A new cluster of leather products is emerging in Hazaribagh Tannery Palli. After relocating tanneries from Hazaribagh, a cluster has been formed where various products such as shoes, belts, handbags, jackets, and office bags are being produced from leather. Currently, the cluster has around 350-400 shops, showrooms, and small leather product factories. Commercial establishments for these products have been established in various locations including from Hazaribagh Tannery Mor to Institute of Leather Engineering and Technology, Hazaribagh Market, and Dhanmondi 15 Bus Stand. Due to its central location in Dhaka, the cluster has advanced communication facilities. Transportation to the cluster is available directly from any part of Dhaka by bus, car, CNG, or rickshaw.

Suitable shoes, bags, and other leather products are being produced in the cluster. The annual turnover of the cluster is approximately 50-60 crore taka. Besides supplying quality leather products in the domestic market, some entrepreneurs of the cluster also export products abroad.

Entrepreneurs collect leather from various places including Savar and old Dhaka. Alongside raw leather, various chemicals, dyes, threads, buttons, linings, fabrics, polishing chemicals, eyelets, and pins are used. Currently, there is a functional Common Facility Center (CFC) in the cluster. Entrepreneurs in the cluster use both automated and manual machinery for product manufacturing.

Almost all entrepreneurs in the Hazaribagh Leather Cluster sell wholesale and retail directly from their own showrooms. Additionally, many entrepreneurs in the cluster export products abroad.

SME Foundation is supervising the development and implementation of various programs aimed at cluster development. In addition, loans amounting to around 10 crore taka have been distributed among approximately 125 entrepreneurs engaged in leather and leather goods production, including the Hazaribagh Leather Cluster, Purbamadarbari Leather Cluster, Brahmanbaria Leather and leather goods Cluster.