In October, seasonally adjusted regional indexes of industrial production increased, in comparison to September, in 10 of the 14 surveyed places. Paraná (8.7%), Minas Gerais (3.0%), Espírito Santo (2.9%) and Ceará (2.3%) presented rates above national average (2.2%). São Paulo and Santa Catarina (both with 2.1%), Pará (1.2%), Rio de Janeiro (0.9%), Rio Grande do Sul and Bahia (both with 0.8%) also recorded increased production, whereas Amazonas (0.0%) was stable. On the other hand, the Northeast region (-0.3%), Pernambuco (-0.7%) and Goiás (-10.3%) presented decreases in this comparison.

In the comparison October 09/October 08, which for the country as a whole was -3.2%, the indexes were negative in 10 of the 14 places, with Pará (-8.7%), Minas Gerais (-7.4%), Goiás (-5.8%), Rio Grande do Sul (-5.5%), São Paulo (-5.1%) and Ceará (-3.5%) recording decreases above national average. The Northeast region (-0.1%) nearly repeated the level of October 2008. The other negative rates were found in: Santa Catarina (-2.9%), Amazonas (-1.4%) and Rio de Janeiro (-1.0%). In this comparison, the places with increased production were: Espírito Santo (2.4%), Pernambuco (1.0%), Paraná (0.6%) and Bahia (0.3%).

October, even with two business days shorter than October 2008, is marked by significant recoveries in several sectors, in a context of greater trust in the economic environment. The influence of those factors become evident in the confrontation between the production rhythm of the third quarter and that of October, both compared to the same period of the previous year: all areas, except Goiás, showed increased rhythm between both periods. The biggest gains came from Espírito Santo, which changed from a fall of 12.7% in the third quarter to an increase of 2.4% in October, followed by Bahia (from -6.8% to 0.3%) and Paraná (from -5.7% to 0.6%).

In the accumulated indicator for the first 10 months of the year, negative rates reached all places. With bigger decreases than the -10.7% of national average are Espírito Santo (-21.1%), Minas Gerais (-17.6%), Amazonas (-11.9%), São Paulo (-11.6%) and Rio Grande do Sul (-10.9%). In those places, some factors were determinant for industrial performance, such as decreased dynamism of typically export products, especially commodities (iron ore and steel products) and the strong adjustment in the production of cars and machines and equipment. Santa Catarina (-10.4%) also shows two-digit decreases. The other results were: Pará (-8.2%), Bahia (-8.0%), the Northeast region (-7.3%), Ceará (-6.4%), Rio de Janeiro (-5.9%), Paraná and Pernambuco (both with -5.2%) and Goiás (-1.7%).

AMAZONAS – Industrial production in Amazonas, in October, presented stability in contrast to the previous month (0.0%), seasonally adjusted, the fourth consecutive month of fall, accumulating an increase of 7.8% in this period. Thus, the quarterly moving average index (1.3%) showed the sixth consecutive positive rate, accumulating growth of 13.5%.

In relation to October 2008, the decrease of 1.4% marks the 12^th consecutive negative rate in this kind of comparison. Among a total of 11 segments, six contributed negatively to the reduced overall average of industry in Amazonas. The main negative influence came from electronic material and communication equipment (-14.3%) and other transportation equipment (-16.1%). The losses from chemical products (-69.0%) and optical, medical and hospital equipment (-22.5%) must be emphasized. On the other hand, among the five activities that showed growth, the highlight was food products and beverages (38.6%).

The indicator accumulated in January-October 2009 marked the decrease of 11.9%, with six segments showing negative rates. In the accumulated index of the last 12 months, the fall reached -11.3%, confirming the downward trend initiated in September 2008 (8.3%).

PARÁ – In October, industry in Pará advanced 1.2% in relation to September, in the seasonally adjusted series, after the virtual stability observed in the previous month (0.1%). Consequently, the quarterly moving average index retreated by 0.6% between September and October, the second consecutive negative result, but with a slower fall rhythm than in the previous months.

In the monthly indicator, industry from Pará retreated by 8.7%, with four of the six activities recording negative performance. The fall of mining and quarrying industry (-13.6%) exerted the highest pressure on the formation of overall rate, followed by basic metallurgy, which showed a reduction of 1.6%. Conversely, food products and beverages (5.8%) and cellulose and paper (1.6%) made the main positive contributions.

In the index accumulated in January-October, compared to the same period of the previous year, the industrial sector of Pará recorded a fall of 8.2%, the 10^th consecutive negative rate. The indicator accumulated in the last 12 months (-7.1%) kept the downward trend initiated in December 2008 (5.6%).

NORTHEAST – In October, the seasonally adjusted industrial production in the Northeast retreated by 0.3% in relation to the immediately previous month, after having accumulated a gain of 5.9% between August and September. With those results, the quarterly moving average index advanced by 1.8%, accumulating an expansion of 5.6% in the last four months.

By comparison with October 2008, industry in the Northeast was practically stable (-0.1%), but seven of the 11 surveyed industrial sectors had a decrease. The main influence of decrease came from the sector of food products and beverages (-2.7%). Losses from petroleum refining and alcohol production (-5.8%) and basic metallurgy (-7.3%) are worth mentioning. On the other hand, major positive impacts were observed in chemical products (12.1%) and footwear and leather articles (11.2%).

In the indicator accumulated in the year, industrial production in the Northeast retreated by 7.3%, with decreases in all surveyed activities. The indicator accumulated in the last 12 months was practically stable between September (-7.3%) and October (-7.2%).

CEARÁ – In October, the seasonally adjusted industrial production of Ceará grew by 2.3% in relation to the immediately previous month, the second consecutive positive rate, accumulating an expansion of 4.6% in this period. With those results, the quarterly moving average index advanced by 1.4%, accumulating, in a two-month growth, a gain of 2.3%.

In the monthly indicator, industry in Ceará recorded a decrease of 3.5%, with negative results in five of the 10 surveyed activities, the main impact coming from food products and beverages (-26.3%). Other losses came from electric machines, appliances and equipment (-50.6%) and petroleum refining and alcohol production (-18.2%). By contrast, the main positive influences came from textiles (27.8%) and footwear and leather articles (19.6%).

The indicator accumulated in the year retreated by 6.4%, with negative results in five of the 10 surveyed segments. The annualized rate, accumulated indicator in the last 12 months, changed from -5.3% in September to -5.9% in October, keeping the downward trend initiated in September 2008 (3.8%).

PERNAMBUCO – In October, the seasonally adjusted industrial production of Pernambuco retreated by 0.7%, after a fall of 1.3% in September. Still in the seasonally adjusted series, the quarterly moving average index advanced by 1.6%, the fourth consecutive positive rate, accumulating a gain of 6.6% in this period.

The monthly indicator of industry in Pernambuco grew by 1.0%, greatly supported by the expansion in five of the 11 surveyed industrial activities. The main positive contribution came from food products and beverages (7.4%), followed by progresses observed in electric machines appliances and equipment (8.3%) and metal products (4.2%). On the other hand, negative pressures came from petroleum refining and alcohol production (-35.5%) and rubber and plastic (-14.9%).

In the indicator accumulated in the year, production in Pernambuco retreated by 5.2%, with negative rates in 10 of the 11 industrial sectors. The annualized rate, indicator accumulated in the last 12 months, was practically stable between September (-5.0%) and October (-5.1%).

BAHIA – In October, the seasonally adjusted industrial production of Bahia grew by 0.8% in relation to the previous month, the third consecutive negative rate, accumulating a gain of 8.2% in this period. With those results, the quarterly moving average index advanced by 2.6%, keeping the upward trend initiated in June.

In the monthly indicator, industrial production in Bahia marked a positive variation of 0.3%, with only two of the nine activities showing production increase. The only two positive results were recorded by chemical products (11.3%) and non-metallic minerals (5.1%). On the other hand, among the seven branches that reduced production, the main contribution came from basic metallurgy (-11.2%). It is worth mentioning the losses recorded by petroleum refining and alcohol production (-4.2%) and food products and beverages (-4.7%).

In the indicator accumulated in the year, industry in Bahia decreased by 8.0%, with negative results in seven of the nine surveyed sectors. The annualized rate decreased by 8.1%, repeating the result of the previous month.

MINAS GERAIS – In October, the seasonally adjusted industrial production of Minas Gerais advanced by 3.0% in relation to September, the 10^th consecutive positive rate, accumulating a gain of 28.0% in this period. Consequently, the quarterly moving average index, by growing 1.7%, increases rhythm in relation to the result of September (1.3%), keeping the upward trend initiated in January.

In comparison with the same month of the previous year, the industrial production of Minas Gerais has exhibited decrease for 12 months, with the rate of -7.4% of October recording the sharpest decline of this period. This movement was not followed by mining and quarrying industry (-24.9%), which recorded a result similar to that of September (-24.1%). Manufacturing industry showed strong reduction f the decrease rhythm of October (-4.3%) in relation to September (-10.5%), principally because of the performance of automotive vehicles, which changed from a monthly rate of 3.8% in September to 17.4% in October. Specifically in that last month, nine sectors revealed a production fall, with mining and quarrying industry (-24.9%) and basic metallurgy (-18.8%) accounting for the main negative contributions on the overall average.

The indicators accumulated in the 10 months of the year (-17.6%) and in the last 12 months (-18.1%) also showed decreases, with the last one increasing the rhythm of fall in relation to September (-17.3%).

ESPÍRITO SANTO – In October, the seasonally industry of Espírito Santo increased by 2.9% in relation to September, completing the fourth consecutive positive result in this type of comparison, accumulating an expansion of 23.6%. Thus, the quarterly moving average index grew by 4.1%, keeping the upward trend initiated in March.

Industrial production in Espírito Santo grew by 2.4% in relation to the same month of last year, stimulated by the positive performance of manufacturing industry (16.7%), once mining and quarrying industry still shows decrease (-20.8%). In the first segment, where three of the four branches recorded increased production, the main influences came from food products and beverages (47.8%) and basic metallurgy (14.9%). On the other hand, non-metallic minerals were the only activity of manufacturing industry to show a negative rate (-14.0%).

The index accumulated in the year recorded a decrease of 21.1%, and the annualized rate, accumulated in the last 12 months, also shows a reduction in the rhythm of decrease between September (-22.3%) and October (-21.9%).

RIO DE JANEIRO – In October 2009, the seasonally adjusted index of industrial production of Rio de Janeiro advanced 0.9% in relation to the previous month. It was the second consecutive positive rate, accumulating a gain of 2.5% in this period. Still in the seasonally adjusted series, the quarterly moving average index shows an increase of 0.7% between September and October, keeping the upward trend initiated in March, and increasing by 9.9% in this period.

In relation to October 2008, the industrial sector in Rio de Janeiro recorded a fall of 1.0%, pressed by the negative contribution of manufacturing industry (-3.6%), once mining and quarrying industry still presents increase (9.7%). In this last sector, which shows the 19^th consecutive positive rate, the increased petroleum extraction stands out. In manufacturing industry, which records the least intense fall since October 2008 (-2.7%), nine of the 12 activities showed production decrease. Among the three activities with increased production, the main pressure came from beverages (29.0%).

In the indicator accumulated in January-October 2009, in relation to the same period of 2008, industrial activity in Rio de Janeiro decreased by 5.9%, with decreases in nine of the 13 surveyed activities. The annualized rate also decreased by 5.9%, but was practically stable in comparison to the result of the previous month (-5.8%).

SÃO PAULO – In October, the seasonally adjusted industrial production of São Paulo increased by 2.1% in relation to the previous month, the fourth consecutive expansion in this kind of comparison, accumulating a gain of 7.8% in this period. Thus, the quarterly moving average index increased by 1.8% for the second consecutive month and keeps the upward trend initiated in March, accumulating a gain of 11.2%.

In the confrontation October 09/October 08, the industrial sector of São Paulo decreased by 5.1%, with 13 of the 20 surveyed activities showing decreased production. The most relevant negative contributions on the overall average came from machines and equipment (-23.8%) and electronic material and communication equipment (-41.8%), both with approximately 70% of the products in decrease. It is also worth mentioning the losses from automotive vehicles (-6.0%), basic metallurgy (-14.7%) and metal products (-12.8%). On the other hand, among the seven activities that recorded expansion, the highlights were chemical products (15.2%), petroleum refining and alcohol production (7.4%), both influenced by technical paralyzations in October 2008, and food products (2.4%).

The indicator accumulated in the year for industry in São Paulo decreased by 11.6%, with 14 sectors pressing this result negatively. The annualized rate, accumulated index in the last 12 months (-11.1%), keeps the downward trend, but with a slower rhythm of fall than in the previous months.

PARANÁ – The industrial sector of Paraná began to record again, in October, in the seasonally adjusted series, production increase in relation to the previous month (8.7%), after two consecutive months of decrease, when it accumulated a reduction of 5.1%. It is worth mentioning that the result of October represented the highest rate among the surveyed places. Thus, the quarterly moving average index, by growing 1.1%, confirms the upward trend initiated in July, accumulating a gain of 5.5% in this period.

The index October 09/October 08 presented increase of 0.6%, first positive monthly rate since April, with seven of the 14 surveyed sectors showing increasing production. The main positive contribution to the overall average came from editing and printing (113.7%). On the other hand, the highlights as negative impacts were industries of automotive vehicles (-21.6%) and food products (-12.0%).

In the indicator accumulated in January-October, the overall rate of -5.2% reflected the negative performance of most (nine) of the surveyed activities. The indicator accumulated in the last 12 months (-4.4%) was practically stable in relation to the result of September (-4.2%).

SANTA CATARINA – In Santa Catarina, industrial activity increased by 2.1% from September to October, in the seasonally adjusted series, after having increased by 2.4% in the previous month. With those results, the quarterly moving average index grew by 1.1%, keeping the upward trend initiated in April, accumulating a gain of 5.6% in this period.

Compared to October of last year, six of the 11 surveyed sectors reduced production, with the main negative contribution to the overall rate of -2.9% coming from automotive vehicles (-65.3%). Among the branches in expansion, the highlights were machinery and equipment (20.1%) and electric machines, appliances and material (51.0%).

In the other indicators, negative rates remained: -10.4% in the accumulated in the year and -10.4% in the last 12 months, with this last one repeating the result of September (-10.4%).

RIO GRANDE DO SUL – In Rio Grande do Sul, industrial production advanced by 0.8% between September and October, in the seasonally adjusted series, the fifth consecutive positive rate in this kind of comparison, accumulating a gain of 6.0% in the period. Thus, the quarterly moving average index, by growing 1.1%, confirms the upward trend initiated in February.

In the comparison October 09/October 08, there was a decreased production in nine of the 14 surveyed sectors. In the composition of the overall rate of -5.5%, the branch to most negatively press was machinery and equipment (-31.4%), followed by automotive vehicles (-13.4%) and footwear and leather articles (-12.0%). Among the five branches that increased production, petroleum refining and alcohol production (39.6%) was the one to exert major impact in general, stimulated principally by the greater production of diesel and other fuels.

In the other comparisons, industry in Rio Grande do Sul still presents negative rates: -10.9% in the accumulated in the year and -11.3% in the accumulated in the last 12 months, which kept the downward trend initiated in October 2008.

GOIÁS – In October, industry in Goiás decreased by 10.3% in relation to September, in the seasonally adjusted series, after having increased 2.2% in the previous month. Thus, the quarterly moving average index showed a loss of 5.0% and interrupted six months of positive rates, accumulating 11.1% of expansion in the period.

In the monthly indicator, the decrease of 5.8% may be explained greatly by the negative impact from food products and beverages (-7.5%) and chemical products (-18.2%). By contrast, basic metallurgy (30.9%) exerted the main positive impact, stimulated mainly by the increased production of iron nickel and iron niobium.

In the other comparisons, the results were: -1.7% in the accumulated in the year and -1.4% in the accumulated in the last 12 months, both highlighting the rhythm of decrease in relation to the previous month (respectively -1.1% and -0.5%).