Luciene Cruz Reporter Agência Brasil [contains translator’s note]
Brasília – Brazilian exports to Argentina fell 27.1% in April, compared to the same month a year ago. As an overall percentage of total exports, sales to Argentina were 8.7% in 2011, but have fallen to 6.9% this year.
. The Ministry of Development, Industry and Foreign Trade (“MDIC”) has expressed concern. According to the executive secretary at the ministry, Alessandro Teixeira, “There is no way to deny that measures implemented by Argentina have affected our exports. We are constantly monitoring the situation and when there are sharp changes, for better or worse, we set up meetings with Argentine authorities.”
Teixeira explained that Brazil has to take into consideration the reasons behind what Argentina was doing. “Argentina has gone through a very difficult time in economic terms. We believe it is legitimate for a country to defend its industrial base and we are trying to understand exactly what problems they are having. Our goal is to assist Argentina, rather than just simply apply punitive measures or make decisions that will make relations more difficult.”
[Brazil-Argentina trade swings back and forth. And as it tends to favor one country, the other takes action to “balance” the relationship. Even so, the trade relationship has been growing steadily for over a decade. In 2008, when bilateral trade broke a record reaching $31 billion, Argentina had a trade surplus of $2 billion with Brazil. But, in 2010, when another record was set, Brazil had a trade surplus with Argentina of $3.5 billion. The forecast was for total trade to reach $40 billion this year and the deficit with Brazil to grow larger. However, Argentina stepped in with non-automatic licensing and other non-tariff barriers, not to mention a snake pit of red tape, and the result is the drop in Brazilian exports reported in this article.
It should be mentioned that the latest World Economic Forum Trade Facilitation Index puts Brazil and Argentina very near the same level. Brazil is 87th on the list and Argentina is in 95th place.]
Allen Bennett – translator/editor The News in English
Link - Exportações brasileiras para Argentina caem 27% desde que barreiras comerciais entraram em vigor
