05/19/2008 15h27

Purchase of machinery grows and diversifies

Valor Econômico - 05/19/2008

In order to increase production, the textile manufacturers have increased 32% their orders of machinery and equipment for the local suppliers if comparing 2007 to 2006. Despite the loss of competitiveness in exportation, the textile sector's investments are betting on the domestic market. And it is not the only segment to do that. Auto parts, toys, packing, footwear and furniture, among others, have also increased the purchase of national or imported capital goods, betting on the strength of the domestic sales. "The investment is more decentralized, sounder and stronger", states Sérgio Vale, the major economist of MB Associados. Data from Brazilian Association of Machinery and Equipment Industry (Abimaq) and from Brazilian Institute of Geography and Statistics (IBGE), compiled by MB, show generalized growth in sales, in production and in the orders of the capital goods' sector. In 2007, compared to 2006, the production of capital goods for the car industry increased 13%, according to IBGE. The production of equipment for civil construction went 19% up; for electric energy, 26%; and for industrial purposes in general, 17%. The growth of 48% in the segment of production of equipment for agriculture stood out.  According to a survey made by Abimaq, the firm orders of their members are also strong. In the segment of plastic articles, the orders of machinery have grown 14.5% last year compared to 2006. Concerning the hydraulic and pneumatic equipment, the increase reached 45% in the same comparison. The orders of machinery for pumps and motor-driven pumps have gone 25% up. "In 2007, 15% in sales were related to the car sector, which is going through a period of strong growth. In 2008, the strongest sectors have been agricultural machines and machinery for energy, including alcohol hydroelectric plants", said to Valor Hermes Lago Filho, the Romi's commercialization director of machinery and tools, who had been present at the company stand during the Mechanics fair, in São Paulo, last week. Romi increased 23% in sales in 2007 - a "respectable" number, says the officer. The physical production of the industry of capital goods grew 20% in the accumulated in 12 months until March of this year, 6.6% above the performance of the whole industry. According to Abimaq, the local market was responsible for 74% in sales of the sector in the first quarter of this year, compared to 61% regarding the same period of 2006. The importation of machinery and equipment increased almost 45% in the first four months of the year.