Porto, Sept. 4, 2024 (Lusa) - Portugal's footwear industry has seen the creation of 45 new companies and the closure of 25 since the beginning of this year, according to data from consultancy firm Informa DB cited by the main sector association, for whom this is "further proof" of the sector's "vitality and renewal".
According to the Portuguese Association of Footwear, Components, Leather Goods and Their Substitutes (APICCAPS), 433 footwear companies have been created in Portugal since 2019, while 417 have closed down, in what the group describes as a movement of "renewal of the sector's business fabric" in recent years.
"With the exception of the first year of the pandemic, in all the others there has been a positive balance in terms of the creation of companies," APICCAPS spokesman Paulo Gonçalves told Lusa.
According to Gonçalves, the new companies that have emerged are "new generation and technology-based, more focused on the commercial area, services, brand promotion or even the production of customised footwear."
Arguing that this "is further proof of the vitality of the footwear sector in Portugal," the APICCAPS official recalled that "over the last five years, even in a particularly adverse international climate, the footwear sector has continued to strengthen its position in the European context" and continues today "to be a strong reference in Europe."
Based on data from the Word Footwear Yearbook, APICCAPS points out that "Portugal continues to consolidate its position on the international competitive scene."
Since 2018, footwear production in Portugal has increased by 1.3% in volume to 81 million pairs last year, which compares with a 20% drop in Spain's industry, to 80 million, and a 19.6% drop in Italy's, which produced 148 million pairs in 2023.
"In practical terms, in Europe, only Portugal has increased its footwear production," the association spokesman pointed out, emphasising that “the Portuguese industry now accounts for practically 20% of European production.”
And while Portugal's output fell by 3.6% last year, it still caught up a little to Italy's, which fell by 8.6% in the same period.
Compared to Spain and Italy, APICCAPS notes that Portugal also "wins in the average size" of companies.
According to Eurostat, at the end of 2022 - the latest data available - 2,428 footwear companies were registered in Portugal, responsible for 41,170 jobs, which compares with 2,808 Spanish companies (employing 26,622 workers) and 6,381 Italian companies (with 73,218 workers).
"Having done the maths, one of the peculiarities of the Portuguese footwear industry is the average size of its companies, which is considerably larger than that of foreign competitors," noted Gonçalves. "Each Portuguese company employs an average of 30 workers, while the Italian companies only employ nine and the Spanish six."
For the APICCAPS spokesman, "this is the result of continued investment by the footwear sector in Portugal, in the definition of an ambitious vision and in adjusted public policies, which have allowed the sector to reposition itself on the international competitive scene.
"Regardless of the complex economic cycles, we continue to invest in our industry," he said, highlighting the “two major projects underway as part of the PRR" - the Recovery and Resilience Plan - which involve an investment of €140 million by the end of next year, and the €600-million investment planned by the end of the decade in the sector's new strategic plan.
"This is a strong demonstration of confidence in the future of our industry," he emphasised.
PD/ARO // ARO.
Lusa
