Brazil’s food trade exchange with Arab countries amounts to $13.2bn in 2020

Arab Brazilian Chamber of Commerce promotes 28 webinars during 2020 to ensure continuity of trade: Hanoun

10% growth expected in Arab countries' exports to Brazil in 2021

The Arab Brazilian Chamber of Commerce expects a growth rate of 1% infood trade exchange between Brazil and Arab countries during 2021, on the $13.2bn achieved last year, supported by the COVID-19 vaccine rollout and resumption of global economic activities.

Rubens Hanoun, Chairperson of the Arab Brazilian Chamber of Commerce, said they worked on quick solutions to maintain communication between investors in Brazil and Arab countries amid the pandemic

He pointed out that the Chamber developed the Ellos digital platform, and held the first digital economic forum for food trade.In addition, the Chamber intends to open two offices in Saudi Arabia and Egypt, besides its newly opened office in Dubai.

Hanoun said that Brazil's exports and imports declined during the past year by 6.9% to $209.81bn, and by 10.4% to $158.93bn, respectively.

Moreover, Arab countries’ imports from Brazildecreased by 6.3% to $11.47bnin 2020, ranking third highest importers from the Latin American country. Brazilian imports from the Arab world also decreased 23.3% to $5.36bn.

In addition, Brazil's food industry exports to Arab countries grew by 2.8% to $7.83bn, whileArabs’food products goingthe other way increased by 15% to $121.82m.

Hanounsaid that the Chamber promoted about 28 webinars,with the participation of more than 15,000 individuals and entities, which contributed to the promotion of business.

He added that they organized the first digital economy forum which achieved great success, and was attended by more than 10,000 people over 20 hours of broadcasting in three languages in 61 countries across the world.The Chamber also hosteda three-dimensional platform, in which Arab and Brazilian companies participated as exhibitors, and witnessed 2,300 visitors.

Hanounexpected the growth of Brazilian exports to Arab countries by 1% in 2021, especially with the expected return of the tourism movement by the second half (H2) of this year, after the Coronavirus vaccine rollout, which would in turn enhance the business of hotels and restaurants in the Arab region.

On the other hand, Arab exports to Brazil are expected to increase by 10% in 2021, in light of the global economy’s gradual resumption.This recovery would increase petroleum products consumption in Brazil, which mostlycome from Arab countries.

The return of agricultural activities in Brazil will increase the demand for fertilizers, which are also imported from Arab countries.Besides, the expected recovery of foreign investments in emerging economies, such as Brazil, would increase the demand for products related to investment sectors such as infrastructure, construction, etc.

Moreover, the Chamber expects Brazilian exports to Egypt to grow by 15%, and that Brazilian imports from the North African country will also increase by 10%.

Hanoun noted that the Chamber intends to open an office in Cairo to support the Egyptian private sector’s business in the Brazilian market.