Fédic lays out new plan to improve Moroccan leather industry
02/11/2012
So far, 2012 has been a difficult year for the Moroccan industry. Figures for the first nine months show a decline in export earnings of around 17% at $343.3 million (for the entire leather sector). Overseas shipments of footwear, which accounts for 70% of the sector’s exports, declined by 20%, principally because of the downturn in the economy in the European Union, Fédic has said.
The programme envisages locating tanneries in industrial zones in different parts of the North African country. Fédic has estimated that setting up tanneries in this environment will allow some operators to increase their output by around 30%, to make substantial savings in energy and other costs and, as a result, to cut substantially their production costs.
Training will be another benefit of the new programme, making the most of public-private partnerships, with training providers from outside Morocco also making a contribution. Fédic has said it believes better training of leather-sector personnel will lead to better product quality and design. The programme also envisages a far greater presence of Moroccan companies at major international industry events.
Finally, Fédic said it was determined to build into the programme a set of measures to boost the business of small and medium finished goods manufacturers in the leather sector. “A large number of enterprises is involved,” the organisation has said, “often working informally. The region around Fès has around 6,000 small operators and Casablanca has between 2,500 and 3,000.”
It said that, on average, these companies employ around 20 people each and, collectively, account for around 80% of Morocco’s entire footwear and leathergoods output aimed at the domestic market. It wants the new programme to make it easy for these companies to “formalise their structures”.
Fédic has pointed out that raw material provision is strong. In 2010 and 2011, when exports of finished products went into decline, exports of hides and skins increased by 64% in volume and by 93% in value. The organisation has concluded that the future health of the industry depends on better connections between local tanners and finished product manufacturers. It believes its new improvement programme can bring this about.
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