Lack of brakes organic market legislation

In the country of the acai berry and the Brazil nuts, organic cosmetics production crawls. Despite the enviable biodiversity, the lack of regulation puts the country at a disadvantage compared with American and European companies. The national manufacturers stamp and munem certifications in search of a consumer worried about health, careful with labels and package inserts, and willing to pay a little more. Despite the legal limbo, companies operating in the country are expecting growth this year, in part, due to exports.
The organic cosmetic is one produced without animal testing, animal ingredients, petrochemicals, pesticides and artificial fertilizers. But there is a clear criterion to differentiate what is natural what is organic.
According to the national agency of sanitary surveillance (Anvisa), the industrial process transforms substances and raw materials, which doesn't match the organic nomenclature on the labels. The debate is suspended for five years in the country.
In 2010, the Government determined that, from January 1, 2011, to be called organic, products such as food, textiles, beverages and cosmetics should be stamped with an official seal. The Ministry of agriculture established the food sector, but the Anvisa claimed that there was no international scientific literature to prove what is a organic cosmetics. That's why I didn't want to commit to endorse cosmetics. These, then, went into a legal limbo. Sought, the Anvisa reaffirmed its position: the "Brazilian health law does not contain the category ' organic ' cosmetic and, therefore, currently, there are no parameters nor scientific criteria that indicate when a cosmetic product can be regarded as such".
Natura cosmetics manufacturer in the country, reported that uses some organic ingredients in their formulations, especially the organic alcohol. But note that the use of organic alcohol as an ingredient does not configure a "cosmetic product with organic certification, according to the Brazilian legislation". For that sets these products as renewable vegetable source.
Part of the manufacturers in Brazil using private certifiers to classify their products as organic. Brazilian Surya, on the market for 20 years, adopts Cosmebio, Ecocert international stamps, Cruelty Free and Vegan.org. The Weleda, based in Switzerland, has opted for the IBD, largest natural and organic products certification of Latin America.
The British research firm Organic Monitor estimates at just $ 50 million the size of organic beauty products market in Latin America. Around the world, is valued at $ 10.4 billion in 2011, were $ 9.1 billion. Sales are concentrated in North America, cradle of the Bare Escentuals American, Aveda and Origins; and in Europe, where is The Body Shop, the French group L'oreal.
The national organic cosmetics market is quite fragmented, with many small businesses and families. The Surya, one of the largest organic cosmetic brands in the country, according to Organic Monitor, is a family company. Reached 95% of American territory and much of Europe. The way was opened with the participation in international fairs and by foreigners interested in reselling the brand in their countries.
For the founder of Surya, Clelia Angelon, the Brazilian beauty organic products is still shy. She looks at the India and North European countries as sources of growth. This year, she estimates an increase of 50% of revenue, compared to 2014, driven by entry into countries such as Czech Republic, Philippines and India.
Leticia Hara, commercial Director of Weleda, Switzerland brand present in Brazil since 1959, says that the market grows with consumer education. "The life of the product is shorter due to the absence of synthetic additives. The natural raw materials have a higher cost. You cannot compete in price with a conventional company. The dispute is the quality and is centered in the consciousness of the consumer. " Weleda's net revenue in Brazil totaled r $ 36 million in 2014, with an increase of 20% over the previous year. The expectation is to keep expanding at the same rate in 2015. Cosmetics account for 30% of the company's revenue in Brazil, which also sells medicines and teas.
Reflection of the emphasis on natural and organic products, Avon began sales for catalog and e-commerce Greek Korres brand in Brazil in May. The American multinational will be responsible for the production of products on domestic soil, but will import raw materials from Greece.
L ' Oréal strengthens the focus on that market with specialty brands, such as The Body Shop and Kiehl's, and also through lines like Garnier, which uses ingredients of Brazilian biodiversity. The multinational invests in typical assets of the country, as murumuru, pracaxi and babassu and established practices such as sustainable harvesting. "The goal is to move closer to the needs of the consumer and the wealth of local knowledge," says the company.
The American research firm estimates that the overall market Transparency of organic personal care products will reach $ 15,69 billion in 2020, with annual growth of 9.3% 2014 until the end of the Decade. Is the advance faster among all segments, driven by consumer health concerns. The skin products are the most popular, followed by those with hair care