untitled design

Price variation generates largest trade balance surplus in 24 years, says FGV

The Foreign Trade Index (Icomex) of Fundação Getúlio Vargas (FGV) ended 2021 with the largest surplus in the historical series, which began in 1998.

The Brazilian trade balance increased by US$ 10.8 billion in relation to the previous year, reaching US$ 61.2 billion.

The indicator reveals, however, that the increase in export values ​​was driven by the change in prices (29.3%), since the change in the volume exported was more subtle: it represented 3.2%.

Commodities represent 67.7% of total exports and presented a price variation of around 38.9%, with a decrease in production volume of 1.8%.

In the same period, exports of products not classified as commodities grew 28.1% in value, with an increase of 12.4% in prices and 13.5% in volume.

In 2021, the world experienced a cycle of high commodity prices, such as crude oil, soybeans and iron ore, in order, the main products exported by the country. The most imported were fertilizers, fuel oils and medicines.

In the period, China remained Brazil’s main trading partner, destination of 31.2% of national exports. The data shows a decrease of 1.1 percentage points compared to 2020.

For almost four months, the country imposed a sanitary embargo on Brazilian beef, due to the detection of two atypical cases of spongiform encephalopathy, known as “mad cow disease”.

In relation to the Asian country, the Brazilian surplus went from 33 billion dollars to 40 billion. A different scenario from the one faced with the United States, the second largest partner.

In this case, the deficit of 6.4 billion dollars rose to 8.3 billion. With neighboring Argentina, its third biggest ally, Brazil went from a surplus of 550 million to a deficit of 69.9 million.

Reference: CNN Brasil

You may also like

Get the latest

Stay Informed: Get the Latest Updates and Insights

 

Most popular