Lineapelle looks back on lacklustre third quarter

24/10/2003

In advance of next week’s show, the organisers of Lineapelle have issued their market trends report for the third quarter of 2003. In terms of raw materials, improved prospects for the global economy helped boost mainstream prices, reversing the downward trend previously seen. Though raw hides/skins prices remained stable a slight decrease on the previous quarter was seen in bovine hides and calf skins while sheepskin prices edged upward. The upward price trend was broadly in line with other commodities such as oil and wool.

 

With regard to leather manufacturing, mean turnovers were down compared with the year before, the only growth being in sheep and goatskins. Calf and bovine leathers were both down, the only interest in the latter being seen from Far Eastern manufacturers. Demand for medium-priced products was generally poor while the long term outlook for fabrics, synthetics, footwear accessories and bottoms/soles remained gloomy.  The Far East and Eastern Europe were the only markets to show any signs of growth.

 

In terms of manufactured goods, footwear output was down on the year before as Chinese manufacturers recovered quickly in the wake of SARS. Consumer demand slowed in Italy, Germany and Portugal, though the US performed comparatively well.  Output of leather goods was in better shape giving a stable outlook in the near term, though no let up was seen in the expansion of Far Eastern output.  Garment production was down on the year before with the lower ranges being especially badly hit. Of the leading producing nations, only Turkey managed to raise its output.  Demand from Italian furniture manufacturers fell, especially those serving the lower regions of the market.