News

24/07/24

The balance of foreign trade in minerals accounted for 41% of the Brazilian trade balance. This contribution was decisive in avoiding a greater drop than the 6.11% recorded in the 1st half of the year, compared to the same period last year. In a press conference, IBRAM shows that the mineral sector has advanced in good ESG practices.

The mining industry exported 186 million tons of ores or US$21.5 billion in the 1st half of 2024 (1H24), compared to the 1st half of 2023 (1H23). In dollars, the increase was 8.5% and in tonnage 5%. Ore imports fell 31% in dollars. Thus, the balance resulting from mineral exports and imports was US$ 17.25 billion, 26.31% more than in 1H23 – in 1H24 the mineral balance was equivalent to 41% of the trade balance balance (US$ 42 .31 billion). The contribution of the mineral balance to the trade balance in 1H24 is even more relevant because it helped prevent the Brazilian trade balance from falling beyond 6.11%, compared to 1H23.

“If Brazil wants a strong, balanced economy, it must support the exporting sectors, which is the case of mining. However, we see that more and more taxes and charges are being created to hinder business and the expansion of this important industry”, says Raul Jungmann, CEO of the Brazilian Mining Institute (IBRAM). “If Brazil insists on creating more taxes and fees to burden mining, such as selective taxes, infrastructure funds, fees for supposed inspections, fees for transporting cargo on rails, etc., the mineral sector will not be able to advance”, says the leader from IBRAM.

He held a press conference this Wednesday (24/7) to present data from the mineral sector in 1H24, compiled by the Institute and to report the mining industry’s advances in good ESG practices.

MINING SECTOR DATA IN THE 1ST HALF OF 2024

Revenue in the mineral sector was R$129.5 billion, an 8% increase compared to the same period in 2023 (R$119.9 billion).
There are more than 218 thousand direct jobs in the sector. 5,447 new vacancies were created between January and May 2024.
There were 2,700 mining municipalities in 1H24.
Minas Gerais, Pará and São Paulo had an increase in revenue (8%, 12% and 17%, respectively).
Iron ore accounted for 62% of the sector’s revenue, with R$80.1 billion.
Around 186 million tons of mineral sector products were exported (5% increase compared to 1H23), totaling around US$21.5 billion (8.5% increase). Iron ore was responsible for 71.6% of exports: 179.5 million tons of iron were exported (US$ 169.6 billion) in 1H24 – an increase of 5.8% in tons and 12.9% in dollar.
Mineral imports fell by around 31% in US$ (totalling US$4.3 billion) and 2.8% in tonnes (20.3 million tonnes).
The total collection of taxes and duties by the sector increased by around 8%, totaling
R$44.7 billion. CFEM revenue totaled R$3.6 billion.
The forecast for the sector’s investments in projects is US$64.5 billion for the period 2024-2028.