São Paulo – Brazilian leather exports generated revenues of US$ 1.38 billion between January and August, a 6% reduction in comparison with the same period last year, according to figures disclosed yesterday (17th) by the Confederation of Brazilian Hides and Skins Industries (CICB). According to the organisation, should the monthly average be maintained, foreign sales should reach the mark of US$ 2 billion by the end of 2008.
Bovine leather exports answered to US$ 1.36 billion in the period, also representing a 6% decrease compared with the first eight months of 2007. In terms of volume, the reduction was even greater, at 24%. According to the CICB, a total of 17.46 million bovine leather items were shipped.
According to a press release issued by the CICB, the president at the Centre, Luiz Bittencourt, has asserted that reduced sales are a result of the depreciation of the dollar against the Brazilian real that took place up until August, thus compromising the competitiveness of the Brazilian product abroad. In September, however, the dollar picked up again, reaching a similar level to that of September last year.
In August, the leading destinations for Brazilian leather were China, Hong Kong, Italy and the United States. Items were also exported to Vietnam, Indonesia, Mexico, Germany, Japan and the Netherlands.
Despite the overall reduction in exports, there was growth in the accumulated result for the year concerning sales to markets regarded as new, such as Costa Rica, Pakistan, New Zealand, Nigeria and the United Arab Emirates.
The leading leather exporter states in Brazil are São Paulo, Rio Grande do Sul, Ceará, Mato Grosso do Sul, Bahia, Paraná, Minas Gerais and Goiás.
The CICB, according to the press release, brings together 800 companies in the leather manufacturing and processing sector, which employs approximately 50,000 people and has a turnover of US$ 3.5 billion a year.
*Translated by Gabriel Pomerancblum
