CAENCOM Commission hears detailed report on Brazil as market

Meeting at the 2015 CIBJO Congress, the organisation’s CAENCOM Commission, which serves as a network for executives of industry organisations, was presented with a briefing about the Brazilian jewellery sector by Clarissa Maciel, International Affairs Manager for IBGM, the Brazilian industry association that is hosting the congress this year.

The presentation, entitled “Market Situation Trends and Opportunities,” gave an overview of Brazil's financial situation. Among the economic details that she provided, Ms. Maciel stressed that Brazilian household consumption is high and accounts for about 63 percent of Gross Domestic Product.

The country, which has become a leading global economy in the past decade due to the commodities boom, has a labour force of 111 million people, while unemployment is just 5.7 percent.

Brazil, she said, is the world 11th largest gold producer, the 13th largest consumer of gold, and one of the top three gemstone producers in the world. She presented figures showing that exports of rough last year were $57 million, while exports of cut and polished stones had a value of $131 million.

Among the trends that had been identified in recent years in the country's jewellery industry are that the number of independent retailers is declining, and there is increasing concern with sustainability, fair trade and compliance issues. In addition, jewellery companies are under continuous pressure to reduce production costs.

Ms. Marciel added that major international brands have entered the Brazilian market, and there is a growing number of chains of stores.

She explained that gold-plated jewellery and fashion jewellery set with natural stones are becoming increasingly popular with Brazilian consumers, as is fine jewellery made with smaller amounts of gold.

There has been a slight decline in silver jewellery sales, and rising imports of fine jewellery and fashion jewellery. As with countries in the rest of the world, Brazil's jewellery industry also faces competition for disposable income from electronics products, travel and fashion labels.

IBGM, she said, is a trade association with two offices in Brazil. It is a non-profit organisation, representing the whole of the country's jewellery pipeline from mines to market, and is the Brazilian representative to CIBJO and the International Colored Gemstones Association. IBGM is a member of the Responsible Jewellery Council.

IBGM organizes Brazil's Feninjer trade fair which is held twice a year, with 150 exhibitors of all types of jewellery and watches.

IBGM partners with the government body, Apex Brasil, the Brazilian Trade and Investment Promotion Agency, to boost investment in Brazil and sponsor Brazilian firms at international tradeshows around the world.

Photo Caption: CAENCOM President Simon Rainer address the commission.