ICAC notes downslide in Italian cotton sector during 2005
30 Oct '06
3 min read
The Italian cotton industry (yarns and fabrics) in 2005 continued to reflect the negative performance of both Italian downstream sectors and main export markets.
Anyway, while physical production showed a -9 percent decrease, figures for turnover have been less impressive (-2 percent, even if difference in performance between single firms have never been so huge) and the 3.9 billion euro of generated turnover has still granted a significant support (around 10 percent) to total sales of the Italian textile-clothing pipeline.
This difference in quantities and values outcomes reflects the significant increase of average prices of Made in Italy products that's, in turns, has to do with the (tremendous) effort Italian firms are doing to enhance quality and to escape disruptive price wars (not only with emerging producers, but also among them).
Even in 2005, the largest downturn in production (-11.7 percent) was posted by the cotton spinning sub-sector where output dropped to 171 thousand tones owing to weak demand by leading costumers: weaving (where the denim industry has suffered more than shirts' one) and, above all, knitting.
The “best” news from the industry arises from estimated end-year order portfolio which seems consistent with a forecast of a slow recovery during this year.
Final year-end results have been negative also for the cotton weaving sector(-6.3 percent percent, to 175 thousand tonnes). Even in this case, no sub-sector has been able to escape downturn pressures; anyway worst performances have been recorded in denim-type weaving.
marketing@alchempro.com
