Sector profile COSMETICS AND PERFUMERY INDUSTRY by liv11283

VIEWS: 132 PAGES: 6

									Italian Trade Commission
Sydney Office



           Sector profile: COSMETICS AND PERFUMERY INDUSTRY


Sector:          Cosmetics and Perfumery
Language:        English
Date:            August 2009
Trade analyst:   Loredana Di Nunzio




Overview

The Australian cosmetics and toiletries industry has domestic sales of approximately A$5 billion
per annum. In 2007-2008 the cosmetics, perfume and toiletries manufacturing industry was
estimated to have been worth A$1,565 million (revenue plus imports less exports) and employed
about 4,600 people.
In terms of export, the cosmetics and toiletries industry had exports of A$398 million in 2007-08.
This was an increase of over eight per cent on the previous corresponding period and indicates
the industry continuing strong export growth.
In the international market Australia is known for its body care, hair care, and salon products as
well as cosmeceuticals and dermatologist lines.
Australian products achieve global success because of their reputation for being clean and green.
We are also known for our natural and organic products. Our cosmetics and toiletry products
have been developed to counter adverse effects of sun, humidity and varying climatic conditions.
As a result Australia is a highly respected supplier of sun protection and sunless tanning products
that are recognised for their adherence to stringent standards as well as their anti-ageing
properties.
Australia has the advantage of a variety of climatic conditions suitable for growing a wide variety
of raw ingredients, essential oils and bush essences. The Australian sheep industry provides
lanolin, a highly prized ingredient in Asia.

Key growth areas are in products such as:
     • Men’s grooming products
     • Baby products
     • Anti-ageing and dermatological products
     • ‘Doctor brands’
     • cosmeceuticals
     • sun care

There is also a growing demand worldwide for natural skincare and body products. Recent years
have seen growing demand levels for natural products containing vitamins and minerals and
consequently there is strong domestic and overseas interest in Australia’s skincare products,
which use local botanical ingredients such as tea tree and eucalyptus
                             Sector profile: COSMETICS AND PERFUMES
                                               INDUSTRY


For those who want a more scientific approach, many Australian cosmetic products are based on
research undertaken by Australia’s Commonwealth Scientific and Industrial Research
organization (CSIRO), including lines produced by Ultraceuticals and Beta Alistine.

For all exporters it is important to recognise that world-class packaging and presentation are
essential. Safety issues have also become important especially in China.
Beauty salons and spas are also a growing trend worldwide and Australian companies are
successfully exporting in this area.
Top markets for Australia exports include New Zealand, USA, UK, Hong Kong, Singapore, Japan,
Taiwan, India, South Korea and Malaysia. New emerging markets are China, Denmark, Norway
and Thailand, which are demonstrating strong opportunities for the Australian cosmetics industry.
However, it is important to highlight that in Asia, bigger customers are looking for well known
“established” brands or brands with clear unique value propositions.
To help with exporting, in 2008, many Australian cosmetic companies showcased their products
at the Cosmoprof trade fairs in Italy, Asia and North America as well as Beauty World in the
Middle East.


Volume of trade import/ export

                                          World Trade Atlas
                                          Australia - Imports
                                     33 Perfumery,Cosmetic,Etc
                                    Millions of Australian Dollars

         Country
Rank         -            Jan-Dec 2006                 Jan-Dec 2007           Jan-Dec 2008
   0 The World                1176.229451                        1219.542803 1267.331963
   1 United States             353.475384                         338.944062    359.595706
   2 France                     188.98328                            206.7997   208.075639
   3 China                      76.756922                           91.152397   101.534343
     United
   4 Kingdom                    107.163839                            110.196792     95.161284
   5 Thailand                    66.447764                             91.315924     92.223152
   6 Germany                     53.856028                             66.178589     75.522985
   7 Italy                       48.178565                             48.764028     48.618067
   8 Singapore                   42.230984                             39.057574     44.555282
   9 Spain                       29.290098                             28.429064     29.034452
  10 New Zealand                 25.261634                             26.245277     23.117286
  11 Belgium                     15.909853                              19.17837     19.245301
  12 Switzerland                 24.123535                             20.054798     18.258212
  13 Ireland                     12.516725                              9.262268     15.706068
  14 Canada                      16.625474                             15.646782     14.771234
  15 Netherlands                  7.307794                              8.224501     10.695982
  16 India                          7.7631                              8.065801     10.663986
  17 South Africa                  9.48125                             13.047502     10.568553
  18 Malaysia                     8.553364                             10.133466     10.076357
  19 Philippines                  0.566287                              2.974363      9.876122
  20 Japan                        8.117203                             11.714013      6.871154

Source of data: Australian Bureau of
Statistics
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                              Sector profile: COSMETICS AND PERFUMES
                                                INDUSTRY



Volume of trade with Italy

                                               World Trade Atlas
                                         Australia - Imports from Italy
                                         Millions of Australian Dollars

 HS         Description          Jan-Dec 2006              Jan-Dec 2007        Jan-Dec 2008
      Italy                         4485.713082                    4835.852818   5334.43528
      33
      Perfumery,Cosmetic,Et
      c                                48.178565                       48.764028   48.618067

3304 Beauty Products                   23.222428                       19.615905   20.323002
3305 Hair Preparations                  10.28555                       11.438034   13.144029
3303 Perfume,Toilet Waters              11.37658                       13.129658   10.957372
3307 Shaving,Bath,Deod0R                1.335304                        2.588818     1.80613
3301 Essent Oil Resinoid                1.262751                        1.092305    1.253794
3306 Preps,Or/Den Hyg;Flss              0.413173                        0.541185     0.74631
3302 Odorif Mx;Rw Mat F In              0.282779                        0.358123     0.38743

Source of data: Australian Bureau of Statistics




                                              World Trade Atlas
                                              Australia - Exports
                                            3304 Beauty Products
                                        Millions of Australian Dollars

Rank       Country              Jan-Dec 2006               Jan-Dec 2007         Jan-Dec 2008
   0 --The World--                   149.913425                      155.97075    166.029834
   1 New Zealand                      49.348645                      54.850194     55.522541
   2 Hong Kong                        15.377109                      15.554319      17.83222
   3 United States                    17.866885                      16.946396     13.520916
   4 United Kingdom                   13.498031                      11.513194     12.937407
   5 Taiwan                            6.423868                       7.616291       9.19952
   6 Korea, South                      8.043628                       6.351445      8.793221
   7 Singapore                         6.354321                       6.576917      8.135822
   8 Japan                             6.765603                       7.437896      7.752512
   9 Malaysia                          3.807446                       3.764431      5.717295
  10 United Arab Emirates               1.73925                       2.156097      3.213682
  11 Thailand                          1.916851                         4.30739      2.24997
  12 Denmark                           0.907713                       1.245796      1.761277
  13 Germany                           1.388056                       0.451801      1.509564
  14 Fiji                               1.62023                       2.334415      1.491181
  15 France                            0.907603                       0.917492      1.421537
  16 China                             0.982475                       1.448773      1.309595

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                              Sector profile: COSMETICS AND PERFUMES
                                                INDUSTRY

   17 Canada                             1.315163                      1.198624   1.182108
   18 Norway                             0.558255                        0.4405   0.996035
   19 Ireland                             0.73709                       0.88079   0.942015
   20 Netherlands                        0.436067                      0.726585   0.675223
   21 Greece                             0.601517                      0.500311   0.667137
   22 Iran                               0.784606                       1.12531   0.663028
   23 Saudi Arabia                       0.456221                      0.816748   0.572206
   24 Philippines                        0.670125                      0.708525   0.551272
   25 South Africa                       0.286845                      0.579938   0.527037
   26 Turkey                             0.202615                       0.31148    0.51623
   27 Bahrain                            0.267427                       0.24967   0.408252
   28 Israel                             0.098434                      0.263138   0.307048
   29 Spain                              0.000235                      0.077706   0.274328
   30 Switzerland                        0.115122                      0.030485   0.272014
   31 Papua New Guinea                   0.235732                      0.280674   0.257039
   32 India                              0.070707                      0.101811   0.244882
   33 Maldives                           0.194027                      0.144902   0.244002
   34 Ukraine                                   0                      0.035292   0.238136
   35 Qatar                               0.06586                      0.236423    0.21834
   36 Cambodia                           0.021958                      0.081273   0.215624
   37 Belgium                            0.190784                      0.056099   0.209017
   38 Hungary                            0.379484                      0.241068   0.194765
   39 Russia                             0.153892                      0.178582   0.177926
   40 Cyprus                             0.325732                      0.250457   0.172894
   41 Jordan                             0.151889                      0.094914   0.162552
   42 Kuwait                               0.0793                      0.375905   0.162299
   43 Czech Republic                     0.050731                      0.083964   0.161797
   44 Brunei Darussalam                  0.114299                      0.095805   0.155691
   45 Latvia                             0.163501                      0.463961    0.15309
   46 Norfolk Island                     0.137115                      0.165926   0.149064
   47 French Polynesia                   0.062292                      0.082886   0.139638
   48 Italy                              0.336488                      0.355811   0.137266
   49 Mauritius                          0.037438                      0.060443   0.111821
   50 Sweden                             0.053386                      0.079965   0.104433



Source of data: Australian Bureau of Statistics




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                              Sector profile: COSMETICS AND PERFUMES
                                                INDUSTRY



                                         Australia - Exports to --The World--
                                           Millions of Australian Dollars

 HS        Description           Jan-Dec 2006                 Jan-Dec 2007          Jan-Dec 2008
      The World                       163753.78                          168384.9522 222340.9155
      33Perfumery,Cosmetic,
      Etc                             372.941886                            399.510959     429.451205

3304 Beauty Products                  149.913425                             155.97075     166.029834
3305 Hair Preparations                 75.396017                             82.551952      74.134159
3307 Shaving,Bath,Deod0R               55.696196                             55.483924      72.712358
3301 Essent Oil Resinoid               38.170553                             40.976159        46.6458
3302 Odorif Mx;Rw Mat F In             28.186521                             29.980255      34.224318
3306 Preps,Or/Den Hyg;Flss              12.75905                             17.624973      20.959241
3303 Perfume,Toilet Waters             12.820124                             16.922946      14.745495

Source of data: Australian Bureau of Statistics



Government policies & information

Links to Government Departments and their applicable legislations re cosmetics.

The ACCC has a lot of useful information about product safety, liability, definitions of
what is a cosmetic and mandatory labelling requirements:
http://www.accc.gov.au/content/index.phtml/itemId/268708 - Product Liability
http://www.accc.gov.au/content/index.phtml/itemId/323594 - Cosmetics and toiletries:
ingredient labelling, product information a mandatory standard guide. A booklet can be
downloaded that explains the standard, the responsibilities of suppliers and retailers under
it, and the ACCC role in enforcing it.
http://www.accc.gov.au/content/index.phtml/itemId/614012 - Cosmetics and toiletries—
ingredient labelling (Trade Practices Regulation—SR 1991 No. 327 - as amended by SR
1998 No. 364 - dated 22 December 1998). This includes the definition of what is a
cosmetic and how it should be labelled. The Consumer Affairs Division, Department of
Treasury is also a useful contact. (02 62632763).
The National Occupational Health and Safety Commission (which replaces Worksafe
Australia) deals with permissible ingredients in cosmetic products.
http://www.nohsc.gov.au



Duties, customs & quarantine

All exporters to Australia must comply with certain requirements, including customs, quarantine
and labelling.
General information can be obtained from the website of the Australian Government/Australian
Quarantine and Inspection Service: www.daff.gov.au

(For more detailed and specific information please contact ICE.)
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                               Sector profile: COSMETICS AND PERFUMES
                                                 INDUSTRY



Industrial associations

Cosmetic Toiletry and Fragrance Association of Australia Inc (CTFAA)

Cosmetic Toiletry and Fragrance Association of Australia Inc represents the Australian
cosmetic, toiletry and fragrance industry.Contact details:


             Level 9, 140 Arthur Street
Location:
             North Sydney NSW 2060
             Private Bag 938
Mail:
             North Sydney NSW 2059
Phone:       (02) 9927 7370



Trade fairs


17 – 18 Apr      Melbourne         International Beauty Expo (IBEM)
www.internationalbeautyexpo.com.au

12-14 Jun       Sydney                    Hair Expo
www.hairexpoaustralia.com

08-09 Aug      Sydney                     International Beauty Expo
www.internationalbeautyexpo.com.au



Magazines & reviews

Vogue
        www.vogue.com
Marie Claire
       www.marieclaire.com
Bazaar
       www.harpersbazaar.com
Elle
       www.elle.com
Fashion
       www.fashionmagazine.com
Vanity Fair
       www.vanityfair.com



List of local importers

A detailed list of local importers and dealers called “lista nominativi a maggior detagglio” can be
requested from the ICE Sydney Office at a cost of EURO 130,00.

For all services please see www.ice.it
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