The export value of the textile, clothing, leather and footwear industry of Bosnia and Herzegovina in the first half of the year amounted to 853,753,261 BAM, which is 124,349,485 BAM or 12.68 percent less compared to the same period last year, while imports were lower by 1,155,498,075 BAM or for 69,426,639 BAM or 5.66 percent.
The coverage of imports by exports in the observed period amounted to 73.83 percent, according to the analysis of the Foreign Trade Chamber of Bosnia and Herzegovina.
The Chamber pointed out that the textile, clothing, leather and footwear industry in Bosnia and Herzegovina faces a number of challenges that affect employment and competitiveness.
The lack of educated personnel in the textile and footwear industry, according to the Chamber, limits the development and improvement of production processes in addition to the already existing lack of specialized schools or educational programs.
The analysis stated that the overcrowding of warehouses on international markets is reflected in the demand for the export of goods from BiH, while high customs duties on the import of raw materials from third countries significantly increase production costs.
The Chamber also noted that the industry is also facing the pressure of automation and competition from cheap labor from other countries, adding that in order to remain competitive, the industry should focus its efforts on improving the qualifications of the workforce, diversifying production towards high-quality products and developing marketing strategies for better positioning in the market.
“Coordinated efforts of the private sector, institutions at the BiH level and educational institutions are key to the sustainability and prosperity of the textile, clothing, leather and footwear industry,” the analysis added.
The textile, clothing, leather and footwear industry in BiH, as emphasized by the Chamber, continues to provide a significant source of employment, especially for those with fewer qualifications, and continues to contribute significantly to the country’s economy.
