Roadmap for Comprehensive Sustainability of Leather Industry

P Saravanan, CSIR-CLRI

1. Introduction

Among all the challenges, poverty remains the most critical and central challenge to

mankind. Industries have been playing an important role in alleviating poverty by

providing about 500 million jobs world over. Industrial growth is linked

proportionately to the increasing demand for goods and services. It is imperative

therefore to succeed in the continuing endeavor of poverty alleviation, industrial

growth becomes vital. Traditionally it is believed that the protection of the

environment could only be gained at the expense of economic development,

particularly industrial development. Consequently, it meant that industrial growth

could not be achieved without environmental impact. The new paradigm puts forth

that there is no trade-off between environment and economy. According to the

traditional economic methodologies, the investment made on measures of

minimizing environmental impacts results in drop in the profitability. This hypothesis

is based on the assumptions that need to be critically viewed. If (a) the

environmental impact is appropriately monetized, and (b) the social cost of pollution

and environmental degradation are taken in to consideration for arriving at GDP,

then the existence of a mid path between environmental protection and economy

can be recognized. Thereby, the concept of drop in profitability due to the

investments made on environmental protection can be demystified. Sustainability is

the ability of the organization to reach a position of realization of business case

without compromising the social goals and environmental targets. Therefore,

sustainability is a continuously improved march towards the mid point of economy,

environment and society, the three pillars of sustainability. In this paper, the

strategic direction for the Indian leather industry to attain sustainability is discussed.

2. Concept of Sustainability

Sustainability is defined as the development that meets the needs of the present

without compromising the ability of the future generation to meet their own needs.

Unless the economic growth is driven to meet the needs of the present in an

intelligent and equitable manner, the natural resources that are necessary for the

future needs of the society cannot be met. Sustainability therefore does not

encompass environmental protection alone.

Figure 1: Pillars of Sustainability

The comprehensive sustainability is built upon three pillars namely society,

environment and economy. The comprehensive sustainability encompasses the

environmental sustainability, economic sustainability and social sustainability.

Environmental sustainability is the ability of maintaining the factors and practices

that contribute to quality of environment on a long-term basis. Economic

sustainability is the ability state of utilization of the resources in a responsible and

efficient manner so as to reap a consistently the operational profit. Social

sustainability is the ability of a social system to consistently achieve a good social

well-being. Attainment of sustainability is the process of moving to the right point of

Viable

Sustainable

intersection of the three aspects viz. society, environment and economy. Leather

industry utilizes the co-product of the meat industry, the hides and skins. This itself is

a perfect model of sustainability in the sense that the waste or co=product of one

industrial activity is utilized better to create value and employment.

3. Indian Leather Industry - Sustainability Path

3.1. Social Sustainability

The development and growth of Indian leather industry traced different points in the

sustainability map in the past. India had been exporting chiefly the raw hides and

skins till early 70’s. From 1st January 1973, two major policy initiatives were

introduced. They were (a) export duty of 10% was levied on EI and wet-blue and (b)

the export of all types of raw hides and skins except lamb fur skins was banned. The

driving factor for such a push from the Government was primarily to earn foreign

exchange, as there was a foreign exchange crisis at that period due to the hike in the

oil price. Therefore, the social sustainability had been the predominant driving force

during the period from 1973 to 1985. Several incentives and schemes have been

implemented aiming the growth of the leather industry and more specifically the

leather product industry had been given a major thrust. The leather and leather

product industry had been striving for social sustainability during this period. The

policy initiatives lead to increased production of leather. The counter effect to the

enhanced production and forward integration was the environmental impact.

3.2. Environmental Sustainability

The Water (control and prevention of pollution) Act was passed in 1974. And, in

1986, a committee was set up by the Director General of Technical Development to

prepare a plan for establishing Common Effluent Treatment Plants (CETPs) for

treating the tannery wastewater. The committee recommended the establishment

of 70 CETPs across 14 states with a capital investment of Rs. 530 million. Initiatives

were taken in this regard and CETPs were established availing the financial

assistance provided both by the Union government and the state governments. This

was the first step towards environmental protection. Subsequently, there had been

many support systems from the government and significant degree of efforts have

been taken with respect to meeting the discharge requirements. Chrome recovery

system had been made mandatory to address the chromium wastewater.

Commercial scale chrome recovery units have been installed since 1993.

Though these initiatives provided solution for meeting the standards in terms of

almost all the parameters, the requirement of 2100 ppm of Total Dissolved Solids

(TDS) could not be met. Classical treatment methods could not address the TDS.

CETPs continued to fail in meeting the TDS norms. Also, the model of collective

responsibility in addressing the pollution issue has not been as successful as

envisaged. In 1995, Supreme Court ordered the closure of as many as 700 tanneries

in Tamilnadu for not having met the discharge requirements specifically with respect

to Biochemical Oxygen Demand (BOD). The Supreme Court of India also imposed

fine on the basis of ‘polluters pay’. In 2007, High Court of Madras directed the

tanneries of Tamilnadu to implement and follow membrane based zero liquid

discharge. All the clusters of Tamilnadu complied with the orders. However, the two

major issues that have been daunting the environmental sustainability of the leather

industry are (a) significantly high treatment cost (as high as Rs. 500 per m3) and (b)

unavailability of foolproof technical solution for the secured disposal of reject from

Reverse Osmosis (RO) treatment. Nevertheless the timing of the environmental push

was appropriate; the choice of the techniques opted was not apt. This is evident

from the continued environmental predicaments of the industry. The following are

the unresolved issues that need to be reckoned with by the Indian Leather industry.

Absence of internal mechanism of monitoring the quality of wastewater

from the individual units that are connected to the CETP

Pollution load not being taken comprehensively as the basis for the

charges levied for wastewater treatment to the individual units

Need for the alternative to secured landfill, which has been the disposal

mechanism followed for the primary and secondary sludge

Non-availability of fool-proof solution for the secured disposal of RO

reject

3.3. Economical Sustainability

When the treatment plants had been established in early 90’s, the minimum process

steps only had been ensured. Later on, secondary biological treatment systems,

anaerobic treatment, and tertiary treatment methods had been introduced.

Subsequently the chrome recovery system, solar evaporation and secured landfill

had been resorted to. These efforts called for additional capital and operational

costs. The increase in environmental cost results in increased cost of production.

This has been continuing till date and the tanning industry is apprehensive that this

might eventually lead to a competitive exclusion of the Indian leather industry. The

Indian leather industry is presently driven strongly by economic sustainability. It is

recognized clearly that any substantial increase in cost of production would result in

loss of global market share.

4. Roadmap to Comprehensive Sustainability

Indian leather industry needs to embark upon two endeavors simultaneously viz. (a)

opting for measures that would result in reduction in environmental cost, and (b)

expanding the horizon of business in such a way to secure better financial returns,

while ensuring minimization of environmental impacts.

4.1. Reduction in Environmental Cost

The environmental cost of leather manufacturing can be reduced by approaching the

problem from a larger perspective. The major factor for the increased environmental

cost is the not-so-prudent approach opted for environmental management.

Whereas, the end-of-pipe treatment may be the penultimate option in the hierarchy

of environmental management, it had been the construed as numero uno. The

source of pollutants in the wastewater can broadly be classified into two categories

namely (a) the unabsorbed chemicals and chemical products used for leather

manufacturing and (b) the constituent materials emitted from the hides and skins.

Both have been considered equally as pollutants, whereas both the unabsorbed

chemicals can better be construed as resources, specifically those that are present in

the pretanning waste streams. Therefore, by treating the unabsorbed chemicals, on

one hand the value of the resources is lost and on the other, non-return investment

is made for the treatment. Hence, appropriately the solution point is the source but

not the end-of-the-pipe. A perfect integration of all options such as opting for right

alternatives, reusing, recycling, treatment and secured disposal only can provide a

viable status.

4.1.1. Cleaner Technologies for Pre-tanning

By following hair-saving unhairing using enzyme and sulfide, Biochemical Oxygen

Demand (BOD) of the liming wastewater can be reduced by about 40%. By using

lime of high purity, the volume of sludge can be reduced to a maximum extent of

60%. The residual lime present in the liming wastewater may be construed as

resource than pollutant. About 5 to 10% of lime is used for liming. The liming and

reliming waste streams can be reused after aging them for few days. Through these

measures, the hair can be segregated and the liming wastewater that contributes to

significant pollution load need not be sent to wastewater treatment plant. The

segregated hair may be used for the production of value-added products such as

hydrolysate, compost or amino acids. The deliming waste streams are the least

polluting of all. The pollution load due to inorganic contaminants is also insignificant.

The Total Dissolved Solids (TDS) load is about 4000 mg/L, and of this; about 1500

mg/L is contributed by chloride. The organic pollutants chiefly proteins and lipids

present in the deliming streams are the cause of concern for reusing this waste

stream. By effectively removing the organic pollutants, the deliming waste stream

can be reused for soaking. Electro-oxidation is a proven technique for removing the

organic pollutants, without generating the secondary pollutants.

4.1.2. Cleaner Technologies for tanning

Waterless chrome tanning is a novel technology developed recently by CLRI, which

dispenses with pickling and basification. Also, no input water is required for chrome

tanning. Therefore, no wastewater from chrome tanning is generated. This

technology does not warrant rechroming, as the uptake of chromium during the self-

tanning itself is significantly high. Therefore, complying with the discharge norms of

chromium is unchallenging by resorting to this technology. Moreover, as there is no

need for operating the chromium recovery and therefore addressing the

supernatant does not arise. Another major advantage of this technology is the

reduction in TDS load to the tune of 25 to 30% due to the elimination of pickling

process. It is clear that it is possible to attain zero wastewater discharge effortlessly

for the process segments of pretanning and tanning.

4.1.3. Cleaner Technologies for Post-tanning

The volume of waste streams from neutralization and wet-finishing is around 15% of

the total volume of wastewater generated (about 2.5 L/kg of raw hide or skin).

However, treatment of the wet-finishing stream is difficult as it contains bio-

refractory chemicals that cannot be degraded easily. The residual chemicals in the

neutralization streams and wet-finishing cannot be reused, as they do not present in

the form, which is amenable for reuse. Therefore, the approach for reusing

neutralization waste streams can be the counter current reusing system. And for

wet-finishing stream, the pollutants may be degraded to the extent that they should

not cause quality impairment. Electro-oxidation may be followed for removing the

organic pollutants that are emitted from the leathers and for degrading the residual

chemicals present in the wet-finishing waste stream. The reuse may be finite,

limiting to specific number of cycles, until the threshold level of accumulation of the

degraded products is reached. After the finite number of reuse, the solids can be

segregated from the wastewater (through evaporation or filter press or drying beds)

and the dry solids can be incinerated or disposed through secured landfill.

Therefore, the recommended scheme encompasses (a) low-sulfide, enzyme assisted

hair saving unhairing with recycling of liming wastewater, (b) electro-oxidation of

deliming streams and recycling of the treated streams for soaking, (c) pickle-free

waterless chrome tanning, (d) counter current recycling of neutralization waste

streams, (e) electro-oxidation and (finite) reuse of wet-finishing waste stream, and

(f) separation of solids from wet-finishing waste stream after finite reuse and

incineration or landfilling of the solid.

The operation and maintenance cost for attaining zero discharge through RO is

about Rs. 570 per m3. About 4 kg of sludge is generated per cubic meter of

wastewater. The cost of disposal of sludge is about Rs. 30 per m3. Therefore, the

environmental cost per cubic meter of wastewater generated is about Rs. 600. The

annual environmental cost is about 11% of the financial turnover. The operation and

maintenance cost of the proposed system is about Rs. 200 per m3. Therefore, the

possible reduction in environmental cost is about 67% if the aforesaid measures are

implemented.

5.2. Increase in the Financial Returns

The following table presents the solid waste generation profile.

Table 1: Solid Waste Generation Profile

Solid Waste Weight (kg per ton of

rawhide)

Annual Generation

in India (Tons)

Trimmings 80 52800

Fleshings 100 66000

Hair 50 33000

Shavings and unusable splits

75 19800

Buffing dust 1 13200

Crust and finished leather trimmings

10 19800

The constituents of solid wastes generated prior to tanning is chiefly protein (i.e

collagen). These are associated with significant value. The constituents of each waste

are given below. It is clear that the constituents can be used for the manufacture of

value-added products.

Table 2: Constituents of Solid Wastes

Solid Waste Constituents (%)

Water Collagen Keratin Lipid

Trimmings 32 25 5 2

Fleshings 80 8 0 8

Hair 5 0 85 0

Shavings 30 50 0 4

Buffing dust 8 40 0 5

Crust and leather trimmings

8 40 0 5

About 46 kilotons of collagen, 31 kilotons of keratin and 9 kilotons of lipid are

available per annum from the Indian leather industry. A moderate estimate suggests

that the value of these materials is about Rs. 50 billion. Apart from the direct

financial returns, there is a scope for saving on the expenditure presently incurred

for the secured disposal of these wastes and the environmental costs associated

with the disposal of these wastes. The technological options available for the

utilization of the solid wastes are given in table 3.

Table 3: Solid Waste Utilization Options

Solid Waste Utilization Options

Trimmings High grade gelatin

Fleshings Bird feed, organic fertilizer, activated carbon and biogas

Hair Compost, keratin hydrolysate and amino acids

Shavings Leather board

Buffing dust Leather board, reconstituted leather

Crust and leather trimmings

Reconstituted leather

Sludge Bio-gas

There are many technological options for producing high-value products from the

solid wastes. Compared to the capital investment for establishment of tannery, the

capital investment for establishment of units for the production of some of the

value-added products is significantly high. However, the profitability and return on

investment of the business of these values added products are overwhelming.

5. Enabling Attainment of Sustainability

In the proposed endeavor in attaining sustainability, the roles of the two important

stakeholders viz. Government and CLRI, are crucial. The governmental policies and

programs need to be in congruence with the pursuit of the Sustainable Development

Goals for the year 2030 as envisaged by the United Nations (UNDP SDG 2030). CLRI

in turn needs to continuously develop and deliver technologies, provide technical

support and create human resources to enable the leather industry to attain

sustainability.

5.1. Governmental Assistance

The state needs to support the proposed efforts of the industry primarily in two

directions namely (a) providing financial assistance for creating infrastructure,

technology sourcing, availing technical support, and manpower development and (b)

providing incentives to the endeavor of accomplishment of sustainability.

The Government of India recently rolled out financial assistance to leather industry

for supporting the holistic development of leather and leather products sector.

Major funding assistance is provided for facilitating the leather industry towards

environmental pollution management. However, the thrust is primarily on the end-

of-the-pipe treatment rather than on abatement of pollution at source. Mission

programs may be formulated exclusively to implement and ensure the practice of in-

plant pollution reduction measures and cleaner technologies. Also, the State may

frame programs to provide financial assistance for the establishment of units for the

production of value-added products from the solid wastes.

5.2. Role of CLRI

CLRI has developed many technologies for minimization of the pollution load at

source and also for the utilization of the solid wastes. The technology and

engineering package of these technologies shall be made ready for translation to the

industry. CLRI needs to play the pivotal role in establishment of production units for

the manufacturing of value-added products. CLRI has to facilitate investment and

collaboration for the business establishment in this regard. In order to promote and

standardize the system of attainment of sustainability, CLRI needs to design a

mechanism of assessing and certifying the tanneries and leather product units for

sustainability. The system and mechanism of sustainability certification needs to be

developed taking into account the various aspects and components of sustainability.

The State, relevant governmental institutions and International Development

Institutions need to be consulted for linking the sustainability certification processes

with financial incentives for enabling the Indian leather industry’s march to reach the

status of world leader in sustainability.

6. The Eventual Destination

At the Sustainable Development Summit on 25 September, 2015, UN, the Member

States adopted the 2030 Agenda for Sustainable Development, including a set

of Sustainable Development Goals (SDGs), otherwise known as the Global Goals. The

SDGs are a new, universal set of goals, targets and indicators that UN Member States

are expected to use to frame their agendas and political policies over the next 15

years. The inclusive and sustainable Industrial Development (ISID) as putforth by

UNIDO means that:

Every country achieves a higher level of industrialization in their economies

and benefits from the globalization of markets for industrial goods and

services.

No one is left behind in benefiting from industrial growth, and prosperity is

shared among women and men in all countries. • Broader economic and

social growth is supported within an environmentally sustainable

framework. • The unique knowledge and resources of all relevant

development actors are combined to maximize the development impact of

ISID.

The new development framework that aims to transform our world and will guide all

global, regional and national development endeavours for the next 15 years towards

the aimed transformation. There are 17 goals set to realize the transformation

(figure 2).

Figure 2: Sustainable Development Goals (SDGs) - UNDP

It is recommended that through Goal 9, the Member States of the United Nations

call upon the international community to ‘build resilient infrastructure, promote

inclusive and sustainable industrialization and foster innovation’. ISID can therefore

serve as a primary engine not only for creating jobs and promote economic growth

but also of technology transfer, investment flows and skills development, as also

acknowledged in the Addis Ababa Action Agenda of the Third International

Conference on Financing for Development held in July 2015.

In addition to Goal 9, all other SDGs incorporate some industry-related aspects and

targets. As a core driver of the global development agenda to eradicate poverty and

advance sustainable development, ISID therefore makes a critical contribution

towards addressing the economic, social and environmental dimensions of

development in a systemic and holistic manner. The concerted move of the nations

in this direction will ensure the reach of the eventual destination.

Acknowledgement

The author profoundly thanks Mr. Tony John, Dr. B Madhan, Dr. R Aravindhan, Dr. P

Thanikaivelan, Dr. Nishad Fathima and Dr. J Raghava Rao for their contribution to

this paper.