The recent New York Times article “Is Italy Too Italian,” inspired me to share my impressions with you.  I actually recognized Luciano Barbera, the venerable Italian clothier pictured in the story, in his bespectacled and sartorial glory standing in a dimly lit warehouse-looking space holding a large spool of teal yarn.  I’d met him before and would recognize him anywhere.

The story offers insights into a dimming economy known for its heritage of producing luxury goods against a backdrop of economic stagnation.  There’s a certain stubbornness about how luxury Italian goods are produced that make the rest of the world covet them.  Mr. Barbera’s textile company operation is legendary.  The manufacturing process and resulting fabrics are so well respected by other fashion designers that they purchase Barbera’s fabrics for their collections. Barbera’s collection of men’s tailored clothing, developed years ago at the behest of the former owner of Louis Boston, is available at Neiman Marcus.  Inside his garments, the label reads, “Entirely manufactured in Italy.”

When it comes to textiles, leather, and footwear, Italians dominate the luxury market.  Euro-to-dollar valuation and brand cache are not the only reasons why Italian goods are pricey.  The ways Italians do business add to the costliness of their fine goods.  As an economist interviewed in the article explained, businesses in Italy must overspend for accountants, lawyers, truckers and a long list members of other unions. These costs are passed on to consumers.  Purists like Mr. Barbera and his family-owned business seem caught in the middle of their purist process, Italy’s business structure, and global growth.

I recently caught a glimpse of this Italian business culture in a gorgeous, operatic film, “I am Love,” starring Tilda Swinton.  Go see this movie!  It’s a story of the wealthy Recchi family of Milan, whose lives are undergoing big time changes affecting family members’ lives and the future of their huge family-owned industrial milling company.

There’s a new law taking effect on October 1st that will bring changes to a label near you.  It may affect what the “Made in Italy” label means to you.

This law, named the Reguzzoni-Versace Law, regulates the marketing of textiles, leather, and footwear goods.  If one of those names sounds familiar, it’s because that name is closely connected to the design house of the same name.  Brother of deceased designer Gianni and head designer Donatella, Santo Versace is chairman of the house of Versace and is a member of Italy’s Parliament.

This law he co-created requires the “Made in Italy” label be used for goods when the manufacturing phase “prevalently” takes place in Italy, and in particular if at least two main manufacturing phases are performed in Italy.  The location of the remaining phases must be verifiable.  Use of the label must respect child labor laws, hygiene and product safety, and European laws.

But what it means, much to the chagrin of Mr. Barbera, is that garments and leather goods bearing the “Made in Italy” label won’t necessarily entirely be made in Italy.

Is it so terrible if garments or leather goods are not entirely Italian made?  Hardly, in my opinion.  If a label says “Made in Italy” anyone would reasonably think the garment is entirely made in Italy, like Mr. Barbera’s.  Such labeling suggests a certain quality of craftsmanship and design synonymous with Italy.  But in today’s truly global economy, my personal conviction is that such labeling may be less consumer-friendly than a garment’s true value.

It’s hardly a secret that many gold standard Italian brands operate production outside of Italy to begin with.  And there are levels of quality in Italy, just as there are in American brands, and throughout the world.  I seriously question how this law helps the Italian economy, as much as it may confuse consumers into thinking that what they are buying is superior because it’s “Made in Italy.”

In fact, it’s entirely possible to have a first-rate garment made of Italian goods but manufactured and made-to-measure in China for about the same price as an Italian ready-to-wear garment.  A gentleman I have known for a decade, Salvatore Giardina, with twenty years of men’s tailored clothing industry experience, and an adjunct professor at New York’s Fashion Institute of Technology for fifteen years, has researched this possibility and made it a reality.  His factory in China is audited and monitored for fair labor by an independent party and is something he personally believes in.  His tailored clothing caught the attention of The Wall Street Journal for its superior construction and even evaluated it above the quality of a U.S. brand and another Italian brand.

What does “Made in Italy” mean to you?

Joseph Rosenfeld helps high-profile individuals revitalize, manage, and be secure in their personal visual brand. Visit JosephRosenfeld.com for details.