Abihpec wait 1% real growth between 3% and for cosmetics in 2017

The industry of cosmetics, hygiene and Perfumery can grow between 1% and 3% in real terms in 2017, according to the expectation of the Brazilian Association of the industry of personal hygiene, perfumery and cosmetics (Abihpec). The information was given by the President of the entity, João Carlos Basilio, during the opening of the fair-cosmetics is in São Paulo.
The evaluation of Basilio is that the real growth rate, discounted for inflation, still will depend on the evolution of end-of-year sales. He said that there is good prospect for sales in seasonal dates, but considered that there is still uncertainty about the risk of impacts of turbulence in the political scenario in consumer confidence.
The Executive said that the industry still must retrieve the third largest market in the world for this industry. Currently, the country is the fourth-placed and is behind Japan, China and the United States.
The Japan went ahead in the Brazilian market in participation in world consumption of hygiene products, perfumes and cosmetics recently, but the evaluation of Basilio is that this change occurred in part by currency changes and that it can reverse in 2018.
Basilio found that the industry suffered during the recession of the brazilian economy. In addition to the fall in consumption, he highlighted the high tax burden on business. Among the tax impacts, the industry underwent a change in recovery of PIS/Cofins, who went on to focus also on the distributors, in addition to raising state taxes on various products.