High Heel Shoe blog

Happy Father’s Day!!

First we would like to post an update to a post we made back in November titled Lower Shoe Prices for Who. Earlier this year the Affordable Footwear Act was hoped to become part of the economic stimulus package that went before Congress. Unfortunately it was not included. The AAFA intends to continue to push approval of this act by Congress. Because this bill (H.R. 3934) was introduced in a previous session of Congress, no more action can occur on it. Sessions of Congress last two years, and at the end of each session all proposed bills and resolutions that haven’t passed are cleared from the books. This bill has been reintroduced as S. 730: Affordable Footwear Act of 2009. The latest action was on March 26, 2009 in which it was read twice and referred to the Committee on Finance.The majority of bills and resolutions never make it out of committee, according to govtrack.us.

We have also come upon another interesting bit of news. Back in early February 2009, the Chinese Ministry of Commerce announced that the VAT export rebate for apparel and textiles was being increased from 14% to 15%. It is unknown if this affects the footwear industry, but one would think that it should. The export tax rebate refers to the money the tax authority returns to exporting enterprises for the indirect tax they pay in the production and distribution process. Even if it does not affect footwear, one would think it should affect the price of apparel that is being imported from China. Since the manufacturers are seeing some sort of break in the costs they are incurring to export their goods, couldn’t they possibly pass along a discount to the importers who are purchasing their merchandise? If they could pass along a discount, the retailers should be able to offer some sort of lower price along to the consumers. Rather than seeing any decrease in cost of the merchandise we offer, unfortunately we have seen an increase. We have not passed any of these increase in costs along to our customers at this time, and hope that we do not
have to.

Tags: fashion

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