Brazil: Trade Balance Registers $7.482 Bln Surplus In March

By Welton Máximo

The decrease in soybean and oil prices contributed to a decline in the trade surplus for March. According to the Ministry of Development, Industry, Trade, and Services, Brazil exported $7.482 billion more than it imported last month.

The figure marks a 30.4 percent decrease from the same month last year. However, it stands as the third-highest surplus for March, trailing only the record surpluses of March 2022 ($10.751 billion) and March 2023 ($7.613 billion).

Despite the reduced surplus in March, the trade balance amassed a $19.078 billion surplus in the first quarter of 2024. This marks the highest result for the period since the beginning of this time series in 1989 and signifies a 22.2 percent increase compared to the same months last year.

Regarding the monthly outcome, exports declined at a more rapid pace than imports. In March, Brazil exported $27.98 billion worth of goods, a 14.8 percent decrease compared to the same month in 2023. Imports, on the other hand, totaled $20.498 billion, down 7.1 percent. Part of this decrease can be attributed to the reduced number of working days in March this year, due to the extended Holy Week holiday.

On the export front, the fall in international prices of soybeans, oil, and meat was the primary factor contributing to the decrease in exports. While sales of certain products like cotton, coffee, and fruit rose last month, these gains were insufficient to offset the drop in prices of other products.

Regarding imports, the reduction in the acquisition of fertilizers, oil and oil products, and chemical compounds was the primary driver behind the decline in foreign purchases.