Italian Textile Exports Fall, Profits Rise

Italian textile and fashion industry revenue rose 3% in 2023 from 2022 to 111.7 billion euros, according to Italian fashion trade body Confindustria Moda.

However, volumes fell significantly; the higher value growth was due to higher sales values. Experts hope this could be the end of the post-pandemic economic rebound. However, the higher income did not reach the pockets of exporters. Instead, they found their profits thinning.

Higher energy and input costs reduce their profits.

The Italian trade body is optimistic that energy costs could return to pre-Covid levels in 2024, but uncertainty remains about the trajectory of raw material costs.

In the first eight months of 2023, exports from the textile and fashion industry increased by 5.1% year-on-year to 54.5 billion euros. Exports to the EU accounted for 47%, while exports to the rest of the world accounted for 53%.

We acknowledge the challenges posed by rising production costs, geopolitical changes and global instability. " said Ercole Botto Poala, President of the Italian Fashion Industry Federation. He said that although the industry is resilient, there is still a need to collaborate and address common needs in training, sustainability and innovation to prepare the industry for future challenges.

Confindustria Moda represents 150,000 textile and fashion companies with a total of 5.38 million employees.