Brazil’s industrial turnover up again in March – CNI

RIO DE JANEIRO, BRAZIL – Industrial activity grew again in March, with a 2.2% increase in turnover against February, according to the Industrial Indicators survey, released monthly by the National Confederation of Industry (CNI). The increase reached 12.7% compared to the same month last year.

The March result partially offsets the 3.6% drop in sales posted in February, when industrial activity was impacted by the second wave of the Covid-19 pandemic.

Compared to the same month last year, there was a 12.7% increase in sales in March. However, in March 2020 the results were impacted by the first effects of the Covid-19 pandemic on industrial activity.

The survey also registered a 0.9% rise in the number of hours worked in March, reversing February’s 0.5% drop. Compared to the same month last year, there was a 10.7% increase, which “reflects the recovery from the crisis and a higher level of consolidation than before the pandemic,” said the CNI in its release.

The wage bill (sum of salaries paid corrected for inflation) also rose in March this year, when it grew 2.2%, but posted a 4.6% drop compared to March 2020, remaining at pre-pandemic levels.

“Part of the drop is explained by the dismissals that occurred in that period and the consequent increase in severance pay, which led March 2020 to show a peak unrelated to the trend presented until then,” CNI reported when releasing the data.

Installed capacity utilization reached 81.1% in March, up 0.4 percentage points from February. All indicators are seasonally adjusted, discounting fluctuations typical of certain times of the year, such as the number of holidays and celebration dates.

Employment

The only indicator maintaining an uninterrupted upward trend over the past 8 months is the industrial employment indicator, which posted a 0.3% increase in March compared to February and a 1.2% increase compared to March 2020.

Source: Agência Brasil