Brasília – The Brazilian trade balance has entered the month of December on a deficit, following a surplus in November. The deficit stood at US$ 275 million last week, as a result of US$ 4.18 billion in exports and US$ 4.46 billion in imports. Year-to-date, the deficit stands at US$ 368 million. The information was released this Monday (9th) by the Brazilian Ministry of Development, Industry and Foreign Trade.
In the first week of December, exports averaged at US$ 837.6 million per day, down 15.2% from the same period in December 2012. The staples crude oil, cotton, coffee bean, poultry, maize, and iron ore drove the decline, as their sales were down 23.4%. Manufactured goods exports were also down, by 11.2%, topped by aircraft, pumps and compressors, fuel oils, auto parts, refine sugar, cargo vehicles, and chassis with engines. Semi-manufactured goods exports were the only ones to rise, up 2.9% and driven by soy oil, aluminium, ferroalloys, leathers and hides, iron, steel, and wood pulp.
Daily average imports were up 2% as per the daily average in the first week of December from the same period in 2012. The increase was due to higher purchases of aircraft and their parts (102.9%), pharmaceuticals (39.8%), steel and iron products (35.2%), appliances (28.9%), plastics and plastic products (20.7%) and mechanical equipment (7.7%).
Scheduled interruptions of production at oil rigs have driven down oil exports in 2013 and contributed to the trade deficit. Nevertheless, the government believes a minor surplus may still be achieved before the year closes. In an interview, while commenting on the trade balance results in November, the Foreign Trade secretary to the ministry, Daniel Godinho, said December tends to be a month in which imports decline, as a result of collective vacation in the industry and the end of Christmas shopping, seeing as retailers stock up ahead of time.
*Translated by Gabriel Pomerancblum
