Aimed at strengthening buyer markets and opening up promising markets and new businesses, CICB's Trade Intelligence carries out a series of trade missions to countries that have buying potential for Brazil's tanning industry.
Market diversification has been one of the CICB's targets. More than supplying China, Italy and the United States (traditional buyers), the project believes that the Brazilian leather industry can expand its sales to alternative countries that demonstrate promising buying potential.
Brazilian participation in this market still has very large potential for growth, since in 2014 it was around 2%. Spain is also among the world's major importers of hides and skins, with almost $600 million in 2014 excluding raw hides, according to data from Comtrade.
The market for Brazilian leather in China, including Honk Kong, is still mainly focused on leathers for the upholstery market. We aim to keep that market conquered, as well as to recuperate from the fall of 2015 with the expansion of sales to new segments, such as footwear and artifacts.
The share of Brazil's exports to Poland is slim (below 1%), but the possibilities are great, as it imported more than US$500 million in 2013, ranking among the world's major importers. With a growth of 28% between 2010 and 2013, it shows itself as a potential market that needs to be explored.
The US was the 10th largest importer of leathers and hides in 2013, with a focus mainly on finished hides. In addition to maintenance, we have to increase leather sales for the automotive market and leather for niche markets, with strong development and design in artifacts and other leather goods.
Actions and prospects, together with business missions, rounds of business, buying projects in Brazil and sellers in India have shown strong results. However, this market still needs actions with greater impact, and an increase the number of companies involved.
Italy remains the benchmark for the world leather market. This country requires clearer prospects, with a search for greater integration within the sector entities of leather, footwear, artifacts and other leather goods, as well as in the automotive sector. Analyzing and projecting possible business missions for the coming years is also a main priority.
Vietnam became the world's third largest importer of hides and skins in 2013. It now ranks higher than countries like Germany and South Korea, so it is a demanding market that has little raw materials of its own, and needs to import most of what it lacks, mainly in finished leather.
Thailand remains a target country for the sector as it remains among the 15 largest importers in the world. Market development is still needed, as well as the search for greater integration with sector entities, planning of occasional business missions and participation in sector fairs.