Exports may reinvigorate economy

Exports may contribute to restoring the Brazilian economy in its current phase of “major fiscal adjustment,” said Armando Monteiro,  minister of Development, Industry and Foreign Trade. He argued that the dollar hike is an opportunity for the country. “The exchange is on our side,” he said during a hearing Thursday (Jun 25) at the Senate.

Monteiro expressed his for more solid funding devices aimed at providing incentives to the country's overseas trade. He conceded that the industrial sector has undergone a significant impact arising from the surge in energy prices, and that “Brazil must have an energy policy for the industry, with  costs compatible with the international market,” he said, further endorsing a larger supply of natural gas in the country.

In his view, the Brazilian economy is still very much closed—a fact made visible by the nation's seventh place in global trade coupled with 25th position in the ranking for exports. “There's room for Brazil to take up a more crucial position in world commerce,” declared the minister, who launched Wednesday (24) the National Plan for Exports, aimed at encouraging the growth in the sector over the years.

The initiative is to remain in effect until 2018, and encomes a series of measures for boosting foreign sales through a higher number of companies in external trade as well as a more diversified agenda. The focus is to be cast on goods of technological density, as well as moves that should increase the exports in the agribusiness sector and in that of manufactured products.

While devising its new plan, the government listed 32 countries viewed as Brazil's top targets for the increase in foreign sales, among which both traditional and emerging markets. In 2014, Brazilian exports totaled $225.1 billion. This year, by June 22, according to official data, outbound shipping reached $88.331 billion, and purchases from overseas amounted to $87.417 billion—bringing the balance of trade to a positive $914 million.

Daniel Lima contributed to this article.

Translated by Fabrício Ferreira

Relacionadas

Brazil unveils National Plan for Exports