Brazil Tanning Giant JBS Seeks Business Opportunities By Exhibition

At the China International Leather Fair held in Shanghai, the interests of Brazil sun merchants have been rising every year.

Therefore, we can see more exhibitors and more booths in Brazil this year than in previous years.

JBS, a meat processing giant in Brazil, displays its quality products at the entrance D01 near the E7 leather tanning exhibition hall, looking for business opportunities.

The tanneries of the group located in Rio Brilhante (South Mato Grosso) and Estancia Velha (South Rio Grande Dezhou) will be discontinued.

JBS said that the group is pferring the leather production in these areas to other tanneries. The tanneries are equipped with new machines, and the layout is perfect and the geographical location is superior, which greatly improves the efficiency of enterprise logistics.

It is expected that this action will save the company $45 million a year.

JBS has shut down four tanneries that produce hard skins and finished leather.

The remaining products of the four tanneries have been pferred to other tanneries in the group which are under orders and lack of production.

Although the group is still processing 25-30000 leather products every day, the news of closing tanneries is shocking and the price is falling.

At present, JBS has invested $60 million to build tanneries in caspwell (Parana), itenvilla (state of Yasia), Lins (St Paul state) and U Belin Dia (Minas Djilas) to provide more advanced technology, quality working conditions and environment for the plant.

The cost of plant consolidation will help to save costs. JBS expects its investment to pay off in the next 16 months.

According to Roberto Motta Da Silva, chief executive of leather industry in JBS, the procurement strategy of raw materials has not changed. The quantity of raw materials purchased by JBS is the same as usual. The relationship between JBS and the original supplier has not changed, and there is no need to adjust the market demand in Brazil.