Future of Australia’s shoe manufacturing

http://www.ibisworld.com.au/pressrelease/pressrelease.aspx?prid=194

revenue for Australia’s footwear retailing industry fall by 2.9% in 2008-09 to $2.48 billion; and revenue for footwear wholesalers fall by 2.7% to $1.49 billion.

At present, the local shoe market is flooded with imported products, and in 2009-10 IBISWorld expects imports to make up a staggering 76.6% of demand, with 60% of all imports coming from China.

The dominance of low cost foreign competitors, tariff reductions and import penetration has seen the structure of the industry change - and in the five years to 2008-09 revenue in the footwear manufacturing industry has declined by an annualised 7.9%,”

adult males spending an average $85 last financial year on shoes, compared to women’s $173.

Currently, women’s footwear accounts for 50% of the market’s product share, Men’s footwear accounts for half the total product share of women’s (25%), also noted that the smallest size soles presented a new opportunity for footwear manufacturers, with children’s and infants’ shoes now accounting for 18% of the market, growing from an almost non-existent base.