Growth of industry pushed by Minas Gerais and Rio Grande do Sul in September
November 08, 2019 09h00 AM | Last Updated: November 08, 2019 11h30 AM
Ten of the 15 areas surveyed by the IBGE recorded positive rates for industrial output and were above the national average of August, having recorded 0.3% in September. These data come from the Monthly Survey of Industry, released today by the IBGE.
The survey analyst, Bernardo Almeida, observed that the main positive contribution came from Minas Gerais, with an increase of 2.4% - the third hike of industry in the state which has had a cumulative result of 4.1% in three months.
“Minas Gerais accounted for the main contribution to the indicator in September, due to the positive influence of mining and quarrying industry, mainly of ore, which represents 18% of the state industry. The index of 2.4% is the most significant one since January, when it hit 2.6%”, Mr. Almeida adds.
He says the second positive weight was that of Rio Grande do Sul, 2.9%, pushed by the manufacturing of furniture , an item of major influence on industry in the state. “That is the first positive rate after two months of negative results, partially eliminating the cumulative loss registered in the two preceding months (5.6%)”, he says.
The main increases were recorded in Bahia (4.3%) and in the Northeast Region (3.3%), both with expansion for the second time in a row. Espírito Santo (2.5%), Minas Gerais (2.4%), Pernambuco (2.3%), Santa Catarina (2.1%), Mato Grosso (2%) and Paraná (1.3%) also recorded results above the national average (0.3%), whereas Ceará (0.2%) completed the group of areas with positive figures in September 2019.
The major decrease was recorded by Pará (-8.3%), reversing the increase of August (8.2%). Amazonas (-1.6%), São Paulo (-1.4%), Rio de Janeiro (-0.6%) and Goiás (-0.1%) complete the group of negative results.
In the case of São Paulo, the state with the highest concentration of industry, there was some influence of the car and food industry, both recording negative results. Almeida highlighted that the sector of vehicles has a rather volatile behavior.
“One of the reasons is the reduced flow of production due to the crisis in Argentina and the increasing care in decisions relate to household consumption. The food sector faced some negative influence due to the production of sugar, now entering the period between harvests, and to the fact the part of the output has been directed to the production of ethanol. ”, Mr. Almeida highlights.
Industry grows in six areas versus September 2018 figures
Against September last year, industry increased by 1.1%,with six of the 15 areas surveyed recording positive results. Amazonas (16.7%) had the biggest increase, mainly due to the performance of the sectors of coke, petroleum products and biofuels, beverages, computer equipment, television sets, motorcycles and air conditioners. Paraná (7.4%), Rio de Janeiro (7.0%), Santa Catarina (5.2%), São Paulo (3.6%) and Goiás (1.6%) completed the group of areas with increase of output in the month.
Ceará (0.0%) recorded no change, whereas Espírito Santo (-14.1%) and Pernambuco (-7.6%) recorded the main decreases in this comparison.
According to the survey analyst, industry has had a volatile behavior due to the current scenario that benefits this erratic performance. “Besides the crisis in Argentina - one of our main importers -, there is high unemployment, with fewer people being hired by industry and that affects productivity and output. Another current reason is the scenario of uncertainty that worries both producers, who are more careful before deciding for an investment, and families, who are more careful when making consumption-related decisions”, Mr. Almeida explains.