Fashion spending will grow by 9% compared to 2021, according to projections from the Fashion Observatory, carried out by Inexmoda in partnership with Raddar and Sectorial.
Total fashion exports will grow by 12% according to this same study.
Inexmoda calls on the companies of the Fashion System to strengthen their business models, understand the context and enhance the opportunities in the industry.
The Colombian Fashion System will reach a market size of 30 billion pesos by the end of 2022 according to the Inexmoda Fashion Observatory in alliance with Raddar and Sectorial, growth that is located 9% above 2021 and that evidences the upward trend in the textile-apparel industry, even exceeding pre-pandemic figures, with 29% growth compared to the end of 2019 .
What is this projection due to?
According to the same study, aspects such as the total return to face-to-face attendance and the recovery of employment are some of the main factors that have driven fashion consumption after the spending dynamics evidenced during the pandemic and the reactivation stage, a period in which that the expense was destined mainly to essential baskets (food, health, services for the home).
On the one hand, the total return to face-to-face (attendance at work, university, school, the gym, vacations) has generated needs and new occasions for use for consumers, reactivating fashion spending mainly in categories such as: articles and personal accessories, jewelery and costume jewelery with growth of 38%, clothing and footwear services with an increase of 30% and household linen with growth of 27%.
Regarding the relationship of fashion with employment levels, DANE figures indicate that pre-pandemic employment levels recovered, boosting household spending on non-essential baskets, within which is the “fashion” category.
“The growth figures of the Fashion System in the domestic and international market are very satisfactory and place the sector in a context of opportunities; Likewise, the industry must be attentive to the variations of a market that is fluctuating rapidly to strengthen its business model and thus be able to adjust to new realities that affect consumers and the global market on a daily basis, such as inflation, supply restrictions and the labor shortages affecting the sector. stated Sebastián Díez V. executive president of Inexmoda.
How are the exports?
The international panorama continues to be encouraging for the Fashion System in Colombia. By the end of 2022, a growth in exports of textiles and clothing of 12% is forecast compared to the year 2021 . This behavior confirms the positive trend of the market, even exceeding pre-pandemic figures: between January and August 2022, exports of this category grew by 22% compared to the same period of the previous year and 11% compared to 2019.
This behavior reaffirms the opportunity to strengthen relations with trade partners such as the United States, Ecuador, Peru and Mexico, which are consolidated as the main destinations for Colombian exports with a share of more than 60%.
The growing trend of exports also shows the competitive advantage that Colombia should take advantage of. The strategic location, the creative skills that the country has developed, the quality of production and the flexible minimums are some of the attributes that put the country in the sights of buyers of textiles and clothing, as well as international brands that seek to relocate production to respond quickly to the region’s demand.
Likewise, the price of the dollar will play in favor of exports and will put Colombia in a competitive scenario to do business with international markets. In this sense, Inexmoda highlights the importance of boosting commercial scenarios that promote the Colombian Fashion System such as Bahari Moda Expo 2022, a fair held by Inexmoda and Corferias to promote resort fashion, and Colombiatex de las Américas 2023, which will open the commercial calendar for next year. presenting the most complete supply of inputs, textiles and machinery in Latin America .
In conclusion, Inexmoda projects a positive year-end, with encouraging figures for the fashion industry, which will serve to leverage the economic growth of the country and companies.
