Clothing manufacturer in Bangladesh for Brazilian brands

Duty: 35% under the Mercosur tariff

Brazil applies Mercosur’s common external tariff, which runs from zero to 35%, and standard clothing such as t-shirts, jeans and suits sits at the top of that range. Bangladesh has no trade agreement with Brazil or Mercosur, so its garments pay the full rate.

The same 35% applies to the other large Asian origins, so Bangladesh competes with China, India and Vietnam on equal duty terms. The disadvantage is against Mercosur members themselves, whose goods move within the bloc duty-free.

How the import taxes stack

The import duty is only the first layer. The Industrialised Products Tax (IPI) is charged at the rate set for the product in Brazil’s TIPI table, on the customs value plus duty. PIS and COFINS on imports add 11.75% combined under the standard regime. Then the state charges ICMS, typically between 17% and 20% for most products depending on the destination state, and it is calculated “por dentro”: the tax is included in its own base, so the effective rate is higher than the headline one.

Because every layer is charged on a base that includes the layers before it, the total tax on a garment is far more than 35%. Model it with a Brazilian customs broker for your state before you set retail prices.

Brazil’s tax reform

Brazil is replacing its consumption taxes with a dual VAT. After a test year in 2026, the federal CBS replaces PIS and COFINS from 2027, when IPI also falls to zero for most products. The state and municipal IBS then replaces ICMS and ISS gradually, with the transition complete in 2033. The import duty itself is not part of the reform.

For an importer, the practical point is that the tax lines on your landed cost will change during the life of a supplier relationship. Ask your broker which regime applies on the date your goods clear, rather than relying on last year’s calculation.

Register as an importer: RADAR

Every import into Brazil is declared through Siscomex, and a company needs RADAR registration with the Federal Revenue Service, plus a valid digital certificate for its legal representative, to use it. RADAR comes in levels that cap how much a company may import, so check that yours covers the value of the orders you plan.

Labels: Inmetro Portaria 118/2021

Textile labelling in Brazil is governed by Inmetro Ordinance 118 of 11 March 2021. It applies to products made at least 80% of textile fibres by mass and requires permanent, wash-resistant labels showing the fibre composition, the CNPJ of the responsible company, the country of origin, the size, care instructions and the brand. Importers are responsible for the content.

Send us the label text, including your CNPJ, with the tech pack; the labels are made and sewn in at the factory so the goods arrive ready for sale.

Shipping and seasons

Brazilian orders ship by sea from Chattogram with transshipment, usually to Santos, on one of the longer routes from Bangladesh. The seasons are reversed, so an autumn–winter range for Brazil ships during the northern spring. Build the transit and the clearance time into your calendar from the start.