Sales of machines for civil construction grow 53%
Gazeta Mercantil - 05/26/2008
The market of machines for construction has never been so heated. Civil construction, mining, industry, roads and other governmental works and even agribusiness - led by the sugar and alcohol sector with the construction of new plants and distilleries - pushed the sales of machines for construction up to 11.2 thousand units in 2007, representing an increase of 53% compared to the 7.7 thousand units of 2006. "For 2008, we expect to grow 28.8%, getting to 15.2 thousand machines, which means more than twice the sales in 2006, of 7.7 thousand units", said Roque Reis, commercial officer of Case Construction, which nearly 20% of market share. Among bulldozers, power shovel, motor graders, Crawler Dozers, backhoe loaders and mini loaders, the sector may have a turnover of R$ 5.25 billion (US$ 3.2 billion) this year, according to Reis. "Every segment of the economy is pushing the market up, from mining, which requires heavy machinery, to agribusiness, which uses machines for the construction of plants and transport the sugar cane bagasse", he affirmed. According to the last data released by the National Association of Automobile Manufacturers (Anfavea), the domestic sales of backhoe loaders reached 611 units in the first four months of the year, which represents an increase of 102% compared to the same period of the previous year. Consisting of companies like Case, New Holland, Caterpillar, Komatsu, Volvo, JCB, Hyundai, Randon and Massey Ferguson, the sector was an exporter in the past. "Today, with the demand's increase, the favorable exchange rate and competitive producers made in United States and China, the imported machines already represent 30% of the domestic sales, tending to grow". Notwithstanding that, companies with local plants have stopped investing in the increase of the production. CNH Brasil - which holds Case and New Holland, both focused in civil construction and agriculture- is investing R$ 100 million in the plant of Contagem (MG), which attends to both trademarks in the segment of machines for construction. The Fiat group company also invests in reopening the unit of machines for construction in Sorocaba, in the countryside of São Paulo.