Fursin: Each Season of Moscow Fashion Week Demonstrates the Growth of Local Brands

Photos: https://disk.360.yandex.ru/d/PVSmyV77IzcE_w

One of the central topics of discussion at the ongoing BRICS+ Fashion Summit in Moscow focused on finding the optimal balance between openness to international players and protecting domestic brand interests. In recent years, Global South countries have actively implemented protectionist measures to safeguard their textile industries, which provide substantial employment opportunities. China, despite its status as the "world's factory," supports its domestic market through strategic subsidies, while Brazil shields its internal market from external pressures by imposing significant tariffs. Other nations employ protectionist policies to boost exports, support emerging sectors, and increase government revenues.

In Russia, the year 2022 reshaped the landscape across all sectors, with fashion being no exception.

"At that time, the industry faced numerous issues that required immediate attention, but our primary focus was promoting domestic brands among local consumers. First and foremost, the consumer base must be local," stated Alexei Fursin, Minister of the Moscow Government and Head of the Moscow Department of Culture, during Friday's plenary session titled "Protectionism or Free Trade. Should National Clothing Markets Be Protected?" 

Fursin emphasized that each season of Moscow Fashion Week has demonstrated consistent growth among domestic brands. "I am grateful to today's participants, especially the international delegation. We observe that not only designers but also buyers are traveling to Moscow for fashion events, and this is becoming a stable, encouraging trend," he continued.

Many Western brands that exited Russia three years ago have expressed renewed interest in returning to the market. As Kirill Dmitriev, Special Representative of the President of the Russian Federation for Investment and economic cooperation with foreign countries, noted during the BRICS+ Fashion Summit, the government will not obstruct their return but prioritizes supporting Russian businesses. 

"Naturally, we must consider what brands exited and under what circumstances. I believe the Russian government will make a balanced decision. Completely protectionist measures do inhibit healthy competition. I anticipate the government will carefully evaluate the conditions under which these brands may return," he explained.

ABEST Executive Director Áurea Yamashita, representing Brazil, shared valuable insights on the challenges local brands face when attempting to penetrate international markets, noting that global competition remains particularly difficult.

"This represents a significant challenge for us because entering international markets is extremely expensive. The costs include taxes and tariffs imposed by our own country. We frequently discuss in Brazil that tariffs must be reduced to help our companies access foreign markets and enhance their competitiveness. Our designers employ extensive handmade techniques, creating truly unique products. Recently, we've increased international sales, but we could achieve much greater success if tariffs were reduced," she explained.