Bangkok, Thailand - Nearly 150 leather product manufacturers and related associations, not only from Thailand but also from Hong Kong, Japan and India, will be participating in ‘A Brave New World of Fabulous Fashion’ at the Bangkok International Fashion Fair and Bangkok International Leather Fair 2006 (BIFF&BIL 2006), which will be held from 27 September - 1 October, 2006 at the Bangkok International Trade & Exhibition Center (BITEC).

Forecasting a year-end export value of US$ 1.8 billion, a 15% increase over last year, the total leather industry export will contribute 1.4% to Thailand’s GDP in 2006. The export leather goods industry consists of leather footwear, general leather goods such as handbags, wallets, key chain holders and other leather gift items as well as tannery products.  The main export destination for Thai leather products are the United States, Hong Kong, Belgium, Japan and the United Kingdom, while France, China and The Netherlands have become new potential markets.

Mr. Dhavadh Chiu, President of the Thai Leathergoods Association, revealed: “Thai leather products for the export segment is growing steadily at approximately 3 - 5 percent.  This is the result of a continual demand from satisfied buyers worldwide, who are impressed with the unique creative designs and world-standard craftsmanship that Thailand has to offer.  In addition, the effort and support provided by related state agencies, private sector and other concerned parties have enabled Thai leather goods to become extremely competitive in the world market.”

However, Thai leather product manufacturers are facing not only competition from high-end and low-cost manufacturers in Europe and within Asia, but also the challenges of high production costs from imported raw materials and restrictions imposed by brand owners.  These factors are hindering the implementation of more aggressive manufacturing and marketing policies and plans.

“The world leather market today is still dominated by the Italians, while China is emerging as a key player.  We in Thailand, therefore, have to manufacture more added value products and concentrate more on product development as well as undertake effective marketing and branding strategies to be successful in the near future,” Mr. Chiu commented.

Hence, the Thai Leathergoods Association has teamed up with the Ministry of Commerce’s Department of Export Promotion (DEP) to tackle challenges that Thai leather product manufacturers are facing in

order to develop long-term sustainable growth within the industry.  DEP’s strategies are to encourage Thai entrepreneurs to develop and maintain product quality, produce creative designs and fine craftsmanship in conjunction with developing their own brands and designers in order to enable Thai leather products to sustain competitiveness in the world market place.

Moreover, DEP and the Thai Leathergoods Association initiated the 1st Creative Accessories Contest: Bags and Shoes this year in order to showcase the winning leather products, designed for the European market, at the BIFF&BIL 2006 event in the Design in Thailand pavilion, signifying sincere support from the Thai government to the country’s export leather industry.

The Design in Thailand exhibition is among many other intriguing and creative showcases featuring products and textiles from the Thai fashion and leather industries such as Thai Tex Trend (T3), Thai Cluster, Young Designers Room and OTOP Exhibition, which can be seen at the BIFF&BIL 2006. In addition, local and international fashion specialists will also be sharing their expertise and views at a ‘Fashion Trend Conference in Bangkok’ on September 28th from 1:00 - 4:30 p.m. and again on September 30th from 9:30 a.m. - 12:30 p.m. with fashion professionals and enthusiasts.

For further details and pre-registration of BIFF&BIL 2006, please visit http://www.thaitradefair.com
or email: biff@depthai.go.th or bil@depthai.go.th.

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For further information, please contact:
Piyapatr Suriyasak, Suchada Termtechatipong
Tel:  +66 (0) 2253 6809 – 12 Ext. 107 or 109 Fax: +66 (0) 2253 6805