The numbers prove it. Sales slow and Italy’s footwear segment hits the breaks. In the July-September period, export lost 7.2% in value and 12.3% in volume compared to the same period of the previous year. With regards to internal consumption, purchases for shoes made by families decreased 1.5%. During the month of October and first half of November, sales were also down, partially due to the warm climate. 148 footwear companies closed down from the start of the year to the end of September, while employment levels are holding steady (+2.1%), even if 1,000 units below the amount of 2019.
Italy’s footwear segment hits the breaks
“After a strong start, 2023 is closing in disappointment also due to the increased costs impacting margins”, explained Giovanna Ceolini, president of Assocalzaturifici. After the post-Covid bounce-back, sales have decidedly slowed, starting in Spring and even more so in the following months”.
USA and Germany down, China up
Revenue growth went from +13.6% during the 1st quarter to +7.4% during the first 6 months of 2023, and +3% in the first 9 months, according to the research center of Confindustria Moda. A similar trend is followed by exports: +16.1% in the 1st quarter, +8.9% in the first half and +3.2% in the first 9 months. The US market struggled (-21.7% and -7.4% in value), along with the German one (-16.6% in number of pairs and stable in value). France holds, while China is up (+17.2% in volume and +12.2% in value), along with Russia and Ukraine (+40% volume, +88% value), even if sales are still below pre-war levels. Italy? -3.1% in volume and -1.3% in value.
“Unsustainable”
Ceolini announced the lengthening, till July 30th 2024, of the deadline to present the request to maintain fiscal incentives tied to research and development. Italy’s internal tax entity is claiming some companies are taking advantage of the incentive without the correct basis. “A tricky topic that is becoming unsustainable for our companies. We need the decree to be approved as soon as possible, in order to create external entities providing certifications on what type of research and development can receive the incentives. It’s the only solution to guarantee rules are respected”.
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