if it shoe warned that it was “borderline” the Decline in consumption across Europeher auxiliary industryThe company that produces the shoe components claims that it is much worse off because it depends directly on sales of the final product. The industry had to make cuts 25% and 30% production last year already Reduce the number of workers on your staff to survive according to the president Spanish Footwear Components Association (AEC), Manuel Roman.
Difficult panorama, more than enough 2,500 companies Facilities located throughout the province prevent closure due to an irreparable decrease in the number of personnel, allowing companies to continue their activities.
The truth is that the majority of companies dedicated to this manufacturing sector involve both. equipment, screen printing, sole manufacturing and among all the components of a shoe, these are generally Micro SMEs with less than ten or fifteen employees. And with this crisis, patterns cut between 15 percent and 20 percentAccording to Román, who explains that in some cases these employees are rehired, but often this is impossible.
In fact, the 2023 AEC sector report, made public last month, warns that there are already companies forced to reduce production cycles, concentrating on one shift per day; ERES and bankruptcy, According to the AEC president, what happens exceptionally?.
«It all started with Covid, then it continued chained a war With another, prices have become more expensive production and energy costs and these never collapsed, now they are holding back,” states the representative of the constituents.
Price adjustment
With all this, the sub-industry, in addition to seeing its production and workforce decrease, has no choice but to adjust prices to move forward and deal with the excess stock it is suffering from. lack of consumption.
Raw material, energy and transportation costs negatively affected the operational capacities of companies. Increase production costs by more than 80% 2020 to date as stated in the AEC report.
Another problem was the reduction in trade margins of companies, which fell to compete with the decline in consumption and increasing import inflows. Lower cost products from Asia.
Meanwhile, the shoe components employers’ association has also been tasked to continue betting. production in spain Manuel Román admits that they want to go to the markets “because they have the same problems as us.”
Portugal, Morocco, Romania, Germany, France and Italy These are the countries where the exports of this sub-industry are concentrated and where shoes are ultimately produced.
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Lineapelle shoe fairThe fair, which will take place in Milan between 20 February and 22 February, will be an important event for companies as it will serve to determine the future needs of the sector.
Manufacturers already expect much higher expectations. fashion of the futureEurope’s second most important sub-industry fair is held in Fira Alacant (IFA) on 13-14 March.
The participation of more than 300 exhibiting companies specializing in footwear and machinery components promises to offer exhibitors a comprehensive vision of the innovation and quality that characterizes this sector and aims, above all, to serve as a more sensitive “thermometer” of the industry. markets.
Already booked at the beginning of January More than 90% of participating areas This gives companies in the state some hope of moving forward in the face of this environment of uncertainty and industrial, economic and trade deficits that the AEC warned about in its latest annual report.
Other disadvantages: absenteeism and labor
According to the AEC employers’ association, the biggest problems for shoe component companies come from the decline in consumption and production activities, but other obstacles such as the increase in production must also be added. absenteeism in companies. In the shoe and shoe parts industry, this rate affects 10%.
Another obstacle to the sub-industry is lack of skilled labor. According to the 2023 AEC report, the introduction of unskilled staff into the company without the company having a training and education agreement properly drawn up in the collective agreement means an increase in unaffordable costs.