São Paulo – Exports from Brazil to the Arab countries generated revenues of US$ 15.13 billion in 2011, a figure 20.3% higher than in 2010. In turn, imports grew even further, by 43.36%, and reached US$ 9.98 billion. Thus, the trade balance showed a US$ 5.15 billion surplus on the Brazilian side, and the flow of trade reached US$ 25.13 billion, 28.67% more than in 2010. The figures were issued by the Arab Brazilian Chamber of Commerce this Tuesday (31st), during a press conference at the organization’s headquarters, in São Paulo.
“We are running a surplus in trade with the Arabs,” said Salim Taufic Schahin, president of the Arab Brazilian Chamber. The executive highlighted Brazil’s growing share in total Arab imports. “Three years, Brazil accounted for 1.7%. In 2011, it represented 2.3%. as a result of the Brazilian government’s strong efforts to boost relations with the Arab world, I believe we will be very successful in increasing trade,” he stated.
For 2012, trade between Brazil and Arab countries is expected to grow by 10% to 15%. Schahin claimed that “it is always best to be conservative” when it comes to projections. “One must compare prices and volumes. In 2011, volumes remained stable while prices hiked. We still need to regard the European crisis very carefully. I believe that growth rates worldwide will be lower as a result of the crisis,” he said.
Last year, the Arab world imported the equivalent of US$ 677 billion from the world. “They import US$ 80 billion worth of food alone,” said the Arab Brazilian Chamber, Michel Alaby. “There is plenty of room for [Brazilian exports] to increase in terms of foodstuffs, such as sweets, chocolates, preserves, jams and others,” he added.
The main items shipped from Brazil to the Arabs in 2011 were sugar, whose sales amounted to US$ 4.62 billion and grew by 19.81%; meats, at US$ 3.55 billion, a 9.89% increase; ores, at US$ 2.97 billion and 34.82%; and grain, at US$ 1.17 billion, a 96.83% increase.
“We have also had a significant increase in soy exports,” said Schahin. Soy shipments to the region grew by 170% last year and reached US$ 172 million.
Targets
The leading targets of Brazilian exports last year include Saudi Arabia, at US$ 3.48 billion, 12.19% more than in 2010; Egypt, at US$ 2.62 billion, 33.37% more; the United Arab Emirates, at US$ 2.17 billion (+16.94%); Algeria, at US$ 1.5 billion (+78.09%); and Oman, at US$ 831.79 million, a 449.59% increase, the highest of all countries in the region.
In terms of imports, the leading supplier was Algeria, at US$ 3.14 billion, 32.84% more than in 2010. Saudi Arabia ranked second at US$ 3.09 billion (+50.21); then Morocco, at US$ 1.20 billion (+79.84); Iraq, at US$ 898.19 million (+21.59); and the Emirates, at US$ 478.67 million (+169.87).
Fossil fuels were the main products imported from the Arab countries by Brazil, at US$ 8.03 billion (+39.77); followed by fertilizers, at US$ 1.15 billion (+76.02%); other inputs for the fertilizer industry, at US$ 261.12 million (+51.20%); and plastics and its products, at US$ 176.69 million (+53.61%).
Alaby added that there is room for diversification of Arab products imported to Brazil. “They can sell olive oil, dates, auto parts, perfumes, essences etc.”
“There is a growing will, on the Brazilian government’s part, to relate to the Arab world,” said Schahin. “Relations are growing and the trade is growing,” he said. According to the executive, the Arab world currently accounts for approximately 6% of Brazilian exports.
*Translated by Gabriel Pomerancblum
