Brazil conquers a space in the global marketplace  

Footwear-leather segment is one of the highlights

From 2003 through a 2006, the growth of the Brazilian exports has exceeded all historical records. More than a mere sales growth, what could be noticed during the period was the propagation of the export culture among the businessmen of all the segments and of all sizes. Nowadays, the Brazilian products strongly compete with products of all countries of the world. In 2002 Brazil exported products in the amount of US$ 60 billions and reached a total of US$ 118.3 billions in 2005. From January through November of this year, the country's foreign trade has already reached the amount of US$ 135 billions, an amount higher than the one of last year. In the same manner, when the destination marketplaces of our products are analyzed, we notice a growth in all the economic segments, with special highlights for the non-traditional markets, such as those of the Middle East (+ 31,1%), Africa (+23,3%) and Asia (+14,5%).

The world is discovering that Brazil has high quality products and competitive prices in several segments of the economy. Thus, our participation in the global business pool is growing: from 2002 through 2005, an increase from 0,93% to 1,14%. It is a significant jump for such short period.

The positive results are the fruit of a hard work undertaken by the national businessmen as well as the support provided by the Brazilian government. The Agência de Promoção de Exportações e Investimentos (APEX-Brasil) (Investment and Export Promotion Agency) actuates to commercially promote the national products through a close partnership with more than 70 representative entities of the private sector. By means of sectorial projects, it is possible to specify the requirements, deficiencies and potential of each segment, and from this point, adopt initiatives to increase the visibility of the Brazilian products in the foreign trade.

Another number that evidences the improvement in the Brazilian exporter profile is the evolution of the exports by aggregated factor. Nowadays, semi-manufactured and manufactured products represent approximately 70% of the list. In 2002 Brazil sold US$ 33.4 billions in manufactured products. In 2005 we have exceeded the amount of US$ 64 billions. From January through November 2006, sales of this category have already reached the amount of US$ 67,759 billions and have as main destination the markets located in the United States, European Union, Arab League, Latin America and the Asiatic Tigers.

With the support provided by APEX-Brasil, an aggressive exhibit of the products and of the Brasil Brand is occurring at global level. Every day, the Brazilian goods are being presented in a place of the world. From 2003 through the present date, the Agência has already supported the Brazilian participation in almost 2 thousand events in more than 60 countries.

The presence of the national companies in large size sectorial fairs or in events organized by APEX-Brasil in retail networks and supermarkets of the world is contributing to strengthen the image of the national products and to approach the end consumer to the Brazilian goods. During the last few years, Brazilian stands were present in important fairs such as the Biofach (organic products), the Cosmoprof (cosmetics), the Polagra Food (food and drinks), the GDS (footwear), among many others. The exhibit of our goods and brands has resulted in signature of significant contracts and has helped also to add value to our image, disseminate the knowledge about the country and has given us a new importance in the global market .

Special events organized by the Agência, such as presence in the sophisticated French retail networks Galerias Lafayette and Printemps, in the English Selfridges or in the Mexican Palácio de Hierro, have contributed to stir up, at end consumer level, the wish to consume our local products. In other cases, such as in the Brasil Oggi – Paixão pelo Estilo, held in Italy, the local image is promoted through an intensive program of public relations, in which opinion makers are invited to get acquainted with the quality and originality of the Brazilian production.

For several years now, the footwear-leather segment is one of the sectors that has been supported by the APEX-Brasil, it participates in the actions organized by the Agência and, as a result, has been conquering growing increases in its sales to the foreign markets. In June of this year, the Agência has renewed agreements with three entities of the sector: Abicalçados (Associação Brasileira das Indústrias de Calçados) (Brazilian Association for Footwear Industries), Assintecal (Associação Brasileira de Empresas de Componentes para Couro, Calçados e Artefatos) (Brazilian Association for Leather, Footwear and Artifact Component Organization) and CICB (Centro das Indústrias de Curtumes do Brasil) (Brazil Tanning Industry Center). When summed, the three projects assure resources in the amount of R$ 43.5 millions for execution of several promotional actions. The amounts were calculated in partnership by the Agência and by the entities.

In all the footwear-leather segment's projects, the strategy has been to add value to the products, looking for more specialized market niches and identifying new customers in several parts of the world.

Through the Programa Brasileiro para Expansão da Exportação de Couro (Brazilian Program for Expansion of the Hide Export) also name Brazilian Leather, for example, the APEX-Brasil and the CICB are reinforcing the presence of national companies in international fairs and exhibits. The strategic objective of the program is to increase the country's shipments of hides, from US$ 1,5 billions identified in 2005 to US$ 2,4 billions by 2008, in a business in which the footwear-leather chain transact more than US$ 44 billions all over the world, based on data provided by the UNO and covering the year of 2001. Brazil is one of the major producers and exporters of hides of the world and the program searches for new marketplaces, mainly for finished products.

The project signed with Abicalçados, the Brazilian Footwear, has as objective the conquer of new destinations for the Brazilian footwear and the increase of shoe sales with higher added value, differentiated design and own brand. The project's goal is to increase the business volume of the participating companies, from the current US$ 43 millions/year to US$ 98 millions/year by June 2008..

And, the agreement with Assintecal has as objective the maintenance of the markets already conquered, such as those of some countries in Latin America, Italy and France, consolidate new markets, such as the countries in Africa and China and search for the penetration in countries that have not as yet been reached such as India and turkey. One of the highlights of the action of the component segment is the investment in fashion, design and technology. With the support provided by APEX-Brasil, the segment is developing several projects that contribute to the qualification and differentiation of the Brazilian components, and this leverages the sales to foreign markets where the segment is becoming a reference on the subject, as for example, Colombia, Mexico and even, more recently, China.

As indicated by the numbers of the Brazilian balance of trade, the work provided by APEX-Brasil in the promotion of the Brazilian products and brands, has given good results. There is still a long path to cross, but it is possible to say that Brazil continues in the game. And playing to win.