Industry ensures strong GDP in 3rd quarter
Valor Econômico 11/07/2007
The industrial production closed the third quarter with an expressive growth, confirming the bet on a firm expansion of the Gross Domestic Product (GDP) in the period, despite the accommodation registered in September. Pulled by the segments of durable and capital goods, the industry advanced 6.4% between July and September compared to the same period of 2006 and 1.5% in comparison with the previous quarter, according to the series with seasonal adjustment. According to the analysts, that suggests a GDP expansion between 1% and 1.5% in the third quarter compared to the three previous months - a stronger rhythm than the 0.8% seen between the second and the first quarters. And these figures corroborate the expectation of economy expansion of 4.5% to 5% in 2007. According to the IBGE (Brazilian Institute of Geography and Statistics), "the industrial sector has had positive results for 16 consecutive quarters, in the comparison with the same period of the previous year". The 6.4% expansion was the greatest advance since the fourth quarter of 2004. From January to September, the industrial production accumulated a growth of 5.4%. All economists have hailed the good performance of the production of capital goods, which increased 20.4% in the third quarter in comparison with the same period of 2006, above the already significant 18.4% of the second quarter. The production of durable goods (such as automobiles and electric-electronic devices) was the other highlight of the third quarter. After growing 6.4% in the second quarter, the production of durable goods increased 13.8% in the third one in relation to the same period of 2006. The Institute of Studies for Industrial Development (Iedi) says that the figures published by the IBGE "grant the Brazilian industrial sector the perspective of a greater growth than what was being projected for the year, in the range of 5%. The new level is 5.5%.