality to end tannery operations at the site.

“We look forward to continuing our strong and cooperative relationship with our customers in the hides and leather industry adapting to their needs as we move forward”

Said the company in a statement.