An analysis on the export performance of

Brazil through parameters such as RCA, IIT,

Shift share and Constant Market Share
analysis

International
Economics
Export performance of Brazil

Deepayan Kumar(11)
Manish Kumar(21)
Prince Sethia(27)
Ritesh Gupta(31)
Rohit Raghavan(48)

Table of contents

No.

Topic

Page no

Revealed Comparative advantage

IIT index

13

Constant Market Share Analysis of Exports

22

Shift share Analysis of Exports

26

Conclusion

31

Export Performance of Brazil

1) Find out the products for which Revealed Comparative Advantage (RCA) > 1

The concept of revealed comparative advantage pertains to the relative trade performance of
individual countries in particular commodities. On the assumption that the commodity pattern of
trade reflects the inter-country differences in relative costs as well as in non-price factors, this is
assumed to reveal the comparative advantage of the trading countries. The factors that contribute
to movements in RCA are economic: structural change, improved world demand and trade
specialization.
Balassas (1965) measure of relative export performance by country and industry/commodity,
defined as a countrys share of world exports of a commodity divided by its share of total world
exports. The index for country i commodity j is calculated as follows:
RCAij = (Xij/Xwj)/(Xi/Xw)
Where
Xij = ith countrys export of commodity j
Xwj= world exports of commodity j
Xi= total exports of country i
Xw = total world exports in either a designated market or in a region or for the whole world. The
RCA is measured using post-trade data.
The index of revealed comparative advantage (RCAij) has a relatively simple interpretation. If it
takes a value greater than unity, the country has a revealed comparative advantage in that product.
The advantage of using the comparative advantage index is that it considers the intrinsic advantage
of a particular export commodity and is consistent with changes in an economys relative factor
endowment and productivity. The disadvantage, however, is that it cannot distinguish
improvements in factor endowments and pursuit of appropriate trade policies by a country.

Export Performance of Brazil

Product Description

RCA
2006

2007

2008

2009

2010

Live animals

0.489601

1.402884

1.760202

1.859858

2.639025

Meat and edible meat offal

8.598539

9.452697

9.183322

7.539446

8.257716

Fish & crustacean, mollusc & other

0.477814

0.344032

0.261754

0.171662

0.182008

Dairy prod; birds' eggs; natural ho

0.31937

0.433639

0.652545

0.341942

0.282407

Products of animal origin, nes or

2.986352

3.779479

3.991035

4.154669

4.411851

Live tree & other plant; bulb, root

0.164646

0.158031

0.13854

0.119595

0.101636

Edible vegetables and certain roots

0.037126

0.092745

0.03446

0.053149

0.021764

Edible fruit and nuts; peel of citr

1.106073

1.224477

1.051838

0.856717

0.801714

Coffee, tea, mat and spices.

11.75788

10.97973

10.54916

9.185204

11.10125

Cereals

1.005923

2.210219

1.324873

1.297175

1.965347

Prod.mill.indust; malt; starches;

0.318376

0.341347

0.277993

0.283237

0.241558

Oil seed, oleagi fruits; miscell gr

14.63633

12.49287

12.69655

13.00102

10.81383

Lac; gums, resins & other vegetable

1.022895

1.084635

1.104012

0.934167

0.984831

Vegetable plaiting materials; veget

1.639346

0.316226

0.991294

0.836593

1.139304

Animal/veg fats & oils & their clea

3.003284

3.030156

2.95476

1.829223

1.687137

Prep of meat, fish or crustaceans,

3.354626

3.639949

3.954473

3.229765

2.734446

Sugars and sugar confectionery.

17.48699

14.38657

13.41918

17.24892

19.95742

Cocoa and cocoa preparations.

1.304435

1.070491

0.932103

0.712199

0.748351

Prep.of cereal, flour, starch/milk;

0.332632

0.399602

0.530683

0.296579

0.232368

Prep of vegetable, fruit, nuts or o

3.647998

4.281157

3.305814

2.73637

2.772831

Miscellaneous edible preparations.

1.629212

1.735051

1.709787

1.385509

1.590297

Beverages, spirits and vinegar.

1.972547

1.503049

2.011681

1.220067

0.853147

Residues & waste from the food indu

6.446846

6.207633

6.457965

6.333755

5.919488

Tobacco and manufactured tobacco su

5.52336

6.171977

6.246538

6.139956

5.559736

Salt; sulphur; earth & ston; plaste

1.767408

1.780645

1.232571

1.286727

1.288713

Ores, slag and ash.

8.611207

8.288878

10.05179

9.05343

11.26

Mineral fuels, oils & product of th

0.542129

0.664785

0.613224

0.652168

0.796835

Inorgn chem; compds of prec mtl, r

1.759598

1.826482

1.668963

1.824432

1.811476

Organic chemicals.

0.585141

0.646775

0.615891

0.586836

0.625269

Export Performance of Brazil

Pharmaceutical products.

0.170365

0.167122

0.180204

0.176189

0.19455

Fertilisers.

0.476055

0.595442

0.468067

0.417892

0.400398

Tanning/dyeing extract; tannins &

0.488202

0.466296

0.466011

0.394691

0.408374

Essential oils & resinoids; perf,

0.577717

0.543534

0.537846

0.488267

0.526698

Soap, organic surface-active agents

0.476596

0.466247

0.465097

0.419045

0.469572

Albuminoidal subs; modified starche

1.079278

0.994933

0.953376

1.070727

0.963428

Explosives; pyrotechnic prod; match

0.752054

0.572238

0.52855

0.470171

0.470689

Photographic or cinematographic goo

0.481604

0.496947

0.386363

0.317987

0.305453

Miscellaneous chemical products.

0.474844

0.507139

0.450628

0.393686

0.433192

Plastics and articles thereof.

0.57147

0.54606

0.453477

0.521465

0.482849

Rubber and articles thereof.

1.159394

1.215389

1.109571

0.944081

0.888491

Raw hides and skins (other than fu

6.021446

6.229836

5.40891

4.293153

4.336562

Articles of leather; saddlery/harne

0.329908

0.250415

0.217375

0.185062

0.132891

Furskins and artificial fur; manuf

0.361853

0.546966

0.402908

0.320058

0.264616

Wood and articles of wood; wood ch

2.41088

2.190183

1.791343

1.292011

1.27051

Cork and articles of cork.

0.086626

0.087611

0.084638

0.082506

0.078348

Manufactures of straw, esparto/othe

0.010489

0.009829

0.007723

0.006161

0.003421

Pulp of wood/of other fibrous cellu

6.828093

6.534049

7.205051

7.192574

7.213089

Paper & paperboard; art of paper pu

0.844268

0.824783

0.81791

0.764899

0.811756

Printed books, newspapers, pictures

0.144122

0.119704

0.095486

0.071492

0.066715

Silk.

1.041615

0.911235

0.731476

0.668883

0.745872

Wool, fine/coarse animal hair, hors

0.153429

0.161154

0.159755

0.185903

0.190585

Cotton.

1.207106

1.414245

1.479169

1.455129

1.263925

Other vegetable textile fibres; pap

1.262512

1.171402

1.318207

0.985623

0.912971

Man-made filaments.

0.271124

0.243221

0.231925

0.207382

0.173549

Man-made staple fibres.

0.467463

0.523448

0.431061

0.308269

0.398371

Wadding, felt & nonwoven; yarns; tw

0.945373

0.930393

1.030619

0.887239

0.901044

Carpets and other textile floor co

0.135755

0.130767

0.117301

0.086547

0.104536

Special woven fab; tufted tex fab;

0.485522

0.660086

0.393254

0.246243

0.266839

Impregnated, coated, cover/laminate

0.470184

0.419511

0.381174

0.362684

0.40568

Knitted or crocheted fabrics.

0.290854

0.251618

0.238288

0.125528

0.157683

Export Performance of Brazil

Art of apparel & clothing access,

0.10415

0.079513

0.066854

0.044567

0.038111

Art of apparel & clothing access, n

0.068761

0.053409

0.043717

0.03354

0.027241

Other made up textile articles; set

0.761674

0.711096

0.532081

0.355593

0.299751

Footwear, gaiters and the like; par

2.395345

2.117463

1.780568

1.312774

1.295719

Headgear and parts thereof.

0.086264

0.116487

0.081839

0.048051

0.054964

Umbrellas, walking-sticks, seat-sti

0.007334

0.006014

0.007919

0.004167

0.006832

Prepr feathers & down; arti flower;

0.007668

0.014419

0.021767

0.002625

0.002075

Art of stone, plaster, cement, asbe

2.669009

2.409677

1.825883

1.685416

1.831256

Ceramic products.

1.459091

1.19704

0.928768

0.714489

0.645683

Glass and glassware.

0.464136

0.477386

0.385826

0.31819

0.330841

Natural/cultured pearls, prec stone

0.413076

0.387943

0.384654

0.418255

0.415636

Iron and steel.

2.27949

1.849431

1.768427

1.650008

1.433161

Articles of iron or steel.

0.590016

0.495286

0.541966

0.534975

0.419685

Copper and articles thereof.

0.64103

0.612224

0.538196

0.416339

0.303781

Nickel and articles thereof.

0.968281

1.150174

0.960475

0.868044

1.118332

Aluminium and articles thereof.

1.685402

1.537007

1.269752

1.041693

0.825807

Lead and articles thereof.

0.015139

0.052038

0.020292

0.008711

0.01389

Zinc and articles thereof.

0.927329

0.646027

0.569569

0.758554

0.739808

Tin and articles thereof.

1.309605

1.661859

1.929301

1.219356

0.54354

Other base metals; cermets; article

0.448948

0.529854

0.441578

0.448963

0.593018

Tool, implement, cutlery, spoon & f

0.777583

0.801108

0.72309

0.673307

0.635627

Miscellaneous articles of base meta

0.456939

0.433034

0.495087

1.09351

1.211933

Nuclear reactors, boilers, mchy & m

0.597469

0.518901

0.491721

0.377817

0.424435

Electrical mchy equip parts thereof

0.377232

0.326384

0.314217

0.26209

0.20466

Railw/tramw locom, rolling-stock &

0.792297

0.780452

0.473497

0.585801

1.140079

Vehicles o/t railw/tramw roll-stock

0.977522

0.879278

0.871872

0.6709

0.739517

Aircraft, spacecraft, and parts the

1.614243

2.135007

2.176616

2.182856

2.089793

Ships, boats and floating structure

0.028016

0.543734

0.79915

0.056

0.06803

Optical, photo, cine, meas, checkin

0.157528

0.158401

0.147989

0.126973

0.116425

Clocks and watches and parts thereo

0.008694

0.01077

0.009252

0.010399

0.006855

Musical instruments; parts and acce

0.173224

0.139758

0.110502

0.088593

0.045771

Export Performance of Brazil

Arms and ammunition; parts and acc

1.47403

2.071609

2.2191

2.491127

2.232088

Furniture; bedding, mattress, matt

0.629222

0.565294

0.477486

0.388931

0.358648

Toys, games & sports requisites; pa

0.057724

0.054921

0.04184

0.035026

0.036311

Miscellaneous manufactured articles

0.582757

0.579398

0.481095

0.427618

0.407459

Works of art, collectors' pieces an

0.062711

0.040836

0.075559

64.45077

0.089696

List of Products for which RCA>1

Product Description

2006

Sugars and sugar confectionery.

17.48699

Oil seed, oleagi fruits; miscell gr

14.63633

Coffee, tea, mat and spices.

11.75788

Ores, slag and ash.

8.611207

Meat and edible meat offal

8.598539

Pulp of wood/of other fibrous cellu

6.828093

Residues & waste from the food indu

6.446846

Raw hides and skins (other than fu

6.021446

Tobacco and manufactured tobacco su

5.52336

Prep of vegetable, fruit, nuts or o

3.647998

Prep of meat, fish or crustaceans,

3.354626

Animal/veg fats & oils & their clea

3.003284

Products of animal origin, nes or

2.986352

Art of stone, plaster, cement, asbe

2.669009

Wood and articles of wood; wood ch

2.41088

Footwear, gaiters and the like; par

2.395345

Iron and steel.

2.27949

Beverages, spirits and vinegar.

1.972547

Salt; sulphur; earth & ston; plaste

1.767408

Inorgn chem; compds of prec mtl, r

1.759598

Aluminium and articles thereof.

1.685402

Vegetable plaiting materials; veget

1.639346

Export Performance of Brazil

Miscellaneous edible preparations.

1.629212

Aircraft, spacecraft, and parts the

1.614243

Arms and ammunition; parts and acc

1.47403

Ceramic products.

1.459091

Tin and articles thereof.

1.309605

Cocoa and cocoa preparations.

1.304435

Other vegetable textile fibres; pap

1.262512

Cotton.

1.207106

Rubber and articles thereof.

1.159394

Edible fruit and nuts; peel of citr

1.106073

Albuminoidal subs; modified starche

1.079278

Silk.

1.041615

Lac; gums, resins & other vegetable

1.022895

Cereals

1.005923

Product Description

2007

Sugars and sugar confectionery.

14.38657

Oil seed, oleagi fruits; miscell gr

12.49287

Coffee, tea, mat and spices.

10.97973

Meat and edible meat offal

9.452697

Ores, slag and ash.

8.288878

Pulp of wood/of other fibrous cellu

6.534049

Raw hides and skins (other than fu

6.229836

Residues & waste from the food indu

6.207633

Tobacco and manufactured tobacco su

6.171977

Prep of vegetable, fruit, nuts or o

4.281157

Products of animal origin, nes or

3.779479

Prep of meat, fish or crustaceans,

3.639949

Animal/veg fats & oils & their clea

3.030156

Export Performance of Brazil

Art of stone, plaster, cement, asbe

2.409677

Cereals

2.210219

Wood and articles of wood; wood ch

2.190183

Aircraft, spacecraft, and parts the

2.135007

Footwear, gaiters and the like; par

2.117463

Arms and ammunition; parts and acc

2.071609

Iron and steel.

1.849431

Inorgn chem; compds of prec mtl, r

1.826482

Salt; sulphur; earth & ston; plaste

1.780645

Miscellaneous edible preparations.

1.735051

Tin and articles thereof.

1.661859

Aluminium and articles thereof.

1.537007

Beverages, spirits and vinegar.

1.503049

Cotton.

1.414245

Live animals

1.402884

Edible fruit and nuts; peel of citr

1.224477

Rubber and articles thereof.

1.215389

Ceramic products.

1.19704

Other vegetable textile fibres; pap

1.171402

Nickel and articles thereof.

1.150174

Lac; gums, resins & other vegetable

1.084635

Cocoa and cocoa preparations.

1.070491

Product Description

2008

Sugars and sugar confectionery.

13.41918

Oil seed, oleagi fruits; miscell gr

12.69655

Coffee, tea, mat and spices.

10.54916

Ores, slag and ash.

10.05179

Meat and edible meat offal

9.183322

Export Performance of Brazil

Pulp of wood/of other fibrous cellu

7.205051

Residues & waste from the food indu

6.457965

Tobacco and manufactured tobacco su

6.246538

Raw hides and skins (other than fu

5.40891

Products of animal origin, nes or

3.991035

Prep of meat, fish or crustaceans,

3.954473

Prep of vegetable, fruit, nuts or o

3.305814

Animal/veg fats & oils & their clea

2.95476

Arms and ammunition; parts and acc

2.2191

Aircraft, spacecraft, and parts the

2.176616

Beverages, spirits and vinegar.

2.011681

Tin and articles thereof.

1.929301

Art of stone, plaster, cement, asbe

1.825883

Wood and articles of wood; wood ch

1.791343

Footwear, gaiters and the like; par

1.780568

Iron and steel.

1.768427

Live animals

1.760202

Miscellaneous edible preparations.

1.709787

Inorgn chem; compds of prec mtl, r

1.668963

Cotton.

1.479169

Cereals

1.324873

Other vegetable textile fibres; pap

1.318207

Aluminium and articles thereof.

1.269752

Salt; sulphur; earth & ston; plaste

1.232571

Rubber and articles thereof.

1.109571

Lac; gums, resins & other vegetable

1.104012

Edible fruit and nuts; peel of citr

1.051838

Wadding, felt & nonwoven; yarns; tw

1.030619

Export Performance of Brazil

Product Description

2009

Sugars and sugar confectionery.

18.72001

Oil seed, oleagi fruits; miscell gr

14.10983

Coffee, tea, mat and spices.

9.968576

Ores, slag and ash.

9.825564

Meat and edible meat offal

8.182457

Pulp of wood/of other fibrous cellu

7.806003

Residues & waste from the food indu

6.873938

Tobacco and manufactured tobacco su

6.66361

Raw hides and skins (other than fu

4.6593

Products of animal origin, nes or

4.509005

Prep of meat, fish or crustaceans,

3.505219

Prep of vegetable, fruit, nuts or o

2.969745

Arms and ammunition; parts and acc

2.703586

Aircraft, spacecraft, and parts the

2.369024

Live animals

2.018479

Animal/veg fats & oils & their clea

1.985231

Inorgn chem; compds of prec mtl, r

1.980031

Art of stone, plaster, cement, asbe

1.829159

Iron and steel.

1.790731

Cotton.

1.579231

Miscellaneous edible preparations.

1.503674

Footwear, gaiters and the like; par

1.424736

Cereals

1.407806

Wood and articles of wood; wood ch

1.402202

Salt; sulphur; earth & ston; plaste

1.396467

Beverages, spirits and vinegar.

1.324122

Tin and articles thereof.

1.32335

Miscellaneous articles of base meta

1.186772

Albuminoidal subs; modified starche

1.162045

Aluminium and articles thereof.

1.130535

10

Export Performance of Brazil

Other vegetable textile fibres; pap

1.069683

Rubber and articles thereof.

1.024598

Lac; gums, resins & other vegetable

1.013838

Product Description

2010

Sugars and sugar confectionery.

19.95742

Ores, slag and ash.

11.26

Coffee, tea, mat and spices.

11.10125

Oil seed, oleagi fruits; miscell gr

10.81383

Meat and edible meat offal

8.257716

Pulp of wood/of other fibrous cellu

7.213089

Residues & waste from the food indu

5.919488

Tobacco and manufactured tobacco su

5.559736

Products of animal origin, nes or

4.411851

Raw hides and skins (other than fu

4.336562

Prep of vegetable, fruit, nuts or o

2.772831

Prep of meat, fish or crustaceans,

2.734446

Live animals

2.639025

Arms and ammunition; parts and acc

2.232088

Aircraft, spacecraft, and parts the

2.089793

Cereals

1.965347

Art of stone, plaster, cement, asbe

1.831256

Inorgn chem; compds of prec mtl, r

1.811476

Animal/veg fats & oils & their clea

1.687137

Miscellaneous edible preparations.

1.590297

Iron and steel.

1.433161

Footwear, gaiters and the like; par

1.295719

Salt; sulphur; earth & ston; plaste

1.288713

Wood and articles of wood; wood ch

1.27051

11

Export Performance of Brazil

Cotton.

1.263925

Miscellaneous articles of base meta

1.211933

Railw/tramw locom, rolling-stock &

1.140079

Vegetable plaiting materials; veget

1.139304

Nickel and articles thereof.

1.118332

From the following data, we conclude

1) Brazil currently has huge comparative advantage in products such as Sugars and sugar
confectionery, Ores, slag and ash, Coffee, tea, mat and spices, Oil seed, oleagi fruits, Meat
and edible meat, Pulp of wood, tobacco products and many others.
2) There has not been any considerable change in the RCA products of Brazil. All the products
mentioned above except Ores, slags and ash has registered an increase in RCA. From this,
we can conclude that Brazil has taken considerable measures to export goods in which it
has a comparative advantage
3) However, the number of products in which Brazil had a RCA > 1 has declined over the years.
In 2006, there were 36 such products with RCA>1, while in 2010, the number has declined
to 29. This clearly shows that Brazil is focusing more on increasing the exports of products
in which it enjoys high comparative advantage.
4) Some of the products have registered significant decline in Brazils RCA, They are:
a. Animal/veg fats & oils
b. Footwear, gaiters and the like; par
c. Iron and steel

12

Export Performance of Brazil

2) Find the IIT index

Intra-industry trade arises if a country simultaneously imports and exports similar types of goods
or services. Similarity is identified here by the goods or services being classified in the same
sector.
The most often used method for determining the extent of intra-industry trade was proposed by
Grubel and Lloyd (1975). This measure, now known as the GrubelLloyd index, is simple to
calculate and intuitively appealing. Once a countrys export and import value for a particular sector
and period are known, it is calculated as:

If the country only imports or only exports goods or services within the same sector, such that there
is no intra-industry trade, the second term on the right-hand side of equation (1) is equal to one,
such that the whole expression reduces to zero. Similarly, if the export value is exactly equal to the
import value (exportsector i = exportsector i), the second term on the right-hand side of equation (1) is
equal to zero, such that the whole expression reduces to one. The GrubelLloyd index therefore
varies between zero (indicating pure inter-industry trade) and one (indicating pure intra-industry
trade).
IIT
Product Description

2006

2007

2008

2009

2010

Live animals

0.079744

0.072387

0.142743

0.105179

0.036485

Meat and edible meat offal

0.022832

0.024402

0.024793

0.030101

0.034798

Fish & crustacean, mollusc & other

0.905986

0.685714

0.531761

0.390486

0.340164

Dairy prod; birds' eggs; natural ho

0.947155

0.66887

0.528538

0.959037

0.920926

Products of animal origin, nes or

0.559112

0.550813

0.60188

0.567631

0.47596

Live tree & other plant; bulb, root

0.425782

0.467864

0.564959

0.773237

0.961093

Edible vegetables and certain roots

0.170232

0.341389

0.093661

0.217756

0.056288

0.58272

0.534519

0.589772

0.680671

0.786991

0.013547

0.018812

0.018731

0.022459

0.020507

Edible fruit and nuts; peel of citr

Coffee, tea, mat and spices.

13

Export Performance of Brazil

Cereals

0.64182

0.944087

0.889499

0.922859

0.927695

Prod.mill.indust; malt; starches;

0.23516

0.193048

0.132291

0.137888

0.123963

Oil seed, oleagi fruits; miscell gr

0.026326

0.031066

0.026339

0.026423

0.032395

Lac; gums, resins & other vegetable

0.851778

0.888929

0.877401

0.81918

0.885878

Vegetable plaiting materials; veget

0.551326

0.909693

0.867992

0.433697

0.388552

Animal/veg fats & oils & their clea

0.351576

0.384515

0.398177

0.57925

0.62293

Prep of meat, fish or crustaceans,

0.030374

0.02546

0.026238

0.033856

0.065003

Sugars and sugar confectionery.

0.009295

0.015271

0.020115

0.010301

0.009476

Cocoa and cocoa preparations.

0.526181

0.734323

0.699965

0.875163

0.798651

Prep.of cereal, flour, starch/milk;

0.81294

0.409851

0.33923

0.556132

0.766529

Prep of vegetable, fruit, nuts or o

0.202321

0.178962

0.254708

0.299635

0.385722

Miscellaneous edible preparations.

0.351714

0.339291

0.364381

0.43044

0.417406

Beverages, spirits and vinegar.

0.254766

0.32196

0.228904

0.386331

0.604115

Residues & waste from the food indu

0.099234

0.099355

0.085494

0.066526

0.07566

Tobacco and manufactured tobacco su

0.032124

0.035725

0.034217

0.041822

0.050406

0.62735

0.74288

0.658482

0.886047

0.983819

Ores, slag and ash.

0.269476

0.236723

0.15402

0.10322

0.080046

Mineral fuels, oils & product of th

0.764762

0.749612

0.714456

0.846087

0.800465

Inorgn chem; compds of prec mtl, r

0.809883

0.820188

0.978464

0.887604

0.793274

Organic chemicals.

0.610093

0.589547

0.504251

0.522564

0.548306

Pharmaceutical products.

0.384781

0.350069

0.367116

0.388656

0.345714

Fertilisers.

0.130669

0.112803

0.094231

0.118264

0.119729

Tanning/dyeing extract; tannins &

0.687924

0.643934

0.598193

0.552774

0.506045

Essential oils & resinoids; perf,

0.805768

0.868422

0.823204

0.889123

0.982494

Soap, organic surface-active agents

0.943333

0.893746

0.859274

0.868037

0.855809

Albuminoidal subs; modified starche

0.814329

0.880574

0.954891

0.885838

0.993395

Explosives; pyrotechnic prod; match

0.368642

0.568374

0.643726

0.743643

0.83298

Photographic or cinematographic goo

0.572392

0.576994

0.510719

0.456766

0.421707

Miscellaneous chemical products.

0.611628

0.569816

0.513766

0.455526

0.472369

Plastics and articles thereof.

0.873425

0.83124

0.662477

0.755562

0.675813

Rubber and articles thereof.

0.938847

0.926768

0.799728

0.844081

0.691876

Salt; sulphur; earth & ston; plaste

14

Export Performance of Brazil

Raw hides and skins (other than fu

0.140971

0.133649

0.144306

0.096233

0.087738

Articles of leather; saddlery/harne

0.992794

0.818819

0.637899

0.547993

0.381056

Furskins and artificial fur; manuf

0.034971

0.033247

0.051914

0.046164

0.03612

Wood and articles of wood; wood ch

0.067357

0.076957

0.117459

0.122006

0.129203

Cork and articles of cork.

0.475977

0.428776

0.401679

0.430563

0.416761

0.09008

0.071641

0.07338

0.054157

0.024733

Pulp of wood/of other fibrous cellu

0.158879

0.14341

0.132044

0.13826

0.142931

Paper & paperboard; art of paper pu

0.747006

0.775903

0.852611

0.786948

0.867948

Printed books, newspapers, pictures

0.67933

0.554041

0.480651

0.414329

0.354363

Silk.

0.218795

0.356144

0.550936

0.589516

0.567365

Wool, fine/coarse animal hair, hors

0.758111

0.811873

0.991733

0.748837

0.730091

Cotton.

0.505896

0.508684

0.674626

0.492116

0.751225

Other vegetable textile fibres; pap

0.350738

0.308975

0.661186

0.56848

0.934058

Man-made filaments.

0.313383

0.261149

0.232593

0.215979

0.156114

Man-made staple fibres.

0.563062

0.484328

0.413099

0.272797

0.368043

Wadding, felt & nonwoven; yarns; tw

0.767695

0.835825

0.819226

0.776548

0.897491

Carpets and other textile floor co

0.996795

0.859631

0.605635

0.540496

0.490013

Special woven fab; tufted tex fab;

0.990588

0.715549

0.956336

0.709011

0.586667

Impregnated, coated, cover/laminate

0.785854

0.659519

0.57205

0.619165

0.623457

Knitted or crocheted fabrics.

0.969683

0.402677

0.399078

0.184531

0.184409

Art of apparel & clothing access,

0.780648

0.990335

0.737422

0.468558

0.324044

Art of apparel & clothing access, n

0.68967

0.50314

0.353757

0.260873

0.175083

Other made up textile articles; set

0.261045

0.401724

0.621841

0.649937

0.875237

Footwear, gaiters and the like; par

0.140034

0.195195

0.274829

0.357898

0.362009

0.5643

0.518

0.300085

0.181279

0.181865

Umbrellas, walking-sticks, seat-sti

0.022898

0.017541

0.019895

0.008573

0.013575

Prepr feathers & down; arti flower;

0.055345

0.070561

0.080339

0.011068

0.008642

Art of stone, plaster, cement, asbe

0.310981

0.363382

0.453808

0.462713

0.525054

Ceramic products.

0.297161

0.431329

0.623394

0.749967

0.976778

Glass and glassware.

0.980851

0.985216

0.743846

0.743819

0.650086

Natural/cultured pearls, prec stone

0.464927

0.517159

0.521438

0.349611

0.397454

Manufactures of straw, esparto/othe

Headgear and parts thereof.

15

Export Performance of Brazil

Iron and steel.

0.273897

0.319626

0.420347

0.491865

0.727857

Articles of iron or steel.

0.913528

0.938215

0.895861

0.855639

0.658138

Copper and articles thereof.

0.749692

0.676139

0.571534

0.624922

0.427009

Nickel and articles thereof.

0.626769

0.6103

0.641957

0.480633

0.403017

Aluminium and articles thereof.

0.351941

0.450954

0.516279

0.543427

0.784529

Lead and articles thereof.

0.015192

0.058521

0.016418

0.00951

0.01368

Zinc and articles thereof.

0.608281

0.91081

0.98252

0.685762

0.841304

Tin and articles thereof.

0.640448

0.447412

0.286656

0.18677

0.709935

Other base metals; cermets; article

0.648946

0.626885

0.531313

0.607794

0.713608

Tool, implement, cutlery, spoon & f

0.887634

0.982283

0.944646

0.959701

0.845993

Miscellaneous articles of base meta

0.999157

0.781307

0.82034

0.72245

0.775094

Nuclear reactors, boilers, mchy & m

0.899422

0.776566

0.66777

0.566051

0.563105

Electrical mchy equip parts thereof

0.69386

0.622969

0.539597

0.524245

0.386193

Railw/tramw locom, rolling-stock &

0.929591

0.837889

0.63662

0.930651

0.952912

Vehicles o/t railw/tramw roll-stock

0.629824

0.762605

0.933664

0.850821

0.84359

Aircraft, spacecraft, and parts the

0.525241

0.555066

0.661312

0.692007

0.686723

Ships, boats and floating structure

0.899725

0.14118

0.088577

0.662022

0.882924

Optical, photo, cine, meas, checkin

0.322692

0.289358

0.245027

0.253852

0.22688

Clocks and watches and parts thereo

0.044708

0.049332

0.041651

0.053284

0.030321

Musical instruments; parts and acce

0.354992

0.267284

0.177391

0.138682

0.054634

Arms and ammunition; parts and acc

0.183681

0.088518

0.151896

0.152049

0.365716

Furniture; bedding, mattress, matt

0.408011

0.494838

0.671934

0.716833

0.903114

Toys, games & sports requisites; pa

0.329859

0.248943

0.195369

0.174707

0.136726

Miscellaneous manufactured articles

0.888667

0.938187

0.884295

0.84441

0.737426

Works of art, collectors' pieces an

0.649825

0.754524

0.906695

0.273199

0.555728

16

Export Performance of Brazil

List of products with IIT greater than .80 for the years 2006 to 2010
Product Description

2010

Albuminoidal subs; modified starche

0.993395

Salt; sulphur; earth & ston; plaste

0.983819

Essential oils & resinoids; perf,

0.982494

Ceramic products.

0.976778

Live tree & other plant; bulb, root

0.961093

Railw/tramw locom, rolling-stock &

0.952912

Other vegetable textile fibres; pap

0.934058

Cereals

0.927695

Dairy prod; birds' eggs; natural ho

0.920926

Furniture; bedding, mattress, matt

0.903114

Wadding, felt & nonwoven; yarns; tw

0.897491

Lac; gums, resins & other vegetable

0.885878

Ships, boats and floating structure

0.882924

Other made up textile articles; set

0.875237

Paper & paperboard; art of paper pu

0.867948

Soap, organic surface-active agents

0.855809

Tool, implement, cutlery, spoon & f

0.845993

Vehicles o/t railw/tramw roll-stock

0.84359

Zinc and articles thereof.

0.841304

Explosives; pyrotechnic prod; match

0.83298

Mineral fuels, oils & product of th

0.800465

Product Description

2006

Miscellaneous articles of base meta

0.999157

Carpets and other textile floor co

0.996795

Articles of leather; saddlery/harne

0.992794

17

Export Performance of Brazil

Special woven fab; tufted tex fab;

0.990588

Glass and glassware.

0.980851

Knitted or crocheted fabrics.

0.969683

Dairy prod; birds' eggs; natural ho

0.947155

Soap, organic surface-active agents

0.943333

Rubber and articles thereof.

0.938847

Railw/tramw locom, rolling-stock &

0.929591

Articles of iron or steel.

0.913528

Fish & crustacean, mollusc & other

0.905986

Ships, boats and floating structure

0.899725

Nuclear reactors, boilers, mchy & m

0.899422

Miscellaneous manufactured articles

0.888667

Tool, implement, cutlery, spoon & f

0.887634

Plastics and articles thereof.

0.873425

Lac; gums, resins & other vegetable

0.851778

Albuminoidal subs; modified starche

0.814329

Prep.of cereal, flour, starch/milk;

0.81294

Inorgn chem; compds of prec mtl, r

0.809883

Essential oils & resinoids; perf,

0.805768

Product Description

2007

Art of apparel & clothing access,

0.990335

Glass and glassware.

0.985216

Tool, implement, cutlery, spoon & f

0.982283

Cereals

0.944087

Articles of iron or steel.

0.938215

Miscellaneous manufactured articles

0.938187

Rubber and articles thereof.

0.926768

Zinc and articles thereof.

0.91081

18

Export Performance of Brazil

Vegetable plaiting materials; veget

0.909693

Soap, organic surface-active agents

0.893746

Lac; gums, resins & other vegetable

0.888929

Albuminoidal subs; modified starche

0.880574

Essential oils & resinoids; perf,

0.868422

Carpets and other textile floor co

0.859631

Railw/tramw locom, rolling-stock &

0.837889

Wadding, felt & nonwoven; yarns; tw

0.835825

Plastics and articles thereof.

0.83124

Inorgn chem; compds of prec mtl, r

0.820188

Articles of leather; saddlery/harne

0.818819

Wool, fine/coarse animal hair, hors

0.811873

Product Description

2008

Wool, fine/coarse animal hair, hors

0.991733

Zinc and articles thereof.

0.98252

Inorgn chem; compds of prec mtl, r

0.978464

Special woven fab; tufted tex fab;

0.956336

Albuminoidal subs; modified starche

0.954891

Tool, implement, cutlery, spoon & f

0.944646

Vehicles o/t railw/tramw roll-stock

0.933664

Works of art, collectors' pieces an

0.906695

Articles of iron or steel.

0.895861

Cereals

0.889499

Miscellaneous manufactured articles

0.884295

Lac; gums, resins & other vegetable

0.877401

Vegetable plaiting materials; veget

0.867992

Soap, organic surface-active agents

0.859274

Paper & paperboard; art of paper pu

0.852611

19

Export Performance of Brazil

Essential oils & resinoids; perf,

0.823204

Miscellaneous articles of base meta

0.82034

Wadding, felt & nonwoven; yarns; tw

0.819226

Product Description

2009

Tool, implement, cutlery, spoon & f

0.959701

Dairy prod; birds' eggs; natural ho

0.959037

Railw/tramw locom, rolling-stock &

0.930651

Cereals

0.922859

Essential oils & resinoids; perf,

0.889123

Inorgn chem; compds of prec mtl, r

0.887604

Salt; sulphur; earth & ston; plaste

0.886047

Albuminoidal subs; modified starche

0.885838

Cocoa and cocoa preparations.

0.875163

Soap, organic surface-active agents

0.868037

Articles of iron or steel.

0.855639

Vehicles o/t railw/tramw roll-stock

0.850821

Mineral fuels, oils & product of th

0.846087

Miscellaneous manufactured articles

0.84441

Rubber and articles thereof.

0.844081

Lac; gums, resins & other vegetable

0.81918

We have listed down all the products with intra industry trade greater than 0.8
From the above data, we conclude the following
1) Items such as Carpets and other textile floors, Articles of leather, Knitted or crocheted fabrics,
Fish & crustacean, mollusk & other have registered significant decline in the IIT index. In some
of the cases, the decline has been as low as 29% to 30%.

20

Export Performance of Brazil

2) However, the intra industry trade of Brazil in items such as Salt, Sulphur, Ceramic products, live
tree & other plant, Cereals has increased over the years.
3) There has been consistent intra industry trade in products such as
a. Miscellaneous articles of base meta
b. Dairy products
c. Soap, organic surface-active agents
d. Railways & locomotives.
4) This shows that Brazil has been focus on intra industry trade has been more in the chemicals
industry and less in the textiles industry.
5) We also found that no of industries with IIT >0.8 declined in 2009 from 22 to 16. However in
2010, the number went back to 21.

21

Export Performance of Brazil

3) Constant Market Share Analysis of Exports

Constant Market Share analysis is a technique for decomposing the change in a country's trade into
components that correspond to holding its market shares constant in various markets. Introduced
to international trade by Tyszynski (1951), it is an application of shift and share analysis of
Creamer (1943). Using this we can find whether Brazil is targeting the right markets, right
industries and can also suggest ways of improving the competitiveness.
X = rXi + {riXi-rXi}+{rijXij-riXi}+{X-rijXij}
r = Growth rate in world (excluding India) between t1 and t2
ri = Growth rate in world (excluding India) of ith commodity between t1 and t2
rij = Growth rate in world (excluding India) of ith commodity to jth region between t1 and t2
Xi = Brazils export to world of ith commodity in the base period
Xj = Brazils export to world of ith commodity to jth region in the base period

rXi

riXi

riXi-rXi

rijXij

rijXij-riXi

X-rijXij X

42756320

64788365

22032045

84590709

19802343.57

7862878

92453588

21%

9%

100%

46%

24%

1 World Trade Effect

2 Commodity Composition effect
3 - Market Distribution Effect
4 Residual Effect

22

Export Performance of Brazil

Constant Market Share

9%
1
21%

46%

3
4

24%

We took 6 regions while calculating the market distribution effect. They are:
1 Africa
2 ASIA
3 EU27
4 North America
5 Oceania
6 South America
2005 was taken as the base year and 2010 was used as the current year.
From the above data, we conclude the following
1) 46% of the change in exports was due to the growth in demand in the world. We arrived at
the total exports after deducting the figures of Brazil. While calculating the total world
exports, we added the exports of all the six regions, instead of taking a single figure from the
database. This was done to maintain the validity of the model.
2) 24% of the change in exports has been recorded due to the commodity composition effect.
This means that Brazils export basket was dominated by products whose export growth
rate was higher than the average. Some of the products are as follows

23

Export Performance of Brazil

Product Description

Growth Rate

Ships, boats and floating structure

215%

Ores, slag and ash.

209%

Vegetable plaiting materials; veget

202%

Oil seed, oleagi fruits; miscell gr

156%

Umbrellas, walking-sticks, seat-sti

144%

Prepr feathers & down; arti flower;

124%

Copper and articles thereof.

121%

Animal/veg fats & oils & their clea

107%

Lead and articles thereof.

98%

Fertilisers.

98%

Residues & waste from the food indu

97%

Lac; gums, resins & other vegetable

94%

Natural/cultured pearls, prec stone

88%

Knitted or crocheted fabrics.

87%

Cereals

79%

Tin and articles thereof.

76%

Cocoa and cocoa preparations.

74%

Pulp of wood/of other fibrous cellu

72%

Coffee, tea, mat and spices.

70%

Pharmaceutical products.

68%

We observed a tremendous growth rate in world export in these 20 products. Out of these products
Oil seeds, Coffee, tea, and Residues and wastes were major contributors to Brazilian exports. The
growth in demand of these products worldwide has led to an increase in exports.
3) 21% of the contribution comes from market distribution effect. This means that, the country
is exporting goods to markets, where the demand for the exported products is very high.
Among the regions, Brazilians have significantly increased their exports to Asia and South
America. The exports to ASIA have increase by 213%, while the exports to South American
regions have increased by 160%.

24

Export Performance of Brazil

Countries
Af --- Africa
ASIAA --- ASIA
EU27 --- EU27 members --- EU27
NMR --- North America
ocn --- Oceania
SA --- South America
Grand Total

25

2005

2010

7787171.52

11351410.02

17565812.03

55068410.6

27051706

42952323.66

28801605.06

25207743.4

531317.992

654174.742

24409169.72

63366307.42

106146782.3

198600369.8

Export Performance of Brazil

4) Shift share Analysis of Exports

The shift share analysis explains the reason for the increase or decrease in exports of a country due
to change in exports of different products of that country.
In the project we have used shift share analysis for analyzing, the increase/decrease in exports of
products by Brazil for the year 2010 compared to the expected growth rate of total Brazilian
exports. In this case 2005 has been taken as the base year
Methodology
Find the net shift of the products. The net shift is also calculated for the various industries. A
positive net shift indicates that the industry or the product is growing at the rate greater than
that of the total exports of Indonesia.

Net shift =

- (F*

Where F is the factor which is given by

F=

Product Description

Actual
(2005)

in

F=

1.692705

Actual (2010)

Expected

Net Shift

in 1000 USD

(2010)

1000 USD

in

Net

Shift

1000 USD

Aircraft, spacecraft, and parts the

3303637.929

4331480.455

5592085.533

-1260605

-0.6447%

Albuminoidal subs; modified starche

194061.703

303887.057

328489.2791

-24602.2

-0.0126%

Aluminium and articles thereof.

1938353.919

1759613.735

3281062.011

-1521448

-0.7780%

Animal/veg fats & oils & their clea

1478099.921

1648414.072

2501987.615

-853574

-0.4365%

Arms and ammunition; parts and acc

109641.834

312182.826

185591.3169

126591.5

0.0647%

Art of apparel & clothing access,

201702.814

87678.198

341423.4285

-253745

-0.1298%

Art of apparel & clothing access, n

150440.188

58984.979

254650.9082

-195666

-0.1001%

Art of stone, plaster, cement, asbe

831006.355

1008957.393

1406648.887

-397691

-0.2034%

Articles of iron or steel.

1243686.215

1488773.012

2105194.286

-616421

-0.3152%

Articles of leather; saddlery/harne

141199.938

90244.896

239009.8877

-148765

-0.0761%

Beverages, spirits and vinegar.

834103.717

1109737.259

1411891.808

-302155

-0.1545%

Carpets and other textile floor co

22269.76

22064.403

37696.14146

-15631.7

-0.0080%

Ceramic products.

554659.061

375048.74

938874.3492

-563826

-0.2883%

26

Export Performance of Brazil

Cereals

195469.661

2381103.312

330872.5372

2050231

1.0485%

Clocks and watches and parts thereo

2809.12

3028.99

4755.012398

-1726.02

-0.0009%

Cocoa and cocoa preparations.

386733.564

417259.511

654625.9653

-237366

-0.1214%

Coffee, tea, mat and spices.

2666450.979

5368800.693

4513515.786

855284.9

0.4374%

Copper and articles thereof.

425030.188

664287.931

719450.8649

-55162.9

-0.0282%

Cork and articles of cork.

1730.691

1918.919

2929.549881

-1010.63

-0.0005%

Cotton.

759634.248

966913.665

1285836.941

-318923

-0.1631%

Dairy prod; birds' eggs; natural ho

179745.531

296655.967

304256.2185

-7600.25

-0.0039%

Edible fruit and nuts; peel of citr

681051.494

867136.76

1152819.494

-285683

-0.1461%

Edible vegetables and certain roots

15662.122

17960.022

26511.3574

-8551.34

-0.0044%

Electrical mchy equip parts thereof

5455756.236

4955119.5

9234987.663

-4279868

-2.1887%

Essential oils & resinoids; perf,

379573.413

690354.579

642505.9396

47848.64

0.0245%

Explosives; pyrotechnic prod; match

25723.371

25427.444

43542.08721

-18114.6

-0.0093%

Fertilisers.

172918.8

314730.554

292700.5745

22029.98

0.0113%

Fish & crustacean, mollusc & other

389614.39

195629.252

659502.3548

-463873

-0.2372%

Footwear, gaiters and the like; par

1983654.044

1628131.085

3357741.774

-1729611

-0.8845%

Furniture; bedding, mattress, matt

1077984.732

870202.708

1824710.502

-954508

-0.4881%

Furskins and artificial fur; manuf

18358.901

28730.274

31076.20959

-2345.94

-0.0012%

Glass and glassware.

281457.047

289074.169

476423.8438

-187350

-0.0958%

Headgear and parts thereof.

4409.013

4597.856

7463.159808

-2865.3

-0.0015%

Impregnated, coated, cover/laminate

86121.832

122821.439

145778.8841

-22957.4

-0.0117%

Inorgn chem; compds of prec mtl, r

1147677.438

2728297.729

1942679.717

785618

0.4018%

Iron and steel.

8173435.679

7935434.951

13835218.14

-5899783

-3.0171%

Knitted or crocheted fabrics.

52405.397

52611.493

88706.89486

-36095.4

-0.0185%

Lac; gums, resins & other vegetable

45680.04

75771.033

77322.84721

-1551.81

-0.0008%

Lead and articles thereof.

889.872

1334.544

1506.291078

-171.747

-0.0001%

Live animals

43134.391

697216.413

73013.81358

624202.6

0.3192%

Live tree & other plant; bulb, root

27606.179

27794.055

46729.12635

-18935.1

-0.0097%

Man-made filaments.

124751.096

89739.049

211166.8452

-121428

-0.0621%

Man-made staple fibres.

125341.788

167479.394

212166.7127

-44687.3

-0.0229%

Manufactures of straw, esparto/othe

232.212

102.17

393.0664902

-290.896

-0.0001%

Meat and edible meat offal

7178245.552

11871188.35

12150654.51

-279466

-0.1429%

Mineral fuels, oils & product of th

7100407.831

19842975.46

12018898.19

7824077

4.0011%

Miscellaneous articles of base meta

177456.555

877497.949

300381.6566

577116.3

0.2951%

Miscellaneous chemical products.

521366.251

921308.016

882519.4323

38788.58

0.0198%

Miscellaneous edible preparations.

614700.346

1118460.153

1040506.552

77953.6

0.0399%

Miscellaneous manufactured articles

117744.926

151083.677

199307.4639

-48223.8

-0.0247%

27

Export Performance of Brazil

Musical instruments; parts and acce

8622.561

3414.205

14595.45497

-11181.2

-0.0057%

Natural/cultured pearls, prec stone

776967.32

2238549.806

1315176.724

923373.1

0.4722%

Nickel and articles thereof.

254336.117

427395.509

430516.101

-3120.59

-0.0016%

Nuclear reactors, boilers, mchy & m

9767343.798

10920524.35

16533234.91

-5612711

-2.8703%

Oil seed, oleagi fruits; miscell gr

5303623.054

10927912.8

8977471.015

1950442

0.9974%

Optical, photo, cine, meas, checkin

524989.305

756329.355

888652.1951

-132323

-0.0677%

Ores, slag and ash.

7894473.815

30310465.26

13363017.91

16947447

8.6667%

Organic chemicals.

1896890.324

3157531.359

3210876.363

-53345

-0.0273%

Other base metals; cermets; article

79713.111

121742.886

134930.8079

-13187.9

-0.0067%

Other made up textile articles; set

405805.36

210535.371

686908.8961

-476374

-0.2436%

Other vegetable textile fibres; pap

47570.923

40214.286

80523.55495

-40309.3

-0.0206%

Paper & paperboard; art of paper pu

1370316.725

1995931.907

2319542.425

-323611

-0.1655%

Pharmaceutical products.

474149.047

1270480.843

802594.6194

467886.2

0.2393%

Photographic or cinematographic goo

140523.232

76090.407

237864.4239

-161774

-0.0827%

Plastics and articles thereof.

2042308.218

3209836.039

3457026.007

-247190

-0.1264%

Prep of meat, fish or crustaceans,

923208.599

1465475.981

1562720.117

-97244.1

-0.0497%

Prep of vegetable, fruit, nuts or o

1241498.561

1991819.305

2101491.232

-109672

-0.0561%

Prep.of cereal, flour, starch/milk;

117955.949

166127.604

199664.6637

-33537.1

-0.0172%

Prepr feathers & down; arti flower;

127.177

127.274

215.2731858

-87.9992

0.0000%

Printed books, newspapers, pictures

59844.531

43397.327

101299.1566

-57901.8

-0.0296%

Prod.mill.indust; malt; starches;

25495.017

47790.556

43155.55118

4635.005

0.0024%

Products of animal origin, nes or

173070.85

445180.646

292957.9504

152222.7

0.0778%

Pulp of wood/of other fibrous cellu

2020201.743

4678539.11

3419606.259

1258933

0.6438%

Railw/tramw locom, rolling-stock &

268844.065

590920.06

455073.7819

135846.3

0.0695%

Raw hides and skins (other than fu

1370561.25

1723169.567

2319956.334

-596787

-0.3052%

Residues & waste from the food indu

2997575.719

5037429.672

5074012.399

-36582.7

-0.0187%

Rubber and articles thereof.

1382813.736

2065655.02

2340696.182

-275041

-0.1407%

Salt; sulphur; earth & ston; plaste

526146.766

697763.606

890611.4355

-192848

-0.0986%

Ships, boats and floating structure

194285.551

175683.824

328868.1878

-153184

-0.0783%

Silk.

33570.369

35180.21

56824.74256

-21644.5

-0.0111%

Soap, organic surface-active agents

171734.424

318598.171

290695.775

27902.4

0.0143%

Special woven fab; tufted tex fab;

34099.967

41031.407

57721.19592

-16689.8

-0.0085%

Sugars and sugar confectionery.

4101000.262

12919475.94

6941785.004

5977691

3.0569%

Tanning/dyeing extract; tannins &

277765.191

410203.364

470174.6195

-59971.3

-0.0307%

Tin and articles thereof.

42424.355

31945.27

71811.93186

-39866.7

-0.0204%

Tobacco and manufactured tobacco su

1705112.457

2758222.5

2886252.945

-128030

-0.0655%

Tool, implement, cutlery, spoon & f

383743.346

459579.076

649564.4074

-189985

-0.0972%

28

Export Performance of Brazil

Toys, games & sports requisites; pa

39470.434

37744.591

66811.81403

-29067.2

-0.0149%

Umbrellas, walking-sticks, seat-sti

314.032

318.363

531.5636404

-213.201

-0.0001%

Vegetable plaiting materials; veget

4868.234

13367.389

8240.485643

5126.903

0.0026%

Vehicles o/t railw/tramw roll-stock

11509245.41

12090560.86

19481761.06

-7391200

-3.7798%

Wadding, felt & nonwoven; yarns; tw

135579.189

263049.169

229495.6159

33553.55

0.0172%

Wood and articles of wood; wood ch

3026566.55

1913464.649

5123085.333

-3209621

-1.6414%

Wool, fine/coarse animal hair, hors

21741.125

34730.145

36801.31818

-2071.17

-0.0011%

Works of art, collectors' pieces an

5571.094

19018.931

9430.220511

9588.71

0.0049%

Zinc and articles thereof.

97197.887

138788.738

164527.3815

-25738.6

-0.0132%

Grand Total

115523095

195546558.8

1.96E+08

100.0000%

List of Top 20 products on the basis of Net Shift

Actual

Actual

Expected

(2005) in

(2010) in

(2010) in 1000

1000 USD

1000 USD

USD

Ores, slag and ash.

7894473.815

30310465.26

13363017.91

16947447.35

8.667%

Mineral fuels, oils & product of th

7100407.831

19842975.46

12018898.19

7824077.27

4.001%

Vehicles o/t railw/tramw roll-stock

11509245.41

12090560.86

19481761.06

-7391200.203

-3.780%

Sugars and sugar confectionery.

4101000.262

12919475.94

6941785.004

5977690.931

3.057%

Iron and steel.

8173435.679

7935434.951

13835218.14

-5899783.193

-3.017%

Nuclear reactors, boilers, mchy & m

9767343.798

10920524.35

16533234.91

-5612710.565

-2.870%

Electrical mchy equip parts thereof

5455756.236

4955119.5

9234987.663

-4279868.163

-2.189%

Wood and articles of wood; wood ch

3026566.55

1913464.649

5123085.333

-3209620.684

-1.641%

Cereals

195469.661

2381103.312

330872.5372

2050230.775

1.048%

Oil seed, oleagi fruits; miscell gr

5303623.054

10927912.8

8977471.015

1950441.78

0.997%

Footwear, gaiters and the like; par

1983654.044

1628131.085

3357741.774

-1729610.689

-0.885%

Aluminium and articles thereof.

1938353.919

1759613.735

3281062.011

-1521448.276

-0.778%

Aircraft, spacecraft, and parts the

3303637.929

4331480.455

5592085.533

-1260605.078

-0.645%

Pulp of wood/of other fibrous cellu

2020201.743

4678539.11

3419606.259

1258932.851

0.644%

Furniture; bedding, mattress, matt

1077984.732

870202.708

1824710.502

-954507.7942

-0.488%

Product Description

29

Net Shift

% Net
Shift

Export Performance of Brazil

Natural/cultured pearls, prec stone

776967.32

2238549.806

1315176.724

923373.0817

0.472%

Coffee, tea, mat and spices.

2666450.979

5368800.693

4513515.786

855284.907

0.437%

Animal/veg fats & oils & their clea

1478099.921

1648414.072

2501987.615

-853573.5435

-0.437%

Inorgn chem; compds of prec mtl, r

1147677.438

2728297.729

1942679.717

785618.0118

0.402%

Live animals

43134.391

697216.413

73013.81358

624202.5994

0.319%

The calculated value of F is 1.692705. F signifies the change in exports from the year 2005.
From the above data, we conclude that industries such as Ores, slag and ash, Mineral fuels, oils have
contributed significantly for the increase in exports. These industries have performed better than
the overall export growth rate. However industries such as Iron and steel, Vehicles, Nuclear
reactors, boilers and electrical machinery have performed below expectations. These industries are
growing at a rate which is less than the Brazilian exports.

30

Export Performance of Brazil

5) Conclusion
1) Ores, slag and ash.
Brazil has a revealed comparative advantage of 11.26 in this industry. Brazil has fully utilized their
potentials in this industry. If we look at the shift share analysis, there has been a positive net shift of
8.66%in this industry. Also the world market has grown at a rate of 209% during these 5 years.
This means that there has been substantial demand in this industry and Brazil has been able to
exploit the demand through increase in exports.
2) Coffee, tea, mat and spices.
The industry has been performing well for Brazil during the years. It has an RCA of 11.10125, the
third largest for the country. However there has been a net shift of 0.437% which is miniscule.
There has been 70% growth in the export figures of this industry from 2005 to 2010. Along with
Ores, slag, coffee industry has also played a significant role in earning foreign exchange for the
country from Asian countries.
3) Sugars and sugar confectionery
Sugars and sugar confectionery tops the RCA chart with a RCA of 19.95742. Besides this there has
been a positive net shift of 3.057% in this industry. Also the world exports for the industry have
grown by 53%, thus indicating huge demand for sugar products
4) Iron and steel
There has been a decline of 3.017% in the net shift of the industry. However the world exports have
also experienced sluggish growth rate of 37% from 2005 to 2010. If we look at the RCA figures, it
becomes evident that Brazils focus on this industry has declined. The RCA was 2.27949 for 2006
which declined to 1.433161 in 2010. The IIT index has also registered a decline in this industry thus
indicating declining demand of the iron products.
Brazil has been doing well in export figures. The country is constantly trying to gain from the
increasing demand of its products. The country has made some wise decisions in exports by
figuring out the trade prospects all over the world

31

Export Performance of Brazil