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What is the difference between leather grades?

Top grain leather is the highest quality leather available for furniture. Leather grades refer to the different price groups. Some retail stores will lead you to believe that the grades are actually indicators of quality in the hope you will spend more on a higher “grade”. All top grain leathers are of the same quality when first processed in the tannery. Depending on how the hide is processed and which leather finish is applied will vary the price.