Brazil Reinstates Private Sector Advisory With An Eye on Africa Trade

The federal government has reactivated the Private Sector Advisory Council (Conex) of the Chamber of Foreign Commerce (Camex), aiming to bolster Brazil’s relations with African countries. During the first ordinary meeting of 2024 held this Tuesday (23), Vice President and Minister of Development, Industry, Commerce, and Services (MDIC), Geraldo Alckmin, emphasized the significance of Conex resuming its activities with the primary goal of strengthening ties with Africa.

In recent years, Brazil’s commercial engagement with Africa has waned, impacting business prospects. “In 2007, our trade flow with Africa accounted for over 7% of Brazilian trade. Today it stands at half, plummeting from 7% to 3.5%. Africa is experiencing growth, projected at 3.2% this year. We have a realm of opportunities there,” evaluated the minister.

Chaired by the MDIC, Conex comprises representatives from the Ministries of Finance and Foreign Affairs, along with 22 members from the productive sector. The council’s objective is to advise Camex by preparing and forwarding studies and sectoral proposals to enhance foreign trade, investment, and financing policies, as well as export guarantees.

During the meeting, the vice president also underscored Brazil’s role in promoting trade agreements to access more markets and emphasized the role of the productive sector in proposing policy recommendations that the government can enact. “We can implement proposals to foster more partnerships, reciprocal investments, and economic complementarity. To advance even further,” highlighted Alckmin.

The following chart shows Brazil’s top trading partners in Africa. The data was sourced from DataLiner, a Datamar-powered maritime intelligence service.

Top Trading Partners in Africa | 2024 | TEUs

Source: DataLiner (click here to request a demo)

Nova Indústria Brasil

Márcio Elias Rosa, the Executive Secretary of MDIC, noted that government-sponsored business missions align with Conex, seeking closer commercial and industrial ties with the African continent. In June, MDIC, the Brazilian Export and Investment Promotion Agency (Apex), and the Ministry of Foreign Affairs will conduct a mission encompassing South Africa, Angola, Mozambique, and Tanzania.

Furthermore, Elias highlighted other missions, those of Nova Indústria Brasil [Brazil New Industry, government-sponsored industrialization program], which are congruent with Conex. “All actions outlined in the six missions of our Nova Indústria Brasil coincide with the potential that the African continent holds in decarbonization, digital transition, and the economic and industrial health complex. There is significant demand, not to mention agriculture and agroindustry, naturally,” he emphasized.

Rafael Dubeux, the Deputy Executive Secretary of the Ministry of Finance, underscored that tax reform stimulates foreign trade by abolishing taxes on exports. Ambassador Laudemar Neto, the Secretary of Trade Promotion, Science, Technology, Innovation, and Culture of the MRE, stressed that the innovation agenda must permeate all areas involving partnerships with African countries.

Following the council’s reinstatement, Camex’s executive secretariat will delineate a work agenda for Conex, outlining plans for council meetings and thematic sessions to advance Brazil’s commercial engagement with African countries.

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