- Join Our Exclusive Weekly Newsletter
- Posts
- LWG, Leather Naturally & SPIN360 establish New Leather Industry Dataset
LWG, Leather Naturally & SPIN360 establish New Leather Industry Dataset
Turkish Leather Maker Birlik Deri Invests $11.7M in Azerbaijan & Prada Group Financials
Arshad Leathernews.org
November 03, 2024
Good Morning & Welcome to our weekly newsletter! Here, we bring you the entire week's global news, insights, market research & analysis, expert insights and facts from the "leather, footwear, and leather goods" industry.
In a simplified and easy-to-understand manner, saving you time while keeping you informed and updated.
In case you missed it, here’s a look at what happened in the Global Leather & Footwear Industry last week.
LEATHER INDUSTRY NEWS
The Leather Working Group (LWG) and Leather Naturally have integrated a groundbreaking dataset on bovine leather into the Higg Materials Sustainability Index (Higg MSI).
Compiled by SPIN360 using Life Cycle Assessment (LCA) studies, this dataset marks a pivotal update in evaluating bovine leather’s environmental impact. Notably, the Higg MSI update, released in October 2024, shows a significant reduction in Global Warming Potential (GWP), with points dropping 60% from 36.8 to 14.6.
Data collected from 45 facilities across 18 countries and covering 92 leather products confirms a 55-67% reduction in environmental impacts, bolstering bovine leather’s reputation as an eco-friendly material choice.
Houston Airports, Southwest Airlines, and nonprofit design house Magpies & Peacocks have unveiled the “Runway R&R” fashion exhibit at William P. Hobby Airport.
This unique showcase promotes sustainable fashion by featuring high-fashion pieces crafted from repurposed airline seat leather, marking 10 years of Southwest’s “Repurpose with Purpose” program.
Since 2014, the program has diverted over 1.4 million pounds of leather from landfills and invested over $2 million in grants, fostering job creation in sustainable fashion. This exhibit underscores Southwest’s environmental commitment, alongside lighter seat designs that improve fuel efficiency and sustainable RECARO seating to enhance passenger experience.
Birlik Deri, a prominent Turkish leather and leather goods company, has become an official resident of Azerbaijan's Aghdam Industrial Park, investing AZN 20.8 million (USD 11.7 million) in a new manufacturing facility.
This initiative is part of Azerbaijan’s efforts to revitalize the Karabakh region economically. Managed by the Agency for Development of Economic Zones, Aghdam Industrial Park now hosts 28 resident companies and supports 2,300 jobs, with AZN 260 million (USD 152.9 million) in total committed investments.
The park has so far created over 370 jobs, backed by AZN 92 million (USD 54 million) in investments, with the State Employment Agency aiding workforce integration.
FOOTWEAR INDUSTRY NEWS
OrthoLite®, a global leader in comfort-focused footwear solutions, has appointed Raj Santhana as Vice President of Operational Excellence.
With over 20 years of experience, including roles at Bata and Adidas, Santhana will spearhead manufacturing excellence, automation, and digital transformation efforts, supporting OrthoLite’s commitment to quality and innovation.
He joins a team of 3,200 employees and will work closely with the Global Foam Innovation Team. Additionally, OrthoLite promoted Shaw Kiat Phua to Vice President of Global Foaming, underscoring its dedication to sustainable advancements. Founded in 1997, OrthoLite supplies over 600 million insoles annually to more than 550 global brands.
LEATHER GOODS INDUSTRY NEWS
The Prada Group reported impressive financial results for the nine months ending September 30, 2024, with net revenues reaching €3.829 billion—an 18% year-over-year (YoY) increase at constant currency.
Retail sales were a significant driver, contributing €3.425 billion and also reflecting an 18% YoY growth. Prada’s flagship brand saw a 4% increase, while Miu Miu achieved a remarkable 97% YoY growth.
Regionally, Japan led with 53% YoY growth, fueled by local demand and tourism, followed by Europe (18%) and Asia Pacific (12%). CEO Andrea Guerra emphasized the brands' resilience and commitment to sustainable, above-market growth despite industry challenges.
The Kering Group reported a 15% drop in revenue for Q3 2024, totaling €3.8 billion, due to challenging global market conditions. Gucci, the flagship brand, saw a sharp 26% revenue decline to €1.6 billion, impacted by a 25% drop in direct retail sales, particularly in Asia-Pacific.
Yves Saint Laurent also faced a 13% revenue dip to €670 million. Bottega Veneta, however, achieved 4% growth, reaching €397 million, driven by strong retail sales in North America and Europe.
Kering Eyewear outperformed with a 32% increase to €440 million. Cumulative nine-month revenue stands at €12.8 billion, down 12% year-on-year.
Thanks!
Thanks for reading our newsletter today. If you found something useful, please consider sharing it with others who might benefit from it.
Reply