Brazil`s industrial production registered an increase of 0.3 percent in March this year compared to the previous month. It is the second consecutive increase this year. The first one was 0.7 percent in February. The data from the Monthly Industrial Survey (PIM) were released on Monday (April 3) by the government´s Statistics Institute IBGE.
In the 12-month period, the national industry grew by 1.8 percent. Despite this, there were drops of 2.1 percent compared to March 2021, and of 4.5 percent in the first quarter of the year.
From February to March, the industry grew in 14 of the 26 surveyed industrial sectors, recording a production increase, especially in automotive vehicles, trailers and truck bodies (6.9%), chemical products (7.8%), beverages (6.4%), and machines and equipment (4.9%).
Among the 12 sectors that had a drop in production, the main declines were observed in food products (-1.7%), coke fuel, petroleum products and biofuels (-2.1%), and pharmochemical and pharmaceutical products (-8.4 %).
Three out of four major economic categories of the industry increased from February to March: capital goods, that is, machinery and equipment used in the productive sector (8%), durable consumer goods (2.5%), and intermediate goods, that is, industrialized inputs used in the productive sector (0.6%).
Semi and non-durable consumer goods were the only major category in decline in the period (-3.3%).
IBGE researcher André Macedo explained the highs in February and March were not enough to eliminate the losses in January (-2%). Some factors make it difficult for the Brazilian industry to resume, such as supply affected by the international market and domestic demand.
Besides that, industries also feel an increase in the cost of production and a shortage of some raw materials. He also noted inflation reduces income and high-interest rates make credit more expensive.
