Keep old friends, win new ones
Fuga Couros was founded in Marau in Rio Grande do Sul in southern Brazil in 1947 by José Fuga. The company has grown; it now runs tanneries in other parts of Brazil too and has interests in livestock farming, meat production, pet food production and biodiesel. In 2018, it became the first tannery to achieve certification under the Brazilian Leather Certification of Sustainability (CSCB). Eduardo Fuga is part of the second generation of the family to run the company. He is currently its commercial director.
What is the situation of the Brazilian leather industry at the moment?
The parts of the Brazilian industry that work exclusively for the domestic market are suffering. We have had a number of consecutive increases in raw material prices, high export demand for that raw material, and low slaughter. All of this is pushing the price of Brazilian raw material to levels that the domestic leather industry is unable to absorb and unable to pass on to our domestic customers. It would also be difficult for any overseas customer to pay the necessary price and still to leave some margin for our companies. In essence, the situation is really difficult for Brazilian tanneries.
What are your expectations for the rest of 2021 and for 2022, for the global industry, the industry in Brazil and for Fuga Couros specifically?
The expectations for 2021 are that the virus situation will stabilise, commerce will reopen and life will start to return to normal. Then the consumption that has been suppressed may increase, enabling the industry to produce more. In the same way, the raw material situation that has been affected by the reduced cattle slaughter numbers, can normalise. We hope to enter 2022, optimistically speaking, in a better position.
What was the significance for Fuga Couros of being the first leather manufacturer to achieve the Brazilian Leather Certification of Sustainability (CSCB) accreditation from national leather industry association, CICB, in 2018?
It was very gratifying to be the first Brazilian tannery to be certified with the sustainability accreditation. Being a family business and being part of the second generation to run the business, this was very important. We have leather and tanning in our DNA. It was good to be able to show to Brazil and to the world that leather is a sustainable product and that our company meets the required environmental and social responsibility standards. Being the first to get the certification was something priceless for Fuga Couros, so much more than a prize. It showed how far we have come in evolving our ideas.
What are the advantages and disadvantages of being first?
We can only see advantages. This accreditation confirmed that we are achieving what the world is looking for, sustainability.
What difference do you think CSCB certification has made in the opinion that furniture, accessory or footwear companies have of leather? Has CSCB helped leather win new friends or at least keep its old friends?
In our opinion actions like the CSCB programme can make a big difference. The programme is extremely important for tanneries and for communities because it promotes environmental, economic and social care, which is becoming more and more necessary all the time. CSCB has definitely helped us to keep our old friends and win new ones.
Please explain what the José Fuga Foundation is and how it works?
The José Fuga Foundation is a non-profit organisation that aims to promote the ideals of solidarity and community action within the neighbourhood in which the tannery is situated. The facilities available include an open library, a choir, and classes in home economics and the basics of business. There are also English lessons and digital inclusion courses for children and adults. The foundation was run by Lídia Fuga, my mother, in memory of José Fuga, my father and the founder of Fuga Couros. My mother passed away in October 2020 and since then the Fuga Couros company has assumed the running of the foundation.
Of all the ways in which the José Fuga Foundation has helped people, which are the examples that have given you the greatest satisfaction?
We believe that the greatest satisfaction is to know that the foundation is in a position to help teenagers and younger children from the families of the workers at our tannery in Marau, and that this help is also available to other young people with a connection to the community.
All Credits: Fuga Couros
