Textile industry accelerating recovery to 2023

The Italian textile industry is getting closer to a full recovery, which is expected in the first half of 2023. This is confirmed by the scenario emerged yesterday during the opening conference of the 35th edition of Milano unica —staged until tomorrow at Fiera Milano Rho— but also by the very numbers of attendees at the fair. 389 companies (there were 465 in 2019), 65 of which coming from abroad, will show their proposals for autumn-winter 2023/24. Figures in hand, starting from the findings of Confindustria moda’s centro studi, after the industry totaled 6.1 billion euros in turnover in 2021 (+15.2% over 2020 and -19.1% over 2019), it is still accelerating in the first quarter with a +34.3% for orthogonal weaving, especially when compared to the -16.3% with which it had closed the same period of 2021 and very close to the numbers of two years ago (gap around -0.5%).

Exports increased to +46.2% (in January-March 2021 they recorded -21.6%) were once again the driver, thanks to Europe and particularly France and Germany, which are the top markets ahead of Romania, the US and China. «We expect steady orders and consumption for textiles this season as well, with a possible acceleration and anticipation of the recovery to the first half of 2023 (with results equal to or already above 2019 levels, ed.)», as explained by Claudia D'Arpizio, senior partner at Bain & Company, who recalled the 279 billion euros recorded in the 12 months by the fashion industry, 163 billion euros by the luxury segment and 116 billion euros by the premium industry, with an overall growth of 28% over the pandemic year. «We are facing a recessionary scenario, although consumption is still very good as well as consumer confidence, and it is difficult to understand the reason why. Investors were also expecting a stronger impact from the Russia-Ukraine conflict. There are several factors: the US is growing increasingly as well as local consumption in Europe, and Japan and Korea are also developing, boosting the Asian region. Clearly, however, question marks remain, such as China's intermittent lockdowns».

The manager then shed light on the various factors that are driving the recovery. On the one hand, there is the demand for a new formal wear that is somewhere between leisurewear and eveningwear, made of soft, less structured fabrics, and conversely for more precious outerwear and knitwear. Added to this is post-streetwear, combining Gen Z and Alpha tastes, as well as subcultures rooted in music and values of inclusivity and community. An additional plus is the return of ceremonies. On the other hand, D'Arpizio brought up the supply chain stress caused by delays and rising costs. «In the medium term we expect a gradual normalization. There will still be three challenges: sustainability, with the will to invest in virtuous companies and create a standard in Italy, investment in R&D for product innovation and talent training». Concepts that were reiterated by Minister Giancarlo Giorgetti, head of the Ministry of Economic Development (Mise), live via video conference: «Italian fashion has shown the ability to overcome difficulties, following the global recovery and taking up the challenge of innovation and transformation of consumption. In the past 17 months we have been working on the issues of digitalization, environmental sustainability and training, key competitive factors. In addition to the NRRP measures, from the end of the summer an industrial transaction fund will be able to accompany entrepreneurs on a sustainable path. I trust in the ability of Italian entrepreneurs in continuing to reaffirm the quality standards recognized worldwide».

As for the exhibition’s expectations: «We estimate to approach 4,500 buyers (there were 5,900 in 2019), also thanks to an incoming operation together with Italian trade agency (ITA), starting with America, Northern Europe, Japan and Korea, while China will be a big absentee. It is an important time to see the collections, the exhibitors have focused in improving their offer», Alessandro Barberis Canonico, President of Milano Unica, explained to MFF. «For the first time we have included sustainability certifiers. This will be useful for buyers to evaluate products, but also for the exhibitors themselves to measure their impact. Another part will be dedicated to start-ups, while in order to support labor recruitment, we will host ITS TAM. We want to attract young people and ensure continuity for the Italian textile industry», the exhibition's President concluded.

SMI and CNMI appealed to the government for the protection of fashion workers 

Sistema Moda Italia (Smi) and the National Chamber of Italian Fashion (Cnmi) appealed to the government for the welfare of textile-fashion clothing workers, in the face of current inflation, with a letter to Minister of Labor Andrea Orlando. «Personnel shortages are crossing the whole of Europe. We must be able to keep people inside the factories and attract new ones. Therefore, we have requested an extraordinary intervention to give companies the possibility, until December 31, 2023, to provide a monthly bonus of up to 100 euros tax-deferred for workers with incomes below 35,000 euros», Smi's President Sergio Tamborini stated. He was echoed by Carlo Capasa, President of Cnmi: «The request comes from companies. It can be an immediate lifesaver while waiting for something to happen. We need to become more and more systemic». (All rights reserved)