What happened this week: At the end activity was not as much slowed down as expected as there still were quite a number of open to buy in the market. It is selective and not a wall of interest, but enough to clear the weeks production again. Buyers started the week to test if sellers were willing to accept bids, but realizing that their preferred sources are reasonably well sold up and not willing to take any further exposures at less than asking levels. So, some decided to step out and others preferred to have their orders covered and were rather willing to spent a little more than expected. At the end most of the regular buyers cant complain, as they must have a fair average price over the last season and also the secured supply of their regular suppliers. For the others gambling against the market trend of the last  months it must have been an expensive adventure. May be not just only regarding the price, but also in respect of the raw materials they had at the end to buy to coverage and the results the leather production at the end displayed. However, all this is history and the interesting time lies now ahead of  us. In normal years the next weeks would be quiet as far as trading is concerned, because Asian tanners receive their visitors

(suppliers) and this they normally did with a comfortable raw material position. It is not Asian (Chinese) style to sit at the table with a weak set of cards. Since the timing is given by the days of the APLF in Hongkong it would be a surprise if the buyers are sitting at their desks anxiously awaiting the seller to come in. However, we have only two options. Either they played their cards already and are comfortably covered to have a few cups of tea and a few chats or the leather orders have now really come in at much higher levels and they are running just behind with their raw material coverings. A lot points to option number two, because the request for shipment are still very short and this does not make anyone believe, that the buyers are sitting on a comfortable raw material inventory. While this is definitely the case for European buyers we might be misguided in Asia . May be there is some truth in the assumption, that some of the purchasing and shipment is also related to the customs books and the tax regulations imposed in China . Consequently timing could become an important issue. However, short term the risk must be limited, because the Chinese tanners know everything better than we

do and so why should they push things forward without any need. At the end the week ended with another round of interest and sales of dairy cows. The main interest was again for the heavy end. The favourites such as ox/h of the last months faced more price resistance and less enthusiasm than expected while bulls were just steady with most regular users pretty well covered. Prices were on a firm and steady ground and almost full asking levels were achieved. With the USD trading at the high end of the present trading range revenues were not less than expected.   The kill: Moderately declining. The big question now is, if the export stop of Argentinian beef will mean anything to slaughter in Europe . Most likely not, as it might be substituted by other origins rather than local supply. Consequently we expect still low seasonal slaughter levels for the weeks to come. What do we expect? The market remains on firm and stable ground and it is hard to believe, that this is going to change in the weeks to come. It seems, that most buyers and sellers have done their job for the time frame until the end of April and not too much action is anymore required until mid April. At least sellers sit comfortably and tanners being uncovered for this period will face problems to get what they need.