Report from Go-Tex show in Sao Paulo Brazil
Posted On Monday, November 11, 2013

Report from Go-Tex show in Sao Paulo Brazil




For geography reason South America is always been an unknown and unfamiliar market for our company range, though we know more about North America market as well.   Luckily this time we took the opportunity to visit Brazil and attended the GO-TEX SHOW held in Sao Paulo, hoping to find some chance of future cooperation in our textiles business. 


The show was held for three days from Oct 23th to 25th, and this was the first GO-TEX show we attended and also the first time we came to Brazil. Everything was strange to us and we need to learn more and do more research to dig out where the business chance is. After 3-day GO-TEX show, I got a general idea on the advantages and disadvantages of textiles business between Brazil and China. The advantage is that Brazil is a new market for us and it is the biggest country in South America, as well as the top one in economy and GDP in S. America. The market is large due to its large population, and I believe there is a great potential for this new market. Thus we should learn more about this country if we want to do business with them. Meanwhile I also found some disadvantages.  Brazil is a big country and textiles is also the important industry just like China, so the local government has some policy to protect their local factories. The local labor cost is cheaper than China, so most buyers would like to import fabric from China instead of finished garments. They usually imported fabric and finished workmanship in their own factories. Besides, the buyer would have to pay high tax if importing finished garments from China, so they would choose fabric in priority. However, we could still maintain the opportunity for garment export business to Brazil, as some fashion styles or some technical styles would be popular among the buyers.


With the growing economy in China, we are losing our labor cost advantage, and we need to focus on using new fabric and improving the workmanship quality which would be competitive in future textiles export business. South America is the new market, and we need to make clear for different policies and different cultures. When came back from the show, I am communicating with some customers and trying to establish the business relationship in Brazil. However, we still need take more time to see if they are potential good buyers, and wish to have a good start with customers from Brazil. 



Liu Xing

High Hope Int'l Group Jiangsu Champion Holdings Ltd.