With the Chinese reopening, Goldman Sachs bank revised its projection for China’s growth from 4.5% to 5.5%. The bank also estimates that a 10% increase in the price of commodities, especially iron ore and soy, could add 0.5 percentage points to the growth of the Brazilian GDP.
A 10% increase in exports (in volume) has an impact of 0.3 percentage points on the country’s GDP, according to a study carried out by Alberto Ramos, director of economic research for Latin America at Goldman Sachs.
Companies that already do business with the Chinese are more optimistic. Chicken and pork producers, for example, expect global growth of 12% in pork exports and 3% to 4% in poultry exports this year. According to estimates by the Brazilian Association of Animal Proteins, China is our main buyer, purchasing 43% of pork exported last year and 12% of poultry.
(Source: O Sul)