Chemicals: Brazil monthly imports double since the pandemic onset

Greatly influenced by higher prices and rising volumes, Brazilian imports of chemical products have been hovering around US$8 billion a month since May, double the average monthly value seen before the Covid-19 pandemic, according to a report released on September 13 by the Brazilian Chemical Industry Association (Abiquim).

On the other hand, exports remain well below foreign purchases, with average sales of US$ 1.5 billion per month, only now returning to the level of quantities sold in 2017.

From January to August, the entity indicates that imports totaled US$ 55.1 billion, up 52.5% year-on-year, while exports totaled US$ 12.1 billion, a growth of 35.3%.

As a result, the chemical products trade deficit reached US$ 43 billion through August, a 58.1% increase from the previous year’s record of US$ 46.2 billion.

In the twelve months before August, the deficit reached US$ 62 billion, “confirming that the negative trade balance will set another record this year, reiterating the urgent need for immediate support and productive stimulus measures, as well as a robust industrial policy program focused on competitiveness.”

“National production is strategic, with a pragmatic approach to natural gas and a focus on bioproducts, renewable energies, and sanitation. These are sector operations capable of increasing the generation of value and wealth for the country, as well as historical commitments of the national chemical industry,” says Denise Naranjo, the entity’s director of foreign trade and administrative affairs, in a note.

Source: Valor Econômico

To read the full original article, please go to: https://valor.globo.com/empresas/noticia/2022/09/13/importacao-mensal-de-produtos-quimicos-dobra-em-relacao-ao-nivel-pre-pandemia-diz-abiquim.ghtml

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