Chinese fashion chain Ports set for “substantial growth” in Europe

Ports 1961, the designer subsidiary of Hong Kong-based Chinese fashion retailer Ports

Design Ltd, is poised for "substantial growth" in Europe after completing an Italian makeover, according to chief executive Salem Cibani.

"We are right on track with what we planned when we moved to Milan," Cibani said backstage at the recent presentation of the Ports 1961 spring/summer 2015 womenswear collection.

The brand is building up a reputation for womenswear, and for a recently-introduced menswear line, in the cut-throat world of international high fashion. "We have started a menswear line. We are designing and producing in Italy and this is our fifth season showing in Milan.

"We are building a good base and awareness. I think in the very near future we are going to see some substantial growth," said in an interview with AFP Cibani, who added that the business' decision to switch its headquarters and manufacturing to Italy two and a half years ago was about to start bearing fruit.

Cebani said the move had paid off with sales in Europe currently helping to offset flat growth in the Chinese market, where the whole luxury sector has been hit by a slowing economy and a crackdown on conspicuous consumption by the country's business elite. "Right now Europe for us is growing the most and North America is not far behind," he said.

"Obviously we are doing fairly well with our top line in China but that was an existing business and so the growth there has not been as strong as Europe, where we were starting from scratch."

Shares in the Ports parent company, Ports Design Ltd. have more than halved since the end of last year because of problems in China, but Cibani believes the company is better-placed to weather the storm than other luxury brands.

"Definitely there has been a market contraction (in China) and nobody is immune from that," Cibani said. "But I think we're pretty well positioned for that. I think a lot of the logo-ed bags brands were the ones that were hit the hardest. "It became a problem to carry those logos, but when you are wearing clothing you don't know where it is from. It is something beautiful, something very necessary. So we have actually been able to weather the storm pretty nicely," Ports´executive added.