Exports

    Brazil’s exports have varied over the centuries, and until recently they have always been agrarian based.  The record of Brazil as an exporting state began when the first Portuguese colonists began exporting Brazil-wood.  Later, between the sixteenth and seventeenth centuries focus shifted to sugarcane. After 1800, gold became the major export, until the second half of that century when coffee began to dominate. As late as 1958, sixty-six percent of all of Brazil’s export value was in coffee.  The level of rubber exports experienced a brief spike during the wars of the early twentieth century, but later subsided.  This pattern of cash-crop dependance has lead to economic instabilities and low resilisence.
    Over the past twenty years the percentage of Brazilian exports based on agriculture has dropped steadily.  Though the total volume of agriculture products has not decreased, the development of the manufacturing sector has diversified the nation’s exports.  Brazil is still the world’s leading exporter of coffee, however in 1995 it only accounted for two percent of national exports.  Roughly one-fourth of all of Brazil’s exports are either agriculture products or other raw materials.  Manufactured and semi-manufactured goods, like automobiles, chemical products and textiles, amount to sixty-four percent of the nation’s output (Percentages courtesy of The Brazilian Embassy in London).  The combination of this shift to manufacturing as well as the diversification of agricultural products has made the export economy of Brazil much less dependant on minor fluctuations in specific crop yields and has helped increase confidence levels of foreign investors.
    The sale of exports demonstrates a sustained flow of capital into Brazil. Brazil’s total exports amount to around $55.1 billion,13.4% of the Gross Domestic Product.  A plurality of these travel to the United States (23%) while Mercosul purchases 14% of Brazil’s exports and Germany, Japan and the Netherlands each receive 5% of all Brazilian products (The World Bank Group).  The European Union as a whole accepts 27% of Brazil’s exports. As an exporting nation, Brazil has been rather successful, however it has had trouble maintaining a favorable balance of trade.
    The trade deficit of Brazil has been dropping over the past few years. Growing by 14.7% from 1999 to 2000, the deficit dropped all the way to US$691 , the lowest it has been since 1995 (The Brazilian Embassy in London).  The problems that Brazil has had with it’s trade deficit has influenced its desire to maintain and then expand upon its current levels of exportation, an issue that may undermine attempts at slowing processes that contribute to the destruction of the rainforest.
    Brazil, as a nation struggling to keep its economy afloat, has many concerns  that do not directly aid the preservation of the rainforest.  While Brazil’s economic reliance on agricultural and raw materials exports has decreased dramatically, the current state of Brazil’s economy, and particularly the government’s budget, does not leave much room for adjustment.  Though policy recommendations made with the intent of preserving the rainforest may be accepted by the government, it is important to remember that the survival of the nation’s economy is of considerably higher importance.