Marcon Logística Portuária

Challenges for Foreign Trade of Brazil in 2019

In spite of a foreign policy that, by all indications, will be unconventional, the business community has good expectations with the new government. The economic moment of Brazil has led entrepreneurs to think about the sale of their products and services abroad. This is because historically, exports grow during crises, especially in emerging countries. By 2019, the focus is on the continuity of the focus on exports as a business strategy and not as an emergency alternative.

It seems that the word of order will be openness. And, as long as it is accompanied by domestic reforms that have so much impact on our development, it will be most welcome. Today, Brazil’s presence in world trade is inexpressive, around 1%. We are a shy giant. Shyness, this, also a result of bureaucracy, deficient infrastructure and labor, in general, unproductive.

On the international macroeconomic level, we need to look beyond Latin America and take a more prominent role among the BRICS (group of emerging economies comprising Brazil, Russia, India, China and South Africa), as long as there is a context for this, and move towards the OECD (Organization for Economic Co-operation and Development).

When the agenda is the BRICS, the political instability that Brazil has passed in recent years has left us standing unequal in relation to the other countries of the group. China, for example, is one step away from becoming the world’s largest economy. Otherwise, there should be facilitation in the transit of people between these powers. In this sense, the only movement we registered, still insufficient, was with regard to India, with e-Visa. We need to simplify the transit of intellectual capital between these countries and not lose sight of nations such as Canada, the United States, Israel, Japan and the United Kingdom, which would join us in science, technology and innovation.

About OECD, Mexico and Chile can be good examples. Since the entry for this select group, both have registered significant growth in gross domestic product year after year. Our neighbors: Argentina, which has the stated support of the United States, and Peru, have already moved in that direction, as have Croatia, Bulgaria and Romania. The organization’s seal favors, among other things, the attraction of investments to the country, since its members have a high standard of transparency in relations and public management. In the long term, being part of the group can corroborate the competitiveness of Brazilian companies and position the country on a relevant international level, more worthy of our greatness.

In the domestic scenario, more good examples are needed, such as that of Camex (Brazilian Chamber of Foreign Trade), which has just launched a Guide to Good Regulatory Practices that culminated in the elimination of 249 bureaucracies in foreign trade, establishing a consistent and transparent regulatory framework , quite in line with international standards.

Another important point are the obstacles to undertake in Brazil. Today, one still loses a good part of the time filling papers, going to the notary offices and / or complaining of the telephony, of the Internet, of the banks. The entrepreneur should concentrate his efforts exclusively on the development of his business and the government, in fact, would have to be a partner of the companies, a role that Sebrae has played very well for the micro and small.

When it comes to import and export, there must be currency simplification, in financing, in collecting taxes, in legal adaptations. An alternative, already applied in Hong Kong, would be the taxation of companies with less than two years of operation, exclusively on profit earned, or the creation of a single tax, a kind of VAT, widely diffused abroad. responsible for the transfer to the states and municipalities. It does not make much sense that the entrepreneur technically dominates the tax equations or has administrative expenses depending on them.

In the infrastructure, it is known that the flow of cargoes in Brazil is given mainly by highways, of which only 13% are paved. Not to mention the insecurity in the road network, see the state of Rio de Janeiro, whose theft of cargo has led to losses in excess of 600 million reais, and required the private sector to seek countermeasures to minimize these impacts.

The expansion of the railway network, which represents only 15% of the country’s logistical map, would facilitate agricultural transport, the flagship of Brazil at that time, and generate savings of more than 15 million reais a year, as well as improving traffic in large urban centers, be less polluting and safer.

The situation in the 37 ports in operation in Brazil is also not easy. In 2017, the lowest port pass was recorded in 14 years. But, in addition to incipient resources, lack management. The ports operate in a chaotic situation. There is no administrative standard, which opens the precedent for corruption and diminishes the interest of the foreign investor. In this context, the bidding of ports would be an alternative.

Welcome pragmatism, the presence of technical professionals in key areas, and the willingness to negotiate with large nations. And also the structural reforms that will allow us to grow beyond the subjectivity of expectations and that we have a consistent long-term country project with a high added-value export agenda – not based on agribusiness – and with small and medium entrepreneurs who, more than listen to talk, know the importance of internationalization for the perpetuity of their business.

Source: Portogente



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