CTC says budget cut would affect entire French leather sector
01/10/2018
The Lyon-based organisation has expressed concern over a government proposal to reduce CTC’s funding for 2019 by €820,000. As part of its proposed budget for next year, the French government has said it wants to cut a total of €10 million from the funding it grants to the technical institutions dedicated to a number of different industries in France, with the leather and footwear body’s share of that cut amounting to €820,000.
In response, CTC has pointed out that the proposed cut would harm its ability to support, with training, research and overseas promotion, the country’s leather industry, which will directly contribute more than €16 million in taxes to the French government in 2018.
“This proposal makes no economic sense,” CTC said, “at a time when the government has also stated its intention to help French companies grow, innovate and transform themselves so that they can increase their export revenues and create more jobs.”
In a joint-statement, CTC president and founder of leather chemicals manufacturer ATC, Jean-Pierre Gualino, and the president of industry body the Conseil National du Cuir, Frank Boehly, said: “The government wants to transform radically our economy and has stated that fashion and luxury will be a strategic sector. It’s inconceivable, therefore, that it should make a budgetary decision that will weaken an industry that encapsulates so well the concept of ‘Made in France’, and will penalise the development of French leather companies.”
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