Anthony Boadle and Paul Simao – Reuters, 08/30/2014
Environmentalist Marina Silva unveiled her campaign platform for Brazil’s Oct. 5 presidential election on Friday, boosted by government data that showed the economy had fallen into a recession in the first half of this year.
Following are her main policy proposals aimed at restoring business confidence and investment in Brazil and putting the country on a path to sustainable growth:
ECONOMY: Return to the basic tripod of policies that gave Brazil financial stability a decade and a half ago: fiscal discipline, inflation targeting and a floating exchange rate, ending central bank intervention that has overvalued the real currency.
Luis Vieira – Agriculture.com, 11/06/2013
With Brazilian exports of corn and soybeans expected to continue their strong performance in 2014, last year’s problematic port logistics are reccurring.
Recent data released by Brazil’s Ministry of Development, Industry, and Foreign Trade shows that the South American country exported 3.8 million tons of soybeans in September and 3.44 million tons of corn – both are records for the period. From January to September, soybean exports reached 40.7 million tons, already overtaking the output of 2013 in just nine months.
For the 2013-2014 season, Céleres consultancy has a projection that Brazil will have a soybean area of 74.1 million acres and a corn area of 38.5 million acres (including both the summer and winter crops). Respectively, the growth would be 3.3 million acres and 750,000 acres compared with this year’s crops. Mato Grosso, Goiás, and Maranhão are the states that are likely to get the largest slice of this increase. “Most of the growth is coming with the usage of genetically modified seeds and the price of soy in Chicago. If there is more news about bad weather in the U.S., the corn area can grow even more in Brazil,” says Anderson Galvão, CEO of Céleres consultancy.
Anthony Boadle – Reuters, 12/05/2012
President Dilma Rousseff announced on Wednesday the extension of a government lending program to boost purchases of capital goods, telling business leaders Brazil must increase industrial investment if it is to restore vigorous economic growth.
The world’s sixth-largest economy grew much less than expected in the third quarter, despite a barrage of tax breaks and other stimulus measures taken by Rousseff this year.
Economists say the once-booming economy grew for a decade by expanding consumption and Brazil must now raise investment levels that are much lower than those of other emerging markets.
Asher Levine – Reuters, 12/04/2012
Brazilian industrial output posted its first annual increase in more than a year in October as a tax break on autos helped support a nascent recovery in the country’s beleaguered manufacturing sector.
Output from Brazilian factories and mines expanded 2.3 percent in October from a year earlier, government statistics agency IBGE said on Tuesday, though less than the 2.5 percent rise forecast in a Reuters poll of 33 analysts. Industrial production dropped 3.6 percent on a year-over-year basis in September, IBGE said, revised from a 3.8 percent drop.
“There is a gradual recovery happening,” said Jankiel Santos, chief economist with BES Investimento in Sao Paulo. “Bit by bit we are getting more signals of it and today’s numbers confirm it.”
Silvio Cascione – Reuters, 10/01/2012
Brazil’s manufacturing sector nearly broke out of its downturn in September, recording its best month since March on strong output and a slower pace of layoffs, a private survey showed on Monday.
At 49.8 in September, the HSBC Purchasing Managers’ Index for the Brazilian manufacturing sector was still short of the 50 mark that divides contraction and expansion. However, it was the third straight month the number has moved higher, suggesting the downturn in manufacturing activity is becoming less pronounced.
The HSBC PMI survey is comprised of 11 components. One of them, manufacturing output, showed production expanded in September as factories shrugged off weak demand to focus on launching new products.
Industrial production in Brazil expanded in August at the fastest pace in 15 months thanks to heavy government stimulus, underlining signs of recovery for struggling manufacturers.
Output grew 1.5 percent in August from July, government statistics agency IBGE said on Tuesday, less than the 2.0 percent growth forecast in a Reuters survey but more than every month since May 2011.
Industry has been a weak spot in the Brazilian economy in recent years, prompting President Dilma Rousseff to introduce a string of tax breaks, credit incentives and other measures to support local factories.
Brazilian President Dilma Rousseff, concerned over the eroding competitiveness of industry and stubbornly high consumer prices, plans to announce a reduction in electricity rates and terms for the renewal of expiring power distribution licenses, newspaper reports said on Thursday.
Rousseff is expected to unveil cuts on industrial electricity rates of as much as 20 percent when she addresses the nation late on Thursday, newspaper Brasil Econômico said. Consumers are likely to get a 10 percent cut in their electricity bills, Valor Econômico reported, citing people with knowledge of the plans.
A spokeswoman at the presidential palace in Brasilia did not have an immediate comment on the reports.