Economy

Brazil's trade balance records $7.6 bi surplus in July

Sales set a new record of $30.9 billion

Paulo Victor Chagas

Published on 07/08/2024 - 11:30

Agência Brasil - Brasília

Bulk Carrier 'Discoverer' unloads U.S. soybeans at the port of Paranagua, Brazil, December 3, 2020. Picture taken December 3, 2020. Picture taken with a drone. REUTERS/Rodolfo Buhrer — © Reuters/Rodolfo Buhrer/Proibida reprodução

Brazil's trade balance recorded a surplus of $7.6 billion in July, according to the Ministry of Development, Industry, Trade, and Services. This represents a 6.6 percent decrease compared to the $8.2 billion surplus in July 2023. The announcement was made on Tuesday (Aug. 6) in Brasília.

Brazilian exports hit a record high of $30.9 billion in July, fueled by strong demand for soybeans, coffee, iron ore, sugar, beef, and steel. Imports also increased from July 2023, reaching a total of $23.3 billion.

According to the ministry, Brazil's exports totaled $198.2 billion for the year, reflecting a 2.4 percent increase compared to the first seven months of 2023. Imports reached $148.6 billion, up 5.6 percent over the same period.

Destination

Regarding export destinations, the European Union, China, and the United States stood out in July, with growth rates of 20 percent, 16.3 percent, and 15.3 percent, respectively. Conversely, due to the economic crisis in Argentina, sales to the neighboring country continued to decline last month.

According to Herlon Brandão, Director of Foreign Trade Statistics and Studies at the Ministry of Development, Industry, Trade, and Services, exports in 2024 have been relatively stable. This contrasts with 2023, when sales fluctuated significantly in the first half of the year.

"This stability is attributed to increased export volumes, while prices in general are falling. Our forecast for 2024 is positive, with an expected 1.7 percet growth in Brazilian exports by the end of the year," Brandão stated.