São Paulo – Exports from Brazil to the Arab world were record in 2010. The shipments generated US$ 12.57 billion, growth of 34% over 2009. Imports of Arab products grew 33% and ended last year at US$ 6.96 billion, which resulted in a trade surplus of US$ 5.61 billion, also a record figure. The figures were disclosed on Tuesday (1) by the Arab Brazilian Chamber of Commerce.
Arab Brazilian Chamber president Salim Taufic Schahin said, in a press conference at the organisation’s headquarters, in São Paulo, that the performance is the result of work for generation of closer political and trade ties that started early into the government of former president Luiz Inácio Lula da Silva, in 2003.
"And we (the Arab Brazilian Chamber) gave an important contribution to reach this result," said Schahin, referring to the activities promoted by the organisation, mainly in the area of commercial promotion.
The main destinations for Brazilian products in the Arab world were Saudi Arabia, which imported the equivalent to US$ 3.09 billion, growth of 59% over 2009; Egypt, with purchases of US$ 1.97 billion, 36% more, the United Arab Emirates, with US$ 1.85 billion, growth of 4.7%; and Algeria, with US$ 838.75 million, growth of 17%.
The products that Brazil most exported to the region in 2010 were sugar, beef and chicken, as well as iron ore. Schahin pointed out that there is space to expand sales of food in general and other items, like fashion and capital goods.
The Market Development manager at the Arab Brazilian Chamber, Rodrigo Solano, added that the Arab countries imported the equivalent to US$ 500 billion a year in products of several origins, showing the space Brazilian exporters may gain.
Forecast
Despite the political instability in some countries of the region, especially Egypt, Schahin pointed out that trade with Brazil should continue growing. He believes that this year there may be growth of at least 15%.
To the executive, trade relations may suffer a little in the short term, but the tendency in the long term is for growth. He hopes that the situation in Egypt may be solved in a peaceful form.
In this respect, the marketing vice president at the Arab Brazilian Chamber, Rubens Hannun, said that the organisation plans to expand its trade promotion activities and seek the opening of markets for more Brazilian products.
Starting on Wednesday (2), for example, the organisation should be present in Khartoum International Fair, in Sudan, together with the Itamaraty and another three Brazilian companies. In the middle of this month, the Arab Brazilian Chamber is also going to participate in the trade forum to be promoted in the sidelines of the 3rd Summit of South American-Arab Countries (Aspa).
*Translated by Mark Ament
