The Annual Survey of Mining and Manufacturing Industry (PIA Product 2003), conducted by IBGE confirms the steady process of spatial decentralization of the Brazilian industry. In 2003, whereas São Paulo registered fall of 3.9 percentage points in the participation of sales in overall sales in comparison with 2000, other states had a better performance: Paraná (1.3), Rio de Janeiro (0.8), Bahia (0.6) and Goiás (0.4). The leadership of the state of São Paulo refers to all categories of products; the participation of the state in 2003 was 42.5%, versus 46.4% in 2000.

Product sales reached R$ 738 billion, whereas the figure was R$ 431 billion in 2000, an increase which reflects, to a great extent, the evolution of industrial prices (the industrial price index measured by FGV – Getúlio Vargas Foundation varied 61% in the period). The six states which reached the best sales figures in 2003 were the same as in 2000: São Paulo (R$ 313.3 billion), Minas Gerais (R$ 73.4 billion), Rio Grande do Sul (R$ 64.6 billion), Rio de Janeiro (R$ 54.4 billion), Paraná (R$ 52.8 billion) and Bahia (R$ 37.6 billion). The state of Amazonas (R$ 30.2 billion) is the seventh in the ranking, substituting Santa Catarina, which is now placed as the eighth in terms of value of sales.

In 2003, sales of diesel (number 1 in the ranking) made up a total of R$ 26.9 billion, followed by sales of automobiles between 1500 and 3000cc (R$ 19.9 billion), automotive gas (R$ 13.4 billion), iron ore (R$ 13.2 billion), automobiles not exceeding 1000cc (R$ 9.8 billion) and mobile telephones (R$ 9.1 billion).

Sales of Intermediate Goods rise due to exports

In relation to 2000, PIA/Product 2003 has shown improvement in the performance of two categories of products and decline in two others. Intermediate Goods (production of raw material and inputs) presented major increase (3.9 percentage points), changing from 54.9% (2000) to 58.8% (2003) of the overall sales. This increase a as result of exports, especially of semi-manufactured products, and also of and of the growing internal production of petroleum and derivatives. The sales of Durable Consumer Goods (automobiles, electronic appliances, mobile telephones) grew by 0.2 percentage point, going from 8.0% to 8.2%.

The sales of Semi-Durable and Non-Durable Consumer Goods (apparel, food products, beverages) fell by 2.4 percentage points, from 24.6% to 22.2%. Concerning Capital Goods (machinery and equipment), the fall was of 1.9 percentage point, from 9.3% to 7.4%. Industrial Services (such as services related to petroleum and gas extraction and to and aircraft maintenance) presented practically stable figures between 2000 (3.2%) and 2003 (3.4%).

São Paulo, Paraná and Bahia lead diesel sales

According to PIA Product 2003, São Paulo is the main producer of Intermediate Goods (39.5%), followed by Minas Gerais (12.3%), Rio Grande do Sul (8.3%), Rio de Janeiro (7.6%) and Paraná (7.3%). The main five items of this category are: diesel, (69% of sales in SP, PR and BA), iron ore (78% in MG and ES), crystallized sugar (70% in SP), fertilizers (44% in PR and SP) and fuel oils (63% in SP and RJ).

With reference to Semi-Durable and Non-Durable Consumer Goods, São Paulo also holds the leadership of sales in the country (46.1%), followed by Rio Grande do Sul (10.3%), Rio de Janeiro (7.0%), Minas Gerais (6.2%) and Paraná (5.7%). The main products of this category are gasoline (74% of sales in SP, RJ and BA), beer and draft beer (56% in SP and RJ), alcohol (61% in São Paulo), cattle meat (67% in SP, GO and MT) and soft drinks (52% in SP, RJ, RS and MG).

The production of Capital Goods was concentrated in comparison with the other categories of use; the registered figures in this case were: São Paulo (55.4%), followed by Rio Grande do Sul (13.7%), Paraná (8.2%), Rio de Janeiro (7.8%) and Minas Gerais (5.1%). Among the leading selling items of the category Capital Goods are: airplanes (100% of sales in SP), heavy trucks (95% in SP and RJ), tractors (77% in RS and PR), harvesting machinery (94% in RS and PR) and computers (71% in SP).

Concerning Durable Consumer Goods, the highlights are São Paulo (40.2%), Amazonas (24.6%), Paraná (9.3%), Minas Gerais (9.0%), Rio Grande do Sul (5.2%) and Bahia. The latter is listed under this category for the first time, having increased from 0% to 4.8% in terms of sales participation. Among the products, the highlight is automobiles between 1500 3000cc, the number two product in the national ranking, with sales concentrated in São Paulo (63%). Automobiles not exceeding 1000cc are the second most important item of this category , followed by mobile telephones.

Production and sales of the one hundred main products

The one hundred best selling products/services of the Brazilian industry made up a total of R$ 338 billion, or 52.6% of overall sales, according to PIA Product 2003. On the top position was diesel, making up R$ 26.9 billion, with 69% of its sales in the states of São Paulo, Paraná and Bahia. In second place was automobiles between 1500 and 3000cc, making up a total R$ 19.9 billion, with sales in São Paulo (63%) as the highlight. In third place was gasoline, making up R$ 13.4 billion, with the states of São Paulo, Rio de Janeiro and Bahia corresponding to 74% of sales of this product. Iron ore is in fourth place, representing R$ 13.2 billion, with MG and ES responsible for 78% of the sales of this product. The other products were automobiles not exceeding 1.000cc (5^th place), mobile telephones (6^th place), crystallized sugar (7th), fertilizers (8th), fuel oils (9th) and beer and draft beer (10th). Having changed from the sixteenth to the sixth position, mobile telephones represented R$ 9.1 billion in 2003, whereas in 2000 the same item it made up a total of R$3.6 billion. Amazonas is responsible for 62% of sales of this product.

PIA Product is a survey which informs about the production, in terms of cost and quantity, of the main types of industry in Brazil. A total of 15200 companies took part in the survey, and provided information about 20 thousand industrial plants and 3500 items representing 77% of the overall Brazilian industry in 2003.