In October 2007, the industrial production increased by 2.8% compared to September, in the series with seasonal adjustment.  The result of October compensated the decrease of 0.6% observed in the previous month and led the industrial production to the major increase in the comparison with the previous month since September 2003 (4.6%).  In relation to October 2006, Industry increased 10.3%, registering the highest rate since August 2004 (13.3%).  The indicator accumulated January-October was 5.9%, above the indicator accumulated until September (5.4%).  The indicator accumulated in the last twelve months changed from 4.8% in September to 5.3% in October.

In the comparison October/September (2.8%), the increase in the level of production had a generalized profile, reaching 20 among 27 surveyed segments and all the categories of use.  The expansion in the production was more intense in the sector of intermediate goods (2.7%), which recorded its major growth since September 2003 (3.2%).  The results in the other categories were: 1.8% in capital goods, which accumulated an expansion of 6.5% in the last three months; 1.4% in durable consumer goods,  which accumulated a positive rate after stability in September (-0.2%); and 1.3% in semi and non-durable consumer goods which reverted the decrease of 0.5% registered in the previous month.  In the analysis by industrial sectors, the major contribution on the overall average came from automotive vehicles (7.0%), followed by cellulose and paper (8.8%); other chemical products (4.8%); office machines and computer equipment (16.4%); machines and equipment (3.3%); and electric machines, equipment and material (5.9%).

The increase of household consumption, beneficiated by good credit conditions, increase in investment, growth in the productive capacity, and dynamism of foreign sales, supported mainly in the major export of commodities, supported the industrial performance, leading the production of October to the major increase in the comparison with the previous month since September 2003 (4.6%).  In October, the series of indexes seasonally adjusted reached a record level for the total of the industry, 2.3% above the previous maximum point registered in last August.  The production in October also was the highest of the time series in the segments of capital goods, intermediate goods and durable consumer goods.

In relation to October 2006, the increase of the industrial production (10.3%) also had a generalized profile, once it reached 23 among 27 investigated activities and all the categories of use.  Still in October, it is worth mentioning the difference of one more labor day in this year compared to the same month of the previous year.  The major influences on the overall result were registered by the industries of automotive vehicles (29.5%); machines and equipment (19.9%); food products (6.5%); electric machines, equipment and material (24.8%); petroleum refining and alcohol production (10.7%); other chemical products (6.9%); rubber and plastic (12.6%); office machines and computer equipment (22.7%).  In these segments, stood out, as the main influences, not only the items associated to the segment of durable consumer goods, as automobiles and household equipment, as well as some related to the segments of capital goods (plant centers, trucks, transformers and computers) and of intermediate goods (crystallized sugar, herbicides and vehicle parts).

Still in the comparison October 07/ October 06, capital goods (26.8%) and consumer durable goods (18.2%) registered a rhythm of growth considerably above the overall average of the industry (10.3%).   In the first segment it could be observed an increase in the rhythm of growth of several sub-sectors, indicating a generalized increase of investments.  The indexes of the sub-sectors of capital goods showed increase of two digits, standing out transportation equipment (30.1%), capital goods of mixed use (20.2%), capital goods for electricity (52.6%) and capital goods for industrial use (13.2%).  In the sector of durable consumer goods, besides the increase already mentioned in the automobile industry (26.1%), the production of household equipment increased by 13.9%, showing the favorable performance of “brown line” household equipment as for example TV, radio and stereo, (12.2%), and “white line” household equipment such as refrigerators, freezers and washing machines (15.6%) and other household equipment (15.4%).

In this same comparison, the production of intermediate goods increased by 8.8% and registered the best result since August 2004 (11.4%) with increase in all the subcategories, with the exception of basic lubricants and fuels (-5.3%), whose decrease was explained by technical stoppages in some platforms of petroleum extraction.  Among the groups with positive rates, stood out elaborated industrial inputs (6.3%), influenced positively by the growth in the production of herbicides, cellulose, cement, parts for automobiles and dyes and varnishes for construction.  The group of packaging showed increase of 4.9% and the production of inputs for construction increased 10.2%.  In the segment of semi and non-durable consumer goods, which increased 5.9%, prevailed the two-digit rate increases in fuels (16.2%) and in semi-durable (11.4%).  This last segment had not registered a two-digit rate increase since June 2004 (10.5%).  It is also worth to point out, the result of major influence of this segment: food products and elaborated beverages for household consumption (5.2%), influenced by the major production of beers and draft beers, soft drinks, orange juice and frozen poultry meat. 

The indicator accumulated for the period January-October reached 5.9%, supported in the growth of 22 activities, with automotive vehicles (14.3%) leading the overall expansion, upheld by the major production of automobiles and trucks, followed by machines and equipment (17.6%). On the other hand, electronic material and communication equipment (-3.8%), still influenced by the reduction in the item TV sets, and tobacco (-8.2%) brought the major negative influences on the formation of the overall rate.

The indexes by categories of use confirm the major dynamism of the producing sectors of capital goods (18.8%) and durable consumer goods (8.7%), pattern which determined the industrial dynamic since the second half of the last year.  Below the rhythm of the general industry (5.9%) increased the categories of intermediate goods (4.7%) and semi and non-durable consumer goods (3.4%).

* The complete tables with all information about the Industrial Production can be found on IBGE’s website (www.ibge.gov.br)