Total exports in January total US $ 14.4 billion

Posted by Marina

The accumulated surplus in the Brazilian trade balance in the last 12 months, up to January 2020, is US $ 43.2 billion. Exports in the period totaled US $ 220.3 billion. Imports, US $ 177.1 billion.

Preliminary comparative data point out that the Brazilian trade surplus, accumulated in the last 12 months, is one of the ten largest in the world, and the seventh largest among the economies of the G20, despite a worldwide external demand that continues at a weakened pace.

January 2020 has a trade flow of US $ 30.6 billion. According to the trade balance data released on Monday (03) by the Foreign Trade Secretariat of the Ministry of Economy (Secex / ME), there was a trade deficit of US $ 1.7 billion in the month, largely caused by imports of oil platform worth US $ 2 billion.

Total exports in January 2020, which totaled US $ 14.4 billion, decreased compared to January 2019, as there was a retraction in sales of: oil platforms (-US $ 1.3 billion), crude oil ( -US $ 592 million), cellulose (-US $ 445 million), corn (-US $ 270 million) and soybeans (-US $ 255 million).

In the last 12 months, the Brazilian trade chain has decreased 7.3%, resulting from factors such as: (1) structural adjustments in the commercial relationship between the largest economies in the world, with increased global uncertainty and adverse developments in GDP growth in international trade. (2) On the domestic front, there is an economy in a recovery process, with clear reflections on the contours of the country's trade balance. (3) The challenges facing the Argentine economy, the main destination for Brazilian exports of manufactured goods and third largest trading partner in Brazil. (4) Disease that affected the pig herd in China, the main destination for our exports.

In the specific case of January 2020, according to Secex's undersecretary of Foreign Trade Intelligence and Statistics, Herlon Brandão, foreign sales decreased due to an excessively high comparison base with January 2019. In the first month of last year , there was a large export operation for an oil platform and a historic record for pulp exports (in the amount of US $ 1 billion). In addition, the slowed-down external demand has compressed the international prices of goods and there was a drop in the volume of grain shipped due to the delay in harvest and greater domestic demand.

Regarding imports, which totaled US $ 16.1 billion in January, there was a 6.3% drop in commodity prices, reflecting the global slowdown. However, the volume of foreign purchases expanded by 4.5%, maintaining a growth trend already observed in 2019. As for the economic categories, there was a drop in the value of the acquisition of intermediate goods, of 3.4%, and of fuels, of US $ 15.3%.

On the other hand, purchases of capital goods increased by 6.6% and consumer goods by 6.9%. The increase in imports of capital goods and consumer goods reflects the economic recovery process now underway, driven mainly by the increase in domestic demand, with positive effects on imported volumes. The undersecretary also adds that the trade deficit for January was one-off and should not be a trend for the year.