São Paulo – In 2011, Brazilian cooperatives achieved their best foreign trade results since 2005, when the historical series was initiated. Figures issued last Wednesday (18th) by the Brazilian Ministry of Development, Industry and Foreign Trade show that cooperatives exported the equivalent of US$ 6.175 billion in 2011, 39.8% more than in 2010. Imports increased by 29.6% during the period, from US$ 274 million in 2010 to US$ 355.2 million in 2011. The resulting surplus was US$ 5.819 billion, 40.4% higher than in 2010.
A survey conducted by the Organization of Brazilian Cooperatives (OCB), based on the ministry figures, shows that 18 countries in the Middle East and North Africa purchased the equivalent of US$ 1.034 billion, i.e. 16.8% of total exports.
To OCB market analyst Marco Morato, sector results were higher due to the commodity price hike seen in 2001. “Prices went up by up to 39.8%. In terms of number of products shipped, however, there was a 3.6% increase over 2010. There was a price recovery,” he said. This was not the sole contributing factor to the record-high result. “We are also maintaining and recovering markets. In 2011, the United States overtook China and returned to being the leading importers.”
According to the ministry figures, the United States purchased US$ 739.2 million worth of products from cooperatives in 2011, a figure equivalent to 12% of total sales. China imported the equivalent of US$ 736.1 million (11.9%), followed by the United Arab Emirates, which purchased the equivalent of US$ 526.3 million (8.5%), Germany (7.2%) and the Netherlands (5.1%).
According to Morato, the United Arab Emirates are major buyers because there is a strong demand for food in the country. He underscores that Arab countries undergoing political instability, such as Egypt and Syria, are expected to have oscillating imports until their situation stabilizes.
Out of all Arab countries, Algeria was the second leading importer of products from Brazilian cooperatives, after the Emirates. The North African country imported US$ 155.9 million in 2011, or 414.7 tonnes of products, followed by Saudi Arabia, Egypt and Yemen. The figures include Iran, which is not an Arab country and ranks sixth among leading Middle Eastern importers. Mauritania, Morocco, Syria, Sudan, Oman, Qatar, Lebanon, Jordan, Kuwait, Iraq, Libya and Bahrain were also buyers of Brazilian cooperatives’ products in the Middle East and North Africa in 2011.
The OCB expects that in 2012, prices will rise less than in 2011. The organization also expects to raise its sales volume this year and set a new export record. For such, says Morato, investment in professional training and product quality is required, and the organization is already doing so. Another path to greater exports would be new bilateral trade agreements between Brazil and other countries. “We hope to set another record at the end of 2012, and grow by 4% to 6% compared with this year. Product prices are not going to increase as much, they tend to stabilize,” he said.
Refined sugar was the top cooperative export product in 2011. Sales amounted to US$ 1.048 billion, or 17% of total sales. Coffee bean (13.6% of total sales), soy bean (11.3%), raw sugar (11%), poultry offal (9.2%) and ethanol (8.7%) were the leading export products after sugar. The states of Brazil that shipped the most products via cooperatives were São Paulo, Paraná, Minas Gerais, Rio Grande do Sul and Santa Catarina.
As for imports, cooperatives purchased mainly potassium chloride, at a total of US$ 58.5 million, nitrogenated urea, ammonium dihydrogen phosphate, brewing barley and maize grain. The leading supplier was Argentina.
*Translated by Gabriel Pomerancblum
