Sourcing & Compliance

2.35 Billion Pairs of Shoes Were Imported into the U.S. in 2016

99% of all shoes sold in the U.S. are imported, with 2.35 billion pairs of shoes imported in 2016. That amounts to 7.5 pairs of shoes for every man, woman, and child in American in just one year. China remains the largest source country for American imports at 70% of all imports, followed by Vietnam at 15% and Indoesia at 3%. The remaining 5% are split among many different nations based on production costs, capacity, and trade agreements. 25 million pairs of shoes are annually produced in the U.S.

 

Footwear sourcing has become increasingly complex, as footwear manufacturing is shifting around the globe.  Social compliance and factory performance issues also continue to be a priority for the footwear industry.    As a result, FDRA has developed robust sourcing and compliance programs aimed at helping footwear sourcing and compliance executives and managers understand shifts and trends, and how to best address challenges.

 

Below you will find information on FDRA’s sourcing and compliance initiatives and programs, including FDRA’s factory program, its Footwear Production Code of Conduct, sourcing resources, and insights via FDRA’s Shoe-in Show podcast.  If you have questions about footwear sourcing and/or social compliance, or need assistance, please contact us.

Footwear Production Portal

Footwear sourcing and compliance professionals seeking in-depth data, training, trends and insights can go to our dedicated portal FootwearFactoryCompliance.com.  This website houses our online compliance training, our monthly data reports, as well as interviews and podcast episodes to keep you up-to-date.

For FDRA, Enhanced Factory Conditions are a Priority

The vision of FDRA and its members is to have safe and dignified working conditions for all workers throughout the global footwear supply chain.  Its mission is to drive positive change in footwear factories worldwide through the development and execution of shared standards driving continuous improvement in working conditions, health and safety, and environmental stewardship.

FDRA’s Code of Conduct

FDRA analyzed over 25 company codes of conduct and created an industry-wide standard for footwear factory compliance. You can find FDRA’s code below as well as the companies who have adopted the code and pushed it out to their global factories as the industry’s standard.

Recognized Responsible Footwear Manufacturers

Factories that meet and exceed FDRA Footwear Production Code of Conduct are nominated for consideration as a designated “Responsible Footwear Factory Manufacturer”.  Those chosen will be listed below and are awarded FDRA’s special recognition.  FDRA members should note these factories are top of their class and will enjoy this recognition for two years.

Sourcing and Compliance Resources

Click here to access online compliance training, current reports and data on footwear imports and material costs

FDRA members can access the 2017 Factory Survey Analysis Report here.

FDRA members can access the 2017 Global Sourcing Assessment here.

Click here to access the Factory Wage Map for Production in China

If you are a non-member, you can contact FDRA and purchase the sourcing assessment for $299 per report, per year.

Sourcing Insights From Execs

FDRA Can Support Your Sourcing Operations

FDRA Social Compliance Working Group
FDRA has established a strong sourcing and social compliance working group that discusses challenges the industry faces in its factories and works together to share and spread best practices.  The group consists of compliance professionals from more than 50 companies that actively discuss issues on conference calls.

 

Sourcing and Trade Summits
FDRA also holds an annual Sourcing and Compliance Intelligence Summit in New York and an annual Footwear Production Summit in China.  These conferences goes in-depth on compliance, sourcing challenges and solutions and feature industry executives and experts presenting and discussing best practices. Click here to see past event information.

 

Sourcing and Social Compliance Intelligence (Alerts, Reports, Bulletins)
FDRA sends out email updates and alerts on trends, new issues, or challenges, and provides in-depth documents and memos explaining and analyzing trade, sourcing, and social compliance issues. An example is these services includes the interactive wage map we produce.  Each month FDRA sends its members a sourcing and compliance bulletin featuring import data, commodities analysis, and interviews with the industry’s leading service providers and sourcing executives. Click here for an example.  FDRA produces a robust annual factory survey and sourcing report that goes in-depth by country, exploring emerging trends and forecasts. FDRA also provides key trade and politics alerts vital to understanding free trade agreements and issues surrounding taxes and tariffs on shoes.

 

Contact FDRA to learn how we can support your sourcing and compliance teams.