Industrial output increases in 11 of the 15 areas surveyed in February
April 08, 2022 09h00 AM | Last Updated: April 08, 2022 09h47 PM
Industrial output recorded increases in 11 of the 15 areas surveyed by the Monthly Survey of Industry (PIM Regional) in February, when the national index recorded an increase of 0.7%, after a decrease of 2.2% in January, mainly due to the collective vacation period, is very common this time of year. Pará (23.9%) and Pernambuco (10.2%) stood out in February. Amazonas (7.8%), Minas Gerais (7.3%), Ceará (6.0%), Northeast Region (5.1%), Bahia (3.4%), Goiás (1.4%), Paraná (1.3%), Santa Catarina (1.1%) and São Paulo (1.1%) completed the group of areas with positive indexes in February. Mato Grosso, with a decrease of 4.4% accounted for the main decrease.
“In terms of influence, Pará is the main areas with an increase of 23.9%, mainly based on the positive performance of the mining and quarrying industry. It is a movement that makes up for the result a month ago, once, in January, ,there was a big volume of rain causing an impact on production and the sale of iron ore. This increase of Pará is the most significant since April 2019, when it reached 54.8% of increase. The state recorded negative results for two months, with a cumulative decrease of 17.6%, now eliminated after the increase in February,” says Bernardo Almeida, survey analyst.
Pernambuco accounted the second biggest increase (10.2%) in absolute terms, but the fifth main contribution. The increase resulted from the food sector, mainly sugar, and from the secotr of other transportation equipment with an increase in the production of vessels and motorcycles pieces. The state had also recorded negative decreases for two months, with a loss of 7.6%.
“The second main influence came from Minas Gerais, which recorded an increase of 7.3%, biggest increase since July 2020, when the index reached 8.6%. The advance is also a consequence of the increased production of ore, after a drop in January due to rainfall, as well as in Pará. Another factor that positively affects increase in Minas Gerais is the bigger production in the sector of basic metals,” says the analyst.
The third main influence was that of São Paulo, with an increase of 1.1%, after a decreaase of 2.5% in January. The increase of São Paulo is based on the performance of the sectors of vehicles and of other transportation equipment. The fourth main influence was that of Amazonas, due to the sectors of beverages and computer science
“São Paulo accounts for approximately 34% of the national industrial plant, but it is 2.3% below the pre-pandemic level, in February 2020, and 24.2% below the highest level, which was reached in March 2011,” Mr. Almeida says.
In terms of negative results, from January to February, Mato Grosso is the leader as the main negative influence on the national result, with a decrease of 4.4%, after four consecutive months of increase in production, a period with a cumulative increase of 32.8%. The decrease came from the sector of food products, the same that had accounted for increases in preceding months with the end of the Chinese embargo against the import of Brazilian beef. “In February, there was only a drop in production for the strategic adequacy between supply and demand,” Mr. Almeida says.
In the cumulative index in the year, there were decreases in nine of the 15 areas surveyed, among which Ceará (-20.1%) and Pará (-14.5%) stood out. “It is still early for us to analyze the rest of the year, but we can see deceleration in production. It is worth mentioning that, in the beginning of 2021, we still observed a process of making up for the loss and the basis for comparison was lower than in the current period,” says the analyst Bruno Almeida.
From November last year, ten out of 15 places surveyed registered negative rates. Ceará (-14.7%) had a two-digit increase, the most significant in the month.
Santa Catarina (-6.6%) and São Paulo (-5.4%) also recorded more significant negative rates than the national average (-4.3%), whereas Rio Grande do Sul (-3.3%), Northeast Region (-2.6%), Pernambuco (-1.5%), Pará (-1.4%) and Paraná (-0.9%) complete the group of areas with negative indexes.
Mato Grosso (12.6%) and Amazonas (11.3%) recorded the main increases in February 2022, followed by Bahia (4.4%), Goiás (3.4%), Espírito Santo (1.6%), Rio de Janeiro (1.4%) and Minas Gerais (0.7%).
More about the survey
The Regional Monthly Survey of Industry has been producing short-term indicators since the 1970s regarding the behavior of the real product from mining and quarrying and manufacturing industries. It presents, every month, indexes for 14 Federation Units, each one accounting for at least 1% of the national value of manufacturing, and also for the Northeast Region as a whole. Amazonas, Pará, Ceará, Pernambuco, Bahia, Minas Gerais, Espírito Santo, Rio de Janeiro, São Paulo, Paraná, Santa Catarina, Rio Grande do Sul, Mato Grosso, Goiás and the Northeast Region.