Alexandre Rocha*
São Paulo – Between January and October this year, the figures for trade between Brazil and the Arabs have already exceeded the total for the whole of 2004. Exports generated US$ 4,279 billion, imports generated US$ 4.294 billion and bilateral trade has reached US$ 8.573 billion. Last year, Brazil sold the equivalent to US$ 4.034 billion and purchased US$ 4.157 billion, which resulted in bilateral trade of US$ 8.192 billion. These figures were supplied by the Foreign Trade Secretariat (Secex).
"We believed that these figures were only going to be reached in the second half of November, but that happened at the end of October. This fact may be connected to greater Brazilian knowledge of the Arab market and vice versa," stated the president of the Arab Brazilian Chamber of Commerce, Antonio Sarkis Jr. He believes that up to the end of the year, bilateral trade may even exceed US$ 10 billion.
The October figures show that trade between Brazil and the Arabs is still balanced in terms of values. "The trade that has been stable for years, a fact that is good for both sides, as it guarantees stability in relations," declared Sarkis.
In comparison to the first 10 months of 2004, Brazilian exports to the Arab world have grown 27.7% and imports, 28.4%. "Trade with the Arab world is still growing over the national average, this shows that the region has been consolidated as an important market," added the president of the Chamber. In the same period, Brazilian exports as a whole rose 22.1% and imports, 18.1%.
Fairs, meetings and missions
Sarkis recalled how important the summit of Arab and South American countries, which took place in May, was to business, as it "brought together the businessmen on both sides," and addressed other events that may provide an even greater impulse to trade at the end of this year and the beginning of the next.
In November alone, the Syrian minister of Economy, Amir Housni Lutfi, is going to visit Brazil, the Brazilian minister of Development, Industry and Foreign Trade, Luiz Fernando Furlan, is going to head a trade mission to Algeria, the Brazilian Foreign Office (Itamaraty) is going to promote a mission to the United Arab Emirates and Saudi Arabia. There will also be a meeting of the Brazil-Tunisia Business Council, in Tunis, the capital of the North African country. Apart from that, the Arab Brazilian Chamber is going to promote the participation of Brazilian companies in three fairs in the Arab world, Big5 Show, in the civil construction sector, Jewellery Arabia, of jewels, and Index, in the furniture sector.
"We hope that these events may bring positive results for the end of the year and first quarter of 2006," stated Sarkis.
The main destinations for Brazilian products from January to October were Saudi Arabia, Egypt, the United Arab Emirates, Morocco and Algeria. These were also the main markets in October alone.
In the month, Brazilian exports to the region generated US$ 465.2 million, an increase of 38% in comparison to October 2004. Imports, in turn, totalled US$ 352.3 million, a drop of 29% when compared to the same month last year.
*Translated by Mark Ament
