São Paulo – Brazilian industry exported 8.4 million pairs of shoes in April, up 11.75 from a year ago. Export revenues stood at USD 69 million, a 0.8% increase, the Brazilian Footwear Industry Association (Abicalçados) reported this Wednesday (11th).
Abicalçados said the results indicate that this could be the beginning of a recovery process, because in the three preceding months, year-on-year foreign sales numbers had dropped. “We were hoping for a rebound early on in the year, but Brazil’s economic and political problems caused this moment to be delayed,” an Abicalçados press released quoted CEO Heitor Klein as saying.
For the association, as the dollar gains on Brazil’s real, that drives up foreign sales in spite of exchange rate volatility. He hopes that once the Brazilian political scenario has reached closure, the currencies will stabilize. This Wednesday, the Senate will either pass or veto on the launch of an impeachment process against president Dilma Rousseff. If the green light is given, the president will be suspended for 180 days – which is how long her trial should last – and vice president Michel Temer will take office.
Year-to-date through April, 40.26 million pairs of shoes were shipped from Brazil, up 2.7% from a year ago. Revenues stood at USD 295.83 million, down 4.6%.
Abicalçados highlights the recovery in sales to the United States and Argentina, the two leading buyers of Brazilian footwear. The US imported 4.47 million pairs in Jan-Apr, up 22%, spending USD 65.66 million in the process – up 17.5% from a year ago. Argentina bought 2 million pairs for USD 25.73 million, a 102% increase in volume and a 52% increase in revenue. The industry association also stressed the good results with France, the third leading destination.
Saudi Arabia and the United Arab Emirates rank 10th and 11th in the top buyers list, but sales to those countries dropped in Jan-Apr 2016, both in sales volume and revenues.
*Translated by Gabriel Pomerancblum
