How To Get Gold In Brazil'S Spinning And Clothing Industry?

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The small weave of the net introduces Brazil spinning and clothing industry: how to rush for gold?

As the sixth largest economy in the world, and the Brazil of the "BRIC" country, the economy has developed rapidly in recent years, and the level of national consumption has been continuously improved.

In the eyes of many investors and traders, this "football kingdom", which is pregnant with hope and opportunity, has long been crowned "hot earth".

In terms of textile and garment industry, 200 million of the population size and the rapid rise of the middle class make it a bridgehead for export companies to compete after the traditional markets such as Europe, America and Japan.

However, in the southern hemisphere, while Brazil is showing the charm of the market, the unique characteristics of consumption and business habits become the challenges that enterprises have to face.

How to search for gold on the hot land? Find the best customers in a limited time, reduce the risk of Commerce and trade while harvesting orders.

This series of problems has become the focus of enterprises that are interested in developing the Brazil market.

Understand market characteristics, profit season orders

Speaking of the impression of Brazil, most people will think of the hot Samba dance, the football culture surging in the streets, and the colorful flip flops and fashionable clothes.

In some export enterprises, the charm of Brazil market is closely related to its rising economic indicators.

Jiangsu SOHO Clothing Co., Ltd. will attend the GOTEX international textile and garment Procurement Exhibition in St Paul, Brazil for the first time this year. Manager Li told reporters: "in recent years, Brazil's economic performance is very prominent in Latin America.

In particular, people's purchasing power has greatly improved.

At present, our company has little export business to Brazil. We mainly want to further understand the market demand.

Brazilian style of dress has always given people a sense of ease and color. Apart from these intuitive feelings, Brazil's textile and garment market also has its own characteristics.

Due to the southern hemisphere, the climate of Brazil and the European and American countries are just out of season. This market characteristics are valued by garment exporting enterprises.

Shanghai Shenda import and Export Co., Ltd. currently has 1/3 export business concentrated in the US market.

Ge Hong, manager of the company's Department, said that in addition to optimistic about the consumption potential of Brazil market, anti season orders also let it dig into another value on the "hot earth".

"Brazil consumers like to follow the fashion of Europe and the United States, and the clothing sold on the market is anti seasonal.

For our enterprises, the off-season orders with European and American markets can make full use of capacity and effectively increase production efficiency.

Ge Hong said.

"Spring and summer products are sold in autumn and winter, and autumn and winter products are sold in spring and summer".

When foreign trade is generally cold and short of peak season, anti demand seasonal products are often the focus of export enterprises.

The clothing manufacturers that have the same idea with Ge Hong are not a minority. They also believe that under the condition of poor international economic situation, we should pay more attention to the sales market, such as Brazil's anti season products, which can bring more profits to enterprises.

Rely on brand exhibition to contact effective customers

Garment enterprises found business opportunities for Brazil merchants to buy off-season, and for the upstream yarn fabric enterprises, the Brazil market also holds opportunities.

In recent years, the total import volume of textiles and clothing in Brazil has been around 6 billion US dollars.

Judging from the type of imported products, the main imported varieties of Brazil are chemical fiber / blended fabrics, woven fabrics of chemical fiber / cotton, chemical fiber yarns, industrial / functional textiles, accessories accessories, etc.

Tongling Huayuan

The main products of the company are hemp yarn and linen fabric.

At present, the company has some stable customers in the South American market.

However, at the beginning of opening up the market, it is difficult for the company to find reliable and efficient platform to reach high-quality customers.

"In the past few years, we have also participated in some textile and clothing exhibitions held in Brazil, but the overall effect is not very good.

This year, I chose to participate in the GOTEX exhibition, mainly because this is our industry's own exhibition, and we also trust the sponsor's ability to do exhibitions.

Zhang's manager of the company commented that the past exhibitions in Brazil were not very formal, so he had great expectations for the results of the exhibition.

Two years ago, there was no exhibition suitable for China's textile and garment industry to adapt to the development trend of textile and garment supply chain. Even for the export enterprises that were looking forward to this "hot spot", Brazil could only find opportunities in the process of "fighting alone".

To fill gaps in the market, help enterprises to develop the South American market.

In October 2013, Brazil Brazil St Paul international textile purchasing exhibition was first organized by the China Textile Promotion Association of the International Trade Promotion Council and the China Textile Import and Export Chamber of commerce joint FCEM International Exhibition Co., Ltd., St Paul.

In order to enable exhibitors to reach more and more effective customers, the organizers have invested a lot of manpower and material resources in the organization of professional audiences.

According to statistics, the 3 day exhibition attracted nearly 5000 trade audiences.

According to the exhibitors' questionnaires recovered by the exhibition, the overwhelming majority of exhibitors approved the organization and effect of the exhibition.

Strengthening qualification review to lock in the best customers

This year's GOTEX exhibition will be held on October 27~29 in St Paul, Brazil.

With a customized display platform for China's textile and garment enterprises, how to get to know high-quality customers and achieve the desired business results in just a few days is a test of the management wisdom of participating enterprises.

In fact, not only in Brazil, exhibitors will receive many business cards at any overseas exhibition.

What are the partners who are willing to deal with for a long time? What are the small customers with low reputation? All these need to be judged by the enterprises themselves.

Experienced traders: in the Brazil market, the official language is Portuguese.

If a customer contacted by a company can only speak Portuguese, the size of the company may be small, or he is not a real buyer.

Because buyers from large companies usually speak English.

Regardless of whether this method can ensure that there is no omission of quality customers, at least remind enterprises to understand the characteristics of local buyers before they go to the exhibition.

In Brazil, Shanzhai and smuggling market are huge, so it is more important to identify high-quality merchants.

Ge Hong, a Shanghai Shan Company, said: "we can't just judge by a face-to-face meeting at the exhibition," he said.

It can only be judged by the exhibition, such as importers or department stores.

After returning home, we will check the information on the Internet according to his business card, so as to reduce the risk and choose some customers who can cooperate for a long time through follow-up contact.

Using credit protection tools to avoid trade risks

In view of Brazil's consumer market, there is another characteristic that we must mention, that is, the prevalence of installment payment.

Small to a pair of socks, large to a refrigerator, can be paid in installments through credit cards.

For home textile products, installments are more than 70%.

The main reason for such consumer behavior is that Brazil experienced more than 30 years of high inflation during the 60s and 90s of last century, and consumers developed the habit of spending money in the future.

In terms of international trade, Brazil enterprises generally adopt general trade mode from China. Most of the payment methods take 20% or 30% of the total amount paid. After shipment, they are informed by the bill of lading or payment by documents.

However, there are also some parts of the Brazil company which, for various reasons, will ask suppliers for installments.

For this reason, some export companies admit that because of the long account period and the high risk of late payment, it is difficult for them to accept such payment.

Ge Hong, Shanghai's Shen Da company, said it could effectively avoid trade risks by adopting insurance and credit investigation, and at the same time, it would not miss business opportunities.

"If the customer proposes installment payment, we will take advantage of the export credit insurance company's insurance, according to its credit to customers.

As a result, we should decide whether to continue cooperation.

This will protect the interests of the company, and on the other hand, it will not refuse some good customers because of the payment method.

Ge Hong said.