This Week's Global Leather, Footwear & Leather Goods Industry News & Updates

July 21, 2024

Good Morning & Welcome to our weekly news round-up! Here, we bring you the entire week's global news, insights, data, 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.

LEATHER NEWS
Rino Mastrotto Raises €320 Million in Successful High-Yield Bond Sale

  • Bond Sale Details:

    Rino Mastrotto successfully raised €320 million through high-yield market bonds, maturing in 2031, with a variable interest rate.

  • Strategic Financial Moves:

    The company has requested inclusion on the official list of the Luxembourg Stock Exchange to gain admission to trading on the Euro MTF Market, showcasing its strategic expansion and financial planning.

  • Investor Confidence:

    Strong interest from Italian and international investors underscores the strength of Rino Mastrotto's business model and its impressive growth potential.

Pakistan and China Establish Strategic Partnership to Boost Leather Industry

  • Joint Ventures & Investments: Initiatives include manufacturing plants, tanneries, and R&D centers, with potential investments from the Association of Guangdong Shoe Manufacturers ranging between USD 5 to 8 billion.

  • Export Decline & Recovery: Despite a 7% drop in leather exports in the fiscal year 2022-2023, Pakistan aims to recover through this partnership. Leather exports fell to USD 887 million from USD 953 million, while other leather products and leather garments saw declines of 18% and 11%, respectively.

  • Market & Synergy: The partnership leverages China’s extensive production capabilities and Pakistan’s high-quality leather and competitive labor costs, targeting the strong consumer demand for stylish footwear and bags within Pakistan and under the China-Pakistan Economic Corridor (CPEC).

Gruppo Mastrotto Launches Revamped Website and Opens New Showroom in Tuscany

  • New Website & User Experience:

    Gruppo Mastrotto launched a revamped website with a modern, elegant design.

    The website offers intuitive navigation for exploring their extensive range of collections and products, particularly emphasizing their “Express” prompt-delivery service.

  • Brand Identity & Innovation:

    The launch includes a restyled logo and the new slogan “Leather Forward,” showcasing the company’s focus on innovation and sustainability in the tanning industry.

  • Commitment to Quality & Sustainability:

    The website highlights Gruppo Mastrotto’s history, values, and dedication to sectors like fashion, interior design, automotive, nautical, and aviation.

    A special section on the website explores leather craftsmanship, tanning techniques, and the company’s commitment to quality and environmental responsibility.

FOOTWEAR NEWS
Vietnam’s Leather and Footwear Industry Targets $27 Billion in 2024 Exports

  • Ambitious Export Revenue Target:

    • LEFASO projects the leather, footwear, and handbag sector’s export revenue to reach $26-$27 billion in 2024.

    • In the first half of 2024, exports surged past $6.5 billion, a 5.7% increase from the previous year.

  • Strategic Market Focus and Expansion:

    • Vietnam’s major markets include the US, EU, Japan, South Korea, and China.

    • The industry is actively expanding into new markets through free trade agreements (FTAs), covering 60% of global trade volume.

  • Challenges and Opportunities:

    • The sector faces challenges from stringent standards for green development and traceability.

    • Leveraging FTAs like the EU-Vietnam FTA and CPTPP and investing in technology will be crucial for growth and compliance.

Adidas and Nike Veterans Join Portland’s $125M Made in Old Town Footwear Manufacturing Project

  • High-Profile Additions: 
    Eric Liedtke, former Adidas brand president, and Noel Kinder, former Nike chief sustainability officer, are now key figures in the $125-million "Made in Old Town" project in Portland. Liedtke's expertise in circular sourcing and Kinder’s focus on sustainability will drive the project's success.

  • Project Goals: 
    The initiative aims to revitalize nine buildings across four city blocks in Portland’s historic Old Town, transforming them into a hub for sustainable footwear and sportswear production. This effort is set to revitalize domestic manufacturing and set new standards for sustainability.

  • Future Impact: 
    With Liedtke and Kinder on board, the "Made in Old Town" project is poised to be a model for future manufacturing, merging sustainability with innovation in the industry.

LEATHER GOODS NEWS
LVMH Appoints Laura Burdese as the Deputy CEO of Bvlgari to Oversee Leather Goods Business

  • Leadership Change: 
    Laura Burdese has been appointed Deputy CEO of Bvlgari, effective September 1, 2024. She will oversee Bvlgari’s Jewelry, Watches, Perfumes, and Leather Goods Business Units while continuing her role in Marketing and Communications.

  • Strategic Impact: 
    Burdese, who joined Bvlgari in January 2022, led the successful “One Brand Elevation” strategy, significantly enhancing the brand’s image and desirability through a comprehensive renewal.

  • Future Outlook: 

    Jean-Christophe Babin and LVMH have expressed strong confidence in Burdese’s leadership, anticipating continued growth and success for Bvlgari under her expanded role.

INDUSTRY INSIGHTS & ANALYSIS
Bihar’s Shoe Factory Competence Exports Ships 1.5 Million Pairs of Boots to the Russian Army

  • Strategic Pivot: 

    Competence Exports, originally an agricultural goods company, shifted to manufacturing safety shoes for Russian companies in 2018. This pivot proved successful, leading them to expand into high-end fashion footwear markets in Italy, France, Spain, and the UK.

  • Impressive Numbers: 

    In 2023, they exported 1.5 million pairs of boots to Russia, valued at ₹100 crore (approx. US$12.5 million). They aim to boost exports by 50% this year. The average revenue per pair was ₹666 (US$8).

  • Empowering Workforce: 

    With 70% of their 300 employees being women, Competence Exports highlights its commitment to gender diversity. Challenges remain, but the company is optimistic about future growth and infrastructure improvements.

Written, Reviewed & Published by Leathernews.org team

Reply

or to participate.