Appreciation Of Brazil's Domestic Currency Affects Shoe Export Volume

Brazil's strong domestic currency, rial, is affecting Brazil's shoe exports this year. In the first seven months of this year, the export volume of shoes in Brazil reached 66 million pairs, compared with 89 million pairs of shoes exported in the same period last year, indicating that the volume of exports decreased by 25.8%. Exports in the first seven months of this year amounted to $777 million 100 thousand, compared with the same period last year. Exit The amount of US $901 million represents a 25.8% drop in revenue.

The shoe export performance is in stark contrast to the shoe import situation, which resulted in an increase of 19% in footwear imports due to the strong performance of rial, which led to cheaper imports from Brazil consumers.

The number of shoes exported from Brazil to the United States dropped from 23 million pairs to 7 million pairs from January to July, a decrease of 70.2%. The income from the United States dropped from 228 million 700 thousand to 146 million 100 thousand dollars, or 36.1%. The number of shoes exported to Brazil by the United Kingdom was 5 million pairs in the first seven months of 2010, down to 2 million 200 thousand pairs in the same period this year, a decrease of 55.2%, and the revenue from Britain dropped from 61 million 500 thousand US dollars to 11 million 10 thousand US dollars. The same is true of shoes exported to Italy from Brazil, with a drop of 31.8% in exports and a 31.6% decrease in earnings.

In July, the leather industry suffered little. Export of raw hide The volume is only 1 million 700 thousand, and it is the smallest export volume since the price dropped to the lowest level in March 2009. The data in July showed a decrease of 11% compared with the previous month in June.

One comfort message is that the cumulative sales figures in the first seven months of 2011 showed that the total export volume of raw skins was 16 million 300 thousand, compared with the cumulative sales figures for the same period in 2010, or 1%. Moreover, the cumulative export value of US $1 billion 200 million in the first seven months of 2011 was 18% higher than that of the same period last year.

One of the reasons for the higher value is that 65.7% of the export products are Leather pad And the finished leather, Brazil Drying Industry Association said this is a brand new record. In 2000, 70% of the export of raw hide was wet blue. In the first seven months of 2011, wet skins accounted for 34.3% of the proportion of raw skins sold to overseas customers, the lowest number ever recorded.