In the near future, prices for Russian-made shoes will rise by at least 25%, said Natalia Demidova, director general of the National Shoe Union.
This is due to the fact that Russian products at 70 – 80% consist of imported components. “If there are subsidies in agriculture and pharmaceuticals, import substitution is in place, then in the light and footwear industries there are no additional subsidies and subsidies. And there is no particular prospect for import substitution. The country lacks a serious infrastructure for components. With such a volatility of the ruble, with such a devaluation, prices cannot but rise, ”says Demidova.
The pricing is also affected by the fact that there are more imports on the Russian market than domestic goods, the head of the union noted. Russian shoes in stores only 10 – 15%.
Meanwhile, 85% is a product brought into the country by legal and illegal means. “The largest suppliers are from Southeast Asia. This is somewhere 80%, then Turkey, a little imported from Germany and Italy. By the way, in our market 45% of shoes is smuggling, goods imported without payment of customs duties or incorrectly declared. Among such shoes, there is also a health hazard, ”said Demidova.
She also said that Russian manufacturers represent a narrow range of shoes on the market, and this also affects the competitiveness of domestic products.
“For the most part, Russian shoes are men's assortment, these are casual shoes, heel shoes are practically absent. Also, there is no specialized footwear for sports, there is simply no modern technology for its manufacture, ”said the head of the trade union.
Prices are also affected by significantly reduced consumer demand. According to Demidova, sales fell significantly last year, and in the near future they are unlikely to grow.
In a difficult economic situation, the buyer votes in rubles and chooses the most affordable shoes, said Demidova. In addition, the production of domestic shoes is declining, she says.
“Leather shoes we produce about 20 million pairs a year, including for state orders. And there is no growth in production, and over the past few years, production has even declined. We produce 13 million pairs of children's shoes, despite the fact that we have 25 million children. A child needs 6 pairs a year, i.e. we also produce only 10% of total consumption, ”the general director of the National Shoe Union concluded.