Footwear exports totaled USD 967 million in 201910/01/2020
Data recorded by the Brazilian Footwear Industries Association (Abicalçados) indicate that 2019 ended with the shipment of 114.55 million pairs, generating revenues of USD 967 million. The figures represent a 0.9% decrease in revenues and a 0.9% increase in volume in comparison with 2018. Considering the last month of the year alone, 10.34 million pairs were imported for USD 80.73 million, a 21% decrease in volume and a 17.2% decrease in revenues in relation to the corresponding month of 2018.
According to Abicalçados' executive president, Haroldo Ferreira, the overall result indicated a strong influence of the exchange rate during the period. With the dollar about 10% more valued than in the previous year, footwear manufacturers were able to set more competitive prices in the international market. "When converting to real, exports in 2019 were 7% higher than in 2018," he explains.
The result was also influenced by the U.S. market, which imported more Brazilian shoes to avoid the surcharges on Chinese shoes due to the trade war between the United States and China. In 2019, the main destination of Brazilian shoes abroad imported 11.9 million pairs for USD 197.5 million, 10.5% and 18.4% increases, respectively, compared to 2018.
The second destination of Brazilian footwear abroad, however, pulled the average down. Facing a severe economic crisis, in 2019 Argentina imported 10 million pairs, for which USD 105.2 million were paid, 15% and 24.7% decreases, respectively, in comparison with the previous year.
The third destination during the year was France, to where 7.9 million pairs were shipped, generating USD 60.42 million, 7.8% and 6.2% increases, respectively, in relation to 2018.
The largest footwear exporter during the year was the state of Rio Grande do Sul, from where 30.64 million pairs were shipped, generating USD 444.7 million, better results both in volume (12.7%) and in revenues (3.8%) in relation to 2018.
The second largest exporter during the year, in revenues, was the state of Ceará. In the 12 months, factories from that state exported 38.44 million pairs for USD 232 million, decreases both in volume (-6.2%) and in revenues (-7%) in relation to 2018.
The third main origin of footwear exports during the year was the state of São Paulo, from where 7.56 million pairs were shipped for USD 103 million, a 6.8% increase in volume and a 0.7% decrease in revenues in relation to the previous year.
A highlight in the top of the ranking of exporters, the state of Paraíba was the fourth origin of shoes exported by Brazil. In the 12 months, local factories shipped 20.2 million pairs, generating USD 68.3 million, increases both in volume (11.3%) and in revenues (14%) in relation to 2018.
Just like exports, imports were also influenced by the trade war between the United States and China. With its exports to the world's largest footwear import market restricted, China had to deliver its surplus to other countries, including Brazil. According to a survey conducted by Abicalçados, this adjustment was equivalent to USD 420 million in shoes, which would be exported to the United States and were re-routed.
Over the year, 28.17 million pairs entered Brazil for USD$ 373.9 million, a 6% increase in volume and a 7.6% increase in revenues in comparison with 2018.
The main origin of imports was Vietnam, which sent 12 million pairs for USD 187.54 million to Brazil during the year, figures that represent 0.9% and 2.6% decreases, respectively, in relation to 2018.
The second origin of imports during the year was Indonesia, which shipped 4.77 million pairs to Brazil, for which USD 76.86 million were paid, increases both in volume (15%) and in revenues (17.6%) in relation to the previous year.
Even with the anti-dumping tariff (at USD 10.22 per imported pair), China was the third destination of shoes imported by Brazil during the year. During the period, Chinese factories shipped 8.33 million pairs to Brazil for USD 48 million, increases both in volume (12.5%) and in revenues (33.3%) in relation to the previous year.
In footwear parts – uppers, insoles, heels, soles etc. – imports reached USD 30.48 million, 36.2% less than in 2018. The main origins were China, Vietnam, and Paraguay.