News

United States resume position of main destination of Brazilian footwear abroad

Finally a breather for Brazilian footwear exporters! In October, according to data prepared by the Brazilian Footwear Industries Association (Abicalçados), footwear exports increased by 11.2% in pairs and by 31% in revenues in relation to September, reaching 11 million shipped pairs, which generated US$ 93.77 million – the best financial result during the year had been registered in April, with US$ 93 million.  If compared with the tenth month last year, however, the increase in revenues is smaller, 0.2%, with a 5.5% decrease in volume. Therefore, in the period from January to October, footwear manufacturers shipped 89.8 million pairs, which generated US$ 793.76 million, decreases both in volume (-10%) and in revenues (-10.8%) in relation to the same period in 2017.

Abicalçados' executive president, Heitor Klein, explains that the recovery registered in October is partly due to the increase of shipments to the United States, the country that regained the position among the main destinations of Brazilian footwear. "Probably, and to a greater extent than we expected, we can already notice the reflection of the measure in force since October 13, which reduced the import tax for shoes to that country, some to zero," he evaluates. In October, the United States imported 855.5 thousand pairs for US$ 17.84 million, an 18.7% increase in relation to the same month last year. Hopefully the recovery will continue in coming months.

Rio Grande do Sul: largest exporter
Accounting for over 42% of the total generated by footwear exports in Brazil between January and October, the state of Rio Grande do Sul shipped 22.7 million pairs that generated US$ 358 million, decreases both in volume (-3.4%) and in revenues (-5%) in comparison with the same period last year.

The second exporter was Ceará, from where 32.3 million pairs were shipped for US$ 190.35 million during the ten months, 12.7% and 13.5% decreases, respectively, in relation to the ten months of 2017.

Also registering decreases, 7% in volume and 8.7% in revenues, the state of São Paulo shipped 6 million pairs for US$ 88.7 million between January and October 2018.

Destinations
Taking over the position of the main destination of Brazilian shoes abroad during the ten months of 2018, the United States imported 7.3 million pairs for US$ 126.6 million, decreases both in volume (-15.4%) and in revenues (-17.7%) in relation to the same period last year.

Argentina, which appeared as the main destination of the national product since the beginning of the year, received 10.8 million Brazilian pairs, for which US$ 126 million were paid, a 6.6% increase in volume and a 2% decrease in revenues in comparison with the ten corresponding months in 2017.

The third position is still France, to where 5.8 million pairs were shipped, generating US$ 46.5 million, 28% and 3.2% increases, respectively, in relation to the ten months last year.

Imports
Between January and October, footwear imports registered a 14% increase in volume and a 1.8% increase in revenues in comparison with the same period last year. In the ten months, 23.75 million pairs came into Brazil, for which US$ 304 million were paid.

The main origins were still Asian countries. During the period, Vietnam exported 10.68 million pairs to Brazil for US$ 170.4 million, a 13% increase in volume and a 2.6% increase in revenues in comparison with the same period in 2017. The second largest importer was Indonesia, from where 3.44 million pairs were sent to Brazil for US$ 55.6 million, a 2% decrease in volume and a 4.2% decrease in revenues in relation to 2017. China remained in the third position, having exported 7 million pairs to Brazil for US$ 32 million, 38.7% and 17.7% increases, respectively, in relation to last year.

In footwear parts – uppers, insoles, soles, heels etc. – the imports reached US$ 42.47 million, 22.5% more than last year. The main origins were China, Vietnam, and Paraguay.