São Paulo – Brazilian exports to the Arab countries generated US$ 1.21 billion in August, growth of 40.4% over the same period last year, according to figures disclosed by the Ministry of Development, Industry and Foreign Trade, compiled by the Arab Brazilian Chamber of Commerce. “The growth is very expressive. This shows that the Arab market is in the radar of Brazilian companies," said the president at the Arab Brazilian Chamber, Salim Taufic Schahin.
The five main destinations for Brazil were Saudi Arabia, with imports of US$ 270 million, Egypt, with US$ 205.94 million, the United Arab Emirates, with US$ 162 million, Algeria, with US$ 93.64 million and Bahrain, with US$ 83.55 million.
According to the manger of the Market Development Manager at the Arab Brazilian Chamber, Rodrigo Solano, the main products exported in August were sugar (US$ 426.6 million), chicken and beef (US$ 305.4 million) and iron ore (US$ 85.7 million). Apart from traditional products, Solano pointed out the growth of exports of shoes (111%) and machinery (51%) in the month.
Sales of machinery, which include tractors, excavators and compressors, totalled US$ 26.68 million. The main buyers were Saudi Arabia, the United Arab Emirates, Algeria and Egypt. “There are opportunities for other machinery in the Arab market. Egypt, for example, is among the most important Arab countries for industrial machinery," said Solano.
The manager also added that in November the Arab Brazilian Chamber should participate in fair Mactech, of industrial equipment and machinery, to take place in Cairo. “It is a great opportunity for Brazilian companies, he added.
In the shoe sector, in August, Brazil exported US$ 2.74 million to the Arab market. In the case of Saudi Arabia, the growth was 559%. Shoes were also shipped to the Emirates and Kuwait.
Among the main markets in the Arab world, the ones that grew most in August were Egypt, with growth of 116.5% over the same month in 2009, Syria, expansion of 66.6%, Saudi Arabia, 48.8%, and Algeria, 47.2% expansion. To Egypt, the highlight was the eightfold expansion in sales of chicken and beef, which totalled US$ 94 million. Saudi Arabia, in turn, presented growth of 338% in imports of machinery, totalling US$ 10.3 million. The other countries stood out due to the purchase of sugar.
Of the less traditional markets, the highlights in growth were Tunisia (674.85%), Sudan (515%), Bahrain (433.3%), Libya (320%) and Somalia (300%). Iron ore was the product most shipped to Libya and Bahrain, for example. In the case of Bahrain, the product represented 96% of Brazilian exports. To Libya, iron ore has been standing out. In the Arab market, the country is the fourth main importer of the product. “Libya is living a ‘boom’ in construction, this demand for iron ore is natural," said Solano.
Accumulated
From January to August, Brazilian exports to the Arab market totalled US$ 7.35 billion, growth of 21.6% over the same period last year. Saudi Arabia, Egypt, the United Arab Emirates, Algeria and Morocco were the main destinations.
The products shipped most were sugar (US$ 2.18 billion), chicken and beef (US$ 2.15 billion), ores (US$ 1.34 billion), machinery (US$ 162.4 million) and gold in bulk (US$ 149 million).
On the other lane, Brazil imported US$ 4.5 billion from the Arabs in the first eight months of the year, representing growth of 37.8% over the same period in 2009. Mineral fuel, fertilizers and plastics were the main products bought from Algeria, Saudi Arabia, Iraq, Morocco and the Emirates.
*Translated by Mark Ament
