Brasília – The National Federation of Industry (CNI, in the Portuguese acronym) has announced this Tuesday (18th) that the Brazilian processing industry’s output is being increasingly sold domestically, as opposed to being exported.
According to the federation, the net export ratio, i.e. the difference between export revenues and the combined value of inputs imported for industry production, was -0.1% in 2013. The figures are part of the Commercial Openness Coefficients survey, issued by the CNI in partnership with the Foreign Trade Studies Centre Foundation (Funcex).
The technicians believe the figures show that the processing industry is now grossing export revenues lower than the combined sum spent on imported inputs. The CNI also reports that the rate of penetration of imports, which measures the share of imported products in domestic consumption, has reached a record 22.3%, the highest since records started being kept in 1996.
Another contributing factor, as per the survey, was the depreciation of the real (Brazilian currency): imports of industrial products were up 7% in United States dollar and 18% in Brazilian real. The CNI has also announced that the ratio of imported-to-domestic inputs was also an all-time high.
*Translated by Gabriel Pomerancblum
