Érica Sato
Reporter - Agência Brasil
São Paulo - From January to September of this year, Brazilian chemical industry exports totaled US$ 5.4 billion, 29.3% more than during the same period last year. 6.3 million tons of chemical products were shipped abroad, an increase of 12.9%, according to the Brazilian Chemical Industry Association (Abiquim).
According to the executive vice-president of the organization, Guilherme Duque Estrada de Moraes, the increase was due to increased production by some companies, together with higher world market demand, especially for petrochemical products. There was a drop in domestic demand, mostly in the second quarter, which made more products available for export. Furthermore, "the prices of the products we export rose on the international market," Moraes commented.
The result helps to diminish the sector's trade deficit. Brazil still imports more than it exports. Imports amounted to US$ 11.3 billion, and the deficit for the period was US$ 5.9 billion. Import volume ran around 14.9 million tons, 17.6% less than during the same period in 2004.
The products exported by the chemical industry range from ingredients used to manufacture medicines to raw materials used by the petrochemical industry. Chemical products for industrial use represent 86.3% of earnings and 96.8% of total volume of exports through September.
Moraes enumerated as Brazil's chief chemical exports: calcined alumina, silicon, polyethylenes (thermoplastic resins), benzine, and synthetic rubber. The most important imported products in this sector are fertilizer components (especially potassium chloride), followed by products for the pharmaceutical industry, pesticides, and various petrochemical products.
The Mercosur and other Latin American countries (except Mexico) represent the principal market for Brazilian exports, followed by North America (including Mexico), the European Union, and Asia. The products imported by Brazil come mainly from the United States and the European Union.
Translation: David Silberstein
