EU Accordion Production More Valuable Than Acoustic Guitars

[Dublinesque]

Accordion manufacturing was more valuable to the EU economy in 2006 than acoustic guitar manufacturing, despite the fact that seven times more guitars were produced. In 2006, 260,500 accoustic guitars were manufactured in the EU with a total value of €31.1m, whereas 36,600 accordions* were produced at a value of €38.6m.

* The exact descriptor is Non-electronic accordions, concertinas, bandonions and foot-blown accordions. Does not include organs and harmoniums.

Source: Eurostat (2008) Statistical Portrait of the European Union 2008: Year of intercultural dialogue; page 60 (Table 4.1: production of selected cultural products) http://ec.europa.eu/eurostat

I often read the question--or assertion--about whether the accordion is in terminal decline. So I decided to have a look for some statistics to see what I could find. Caveat! I am familiar with some EU stats, but not on manufacturing and trade.

Imports of accordions were €6.3m euro in 2006, whereas exports were €14.3m, for a net gain to the EU economy of €8m. In contrast, we imported €110m in guitars and other stringed instruments, and exported €57m, for a net loss to the EU economy of €53m. European governments should really be promoting the accordion!

Meanwhile, internal dispatches of accordions totalled €20.5m in 2006, compared to €61m of stringed instruments. (I dont know if the second-hand market is included here).
Source: Eurostat (2006) Cultural Statistics; page 119 http://ec.europa.eu/eurostat

€38.6m value divided by 36,600 accordions gives an average value per accordion of just over €1,000 (€1,055). I have no idea if the value is based on retail price or else value attributed by manufacturers based on inputs like labour and parts. (These stats may well come from VAT returns).

36,600 accordion-type instruments produced in 2006 seems like a fairly healthy industry of new instruments, albeit that the data is 11 years old and pre-crash. Likewise, internal sales of €20.5m plus imports of €8m suggests a reasonable level of demand for a small industry.

Not only is the value of the 36,600 accordions larger than acoustic guitars (€31.1m), it is also larger than the EUs production of brass-wind instruments (€31.3m), digital pianos (€22.7m) and stringed instruments (€28.3m), although I dont know if that reflects a decline in traditional instrument production or suggests that accordions are more valuable to the economy than we might think. One thing to note is that none of these stats include Russia, so the European accordion manufacturing base is actually larger than the EUs.

Between production and import/export, we dont know how many new accordions are sold within the EU every year, but it is likely to be at least 20,000 (roughly) based on these figures.

At the same time, you cant actually employ that many people in the manufacture of accordions if demand is around €28.5m/year. Hundreds certainly, but not thousands.

I cant claim this is a very in-depth analysis. I might look more at the stats at a later stage.

Does sales of 20,000 new accordion-type instruments per year seem plausible to you?

And what on earth is a foot-blown accordion?!

 

[debra]

The world has changed a lot since 2006.
Accordions are expensive and last a very long time. There are so many good used accordions on the market that production has declined (which shows for instance through reduced waiting times when you order a new accordion of a reasonably common model). Several companies in Italy have closed down.
It would be very interesting to see numbers for 2015 or 2016.

 

[Dublinesque]

I (eventually) managed to find more recent import and export data from Eurostat.

What you see here is net export value (i.e. value of exports less value of imports).

In 1995, Italy had net exports worth €15.6m and Germany had net exports worth €10.9m
In 2005, Italy had net exports worth €13.2m and Germany had net exports worth €7.7m
In 2015, Italy had net exports worth €14.9m and Germany had net exports worth €10.4m

In this category mouth organs are mixed in with accordions and similar instruments so quantity figures in the original data are completely useless for our purposes, but the net export value might be fairly accurate, given that accordions are much more expensive than mouth organs.

Surprisingly, 2015 was a better year for net exports than 2005. Obviously, the higher monetary amount in 2015 could be based on fewer, more expensive accordions... which means fewer people employed in the industry (and closures to some manufacturers as you pointed out). Also, the 2015 figures are not dissimilar to 1995.

In trying to guess at the demand side, I looked at France and the UKs total import figures for the same period (ignoring their relatively low level of exports):

In 1995, France had imports of €4.3m and the UK had imports of €900,000
In 2005, France had imports of €3.4m and the UK had imports of €2.3m
In 2015, France had imports of €2.4m and the UK had imports of €1.3m

All these figures do jump up and down a bit per year, but the broad trends seem to be as these numbers indicate.

It does suggest a real fall in demand for accordions in France (and their exports havent changed much in this period). Whereas demand in the UK is up compared to 1995, but not what it was in 2005.

As before, this is fairly rough guesswork, but it does suggest a more mixed picture in terms of the state of the industry.

Source: Eurostat Sold production, exports and imports by PRODCOM list (NACE Rev. 2) - annual data (DS-066341)
http://ec.europa.eu/eurostat/web/main/home

 

[Bill V]

Foot blown,maybe the Indian one laid on the ground to operate,has bellows and PA keyboard only.

 

[Deleted member 48]

Thank you Dublinesque for the info and rough statistics on accordion production etc. If we could have annual updates this would be great.
Eurostat data on accordions can be outdated, but old info is also usefull. Good to hear accordion industry is alive and kicking.

 

[Dublinesque]

On the foot blown accordion, do you mean the harmonium for the Indian accordion? I initially thought that too, but harmoniums appear under another heading (with pipe organs).

 

[Matt Butcher]

The UK figures tie in with what I think I saw, a surge of interest in the early 2000s and less money around now than there used to be, plus the internet making it easier to buy second hand. It's still hundreds of boxes a year coming into the U.K., which seems encouraging, though I'm not sure what will happen to all the old ones.

 

[Stephen Hawkins]

I find this thread very interesting, though I am cautious about the validity of any statistics emanating from the EU.

It would be even more interesting to learn what percentage of new boxes sold in Europe (and the US) originate in China. This figure must, of course, include boxes of European design which are manufactured under licence, together with home grown Chinese boxes.

We cannot ignore the burgeoning influx of Chinese produced goods, of all kinds, which flood our domestic markets, or the complicity of European manufacturers in exploiting favourable operating costs. There is no doubt whatsoever that Chinese goods are rapidly replacing our traditionally made products, and it would be difficult to find electronic goods which are not made in China or South Korea.

I own a Chinese box, and am pleased with it. Okay, it is not a Bugari, but it certainly represents outstanding value for money. Being a pensioner, I have to justify my expenditure, and really consider the difference between what I want and what I actually need. I suspect that others are in a similar position, and that they too will at least consider buying a less well known box.

This is not, strictly speaking, a political point, but it is a fact that prices inside the EU are many times higher than those outside the EU. It cannot, therefore, come as any surprise that savvy Europeans will take advantage of products manufactured outside a wholly contrived artificial market. It is also a fact that multi national organisations, which have no national loyalty, will use loopholes in order to exploit both ends of the process.

As EU statistics have been used in the original post, I feel justified in drawing attention to a few salient points.

 

[Alan Sharkis]

Another point to consider is the popularity of the instrument(s) in various cultures. I'm an American accordion student and I always feel that I'm swimming against the tide, although I've been assured by many that the accordion is coming back in the US. That we play complex instruments lovingly hand-made for the most part, doesn't seem to impress the average American, and yet the price of accordions, both new and used, is much higher than that paid for other instruments. "Value to whom," seems to be operating here.

 

[Glenn]

Not quite sure why the validity of EU statistics should be doubted? The statistics may not measure what you think they do but that's another issue. Of course the "wholly contrived artificial market" does rather nail colours to the mast but irrespective of political opinions the EU statistics are usually robust. As with all statistics they are only as good as what you measure and how you approach it. I think what these statistics lack for our purposes are exactly what an accordion is and how to slice the results we do have to exclude "spurious" instruments. Not sure we have enough information to do that.


Sent from my iPad using Tapatalk

 

[Deleted member 48]

I agree with Glenn, we need to have precise definitions of the free reed subtypes before interpreting the statistics. Having read a few Hohner annual financial reports, online on the official Hohner website, even Hohner topmanagement from Taiwan and the USA put different free reeds in one sack...

 

[Dublinesque]

The only trade data I am reasonably confident about so far, shows the rapid rise of accordion exporting from China, from $4.3m (USD) in 1992 to $20.3m in 2006. (Source: https://comtrade.un.org/data/ ).

There is no doubt that China is dominating world manufacturing in many areas. However, I did also notice a news article about how China is now the worlds largest market for musical instruments, with total value of $6.5bn in 2012, and imports of around $270m. Ive also seen a thesis that the accordion is the third most popular instrument in China, alongside the violin and piano. Ironically, as Chinas middle class grows--and EY projects a middle class of over 1bn people by 2030--there may well be a growing market for Europeans to export quality accordions to China.

I agree that the aggregate trade statistics are not really designed as a guide to specific products like the accordion; although manufacturers may have access to more fine-grained statistics.

 

[Deleted member 48]

Chinese conservatory students play Italian or Russian top quality accordions, because they understand quality is essential in keyboard control of an accordion. They wisely avoid current China makes.

 

[Stephen Hawkins]

I think I've been told off, though I'm not quite sure. It also appears that I have "nailed my colours to the mast." What I have done is expose dubious practice and political complicity. Actually, "expose" is probably the wrong word, as a man on a galloping horse can see what has been going on.

The Chinese are desperate to expand their markets, and will achieve this by making decent products for a fraction of the cost of European made products. Hell, they even make three models of Steinway & Sons Pianos. (and many other top brand instruments)

As for Chinese instruments being inferior, I'm quite sure that some of them are just that. However, it is horses for courses, and I am quite happy with my cheap Chanson. When I get the call to play at the Royal Albert Hall, I may go out and buy a better instrument. (Maybe a Pearl River) In the meantime I will just soldier on with my grotty old Chanson, and ignore the detractors. I do not take criticism of my instrument to heart, as I know it is always well received by my friends at the Folk Club.

 

[Deleted member 48]

I hope your Chanson bellows are not as stiff as your leatherish wallet.
If you compare the number of parts, assembly process and quality control systems with other music instruments, accordion prices are correct and still okay, compared to custom cnc steel guitars or electric guitars.

 

[Stephen Hawkins]

Ha ha ha, I like it, Stephen. The Chanson's bellows are not at all stiff but, as a pensioner with finite resources, my wallet needs to be.

In truth, if I wanted to, I could afford to buy a better instrument, but I play in Folk Clubs. One of our guys rocks up with an 8 Bass Accordion which looks like a battered old biscuit tin, but he somehow manages to get decent tunes out of it. He carries this thing around in an old Army Knapsack, and treats it with complete indifference.

So you see, it would be quite inappropriate for me to drag a top of the range instrument into our clubs. No, at least for the time being, I will stick to my Chanson and my little Galotta. Both have served me very well up to now.

If I did decide to buy a new instrument, however, it would very likely be a Pearl River.

 

[Deleted member 48]

I once tested a fine second hand German Galotta PA with friends, it costed him 150 euro.
It was very good quality for the money.
In Dutch the expression is: don't eat Chinese accordions.
But I agree It's horses for courses. Having myself a China made Jackie English concertina, I even recommend this for EC starters. Good reeds inside.
Once had a China made anglo concertina, new for 150, crappy, harsh tone, stiff bellows, useless.

My advice would be, better a good second hand, thank a crap new box.
China cheap makes have problems with reeds out of tune and stiff bellows movements.

 

[Stephen Hawkins]

Stephen,

No argument from me, but I also believe that some (not all) Chinese made instruments are pretty decent for the money.

My Galotta is a nice little instrument, and I do enjoy playing it, but I am equally satisfied with my Chanson. The tone is okay for my purposes, and it appears to be fairly well put together.

Like it or not, the way things are going, most accordionists will finish up with Chinese boxes.

 

[Dublinesque]

I have discovered more about the export stats. There is a harmonised classification system (HS), which tries to provide a code for every group of goods imported/exported. These appear on comtrade.un.org's database. However, from 2007 the old accordion codes (among others) were merged into a larger group of musical instruments, due to their relatively low volume of trade. The fine-tuned data on just accordions after 2006 isn't available through this online database--although the data should exist somewhere as there is still an accordion sub-category in the classification system.

In the period 2007-2016, the overall export value of this larger group of musical instruments from China surged from $21m to $74m, but it is impossible to say what that means for accordion production. Accordions represented approximately 20% of the value of all the instruments in the larger group in the years 2004-2006, but it is too speculative to project this forward, as the surge in exports could have been production of clarinets or mouth organs or whatever else.

However, as another way to gauge the rise of Chinese exports to Europe, I revisited Eurostat. This gave me a figure on the total value of imports of accordions into the EU28 from anywhere in the world (not just China). The value of these imports went from €6.3m in 2007 to €6.7m in 2015, with ups and downs in between. The annual average was €6.5m per annum. Imports peaked at €7.7m in 2009, and they have been lower ever since. This suggests to me that imported accordions in Europe--mostly but not all Chinese--have reached a plateau in terms of their market share.

Even as far back as 1995, imports of accordions to the smaller EU15 was €4.6m, so any Chinese surge in the last twenty years has only added roughly €2m to this figure.

Compared to the figure of €6.7m in imported accordions in 2015, European production value for accordions was €45m, with €15.6m in exports. Of that €45m, Italy produced €28m and Germany €15m. As far as my analysis goes, it suggests that a fairly robust accordion industry remains--although all of these are small numbers in the great scheme of world trade and the levels of employment that these industries can support.

(As ever, there are plenty of caveats with this analysis, not least the possible importation of components for accordions finished in Italy and Germany.)

 

[Stephen Hawkins]

Dublinesque,

I appreciate the effort you have put into this interesting thread, and commend your perseverance. It is reassuring to know that European makers are still viable concerns, and long may that continue.

Did you come across any figures concerning "badge engineering"? I understand that a number of European Accordion manufacturers have their smaller/cheaper machines made in China, with Pearl River being the biggest manufacturer of such instruments.

In fact, it is claimed that Pearl River is the largest manufacturer of musical instruments in the World, and almost certainly the largest (by volume) manufacturer of pianos in the World. As I have mentioned elsewhere, Pearl River manufacture three models of Steinway & Sons pianos, together with Yamaha and other famous names. These instruments are marketed as Steinway, Yamaha, etc, so it is not quite clear how this would affect the figures.

Anyway, this is all very interesting, but wide open to interpretation or misinterpretation.

Thank you again for this great thread.

All The Best,

Stephen.