Shortage in raw materials, rising cost

Hi guys,

today I’d like to gain some more transparency as far as raw materials are concerned.
During the last 2 years we experienced an unprecedented rise in cost of plastics, steel
and even some natural materials like wool and wood fiber. In some plastic resins there
are even shortages in the market.

I am talking about Germany and Western Europe here.

But I’d like to hear how my international collegues sense the situation, today. Is the
shoe production in China already slowed down by short suply of any kind?

mo-i

I know that my company is feverishly trying to figure something out with the rise in cotton prices (we do a lot of softgoods). It sounds like a financial nightmare trying to keep costs low when the raw materials have been skyrocketing. This has been a problem in every country we source from (Egypt, china, india, ect). It has caused some slight delays, but overall if you have the money for them they will find the cotton somewhere it seems. I believe we have had to become slightly flexible as far as the details of the cotton (320 TC vs 300 TC) in order to get a final product though.

. I believe we have had to become slightly flexible as far as the details of the cotton (320 TC vs 300 TC) in order to get a final product though.

That’s our problem. We can’t change the type of plastics or wood we are using, since those
are exactly specified for technical and aesthetical reasons.

How does your audience react to the change in material. Do they even know?

mo-i