Consumer goods industry as a foundation of the economic growth: the “INTERFABRIC-2024. Autumn”s plenary session summary

12.09.2024 г.
The plenary session «Systematic cooperation of the large scale and consumer goods industry manufacturers from CIS and SCO countries during the global economic restructuring» took place at Moscow Expocenter 10th of September. It was an opening event of the Russian textile and consumer goods industry week that embodies the “INTERFABRIC-2024. Autumn” and “TEXTILE&HOME-2024. Autumn” exhibitions.

The event was moderated by the famous TV broadcaster and journalist Dmitry Guberniev.

The Chief Executive of the Russian Union of the large-scale and consumer goods industries’ entrepreneurs (SOUYZLEGPROM), Andrey Razbrodin, opened the session. He pointed out a need for cooperation with CIS partners in order to successfully develop the industry. He elaborated on the Industry development strategy until 2035 created last year by SOUYZLEGPROM along with the national research university Higher School of Economics. Before it came out, a deep analysis of almost every division of the industry was made.

“We need not only to develop the strategy but also approve it on a nation-wide level - then only we will be able to come to the well-arranged evolution based on our deliberate advantages.” - Andrey Razbrodin emphasized. “We kindly ask our colleagues from the Federation Council and State Duma for an opportunity to discuss our strategy during the future proceedings.”

There are many successful cases of developing wool production. Less than 2 years ago many farmers were forced to utilize up to 6 tonnes of wood, while fabric manufacturers imported materials from abroad. However this January we presented the road map showing creation and development of wool clasters. Dina Oyun, the Senator of the Russian Federation and a member of the Council of the Federation Budget and Financial Markets Committee marked significant changes of the situation and shared her experience in this regard.

ON9A0273_news3.jpg“Within the scope of my wool cluster work I twice a year not only attend “INTERFABRIC” expo, but also join numerous stock-raising forums. Inviting representatives of the consumer goods industry to these events becomes a new trend and also helps them to meet the wool manufacturers face to face and see raw materials that in future transform into fabrics.” - the Senator claimed. According to her opinion, fabric exhibitions should also invite primary producers in order for them to see the finished fabric.

Alexander Murychev, the Vice President of the Russian Union of Industrialists and Entrepreneurs on financial politics and economic sectors development, touched on the small and medium businesses issues. During the last couple of years the consumer goods industry faced numerous challenges and the leading place belongs to equipment procurement. The cost of such expenses has tremendously increased and 80% of the industry is stuck in regards to their development because of the high rate of interest that sometimes comes to 18%. The consumer goods industry market would have a faster development without these limitations. Regardless of the active State support for the Import Substitution Program there are many delaying factors such as absence of tax concession, Alexander Murychev said.

The Ministry of Industry and Trade’s Consumer goods and timber industry Division Director Vera Khmyrova spoke on the growth prospects of the consumer goods industry. In her opinion it will move in a mass market oriented direction. People are in need of the not expensive clothes of high quality, because according to statistics 60% or the population still buy their clothes at flea markets. The main sales are places there, that's why Russian manufacturers ought to suggest the same popular low-margin product or they will go bankrupt - Khmyrova considers. We are currently facing many difficulties competing against foreign manufacturers for the market values, as they run at high speeds.

According to Ermek Omuraliev, the Counselor of the Kyrgyz Republic in Russian Federation, manufacturers from former union republics face similar challenges. He marked the importance of both countries' cooperation. Our garment textile industry is always ready to interact with Russian partners. Kyrgyz textile enterprises receive making-up orders from the European brands. As a result our sewers are forced to buy Chinese and Turkish fabrics at a higher price. When all the doors are closed you can use a window and Kyrgyz manufacturers are ready to be the one for Russian partners.

The event went with full attendance primarily because the wide range of the currently central topics discussed by our speakers aroused spectator interest among the plenary session participants. That is another proof of the dynamic of the industry and its strategic importance for the economy of the country as a whole. There are still some issues that have to be solved and there is a need for in-depth and continuous cooperation between the state and industry in order to reach maximum effect. Besides Russian consumers are in obvious need for the clothes manufactured at domestic fabrics and “INTERFABRIC” expo positively responds to this request.


Sign up for the newsletter to be the first to receive news of the exhibition:
Get a ticket