Textile Production Falls in Brazil. Chinese Are Blamed.

Between January and April of this year, the São Paulo, Brazil, textile industry produced 5% less than it did over the same period last year.

According to the president of the Textile Industry Syndicate (Sinditêxtil-SP), Rafael Cervone Neto, one of the factors impeding the sector’s growth is the exchange rate.


“Many entrepreneurs are having to comply with contracts signed last year, when the dollar was on a higher plateau.”


Other problems identified by Cervone are the rise in interest rates and excessive taxation, but he affirms that one of the main obstacles is competition from Chinese products.


The president of the industrial association says that textile firms are very eager for safeguards against Chinese products to be regulated.


The text, which was approved by the Foreign Trade Chamber (Camex) of the Ministry of Development, Industry, and Foreign Trade, will be sent to the Presidential Chief of Staff’s Office and is expected to be turned into two decrees, which are still without definite dates to go into effect.


Despite the deceleration in the São Paulo textile industry, the balance indicates that exports are up 8.1%, maintaining the state’s national leadership in the sector, with a volume of US$ 173.5 million.


The 3,400 companies affiliated with the Sinditêxtil earned a total of US$ 4.54 billion in 2004, and, between January and May of this year, their earnings amounted to US$ 1.89 billion, 1% more than during the same period last year.


Exports came to US$ 415.77 million in 2004 and US$ 173 million in the first five months of this year, which corresponds to an 8% increase.


Imports, on the other hand, totaled US$ 379.44 million last year and US$ 166 million in the first five months of this year, which represents a 20.5% increase.


ABr – www.radiobras.gov.br

Tags:

Ads

You May Also Like

Brazilian Bishops and Pastors Call Lula’s Land Reform a Work of Fiction

Brazilian Catholic Bishop Don Tomás BalduÀ­no, president of the Land Pastoral Commission (CPT), expressed ...

Baby Clothes Maintain a Brazilian City Alive. Now They Want to Sell Overseas

The baby clothes producers from the Local Productive Arrangement (LPA) of Terra Roxa, city ...

Brazil Cattle Raisers Now Raise Caiman for the Meat and Leather

Aguacerito Leather Comércio de Couro Ltda, a Brazilian tannery company, located in the municipality ...

With Exports Down by Half Brazilian Carmakers Urge Lower Export Taxes

An old request of Brazilian businessmen, lower export taxes, was one of the main ...

In Brazil the Price of Eternal Youth Often Is Unbearable Boredom

“The Brazil of 1920 was a landscape of old men,” wrote Nelson Rodrigues in ...

Brazil’s Marfrig Expands Its Presence in Argentina with US$ 20-Million Feedlot

Quickfood, a meat processing group installed in Argentina, but that  belongs to the giant ...

Four Brazilian Indians Nominated for Nobel Peace Prize

Amongst the 52 Brazilian women nominated for the “1000 Women For the Nobel Peace ...

Brazil Confident Foreigners Will Keep Their Money in the Country

Brazilian and Latin American stocks advanced, as investors continued to cheer signs the U.S. ...

Brazilian Government Gets Record Revenue for January

Brazil’s Total government revenue in January was a record for the month: US$ 20.5 ...

Brazilian Top Unions Blast Copom for Not Cutting Interest Rates

Brazil’s two biggest labor unions  in a note signed by their presidents,  have criticized ...