İSTANBUL LEATHER FASHION FAIR
WAS A FINAL DECISON-MAKER
FOR INTERNATIONAL BUYERS OF LEATHER GARMENTS

İstanbul Leather Fashion Fair, held in TÜYAP between May 14th and 16th 2009, was the event to make the final decisions for those buyers from Europe and from Northern countries, who were hesitant in
Hong Kong and Milan fairs due to recession.

Leather Fashion Fair, held between May 14th and 16th 2009 in Tüyap İstanbul Fair and Congress Center on a covered area of 7000 m2 with participation of 51 companies, was inaugurated by the head of Turkish Exporters' Board Mehmet Büyükekşi. The inauguration was attended by the chairmen of sector's associations and foundations, as well as several chiefs of administrations and finances, who shared thoughts and ideas about the present situation of the sector, the effects of economic recession and productive solutions.

International buyers of leather garments, avoiding bulk orders due to uncertainties caused by the global economic recession, have preferred to work with Turkish manufacturers, who can offer faster service, higher quality and production in smaller amounts, over manufacturers in countries such as China, which only produce in bulk amounts and are distant from Europe. Buyers from Europe, leather sector's most important export market, made their final purchasing decisions in İSTANBUL LEATHER FASHION FAIR, the last stop of the season, held in TÜYAP between May 14th and 16th 2009.

Turkish leather manufacturers design their own collections so to keep up with the rapidly changing approaches in production, as well as making custom collections for specific buyers to currently increase demand. Now, leather garments find customers not only in leather shops, but in shopping centers and leather sections of department stores, resulting from a growing demand in leather products.

Leather sector, leaning towards the Middle Eastern market during the recession, will overcome recession through discounts.

Export figures of leather and leather products were decreased by 17.7 percent from February 2008 to February 2009. Compared to the decrease of 35.2 percent in Turkey's general export figures over the same period, leather and leather products sector had a more favorable year.

It was striking that February 2009 figures had shown a 22.2 percent increase in exports to Spain, the third largest export market for Turkey; while to Russia, Turkey's largest export market, there was a 10.8 percent decrease.

The highest increase in export of leather and leather products by February 2009 was to the Middle Eastern countries, preferred by the majority of the sector during the economic recession. Export figures to these countries had increased by 26.5 percent by February. Most important markets among the Middle Eastern countries seem to be Iran, Iraq, Saudi Arabia and Israel. There has also been some increase in the export to African countries, attributable to the search of new markets.

In 1998, leather and leather products sector had overcome the recession in Russia by buying cheaper raw material and lowering the prices of their products; and now a similar plan is launched for overcoming the global economic recession that began in 2008 and has severed through 2009. All companies in the sector have offered appealing options to their clients, both in their prices and their collections, in order to reduce the impact of the recession.

It's been pointed out that the most important restrictions faced by the leather sector - that had already encountered a decline in production capacity - were shrinkage in the traditional market, as well as the increase in financial costs, and constrictions in credit volumes.

Presenting Turkish leather manufacturers the opportunity to explore new markets during such milieu of global recession, TÜYAP has become the last stop of 2009 leather season with İSTANBUL LEATHER FASHION FAIR, co-organized by ARTI-F Organizations, and officially supported by all sector related associations under the roof of Turkish Leather Foundation. The fair, only open to leather professionals, had been visited by 4565 people this year, 9 percent of whom were foreigners.

The fair was visited this year by buyers from more than 35 countries, finished-product/brand purchase committees, purchase groups from multi-national large shopping centers and leather stores in touristic areas. İSTANBUL LEATHER FASHION FAIR has brought life to Turkish leather sector at the start of the new season.

Reported by the exhibitors and sector-related associations, all visitors were professionals and were real buyers. The fair was visited by all the purchase groups particularly from Russia's and other Northern countries' high caliber stores, ordering in large quantities. However, there was decrease in ordered quantities. Compared to previous years, fewer visitors came from groups that buy smaller quantities. Information gathered suggests that the recession had a larger impact on these kinds of buyers, and delayed their purchases.