Abstract Economic losses from hides and skins utilization in Zaria municipal slaughter houses were investigated from the point of view of the raw skin availability and qualities that were recovered, and lost due to human consumption as ponmo. Using 2014 slaughter figures, the several grades analysis were carried out based on grading, and estimated values of the qualities; the graphical plots of the recovered and lost hides and skins, and the added-values were estimated. The relatively moderate recovery rate at Zango abattoir for cattle hides and Dogarawa slaughter slab could not justify optimized recovery and utilization for the domestic tanning and leather products industries. The added-value showed that there exist high potentials for diversification of the leather sectorial economy, however, the quality of the hides and the losses in production of goat and sheep skins are drawbacks to a sustainable domestic tanning industry.