Textile sector hopes to export 25% more this year

08/07/2004 - 8h53

São Paulo, July 8, 2004 (Agência Brasil) - Brazil's textile sector hopes to export 25% more this year than in 2003. To achieve this result, it is investing in the image and the quality of Brazilian fashion. Exports between January and May already amount to US$ 720 million. "This year's forecast is for US$ 2 billion in exports, including all stages of the textile productive chain, generating a US$ 700 million surplus, part of overall sales of approximately US$ 23 billion," said the marketing director of the Brazilian Textile Industry Association (Abit), Aref Farkouh, following the conclusion of a series of events in the country's textile and fashion sector.

In the second edition of the Brazil Fashion Show circuit, held in June in three cities (Blumenau, São Paulo, and Rio de Janeiro), the 656 exhibitors, who represented over one thousand brands, did US$ 230.6 million (R$ 700 million) worth of business. The circuit is sponsored by the Abit, with the colloboration of the Brazilian Export Promotion Agency (Apex-Brazil).

"We try to use publicity to sell Brazilian products with greater added value, not just raw materials," observed Farkouh, who underscored the support provided by the Apex. "Nowadays Brazil has all kinds of fibers and textile products. It is not a country specialized in only one product. We have everything, including beachwear, bed, kitchen, and bathroom linens; from jeans to cotton bolls."

During the Brazil Fashion Show, international buyers from 30 countries, such as the United States, France, Portugal, and Switzerland, were responsible for 35% of the deals that were consummated. One of this year's highlights was a group from the Association of Japanese Textile Importers, responsible for a third of Japanese textile purchases. "Japan imports US$ 18 billion per year, and the Association by itself imports US$ 6 billion, that is, three times more than Brazil's entire textile exports," Farkouh informed.

Among the greatest difficulties faced by the sector, according to the director, are the tariffs levied on Brazilian products. "In Europe we have already succeeded in overthrowing the quotas. In the United States, we are still not part of the FTAA (Free Trade Area of the Americas), so we pay more taxes than some other countries," he explained.

Farkouh recalled that Brazil also faces competition from such countries as China, India, and Pakistan, where labor is cheaper. "On the other hand, we still lack the label and prestige of countries like Italy and France," he added.

Reporter: Liésio Pereira
Translator: David Silberstein