The textile, leather and footwear industry participates with 6.9% in the total achieved production of the industry of the Republic of Srpska, and with 12.3% in the total achieved production of the processing industry. It employs 22.3% of the total number of employees in the manufacturing industry and exports 17.6% of the total exports of the manufacturing industry.
Given the favorable geographical position, this sector is also competitive due to low transport costs, easier and safer transportation, which enables short-term delivery. This sector is further supported by the stimulating tax policy through the application of a smaller base for employee contributions.
Given that the livestock in the Republic of Srpska is significant and has a growth trend, there are real domestic resources of raw wool and raw hides on the one hand and demand for final products on the other, which leaves room for new investments in this area.
The establishment of design and development centers in the Republic of Srpska through the establishment of partnerships between textile companies from Srpska and abroad makes an additional room for investment.
There is also interest in joint investments, where foreign companies would modernize and expand the production capacity of domestic textile companies, through the purchase of new machines, employment and training of new workers, as well as opportunities for greenfield investment in the missing capacities, where foreign companies would build fabric finishing factories, for leather processing, wool processing and plants for the production of fashion clothing of world famous brands.
The Republic of Srpska is recognized as a place of investment by world-renowned companies such as CALZEDONIA, and a partner of some of the world-famous brands (Nike, Adidas…)