brazil – economic overview & trade analysis (market

BRAZIL – ECONOMIC OVERVIEW & TRADE ANALYSIS

EIP/MTR/008/04/2016

(MARKET REPORT)

Export Initiatives & Partnerships Division,

Phone: +9714-4455333; Fax: +9714-4455355

E-mail: [email protected]; Web: www.dedc.gov.ae

PO Box 123336, Dubai – UAE

Primary Information Sources: Prepared – April, 2016

Disclaimer: While all attempts have been made to collect & present accurate information, DE makes no warranty, express or implied, as to the fitness,

appropriateness of the above information for a particular purpose, or assumes any legal liability for the accuracy or usefulness of any contained information.

All 3rd. party information sourced are either through subscriptions of the organization or information freely available on the internet.

mailto:[email protected]

http://www.dedc.gov.ae/

TABLE OF CONTENTS

# Description Page

1 Brazil Economic Overview (Trading Economics) 3

2 WTO Trade Profile (World Trade Organization) 6

3 Economic Freedom Score (Heritage Foundation) 7

4 Top Products imported by Brazil and Main Sourcing

Countries (ITC Trade Map) 9

5 Top Products imported by Brazil From UAE (ITC Trade

Map) 17

6 Doing Business In Brazil (World Bank) 19

Brazil: Economic Overview Brazil is the eighth largest economy in the world and the largest in Latin America. In recent years,

the country has been one of the fastest-growing economies in the world primarily due to its export

potential. The country’s trade is driven by its extensive natural resources and diverse agricultural

and manufacturing production. Also, rising domestic demand, increasingly skilled workforce along

with scientific and technological development, have attracted foreign direct investment. However,

bureaucracy, corruption and weak infrastructure remain the biggest obstacles to economic

development.

Brazil GDP Annual Growth Rate

The Brazilian economy contracted 5.9 percent year-on-year in the last quarter of 2015 accelerating

from a 4.5 percent fall in the previous period. It was the seventh consecutive quarter of contraction

and the worst since 1991, as investment and consumption dropped sharply. Considering full 2015,

GDP shrank 3.8 percent. GDP Annual Growth Rate in Brazil averaged 2.87 percent from 1991

until 2015, reaching an all time high of 10.10 percent in the first quarter of 1995 and a record low

of -5.90 percent in the fourth quarter of 2015. GDP Annual Growth Rate in Brazil is reported by the

Instituto Brasileiro de Geografia e Estatística (IBGE).

Brazil GDP per capita The Gross Domestic Product per capita in Brazil was last recorded at 5969.68 US dollars in 2014.

The GDP per Capita in Brazil is equivalent to 47 percent of the world's average. GDP per capita in

Brazil averaged 3831.59 USD from 1960 until 2014, reaching an all time high of 6010.79 USD in

2013 and a record low of 1706.13 USD in 1960. GDP per capita in Brazil is reported by the World

Bank.

Ease of Doing Business in Brazil Ease of Doing Business in Brazil deteriorated to 116 in 2015 from 111 in 2014. Ease of Doing

Business in Brazil averaged 120.38 from 2008 until 2015, reaching an all time high of 129 in 2009

and a record low of 111 in 2014. Ease of Doing Business in Brazil is reported by the World

Bank. The Ease of doing business index ranks countries against each other based on how the

regulatory environment is conducive to business operation stronger protections of property rights.

Economies with a high rank (1 to 20) have simpler and friendlier regulations for businesses.

Brazil Balance of Trade

Brazil recorded a $3.04 billion trade surplus in February of 2016 compared to a $2.84 million deficit

a year earlier and beating market expectations of $2.57 billion. It was the twelfth consecutive trade

surplus as a weaker real continued to drag imports down. Balance of Trade in Brazil averaged

663.15 USD Million from 1959 until 2016, reaching an all time high of 6240 USD Million in

December of 2015 and a record low of -4058.14 USD Million in January of 2014. Balance of Trade

in Brazil is reported by the Ministério do Desenvolvimento, Indústria e Comércio Exterior.

Brazil Exports

Exports from Brazil increased by 10.4 percent to $13.35 billion in February of 2016 from $12.09

billion in the same month of the previous year. Exports in Brazil averaged 4402.54 USD Million

from 1954 until 2016, reaching an all time high of 26158.51 USD Million in August of 2011 and a

record low of 75.06 USD Million in January of 1965. Exports in Brazil is reported by the Ministério

do Desenvolvimento, Indústria e Comércio Exterior. Brazil has an export-oriented economy,

dependent on the shipments of raw material (46 percent of total exports) and manufactured goods

(38 percent). The country exports mainly: soybeans and related soy products (15 percent of total

exports); transport equipment and components (10 percent), oil and oil products (9 percent), meat

(8 percent), iron ore (7 percent), chemical products (7 percent) and metal products (7 percent).

Main exports partners are: China (19 percent of total exports), the United States (13 percent),

Argentina (7 percent), the Netherlands (5 percent), Germany and Japan (3 percent each).

Brazil Imports

Imports to Brazil dropped 31 percent to $10.31 billion in February of 2016 from $14.93 billion in

the same month of the previous year. Imports in Brazil averaged 4110.66 USD Million from 1959

until 2016, reaching an all time high of 23050.46 USD Million in October of 2013 and a record low

of 67 USD Million in March of 1965. Imports in Brazil is reported by the Ministério do

Desenvolvimento, Indústria e Comércio Exterior. Brazil main imports are: raw material and

intermediate products (47 percent of the total imports, of which chemical products account for 14

percent), capital goods (22 percent, of which machinery accounts for 6 percent), fuels and

lubricants (13 percent), durable consumer goods (9 percent, of which passenger cars account for

3 percent) and non-durable consumer goods (9 percent, of which pharmaceutical products and

food account for 3 percent each). Main import partners are China (18 percent), the United States

(15 percent), Germany and Argentina (6 percent each) and South Korea (3 percent).

Source: Trading Economics, http://www.tradingeconomics.com/brazil/

http://www.tradingeconomics.com/brazil/

3/28/2016 stat.wto.org/CountryProfiles/BR_e.htm

http://stat.wto.org/CountryProfiles/BR_e.htm/

September 2015

Brazil

BASIC INDICATORS

Population (thousands, 2014) 202 034 Rank in world t rade, 2014 Exports ImportsGDP (million current US$, 2014) 2 346 118 Merchandise 25 22GDP (million current PPP US$, 2014) 3 263 866 excluding intra-EU trade 19 16Current account balance (million US$, 2014) - 103 981 Commercial services 32 17Trade per capita (US$, 2012-2014) 2 936 excluding intra-EU trade 19 11Trade to GDP ratio (2012-2014) 24.7

Annual percentage change2014 2010-2014 2013 2014

Real GDP (2010=100) 109 2 3 0Exports of goods and services (volume, 2010=100) 106 2 2 -1Imports of goods and services (volume, 2010=100) 117 4 8 -1 TRADE POLICY

WTO accession 1 January 1995 Contribut ion to WTO budget (%, 2015) 1.281Trade Policy Review 24, 26 June 2013 Import dut ies collected (%, 2011-2013)GPA accession - in total tax revenue 2.7Tarif fs and duty f ree imports to total imports 5.3

Tariff binding coverage (%) 100 Number of not if icat ions to WTO and measures in force MFN tariffs Final bound Applied 2014 Outstanding notifications in WTO Central Registry 13

Simple average of import duties Goods RTAs - services EIAs notified to WTO 5 - 1All goods 31.4 13.5 Anti-dumping (30 June 2015) 89

Agricultural goods (AOA) 35.4 10.2 Countervailing duties (30 June 2015) ...Non-agricultural goods 30.8 14.1 Safeguards 2

Non ad-valorem duties (% total tariff lines) 0.0 0.0 Number of disputes (complainant - defendant) MFN duty free imports (%, 2013) Requests for consultation 27 - 16

in agricultural goods (AOA) 3.0 Original panel / Appellate Body (AB) reports 12 - 3in non-agricultural goods 33.5 Compliance panel / AB reports (Article 21.5 DSU) 2 - 2

Services sectors with GATS commitments 43 Arbitration awards (Article 22.6 DSU) 1 - 4 MERCHANDISE TRADE Value Annual percentage change

2014 2010-2014 2013 2014Merchandise exports, f.o.b. (million US$) 225 101 3 0 -7Merchandise imports, c.i.f. (million US$) 239 150 6 7 -5

2014 2014Share in world total exports 1.18 Share in world total imports 1.25Breakdown in economy's total exports Breakdown in economy's total imports By main commodity group (ITS) By main commodity group (ITS)

Agricultural products 39.0 Agricultural products 5.9Fuels and mining products 24.4 Fuels and mining products 22.5Manufactures 33.3 Manufactures 71.6

By main destination By main origin1. European Union (28) 18.7 1. European Union (28) 20.42. China 18.1 2. China 16.33. United States 12.1 3. United States 15.44. Argentina 6.3 4. Argentina 6.25. Japan 3.0 5. Nigeria 4.1

COMMERCIAL SERVICES TRADE Value Annual percentage change2014 2010-2014 2013 2014

Commercial services exports (million US$) 39 210 7 -2 5Commercial services imports (million US$) 85 834 10 7 3

2014 2014Share in world total exports 0.79 Share in world total imports 1.79Breakdown in economy's total exports Breakdown in economy's total imports By principal services item By principal services item

Goods-related services 1.0 Goods-related services 0.2Transportation 14.9 Transportation 17.4Travel 17.5 Travel 29.8Other commercial services 66.7 Other commercial services 52.6

How Do We Measure Economic Freedom? See page 467 for an explanation of the methodology

or visit the Index Web site at heritage.org/index.2014 data unless otherwise noted.Data compiled as of September 2015.

Quick Facts

BACKGROUND: President Dilma Rousseff of the leftist Work-ers’ Party began her second term in January 2015. A reces-sion, fiscal and monetary belt-tightening, and a far-reaching kickback scheme involving her party and the state-controlled Petróleo Brasileiro oil company sent her approval rating plum-meting. Brazil has poor public services, antiquated and insuf-ficient infrastructure, and high tax rates. In recent years, inflation has surged again. Growth is sluggish, but Brazil’s “Bolsa Família” conditional cash transfer program for the poor has won support in some sectors. Brazil is the world’s seventh-largest economy, and its population of almost 200 million is heavily concentrated on the Atlantic coast. Since the advent of the monetary “real plan” in the 1990s and the end of hyper-inflation, the poverty rate has dropped, but heavy government intervention in the economy continues to limit development.

Population: 202.8 millionGDP (PPP): $3.3 trillion0.1% growth in 20145-year compound annual growth 3.2%$16,096 per capitaUnemployment: 6.8%Inflation (CPI): 6.3%FDI Inflow: $62.5 billionPublic Debt: 65.2% of GDP

Economic Freedom Score

0 20 40 60 80 100

Country Comparisons

Freedom Trend

Country

WorldAverage

RegionalAverage

FreeEconomies

2012 2013 2014 20162015

5025 75

0 100Leastfree

Mostfree

55

56

57

58

59

56.5

60.7

59.8

83.9

56.5

B razil’s limited experiment with market-oriented reforms has been uneven and even derailed in some areas. The

state’s presence in such sectors as energy, financial services, and electricity remains extensive. The legacy of decades of central planning, state meddling in economic activity continues even where it has demonstrably failed, and the weak rule of law further undermines economic progress.

ECONOMIC FREEDOM SNAPSHOT• 2016 Economic Freedom Score: 56.5 (down 0.1 point)• Economic Freedom Status: Mostly Unfree• Global Ranking: 122nd• Regional Ranking: 21st in the South and Central America/

Caribbean Region• Notable Successes: Trade Freedom• Concerns: Corruption, Management of Public Finance, and

Regulatory Efficiency• Overall Score Change Since 2012: –1.4

The onerous regulatory environment hinders needed eco-nomic transformation and undercuts realization of the economy’s full potential. Growing public debt and higher debt service costs have kept fiscal pressure high, and bur-densome taxes further crowd out private-sector growth.

World Rank: 122 Regional Rank: 21

BRAZIL

2016 Index of Economic Freedom

Property RightsFreedom from

Corruption

Fiscal FreedomGovernment

Spending

Business FreedomLabor FreedomMonetary Freedom

Trade FreedomInvestment FreedomFinancial Freedom

Business FreedomLabor Freedom

Monetary Freedom

REGULATORY EFFICIENCY

OPENMARKETS

Trade FreedomInvestment Freedom

Financial Freedom

GOVERNMENT SIZE

Fiscal FreedomGovernment Spending

RULE OF LAW

Property RightsFreedom from Corruption

0 20 40 60 80 100

0 20 40 60 80 100

0 20 40 60 80 100

0 20 40 60 80 100

Country World Average Rank Change1–Year

Score

RULE OF LAW GOVERNMENTSIZE

REGULATORY EFFICIENCY OPEN MARKETS

–5.0–7.0

–7.0–19.2

+6.4–12.1+64.2

+13.0+5.0

0

65th71st

141st129th

109th125th172nd

134th102nd72nd

45.043.0

69.755.2

61.452.564.2

69.455.050.0

–5.0+1.0

+1.3+4.3

+7.8+0.4–5.2

–0.2+5.0

–10.0

Long-Term Score Change (since 1995)

THE TEN ECONOMIC FREEDOMS

Graft remains endemic, and Brazilians disapprove of President Dilma Rousseff’s policies on corruption and crime. In 2014, a former director of state-owned Petrobas accused more than 40 politicians, including one minister and three governors, in a massive kickback investiga-tion. Brazil’s judiciary is inefficient and subject to political and economic influence. The court system is overburdened, and contract disputes can be lengthy and complex.

Bureaucratic hurdles remain common, including lengthy processes for launching a business and obtaining permits. The non-salary cost of employing a worker adds to the cost of doing business, and labor regulations remain stringent. In 2015, surging state-administered prices for gasoline, electricity, and transport—all heavily subsidized before the 2014 presidential elec-tion—caused inflation to reach its highest level in over a decade.

Brazil’s average tariff rate is 7.8 percent. Brazilians may not import used consumer goods like cars and clothing. Government procurement policies favor domestic companies. Foreign investment in agricultural land is restricted. Brazil has the region’s largest financial services market. The state’s role in credit markets has grown since 2008, and public banks now account for over 50 percent of loans to the private sector.

The income tax rate is 27.5 percent. The standard corporate tax rate is 15 percent, but a finan-cial transactions tax, 10 percent surtax, and 9 percent social contribution on net profits bring the effective rate to 34 percent. The overall tax burden amounts to 33.4 percent of GDP. Public spending equals over one-third of GDP, and fiscal stimulus efforts have increased chronic defi-cits. Public debt equals about 65 percent of GDP.

BRAZIL (continued)

Sources: ITC calculations based on UN COMTRADE statistics.2015 values estimated by Dubai Exports based on last 1 year growth

Imported value 2015 (USD '000)

Est.


Trade balance

2014 (USD '000)

Annual value growth 2010-

14 (%, p.a.)TOTAL All products 219,897,654 229,060,056 (3,961,651) 5 China USA Argentina'2710 Petroleum oils, not crude 17,453,741 17,630,041 (13,706,597) 10 USA India Algeria'8703 Cars (incl. station wagon) 6,524,262 7,675,602 (4,480,479) -4 Argentina Mexico Germany'8708 Parts & access of motor vehicles 6,143,410 7,143,500 (4,564,007) 11 Korea Germany Argentina'8517 Electric app for line telephony,incl curr line system 6,415,024 5,677,012 (5,339,293) 12 China Korea Vietnam'8542 Electronic integrated circuits and microassemblies 4,178,144 4,444,834 (4,386,911) 4 Korea China Taipei

'3004 Medicament mixtures (not 3002, 3005, 3006), put in dosage 3,645,705 3,682,530 (2,475,686) 4 USA Germany France

'3808 Insecticides, fungicides, herbicides packaged for retail 3,983,751 3,464,131 (3,138,875) 23 USA France China

'3002Human & animal blood; antisera, vaccines, toxins, micro-organism cultu 3,307,714 3,242,857 (3,174,984) 7 Germany USA Switzerland

'8529 Part suitable for use solely/princ with televisions, 2,833,773 3,184,015 (3,158,815) 1 China Korea Taipei'8704 Trucks, motor vehicles for the transport of goods 2,753,746 3,026,095 (1,532,398) 12 Argentina USA Uruguay'3104 Mineral or chemical fertilizers, potassic 2,552,766 2,934,214 (2,920,524) 5 Canada Belarus Russia'3105 Mixtures of..N P K fertilizers 2,891,957 2,754,245 (2,450,572) 22 USA Russia Morocco'8411 Turbo-jets, turbo-propellers and other gas turbines 2,520,182 2,423,252 (617,290) 8 USA Canada France

'2701Coal; briquettes, ovoids & similar solid fuels manufactured from coal 2,170,357 2,308,890 (2,308,538) -10 USA Australia Columbia

'3102 Mineral or chemical fertilizers, nitrogenous 2,286,278 2,263,642 (2,241,926) 12 Russia Qatar Kuwait'8473 Parts&acces of computers & office machines 2,114,540 2,157,694 (2,108,788) 7 China Malaysia Costa Rica

'2933Heterocyclic compounds with nitrogen hetero-atom; nucleic acids & thei 1,861,354 2,045,444 (1,897,449) 5 China Germany USA

'1001 Wheat and meslin 1,359,338 1,812,451 (1,711,750) 6 USA Argentina Uruguay

'8483 Transmission shafts&cranks, bearing housing; gear 1,559,446 1,695,050 (1,102,172) 7 USA Germany China '8471 Automatic data processing machines;optical reader 1,464,106 1,645,063 (1,533,907) -5 China USA Mexico'3901 Polymers of ethylene, in primary forms 1,782,576 1,550,066 (324,005) 9 USA Argentina Thailand

Top products at 4 digits HS level imported by Brazil in 2014‐15 and Exporting Countries

Code Product label

Trade Indicators

Top Exporters to Brazil for Selected Products



Est.


Trade balance

2014 (USD '000)


14 (%, p.a.)


Code Product label

Trade Indicators


'9018Electro-medical apparatus (electro-cardiographs, infra-red ray app, sy 1,541,528 1,526,265 (1,368,600) 8 USA Germany China

'8479 Machines&mech appl having indiv functions, nes 1,380,713 1,453,382 (1,181,236) 10 Germany Italy USA'8409 Part for use solely/principally with the motor engines 1,206,895 1,419,877 149,227 3 Germany Japan USA

'8481Tap,cock,valve for pipe,tank for the like,incl pressure reducing valve 1,376,263 1,418,828 (714,780) 8 USA China Germany

'4011 New pneumatic tires, of rubber 1,110,477 1,354,240 (144,949) 1 China USA Argentina'7403 Refined copper and copper alloys, unwrought 995,910 1,345,824 (1,041,691) -8 Chile Peru India

'8443 Printing machinery; machines for uses ancillary to printing 1,146,529 1,333,173 (1,242,143) -7 China Japan Malaysia

'8536Electrical app for switchg (ex fuse,switche,etc) not exceedg 1000 volt 1,211,066 1,316,376 (1,085,301) 5 China USA Germany

'8414 Air, vacuum pumps; hoods incorp a fan 1,222,474 1,314,488 (472,405) 0 China USA Germany

'8504 Electric transformer,static converter (for example rectifiers) 1,111,886 1,111,886 (705,856) 4 China USA Germany'8408 Diesel or semi-diesel engines 1,036,420 1,090,968 (930,224) 11 Argentina USA China '9032 Automatic regulating or controlling instruments 943,600 1,060,225 (872,457) 10 USA Germany Japan'8431 Machinery part (hd 84.25 to 84.30) 973,677 1,035,827 (862,431) 7 USA China Italy'8413 Pumps for liquids; liquid elevators 920,029 1,033,741 (483,770) 3 USA China Germany'8544 Insulated wire/cable 977,120 997,061 (631,030) 10 China USA Paraguay'2603 Copper ores and concentrates 898,672 976,817 828,437 0 Chile Peru Canada'2930 Organo-sulphur compounds 1,099,653 956,220 (954,111) 15 Germany USA China

'3907Polyacetal,o polyether,epoxide resin,polycarbonate,etc,in primary form 833,983 947,708 (774,043) 6 USA Germany China

'8421Centrifuges, incl centrifugal dryers; filtering/purifying machinery 978,321 931,734 (620,454) 5 USA Germany China

'7318 Iron & steel screws,bolts,nuts,coach-screws, etc 825,874 907,554 (786,988) 5 USA China Germany'5402 Synthetic filam yarn, not put up 921,678 886,229 (828,763) 4 India China Taipei



Est.


Trade balance

2014 (USD '000)


14 (%, p.a.)


Code Product label

Trade Indicators


'7210Flat-rolled prod of iron or non-al/s wd>/=600mm,clad, plated or coated 809,398 851,998 (607,927) -5 China Korea Columbia

'8501 Electric motors and generators (excl generating sets) 797,710 830,948 57,576 8 China USA Germany'7601 Unwrought alumimum 3,027,970 822,818 (174,918) 35 Russia Argentina Canada'3926 Article of plastic nes. 788,659 796,625 (669,472) 11 China USA Germany'8415 Air conditioning machines, motor-driven elements 818,921 787,424 (728,680) 3 China USA Korea'9021 Orthopaedic appliances (crutche/surgical belts/trusse) 796,163 780,552 (629,334) 8 USA Switzerland Germany'8482 Ball or roller bearings 676,021 759,574 (610,555) -2 China Japan Germany'2905 Acyclic alcohols and their derivatives 797,522 752,379 (616,227) 6 Trinidad Venezuela USA

'9027Instruments for physical/chemical analysis;inst for viscosity,heat,etc 658,754 716,037 (686,812) 3 USA Germany Japan

'8428Lifting/handling/loading/unloadg machinery (excl. lift/escalator/conve 962,341 707,604 (608,862) 14 China Italy Netherlands

'7326 Articles of iron or steel nes 709,291 702,268 (439,670) 13 China USA Chile'5407 Woven fabrics of synth. filam yarn (incl. hd no 54.04) 676,131 682,961 (651,959) 12 China Taipei Paraguay

'3920 Other plates, sheets, film, foil, tape, strip of plastics etc. 653,425 653,425 (473,940) 6 USA China Argentina'8543 Electrical mach&app having individual function, nes 630,398 649,895 (608,561) 14 China USA Germany'8714 Parts and accessories of motorcycles & cycles 649,740 643,307 (631,276) 5 China Japan Thailand

'8407Engines, spark-ignition reciprocating or rotary int. combust. Piston 531,426 640,272 (137,070) 16 Korea Japan France

'4002 Synthetic rubber&factice from oil 572,581 636,201 (406,715) 0 USA Russia Germany'2931 Organo-inorganic compounds, nes 626,216 620,016 (604,263) 34 China USA Germany

'8422 Dish washing machines; machinery for aerating bottles 536,813 610,015 (534,440) 7 Italy Germany USA

'3904Polymers of vinyl chloride/other halogenated olefins, in primary forms 538,761 605,349 (582,503) 2 Columbia Argentina USA

'4016 Articles of vulcanised rubber o/t hard rubber, nes 555,164 596,951 (431,280) 7 USA China Germany



Est.


Trade balance

2014 (USD '000)


14 (%, p.a.)


Code Product label

Trade Indicators


'8477Machinery for wrkg rbr/plas/ for the mfr of prod from these material 464,322 595,284 (541,636) 0 Germany China Italy

'9401 Seat (o/t dentists' & barbers' chairs, etc), &part 588,542 594,487 (453,484) 12 China USA Korea'3902 Polymers of propylene or of other olefins, 643,480 590,349 102,391 11 KSA Argentina Korea'1107 Malt, whether or not roasted 648,341 584,091 (582,218) 6 Argentina Uruguay Belgium

'8516 Electric instantaneous water heater,space htg; hair dryer 628,275 581,736 (530,870) 16 China Italy Poland

'4202Trunks,suit-cases,camera cases,handbags etc,of leather,plas,tex etc 584,683 567,653 (551,210) 9 China HongKong Italy

'9031 Measuring or checking machines, nes 515,180 559,978 (504,563) 7 USA Germany Italy

'8419Machinery,plant/lab,involving a change of temp ex heating,cooking,etc 323,847 558,357 (424,820) -5 Germany China USA

'8429 Self-propelld bulldozer, angledozer, grader, excavator,etc 372,618 556,146 1,334,387 -11 USA China Japan'8502 Electric generating sets and rotary converters 309,539 543,050 (395,679) -11 USA Italy China '8541 Diodes/transistors&sim semiconductor devices; etc 556,926 540,705 (512,809) 0 China UK Japan

'3923Plastic packing goods or closures stoppers, lids, caps, closures, plas 540,287 529,693 (329,747) 9 Uruguay China Paraguay

'2902 Cyclic hydrocarbons 564,195 517,610 58,897 18 USA Argentina Turkey'8534 Printed circuits 507,072 517,420 (512,624) 5 China Korea Taipei'0304 Fish fillets and pieces, fresh, chilled or frozen 546,843 511,068 (506,930) 13 China Vietnam Argentina'8507 Electric accumulator 492,747 507,987 (375,160) 4 China Korea Vietnam'4001 Natural rubber,balata,gutta-percha etc 380,665 494,370 (490,458) -14 Indonesia Thailand Malaysia

'8537 Board & panels, equipped with two/more switches, fuses 464,441 494,086 (253,332) 10 USA Germany China '8539 Electric filament or discharge lamps 434,972 483,302 (472,165) 0 China Germany HongKong'3824 Chemical industry products and residuals nes 469,280 469,280 (287,413) 4 USA Germany China '3103 Mineral or chemical fertilizers, phosphatic 333,453 463,129 (445,325) 3 Morocco China Egypt



Est.


Trade balance

2014 (USD '000)


14 (%, p.a.)


Code Product label

Trade Indicators


'8424Mechanical appl. for proj/dispersing/spray;sand blastg mach,etc 416,613 457,817 (230,864) 6 China USA Germany

'2934 Heterocyclic compounds, nes 419,667 456,160 (411,627) 2 China Switzerland India

'8905Light vessel,dredger;floating dock;floating/submersible drill platform 5,928,853 452,239 1,530,567 304 China Japan USA

'4810Paper & paperboard, coated with kaolin or other inorganic substances 474,478 451,884 (47,827) -6 China Finland USA

'2917Polycarboxylic acids, their anhydrides, halides etc & their derivative 323,403 449,171 (283,161) -7 Mexico USA Chile

'8503Parts suitable for use solely/princ with machines of hd no 85.01/85.02 443,605 443,605 (58,161) 35 China USA Germany

'7307 Tube or pipe fittings, of iron or steel 474,968 439,785 (273,552) 14 USA China Italy'8412 Engines and motors, nes 385,387 433,019 (375,874) 6 USA Germany China '0302 Fish, fresh, whole 498,577 429,808 (415,922) 25 Chile Uruguay Canada

'8427Fork-lift trucks;other works trucks fitted with lifting/handling equip 308,316 428,216 (422,339) 0 USA China Germany

'7308 Structures (rods,angle, plates) of iron & steel nes 296,864 418,119 (308,738) 33 Korea China Vietnam'3906 Acrylic polymers in primary forms 409,289 413,423 (380,950) 7 USA Japan China

'8518Microphones&stand;loudspeaker;headphone/earphone;sound amplifier set 357,647 411,089 (395,103) 7 China Korea USA

'3206Other coloring matter;inorganic products used as luminophores 361,058 410,293 (369,501) 0 China USA Mexico

'2916Unsaturated acyclic & cyclic monocarboxylic acid & anhydrides, halides 409,887 409,887 (310,168) 4 China USA Germany

'3204 Synthetic organic coloring matter & preperations 442,223 398,399 (341,647) 5 India China Germany

'2932 Heterocyclic compounds with oxygen hetero-atom(s) only 405,464 386,156 (379,366) 3 Germany China Mexico

Sources: ITC calculations based on UN COMTRADE statistics.


Annual growth in value

between 2010-2014, %, p.a.

UAE Share in Brazil's

imports, %

All products 501,414 26 0.2'2710 Petroleum oils, not crude 214,037 49 1.2'3102 Mineral or chemical fertilizers, nitrogenous 114,336 58 5.1'2711 Petroleum gases 47,550 -65 0.6

'8907Floating structure,nes (raft/tank/ coffer-dam / landing stage) 41,613 35.7

'7601 Unwrought alumimum 26,399 218 3.2'3901 Polymers of ethylene, in primary forms 18,309 52 1.2

'2503Sulphur other than sublimed, precipitated and colloidal 7,829 -27 2.6

'7005 Float glass&surf grd/polishd glas in sheet 5,578 1 6'7404 Copper waste and scrap 3,826 3.8

'3920Other plates, sheets, film, foil, tape, strip of plastics etc. 1,784 -43 0.3

'3902Polymers of propylene or of other olefins, in primary forms 1,728 49 0.3

'8481Tap,cock,valve for pipe,tank for the like,incl pressure reducing valve 1,593 70 0.1

'4010Conveyor or transmission belts or belting of vulcanised rubber 1,399 0.9

'8545 Carbon electrodes / brushes / lamp carbons 1,124 1.6'7307 Tube or pipe fittings, of iron or steel 980 200 0.2'7602 Aluminum waste and scrap 972 -10 0.9'7226 less than 600mm 788 2.1'2833 Sulphates; alums; peroxosulphates (persulphates) 707 0.4

'7312Iron & steel strandd wire,ropes,cables, etc,not electrically insulated 635 0.5

'3925 Builders' ware of plastics, nes 634 1.8'8431 Machinery part (hd 84.25 to 84.30) 624 -5 0.1

'3105Mixtures of..nitrogen, phosphorous or potassium fertilizers 616 0

'4002 Synthetic rubber&factice from oil 529 0.1

'7013 Glassware usd for table,kitchen,toilet office, etc 387 26 0.3

'8421Centrifuges, incl centrifugal dryers; filtering/purifying machinery 375 -15 0

'7202 Ferro-alloys 363 0.2

'7311Containers for compressed or liquefied gas, of iron or steel 344 64 0.7

'8504Electric transformer,static converter (for example rectifiers) 333 0

'3206Other coloring matter;inorganic products used as luminophores 282 0.1

'7801 Unwrought lead 265 0.2

'7225Flat-rolled products of other alloy steel, of a width of 600mm or more 264 0.1

'8419Machinery,plant/lab,involving a change of temp ex heating,cooking,etc 253 -36 0

Code Product label

Trade Indicators

Top products Exported by UAE to Brazil

Sources: ITC calculations based on UN COMTRADE statistics.


Annual growth in value

between 2010-2014, %, p.a.

UAE Share in Brazil's

imports, %

Code Product label

Trade Indicators

Top products Exported by UAE to Brazil

'8418 Refrigerator, freezer, etc 221 -46 0.1

'5404 Synth mono>/=67dtex,...,syn tex mat wd<=5mm 221 1.1'6206 Women's blouses & shirts 211 0.1

'8479 Machines&mech appl having indiv functions, nes 209 -29 0'6911 Tableware,kitchenware, of porcelain/china 202 133 1

'6802Workd monumental/building stone&art;mosaic cube,granules 192 -8 0.4

'7306 Tubes, pipes and hollow profiles of iron or steel, nes 190 0.1'7102 Diamonds, not mounted or set 187 51 1.1'0806 Grapes, fresh or dried 185 54 0.2'8544 Insulated wire/cable 174 264 0

'4008Plate,sheet,strip,rods of vulcanised rubber other than hard rubber 147 0.4

'9406 Prefabricated buildings 137 -37 0.2

'4009Tubes, pipes & hoses of vulcanised rubber otner than hard rubber 124 0

'9403 Other furniture and parts thereof 113 0.1'3303 Perfumes and toilet waters 105 -24 0.1

'8430 Moving/grading/scraping/boring machinery for earth 102 0

'7308 Structures (rods,angle, plates) of iron & steel nes 95 -14 0'3211 Prepared driers 95 4.4

Brazil Doing Business 2016

THE BUSINESS ENVIRONMENTThe absolute values of the indicators tell another part of

the story (table 1.1). The indicators, on their own or in

comparison with the indicators of a good practice

economy or those of comparator economies in the

region, may reveal bottlenecks reflected in large numbers

of procedures, long delays or high costs. Or they may

reveal unexpected strengths in an area of business

regulation—such as a regulatory process that can be

completed with a small number of procedures in a few

days and at a low cost. Comparison of the economy’s

indicators today with those in the previous year may

show where substantial bottlenecks persist—and where

they are diminishing.

Table 1.1 Summary of Doing Business indicators for Brazil

Indicator

Bra

zil

DB

20

16

Bra

zil

DB

20

15

São

Pau

lo

DB

20

16

Rio

de J

an

eir

o D

B2

01

6

Ch

ile D

B2

01

6

Ch

ina D

B2

01

6

Co

lom

bia

DB

20

16

Mexic

o D

B2

01

6

Best

perf

orm

er

glo

ball

y

DB

20

16

Starting a Business

(rank) 174 166 -- -- 62 136 84 65 New Zealand (1)

Starting a Business (DTF

Score) 64.33 63.37 59.83 71.36 89.84 77.46 86.13 88.94 New Zealand (99.96)

Procedures (number) 11.0 11.6 11.0 11.0 7.0 11.0 8.0 6.0 New Zealand (1.00)*

Time (days) 83.0 83.6 101.5 54.0 5.5 31.4 11.0 6.3 New Zealand (0.50)

Cost (% of income per

capita) 3.8 4.3 3.7 4.0 0.7 0.7 7.5 17.9 Slovenia (0.00)

Paid-in min. capital (%

of income per capita) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 105 Economies (0.00)*

Dealing with

Construction Permits

(rank)

169 167 -- -- 24 176 38 67 Singapore (1)

Dealing with

Construction Permits

(DTF Score)

51.92 51.87 50.42 54.25 78.78 48.29 75.99 71.76 Singapore (92.97)

Procedures (number) 18.2 18.2 19.0 17.0 13.0 22.0 10.0 10.5 5 Economies (7.00)*


Indicator

Bra

zil

DB

20

16

Bra

zil

DB

20

15

São

Pau

lo

DB

20

16

Rio

de J

an

eir

o D

B2

01

6

Ch

ile D

B2

01

6

Ch

ina D

B2

01

6

Co

lom

bia

DB

20

16

Mexic

o D

B2

01

6

Best

perf

orm

er

glo

ball

y

DB

20

16

Time (days) 425.7 425.7 400.0 466.0 152.0 244.3 73.0 86.4 Singapore (26.00)

Cost (% of warehouse

value) 0.4 0.5 0.5 0.3 0.6 7.2 7.2 10.2 Qatar (0.00)

Building quality control

index (0-15) 9.4 9.4 9.0 10.0 13.0 9.0 11.0 11.7 New Zealand (15.00)

Getting Electricity

(rank) 22 23 -- -- 51 92 69 72 Korea, Rep. (1)

Getting Electricity (DTF

Score) 85.5 85.49 86.88 83.33 79.71 68.66 74.82 73.27 Korea, Rep. (99.88)


Price of electricity (US

cents per kWh) 15.0 16.9

Time (days) 43.6 43.6 42.0 46.0 30.0 143.2 102.0 78.9 Korea, Rep. (18.00)*

Cost (% of income per

capita) 28.6 31.7 29.1 27.9 76.8 413.3 475.4 332.9 Japan (0.00)

Reliability of supply and

transparency of tariff

index (0-8)

5.6 5.6 6.0 5.0 6.0 6.0 6.0 7.0 18 Economies (8.00)*

Registering Property

(rank) 130 125 -- -- 56 43 54 106 New Zealand (1)

Registering Property

(DTF Score) 52.48 53.48 52.86 51.89 71.72 75.02 72.85 58.74 New Zealand (94.46)


Time (days) 31.7 31.7 25.5 41.5 28.5 19.5 16.0 63.7 3 Economies (1.00)*

Cost (% of property

value) 3.1 2.5 3.5 2.5 1.2 3.4 2.0 5.1 Saudi Arabia (0.00)


Indicator

Bra

zil

DB

20

16

Bra

zil

DB

20

15

São

Pau

lo

DB

20

16

Rio

de J

an

eir

o D

B2

01

6

Ch

ile D

B2

01

6

Ch

ina D

B2

01

6

Co

lom

bia

DB

20

16

Mexic

o D

B2

01

6

Best

perf

orm

er

glo

ball

y

DB

20

16

Quality of the land

administration index (0-

30)

13.6 13.6 14.0 13.0 15.0 17.0 16.0 14.3 3 Economies (28.50)*

Getting Credit (rank) 97 90 -- -- 79 79 2 5 New Zealand (1)

Getting Credit (DTF

Score) 45 45 45 45 50 50 95 90 New Zealand (100)

Strength of legal rights

index (0-12) 2.0 2.0 2.0 2.0 4.0 4.0 12.0 10.0 3 Economies (12.00)*

Depth of credit

information index (0-8) 7.0 7.0 7.0 7.0 6.0 6.0 7.0 8.0 26 Economies (8.00)*

Credit registry coverage

(% of adults) 55.1 52.5 55.1 55.1 45.1 89.5 0.0 0.0 Portugal (100.00)

Credit bureau coverage

(% of adults) 79.0 63.6 79.0 79.0 11.2 0.0 88.7 100.0

22 Economies

(100.00)*

Protecting Minority

Investors (rank) 29 27 -- -- 36 134 14 57 Singapore (1)*

Protecting Minority

Investors (DTF Score) 65 65 65 65 63.33 43.33 71.67 58.33 Singapore (83.33)*

Strength of minority

investor protection

index (0-10)

6.5 6.5 6.5 6.5 6.3 4.3 7.2 5.8 3 Economies (8.30)*

Extent of conflict of

interest regulation

index (0-10)

5.7 5.7 5.7 5.7 7.0 5.0 8.0 6.0 Singapore (9.30)*

Extent of shareholder

governance index (0-

10)

7.3 7.3 7.3 7.3 5.7 3.7 6.3 5.7 4 Economies (8.00)*

Paying Taxes (rank) 178 177 -- -- 33 132 136 92 United Arab Emirates

(1)*


Indicator

Bra

zil

DB

20

16

Bra

zil

DB

20

15

São

Pau

lo

DB

20

16

Rio

de J

an

eir

o D

B2

01

6

Ch

ile D

B2

01

6

Ch

ina D

B2

01

6

Co

lom

bia

DB

20

16

Mexic

o D

B2

01

6

Best

perf

orm

er

glo

ball

y

DB

20

16

Paying Taxes (DTF

Score) 40.85 40.85 40.68 41.1 84 64.46 63.32 73.67

United Arab Emirates

(99.44)*

Payments (number per

year) 9.6 9.6 10.0 9.0 7.0 9.0 11.0 6.0

Hong Kong SAR,

China (3.00)*

Time (hours per year) 2,600.0 2,600.0 2,600.0 2,600.0 291.0 261.0 239.0 286.0 Luxembourg (55.00)

Total tax rate (% of

profit) 69.2 69.2 69.1 69.4 28.9 67.8 69.7 51.7 Ireland (25.90)

Trading Across Borders

(rank) 145 148 -- -- 63 96 110 59 Denmark (1)*

Trading across Borders

(DTF Score) 52.43 50.6 52.43 52.43 80.56 69.13 62.83 82.09 Denmark (100)*

Time to export: Border

compliance (hours) 49 61 49 49 60 26 112 20 15 Economies (0.00)*

Cost to export: Border

compliance (USD) 959 959 959 959 290 522 545 400 18 Economies (0.00)*

Time to export:

Documentary

compliance (hours)

42 54 42 42 24 21 60 8 Jordan (0.00)

Cost to export:

Documentary

compliance (USD)

226 226 226 226 50 85 90 60 20 Economies (0.00)*

Time to import: Border

compliance (hours) 63 63 63 63 54 92 112 44 19 Economies (0.00)*

Cost to import: Border

compliance (USD) 970 970 970 970 290 777 545 450 28 Economies (0.00)*

Time to import:

Documentary

compliance (hours)

146 146 146 146 36 66 64 18 21 Economies (1.00)*

Cost to import:

Documentary 107 107 107 107 50 171 50 100 30 Economies (0.00)*


Indicator

Bra

zil

DB

20

16

Bra

zil

DB

20

15

São

Pau

lo

DB

20

16

Rio

de J

an

eir

o D

B2

01

6

Ch

ile D

B2

01

6

Ch

ina D

B2

01

6

Co

lom

bia

DB

20

16

Mexic

o D

B2

01

6

Best

perf

orm

er

glo

ball

y

DB

20

16

compliance (USD)

Enforcing Contracts

(rank) 45 45 -- -- 56 7 180 41 Singapore (1)

Enforcing Contracts

(DTF Score) 66.48 66.48 65.4 68.17 62.81 77.56 29.66 67.39 Singapore (84.91)

Time (days) 731.0 731.0 731.0 731.0 480.0 452.8 1,288.0 389.0 Singapore (150.00)

Cost (% of claim) 20.7 20.7 20.7 20.7 28.6 16.2 45.8 30.9 Iceland (9.00)

Quality of judicial

processes index (0-18) 13.1 13.1 12.5 14.0 9.0 14.1 6.5 10.6 3 Economies (15.50)*

Procedures (number,

old methodology) 44

Resolving Insolvency

(rank) 62 55 -- -- 58 55 30 28 Finland (1)

Resolving Insolvency

(DTF Score) 52.68 54.52 52.68 52.68 54.18 55.43 72.06 73.03 Finland (93.81)

Recovery rate (cents on

the dollar) 22.4 25.8 22.4 22.4 31.0 36.2 70.0 68.9 Japan (92.90)

Time (years) 4.0 4.0 4.0 4.0 3.2 1.7 1.7 1.8 Ireland (0.40)

Cost (% of estate) 12.0 12.0 12.0 12.0 14.5 22.0 8.5 18.0 Norway (1.00)

Outcome (0 as

piecemeal sale and 1 as

going concern)

1 1 1 1 0 0 1 1

Strength of insolvency

framework index (0-16) 13.0 13.0 13.0 13.0 12.0 11.5 11.0 11.5 4 Economies (15.00)*

Source: Doing Business database.

Note: DB2015 rankings shown are not last year’s published rankings but comparable rankings for DB2015 that capture the effects of such

factors as data revisions and changes to the methodology. The global best performer on time for paying taxes is defined as the lowest

time recorded among all economies in the DB2016 sample that levy the 3 major taxes: profit tax, labor taxes and mandatory

contributions, and VAT or sales tax. If an economy has no laws or regulations covering a specific area—for example, insolvency—it


receives a “no practice” mark. Similarly, an economy receives a “no practice” mark if regulation exists but is never used in practice or if a

competing regulation prohibits such practice. Either way, a “no practice” mark puts the economy at the bottom of the ranking on the

relevant indicator. * Two or more economies share the top ranking on this indicator. A number shown in place of an economy’s name

indicates the number of economies that share the top ranking on the indicator. For a list of these economies, see the Doing Business

website (http://www.doingbusiness.org).

brazil – economic overview & trade analysis (market

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