Hide export revenues down by 55%
19/06/2009
The Brazilian Tanners Council (CICB) has reported hide export revenues of US$ 399.6 million for the first five months of 2009, a drop of 55% on the corresponding figure for 2008.
However, the industry body also pointed out that the figures for the month of May showed an 11% increase in revenues and a 3% increase in volume compared to April. Also during May, almost 75% of the value and 58.2% of the volume came from exports of hides with what CICB called “greater added value”, meaning that they were either semi-finished or finished.
CICB president, Luiz Bittencourt, commented: “The 55% drop in the value in hide exports for the first five months of the year is, still, a consequence of the international financial crisis that first affected the US economy and spread from there to almost all parts of the world from September 2008 onwards. Apart from this external obstacle, the tanning industry in Brazil is suffering because of high tax levels, too much bureaucracy, poor infrastructure and, more than anything, the lack of capital available to businesses.”
He said CICB was continuing to lobby the federal government for measures, such as easier access to credit, to help the tanning sector cope with current difficult environment, pointing out that it has given help to the meat sector, which faces similar problems.
Mr Bittencourt added that the Brazilian tanning industry, which contributed 7% of the country’s total export earnings last year with $1.8 billion, was grateful for the support it receives from export promotion agency ApexBrasil.
Share this story:
