According to official figures released on Thursday, Brazil’s $11.4 billion trade surplus in May set a record for any single month since the data series’ inception in 1989.

The amount above the $9 billion surplus predicted by economists in a Reuters poll, which was supported by an increase in export volume that more than offset price declines.

Brazilian exports reached a record-high $33.1 billion in May, up 11.6% from the same month in 2022, according to the Ministry of Development, Industry, Trade, and Services.

They were supported by notable double-digit growth in important commodities like sugar (+91.8%), soybeans (+23%), and crude oil (+21.4%).

The government also stated that imports decreased by 12.1% in May to $21.7 billion.

The large increase in Brazilian exports, according to Herlon Brandao, director of Foreign Trade Intelligence and Statistics at the ministry, can be linked to the nation’s record-breaking agricultural harvest, which saw strong soybean shipments.

“This should cool down, but not much. We still have the record corn crop coming in the next few months as well, so the volume shipped this year should grow,” he said at a news conference.

The positive balance of trade increased from January to May by 39.1% over the same time last year, totaling $35.3 billion.

Brandao stated that the initial estimate by the ministry for a $84 billion trade surplus this year is expected to be revised in the upcoming review in July in light of more promising export prospects.

(Adapted from Reuters.com)

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