In April, Industrial Production remains stable in comparison with the previous month (0.0% change) and increases by 6.3% in relation to April 2004.

The accumulated figures for the first four months of 2005, and for the last twelve months are, respectively, 4.5% and 7.6%, without significant changes since March (7.5%)

The period between March and April is characterized by stability in industrial production. There was expansion in 10 sectors and decrease in 12 out of the 23 areas with seasonally adjusted series. The main contributors to the global results are: food products (3.5%), quarrying industry (7.4%), automotive vehicles (3.2%) and electronic material and communication equipment (4.9%). On the other hand, the main negative figures come from machinery and equipment (-4.0%), pharmaceutical industry (-6.2%), metal products (-4.7%) and beverage industry (-5.1%). The apparel sector remained stable.

The comparison with March, in relation to indexes of categories of use, shows that the sector of intermediate goods presents the only positive growth rate (1.3%). This result, in spite of being the second consecutive one, does not neutralize the deceleration observed in the first two months of the year, once there was an accumulated 3.0% decrease then. The production of capital goods falls again in relation to the previous month (-2.9%), after a rise of 3.9% in March. Concerning durable goods there is a decrease of 0.3% from March to April. The sector of semi-durable and non-durable consumer goods presents the third negative result (-0.3%), accumulating a loss of 4.4% in this period, causing the growth of 3.7% observed in January to be almost insignificant.

Regarding April 2004, the industrial sector has grown 6.3%. The quarrying industry makes up to an increase of 13.7%, the second biggest impact on the formation of the overall results, and the manufacturing industry to 5.9%. Out of the 26 sectors of manufacturing industry surveyed, 22 had positive results; automotive vehicles is still the leader among the sector which contribute to the overall growth rate. This industrial sector has the relevant participation of durable consumer goods, a segment that has been leading the industrial expansion in the comparisons 2005/2004. As a positive contribution, can also be mentioned the sectors of food products (6.0%), and electronic material and communication equipment (18.0%), mainly due to the production of crystallized sugar and mobile telephones, respectively. Among the four activities which had a fall in relation to April 2004, the one presenting the worst results was oil refinement and alcohol production (-4.8%), due to decrease in the production of diesel and other fuel oils. Regarding alcohol, however, expansion was observed.

In relation to the average figures of the first quarter of this year (3.8%), April has brought the overall industrial production a more accelerated growth (6.3%). This pattern is present in all the four categories of use, being more evident in the areas of durable, semi-durable and non-durable consumer goods. In the first segment, after growth of 12.0% in the first quarter, 17.8% was registered in April. With reference to this measure the production of automobiles stand out, changing from 13.1% in the period Jan-Mar to 23.6% in April. The production of household appliances falls between the two periods (from 1.3% to -2.8%).

Regarding semi-durable and non-durable consumer goods, with a rise from 5.4% to 8.5%, the highlight was the production of fuel, advancing from 5.1% to 14.5% within the dates being compared. In April the production alcohol and gasoline was, respectively, 91.7% and 7.6%.

Still concerning the comparison with April 2004, the indexes by category of use show a clear leadership of durable consumer goods (17.8%) in relation to the general industry (6.3%). There is also growth above average in the segment of semi-durable and non-durable consumer goods (8.5%), with positive results for the sixth consecutive time in this type of comparison. Subgroups have expanded as well, especially the group of other non- durable consumer goods (10.4%). In the sector of capital goods, (3.3%), there is a predominance of positive results: 23.0% for capital goods for construction; 14.8% for electric energy; 9.7% for transportation; 8.3% for machinery and equipment for industrial use, and 3.3% for capital goods for mixed use. The only subsector of this group with a performance below average, capital goods for agriculture (-37.2%), has a sequence of eight negative results in a row. The performance of intermediate goods (3.8%) was positively influenced by the behavior of its main subsectors, mainly inputs to industry (3.4%), and the items cement and cotton cloth. The negative impact was caused by fuels and special lubricant oils (-11.5%), a consequence of the fall of the item diesel and lubricant oils. There are also positive indexes observed in inputs for construction (3.4%) and packaging (5.5%).

The accumulated production growth in the period Jan-Apr, 4.5%, compared to the same period in 2004, was generalized and reached 21 sectors, 4 categories of use and 55 out of 76 industrial subsectors. In the analysis by activity, the leadership remains with automotive vehicles (12.4%), especially due to the production of automobiles. Also positive is the contribution of electronic and communication material (14.0%), pharmaceutical industry, (13.7%) and editing and printing (9.4%), due to the items mobile telephone, medicine and magazines, respectively. On the other hand, the main negative results are found in oil refinement and alcohol production (-4.0%).

The analysis of the indicator accumulated in the first four months of the year, considering the indexes by category of use, shows that durable consumer goods (13.5%) present the highest rate, followed by semi-durable and non-durable consumer goods (6.2%). In both cases the performance was above the national average (4.5%). Growth of 2.1% and 2.8% is observed in the sectors of intermediate goods and capital goods, respectively.

Out of the 55 subsectors which present growth in the period Jan-Apr it is worth mentioning quarrying of metallic minerals (9.5%); coffee production (10.5%) and cattle, hogs and pigs slaughter (10.3%), more susceptible to interference form the foreign market. There are also positive indicators in some subsectors which produce durable consumer goods, such as automobiles (16.3%) and electronic material and communication equipment (22.3%). Positive results are generated by the oil extraction and natural gas sector, which accumulates in four months the expansion of 6.0%, and by the production of alcohol (55.3%), influenced by a bigger fleet of bi-fuel vehicles and exports. Among the 21 subsectors which present fall in production, can be highlighted tractors, agriculture machinery and equipment (-30.7%), fertilizers (-11.9%), and fruit juice and concentrates (-11.4%).

The index accumulated in the last twelve months also indicates stability in April (7.5%) and, virtually repeats the figure of March (7.6%). This is clear in terms of intermediate goods (6.5% in March and 6.4% in April). The segment of durable goods (19.l%), above average, has slight deceleration in relation to March (19.6%). With a more intense fall, the category of capital goods goes from 14.8% in March to 13.0% in April. The sector of semi-durable and non-durable goods (5.2%) was the only one with a slight gain in relation to March (4.8%).

In summary, industrial production remains stable in April. The comparison April 05/March 05 shows a null change rate both for the index month / previous month and for the quarterly moving average. By categories of use, for the indexes of the quarterly moving average, durable consumer goods grew 2.9% between March and April, whereas the sector of intermediate goods confirms the path of stability followed by industry as a whole (0.1% in the same period). Concerning this same comparison, the sectors of capital goods (-0.8%) and semi-durable and non-durable goods (-1.5%) are facing a downturn. Even so, an increase of 4.5% in the total industrial production is observed that in the first four months of the year, in relation to the same period in 2004. The four-month indicator has risen since the end of 2003, but it has decelerated since the end of the period Set-Dec 2004. (graph).