São Paulo – In 2010, the Texbrasil – Strategic Program of the Brazilian Textile Chain project aims to achieve fashion industry exports equivalent to US$ 572 million, involving 1,174 small and medium Brazilian companies. the project is promoted by means of a partnership between the Brazilian Export and Investment Promotion Agency (Apex) and the Brazilian Textile and Apparel Industry Association (Abit).
The 38 target countries selected by the Apex intelligence team in order to attain the goal include three Arab nations: Saudi Arabia and the United Arab Emirates, for clothing, bed, bath and linen; and Egypt, for the textile industry.
Texbrasil was created in the year 2000, with the objective of preparing Brazilian companies to compete in the international market. Over the last eight years, the companies participating in the project have increased their exports by 27%. Together, they account for 23% of the industry’s overall exports.
According to the Apex, Brazil currently ranks second in the global ranking of jeans production, third in mesh fabric, and sixth in textile items and clothing, among others.
From January to December 2009, exports of Brazilian textile products generated nearly US$ 1.7 billion in revenues. The leading buyer markets of these products were Argentina, the United States, Paraguay, Mexico and Venezuela.
In 2008, the Apex conducted a research across four fashion industry sectors (jewellery and costume jewellery; shoes; textiles and cosmetics /personal hygiene) in eight Middle Eastern countries: the United Arab Emirates, Lebanon, Jordan, Saudi Arabia, Qatar, Bahrain, Kuwait and Oman.
Considering certain specific criteria, such as the fact that the country is already a buyer of Brazilian fashion, the output capacity of domestic companies and the compatibility of original products with the local flavour, the goal was to collect further information on the fashion market in those countries, as well as find new niches.
It was in this research that the United Arab Emirates and Saudi Arabia stood out as strong potential buyers of Brazilian fashion. Egypt was added to the list because it has high chances of acceptance of products from Brazil.
According to Rodrigo Iglesias, Apex’s Commercial Intelligence analyst for Africa and the Middle East, the agency has been getting a very positive feedback from Brazilian companies that have been doing business with the Arab countries. According to him, companies that have learnt to negotiate with the Arab market are being successful in their sales.
“They are buyers who need loyalty. The companies are aware of the fact that patience is required. There is a need for maturity in the relations between the Brazilian company and the Arab buyer,” he stated.
In 2009, Saudi Arabia was the main Arab buyer of Brazilian fashion, having imported the equivalent of US$ 3.7 million. Egypt, in turn, bought the equivalent of little over US$ 3 million, and the United Arab Emirates, US$ 2.2 million.
The Brazilian textile chain currently accounts for 17.2% of the country’s processing industry Gross Domestic Product.
*Translated by Gabriel Pomerancblum
