Brazilian leather exports increased 26% in terms of revenue and 35% in volume in the first quarter of 2006, from $321.1 million to $403.1 million. 

Italy, China and Hong Kong were the main importers of Brazilian leather accounting for 27.2%, 17.9% and 15.8% of imports respectively. The US, Korea and Canada were also important consumers. Exports to the US increased 47% from $33 million to $48.4 million; Korean imports increased 32% from $6.9 million to $9.1 million; while Canada imported 32% more Brazilian leather than in the same period in 2005, $7.4 million compared with $5.6 million last year.

Despite this positive trend, Brazilian tanners remain concerned that 63% of exports were wet blue, with little added value.

Leather exports, most of which were wet blue, from the state of Mato Grosso, one of Brazil's largest beef producers, grew 625% in the first quarter with 2,761 million tons of hides worth $9,479 million shipped from the state.