Isaura Daniel*
São Paulo – Sales of Brazilian agribusiness products to the Arab countries grew well over the national average in October. While the country export revenues as a whole rose 16.9% in the month, sales to the Arab world grew 33%.
From January to October the same movement took place. Brazilian agribusiness sales revenues as a whole rose 9.6% and to the Arabs the increase was around 24%. According to the president of the Arab Brazilian Chamber of Commerce, Antonio Sarkis Jr., sales to the region should continue above the national average at year-end.
In October, Brazilian agribusiness had revenues of US$ 292.1 million with sales to the countries in the League of Arab States, against US$ 219.4 million in the same month in 2004. The increase was US$ 72.6 million. Between January and October this year revenues totalled US$ 2.87 billion against US$ 2.31 billion in the same months last year. The growth in revenues was US$ 562.4 million.
The countries responsible for the purchase of greater volumes in October were, in order, Saudi Arabia, Egypt, the United Arab Emirates, Algeria and Morocco. In the first ten months of the year, the list was also led by Saudi Arabia, followed by the Emirates, Egypt, Kuwait and Morocco.
Most of these countries increased their Brazilian sugar and coffee imports. Coffee and sugar, recalled Sarkis, are traditional products in the trade basket with the Arabs. "The demand there is for sugar in the Arab countries is greater than the Brazilian offer. It is possible to expand sales to the region even further," stated the president of the Arab Brazilian Chamber.
Saudi Arabia, for example, purchased a total of US$ 32 million in Brazilian sugar in October, against US$ 2.8 million in the month in 2004. The purchase of Brazilian meats by the Saudis grew 49.89%, those of coffee grew 149% and cellulose and paper 910%. The Emirates purchased 825% more sugar, 20.17% more meats and 116% more coffee.
Egypt, despite being one of the main importers of Brazilian agribusiness products among the Arabs, bought less sugar and meats from Brazil in October. The country, however, increased its purchases of coffee by 14.84%, of cellulose and paper by 262% and of wood by 39.7%. Algeria purchased more coffee, tobacco and paper. Morocco bought more meats and coffee and Kuwait bought more Brazilian beef.
The Arab countries that most increased their purchases in October, however, in terms of percentage and in this order were Iraq, Sudan, Mauritania, Kuwait and the Comoros. Iraqi purchases rose from US$ 178,000 in October last year to US$ 11.5 million in the same month this year. The increase was pushed by sugar and meats.
Between January and October, the Arab nations that grew most as destinations for Brazilian agribusiness were, in order, Sudan, the Comoros, Djibouti, Jordan and Yemen. Sales to Sudan rose from US$ 3.5 million in the first ten months of 2004 to US$ 15.5 million in the same period in 2005. "These figures are a reflex of the opening of the Sudanese embassy and of the work it has been developing," stated Sarkis. The African country opened its embassy in Brazilian capital Brasília in the middle of 2004.
Brazilian agribusiness and livestock exports as a whole reached US$ 36.2 billion between January and October and had a surplus of US$ 32 billion. In the accumulated result for the last twelve months, exports have already totalled US$ 42.1 billion, with a surplus of US$ 37.1 billion.
*Translated by Mark Ament
