Abicalçados highlighted that Latin American markets have been instrumental in the growth of Brazilian exports, although the United States remains the main sales destination. [Exportações de calçados crescem 64,8% até julho, para US$ 763,4 milhões - Valor Econômico]
In July, Brazilian footwear exports rose by 35.3 percent in volume to 12 million pairs and by 50.8 percent in value to $111.8 million, according to data released by the Brazilian footwear association, Abicalçados. In the first seven months of 2022, footwear exports rose by 31.8 percent in volume to 86.9 million pairs and by 64.8 percent in value to $763.4 million.
Abicalçados’ president, Haroldo Ferreira, explained that Brazilian has benefited from the increase of maritime freight costs, which has prompted Latin American buyers to source closer to their markets. This has led to a move out of Asia to Brazil. Ferreira pointed out that between January and July exports to Latin American countries grew by 76.3 percent in value and by 39.3 percent in volume. The region “represented 44 percent of the pairs exported by Brazil in the first seven months of the year. Among the top 10 destinations, seven are from Latin America,” he added.
The U.S. remained the country’s main export market during the seven-month period, importing some 13 million pairs, up by 67.3 percent year-over-year, for a total of $208.3 million, up by 90.7 percent. In the sole month of July, 1 million pairs were shipped to the U.S., down by 25.0 percent, but revenues grew 24.9 percent to $26.5 million.
Argentina continued to be Brazil’s second largest export market despite the decision on June 27 by the Argentine central bank to authorize the settlement of imports only after 180 days. “Most likely, these were deals that had already been carried out before the resolution. We will wait for the next few months to get an exact sense of the effect of the measure. What is certain is that Brazilian footwear is in great demand in that market,” Ferreira commented.
In the first seven months of 2022, Argentina imported 10.2 million pairs from Brazil, up by 66.8 percent year-over-year, for a total outlay of $109.8 million, up by 91.0 percent. In the month of July, shipments to Argentina totaled 2 million pairs, up by 94.2 percent, generating revenues of $19.13 million, up by 105.0 percent.
France was Brazil’s third export market with 4.87 million pairs, up by 21.4 percent, sold for $40.9 million, up by 19.6 percent in the seven-month period. In just July, exports totaled 276,400 pairs, down by 57.7 percent, for $4 million, down by 34.3 percent.
In the first seven months, Rio Grande do Sul remained the largest exporting region in Brazil, generating almost 47 percent of total export revenues selling abroad 25.6 million pairs, up by 55.2 percent, for a total value of $357.6 million. The second main exporter in value was the state of Ceará, with 25.6 million pairs, up by 28.3 percent, generating $158.0 million, up by 42.2 percent, followed by the state of São Paulo, with 6.2 million pairs exported, up by 29.0 percent, for at total of $77.8 million, up by 57.8 percent.
Between January and July, Brazil imported more than 17 million pairs of shoes, up by 26.4 percent, for $204.2 million mainly from Asia. Imports from Vietnam fell by 13.3 percent to 4.5 million pairs and by 10.3 percent to $94.3 million while those from Indonesia rose by 5.7 percent to 1.74 million pair and by 16.3 percent in value to $35.4 million and imports from China were up by 63.0 percent to 8.3 million pairs and by 49.4 percent in value to $30.4 million.
Imports of footwear parts such as uppers, heels, soles and insoles rose by 1.6 percent to $7.7 million, mainly from Paraguay, China and Vietnam.
Abicalçados added that in June, the Brazilian footwear industry created 4,000 jobs, bringing the total job creations for the first half to 27,500. At the end of June, 293,750 people were directly employed in the industry, 46,000 more than a year earlier.
The industry has fully recovered the jobs lost during the Covid-19 pandemic and now employs 5.4 percent more people than in 2019, according to Abicalçados.
