Brazilian Footwear Industry: it would regress its performance to 16 years ago

The Brazilian Association of Footwear Industries (ABICALÇADOS) reported negative figures in the sector, as a result of the impact of the pandemic. In this sense, the data disclosed would indicate a return to previous years, in relation to the results in production and exports.

According to the entity, between January-August of this year, there was a 34.8% retraction in the manufacture of footwear, compared to the same months of 2019. The estimate for the whole year is that the industry will contract by 28,6%, taking into account a rebound in the remaining months of 2020, referring to exports and local trade. Thus, the sector would regress to the performance of 16 years ago, according to Priscila Linck -Markets Intelligence Coordinator of the association-, who added that around 260 million pairs would stop being produced.

For its part, the entity estimates that the workforce will fall 17.4% this year, with a total of 222 thousand direct jobs, compared to 269 thousand the previous year.

In relation to exports, ABICALÇADOS projects that 2020 will close with 85 million pairs sold abroad, this is 26.6% less in relation to 2019 figures. For Linck, these results mean returning to the numbers of 37 years ago.

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