Leathergoods prices soar as hides slump
It’s not been the best start to the year for many retailers in Europe as consumers begin to tighten their belts in reaction to rising fuel costs and economic uncertainty. Unfortunately the latest figures on wholesale prices released by Statistik Austria will do little to ease their concerns.
While wholesale prices in Austria rose 1% month-on-month from December to January, a year-on-year comparison revealed an 8.3% increase from January 2007 to January this year, the highest annual change rate since 1981.
What is even more concerning is that leathergoods topped the list of sectors reporting the highest rises, with prices rising a massive 8.3% between December 2007 and January this year alone, which was in sharp contrast to the trend seen in hides, skins and leather, the wholesale price of which dropped 17.4% year-on-year.
