Italian tanners’ association Unic held their annual meeting in Milan on June 22. Incumbent president Lorenzo Mosconi handed over to Graziano Balducci of Conceria Antiba. The meeting heard that 2006 drew to a close in a positive light with a clear growth in production, 8.5% in volume and 9.4% in value. It is viewed as a sort of return to form after at least five years of successive decline. In 2006 Italian tanners exported 65% of their production (which is corrected to 50% if you take into account purchases by Italian owned overseas ventures). Exports are up 7.5% on 2005, despite the euro/dollar exchange rate and increased costs.

Buyers, particularly in Italy, refuse to absorb any part of this increase and are even asking tanners for longer payment terms. It was also stated that Italian tanneries face higher taxes than other industrial sectors, particularly in Lombardia and Campania. In terms of production, Veneto is still the region which leads the way, with 54% of the overall invoiced amount/revenue. There is high demand within Italy for high quality leathers, particularly veg-tanned, and fashion has seen a definite shift towards varnished (patent) and laminated in the second half of the year. Bovine hides remain the core of Italian business, while calf and sheep and goat are popular on the raw hide market. Many Tuscan tanneries have shifted focus from calf to sheepskins, purely as a result of the shifting market.