In January, Brazil’s trade surplus soared to $6.527 billion, the highest for the month since record-keeping started in 1989.
This achievement was announced by MDIC, the Ministry of Development, Industry, Commerce, and Services’ Secretariat of Foreign Trade.
It resulted from $27.016 billion in exports against $20.49 billion in imports.
January 2024 marked a historic performance in terms of surplus, exports, and total trade volume, as reported by the Ministry.
The trade flow for the month reached $47.51 billion, showing a 9.7% increase compared to January 2023.
This surplus fell short of the financial market’s expectations, which had forecasted a median surplus of $7.460 billion, ranging from $800 million to $9.10 billion.
In the last week of January, sales totaled $3.121 billion, and purchases amounted to $2.985 billion, which generated a surplus of $136 million.
Exports in January rose by 18.5% year-over-year:
- Agriculture exports increased by $740 million (21%),
- The Extractive Industry went up by $2.83 billion (53.3%), and
- Manufactured Products increased by $640 million (4.6%).
Imports slightly declined by 0.1% compared to last January:
- Agriculture imports dropped by $10 million (1.5%),
- the Extractive Industry went down by $450 million (27.6%), and
- Manufactured Products saw a $430 million (2.4%) uptick,
showing Brazil’s evolving trade dynamics.
Background
Brazil’s record-setting trade surplus in January underscores the country’s robust export performance and resilience amidst global economic challenges.
This significant achievement reflects Brazil’s diversified export portfolio, including Agriculture, the Extractive Industry, and Manufactured Products, showcasing the country’s ability to compete on the global stage.
The record surplus achieved in January 2024, despite falling short of market predictions, signals strong confidence in Brazil’s trade future.
It suggests that Brazil is well-positioned to navigate the complexities of global trade dynamics, reinforcing its status as a leading economic force in Latin America and beyond.