Brazilian industry increasingly directs production for the domestic market, reveals CNI

The production of the Brazilian manufacturing industry for export is virtually stagnant and increasingly geared towards the domestic market. The coefficient of net exports - the difference between the value of exports and the value of imported inputs for industrial production - the first time was negative (-0.1 %) in the manufacturing industry in 2013, reveals the publication of Trade Liberalization Ratios, published Tuesday (18) by the National Confederation of Industry (CNI).

"In general, the manufacturing industry began to generate export revenues to lower expenditure on imported inputs," says the study, conducted in partnership with the Foundation Center for the Study of Foreign Trade (Funcex). The coefficient of import penetration, which measures the share of imports in domestic consumption products reached 22.3 %, the highest since the start of the survey time series in 1996. This indicator increased by 1.6 percentage points last year compared to 2012. " The devaluation of the domestic currency also contributes to the growth coefficient. Dollars in imports of industrial products increased 7 %, and in Real (R$), 18 %," says the publication.

According to the executive manager of Research and Competitiveness CNI, Renato da Fonseca, " at first the devaluation increases the value of imports in real, but later with its costs, imports should reduce the rate of growth or even fall" says.

IMPORT - was also record the coefficient of imported inputs, which is the share of imports in total value of inputs purchased by industry inputs, reaching 24.13% in 2013. Have the export coefficient, which shows the importance of the foreign market for the production industry, with 19.8 % last year, remained almost the same as observed in 2012, when it registered 19.7% ." Just like in 2012, if not for the devaluation of the Real (R$), the coefficient would have fallen," the study points out.

Renato da Fonseca, research Ratios of Trade Liberalization shows that the manufacturing industry is not getting good performance in exports and increasingly directs the production for the domestic market. " The most important industry inputs to reduce costs or improve the quality of their products and become more competitive, which explains in large part the record of the coefficients linked to imports," he concludes.




Brazil has the 3rd largest world economic growth in 2013

Although modest compared to recent years , the pace of GDP growth ( the aconomy’s production of goods and services ) of Brazil was below presented by China and South Korea in 2013 only - between 13 economies that have presented their results as IBGE selected.

The advance of China , incidentally, is not a parameter for anyone. Is 5.7 percentage points above the world average of 3.0% . It is very performance that elevates the average index. All other countries are below this line .

South Korea could well result thereabouts , with 2.8 % growth . The growth of the Brazilian economy in the last year , 2.3% , is just above the 1.9 % variation of the GDP of South Africa , United States and United Kingdom .

The result of the last quarter also keeps the Brazilian economy in the third position among 13 economies that have already published their results , listed by IBGE . This time , the performance of Brazil's GDP is tied with the UK and Netherlands, behind the United States and South Korea

But it is worth mentioning the dismal result of Brazil 's GDP in the third quarter. With the decrease of 0.5 % between July and September , the Brazilian economy had a very low which recover between October and November basis.

This logic also applies to the economic advancement of 2.3 % in 2013 . After all , in 2012 , the Brazilian economy grew just 1.0 % .

Source :


OPEC sees stronger growth in global oil demand in 2014


Forecast reflects the higher economic growth in the U.S. and Europe.

World demand should increase by 1.09 million barrels per day .

World oil demand will rise slightly more than expected in 2014 , predicted on Wednesday ( 12 ) the Organization of the Petroleum Exporting Countries ( OPEC ) . This was the second prediction of a major organization this week pointing higher consumption , as economic growth picks up momentum in Europe and the United States .

OPEC said in a monthly report that world demand will increase by 1.09 million barrels per day ( bpd ) this year , an increase of about 40,000 bpd compared to its previous forecast . The organization also saw the potential for further increases due to a stronger outlook for the developed OECD economies .

OPEC left virtually unchanged its forecast for average oil demand in countries of the group in 2014 , at 29.60 million barrels per day , with the additional demand being offset by an increase in the forecast supply from countries outside of the group .

On Tuesday , the Energy Information Administration ( EIA ) , from the U.S. government raised the expectations of demand growth in 2014 similar to OPEC level .



Production is expected to grow between 2 % and 2.5 % , says teacher

Source : Estadão , Economics & Business , February 4, 2014 .

RIO – The Industry performance in December was " frustrating " , but the outlook for this year is a little better and industrial production is expected to grow between 2.0 % and 2.5 % , evaluated Professor Antonio Correa de Lacerda, of the Department of Economics PUC - SP . For Lacerda, the highest rates favors the industry ( discouraging imports ) and have more influence over the year than negative factors , such as lack of competitiveness and monetary tightening promoted by the Central Bank (CB ) .

" We have almost five years of stagnation . During this period , domestic consumption grew , but much of the demand was met by imports ," said Lacerda . Now , with more and depreciated at second level , with exemptions , exchange the box a little bit better . " Competitiveness is still bad and relative to our competitors , the exchange rate has not changed much . But anyway , there is an improvement ," he added .

The teacher pointed out the weight of the collective for the fall in production in December holidays , as announced on Tuesday the Brazilian Institute of Geography and Statistics ( IBGE ) . Emphasizing that did not actually compare the number of days between December 2012 and 2013, Lacerda said that "there is an impression that stocks were high " end of the year. Companies may have given more shutdowns so .

Even with the most positive outlook for 2014 , Lacerda believes that the " frustrating " performance in December might even lead to a review of projections for the data of Gross Domestic Product ( GDP ) for the fourth quarter . If previously expected growth of 0.5 % from the previous quarter , now the advance should be " between 0.3 % and 0.4 % ," according to the professor.

Source :,producao-deve-crescer-entre-2-e-2-5-diz-professor,177110,0.htm


Petrobras and partners will invest up to $ 500 million in Libra in 2014.

Source: Estadão, Economics & Business, January 23, 2014.

SÃO PAULO - Petrobras and its partners in the area of Libra, in the pre-salt Santos Basin, will invest between $ 400 million and $ 500 million in the project in 2014, according to the work program and budget approved by the companies, reported in a statement on Thursday.

The work program includes drilling two wells commencing in the second half of this year and expected to end in the first half of 2015, plus a seismic reprocessing of the entire block area.

The budget also provides studies for a new seismic acquisition using the latest technology and the realization of the Long Duration Test scheduled for the end of 2016.

The program and budget for Libra in 2014 were approved by the Operating Committee meeting held last Tuesday.

The consortium, composed by Petrobras (40 %), the Anglo-Dutch Shell (20 %), France's Total (20 %) and CNPC (10 %) and Chinese CNOOC (10 %), obtained the right to explore the largest reserve oil in the country after winning auction in October last year.

Petrobras said that the sharing contract Libra states that the block exploratory phase lasts four years after the contract signing, held on December 2nd, 2013.

During this period, the consortium will carry out the activities of the minimum exploratory program, which provides jobs listed from the approved budget.




Product Search

User Access