Slow growth for Thai leathergoods exports
An official from Thailand’s department of export promotion said during the country’s Leather Week, which started on June 25, that it Thai leathergoods exports were only expected to increase by 1% this year. Exports for the year are expected to total 46.7 billion baht ($144.4 million).
Currency effects and ongoing economic problems in Europe and the US hampered exporters during the first quarter, it says. Leathergoods, travel goods and shoe exports fell 0.7% to leather goods, travel goods and shoes driven by a 21% decline in sales to the US.
The main markets for Thai leather goods include the US, Denmark, Hong Kong, China, the UK and Japan. However, the department is encouraging leathergoods manufacturers to branch out into new markets such as the Middle East, Singapore, Malaysia, Cambodia and Vietnam as well as trying to add value to their products. While its exporters struggle to compete with Chinese leathergoods in terms of price, the ministry believes excellent design, quality goods and reliability will be key to the survival and success of these companies.
