US Real-Estate Crisis Puts Big Dent on Brazil’s Wood Industry

Santa Catarina, Brazil Sales by the industry of Santa Catarina state in southern Brazil have accumulated a 7.63% growth from January to September in comparison with the same period of last year but the state saw a significant drop in its activity in September.

The SC Industrial Indicators survey, conducted by the Federation of Industries of the State of Santa Catarina (Fiesc) among 203 large and medium-sized industries, and disclosed Monday, November 5, shows that industrial sales by the state had a 7.58% reduction in September compared with August.

The greatest decrease in sales in the month of September took place in the wood products sector (-13.23%), mostly due to the United States real estate sector crisis. Other important sectors in the Santa Catarina state industry that had sales reductions were those of foodstuffs (-10.64%), metal products (-12.61%) and electrical machinery, devices and materials (-9.02%).

According to the FIESC, despite the decrease in sales in September, demand is expected to improve late this year. Until September, the best performances in comparison with 2006 were recorded in the segments of foodstuffs (18.66% increase), metallic products (13.77%) and machinery and equipment (12.78%), and highlights were refrigerators and compressors.

The remaining survey indicators followed the same sales trend, of reduction in August and growth in the accumulated result for 2007. Hours worked in production for the surveyed industries increased by 1.15% from January to September over the first nine months of 2006, with the greatest advancements in machinery, electric devices and material, automotive vehicles and metal products.

Total wages paid by industries in the state of Santa Catarina are 8.60% higher in the accumulated result for 2007. The most significant rises in comparison with last year were those of manufacturers of electrical machinery, devices and material, electronic material, and communication and foodstuff equipment.

The use of installed capacity in large and medium-sized industries in the state of Santa Catarina currently stands at 83.51% in the accumulated result for the year, against an average of 82.39% in the same period of 2006.

Five segments have already exceeded a 90% rate of use of production capacity: foodstuffs, cellulose and paper products, ceramics tiles, machinery and equipment, and electrical machinery, devices, and material.

CNI

Tags:

You May Also Like

Exemplary Stories of Brazil’s Extractive Reserves

The creation of two extractive reserves in Pará, in the North of Brazil, did ...

Swiss JetBird Orders Up to 100 Jets from Brazil’s Embraer

Embraer announced that Geneva-based JetBird has acquired 50 Phenom 100 jets and has placed ...

Brazil’s New Corruption Scandal Further Hurts Former President Lula’s Reputation

Dilma Rousseff, the president of Brazil, moved quickly and without considering political allies ordered ...

Brazil’s Dog Perfume Maker’s Dream: To Conquer Paris

Brazil's Pet Passion, a maker of perfumes for dogs and cats, has ambitious plans. ...

Brazil-US: Will Obama Mention the “BRICs” or just the “RICs”?

When President Barack Obama assumes office on January 20 can we expect to hear ...

Brazil to Launch Campaign to Curb Violence Against Women

Brazil’s federal government plans to develop an awareness campaign on violence against elderly women. ...

Brazilian President Is Favorite of Voters, But She Could Lose in a Runoff

The first poll conducted after the death of presidential candidate Eduardo Campos (PSB) shows ...

Despite Chinese Competition Demand for Brazil Wood Grows Among Arabs

Paraná, in the Brazilian South, one of the leading Brazilian forestry industry manufacturers and ...

In Brazil Now Earning US$ 145 a Month Makes You Middle Class. More than US$ 545 and You’re Rich

The Brazilian government has a new definition for the Brazilian middle class. A commission ...

Lula Has a Word to Describe Brazil 2010: Extraordinary

Talking about the measures announced last week by his government's economic team, Brazilian president ...