TURKEY: improving exports
Turkish exports of leather and leather goods grew by 9.1% in the first
six months of 2004, compared to the same period last year. The leather
industry has started to compete in the international market place with
raw materials against Chinese companies, and is looking to create its
own image as well as recognition of the quality of its products
CAMBODIA: now in the WTO
Cambodia's National Assembly approved the country's member ship of the World Trade Organization (WTO). The government is fully aware that this measure will allow the country to trade more easily with many more markets in the world.
PAKISTAN: concern about sharp drop in exports
The Pakistan Tannery Association (PTA) has stated that the leather industry will be forced to reduce export costs in light of the recent trend of relocating factories in countries such as South Korea and India, where production costs are considerably lower. In July, the exports of finished leather fell from US$24.5 million to US$17.9 million. The sales of clothing, gloves and other leather products amounted to US$31.5 million, while footwear exports accounted for US$4.8 million, when in June the respective figures were US$42.01 million and US$8.4 million. Overall, the total value of leather exports fell from US$75.03 million to US$54.3 million.
PERU: government imposed footwear labelling
The Peruvian President, Alejandro Toledo, signed into law the bill covering Regulations for Footwear Labelling. The signing of the document took place in a ceremony held in the Centre for Technological Innovation in Leather, Footwear and Related Industries - CITEccal. Civil Servants and the main representatives of manufacturing, importing, commercializing and supply sectors, as well as official associations took part. This regulation is designed to label all footwear sold in Peru with information on the country of origin and the materials used in the manufacture of the product, as well as the individual tax registration of the company. It is expected that this measure will allow large amounts of contraband shoes to be detected, which has had an adverse effect on the local industry, and also help reduce pirate or informal production operations, which prejudice local manufacturers.
VIETNAM: both sales and expectations rise
The leather and footwear industries in Vietnam enjoyed a very good first half year, as exports rose by 13.8% for the period. In the first seven months of the year, exports reached US$1,100 million and many analysts expect this figure to reach US$2,000 million by December - a figure that represents a rise of 22% compared to the whole of 2003. This performance is attributed to the opening of the US market, even thought Vietnam's major export market is still Europe. Now many businessmen are considering investing in order to increase production volumes and improve quality. With this outlook, many industrialists have expressed their concern over a shortage of raw materials and qualified manpower, and in this context are asking for more investment in training centres.
The US chemical industry issued a statement confirming that it is preparing a campaign "to offset the harm being done to the sector by on-going criticism related to environmental damage, and rising energy costs". They maintain that this situation has caused the loss of thousands of jobs and industry businessmen blame the lack of political action to contain energy prices, such as natural gas, a fundamental fuel in US chemical plants. The criticism levelled at the industry for environmental damage has given it a bad reputation and, for this reason, it receives little support. The decision is to launch a publicity campaign showing that the accusations are generally exaggerated or simply mistaken
MEXICO: contraband is "organizad crime"
As representative of the Industrial Footwear Chamber of Guanajuato, Mexico, Yamael López García met with authorities of the Mexican parliament in order to analyse the reform to the Federal Law against Organized Crime. The legal project which was presented more than a year ago by parliamentarians to local industry, considers contraband, or illegal imports as part of "organized crime" and hardens the treatment of those involved. In Congress, various political factions are opposed to the approval of the law.
Czech Republic: vanishing leather goods?
The manufacture of bags and handbags, either in leather or man-made materials, is declining in the Czech Republic as the years roll by. Some sources maintain that the production of these articles will have vanished all together by 2010, and leave the way open for the import of bags from China. According to official data, the Czech Republic produced 114,952 bags in 2003, compared to 135,472 in 2002. However, these figures are even more surprising if one compares them to the 1994 figures, when 506,619 bags were manufactured, or 374% more than in 2003!!
Masters degree for the leather industry
University College of Northampton (UCN) of Great Britain has started a
new MBA course aimed specifically at present and future managers in the
leather industry and related sectors. The MBA in Leather Management will
start on 4th October and will possibly be unique in the world. This project
was organized by the British School of Leather technology (BSLT).
Leather garments in China
The first collection of leather garments from the Chinese company Dah
Hwa Leather, designed by the Hong Kong artist Jonathan Chan, was presented
on 2nd September in a fashion show that took place in Shanghai. The company
wanted to show the Chinese fashion community the potential hidden in leather.
"Our aim is to educate people on the character and uniqueness of leather.
Leather garments show a new and interesting aspect each time they are
used", said the director John S. Y. Lee.
Resignation at Pittards
Pittards plc, a British supplier of high performance leathers, announced that its Chief Executive, John Pittard, has resigned after 40 years at the company. The executive recently celebrated his 60th birthday and both he and Robert Paisley, director of the raw materials division, left the board on 1st September.
Stacey Adams in India
Stacey Adams, one of the main footwear companies in the US, has entered the Indian market place where it will manufacture and commercialize its products in cooperation with Gratings India. Stacey Adams will be one of the few companies in India to offer shoes in genuine leather at competitive prices. In the US, this company, founded in 1875, has more than a thousand local retail outlets.
A new chemical for colour
Vinylcote is a new product for the recolouring of leather and plastic and was launched in the US market. The manufacturer is Parasol Inc., and the company maintained that this process is more "tincture than paint", and for this reason there is no risk that the finished article will suffer cracking. The company also explained that the product combines with the leather molecules and thus alters the pigmentation.
Smit & Zoon inaugurate a course
Smit & Zoon is organizing a 3 day technical seminar in its main offices in Holland. The course will start on 21st October and will be attended by 55 people from 30 countries. Some of the main topics will be organic leather, automotive leather, waterproof leather and environmental legislation
Sarchem expands
Sarchem, a Turkish company that manufactures high quality auxiliary products for leather finishing, has doubled its productive capacity by modernizing its machinery. Sarchem produces chemicals that do not harm the environment and has gained ISO 9001 certification.
Payless reduces costs
Alter several months of slow sales, Payless ShoeSource Inc. has announced that it will restructure its administration in order to reduce its costs by US$12 million per year. The changes will cause the loss of jobs at the company.
Retro fashion in Munich
More than 460 footwear retailers, buyers and sellers got together on 15th August to have a look at the new summer/autumn collections in the MOC in Munich, Germany. Combinations of strident colours, floral designs and a return to the 50's were some of the novelties presented for the upcoming season.
Reebok on the beat
Reebok and the young rock star, Pharell Williams, have jointly launched two new labels: Ice Cream, an exclusive footwear collection inspired by urban culture and extreme sports, and Billionaires Boys Club (BBC) - a male collection that reflects Pharell's style. Both collections will be available from September.
Dicks share buy up
Dicks Sporting Goods has announced the takeover of the Galyan brand, an outdoor clothing company. With this acquisition, Dicks now owns 95% of the shares of this company. As a result, Dicks now has a total of 221 shops in 32 states of the union.
Athens success
for Adidas
As
part of the campaign "Impossible is Nothing", the brand helped more than
4,000 athletes to travel to the 2004 Athens Games and gave out 1.4 million
products to associations, volunteers, administrators and Olympic teams.
The investment bore fruit in the Athens Medal table: 147 gold medals,
128 silver and 148 bronze proved that "Impossible is Nothing". Adidas
was not only the leader in medals won, but also triumphed in brand communication
and was the leader in exposure and presence. For the management of the
company, the next challenge will be to maintain these achievements in
the 2006 World Cup in Germany and the 2008 Olympic Games due to be held
in Beijing.
Airwalk in Australia and New Zealand
LLC Group, owner of the Airwalk brand has announced that it has granted the licence for Australia and New Zealand to the Brand Direct International Group Pty Ltd. The agreement covers all products commercialized under the brand name, not only sports shoes, and the objective is to reinforce the presence of Airwalk in these markets, according to the Brand Direct management.
Hamilton joins the sector
Hamilton and Sppill, a US importer, added leather upholstery to its product catalogue in September
Natuzzi on the up
Natuzzi announced that sales had remained steady in the second quarter of the year. Nevertheless, net income still rose by 6.7% thanks to more efficient operations.
CTC
expands into the US
The CTC Institute based in Lyon, France is dedicated to leather, footwear
and leather goods and has established a base in Connecticut, United States,
in order to improve its client service in the country. One of the services
offered is that its inspectors control each phase of the production process
to ensure that it is carried out correctly. It also audits purchases from
suppliers so that they are more efficient.
All China Leather Exhibition,
a resounding success in Shanghai
The fairs that took place at the beginning of the month in Shanghai produced
an excellent level of business and contacts. The All China Leather Exhibition
(ACLE), China International Footwear Fair (CIFF) and Moda Shanghai were
all held in the New International Expo Center in Shanghai and received
a total of 14,980 visitors, a 20% increase over the 2003 fair.
The
guests of honor performed the ribbon cutting ceremony at the opening ceremony.
More than 84% of visitors came from 34 provinces and cities in Mainland China. "It's been extremely encouraging to see such a positive response. The leather industry in Mainland China continues to grow and the three events - ACLE, CIFF and Moda Shanghai - have become the meeting place for professionals from the sector who are sourcing new products and suppliers. At the same time they can meet old friends", stated Michael Duck, Director of the Asia Pacific Leather Fair. ACLE, CIFF and Moda Shanghai grew by 50% compared to 2003 and the visitors had access to 910 companies from 35 countries and regions participating in the combined event, which included 60 new exhibitors from 18 countries. The event took place over three days and covered 35,000 square meters of gross exhibition space, which was 50% larger then the previous edition of the fair.
The
Genuine Leather Mark celebrated its 10th anniversary at China International
Footwear Fair and Moda Shanghai.
The international hall for foreign companies increased by 20% compared to the 2003 event. In 2004, ACLE incorporated a section for upholstery leathers which attracted 30 tanneries from 13 countries. The reaction of buyers to this new section was very positive. Since China is one of the world's most important manufacturers of cars and furniture, the demand for upholstery leather keeps on growing. There was also a space at the fair dedicated to training and more than 200 buyers participated in the seminar programme organized for professionals of the sector on the latest technological developments in leather making, design and quality control in the tannery itself.
CIFF
features a wide range of footwear products.
Looking forward to next year's event, Senior Event Manager, Ms. Perrine Ardouin said that national pavilions from Australia, Germany, India, Pakistan, Thailand, Turkey and the US have all indicated that they will increase their exhibition space in the next edition of the fair. This will be held from 7th -9th September 2005, in the same venue.
Latin American Congress of Leather Technicians
From
6th - 8th October the XVI Latin American Congress of Chemists and Technicians
from the Leather Industry will take place in Buenos Aires. The organization
of the event is in the hands of the Argentinean Association of Chemists
and Technicians of the Leather Industry, AAQTIC, which holds the current
presidency of the Latin American Federation of Chemists and Technicians
of the Leather Industry (F.L.A.Q.T.I.C.).
Eng. Roberto Escobar, president of AAQTIC
The participation of some 350 professionals is expected and they will meet in Buenos Aires attracted by a number of excellent projects, with the chance of sharing knowledge and experience. Latin America produces and processes more than 35% of bovine hides in the world and its technicians make valuable contributions to the development of the industry.
International
Leather Days (ILD) draws near
The 14th edition of ILD will take place in Turkey
on 10th, 11th 12th December, which is a particularly important month for
local companies that export to the European Union (EU) and countries of
the Russian Federation. This fair is primarily dedicated to leather and
contributes to Turkey's integration with the rest of the world.
High
Point focuses its attention on furniture upholstery
High Point is the centre of interest for companies from all areas and sectors of the home furniture industry. Businessmen from all over the US and a further 110 countries come to high point in April and October to buy and sell in a place where new designs, styles, finishes and concepts have always been classically presented. The next edition of this event which is one of the most important internationally, will be from 14th - 20th October in High point, NC, USA.
Travel goods fair in the United States
From 18th - 20th March 2005 the Travel Goods Show will take place in Orlando, Florida. The organizers are certain that the leading manufacturing and commercial companies of this sector will be present and they emphasized that the best and newest designs from each company will be on show.
