World Footwear

Trade

Signs of recovery in Brazil

Dec 30, 2017 Brazil
Signs of recovery in Brazil
One of the largest footwear producers is still very closed to international trade and focused on its internal market. Notwithstanding, in the first half of the year Brazilian exports grew in volume and value. Production is on a growing trend as well
Brazil is the 5th largest producer of footwear in the world (954 million pairs) but only the 13th largest exporter (126 million pairs). The South American country only exports 13% of its total footwear production. Volume of imports of footwear is very low (23 million pairs), reflecting the fact that one of the largest footwear producers is very closed to international trade and much focused on its large internal market of 206 million people.

According to Abicalçados, the Brazilian Shoe Manufacturers Association, in the first six months of the current year, 59.4 million pairs with a total value of 528.8 million US dollars were exported. This represents a 2.5% growth in quantity and 17.1% in value from similar period in 2016. After the declined registered in exports in the first four months of the year, in May and June Brazilian exports returned to growth, with positive growth rates.

The main destination for Brazilian footwear in the first half of 2017 was the United States with 5.5 million pairs shipped with total value of 95.9 million US dollars, a decrease of 11.7% in pairs and 6.5% in dollars. Some of the neighboring countries are Brazil’s most important trade partners, and in the top three destinations we find, after the US, Argentina (4.23 million pairs; 64.7 million US dollars) and Paraguay (7 million pairs; 3 million US dollars).

Recently the Brazilian Institute of Geography and Statistics (IBGE), has announced that, from January to August this year, production of footwear and footwear parts in the country has increased by 4.5%, compared to similar period in 2016. Footwear production in the first eight months of the year increased more than the average growth rate for the Transformation Industry, giving good signs regarding a recovery of the local industry.

More information about Brazil and the main footwear markets available at the latest edition of the World Footwear Yearbook (available here).

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