The Ministry of SMEs and Startups has moved to support small and midsize K-beauty companies' entry into Brazil.
The Ministry of SMEs and Startups (MSS) said on the 28th that on the 27th (local time) in São Paulo, Brazil, it visited the Brazilian Association of the Cosmetics, Toiletry and Fragrance Industry (ABIHPEC) and South America's largest e-commerce platform, Mercado Libre, in succession and discussed ways to support small and midsize K-beauty companies' entry into the local market.
Brazil is one of the world's major beauty markets, but because of geographic distance and other factors, the entry of domestic corporations has been relatively limited. However, with the recent spread of the Korean Wave, including K-pop and K-dramas, local interest in K-beauty has grown, making it an emerging promising export market. In particular, with an abundance of diverse natural plant-based ingredients used in cosmetics centered on the Amazon basin, observers say there is significant potential for industrial cooperation.
The visit was arranged to discuss cooperation plans that link Brazil's strengths with the K-beauty industry and to seek government-level support measures.
The Ministry of SMEs and Startups (MSS) discussed cooperation measures across the cosmetics value chain, including raw materials, with ABIHPEC. The two sides broadly consulted on expanding network-building and information exchange between the two countries' corporations; joint research and development (R&D) and production cooperation that combine Brazil's natural resources with domestic technological capabilities; and responses to export regulations.
With Mercado Libre, they agreed that the government, related agencies, and the platform would jointly pursue financial and technical support to facilitate domestic small and midsize cosmetics brands' onboarding to the platform and local marketing. They also discussed a plan for Mercado Libre to visit Korea and hold a consultation event for K-beauty brands expected to enter South American markets, including Brazil.
First Vice Minister Noh Yong-seok of the Ministry of SMEs and Startups (MSS) said, "To further strengthen the global competitiveness of small and midsize cosmetics companies that have recently been driving export growth, we must bolster the industrial ecosystem and continue diversifying export markets," adding, "Based on cooperation with Brazil, which has abundant natural resources and high growth potential, we will expand the foundation for K-beauty's entry into the South American market."