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Using a wizard scroll with either a druid or miner scroll will make -lots- of animals. You can kill those for a decent amount of hides, which you can turn into leather.
You can buy leather from markets, but I guess that wouldn't count as "farming".
End-game, with a high-level shovel (maybe needs to be maxed out? not sure, sorry), you can find leather by digging. With some lighthouses, a luck potion and/or a double resource boost from a shrine, you can end up digging out a lot of leather.
Lighthouses increase resource drops within their radius, and this power stacks, so the more lighthouses you have with an overlapping effect radius, the bigger the bonus to resource drop.
The basic lighthouse has a relatively small effect radius, but there's a skill that makes it bigger, which makes it easier to stack the effect of a lot of them.
This doesn't affect crafted materials (like iron/gold ingots from furnaces, as an example), but it affects drops from monsters/animals, and things you get from digging.
Oh man thanks, and here I thought lighthouses only light the area at night! I thought why would I need something this useless? The lack of description in this game just screwed me again.