Brazilian beauty companies continue to boom

According to the ABIHPEC, the Brazilian Association for Cosmetics, Toiletries and Fragrances, total sales came in at R$17.3bn ($8.28bn), a figure that was backed up by 7.6 per cent increase in sales volume despite an unfavorable exchange rate against foreign currencies. But the exchange rate did not stop demand for Brazilian personal care products overseas, with exports to 132 countries racing by 20 per cent to reach $500m and increasing the country's standing on the global market.. "We have doubled our foreign trade in only 3 years.The growth in our exports this year surpassed the international average, indicating that we have expanded our share of the world market,​" asserts João Carlos Basilio da Silva, president of ABIHPEC​. But likewise, in line with significant economic growth in the country, imports of personal care products rose 35 per cent to reach $285.4m. In recent years much as been done to stabilize and develop the Brazilian economy. In 2006 the economy grew by 2.7 per cent, but in 2007 that figure is expected to reach between 3 – 3.5 per cent. Economic stability has brought significant employment opportunities, in particular to women, many of whom are now incorporating jobs into their family lives. Indeed, many of those new jobs have been found within the cosmetics industry, with many women being employed in the fabrication of personal care products, as well as the direct sales field. According to ABIHPEC, direct jobs grew 5.8 per cent in 2006, repeating the performance recorded in 2005, and higher than the growth in the general employment rate posted for the economy. The employment situation has in turn has led to a new-found economic power for females in the country, a significant proportion of which is being spent on cosmetic and toiletry products. In line with this, the US dollar rate of consumption for personal care items in Brazil grew by 32.4 per cent in 2005, versus an 8.2 per cent gain in the global market, giving the country the fourth ranking position in the world, and putting it ahead of traditional markets like Germany and England. Although the domestic consumption rates for 2006 have not yet been calculated, Basilio believes that once they are revealed it will show that the country has been elevated to an even higher status on the global market. "If our expected growth rate stays on track, we'll climb to third in the 2006 survey, surpassing even the French consumer market and losing only to Japan and the U.S.,​" he said. ABIHPEC claims that currently Brazil is the world's second largest consumer of deodorants and kids' products, and ranks third in hair care products and in toiletries, fourth in oral care, fifth in bath and men's products, seventy in color cosmetics, eighth in sunscreens, nineth in skin care products, and tenth in depilatories.