WT/TPR/M/283  
11 October 2013  
(13-5513)  Page: 1/59  
Trade Policy Review Body  
24 and 26 June 2013   
 
TRADE POLICY REVIEW 
BRAZIL 
MINUTES OF THE MEETING 
Chairperson:  H.E. Mr Joakim Reiter (Sweden) 
 
CONTENTS 
 
1   INTRODUCTORY REMARK S BY THE CHAI RPERSON ...................................................... 2  
2   OPENING STATEMENT BY THE REPRESENTATIVE OF BRAZIL ...................................... 3  
3   STATEMENT BY THE DISCU SSANT ............................................................................... 7  
4   STATEMENTS BY MEMBERS........................................................................................ 10  
5   REPLIES BY THE REPRESENTATIVE OF BRAZIL AND ADDITIONAL COMMENTS .......... 49  
6   CONCLUDING REMARKS BY THE CHAIRPERSON ........................................................ 57  
 
 
Note: Advance written questions and additional questions by WTO Members, and the replies 
provided by Brazil are reproduced in document WT/TPR/M/283/Add.1 and will be available online 
at http://www.wto.org/english/ tratop_e/tpr_e/tp_rep_e.htm. WT/TPR/M/283 • Brazil 
 
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  1  INTRODUCTORY REMARKS BY THE CHAIRPERSON 
1.1.  The sixth Trade Policy Review of Brazil was held on 24 and 26 June 2013. The Chairperson 
H . E .  M r  J o a k i m  R e i t e r  ( S w e d e n )  w e l c o m e d  t h e  d e l e g a t i o n  o f  B r a z i l  h e a d e d  b y  M i n i s t e r  P a u l o  Estivallet de Mesquita, Director-General of the Ec onomic Department at the Brazilian Ministry of 
External Relations; the rest of the delegation from Brasilia; the Minister-Counsellor Marcia Donner 
Abreu, and colleagues from the mission in Geneva; and the discussant, H.E. Mr CHOI Seokyoung (Republic of Korea). 
1.2.  The Chairperson recalled the purpose of th e Trade Policy Reviews and the main elements of 
the procedures for the meeting. The report by Brazil was contained in document WT/TPR/G/283 and that of the WTO Secretariat in WT/TPR/S/283. 
1.3.  Questions by the following 26 delegations had been submitted in writing at least two weeks 
in advance and had been transmitted to the delegati on of Brazil: United States; El Salvador; Hong 
Kong, China; Pakistan; Australia; New Zealand; Chinese Taipei; Switzerland; Paraguay; Singapore; China; Chile; Costa Rica; Ukraine; Indonesia; Japan; Mexico; European Union; South 
Africa; Canada; Dominican Republic; Republic of Korea; Colombia; Argentina; Norway; and Peru. 
The following six delegations submitted written questions after the two week deadline: Turkey; 
India; Russian Federation; Malaysia; Thailand; and Ecuador. 
1.4.  During its fifth Trade Policy Review in 2009, Brazil was praised for its sound macroeconomic 
policies. Members acknowledged that Brazil's good  economic performance had been linked to the 
expansion and diversification of trade, and to Brazil's liberalization efforts. While it was noted that growth was slowing down amidst the global econ omic turmoil, it was the Members' sense that 
Brazil would weather the crisis better than most. Brazil was also commended for its support of the 
multilateral trading system and its leadership in the Doha Development Agenda. Acknowledging its active participation in the Aid-for-Trade process, both as recipient and as donor, Brazil was 
encouraged to grant duty-free quota-free access to LDCs. 
1.5.  On the trade policy front, Members expressed their appreciation for the steps taken by Brazil 
to simplify and modernize its customs procedures but expressed concern with respect to the scope 
of Brazil's existing non-automatic licensing regime. Concerns were also raised on the use of import 
prohibitions, and some Members urged Brazil to enhance the transparency of its technical regulations, and sanitary and phytosanitary me asures. Members encouraged Brazil to reduce 
bound tariff rates to give its import regime greater predictability. Brazil was invited to join the 
GPA. Members noted that Brazil had passed new IPR legislation and enhanced the effectiveness of 
enforcement but encouraged Brazil to further st rengthen IPR protection. Noting the use of 
preferential credit and other support schemes in sectors like agriculture and manufacturing, 
Members expressed concern about domestic content and other requirements for accessing some of 
them. Members queried Brazil with respect to the ra tification of the Fourth and Fifth Protocols to 
the GATS. Finally, some Members invited Brazil to remove foreign ownership restrictions in 
maritime and air transport services.   
1.6.  For its part, Brazil indicated that the global economic crisis had slowed its growth, and 
although the economy rested on sound fundamentals, measures to lessen the impact of the crisis were being implemented, including investment on  infrastructure projects, and inclusive social 
actions. Also, as Brazil had been able to markedly reduce its public debt, it was in a position to use 
government expenditure to help sustain economic activity. The Brazilian national financial system had been responding well to the crisis due to  sound regulatory practices. To counter the 
international credit crunch, the amount of resources available for loans by the National 
Development Bank (BNDES) and other public banks had been increased. Brazil would continue supporting the multilateral trading system, seekin g in the Doha Development Agenda results that 
would offer new opportunities for social inclusion and poverty alleviation. WT/TPR/M/283 • Brazil 
 
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  2  OPENING STATEMENT BY THE REPRESENTATIVE OF BRAZIL (H.E. MR PAULO 
ESTIVALLET DE MESQUITA) 
2.1.  Allow me first of all to thank the Secretar iat for the preparation of a very comprehensive and 
detailed report for this 6th Trade Policy Review of Brazil and for the close work relationship 
established with the Brazilian Government. That text, together with the statement submitted by 
the Government of Brazil, shall provide an excellent basis for our work today and next Wednesday. 
2.2.  May I also refer to the insightful comme nts and observations offered by the discussant, 
Ambassador Choi, who has enlightened us and decisively contributed to what we hope will be a 
lively and thoughtful discussion. 
2.3.  I want to thank all delegations for the intere st they have shown in the trade review of Brazil. 
The number and the quality of the questions and comments we have received are for us a clear 
indication of the importance the Membership attaches to Brazil’s participation in world trade, as 
well as of our common desire and determination to further strengthen the multilateral trading system and our respective bilateral trade and economic relations. 
2.4.  I am personally grateful to the members of the Brazilian Delegation to this trade policy 
review as well as all the colleagues from the Gove rnment in Brasília and from the Brazilian Mission 
to the WTO in Geneva who have worked hard and tirelessly to try to provide answers and 
clarifications to every single question received over the period of this intense process. In our 
delegation from the capital we have representatives from the Foreign Ministry, Ministry of Development, Industry and Foreign Trade, Ministry of Finance, Ministry of Science, Technology and 
Innovation, Ministry of Defense, the Central Bank, the Secretariat of the Chamber of Foreign 
Trade, the Health Surveillance Agency, the Securi ties and Exchange Commission and the Brazilian 
Trade and Investment Promotion Agency. 
2.5.  It is for Brazil a matter of great satisfacti on and responsibility to undergo the review of its 
trade policy at the World Trade Organization. The Trade Policy Review offers us an opportunity to 
reiterate our longstanding commitment to the mult ilateral trading system, a fundamental principle 
of Brazilian foreign trade policy. Indeed, this fundamental commitment was at the origins of the 
decision by Brazil to submit the name of Ambassa dor Roberto Azevêdo for Director-General of this 
Organization. I would like to take advantage of this opportunity, on behalf of the Government of Brazil, to once again thank the entire Membership for his designation as our next DG.  
2.6.  The number of questions received – almost 800 – is roughly the same as the number 
received in 2009. I would like to assure the Membership that we have made every effort to provide 
answers to all questions and that we will try to fully respond to any remaining questions during the course of our sessions. 
2.7.  This review of Brazil’s trade policy covers a period of time marked by the most severe 
international financial crisis since 1929 and a sharp economic downturn in advanced economies that has hit virtually all countries, developed an d developing. The impact of the financial and 
economic crisis is still unfolding, as countries throughout the world struggle to sustain their 
economies and to stem the downward trend that has been taking a dramatic toll on jobs and social 
welfare. Throughout this period, and in spite of the commitment of Governments and the unprecedented amount of resources that has b een mobilized, sustained recovery has proven 
elusive. 
2.8.  Bleak as it has been, the period since the beginning of the economic and financial crisis has 
witnessed important changes to the world economy. For the first time in history, developing 
countries have been able to significantly contribute to at least partially offsetting the negative 
impacts of the crisis. Indeed, growth rates have been consistently higher in developing countries than in the more advanced economies. Sound macroeconomic policies and improvements in the 
fiscal situation allowed Brazil to maintain an av erage growth rate of 2.7% from 2009 to 2012, in 
line with the average growth of the world econom y as a whole, and well above the average rate of 
0.6% displayed by developed economies. 
2.9.  Brazilian trade in goods and services grew at  a faster pace than the world average from 2009 
to 2012. During this period, Brazilian imports have grown more than its exports, thereby WT/TPR/M/283 • Brazil 
 
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  contributing to recovery and growth in our trading partners. As pointed out in the Secretariat 
Report, imports of industrial goods increased at  an average annual rate of 16.2% between 2007 
and 2012. 
2.10.  This was achieved as the country remained  opened to trade. The average applied MFN tariff 
increased only slightly, from 11.5% in 2008 to 11 .7% in 2012. The effective applied rate, that is, 
the amount of duties collected divided by the value of imports, stood at 7.3%. It is worth recalling 
that some of Brazil’s main export products continue to face triple-digit tariffs, as well as prohibitive 
special safeguard measures, in some of the world’s largest markets. Market access is therefore 
strictly limited by TRQs. 
2.11.  There has been an increase in the numbe r of anti-dumping and subsidies investigations, 
which bears a link to the turbulence in the world economy and in international trade flows. 
However, the volume of trade affected by trad e measures has gone down, from 0.64% of total 
imports in 2009 to 0.59% of total imports in 2012. 
2.12.  It comes therefore as no surprise that the “pre-G8 summit” report of the independent 
think-tank “Global Trade Alert” indicates that Brazil has implemented so many liberalizing 
measures during the covered period that its proportion of “trade restrictive” ones ranks now as the lowest among the members of the G-20. 
2.13.  Interest rates, although still high by in ternational standards, have displayed a consistent 
downward trend as a result of the improvement of the general economic and fiscal outlook. The Central Bank is now better equipped to keep inflation within target, without undermining growth prospects. According to the IMF and the Worl d Bank, in 2013 and 2014 the Brazilian economy is 
expected to continue to grow in line with the world economy and way above the average for 
advanced economies. 
2.14.  Overall, Brazilian macroeconomic performance has improved over the period. Growth has 
been bolstered by healthy fundamentals: the foreign debt to GDP ratio has attained a record low in 
recent history, at 14%, and the volume of inte rnational reserves covers comfortably the debt 
service and the current account deficit. Net public debt was cut nearly in half over the past 
decade: from 60% of GDP in 2002, it dropped to 42% in 2009 and to 35.4% in last April. Brazil 
has consistently ranked among the top five largest recipients of foreign direct investment, which in 2012 amounted to US$65 billion. 
2.15.  Increasing the level of public and private investment remains a challenge, in spite of efforts 
by the Government to implement horizontal and sectoral policies with a view to raising 
productivity. The FIFA World Cup of 2014 and th e Olympic Games of 2016 in Rio are important 
drivers of investment and are helping to catalyze the potential for infrastructure investment in 
Brazil. The Government has launched programs to modernize infrastructure, allowing for greater 
participation of private undertakers in sectors such as airports, ports, highways and railways, including through concessions. In the case of airports, concessions for three of the main domestic 
hubs, Brasília, Guarulhos and Viracopos, have alread y been granted; bids for the airports of Rio de 
Janeiro and Belo Horizonte will follow soon. Likewise, investment in the energy sector is expected to increase with the expansion of the mainly renewable matrix of the country, as well as with the exploitation of recently discovered oil and gas reserves. In total, investment in infrastructure and 
energy in Brazil is estimated to amount to some US$235 billion in the next years. 
2.16.  The Brazilian Government has continued to place emphasis grow on the sustainability and 
inclusiveness of growth. In spite of the impact of the international crisis, unemployment in Brazil 
continued to decline in the last four years, and currently stands at 5%. This has been accompanied 
by consistent real increases in the minimum wage . Income distribution has been one of the main 
features of Brazil’s development in recent years. As a result, the expansion of the middle class has 
been remarkable: some forty million Brazilians have escaped poverty and moved up the social 
ladder. 
2.17.  In spite of the global economic downturn, Brazil has managed to increase its participation in 
world trade over the period covered by this revi ew. In 2012, Brazil accounted for 1.29% of world 
trade, up from 1.13% of 2009. WT/TPR/M/283 • Brazil 
 
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  2.18.  The WTO is the central pillar of our fore ign trade policy. The multilateral trading system 
provides the juridical stability we need as our integration into the world economy evolves according to the dynamics of globalization.  
2.19.  The MERCOSUR customs union embodies the objective of creating an environment that is 
conducive to economic growth with social justice. As the platform for the integration of Brazil in 
the global economy, Mercosur presents an important array of accomplishments of great political and economic significance for Brazil and its partne rs. Trade within the block represents the largest 
share of our exports of manufactured goods and generates growing opportunities for the 
integration of productive chains throughout the region. 
2.20.  From 2009 to 2012, the period covered by this review, Brazilian exports to the world 
continued to be distributed among several regions.  The main development over the period was the 
consolidation of Asia as the main market for Brazilian products. In 2012, Asian markets responded 
for 31% of total Brazilian exports, followed by the European Union (20%), Latin America and the 
Caribbean (19%), United States and Canada (12%), Africa (5%), Middle East (4.8%) and Eastern 
Europe (1.8%).  
2.21.  Little change can be observed as we look at the other side of the story. In 2012, 
participation of the main regions of origin in terms of imports into Brazil remained virtually 
unaltered in comparison to 2009. Asia responded for 31% of total Brazilian imports, followed by 
the European Union (21%), Latin America and the Caribbean (17%), United States and Canada (16%), Africa (6.4%), Middle East (3.3%) and Eastern Europe (2%). 
2.22.  Perhaps the most interesting aspect of th e evolution of Brazil’s trade performance during 
the period of this review resides in the fact that, overall, the country’s imports showed more 
dynamism than its exports. Brazilian imports fr om the world grew 75% in the four years from 
2009 to 2012, increasing its share of world imports from 1.05% in 2009 to 1.26%. In turn, 
Brazilian exports to the world increased 59% du ring the same period and its share of world 
exports expanded from 1.22% to 1.32%. 
2.23.  When the previous Trade Policy Review of  Brazil took place in 2009, there was general 
concern that the crisis might eventually induce Governments to lean towards protectionism in an 
attempt – self-defeating as it may be – to offset the consequences, at the domestic level, of the economic downturn. In spite of all the remaining economic and social challenges and the fact that prospects for recovery remain uncertain, it is important to recognize that the specter of a 
protectionist spiral that would engulf the global economy has been so far avoided.  
2.24.  The role of the WTO in the pursuit of  this common goal cannot be understated. The 
monitoring efforts undertaken by the organization have helped to ensure that protectionist 
pressures are kept at bay. Multilateral trade law continues to set the ground for commerce among 
an ever increasing number of nations, providing predictability and allowing for the settlement of 
disputes in an orderly manner.  
2.25.  As the world struggles to overcome the economic downturn of the past five years, the 
importance of trade as a catalyst for economic growth becomes only more evident. It is crucial that the Doha Development Round be brought to a successful conclusion. We cannot expect to deal with the challenges of the 21st century by  sidestepping the unfinished business of the 20th 
century. And for that to happen we must demonstrate that we can deliver meaningful results, 
particularly to developing countries, at the Ministerial Conference to be held in December, in Bali.  
2.26.  In conclusion, it is fair to say that Brazil has performed considerably well under the difficult 
circumstances that marked the world economy during the past four years. Its economic 
fundamentals have remained sound throughout this  period. We are proud to have, together with 
other developing economies, helped offset the downturn in the world economy that resulted from 
the international financial and economic crisis. The Brazilian economy will continue to demonstrate 
its resilience and its potential in the face of turbulence.  
2.27.  We remain fully convinced that trade can be a decisive tool to address the challenges of the 
world economy and to help promote development. Keeping protectionism at bay continues to be 
one of the main challenges facing the world trade community as we wade through the current WT/TPR/M/283 • Brazil 
 
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  difficult times. Brazil has done and will continue to do its part. Of course, the further liberalization 
of trade is a collective effort that requires the engagement of the whole membership of this organization. WT/TPR/M/283 • Brazil 
 
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  3  STATEMENT BY THE DISCUSSANT (H.E. MR CHOI SEOKYOUNG (REPUBLIC OF KOREA)) 
3.1.  I am honoured to take part in the TPR of  Brazil as a discussant. In preparation, I have 
learned a lot regarding Brazil’s fascinating history, culture, economy, politics and huge development potential. One of my findings is the nexus between Brazil and trade. The country 
name of Brazil originated on account of the massive trade of brazilwood, a valuable red dye for the 
European cloth industry in the past. As such, the name “Brazil” is a symbol for foreign trade.  
3.2.  Against this backdrop, I will make my general observations focusing on two topics: 
 One, a snapshot of Brazil’s economic environment and its trade policy framework; and 
 Two, Brazil’s trade policies by measure and sector. 
Snapshot of Brazil’s economic enviro nment and its trade policy framework  
3.3.  Brazil is a big country with lots of diversit y. It is the 5th largest country by area and the 7th 
largest in terms of economy. Its population of 190 million represents an exceptional degree of 
human potential. Its current GDP (PPP) per capita is US$10,200. And, the Brazilian economy is predicted to become one of the five largest in the world in the decades to come. And, equally 
diverse are its natural and cultural riches which have taken an important place on the global stage.  
3.4.  While we appreciate Brazil’s inspiring success and great potential for further development, it 
is important to recognize that such achievements were made by overcoming significant economic 
and social challenges in the 1990s. With able leadership and concerted efforts with its people, 
Brazil weathered the recent economic crisis and came into the top tier of economic output. As the Secretariat report notes, the Brazilian economy re corded strong performance during most of the 
period under review, with real GDP growth averag ing 3.6% per year and with foreign trade growth 
averaging 8.6% per annum. The review period was marked by a strengthening of Brazilian trade 
with Asia, in particular with China.  
3.5.  Notwithstanding the positive echoes of the assessment, Brazil’s economy has decelerated 
since the second half of 2011. During the period  under review, import growth outpaced exports. 
This is partly due to the global economic sl ow-down and appreciation of the Brazilian Real. 
However, the Secretariat’s report identifies the long-standing structural problems affecting the 
Brazilian economy’s overall competitiveness such as import constraints, inadequate infrastructure, 
insufficient access to credit, and a high tax burden. In the WEF’s recent Global Competitiveness Report, the country’s overall infrastructure is  ranked 107th out of 144 in terms of quality. 
3.6.  Taking a look at the trade policy framework, Brazil is one of the WTO’s most active 
participants, and remains committed to the streng thening of the MTS. Importantly, Brazil has 
acknowledged that the WTO is fundamental to attaining its development objectives and is committed to a successful conclusion of the DDA. Brazil also plans to ratify the 5th Protocol on 
financial services. At the regional level, Brazil has concluded preferential trade agreements with 
eight neighbouring countries, and is actively expanding its preferential trade network with other countries in other regions. 
3.7.  Brazil’s foreign investment regime remained largely unmodified during the period under 
review. In particular, Brazil has 14 bilateral investment agreements. Foreign investment is restricted in some areas including mass media, the aerospace industry as well as maritime and air transport. Brazil adhered to MIGA (Multilateral Investment Guarantee Agency) Convention in 1992 
and joined the OECD Investment Committee in 1998 as an observer. However, it has not joined 
the ICSID.  
Trade policies and practice s by measure and sector 
3.8.  As the Secretariat Report notes, the Govern ment of Brazil took steps to address structural 
issues and to enhance competitiveness under the Plano Brasil Maior (Greater Brazil Plan) in 2011. Under this plan, Brazil has developed a number of industrial, technological, and foreign trade 
policies to underpin its development objectives. In this context, I would like to draw your attention 
to some of the Brazil’s trade policy measures which deserve in depth discussion in today’s 
meeting. WT/TPR/M/283 • Brazil 
 
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   Brazil took positive steps to simplify and modernize customs procedures. But its imports are 
 still subject to various and complex internal taxes and import licensing, including IPI, which  vary depending on the product type, competent authority, and importer’s tax regime status.  In addition, Brazil maintains export taxes on items including hides and skins. Importantly, it 
 also plans to simplify internal taxation schemes. 
 Brazil’s competition regime was overhauled in May 2012 with significant institutional 
 restructuring. But, the changes to the notification criteria and the framework for calculating 
 fines are expected to reduce the number of transaction subject to notification and lower the 
 deterrent effect. 
 Brazil operates a decentralized procurement system. And it is neither a Party nor observer to 
 the WTO/GPA. An OECD assessment study in 2011 on Brazil’s procurement practices 
 commended its progress in promoting transparency and its management throughout the 
 procurement cycle, but suggested at the same time, that efforts could be made to increase  professionalism and develop performance indicators.  
 Brazil is a significant user of trade remedies, particularly anti-dumping and CVD measures. 
 Trade defense has been identified as a component of the Plano Brasil Maior. In the first nine  months of 2012, Brazil initiated 47 new investigations in addition to 83 anti-dumping 
 measures put in place in mid-2012. 
 Several export support programmes have been modified or expanded since the last review. 
 Among them, the Export Financing Programme  (PROEX) and the export credit schemes 
 under the BNDES-EXIM programme are geared to promoting exports with local value added 
 and often with a domestic content/production threshold.  
3.9.  Turning to sectors, Brazil has a dynamic agricu ltural sector that plays an important role in its 
economy. Brazil informed the WTO that it did not grant export subsidies for agricultural products 
between 2002-2007 and 2008-2010. However, the OE CD contended in 2011 that about 2/3 of the 
PSE (Producer Support Equivalent) is provided “in the most production and trade distorting forms,” especially through price support measures and subsidized credit.  
3.10.  Brazil lost some dynamism in the manufactu ring sector during the review period due to an 
erosion of competitiveness. High cost and scarce access to credit was recognized as a systematic issue. In response to this situation, Brazil introd uced strong industrial policy measures through two 
comprehensive plans such as the Productive Deve lopment Policy (2008-10) and Plano Brazil Maior 
(2011-14). It actively utilized instruments such as credit lines, public procurement and fiscal 
incentives, including the INOVAR-AUTO programme. With this, companies eligible for the programme may benefit from an IPI tax reductio n of up to 30% on automotive products. In 
September 2012, concerns were raised on the incompatibility of some of the programme’s 
provisions with the WTO rules.  
3.11.  Turning to the services sectors, the IM F/World Bank Report noted in 2012 that Brazil’s 
financial system had grown in size, diversification and sophistication for the last 10 years, and at 
the same time recommended that policies be geared toward encouraging the development of private long-term finance. In areas such as electricity and telecommunications, private-sector participation has been expanding and has been granted more flexibility. Brazil’s telecommunication 
sector is fully open to competition and continues to attract new entrants. Concerning air 
transportation, the Government decision was made in May 2011 to allow private investors to build, manage and operate airports through concessions. It is a positive development. 
Conclusion 
3.12.  All this said, I have covered a lot. But given its size and scale, as well as the inevitable 
complexity of the Brazilian economy, it may not have been sufficient. Considering all of these 
angles, we can safely say that Brazil is an economic giant with great power and great potential. 
Indeed, there is no question regarding the active role and leadership that Brazil has assumed in regional and global forums including, at the G-20, among the BRICS, within MERCOSUR, and the 
WTO, which will be led by a Brazilian Director General from 1 September 2013.   WT/TPR/M/283 • Brazil 
 
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  3.13.  Thus far, it seems that Brazil is living up to what the French philosopher Voltaire once 
articulated “With Great Power Comes Great Responsibility” which was quoted perhaps most famously and less importantly in the recent movie Spider Man. It is not surprising that so many advance written questions were put forward on the operational details of trade measures and how 
Brazil looks at all these measures in light of relevant WTO rules. At this point, it would be 
interesting to hear the Member States’ views about the successes and challenges of Brazil. WT/TPR/M/283 • Brazil 
 
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  4  STATEMENTS BY MEMBERS 
UNITED  STATES 
4.1.  The United States has always viewed Brazil as an important and valued trading partner. As 
the two largest economies and democracies in the Western Hemisphere, the United States and 
Brazil share ties that have expanded over th e years with increased trade, capital flows, 
cross-border investment, and a wide range of educational, health, scientific and other joint activities.   
4.2.  Brazil is a major force in the global ec onomy. Growing trade, significant oil discoveries, 
financial stability, low inflation, rising investment, and a booming middle class are some of the factors that have contributed to Brazil’s rise as a prosperous and influential country on the world stage. During the period under review, Brazil en joyed strong economic performance with real GDP 
growth averaging 3.6% per year. Sustained econom ic growth over the past decade has allowed 
Brazil to lift millions of people out of poverty and into the middle class and reduce income inequality. 
4.3.  Focusing for a moment on our bilateral tr ade relationship, as the world’s seventh largest 
economy and the United States’ eighth largest trading partner, Brazil has become a vital market for U.S. companies. Two-way U.S. goods and serv ices trade with Brazil totaled US$103 billion in 
2011. Overall, U.S. goods imports from Brazil are up 269% over the last 18 years (following the 
Uruguay Round). The picture is also encouraging for U.S.-Brazil services trade. In 2011, U.S. exports of private commercial services to Brazil were US$21.7 billion, while Brazil’s supply of private commercial services to the United States was US$6.9 billion in 2011, up 256% from 2000 
levels. U.S. foreign direct investment (FDI) in  Brazil (stock) was US$71.1 billion in 2011, up 10.8% 
from 2010 levels. Brazilian FDI in the United St ates (stock) was US$5 billion in 2011, up a 
dramatic 266% from 2010 levels.   
4.4.  The strong economic growth experienced in Br azil during most of the review period slowed in 
2011 and 2012, due in part to the global economic slowdown and in part to structural problems in 
the Brazilian economy. Despite the difficult global economic context, we believe that Brazil would 
benefit from continuing its efforts to give additional momentum to liberalized trade and investment 
policies, including by lowering tariffs and eliminating pervasive local content requirements. The structural bottlenecks - which include a very high tax burden, a complex and inefficient regulatory regime, inadequate infrastructure, limited access to credit, and a rigid labor market - threaten 
Brazil’s competitiveness and future growth prospects. Reflecting these challenges, the World Bank 
ranked Brazil 130th out of 185 countries for ease of doing business in 2013.   
4.5.  In our view, there are some specific areas wh ere Brazil could take action to improve its trade 
and investment regime for the purpose of cr eating additional growth and development 
opportunities. In addition to the issues addressed in our questions, today I would like to briefly call attention to Brazil’s high tariff structure, its increased reliance on local content requirements, and 
shortcomings in some areas of IPR protection and enforcement.  
4.6.  While Brazil’s MFN applied tariff rate averaged 11.2 percent in 2012, its average bound tariff 
rate is significantly higher at 31.4%, with the maximum bound rates for industrial and agricultural goods set at 35% and 55%, respectively. Because of the large disparities between bound and 
applied rates, U.S. exporters face significant uncertainty in the Brazilian market. This uncertainty 
is amplified by the frequent changes in tariffs  made by the Brazilian government to protect 
domestic industries from import competition. For example, in October 2012, Brazil increased tariffs 
to a maximum of 35% on 100 industrial products pursuant to a December 2011 MERCOSUR 
ministerial decision. These tariff increases affected  approximately US$1 billion in U.S. exports in 
2012. Brazil is further considering increasing tariffs on an additional 100 products pursuant to a 
second MERCOSUR ministerial decision taken in June 2012. These tariff hikes could adversely 
affect Brazil’s competitiveness. We note that Brazil has also decreased tariffs on a large number of products in 2013. While we welcome these trade liberalizing steps, it is important to underscore that frequent and temporary changes in tariffs, whether up or down, create an unpredictable 
business environment for importers and exporters, and have a chilling effect on investment. WT/TPR/M/283 • Brazil 
 
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  4.7.  We want to acknowledge the important and continued progress that Brazil has made in 
enhancing the effectiveness of intellectual property rights enforcement. However, shortcomings in some areas of IPR protection and enforcement continue to act as obstacles to U.S. exports and investment. The United States is particularly concerned about recent regulations that give Brazil’s 
sanitary regulatory agency, ANVISA, the authority to provide “prior consent” to pharmaceutical 
patent applications. ANVISA’s review is in addition to the normal patent review conducted by Brazil’s patent office (INPI).  
4.8.  We call upon Brazil to assume additional  responsibilities commensurate with its prominent 
position in the global economy. In that regard, we  encourage Brazil to continue to work with us 
and other Members to produce a doable package of results for the WTO’s 9th Ministerial in Bali in December, including a binding agreement on Trade Facilitation. We would also like to see Brazil 
accede to the WTO Agreement on Government Procurement, which would provide Brazilian 
companies access to lucrative procurement markets in the United States and other GPA member countries, while opening up Brazil’s government procurement market to foreign participation. And 
we urge Brazil to consider joining the negotiations to expand the product coverage of the 
Information Technology Agreement. 
4.9.  The United States would like to remind Braz il of the importance of ensuring that the global 
trading order remains open. We were troubled to learn that the International Chamber of 
Commerce recently released its Open Market Index 2013, which ranks Brazil as the G-20’s most closed economy. In a ranking of the 75 largest economies, Brazil occupies the 68th position. I 
would like to express my Government’s hope and expectation that, going forward, Brazil will 
continue to pursue further reforms and open markets that enable it to reap the benefits of 
expanding trade and global economic opportunity. In addition, we welcome further cooperation on trade matters with our Brazilian colleagues both he re at the WTO and in the context of our growing 
bilateral relationship.   
4.10.  Finally, in closing, on behalf of the United States, I would like to take this opportunity to 
recognize Ambassador Roberto Azevêdo, the next Director General of the WTO. It has been a 
privilege to work with Ambassador Azevêdo in his capacity as Brazil’s Ambassador to the WTO, and 
we look forward to working with him in his new role as Director General of this important institution.   
EL
 SALVADOR 
4.11.  As reflected in the Secretariat Report, despite the global financial crisis affecting all 
Members, Brazil found the key to weathering it thanks to strong domestic and external demand and sound macroeconomic policies, thereby contributing to the recovery of the world economy 
through substantially increased imports. This enabled it to make progress in reducing 
poverty, unemployment, and income inequality, demonstrating the priority given by the Brazilian Government to the welfare of its peop le by promoting a fair and balanced economic 
system through which to enhance well-being and alleviate poverty in the country. 
4.12.  El Salvador and Brazil established diplomatic relations in 1906 on the sidelines 
of the Third Pan-American Conference in Rio de Janeiro, Brazil, when Central American countries 
met for the first time at the highest level. Si nce then our relations have been strengthened 
in areas such as economic and cooperation policy mainly through top-level visits and meetings. 
There is agreement on the prioritization of soci al issues on the agenda of both Governments, 
reciprocal support in promoting poverty-reduction initiatives, regional integration, 
joint energy-related initiatives through the sharing of Brazil's experiences in biofuels production, 
and, inter alia,  in the areas of food security, sports, health, and public safety. 
4.13.  Although our trade balance remains in deficit, trade flows between the two countries are 
complementary, El Salvador's main export products being in cooked loins of tuna, frozen, cotton, 
polyester, aluminium and textiles. 
4.14.  Imports from Brazil include, inter alia , yellow maize, ethyl alcohol, gasoline, machines for 
the reception, conversion and transmission or regeneration of voice, images or other data, 
aluminium alloys, motor ve hicles and medicaments. WT/TPR/M/283 • Brazil 
 
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  4.15.  In relation to investment, Brazilian investment in El Salvador has increased in recent years, 
remaining at US$13 million for 2012. The most recent investments include the establishment of the Pettenati textiles plant. 
4.16.  In the realm of cooperation, more specifically South-South cooperation, a number of 
projects have been in progress in the areas of health, agriculture, public safety, social 
development and institution building. In May of this year our countries held the Ninth Meeting of the Joint Cooperation Commission in San Salvador, at which time our authorities reviewed the 
projects existing between both countries and new areas of work. 
4.17.  In this connection we have projects such as the signing of an adjustment 
agreement to improve innovation in the agricultural sector in El Salvador by directly supporting the National Agricultural and Forestry Techno logy Centre (CENTA) and the National School 
of Agronomy (ENA), thereby helping to boost re search and development capabilities through the 
renovation of laboratories and technology transfer, amongst other joint actions; we have also formulated a project on a public agricultural marketing policy and a triangular agreement 
(Brazil, El Salvador and Japan), which will support the implementation of El Salvador's philosophy 
of community policing. 
4.18.  As regards social development, Brazil has provided El Salvador with cooperation to boost 
the "Territorios del Progreso" programme designed to reduce social inequalities through productive 
development. The Salvadoran Government managed to cover 37 municipalities in the first phase, and it is envisaged that the second phase will encompass 207, which would bring the coverage of this programme to 70% of the national territory. Brazil is also providing support in the realm 
of health so as to provide assistance to the country's indigenous peoples. 
4.19.  Concerning the Review before us, we are pleased to note that the strengthening of the 
multilateral trading system is one of Brazil's trade policy priorities. 
4.20.  With regard to the multilateral nego tiations in progress in this Organization, 
especially under the Doha Development Agenda, Brazil takes an active part in all the discussions and has submitted proposals to various WTO bodies, including, inter alia , those in the negotiations 
on agriculture, industrial goods, intellectual property, services, and attaches great importance 
to the principle of special and differential treatment for developing countries. 
4.21.  It is also important to highlight the leading role that this Member has played in the 
agriculture negotiations, promoting reforms design ed to level the playing field in this area, 
especially through its leadership as coordinator of the G-20. 
4.22.  Regarding intellectual property, we should like to draw attention to the work carried out 
by the Brazilian National Industrial Property Institute (INPI), as well as that by the 
National Council on Combating Piracy and Intellectual Property Offences (CNCP), which has taken 
strong action to combat piracy and counterfeiting. 
4.23.  In the light of the foregoing, it only remain s for me to convey to the delegation of Brazil our 
wishes for a successful trade policy review, which we are sure will be an interesting and 
fruitful exercise. 
HONG
 KONG,  CHINA 
4.24.  Brazil is Hong Kong, China’s largest trading partner in Latin America. Bilateral merchandise 
trade between us had been growin g at an average annual rate of almost 10% during the review 
period. While I am sad to say that the Hong Kong football team has failed to qualify for the World Cup Finals in Brazil next year, I am sure the cross border betting trade will give our mutual trade a 
fillip. We very much look forward to fostering even closer economic and trade cooperation with 
Brazil in the years ahead.   
4.25.  Turning to some specific aspects of Brazil's  trade policy, we much appreciate that Brazil has 
bound all of its tariff lines and applied entirely ad valorem rates. However, the gap between the 
average applied rate which was 11.7% in 2012 and the average bound rate of about 30% imparts unpredictability to Brazil’s tariff regime. Making use of a MERCOSUR mechanism providing for WT/TPR/M/283 • Brazil 
 
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  temporary tariff increases on non-originating goods, Brazil also raised the applied tariff rates on 
100 tariff lines to the maximum authorised tariff since October 2012. Other than customs tariffs, certain imports into Brazil are also subject to various types of internal taxes. We urge Brazil further to embrace trade liberalisation through reducing its average applied MFN tariff rates, 
reducing the large difference between its average bound and applied rates, refraining from 
temporary tariff hikes, and si mplifying its internal taxation system for imported goods. 
4.26.  We commend Brazil for its generally lower ta riffs on agricultural products. According to the 
OECD, Brazil provides a relatively low level of total support to agriculture. Notwithstanding this, 
some of its support, especially the price support measures and subsidized credits, are production 
and trade distorting. We encourage Brazil, being th e world’s third-largest exporter of agricultural 
products, to review its agricultural support measures and reduce their trade distorting effect. 
4.27.  On the multilateral front, we appreciate Brazil’s active participation in the WTO Agriculture 
negotiations. We are sure that it will continue to engage constructively and flexibly in the negotiations for a balanced outcome in MC9.  
4.28.  On trade in services, which now takes up 58% of Brazil’s GDP, we note with appreciation 
that the Brazilian Government has taken liberalisation measures, such as removing the foreign investment cap in cable TV services, allowing the cross-border supply of insurance services and 
allowing private investors to build, manage and operate airports. We encourage Brazil to continue 
this effort. We are mindful that cumbersome rules and regulations also unduly impede flow of trade in services. We hope Brazil will become more receptive to having stronger multilateral disciplines in this respect. 
4.29.  We also note that Brazil still maintains M FN exemptions relating to the audiovisual services, 
land transport and maritime transport services. We urge Brazil seriously to consider removing all 
MFN exemptions and would appreciate Brazil’s advice on any plan to do so in the near future. 
4.30.  Regarding trade facilitation, we are pleased that Brazil has been taking steps to simplify and 
modernize its customs procedures. However, we note that Brazil imposes a number of registration requirements on importers and commercial imports. We urge Brazil to remove these requirements 
to further facilitate trade. 
4.31.  We appreciate Brazil’s constructive participation in the WTO negotiations on trade 
facilitation, and look forward to working more closely with Brazil and other Members towards an early conclusion of a Trade Facilitation Agreement. 
4.32.  During the period under review, Brazil was a significant user of contingency trade measures.  
Of particular concern is Brazil’s increasing use of antidumping measures which increased more than 30% between October 2008 and mid-2012. In view of their trade stifling effect, we hope that 
Brazil will exercise restraint in the initiation of such measures. 
4.33.  According to the Secretariat Report, Brazil has not made any notification on the 
implementation and administration of the Techni cal Barriers to Trade Agreement since 2003. Also, 
the WTO has not been notified of many of the technical regulations and standards adopted by 
Brazil during the review period. We urge Brazil to make timely notifications to the WTO to enhance the clarity and transparency of its technical regulations and standards. 
4.34.  Last but not least, the delegation of Brazil plays a very active part in the work of the WTO.  
In the past year or so, we have in particular a ppreciated Brazil’s initiatives and contributions to 
many areas, both Doha and non-Doha; and we look forward to continuing to work closely with its delegation in charting a way forward for further strengthening the multilateral trading system. 
PAKISTAN 
4.35.  Brazil is one of the world’s leading econ omies with large and well-developed agricultural, 
mining, manufacturing, and service sectors. It became the world's sixth largest economy in 2011 
in terms of nominal GDP, which reached US$2,475 bi llion. It was one of the first emerging markets 
to begin a recovery. In 2010, consumer and inve stor confidence revived and GDP growth reached WT/TPR/M/283 • Brazil 
 
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  7.5%, the highest growth rate in the past 25 years. In 2012, Brazil was the world's sixth largest 
recipient of FDI and from 2011 to the end of  2012, 4 million new jobs were created. 
4.36.  As of December 2012, the Program "Brazil without misery" has managed to raise 
16.4 million Brazilians above the line of extreme pove rty. From 2009 to 2012, social indicators of 
health, education, employment, housing, life expe ctancy and income distribution have improved 
considerably. 
4.37.  Brazil’s foreign trade volume increased 65.9% between 2009 and 2012, and in 2011, it was 
the world's 16th largest exporter and 15th largest importer of goods. The period 2009-2012 was 
marked by significant surpluses in goods trade. Brazil has also diversified the destination of its manufactured and agricultural goods, notably, expo rts to Asia increased 87.2%. However, Brazil's 
structural deficit in the services trade balance al so widened during the review period, largely on 
account of higher payments for leasing capi tal equipment, travel, and transportation. 
4.38.  On the other hand, Brazil has long-standing structural problems affecting its 
competitiveness, including: a complex and onerous tax system; infrastructure bottlenecks; highly 
regulated labour markets; high interest rates; and a high cost for industrial inputs. 
4.39.  In order to strengthen the country's ability to face the global crisis, the Federal government 
launched "Plano Brasil Maior", with a focus on industrial competitiveness, technological 
development and foreign trade. Aiming at promot ing the democratization of credit and banking, 
the Program "Crescer" was introduced in August 2011 under the National Programme for Productive Micro-credit. The expansion of micro-credit in Brazil aims to encourage entrepreneurship, to give opportunity to new businesses and to meet the financial needs of 
entrepreneurs of small productive activities. The "Simples Nacional" is a differentiated and 
simplified tax regime applicable to micro and small enterprises, which allows for the payment of eight different taxes by means of a single document and a single tax rate applicable to gross 
revenue. 
4.40.  In its quest to revive support sectors affect ed by a loss of competitiveness, Brazil has also 
adopted some measures that may have a restrictive impact on trade, including increasing tariffs 
temporarily, and using preferential margins for domestic goods and services in government 
procurement, and has increased export credits. 
4.41.  The simple average MFN tariff applied in 2012 was 11.7%, up from 11.5% in 2008. Besides 
customs tariffs, imports are subject to a number of internal taxes. In aggregate, the tariff 
continues to depict positive escalation. The overall time to import merchandise into Brazil 
(17 days) has not changed over the past three years, however, the corresponding cost per container was estimated to have almost doubled over 2009-13. There is a high level of exemptions 
such that revenue forgone due to tariff concessions reached an estimated R$10.9 billion 
(US$5.45 billion) over the 2009-12 period. Brazil is  also a significant user of trade remedies, 
particularly anti-dumping measures. 
4.42.  Brazil is a leading player in the WTO. Apart from vigorous participation in negotiations, it 
has tabled several proposals. It has also spearheaded agricultural proposals through G-20. Election of Ambassador Azevedo to the post of DG reflects  the Membership’s acknowledgement of Brazil’s 
role in the WTO. 
AUSTRALIA 
4.43.  Australia has a significant, and growing, economic relationship with Brazil. Brazil is 
Australia’s largest trading partner in South America, with two-way merchandise trade of 
US$2.02 billion in 2011-12. Australian investment in Brazil is growing, with around US$16.5 billion 
invested in 2011. Given this growing economic  relationship, we welcome the willingness of 
Brazilian officials to engage with Australia on a diverse range of regulatory issues, from SPS to 
Brazil’s new Mining Code. We look forward to in creasing the level of engagement and cooperation 
between our two countries, as envisioned by the Strategic Partnership announced by Prime Minister Gillard and President Rousseff in Rio de Janeiro in June 2012. Australia also welcomes continued participation in the CER-Mercosul Dialogue, most recently convened in Brasilia in 
October 2012. WT/TPR/M/283 • Brazil 
 
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  4.44.  Australia and Brazil also have a long history of close cooperation in the WTO. The regard in 
which the membership holds Brazil in the WTO was evident in the strong support for the appointment of Ambassador Roberto Azevedo as the next Director-General of the WTO. Australia 
welcomes his appointment and looks forw ard to working closely with him.   
4.45.  Australia and Brazil are founding members of the Cairns Group, reflecting our shared 
commitment to securing meaningful agricultural trade liberalisation. We share Brazil’s strong commitment to delivering agricultural reform through the Doha Round negotiations. We also 
welcome Brazil’s strong engagement in the current efforts to put together the Bali package and 
Australia looks forward to further constructive engagement to achieve realistic outcomes for MC9. 
4.46.  Brazil’s impressive economic growth and social progress are well-known. Both the reports 
from Brazil and the Secretariat outline a series of  impressive economic achievements since the last 
TPR. The performance of Brazil’s social programs, in particular, is laudable. In our view, the 
substantial gains made by Brazil under its social programs can best be consolidated through market liberalisation and openness.  
4.47.  With this in mind, in the period under review there have been some concerning 
developments. The announcement of tariff increases on 100 tariff lines in October 2012, although consistent with Brazil’s bound WTO commitments, is a case in point. The imposition of a range of 
local content requirements imposed over the past tw o years, particularly in the automotive sector, 
are a further area of concern for Australia. The complicated system of taxes and tax credits now in place should not become enshrined as a means to encourage domestic innovation.   
4.48.  Australia encourages Brazil to look at effective means of increasing the competitiveness of 
its domestic industry, beyond such measures. Brazil could also benefit from making further 
structural reforms to improve the ease of doing business in Brazil. 
4.49.  As a country in rapid development, already the world’s sixth largest economy, Brazil has an 
important role to play in influencing the trade policies of others. While this influence is 
unquestionably global, it is most apparent in it s own region. As a key member of Mercosul, Brazil 
can make an important contribution to returning the organisation to a more open orientation, 
benefiting its Members and the region more broadly.  
4.50.  Let me conclude by once again welcoming Brazil’s strong economic record, and expressing 
our confidence that Brazil will build on this in th e future. I hope that the views shared by Members 
at this TPR provide Brazil with useful input to do so, and wish Brazil all the best for this Review. 
NEW
 ZEALAND 
4.51.  Much has happened within Brazil since the last Review. Brazil succeeded in passing through 
the global financial crisis almost unscathed, helped by favourable terms of trade for its commodity 
exports as well as its large and buoyant domestic consumer market. Growth rebounded strongly, 
but has since slowed as the economy has continued to face some global headwinds including a strong currency as well as increased competition for its exports of industrials. Brazil is a significant 
economic partner for New Zealand, especially in terms of investment and trade in services.   
4.52.  We welcome and share Brazil´s commitment to the WTO and the eventual conclusion of the 
Doha Round negotiations. We are also pleased here to note that as from 1 September the WTO has a strong new Director General in Ambassador Roberto Azevedo, and we look forward to 
Roberto’s leadership contributing to that goal. We also recognize the leading role that Brazil can 
play in developing MERCOSUR as an outward looking customs union. 
4.53.  Turning to bilateral trade, New Zealand companies continue to find Brazil a challenging 
country in which to do business. We know Brazil has recognised this and applaud initiatives Brazil 
has taken and is taking to enhance public administration. Notable in this regard are the major investments being made by the public and private sector in Brazil’s air and sea port infrastructure 
which should improve the trading environment considerably in the medium term. We welcome 
efforts Brazil is making to promote greater tr ansparency and risk-management in government 
procurement processes. WT/TPR/M/283 • Brazil 
 
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  4.54.  We think there remains scope for Brazil to do more particularly around more routine trade 
process that directly affect imports, such as the amount of paperwork and time involved in 
importing products into Brazil. 
4.55.  New Zealand has been concerned by some trade policies proposed and/or implemented 
recently by Brazil apparently intended to protect certain industries from foreign competition, even 
if only on a temporary basis. We have posed specific questions around these, and would just note here that in New Zealand’s experience allowing fo r greater integration of our companies in global 
value chain has been a key element of maintaining and lifting our industrial competitiveness and 
productivity.   
4.56.  Encouraging imports, as well as exports, has also been a key part of this for New Zealand. 
W e  n o t e  t h a t  B r a z i l  i s  n o w  o n e  o f  t h e  w o r l d ’ s  largest users of anti-dumping procedures. We 
encourage Brazil to ensure that its anti-dumping processes continue to be applied accurately and 
fairly and only against imported products that in fact do in fact cause or pose a serious threat of causing material injury to Brazilian industries. 
4.57.  New Zealand appreciates that Brazil maintains a relatively open regime for foreign 
investment. Recent restrictions introduced in 2010 on foreign investment in rural land have impacted on initiatives by New Zealand companies to invest in Brazil’s agriculture sector, which is 
an area of great potential to develop our economic  relationship for long term mutual benefit. We 
understand the sensitivities around large scale purchases of rural land for speculative or strategic purposes. We would like to encourage Brazil to distinguish between this kind of sensitive foreign investment, and the long term productive investme nt New Zealand has and would like to continue 
to make in Brazil that includes the transfer of technology, job creation, and up-skilling of rural 
workers.  
4.58.  In the area of agriculture we think it impo rtant to acknowledge that the sector is significant 
given that Brazil holds is the  world's third-largest exporter of agricultural products; and yet this is 
without the use of export subsidies and while staying well within AMS commitment levels. Amber box support policies remain though, particularly in relation to price support, and we would 
encourage Brazil, as a key proponent of agricultural  trade reform, to further reduce its use of trade 
distorting measures.  
4.59.  Similarly, fisheries subsidies programmes are reported to be relatively limited. That said, 
given Rio+20 and G-20 commitments we are interested to hear about efforts to reduce the use of 
subsidies for fuel and vessel construction and modernisation, which increase fishing effort and 
capacity and pose a serious risk to the global commons. 
4.60.  Brazil is now one of the world’s largest economies and, as our discussant has reminded us 
today, as such, it is important that it shows leadership on international trade and investment. As a 
valued partner for New Zealand, we will continue to take an active interest in Brazil’s trade and investment policy settings, and welcome opportunities such as this to discuss them. 
THE
 SEPARATE  CUSTOMS  TERRITORY  OF TAIWAN,  PENGHU,  KINMEN  AND  MATSU 
4.61.  Brazil has gained universal recognition in recent years for its outstanding economic 
performance. Even in times of great difficulty for the world economy, with the global financial 
crisis, followed by economic recession and then  a very slow recovery, Brazil has managed to 
maintain continuous annual growth in its GDP. That is very impressive. 
4.62.  We are aware that Brazil has taken some measures which may have had a restrictive impact 
on trade. The agriculture sector, for example, pl ays an important role in Brazil’s economy, but 
operates several programmes based on minimum price guarantees. 
4.63.  In addition to customs tariffs, imports into Brazil are also subject to a number of internal 
taxes. These taxes vary in their application a ccording to the type of product, the competent 
authority and the status of the importer’s tax regime, making Brazil’s tax system rather complex, 
especially when it comes to imports. WT/TPR/M/283 • Brazil 
 
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  4.64.  Brazil continues to be a frequent user of import and export prohibitions or restrictions on a 
range of commodities. 
4.65.  We would encourage Brazil to continue to open up its market to trade and to implement 
more flexible policies conducive to growth. We would also urge it to consider becoming a signatory 
to the Agreement on Government Procurement. 
4.66.  Our bilateral trading relationship with Brazil is very closed, and mutually very beneficial as 
well. The amount of two-way trade between us in  2011 was valued at US$5.3 billion, which is an 
all-time high. Although this declined slightly to US$5 billion in 2012, Brazil is still our number-one 
trading partner in Central and South America, and we look forward to even greater cooperation between us in the future. 
4.67.  In the written questions to Brazil sent by my delegation in advance, we asked about certain 
aspects of trade policy that are of particular interest to us, such as its foreign investment regime, 
its preferential agreements and SPS measur es. We thank Brazil for its answers.  
SWITZERLAND 
4.68.  Brazil has weathered the impact of the 2008/2009 financial crisis well and has shown 
respectable growth figures throughout most of  the period under review. In 2011, the country 
became the world’s sixth largest economy. Net debt, for instance, could be brought down from 
43% of GDP in 2007 to 35% today. However, various challenges lie ahead since growth has 
slowed significantly during the last two years, es pecially with a stagnating and falling industrial 
production. Furthermore, infrastructure bottlenecks are widespread.  
4.69.  Brazil is by far Switzerland's most important trading partner in Latin America, accounting for 
40% of our total trade with this region. In 2012, Switzerland was the fourth most important 
foreign investor in Brazil. The stock of Swiss direct investment has reached US$26 billion, increasing thus by more than 60% during the review period. Numerous Swiss firms invest in the 
Brazilian market already for decades, thus securing close to 120’000 jobs in the country.  
4.70.  Considering Brazil’s significant growth potential, the Swiss government adopted a foreign 
economic strategy for Brazil in 2006. In this co ntext, Brazil and Switzerland established a Joint 
Economic Commission, covering multilateral-, bilateral and private-sector issues. With great 
interest we also follow Brazil's respective discussions with other countries, especially as an important member of MERCOSUR, with a view to  further deepen our economic and commercial 
relations. 
4.71.  Let me now turn to the review of the Brazili an trade policy as such. I would like to raise five 
issues of specific concern to my Go vernment with some recommendations:  
 First: The report by the Secretariat repeatedly  points out the complexity of Brazil's tax 
 system and the resulting burden for firms. Nu merous and taxes are levied on goods, varying 
 from one federal state to another. Switzerland encourages Brazil to reinforce its efforts to  simplify its tax regime. 
 Second: In Brazil legal entities and individuals need a prior accreditation from the Brazilian 
 Federal Revenue Service for importation. Depending on the type of accreditation, an import  cap in terms of value may be imposed and application procedures can be administratively  burdensome. A publicly available register with respective accreditation modalities for each of 
 the Brazilian importers would greatly increase transparency and facilitate foreign companies’ 
 decision when choosing their distribution partner in Brazil.  
 Third: In order to sell pharmaceutical products, producers must obtain an authorization from 
 the National Health Vigilance Agency AN VISA. In this context, ANVISA carries out 
 inspections abroad. As this practice imposes a considerable financial burden to companies,  especially to SMEs, we would like to encourage Brazil to explore all the possibilities provided 
 for under the WTO TBT Agreement. WT/TPR/M/283 • Brazil 
 
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   Fourth: Referring to intellectual property, Switzerland would like to commend Brazil for the 
 efforts carried out in the modernization of the National Institute for Industrial Property, in 
 particular with a view to providing adequate infrastructure to address the rising number of  patent applications. However, we are concerned about ANVISA’s authority to give prior 
 consent for patent applications in the pharmaceutical area. As a result of this procedure, 
 pharmaceutical products may be excluded from patentability examination by the National  Institute for Industrial Property. In fact, it is not clear, if the prior consent procedure 
 amounts to an additional patentability criterion compared with those established by the 
 TRIPS Agreement and, thus, would be patentable. This situation has led to legal uncertainty.  This is why Switzerland, in accordance with TRIPS obligations, encourages Brazil to provide  clarity and insurance that patents are availa ble and patent rights are enjoyable without 
 discriminating between technologies.  
 And finally: the Tendering Law introduced in 2010 significantly altered Brazil's procurement 
 legislation while allowing for preferences given to Brazilian goods and services that are up to 
 25% more expensive than its foreign competitors. This not only weakens international 
 competitiveness of Brazilian firms but also discriminates foreign companies. Furthermore,  this is contradictory to efforts aiming at improving the international procurement framework 
 as provided for in the successfully revised Government Procurement Agreement in the WTO. 
 Switzerland, therefore, strongly encourages Brazil to join the GPA, with a view to provide  legal security to its domestic producers and to improve access to the markets of GPA  members.  
4.72.  Let me conclude by emphasizing the important role Brazil plays in the WTO. Especially in 
the run-up to the Bali conference, Brazil’s constructive engagement contributes significantly to the efforts for a meaningful and realistic outcome in December. Finally, we would like to express our 
thanks for the answers we have already received to our written questions, which we will examine 
with great interest. 
PARAGUAY 
4.73.  It is an indisputable fact that Brazil has shown sustained growth, which has enabled 
it to become an ever more outstanding player in the various dimensions of the international arena. 
This is something positive that we should highlight. 
4.74.   I would also like to draw attention to Paraguay's relationship with Brazil. Paraguay is 
a landlocked country, and there is consequently no need to mention the importance of neighbours 
to countries of this kind. Brazil is one of those neighbours, the biggest considering the size of its 
economy and population, as well as its geographical dimensions. For Paraguay, Brazil is a partner 
of enormous importance with a rich relationship that has expanded over the years, and which 
encompasses aspects that extend far beyond trade alone. The location of this country as well as the measures it takes greatly impact the developm ent of the Paraguayan economy, which is that 
of its people. 
4.75.  Both countries are also founding members of MERCOSUR, a framework that has made for 
more fluid relations. On this point, I should like to draw attention to a matter of great importance to us: the current situation of this trading bloc, the situation of MERCOSUR. As the Government 
Report repeatedly points out that regional integration and in particular the relationship 
with MERCOSUR are key aspects of Brazil's trade policy. These aspects are just as important or more so for Paraguay. 
4.76.  While we can understand that there are differences in the manner in which to conduct any 
relationship between countries, we cannot ignore situations that are mentioned in the reports and which form the basis of this review, since th ey go beyond these differences and affect the 
legal provisions that govern these relationships. On anything else we may disagree and pursue 
dialogue in search of mutual agreement, but not when it comes to complying with laws. 
4.77.  This is why the Government of Paraguay is forced to express its rejection of the passages 
in both Reports that take for granted the full membership of the Bolivarian Republic of Venezuela 
in MERCOSUR. WT/TPR/M/283 • Brazil 
 
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  4.78.  For the information of WTO Members, ou t of respect for them all and to prevent the 
persistence of an erroneous version of reality, I am compelled to point out that owing to blatant violations of the founding treaties of MERCOS UR, and of the very Protocol of Accession 
of the  Bolivarian Republic of Venezuela, this country's entry into MERCOSUR lacks any legality 
and legitimacy. And what is even more serious is that this event occurred in the wake of another 
flagrant violation of the legal provisions of MERCOSUR: the suspension of Paraguay. 
4.79.  The suspension of Paraguay by other States Parties of MERCOSUR was a decision 
taken without compliance with the stipulations of Article 4 of the "Ushuaia Protocol 
on Democratic Commitment in MERCOSUR, the Republic of Bolivia and the Republic of Chile", which requires prior consultations with the State concerned; these did not take place and the decision therefore lacks legal validity. 
4.80.  I also wish to clarify to Members of this house that, trusting in the independence of the legal 
organs of MERCOSUR, Paraguay attempted to se ize the MERCOSUR Court of Permanent Review 
of this unfair situation and establish an emer gency procedure; that body nevertheless failed 
to address the merits and substance of the case , instructing that Paraguay should first begin 
a long and complex procedure which had to be negotiated with Governments that refuse to deal with Paraguay, and which eventually would again end up in the same court that issued the ruling. 
4.81.  Another aspect mentioned in the Report of the Government of Brazil concerns the decisions 
of the organs of MERCOSUR adopted in Paraguay's absence. I should briefly like to point out that 
they too lack legal validity as they violate the most basic provisions of the Treaties establishing this regional bloc, which are decision-making by co nsensus and the presence of all States Parties. 
4.82.  It has always been my country's intention to contribute to the multilateral trading system, 
and we have demonstrated this here and in all the areas in which we participate. It is for this and other reasons that we will always defend the observance of international law as the best vehicle 
for relations between States. For countries like Paraguay, this is not a choice but a condition 
for survival. 
4.83.  We call on Brazil, in its leadership capacity, to join us in the defence of international law. 
It is always more important to be guided by  the force of law than by the law of force. 
SINGAPORE 4.84.  Singapore and Brazil enjoy good bilateral ec onomic ties that have grown steadily in recent 
years. In 2012, Brazil was Singapore’s 3rd largest trading partner in Latin America and Singapore’s 
29th largest trading partner worldwide. Bilateral trade amounted to US$4.3 billion in 2012, a 2.8% 
increase from 2011, due mainly to an increase in exports of optical instruments and apparatus. Exports to Brazil, primarily electronic valves, sh ips and boat structure, engine and motor parts, 
amounted to US$1.7 billion in 2012. Our total impo rts from Brazil have also been increasing, 
amounting to US$2.6 billion in 2012. Top imports from  Brazil included refined petroleum oils and 
meat products. Although Brazil's overall trade surp lus declined in 2012, Brazil's trade surplus with 
Singapore actually grew by 5.6% in 2012. Singapor e is also the fourth largest Asian investor in 
Brazil, with our companies participating in sectors such as oil and gas, ports and shipping, freight 
and logistics, aerospace, consumer electronics, info-communications and commodities. Despite the 
great distance between our two countries, there is excellent potential for our trade and investment 
ties to grow even further.   
4.85.  Our bilateral relationship took a major st ep forward with the establishment of Singapore's 
first Embassy in Latin America in Brasilia in September 2012. Our warm bilateral relations are also 
underpinned by MOUs aimed at promoting overall trade and investment, encouraging interaction 
and collaboration between small-medium enterpri ses and cooperation in science and technology. 
Singapore hopes that the two countries will continue to enhance our cooperation through further 
G-to-G agreements, including those relating to investment and taxation.   
4.86.  As noted in the Secretariat Report, Brazil managed to weather the 2009 global economic 
crisis well and continued to record real annual gr owth of 3.6%, although it experienced significant 
deceleration in 2012. Brazil's success in reducing unemployment, poverty and inequality levels in 
the period under review is also commendable. We join other Members in welcoming the various WT/TPR/M/283 • Brazil 
 
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  reforms and improvements that Brazil has undertaken during the period under review, particularly 
in trade facilitation, competition policy and investment. We note the removal of foreign investment restrictions in sectors such as telecommunications, and that significant steps are being undertaken under the Brasil Maior plan to boost competitiveness. The government's planned investments to 
expand the Brazilian rail network and urban railway lines in various cities would also help to 
enhance connectivity and facilitate investment. Here at the WTO, we also welcome Brazil's active role in working closely with other Members to deliver a successful MC9.  
4.87.  We encourage Brazil to pursue progressive policies to address the longstanding structural 
problems affecting its competitiveness, such as the high and complicated tax regime, infrastructure and access to credit. As noted in the Secretariat Report, while the appreciation of the Brazilian real and global economic slowdown were factors leading to the recent deceleration of 
Brazil's economy, it also reflected these under lying problems. Brazil would have to consider 
whether certain measures such as temporary tariff increases, introduction of preferential margins in government procurement and export financing programmes with local content requirements 
would indeed serve its long term economic objectives given their possible impacts on consumer 
welfare and foreign investment. We understand th at Brazil undertaking domestic procedures to 
ratify the Fifth Protocol on financial services, and look forward to their completion. We also 
encourage Brazil to consider joining the Agreem ent on Government Procurement and Information 
Technology Agreement, to signal its commitment to forging greater trade liberaliZation.   
4.88.  Singapore is happy to participate in Brazil’s  Trade Policy Review toda y. We thank Brazil for 
their responses to our questions. We trust that the interactions here will prove to be of value to 
Brazil, as you continue to work on improving trade policies and practices for further economic 
growth. 
4.89.  In conclusion, we wish Brazil a very successful sixth trade policy review. We look forward to 
welcoming Brazil’s new Ambassador in due course, and to continuing our good working relations 
with the Brazilian team in Geneva in the common goal of upholding the multilateral trading system. 
CHINA 
4.90.  We are glad to learn that the real GDP growth in Brazil remained robust at 3.6% during the 
period under review. Such growth was driven primarily by vigorous domestic demand and favorable external conditions. It was also attributed to Brazil’s sound macroeconomic policies 
aiming at achieving fiscal surplus and inflation target. However, as the Secretariat report stated, 
long-standing domestic structural problems need to  be addressed so as to sustain higher growth 
level. We note with pleasure that the Brazilia n Government has taken a set of steps under the 
Plano Brasil Maior (the Greater Brazil Plan) to boost its competitiveness, such as by reforming its 
tax regime, reducing the cost of credit, loweri ng the tariff of industrial inputs, improving 
infrastructure, etc.  
4.91.  On the bilateral front, we are glad that China and Brazil enjoy very close economic ties. 
Today China is Brazil’s largest global trading partner, and Brazil is China’s largest trading partner in Latin America. Despite the global economic downturn, our bilateral trade amounted to US$86 billion, representing another 1.8% increase year-on-year. Investment also flourishes in 
both directions. China’s total accumulated investment in Brazil has reached US$15 billion, covering 
wide-range areas such as energy, minerals, infr astructure, manufacturing, agriculture, finance, 
distribution and resale sectors. Brazil’s investment to China totaled US$489 million, covering 
mining, real estate, hydropower and aircrafts. Ch ina will encourage its enterprises to actively 
participate in Brazil's economic development, while welcoming Brazilian companies to invest and operate in China.   
4.92.  On the multilateral front, Brazil is highly respected as one of WTO’s most active participants. 
As indicated in its Government Report, Brazil believes that strengthening the multilateral trading system is essential to attain its development goal. It is commendable that Brazil remains firmly committed to the conclusion of Doha Round in spit e of the impasse since 2008. China shares with 
Brazil that the Doha round must achieve a balanc ed and development-oriented result so as to 
enable all Members, particularly the developing ones, to enjoy the benefits of free trade. China 
looks forward to cooperating with Brazil and other Members in the next few months for a small but WT/TPR/M/283 • Brazil 
 
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  meaningful package by MC9 and afterwards for a successful conclusion of the whole Round. A 
Brazilian proverb goes: “Good will makes the road shorter”. We believe that, with good will from all Members, the road to the interim-point of Bali and to the finishing line of Doha will be shorter and easier. 
CHILE 
4.93.  This is Brazil's sixth Trade Policy Review, which is one less than the number of football world 
cups. Those figures will perhaps be equal by the time of the next world cup. 
4.94.  Brazil and Chile share a common Latin American  identity as well as fundamental values such 
as a democratic and libertarian outlook, a binding commitment to human rights, and a firm resolve to combat poverty, exclusion and social inequality. 
4.95.  Both countries hold similar views in international forums, where we share the promotion 
of multilateralism as a way of meeting the challenges of international society. Regionally, 
we participate in numerous policy discussions and integration schemes such as CELAC, UNASUR, the Rio Group and LAIA. 
4.96.  Economic and trade relations between Chile and Brazil are governed 
by Economic Complementarity Agreement No. 35, Chile–MERCOSUR, of October 1996. Almost 98% of the products negotiated are currently zero tariff products, leaving 
only three products pending the removal of tariffs, namely sugar, wheat and wheat flour. 
4.97.  Trade relations between Chile and Brazil  are rich and profound; Brazil is in fact 
Chile's fourth trading partner and Chile is Brazil's sixth trading partner worldwide. 
4.98.  In quantitative terms, trade with Brazil totalled almost US$10,000 (9,245) million in 2012, 
with a surplus in favour of Brazil. Chilean exports to Brazil totalled US$4,306 million, 
whereas imports amounted to almost US$5,000 (4,939) million. 
4.99.  Brazilian investments in Chile amounted to over US$600 million, mainly in the financial 
services and mining sectors. Chile's direct investments in Brazil, in contrast, 
exceeded US$12,000 million, that country bein g the third largest foreign destination for 
Chilean investments. 
4.100.  As confirmed in the Secretariat Report, Brazil weathered the world economic crisis 
relatively well, thanks to strong domestic and foreign demand and sound macroeconomic policies. We note that the Brazilian economy achieved solid results for most of the period from 2007 to 2012, despite a growth slowdown as of the second half of 2011. 
4.101.  We would like to underscore Brazil's commitment to multilateralism and to the Doha Round 
negotiations, where both our countries share common views, in particular as pertains to agriculture and disciplines, as is the case with the Agricultural G–20, the Cairns Group 
and FANs. 
4.102.  In this context, we would like to recall its commitments within the global G-20 regarding 
the need to resist the lure of the easy path of protectionism. We make this call because, despite 
our bilateral agreements, some Chilean enterprises have been affected by certain trade measures, 
several of which were already mentioned by the discussant. They include possible safeguards, the use of non-automatic import licensing, obstacles to land purchases, restrictions related to tariff classification, distorting tax incentives and the use of anti-dumping measures. While we 
do understand that some of these measures may be prompted by crisis situations, we urge Brazil 
to set the example and, as one of the world's major economies, lead the way towards more open markets. 
UKRAINE 
4.103.  Ukraine admits and acknowledges Brazil's proactive role in the WTO and its continued solid 
commitment to strengthening the multilateral trade system. Inputs and proposals presented by WT/TPR/M/283 • Brazil 
 
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  Brazil, independently or together with other Members cover agriculture, trade in services, 
intellectual property rights, and trade rules.  
4.104.  A few comments on the current affairs. The economy of Brazil showed a strong 
performance during 2007-12 period, with real GDP growth averaging 3.6% Growth benefitted from 
strong domestic demand and favorable external conditions for Brazilian products. Economic growth 
and progressive income policies has allowed Brazil  to make major step towards reducing poverty 
and income inequality. 
4.105.  I would like to stress that Brazil is very important trade and economic partner for Ukraine 
not only as a South American region partner but on the global scale. In 2012 the total volume of bilateral trade between Ukraine and Brazil grew by 24%. Export of Ukrainian goods to Brazil increased by 31%, and imports of Brazilian goods grew by 18%.  
4.106.  Despite the positive aspects of the record described in the Reports, however, there are 
areas of concern for us, especially regarding: 
 raising tariffs for whatever the justification may be; 
 some export support programmes; 
 tax privileges granted to goods originating in preferential trading partners;  
 import licensing regime; 
 the increased quantity of trade remedy investigations, including those initiated against 
 Ukrainian tires and flat-rolled steel. 
4.107.  Ukraine welcomes further cooperation on  trade matters with our Brazilian colleagues. 
INDONESIA
  
4.108.  Brazil has always been among Indonesia's most important trading partners in Latin 
America region. Trade balance between the two count ries has been growing significantly over the 
past five years. We recorded that in 2012, the total value of our trade reached US$3.45 billion, 
6.5% higher compared to 2010. Indonesia's export to Brazil reached US$1.48 billion in 2012, while 
its import from the country was US$1.97 billion. These figures reflect the strong economic ties between the two countries. We have every confidence that our economic relations will continue to 
grow in the future. 
4.109.  In light of these, Indonesia perceives that the ease of trade flows between the two 
countries could be enhanced. We see that there are still some policy adjustments expected from 
the Government of Brazil. Indonesia notices that several Brazil's trade policies, to some extent, 
have impaired Indonesia's legitimate interest of exports to the country. 
4.110.  Brazil applies federal and state taxes as well as charges to imports that can effectively 
double the actual cost of imported products in Brazil. The complexities of the domestic tax system, 
including multiple cascading taxes and tax disputes among the various states, pose numerous 
challenges for Indonesian companies operating in Brazil. We really hope that through this TPR, the Government of Brazil will reconsider to simplify its tax system. 
4.111.  In addition, we also noted with concern that during the period under review, there were 
allegations made by the Brazilian companies and circumvention on some imported dumping products, including those from Indonesia. This w ill potentially affect the strengthened bilateral 
trade between the two countries. Thus, Indonesia urges Brazil to comply with the WTO provisions. 
4.112.  We also note that Brazil has not fulfilled its obligation to notify some of its recent trade 
policies on a few areas, such as import licensing, agriculture export subsidies and new mutual recognition agreement (MRAs) on conformity assessment date from 2011. Therefore, we 
encourage Brazil to meet its obligation to notify  Members on these areas. Indonesia is confident 
that as one of the key players in WTO negotiations, Brazil will ensure that its trade-related policies are in line with the WTO provisions and become a role model for other WTO Members. WT/TPR/M/283 • Brazil 
 
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  JAPAN 
4.113.  Let me start with Brazil’s macroeconomic environment and policies. According to the 
Report by the Secretariat, the Brazilian economy recorded real GDP growth averaging 3.6% a year 
supported by the sound macroeconomic policies and the strong domestic and foreign demand. 
However, its growth slowed down significantly in the second half of 2011 and in 2012. Japan hopes 
that Brazil will make efforts to address structural reforms, aiming at reinvigorating of economic growth. 
4.114.  Now let me move to trade and trade-related policies. Here, we have three general points 
and four specific points.  
4.115.  On the general points, first, the WTO. Brazil has been actively participating in WTO 
activities, including submitting various proposal s in negotiations. Moreover, Ambassador Azevêdo 
was elected as the next Director General with the consensus of WTO Members. It is very important 
that Brazil, as a player with responsibility, continues its strong commitment for strengthening the multilateral trading system led by the WTO. 
4.116.  Second, trade protectionist measures. As has been pointed out in the Council for Trade in 
Goods and other relevant WTO bodies, Brazil initiated many protectionist measures for the domestic industries exposed to international competition. Japan has strong concerns that those 
protectionist measures result in lack of transparency and unpredictability of Brazil’s trading 
system. Japan hopes that Brazil will address this concern reflecting the G-20 leader’s commitment declaring resistance to protectionism. 
4.117.  Third, investment. Although Brazil has been actively encouraging foreign investment, some 
problems are reported, such as the delay of permission procedures for the establishment of 
corporations and for building and operating factories. Japan hopes that Brazil will make efforts to improve those problems in a proper manner. 
4.118.  Now, let me turn to the four specific points.  
4.119.  First, reductions of the tax on industrial products (IPI), in particular, on automobiles. The 
Brazilian Government published the Programme of Incentives Technological Innovation and 
Production Strengthening in the Automotive Industry (INOVAR-AUTO) in April of last year, and 
issued Presidential Decree No. 7,819 providing the details of the programme. Based on taking the 
presidential decree into force, Brazil has reduced the IPI on automobiles manufactured by corporations which meet certain conditions from 1
st January 2013. 
4.120.  As this measure is envisaged to protect domestic industry and will provide advantages 
pertaining to internal taxes on the products of specific countries, they can be implemented inconsistently with the relevant provisions under the WTO, in particular national treatment and 
MFN obligations. Japan has strong concerns about the measure from a systemic point of view. 
4.121.  Second, national technology preferences on a bid for radio spectrum. The national 
telecommunications agency of Brazil, ANATEL, conducted an auction on radio spectrum for 
commercial mobile services, requiring winning bidders to commit to purchase goods, equipment, 
systems, and data networks with Brazilian national technology. Japan has strong concerns, in particular on the consistency of this measure with WTO agreements.  
4.122.  Third, intellectual property rights, inter alia , licensing contracts and contracts for 
technology transfer including contracts for providing know-how. In Brazil, in order to send royalties 
to foreign countries, licensing contracts of intellectual property rights and contracts for technology transfer must be registered with the National Industrial Property Institute (INPI). However, there 
are various restrictions for the registration which are obstacles to technology transfer from foreign 
enterprises to Brazil. Japan hopes that Brazil  will remove these obstacles, for instance: 
 Brazil is requested the elimination of the limita tion on the rate of royalties which, according 
 to the current regulation, must be less than 5% of the total sales. It is also encouraged to 
 remove the limitation of the period of such contract, which is currently 5 years maximum. WT/TPR/M/283 • Brazil 
 
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   Brazil is also requested to abolish the limitation of the period of contract requiring the 
 confidentiality. 
 Further, Brazil is requested to allow remittances related to intellectlral property license 
 under application, which is not yet registered, as well as to introduce licenses on know-how. 
4.123.  Fourth, taxation. Currently, imports to Brazil are subject to a number of internal taxes, 
including the Tax on the Circulation of Goods and Services (ICMS), contributions to the social integration programme (PIS), and contributions to social security (COFINS). Those taxes are 
accumulated, and may result in extremely high re tail prices for consumers. Japan requests Brazil 
to simplify those various taxations. In addition, Br azil is strongly requested to improve the system, 
where no drawback of such taxes is impl emented when the products are exported. 
MEXICO 
4.124.  It is commendable that despite the adverse effects of the world economic crisis and thanks 
to the sound management of its microeconomic policy as well as strong domestic and foreign demand, the Brazilian economy grew at an average ra te of 3.6% during the period of this review 
(2007–2012). That growth has combined with various social policies to lower poverty levels 
and reduce income inequality, which in 2011 was at its lowest for the past 50 years. This economic growth has contributed substantially to increasing formal employment, which grew positively 
(at around 4%) even during the worst years of the world crisis. 
4.125.  Yet Brazil is facing a series of challenges  in maintaining growth and achieving social equity. 
4.126.  One of the toughest challenges is halting the decline in its productivity, which is bound 
up with the following factors: 
 Inadequate infrastructure. The port and airport infrastructure is saturated. Many of Brazil's 
 ports and airports are operating above capacity and are in need of major investments  to meet the burgeoning demand for those services. 
 Onerous tax burden and a complicated tax system, which constitute an obstacle 
 to doing business. 
 Excessive labour market regulation, which raises costs to enterprises and often hampers the 
 adjustments needed to tackle the challenges arising in the international economic arena. 
 High cost of bank lending. Although measures have been brought in to lower the cost 
 of borrowing, interest rate differentials continue to be high. The average differential for 2012  was 24.3%. It is still very costly to take out loans regardless of the deposit rate. 
4.127.  Another problem facing Brazil and which has been inimical to its competitiveness, 
resides in a range of obstacles affecting imports, including: 
 Temporary tariff increases. During the second half of 2012, Brazil increased the rates 
 applied to 100 tariff lines for a 12-month period. A considerable proportion of the 100 tariff 
 lines whose applied rates were increased in 2012 are manufactured goods. We urge the  Brazilian Government to restore the tariffs to their previous levels. 
 Non-automatic licensing system. It is estimate d that 40% of imports require a prior import 
 l i c e n c e .  I t  c a n  t a k e  u p  t o  6 0  d a y s  f o r  a  n o n - a u t o m a t i c  i m p o r t  l i c e n c e  t o  b e  i s s u e d ,   and in some cases, licences are required from more than one government body.  There are 16 government agencies involved in issuing import licences for various products. 
 We call on the Brazilian Government to dismantle its system of non-automatic licensing, 
 which is distorting trade flows and driving up import prices. 
4.128.  Besides, the WTO report on G–20 trade measures covering the period 
from mid-October 2012 to mid-May 2013 points out th at Brazil was one of the four economies that 
implemented most trade-restrictive measures. WT/TPR/M/283 • Brazil 
 
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  4.129.  As regards import clearance procedures, the World Bank pointed out in 
its Doing Business 2013 report that the total time it takes to import goods into Brazil is 17 days and the average time required for customs clearance increased from 41 hours in 2011 to 53 hours in 2012. The time and cost (excluding tariffs) required to export and import a standard shipment 
of goods by maritime transport has increased substantially over recent years. We would like 
to know what measures Brazil has taken or is contemplating to improve customs and fiscal administration. 
4.130.  The manufacturing sector has also lost dynamism. Its share in total GDP fell 
by 3.3 percentage points between 2007 and 2012. This decline can be ascribed to many of the 
factors that I have already mentioned. 
4.131.  Contrastingly, attempts have been made to introduce substantial improvements in 
services. This sector is the biggest contributor to production and job creation in Brazil. Recent 
changes to the telecommunications legislation have given operators greater flexibility to provide converged services in line with international trends. The financial sector has made headway, 
particularly in developing its stock market, but is facing challenges in increasing financial 
intermediation and reducing the cost of borrowing.  
EUROPEAN
 UNION 
4.132.  The last review of Brazil was in 2009. In its conclusions at the time, the Chair underlined 
the economic success achieved by Brazil stressing that it was relatively well prepared to face the global financial crisis, in which it has set an example by initially resisting protectionist pressures.  
4.133.  During the years under review, Brazil indeed weathered the global economic crisis well, 
supported by strong domestic and foreign demand and sound macroeconomic policies.  
4.134.  In addition to being a major trade partner, Brazil also represents an important counterpart 
to the EU in the context of the negotiations for an EU-MERCOSUR Association Agreement. We 
appreciate the positive role that the Brazilian Government plays in these negotiations and we 
expect to make important steps forward this year. 
4.135.  After the strong performance of the Braz ilian economy during the period 2007-2012, with 
real GDP growth averaging 3.6% a year, more re cent data seem to show that Brazil may be 
entering a new phase of economic development characterised by lower real growth since the 
second half of 2011. Growth has decelerated sign ificantly and the average real growth rate for 
2012 was just 0.9%. Some adjustments reflecting this  situation are also visible in Brazilian foreign 
trade balance that is showing a relative slowdown in exports. As noted by the WTO Secretariat 
report, this loss of dynamism can only be partly attributed to the appreciation of the Brazilian real and the global economic slowdown, and it also reflects long-standing structural problems affecting 
the Brazilian economy's competitiveness such as inadequate infrastructure, insufficient access to 
credit, and a very high tax burden. 
4.136.  To address these problems, the Government has adopted, among others, measures that 
have a restrictive impact on trade, including increasing tariffs temporarily, and using preferential 
margins for domestic goods and services in government procurement. It has also increased its use of export credits. 
4.137.  The WTO Secretariat notes in several parts of its report the marked policy orientation 
taken by Brazil which is to privilege national production rather than the opening of the economy to 
international trade and investment.  
4.138.  The EU regrets that Brazil, after having resisted the temptation to resort to protectionist 
measures for a certain number of years, it is now determined to pursue what increasingly appears 
as a protectionist industrial policy, running in many respects counter to its international commitments. 
4.139.  The EU is particularly concerned about the ri se of significant barriers to trade in Brazil. As 
the largest economy of Latin America, its trade with the EU accounts for 37% of the EU's total trade with the Latin American region. The EU is Braz il’s first largest export destination. That makes WT/TPR/M/283 • Brazil 
 
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  Brazil the 10th largest source of imports into EU. As regards investments, Brazil holds 43% of the 
entire EU Investment stocks in Latin America. 
4.140.  Let me now underline that, in our view, th e most problematic and growing practices used 
by Brazil to restrict imports and subsidise domestic producers appear to be via indirect taxation. 
4.141.  Tax exemptions are sometimes linked to the fulfilment of local content requirements or the 
respect of export contingency conditions, which is highly problematic. The programme Inovar-Auto for motor vehicles is emblematic, but it is just one illustration of a broader problem. 
4.142.  Furthermore, allow me to highlight that many EU entrepreneurs in Brazil are faced with 
heavy bureaucracy, complex and not always transparent regulation and legislation, late noticing of changes in import-rates and rules and labelling requirements, overall high transaction costs and unpredictability when dealing with customs authorities.  
4.143.  The EU advanced questions detail a number of measures that are considered and 
confirmed by EU operators as serious obstacles to trade. I will list only some of them: 
4.144.  As indicated by the questions put forward by the EU, we are seriously concerned about the 
extensive use of subsidies and/or additional protection granted through indirect taxation. In this 
context, we need to highlight: 
 local content requirements beyond the field of indirect taxation; 
 subsidies to domestic producers through other tax breaks (e.g. payroll taxes) and through 
 the activity of the BNDES (Banco Nacional do Desenvolvimento); 
 increased protectionists measures in government procurement such as preferences for 
 domestic goods and services as well as imposition of offsets; and 
 support to exports through export financing, tax benefits, export promotion and other 
 instruments. 
4.145.  We have also expressed our concern about Brazil’s decision to raise the applied rates on 
100 tariff lines, deviating from the Mercosur Common External Tariff. This is causing considerable 
problems to EU operators. These problems may be multiplied if a further decision to raise tariffs for another 100 products is adopted again this year , as per the recently held public consultation 
exercise.  
4.146.  Then, the EU has also submitted questi ons regarding the cumbersome requirements and 
audits needed to obtain certification of industrial products and sanitary and phytosanitary approval for certain imported products. 
4.147.  The EU is confident that this TPR will provide the opportunity to examine the measures 
adopted by the government and assess their real  impact on the economy of the country and on 
the WTO Members gathered today. The EU hopes that this will also help Brazil in reviewing its own 
policies so as to ensure that they are the most efficient for attaining its economic and social 
objectives while respecting its international commitments in this forum. 
4.148.  The EU has expressed serious concerns today with respect to Brazil's current policies and 
the impact on trade and investment. But let me conclude by stressing that the EU does so in the 
belief that this exercise will allow for frank constructive dialogue for the mutual benefit when the situation so requires. 
SOUTH
 AFRICA 
4.149.  South Africa’s relationship with Brazil ha s continued to strengthen during the period under 
review. Our relationship spans various levels, including bilateral -trilateral relations, such as the India-Brazil-South Africa Dialogue Forum (IBSA) and region to region – such as SACU-MERCOSUR, 
as well as plurilaterally via the Brazil-Russia-In dia-China-South Africa or “BRICS” Partnership.  WT/TPR/M/283 • Brazil 
 
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  4.150.  In the WTO, South Africa collaborates with Brazil in the G-20 and Cairns groups on 
Agriculture and in the NAMA11. 
4.151.  Brazil is South Africa’s largest trading partner in Latin America. At the bilateral level, we 
have signed many MOUs related to trade and investment promotion, taxation, Standards and 
Technical Regulations and Conformity Assessment. In addition, since 2010, we have endeavoured 
to resolve our trade concerns between the two count ries by means of the implementation of a fast 
track mechanism. 
4.152.  At the regional level, we have also concluded in 2009 the SACU-MERCOSUR Preferential 
Trade Agreement. 
4.153.  On the investment front, Brazil has become a critical investment partner for South Africa, 
both in terms of incoming and outgoing investments and we have collaborated concertedly to 
identify mutual synergies.   
4.154.  We would like to commend Brazil for its strong growth performance during the period 
under review, boosted by sound and consistent macroeconomic policies. As an economy 
characterized by crippling unemployment, inequality and persistent poverty, we understand and 
appreciate the steps Brazil has taken to overcome these challenges and the marked progress it has achieved towards reducing poverty and income inequality and boosting employment. We also 
applaud Brazil’s efforts to deal with its structural problems via positive initiatives under the 
industrial plan Brasil Maior, introduced in 2011, in an effort to boost Brazil’s competitiveness. 
4.155.  We are confident that Brazil, will act wisely in avoiding the indiscriminant use of restrictive 
trade measures. We note in this regard that Brazil's use of anti-dumping measures generally 
showed an upward trend during the review peri od. We trust that all Brazil’s trade remedy 
investigations will be conducted transparently, diligently and in full compliance with WTO rules. 
4.156.  There are several specific features of Brazil’s trade and investment regime which are of 
particular interest to South Africa, and we have submitted questions on some aspects to the 
Brazilian delegation, via the Secretariat. We thank the delegation of Brazil for their comprehensive answers in this regard. 
4.157.  Finally we would like to thank Brazil for making a significant contribution to the WTO by 
supporting Ambassador Roberto Azervedo to be our next Director-General. 
CANADA 4.158.  The constructive engagement at the WTO is obviously important in our preparations for the 
Ninth Ministerial Conference in Bali (MC9). We count on Brazil to promote pragmatic and thus 
achievable outcomes on sensitive issues where Me mbers are far apart, and especially on the two 
G-20 proposals on agriculture where Brazil is leading and the beneficial by-product is Mr. Azevedo 
when he takes office, too. 
4.159.  Turning to the Review, Brazil must be commended for its success in maintaining a strong 
economic performance since the global financial crisis while at the same time making immense 
progress on social inclusion and the eradication of poverty in the country. During the last decade, 
more than 40 million Brazilians came out of poverty to join the ranks of the middle class. Brazil’s commitment to the prudent management of public finances has allowed it to achieve an impressively low net public sector debt to GDP ratio of 35 %. With this success, Brazil has lowered 
its interest rates considerably. The improved business environment, reflected in Brazil’s 
commitment to open its infrastructure sector to foreign private investment, has resulted in an increase in imports since the time of the global  economic recession. These measures portend well 
for the sustainable growth of Brazil in the years to come. 
4.160.  However, a number of policies that Brazil has adopted since the previous trade policy 
review call into question their commitment to maintaining open markets and international trade, 
not to mention their pledge as a G-20 member to refrain from imposing new protectionist 
measures. Permit me to highlight those of most concern to Canada. WT/TPR/M/283 • Brazil 
 
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  4.161.  First, we are disappointed by Brazil’s deci sion, as part of MERCOSUR, to increase tariff 
barriers on over 100 tariff lines, with the possibility  that this will be extended to another 100 lines.   
4.162.  Secondly, while Canada commends Brazil’s efforts to increase domestic industrial 
competitiveness, productivity and innovation through its “Plano Brasil Maior”, we are concerned 
that it has extended trade restrictive measures that create disadvantages to foreign companies in 
manufacturing sectors as cited by others.    
4.163.  Thirdly, we regret the increasingly pervas ive pattern of adoption of policies in various 
sectors, such as the application of high local content requirements, non-automatic licencing 
requirements, temporary increase of excise duties on imported goods, and the introduction of tax 
programs aimed to expand export financing in Br azil’s automotive, telecommunications, chemicals, 
textiles, and oil and gas sectors. 
4.164.  Such measures, which can provide short-term protection for domestic industries, have 
proven over the long term to be the road to economic decline.  
4.165.  We also consider that the 2010 Buy Brazilian Act can be a substantial barrier for foreign 
companies, as it mandates preference in government procurement for goods produced by Brazilian 
firms or by foreign companies that have invested in research and technology development in Brazil. We encourage Brazil to undertake open, transparent and non-discriminatory procurement 
practices as a means of optimising competition among suppliers, thereby offering Brazilian 
government customers and consumers access to the most innovative goods and services available. For similar reasons, we continue to encourage Brazil to take the necessary steps to become a party to the WTO Agreement on Government Procurement.    
4.166.  With this increase in the incidence of such trade-restrictive measures, Brazil risks 
becoming increasingly isolated from global trade flows which in turn could negatively impact the growth and competitiveness of the Brazilian econom y. The slowdown in Brazil’s growth momentum 
over the past two years, which as mentioned by many others, as well as a growing current account 
deficit and increasing inflation, serve to underscore how barriers to trade fail to secure growth, jobs and prosperity. Going forward, further downwa rd revisions of the country’s growth projections 
by banks, international organizations and scholar s. These are signs of concern. Additionally, 
according to the World Bank, Brazil still has one of the lowest import-to-GDP ratios among all World Bank members.  
4.167.  On the bilateral front, Canada maintains great interest in pursuing closer economic, trade 
and investment ties with Brazil. We are grateful for the leadership Brazil has demonstrated over 
the course of our exploratory free trade discussions with MERCOSUR, and we are continuing to work with Brazil, and its MERCOSUR partners, in an effort to find a mutually acceptable way 
forward. We are, nevertheless, concerned about what appear to be growing divisions within 
MERCOSUR over the future direction of the bloc  and question how these divisions will affect 
MERCOSUR’s ability to engage with third countries. We trust Brazil can encourage and promote 
policies within MERCOSUR that will help stimulate economic opportunity and prosperity.  
4.168.  Allow me to close by underlining that he ex cellent relationship Brazil and Canada enjoyed. 
We think this is a good example of the positive benefits that can accrue from a mutually supportive and mature economic and political relationship. Canada considers that there is 
tremendous untapped potential in this relationship, particularly, as our observations today 
suggest, as Brazil has untapped opportunity to realize its own full potential. 
DOMINICAN
 REPUBLIC 
4.169.  Brazil is a major partner of the Dominican Republic, both in terms of trade and investment. 
In 2012, 30% of the foreign direct investment received in the Dominican Republic originated from Brazil – amounting to US$1,081.2 million (acquisition of Cervecería Nacional). 
The Dominican Republic's imports from Brazil for that same year amounted 
to almost US$500 million, though our exports to that country of roughly US$8.5 million in 2012 
have not increased at the rate that we would have liked. WT/TPR/M/283 • Brazil 
 
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  4.170.  In the context of its sixth trade policy review, we wish to congratulate the Government 
of Brazil, which has successfully weathered the world economic crisis thanks to strong domestic and foreign demand and sound microeconomic policies. The Secretariat Report further indicates that Brazil has contributed to the recovery of the world economy by significantly increasing its 
imports. Brazil posted solid results, with  average real GDP growth of 3.6% annually 
between 2007 and 2012. 
4.171.  This sustained economic growth over al most a decade, aided by higher minimum wages 
and social programmes, allowed Brazil to make significant progress towards reducing poverty 
and income inequality, while employment figures improved. Nevertheless, between the second half of 2011 and mid-2012, growth decelerated signific antly. The loss of dynamism can be partly 
attributed to the sharp appreciation of th e Brazilian currency and the global economic 
slowdown, both of which resulted in reduced demand for Brazilian exports. But according 
to the Secretariat Report, it also reflects long-standing structural problems affecting 
the Brazilian economy's competitiveness (inadequ ate infrastructure, a very onerous tax burden, 
highly regulated labour markets, and over all relatively high production costs). 
4.172.  Nevertheless, it is worth noting that the appreciation induced by a foreign exchange bubble 
created by flows of speculative capital in search of profits based on interest rate differentials 
is reinforcing structural problems. The unsustainab le currency appreciation generates an artificial 
improvement in inflation levels and in national income in foreign currency terms, thereby increasing demand for foreign goods and services as their prices fall. This compounds the lack of competitiveness of domestic companies and undermines external current accounts. 
These problems are exacerbated when the bubble bursts, which is what took place recently 
in Brazil. This illustrates how a short-term problem in the capital account can eventually affect medium-term trade flows. 
4.173.  To boost competitiveness, the Brazilian Government adopted measures aimed at removing 
infrastructure bottlenecks through concessions and private-public sector partnerships, lowered energy charges, and reduced the tax burden on some manufacturing industries. We urge 
the Government of Brazil to continue its efforts in this regard, as it is crucial to improve on the 
scant competitiveness of industry if they wish to  continue on the path of sustainable economic 
growth and poverty reduction. To this end, it would be important to strengthen infrastructure with the participation of private capital, given that Brazil is the world's sixth largest recipient of foreign 
direct investment. 
4.174.  Brazil holds enormous potential for becoming a leading exporter of manufacturers, thereby 
increasing the value added to its primary products. To achieve this it is crucial to reduce the 
external sector's continuing heavy dependence on  commodity exports, as this introduces a high 
degree of uncertainty into the performance of  its economy owing to the sharp world price 
fluctuations on these markets. For these purposes, it would be crucial to devote more 
resources to developing and improving education and training as well as innovation and 
technological development. 
4.175.  The Secretariat Report indicates that to support sectors affected by a loss of 
competitiveness, the Government also took measur es that may impact trade, including temporary 
tariff increases, the use of preferential margins for domestic goods and services in government 
procurement, and increased export credits. In this  regard, we wish to suggest that Brazil should 
make a greater effort to liberalize trade so as to boost economic growth. 
4.176.  On the other hand, we are gratified to see that during the review period Brazil took steps 
to simplify and modernize its customs procedures . Also, 100% of its tariff is bound in the WTO 
at ad valorem  rates, which lends greater transparency an d predictability to international trade. 
4.177.  It strikes us that the Secretariat Report points to Brazil as a significant user of trade 
remedies, particularly anti-dumping measures: except in 2009, it surpassed historical trends in all the years of the review period. In the first nine months of 2012 Brazil initiated 47 new investigations, exceeding the previous record of 40 in 2010. We wish to note in this connection 
that this is Brazil's right within the WTO framewor k, and we only hope that the investigations are 
carried out in the most rigorous manner and in  line with the WTO agreements, such that these 
measures do not become obstacles to trade. WT/TPR/M/283 • Brazil 
 
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  REPUBLIC  OF KOREA 
4.178.  We are very pleased to note that the re lationship between our two countries is, and will 
remain one of the most prosperous and mutually  beneficial partnerships as evidenced by an 
ever-growing network of contacts across a wide spectrum of bilateral relations.  
4.179.  In particular, it is a source of satisfacti on that our economic relations have continued to 
deepen. Our bilateral trade has steadily increased with its volume reaching US$17.1 billion in 2012. This represents an almost two-fold incr ease since Brazil’s previous TPR in 2009. Our 
future-oriented economic partnership is also characterized by growing investment relations. 
Korea’s total stock of investment in Brazil reached US$4.8 billion in 2012. It is no surprise that the 
number of Korean businesses operating in Brazil doubled from 93 to 208 over the last five years. In an effort to further strengthen this mome ntum, Korea held in Seoul last week the 2nd 
Korea-Brazil Business Forum under the name of “Business Strategy and Investment in Brazil.” 
Given the complementary nature of both economies,  we are confident that both countries will be 
able to bring their relations to new heights in the coming years. Surely, some 50,000 ethnic 
Koreans in Brazil very much look forward to it as this year they celebrate the 50th anniversary of 
their immigration to Brazil.  
4.180.  It is worth noting that the Brazilian economy recorded strong performance during most of 
the period between 2007 and 201 2, with GDP growth averaging 3.6% per annum, while Brazil’s 
exports increased at an average rate of 8.6% duri ng the same period. Brazil’s exports of mining 
and agricultural products accounted for most of its growth, increasing at annual averages of 15.4% and 12.3% respectively. Equally increasing is the fact that as a way of further facilitating 
this trend of increasing trade, Brazil sought to expand trade partners, while strengthening trade 
ties with Asia, including Korea, during the period under review. 
4.181.  Notwithstanding this, as the Secretariat Report notes that, Brazil’s economy has declined 
since the second half of 2011 partly due to the global economic slow-down and appreciation of 
Brazilian real. Given the situation, the Brazilian Government has actively taken steps to address structural issues and to enhance competitiveness under the Plano Brasil Maior.  
4.182.  We would like to take this opportunity to echo the concern expressed by Members over 
some of the trade measures that the Government of Brazil has taken. Not only through the advance written questions for this TPR, but also  previously at the WTO TRIMS and the Trade in 
Goods Council meetings, Members indicated the possible inconsistency of those measures with the 
WTO rules and principles. Examples of such meas ures include tax preferences linked to the local 
content conditions and certain requirements under INOVAR-AUTO. Members are also concerned about the frequent use of the trade remedy measures and tendering law which prefers the local 
supplier or producer. In this regard, we very much hope and trust that the Brazilian Government 
will work closely with other Members to address these concerns in a timely and appropriate manner.   
4.183.  As the Secretariat highlights, we would also like to acknowledge our appreciation for the 
fact that Brazil has actively participated in the multilateral trading system. We hope and expect that Brazil continue to make meaningful contributions towards further strengthening the multilateral trading system.  
4.184.  We are at the critical juncture. The stakes for the success of the MC9 in Bali could never be 
higher. We trust that Brazil will play an important role in helping ensure the success of the Bali Ministerial. Furthermore, given that the Brazilian DG of the WTO will only elevate the importance 
of Brazil in the international setting, we woul d like to see this TPR to provide much needed 
appreciation, expectation, and shared assessment regarding Brazil’s trade policy.   
COLOMBIA 
4.185.  Speaking at a BRICS summit in South Africa on 27 March 2013, President Dilma Rousseff 
said: "Our path is one of finding new solution s that guarantee stronger growth of emerging 
countries in order to ensure the creation  of high-quality jobs, the use of science, 
technology and innovation, while improving the welfare of our citizens, whose economies are still WT/TPR/M/283 • Brazil 
 
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  far from being very advanced. In so doing we are also making a major contribution to the recovery 
of the world economy thanks to the dynamism of our countries and economies". 
4.186.  The Secretariat Report describes how the Brazilian economy was able to weather the world 
economic crisis and contribute to world economic recovery for most of the review period. 
Brazil took advantage of vigorous international demand for its products and the Government 
implemented a series of income and foreign exchange policies that led to improved external indicators. Note should be taken of the Brazili an Government's endeavours to develop social 
programmes that have made for higher wages, employment growth and reduced poverty 
and inequality. 
4.187.  Throughout the 2007–2012 period, annual growth of the Brazilian economy averaged 
3.6%, albeit with fluctuations. Nevertheless, it lost dynamism as of the end of 2011, with the 
result that GDP growth was a mere 0.9% for 2012. These conditions prompted the introduction 
of measures such as temporary tariff increases and export credits, which impacted trade, domestic demand and investment. 
4.188.  As the largest economy in Latin America and the seventh worldwide, Brazil needs 
to relaunch growth. Its challenges in the years ahead seem to revolve around generating new opportunities for its production sector to enhance its efficiency, through policies geared towards 
improved competitiveness, business confidence in  the Government, the transport infrastructure 
and the quality of education, all of which are factors that have been recognized by the World Economic Forum as drivers of Brazil's development. 
4.189.  We applaud the remarkable foreign trade performance by Brazil over the review period; 
total trade moved from US$281,000 million in 2007 to US$465,000 million in 2012, 
yielding a trade balance surplus during the period. 
4.190.  The balance of services deficit widened to 112% between 2007 and 2012 owing 
to remittances abroad by foreign companies and public debt payments. It is hoped that in the 
years ahead these figures will be offset by the effects of increased tourism to Brazil generated 
by the Football World Cup and the Olympic Games. 
4.191.  Perhaps the most salient feature of Brazil's foreign trade policy in recent years has been 
its active attempts to diversify the geographical  spread of its trading partners with a view 
to reducing the weight of developed countries in its foreign trade. Efforts have been made 
to strengthen regional integration and move closer to the markets of Asia and Africa. 
4.192.  Colombia maintains a dynamic trade relationship with Brazil in the framework 
of Economic Complementarity Agreement No. 59 and it is a major market of destination for our agro-industrial and industrial exports. Note shou ld be taken of the growing influx of Brazilian 
investment into Colombia and the development of "parcerias", the name given in Brazil to joint 
endeavours between our Governments and entrepreneurs. 
4.193.  As regards trade policy, Brazil's tariffs in general have been held stable on average. 
Nevertheless, attention is drawn to the increase in tariffs on some inputs for the industrial sector 
and the onerous domestic tax burden, which affe cts the business environment and diminishes the 
competitiveness of its productive sector. 
4.194.  As highlighted in the Secretariat Report, th e review period was also marked by the taking 
of trade facilitation measures to simplify and modernize its customs procedures. 
4.195.  I should like to conclude by quoting from a speech given by President Rousseff at the 
opening ceremony of the South America–Africa summit: "I sincerely believe that the 21
st century, 
and the decades ahead will be a time of affirmation of the developing world, especially in Africa 
and Latin America. We have a historic opportunity to reduce the gap, both economic and social, that still separates us from the most advanced countries". 
4.196.  In the same vein, we recognize Brazil's role in the WTO. We hope to continue to benefit 
from its initiative and inputs in paving the way for the culmination of the Doha Round negotiations, WT/TPR/M/283 • Brazil 
 
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  which call for leadership from the world's main economies to help narrow the gap and ensure 
economic growth and social development for our people. 
ARGENTINA 4.197.  Argentina cannot but begin this intervention with fraternal congratulations to Brazil on the 
recent election of Ambassador Roberto Azevêdo as the next Director-General of this Organization. 
His election is a source of pride for Argentina, as this is the first Latin American Director-General, who is from MERCOSUR and from an emerging count ry. His election is proof of the significance 
of the Latin American and Caribbean region as  a major player on the international stage, 
and of the growing role of developing countries in multilateral trade. 
4.198.  We therefore take this opportunity to wish  him the greatest success in his term of office, 
and we trust that his professional excellence and remarkable diplomatic career will bring new 
momentum to the World Trade Organization, the multilateral trade negotiations, and more 
particularly, will revitalize the Doha Development Agenda which, as Ambassador Azevêdo has underscored, has been a key achievement of this multilateral forum. 
4.199.  Brazil has been growing steadily despite the impact of the international financial crisis, 
from which it has recovered thanks to adequate policies that produced a 7.5% growth rate in 2010, as stated in the Government Report. Although  growth rates fell short of such levels in the 
ensuing years, Brazil is expected to recover its dynamism, and this will positively impact the 
region and the world. 
4.200.  Brazil's growth has raised per capita national income, reduced unemployment levels 
and improved the level of human development an d social inclusion of the most disadvantaged 
sectors, and this merits special mention. 
4.201.  So far this year Brazil has increased its imports from the world, which were 
up from US$91,600 million for the period from January to May 2012, to US$98,700 million in the 
same period this year. It should also be noted that Brazilian purchases increased from all origins, 
though mainly from China, the European Union, MERCOSUR, the United States and the Middle East. 
4.202.  Brazil has a diversified production structure and has made intelligent use of trade policy 
space to develop its economy through greater investment and a higher technological content in its production. 
4.203.  Brazil is Argentina's main trading partner. In 2012, the volume of bilateral trade was 
worth US$34,402 million, with exports to that country amounting to US$16,495 million 
and imports US$17,907 million. 
4.204.  Also noteworthy about our bilateral trade is not just its high volume but also the quality 
and characteristics of that trade. Manufactures ma ke up 80% of Argentine sales to Brazil and 90% 
of Brazilian exports to our country. 
4.205.  The historical bilateral relationship between  our country and Brazil is marked not only by 
the intensity of trade flows, but also by strong ti es of friendship, cooperation and a shared vision 
as to how crucial it is for economic growth and the effects of trade to be reflected in higher levels of employment and social development as well as less inequalities. 
4.206.  As regards this latter point, I should like  to draw attention to the fact that the Report 
by the Government of Brazil includes – for the second consecutive time – a section on social 
policies, as did those of Argentina during its last two trade policy reviews in 2007 and 2012. This coincidence is further proof of the community  of values shared by both Members, as borne 
out not only by the results in terms of employme nt growth and the expansion of citizens' rights 
reflected in those reports, but also by ongoing coordination of trade and social policies both regionally and bilaterally, as members of MERCOSUR and countries that both embrace 
the objective of economic growth with development and social inclusion. WT/TPR/M/283 • Brazil 
 
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  4.207.  As the main agreement that links us, MERCOSUR is a special chapter in our relations. 
This bloc represents a strategic association that  augments trade in our region and drives our 
national economies as well as those of our partners. 
4.208.  As regards the Doha Round, owing to Brazil 's commitment to its principles and objectives, 
we are able to work together and coordinate  approaches and positions on a broad agenda 
of topics, giving special priority to achieving meaningful results in the agricultural negotiations. We are therefore certain that Brazil will contribute constructively to the next Ministerial Conference 
in Bali in order to open the way for the renewal of negotiations under the Round, with the principal 
aim of spurring pro-development economic and trad e growth and in that way build an ever more 
balanced multilateral trading system. 
NORWAY 
4.209.  The Reports by Brazil and by the Secret ariat confirm that Brazil's Government remains 
deeply committed to a strong multilateral trading system. Norway recognizes and appreciates the active participation of Brazil in the WTO. 
4.210.  The period examined in this TPR was characterized by a world financial crisis followed by 
an economic recession and a slow recovery. In  spite of the difficult external economic 
environment, Brazil was able to partially offset the negative effects through countercyclical 
economic policies aimed at sustaining the levels of production and employment. 
4.211.  Brazilian resilience to the crisis was also due to the ongoing process of diversification of its 
commercial relationships. Brazilian trade flows expanded with both traditional and new trade partners, consolidating Brazil's position as a global trader. 
4.212.  Counting the European Union as one trading partner Brazil is Norway's seventh largest 
source of imports and ninth largest destination of Norwegian exports. Brazil enjoys a large trade surplus with Norway and – while the time made av ailable to us today lead us to focus on areas 
where some concerns exist – generally speaking our trade relations are excellent. 
4.213.  A key aspect of the trade relations betw een Brazil and Norway is our trade in fish and 
marine products, where Brazil represents Norway 's fifth largest export market and accounts for 
approximately 40% of our total export to Brazil.  Norway has exported Bacalau to Brazil for 
175 years and it is our ambition and goal to supplement this product with other species of excellent Norwegian seafood, like shrimps and salmon. 
4.214.  There is a broad range of Norwegian comp anies present in Brazil. Most Norwegian-owned 
commercial activity in Brazil is in the form of direct investment and hence production in Brazil. The 
majority of these companies have reported positi ve experiences while making business in Brazil, 
but unfortunately, there have also been examples of complex bureaucratic processes and 
difficulties in customs clearance. 
4.215.  The lack of capacity in the infrastructure  sector creates significant delays in trade with 
Brazil across sectors. One of the sectors affected by  the state of the ports is the oil industry, which 
has seen increased delays in the delivery of equipment to offshore projects. Demurrage has 
increased as highly expensive vessels need to wait for long periods before loading and unloading necessary equipment for the offshore drilling programs. This is one bottleneck that has increased costs for the sector as a whole. 
4.216.  The Brazilian financial market is dominated by a few large banks and the interest rate 
spreads for both businesses and consumers are very high. Although BNDES provides very competitive rates for some new investments, there is no possibility to refinance for companies, 
something which deters investment. In addition, working capital and other sources of funding are 
seen to be costly. 
4.217.  The WTO Secretariat Report noted that foreign and Brazilian investors receive the same 
treatment in Brazil, unless restrictions are imposed on foreign investment by a specific law. Two 
areas where such restrictions apply are the maritime and the air transport sectors,  both of interest 
to Norwegian enterprises. WT/TPR/M/283 • Brazil 
 
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  4.218.  In the maritime sector, local content policy is in place with the objective of increasing the 
capacity of the local industry, developing new te chnologies, thus creating job opportunities and 
sharing national wealth within the Brazilian soci ety. While there are good economic and social 
arguments behind these initiatives, local content policies should not cause the cost level to 
escalate and it should not limit the companies'  access to technology and qualified workers. 
4.219.  With reference to section 4.228 in the WT O Secretariat Report, Norway will request Brazil 
to terminate the listed cargo sharing agreements. Cargo sharing agreements result in inefficient 
international maritime transport and are also causing the cost of transport between the countries 
in question to rise as the competition is limited. 
4.220.  In addition, our industry has informed us that Brazil applies a tax of 25% on top of the 
cost of maritime freight, which does not apply to operators from countries with which Brazil has 
agreements in this respect. Brazil also collects a lighthouse tax (TUF) exclusively for foreign flag 
vessels without a bilateral agreement signed wi th the country. These cargo-sharing agreements 
and differentiated taxed are giving shipping compan ies from some countries benefits that are not 
given to others, and thus interfere with the competition between international maritime transport 
suppliers. 
4.221.  Norway would use this opportunity to urge Brazil to take commitments in the Maritime 
Services in GATS. We are pleased that Brazil has started to liberalize its international aviation 
policy and we would be pleased to note further liberalization in both sectors. 
4.222.  Brazil is an active participant on the mu ltilateral stage, an economic engine in Latin 
America and globally, and an important trade partner for most of us. This review will therefore 
doubtlessly be interesting and useful not only for Brazil, but also for all other participants. 
TURKEY 4.223.  At the very outset I would like to unde rline that, Turkey and Brazil have an excellent 
relation in all bilateral political, economic and cultural areas. 
4.224.  On the economic and commercial front, I wo uld like to mention that Brazil is Turkey’s 
biggest trading partner in Latin America and Turkey sees Brazil as the focal point to enhance its 
economic relations with Latin America. 
4.225.  The total trade volume between Turkey and Brazil has increased from US$344 million to 
approximately US$3 billion over the ten years period covering from 2000 to 2010, although we have been experiencing slight decline in bilateral trade starting from 2011.  
4.226.  Turkey mainly exports iron and steel, mi neral hydrocarbon, textile fibers and transport 
vehicles to Brazil and in return we import similar products such as steel products, plastics, iron ore, textile fibers, machines and agricultural products such as tobacco, cacao, tea and forestry 
products. 
4.227.  Currently, Turkey ranks 40th in Bazil’s ex port and 38th in its import, and we are, of 
course, of the view that neither the current level of approximately US$3 billion trade volume, nor 
the current rankings in bilateral trade reflects our true bilateral trade potential.  
4.228.  In order to enhance our bilateral relation s, we signed around 30 agreements with Brazil 
starting from 1950 covering whole spectrum of poli tical, economic and cultural areas. Currently, 
there are 13 potential areas of agreement, on our agenda covering issues such as air transport, 
culture and creative industries, and co-operation on legal, academic, military institutions, an on 
agricultural and SPS issues.  
4.229.  I should also like to mention that we had signed a strategic Partnership Action Plan with 
Brazil in 2010 and recently Turkey and Brazil made a joint declaration emphasizing our 
commitments to this plan during the President Dilma Roussef’s visit to Turkey in 2011. 
4.230.  We are also jointly working with the auth orities of Brazil to sign a free trade agreement 
within the context of the MERCOSUR Regional In tegration to further strengthen our commercial WT/TPR/M/283 • Brazil 
 
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  relations. Turkey and Brazil have jointly decided to sign a memorandum of understanding in this 
regard, in May this year and we are currently working to conclude it soon. 
4.231.  We see a large potential for cooperation be tween Turkey and Brazil in the whole areas of 
services and goods trade including the energy, tran sport and logistics, aviation, infrastructure and 
construction, technology transfer, investment, and agricultural co-operation. 
4.232.  In addition to our, Joint economic commission mechanism and Turkey-Brazil Business 
council, we are also trying to finalize the necessary works for the formation of Turkey-Brazil 
chamber of Commerce in Sao Paulo. 
4.233.  Although both Turkey and Brazil currently maintain a few trade defence measure against 
each other, I would like to specifically mention that, our authorities want Brazil to reconsider its TBT measure put in place in March of this year targeting certain tobacco products. 
4.234.  Coming to the economic front, Turkey is we ll aware of the fact that the review period was 
dominated by both the financial crises followed by an economic recession and slow recovery as was mentioned in the government report of Brazil.  
4.235.  Yet, we are very happy that despite having  witnessed extreme global external difficulties, 
Brazil was able to neutralize most of these negative effects and increased its employment and sustained a positive economic growth in the afte rmath of the crises during the review period 
thanks to its macroeconomic policies and its diversification efforts of its commercial relations. 
4.236.  We don’t see much points in further emphasizing how the important the role of Brazil in 
multilateral trading system and in the WTO. Everyone  under this roof is very well aware of Brazil’s 
commitment to the conclusion of the Doha Round and its efforts of promoting a more equitable 
and development oriented international trading system. 
4.237.  We believe that Brazil can further enhance its trade and economic relations with the world 
by reforming its customs tariffs and import licencing system, TRIMS regulations, investment 
environment, and by upgrading its infrastructure. 
4.238.  We also welcome the appointment of Roberto Azevedo as the next Director General of the 
WTO and we want to emphasize that we are ready to closeley work with him. 
INDIA 
4.239.  India commends Brazil’s commitment to the multilateral trading system and its active role 
in the WTO. As a fellow developing country an d member of the G-20 and G-33 groupings, India 
has worked closely with Brazil in several areas of negotiations in the WTO including agriculture, 
Trade Facilitation, NTBs, IPRs and development. India shares Brazil’s desire for an early conclusion 
of the Doha Round for promoting a more equitable and development oriented global governance system. We appreciate Brazil’s valuable contribution towards strengthening this organization, 
including providing us with the next Director Ge neral of the WTO, Ambassador Azevedo. Brazil’s 
commitment to South-South Cooperation and Aid for Trade also deserves a special mention.  
4.240.  India’s deep rooted historical ties with Brazil have witnessed a quantum jump in recent 
years. The range and frequency of engagement between our countries has expanded and 
intensified, adding a positive momentum to this relationship, which has now acquired the dimension of a strategic partnership. President Dilma Rousseff’s visit to India in March 2012 highlighted the immense potential for increasing bilateral trade, investment and cooperation in 
diverse sectors like agriculture, science and technology, energy and health. Joint initiatives under 
IBSA and BRICS have further enhanced our cooperation on international issues.  
4.241.  Brazil is India’s most important trading partner in Latin America. From US$ 5.85 billion in 
2009-10, trade between India and Brazil ha s doubled to US$10.79 billion in 2012-13. The 
India-MERCOSUR PTA came into effect in June 2009 and extends duty reduction of 10%-100% on 450 items. Efforts are underway to broaden and deepen the PTA linking it with other regional 
agreements. The composition of trade has also witnessed increasing diversification. There are 
growing business-to-business contacts, and well defined mechanisms are in place to promote and WT/TPR/M/283 • Brazil 
 
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  monitor bilateral trade. Two-way investments between India and Brazil have been directed 
towards automobiles, IT, mining, energy, bio- fuels, pharmaceuticals, agri-business and 
engineering sectors. 
4.242.  As the world’s 6th largest economy, Brazil has made impressive progress during the period 
under review. We congratulate Brazil for its sound macroeconomic policies and fiscal responsibility 
which have enabled it to sustain high levels of production and demand and increase employment levels despite the difficult external economic environment. Sustained economic growth has allowed 
Brazil to reduce poverty an d income inequality levels.  
4.243.  Though Brazil experienced volatility in grow th rates caused by the 2008-09 financial crisis 
and the subsequent Eurozone crisis of 2011-12, it is encouraging to note that its economy has rebounded since the second half of 2012 and a growth  of 4% is expected in the first quarter of 
2013. Brazil’s success in reducing its net public debt from 42% of GDP in 2009 to 35% in 2012 has 
allowed it to adopt countercyclical measures to address the crisis without generating financial stress. Macro-prudential policies adopted by the Central Bank of Brazil have played an important 
role in ensuring financial stability. While interest rates have gone down, inflation at 5.8% has been 
kept within targeted levels.  
4.244.  We welcome the steps taken by Brazil towards improving its business environment through 
a simplification of its tax regime and document filing procedures. The Brazilian foreign investment 
regime is open, transparent and non-discriminatory. Also noteworthy is Brazil’s micro-credit program introduced in August 2011 to encourage entrepreneurship and new businesses and to meet the financial needs of SMEs. The new industrial policy “Plano Brasil Maior” announced in 2011 
and new regulations "Inovar Auto" announced in 2012 aim to promote domestic industrial activity 
through enhanced competitiveness and innovation.   
4.245.  Brazil has also taken steps to simplify its customs procedures. A risk assessment method is 
used for import declarations with 85% of all imports being processed through the green channel. 
Brazil has kept its applied tariffs within bound rates, with its average applied MFN tariff rate of 11.7%, well below the average bound rate of 30%.  
4.246.  On the trade front, after a reduction in 2009, foreign trade has grown at an annual 
average rate of over 16% in ex ports and over 20% in imports. Brazil’s expanding domestic 
market, abundant natural resources and economic growth have made Brazil a popular investment destination, contributing to a sharp increase in FDI inflows totalling US$65 billion in 2012. 
International reserves have remained at high levels, reinforcing the ability of the Brazilian 
economy to face external shocks.  
4.247.  At the regional level, Brazil plays an  important leadership role, promoting regional 
economic integration through MERCOSUR. MERCOSUR has entered into Preferential Trade 
Agreements with several countries, including with India.   
4.248.  Despite its good performance and strong re silience, Brazil faces a number of challenges as 
a developing economy. We are happy to note the Brazilian Government’s attention to these 
challenges and wish them success in addressing those challenges effectively.  
THAILAND 4.249.  Brazil is Thailand’s 22nd trading partne r in the world and the largest from the Latin 
American region. Thailand is currently Brazil’s largest trading partner in ASEAN. From 2010-2012, 
our trade value averaged at US$4.2 billion per year and in 2012, we traded at approximately US$4.68 billion, increasi ng from 2011 by 3.24%. 
4.250.  Not only has our bilateral trade relationship been prosperous, Brazil-Thailand relationship 
in other areas has been recorded very positively. Thailand established a diplomatic relationship with Brazil in 1959. The two countries’ Foreign Affairs Ministers recently met in Brasilia in August 
last year. Different agreements and cooperat ion include, among others, Thailand-Brazil 
Parliamentary Friendship Group, Trade and Economic Cooperation Agreement between the Thai Chamber of Commerce and Brazil’s National Confederation of Commerce, Agreement on 
International Scientific and Technological Cooperation, and Memorandum of Understanding on WT/TPR/M/283 • Brazil 
 
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  Exchange of Technical and Informational Cooperat ion between Export-Import Bank of Thailand and 
Brazil’s National Bank for Econ omic and Social Development.  
4.251.  From the global perspective, Brazil has weathered well the global economic crisis with its 
strong macroeconomic policy. Thailand is also impressed with Brazil’s efficient control of inflation 
rate, significant progress towards poverty redu ction, income distribution, and employment 
improvement. 
4.252.  Brazil’s active role in the WTO is very well-recognized. Thailand appreciates Brazil’s 
leadership for developing countries and development agendas. We have enjoyed our coordination 
with Brazil in various areas in the WTO, especially in agriculture, where Thailand and Brazil have similar interests and have worked together in G-20 and the Cairns Group. In addition, we are 
looking forward to Ambassador Azevedo’s new role as the Director-General in September, in Bali 
and post-Bali to lead this organization in the direction in which Members can come to an 
agreement in different areas. 
4.253.  Our authorities are currently concerned ab out Brazil’s increasing use of trade remedies 
particularly anti-dumping measures. As the Secretariat indicated in its report that 83 anti-dumping 
measures were in place as of mid-2012, we found this affecting several of Thai exports to Brazil, including PET film, viscose fiber, and viscose yarn. We encourage Brazil to consider this matter, 
including the investigation procedure to be conducted in a fair and transparent manner with 
sufficient time for interested parties to consider documents and present their comments. 
VENEZUELA 4.254.  Exactly ten years ago, a dynamic process was launched to deepen the strategic relations 
between Venezuela and this sister country and neig hbour, the scope of which ranges from bilateral 
cooperation for economic and social development to  policy convergence in the interest of unity 
and regional sovereignty. The vision of South-South cooperation and integration are two key 
aspects uniting both countries and allowing us to move forward together in different spaces. 
4.255.  There was a major quantitative and qua litative leap forward in bilateral relations 
between Venezuela and Brazil in 2007 when our Head s of State agreed to hold quarterly meetings 
to follow up the progress being made in the various facets of cooperation between both countries, 
a plan that is still in operation today. 
4.256.  A significant level of policy coordination , an appreciable degree of complementarity for 
development especially between southern Venezuela and northern and north-eastern Brazil, 
dynamic institutional cooperation and a strategic alliance in the interest of regional 
and subregional construction through various new-generation forums. 
4.257.  The review period witnessed the streng thening of commercial relations between both 
countries, especially in the agrifood sector. Cooperation, interchange and complementarity in that 
sector between Brazil and Venezuela have ex panded by 900% over the past ten years, 
supported by 25 cooperation agreements that tr anslate into arrangements implemented in the 
areas of agriculture and livestock, industry and agrarian development. 
4.258.  Our traditional exports, namely oil and its derivatives, made up 65% of sales to Brazil 
during the period under review. The non-oil sector accounted for 35%, and most of those exports consisted of mineral resources and their intermediate byproducts. Imports from Brazil were mainly 
in the machinery, equipment and food sector s. Many of these imports took place under 
cooperation projects involving the transfer of technology and knowledge. Brazil is therefore not just a supplier of capital goods and food, but also a partner in promoting the production sector 
and food security in Venezuela. 
4.259.  Subregionally, both our countries are committed to integration and to strengthening 
economic and policy space through MERCOSUR, UNASUR, the Banco del Sur, CELAC and LAIA, 
amongst others. 
4.260.  We are about to celebrate the first anniversary of our formal accession to MERCOSUR 
as a full member, an event that represents a milestone in our trade relations, which we are sure WT/TPR/M/283 • Brazil 
 
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  will further strengthen them significantly. Upon  the formalization of our entry into that bloc, 
President Dilma Roussoff, said: "Venezuela's presence in MERCOSUR expands our internal capacity, boosts our resources and opens up oppo rtunities for entrepreneurship". She added that 
it was of vital importance to care for, expand and preserve the regional bloc at a time of world 
crisis with a view to safeguarding the heritage so far built "above all with MERCOSUR being the 
world's fifth largest economic power (…), we have  the responsibility and commitment to guarantee 
the social advancement of the over 270 million South Americans making up MERCOSUR". 
4.261.  Together we will continue to foster the region's development and invigorate South 
America's new integration and unity. The challenge will now be to achieve productive complementarity and integrate industry, such that trade will be more balanced. 
4.262.  We recognize and have worked towards Braz il's unquestionable leadership role in the WTO. 
We view Brazil as a player that believes in a tr ansparent, rules-based, non-discriminatory and fair 
multilateral trading system that serves as a crucial tool for development. Since the launch of the Doha Round, Brazil and Venezuela have been together in most of its component areas 
of negotiation, especially in the agricultural and industrial negotiations, through the Agricultural 
G-20 and NAMA-11. We are more than convinced th at the development dimension must be central 
to the Round and be transversely reflected in all its outcomes, be it in what we hope to agree 
by the Ninth Ministerial Conference or in what will remain pending after Bali. 
ECUADOR 4.263.  Ecuador and Brazil maintain a close po litical relationship and one of coordination 
in multilateral and regional forums. We are pa rt of LAIA, UNASUR and CELAC, and have launched 
the process of accession to MERCOSUR as a full member. We likewise share similar political 
and economic views focused on promoting su stainable development based on equity for 
our citizens. 
4.264.  As indicated in the WTO Secretariat Report, we note that the Brazilian economy grew 
substantially between 2007 and 20 12, with gross domestic product at around 3.6% per annum. 
Brazil is also the sixth leading recipient of foreign direct investment worldwide. That growth 
resulted from sound macroeconomic policies focused on a fiscal surplus and strict inflation control. 
We must also note in this regard that the Brazilian financial system weathered the world economic crisis well, based on the use of government policies and financial controls that limited the impact of speculation and the irrational behaviour of the international system. Furthermore, 
these measures have also enabled Brazil to make significant strides in alleviating poverty 
and reducing income inequality as well as in improving employment indices. These are social objectives which Ecuador shares with Brazil and which we too are striving to promote 
in developing and implementing our trade policies. 
4.265.  As pertains to its trade policies, we view the Plan Brasil Maior  as a cornerstone of Brazil's 
development policy and something that could help lay the groundwork for inclusive economic 
development as well as facilitate the adding of greater value to that country's exports. 
Ecuador thanks Brazil for its replies to our initial questions in that regard; however, to better understand the workings of its policies to im prove its export competitiveness and its trade 
negotiation process, we have submitted some additional questions to which we would appreciate 
also receiving written answers. 
4.266.  Turning to its position regarding the multilateral trading system, we acknowledge 
and welcome Brazil's leadership in the Doha Round negotiations, and in the regular work of the 
WTO. Through our joint participation in the Agricultural G-20, both our countries coordinate 
several positions in this area, more specifically on the effective liberalization of agricultural trade, and in the spheres of intellectual property, the protection of the biodiversity, and traditional 
knowledge and fair and equitable access to it. We  furthermore agree on the need to balance the 
multilateral trading system by means of the effect ive and real implementation of the "development 
dimension" in the covered agreements and in any agreements that may be reached on other 
matters under negotiation. 
4.267.  Bilateral trade relations between our two countries are still in their infancy where Ecuador 
is concerned. To give an example, between Janua ry and April 2013, 1% of Ecuador's exportable WT/TPR/M/283 • Brazil 
 
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  supply went to Brazil, whilst 4.5% of Ecuador's foreign purchases came from Brazil. To offer 
somewhat more detail, between January 2009 and April 2013, Ecuador's exports to Brazil were worth around US$353 million, whilst its export s from Brazil amounted to approximately 
US$3,670 million. Undoubtedly, however, our fo rthcoming entry into MERCOSUR will make 
it possible to further expand, diversify and deepen  our trade participation in Brazil's markets. 
4.268.  Finally, Ecuador takes this opportunity to congratulate Brazil on the appointment 
of Ambassador Roberto de Azevêdo as the new Director-General of the WTO. Ecuador had publicly 
stated its preference for Ambassador Azevêdo from the outset, in recognition of his professional 
and negotiating qualities and the constructive leadership that Brazil has demonstrated in the multilateral trading system. We are sure that  the term of office which Ambassador Azevêdo 
is about to begin will facilitate convergences of interests in the framework of mutually beneficial 
dialogue and balanced exchanges. 
URUGUAY 4.269.  Uruguay welcomes Brazil's large delegation to this major forum in the multilateral 
trading system. 
4.270.  This delegation also wishes to underscore Brazil's active role in the form of its intense 
activity in the WTO system, which has been reco gnized by other Members of the Organization 
through the election of Ambassador Roberto Azevêdo as the next Director-General. This role will 
now be buttressed with this election and Brazil acquires greater responsibilities vis-à-vis  the WTO 
and the multilateral trading system. 
4.271.  In the same vein, both countries share the same global view regarding the role of the WTO 
and the pressing need to conclude the Doha Development Agenda negotiations in order 
to strengthen the multilateral trading system on the basis of predictable, transparent and balanced 
rules. Uruguay therefore calls on Brazil to continue its leadership role in the pursuit of these 
objectives, for which the Bali Ministerial Conference will provide a crucial forum. 
4.272.  On agriculture, both countries are pa rticipants in the G-20 and the Cairns Group 
and promote the aim of removing all distortions from the agricultural sector. 
4.273.  Uruguay and Brazil maintain a special relationship from a policy as well as an economic 
and commercial standpoint. Brazil is Uruguay's lead ing trade partner, and our trade is appreciable 
in terms of values and volumes, as well as its make-up, which includes high value-added products, intermediate goods, commodities and end-consumer goods. Prominent among Uruguay's exports 
are dairy products, rice, as well as industrial goods such as paints and vehicles, amongst others; 
the composition of imports from Brazil is also diversified. 
4.274.  Other salient features are the increase in the trade of business services such as tourism, 
transport, global business services, as well as substantial investments and activities by Brazilian 
companies in Uruguay, which are making for the ever greater integration of the two economies. 
4.275.  As founding MERCOSUR partners, both countries are strongly committed to regional 
integration as a platform for participation in the world economy. Guided by this conviction, 
both Governments have decided to speed up bilateral trade and economic integration with a view to achieving full liberalization and the free circul ation of goods, services and persons. Under this 
new paradigm, a High-Level Group has been set up, chaired by the Deputy Foreign Ministers, 
with the basic goal of delineating and strengthen ing this liberalization programme in the shortest 
possible time. 
CUBA 
4.276.  We are grateful for the detailed repo rt provided by the Ambassador and offer our 
congratulations on the economic and social achievements made. Despite the negative world environment with which we as developing countries have all had to grapple, Brazil has achieved 
commendable outcomes from the sound economic policies it has pursued. WT/TPR/M/283 • Brazil 
 
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  4.277.  During the review period, Brazil recorded positive macroeconomic indicators such 
as domestic demand, more specifically household consumption, and foreign trade, which grew at an annual average rate of 16.6%. 
4.278.  Accomplishments in the social sphere have also been outstanding, thanks to a combination 
of economic growth, income distribution policies, selective poverty alleviation measures, 
the lessening of inequalities and the raising of living standards in general. 
4.279.  From 2009 to 2012 there were visible improvements in social indicators in the realms 
of health, education, employment, housing, life expectancy and income distribution, all this 
resulting from expanded policies on education, health, labour, care and social security, as well as the implementation of programmes to promote social inclusion for low-income and vulnerable population groups. 
4.280.  Brazil places priority on the multilateral trading system and is a highly active member 
of the WTO. It continues committed to a satisfactory conclusion of the Doha Development Agenda. As coordinator of the G-20, it is a standard-bearer in supporting development-related issues. 
There is close cooperation between our delegations, which has enabled us to table joint proposals 
in the negotiations and deliberations under way in the WTO. 
4.281.  At the bilateral level, Cuba and Brazil project the medium-term development of their 
economic relations on the basis of complementarity and the fulfilment of assumed commitments, 
with the shared objective of strengthening, deepening and expanding trade, joint investments and cooperation. 
4.282.  Cuba benefits from the purchase of food, machinery, equipment and other Brazilian 
manufactures. Brazil's experience in the use of renewable energy sources, for example, opens up 
new possibilities for acquiring clean electricity-generation technologies. Similarly, exports of Cuban goods and services in health-related sectors are increasing. 
4.283.  As an example of South-South cooperation, Cuba and Brazil are engaged in a tripartite 
project with Haiti under which they provide support, solidarity and funding to assist 
the Haitian people in health matters. 
4.284.  Finally, we wish to commend the work of the Representatives of Brazil in Geneva, 
as exemplified by the recently elected Director-General Roberto Azevêdo. 
BENIN 4.285.  The four co-sponsors of the Sectoral Initiative in Favour of Cotton (C-4) 
welcome the Brazilian delegation to this review of Brazil's trade policies, headed 
by Ambassador Paolo ESTIVALET de MESQUITA. 
4.286.   This C-4 salutes the efforts made by the Brazilian authorities and the encouraging results 
recorded during the period under review (2009–2012.). 
4.287.  Despite external economic and financial shocks, Brazil has successfully devised 
and implemented prudent economic policies revolvin g around: (1) targeting inflation; (2) a floating 
exchange rate policy; (3) the implementation of fi scal responsibility; and (4) a regime for tackling 
inflation, all of which having positively impacted production and employment. 
4.288.  The Brazilian economy recovered vigorously in 2010, posting growth of 7.5%, 
which declined to 2.7% and 0.9% in 2011 and 2012, respectively, before starting to recover as of 
the second half of 2012. 
4.289.   According to the available forecasts, growth rates for 2013 and 2014 should be 3.03% 
and 3.5%, respectively. 
4.290.  To support the aforementioned macroeconomic endeavours, bold reforms were 
implemented with respect to: WT/TPR/M/283 • Brazil 
 
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   Fiscal consolidation; 
 improving the public debt profile and lowering the debt/GDP ratio; 
 better control of operating expenditure; 
 the strengthening of policies to favour the migration of enterprises to the formal sector, 
 streamline and simplify tax obligations and reduce the administrative and factor costs to be 
 borne by taxpayers; 
 opening and expanding credit and banking services; 
 modernizing anti-money laundering legislation, etc. 
4.291.  In addition to their positive impact on the national economy, the bold and original steps 
taken by the Brazilian authorities have also yielded encouraging spin-offs for social development by helping to reduce poverty and inequalities  and raise the general standard of living. 
4.292.  The proof is that between 2009 and 2012, social indicators for health, education, 
employment, housing, life expectancy and in come distribution improved considerably 
and programmes were implemented to promote the social inclusion of the low-income and most 
vulnerable population groups. 
4.293.  Moreover, Brazil is in the process of attaining the objective of universal basic education for 
all and there has been a substantial improvement in the level of access for the population to basic 
services such as sanitation, energy and education. 
4.294.  Brazil affirms its commitment to a fair and efficient multilateral trading system and has 
worked towards that goal. Its commitment to and support of the sectoral initiative in favour of cotton is a perfect illustration of this. 
4.295.  Indeed, since the submission of the Sectoral Initiative in Favour of Cotton to the 
competent WTO bodies, Brazil has accompanied and supported the negotiation process in this area, having grasped the full meaning and import of this request for the effective integration 
of the C-4 countries into international trade and the fight against poverty. 
4.296.  In the current context of the Doha Round negotiations, the C-4 calls on Brazil not to waver 
in the pursuit of its efforts jointly with the other WTO Members to bring about the rapid conclusion 
of this Round, taking into account its development dimension. 
SAUDI
 ARABIA 
4.297.  As detailed in the Trade Policy Reports prepared by Brazil and the Secretariat, the 
performance of the Brazilian economy has been so lid over the review period, with an average 
yearly GDP growth of 3.6%. Growth, which was fu elled by strong domestic demand and favorable 
external conditions, greatly contributed to the consolidation of macroeconomic stability and to significant progress in the reduction of poverty and inequality. This growth was supported by 
sound macroeconomic policies, a floating exchange rate regime and an inflation-targeting policy 
and important structural economic reforms. The Kingdom of Saudi Arabia congratulates Brazil for its recent economic performance and development and wishes it success in continuing its 
important structural reforms.  
4.298.  The Kingdom of Saudi Arabia and Brazil have been economically and politically close for 
many years and this relationship continues to progress. Both of our countries are members of the G-20 and actively cooperate on the international scene, in economic, trade and diplomatic fora for 
the promotion of development.  
4.299.  The Kingdom of Saudi Arabia is Brazil’s mo st significant trade partner in the Middle East 
and bilateral trade has been flourishing. In 2012, close to 600 Brazilian companies exported 
US$3 billion worth of goods to Saudi Arabia. The great majority of these exports are made of WT/TPR/M/283 • Brazil 
 
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  agricultural products and include chicken, sugar, maize, iron ore and soy. Over the same period, 
the Kingdom of Saudi Arabia exported a little overUS$3 billion worth of goods to Brazil.  
4.300.  The private sector in both Saudi Arabia an d Brazil has been actively promoting an increase 
in trade between our two countries. Just over a month ago, the Arab Brazilian Chamber of 
Commerce (ABCC), together with the Brazilian  Trade and Investment Promotion Agency 
(Apex-Brasil) and in collaboration with the Brazilian  National Confederation of Industries (CNI) and 
the Federation of Industries of the State of São Paulo (Fiesp) organized a focus market seminar in 
São Paulo to address joint trade opportunities. The Kingdom of Saudi Arabia follows with great 
interests such private sector initiatives and trusts that these contribute to further reinforce economic and trade relations between the two countries in their common interest. The complementarity of the Saudi and Brazilian economies calls for greater trade and investment 
cooperation. 
4.301.  Over the last year, Brazil’s economic grow th has decreased as a result of both domestic 
and external factors. The Kingdom of Saudi Arabia has noted with regret that Brazil has had 
increasing recourse to trade remedies and has be come one of the most significant user of the 
anti-dumping instrument in particular. The Kingdom of Saudi Arabia strongly encourages Brazil to only resort to such remedies were absolutely necessary, as resort to protectionists actions will not 
serve to reinforce the competitiveness of the Brazilian industry and will have negative effects on 
Brazilian consumers. In difficult economic times, Brazil, in line with its long standing policy, should facilitate rather than restrict trade.  
4.302.  Before closing, I wish to commend and highlight Brazil’s commitment to the furtherance of 
all aspects of the WTO and of the world trading or der. As noted by the Secretariat Report, Brazil 
sees its participation in the multilateral trading system as a mean to attain its development objectives based on sustainable and socially inclus ive economic growth. Brazil is one of the most 
active Members of this organization, both indivi dually and as part of numerous groups, and has 
reiterated its commitment to the strengthening of the multilateral trading system and to the successful conclusion of the Doha Development Ag enda (DDA). Within the on-going negotiations, 
Brazil has made numerous proposals and displayed reasonableness, forthrightness and balance. It 
recognizes the current benefits and limitations of the multilateral trading system and has repeatedly insisted on the importance of the development dimension of the negotiations. Brazil 
must be commended for all of this. 
4.303.  Importantly, Brazil is about to “give”  one of its most successful public servants, 
H.E. Mr. Roberto Azevedo, to this organization. The appointment of H.E. Mr. Roberto Azevedo as the next Director General of the WTO is a reflection of the growing international role of Brazil and 
of its dedication to this organization and th e world trading system. Building on his strong 
experience within Brazilian authorities H.E. Mr Roberto Azevedo will contribute to the strengthening of the WTO and the conclusion of ru les that will render the trading system more 
transparent and predictable for the benefit of  all Members, regardless of their level of 
development. 
NIGERIA
  
4.304.  Nigeria is pleased to note from the Secretariat Report that the Brazilian economy recorded 
a strong performance during most of the period 2007-11 with real GDP growth averaging 3.6% a 
year. Growth benefitted from strong domestic demand and favourable external conditions, 
including vigorous demand and high international prices for Brazilian commodities, which boosted 
the country's terms of trade. 
4.305.  The impressive growth is supported by sound macroeconomic policies, focused on 
achieving a primary fiscal surplus and strict inflation targets, and a floating exchange rate regime, 
which contributed to macroeconomic stability. This feat is achieved by an appreciating currency, 
and strong domestic demand growth, which has kept inflation under control, generally within the band of fluctuation allowed by the inflation-targeting policy. Sustained economic growth over almost a decade and active income policies have allowed Brazil to make important progress 
towards reducing poverty and income inequalit y, while employment figures have improved. WT/TPR/M/283 • Brazil 
 
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  4.306.  However, growth has decelerated signific antly and the average real growth rate for 2012 
was just 0.9%. This loss of dynamism may be partly  attributed to the appreciation of the Brazilian 
real and the global economic slowdown, but it also reflects long-standing structural problems affecting the Brazilian economy's competitiveness such as inadequate infrastructure, insufficient 
access to credit, and a very high tax burden. To address these problems, the Government has 
adopted measures aimed at removing infrastructure bottlenecks, expanding concessions and private-public sector partnerships, and reducing the tax burden on certain manufacturing 
industries. However, to support sectors affected by a loss of competitiveness, the Government has 
also taken some measures that have a restrictive impact on trade, including increasing tariffs temporarily, and using preferential margins for domestic goods and services in government procurement, and has increased export credits. The authorities have also taken measures to 
increase the availability of credit and the low level of financial intermediation. In mid-2011 the 
Central Bank lowered the policy interest rate (SELIC) to record low levels by Brazilian standards. On the fiscal side, the Government was able to provide stimulus while maintaining a primary 
surplus throughout the review period. 
4.307.  Bilateral relations between Nigeria and Brazil have been characterised by cooperation and 
trust between the leaders of the two countries, and set to continue to grow through the desire of 
our two countries to forge ahead in addressing the important issues that would make the world a 
better place to live. The bilateral relations generally cover political, economic and socio-cultural spheres. We cherish our ties with Brazil and would continue to do our best to consolidate these ties as well as the furtherance of relations in other sp heres. Nigeria like Brazil is a member of G-20 
that share same overall objective of fundamental reform of agricultural trade and share common 
belief on the intensification of south-south trade as a major vehicle of enhancing the integration of developing countries into the multilateral trading system. 
4.308.  As the coordinator of G-20, Brazil through its Mission in Geneva, has participated actively 
in formulating proposals and consistently supported proposals that are pro-development. Brazil along with G-20 Members tries to strike a balance between the interest of trade liberalization and 
development objectives of its members. The G-20 under Brazil able leadership has been widely 
acknowledged as a major player in agricultural negotiations, and one whose interests should be taken into account if agreement is to be reached. 
4.309.  We wish to note that in February 2013, Brazil's President Dilma Rousseff visited Nigeria 
and signed an agreement with President Goodluck Jonathan to foster Nigeria – Brazil cooperation. 
The two leaders underlined their commitment to promote bilateral technical and capacity building cooperation in agriculture, energy, power, petroleu m, works, infrastructure development, aviation 
and defence, as well as other sectors that will be  identified from time to time. The two leaders 
singled out energy, agriculture, and aviation as cr itical areas for economic diplomacy. Both Nigeria 
and Brazil share many ecological, economic, and cu ltural similarities. In fact, for nearly every 
Nigerian challenge there are Brazilian lessons. 
OMAN 4.310.  The Sultanate of Oman enjoys excellent poli tical, economic and trade relations with Brazil. 
It is an important trading partner of Oman. We also work closely with Brazil in the WTO. 
4.311.  Brazil is one of the important emerging economies. Its economic policies and economic 
development have been very impressive. According to the Secretariat Report, the rate of growth of GDP averaged 3.6% during the period 2007-2011. 
4.312.  That is quite praiseworthy considering that this period witnessed the global financial crisis 
and the Great Recession. Brazil has pursued sound macroeconomic policies, kept inflation under control and made important progress toward reducing poverty and income inequality. These are 
really solid achievements. 
4.313.  The delegation of Oman is happy to conf irm that Brazil has been and continues to be a 
strong believer in and supporter of the multilateral trading system. It is a priority in Brazil’s foreign trade policy. We laud Brazil’s commitment to well-functioning multilateral trade rules which are 
essential for the efficiency of international trade and for the good functioning of the global 
economy. WT/TPR/M/283 • Brazil 
 
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  4.314.  Oman has worked closely with Brazil in th e DDA negotiations. Sadly, these are stalled. We 
earnestly hope that these negotiations will pick up  with the induction of the new Brazilian Director 
General of the WTO. 
4.315.  The report by Brazil in document WT/TPR/G/283 mentions that Brazil recognizes that the 
current deadlock in Doha talks calls for realism and pragmatism. What are the contours of realism 
and pragmatism that Brazil envisages. And what  concrete and balanced outcome in Bali is 
envisaged by Brazil. We would be happy to listen to Brazil’s ideas on these. 
ZIMBABWE 
4.316.  The Zimbabwe delegation is pleased to note progress made by Brazil during the period 
under review despite the world financial crisis that culminated into an economic recession. Due to its sound fiscal and monetary policies, Brazil remained resilient and managed to sustain 
macroeconomic stability. Brazil's recovery and po sitive economic growth trend from 2010 to 2012 
is also attributed to the use of a broad range of policy instruments that include diversification of its external markets. This resulted in an average growth of exports of 8.6% between 2007 and 2012. 
4.317.  Brazil and Zimbabwe have enjoyed a long history of healthy economic and diplomatic 
relations. Trade between the two countries is governed by a Most Favoured Nation Trade Agreement that came into effect in 1990. Zimbabwe and Brazil also signed a Technical and 
Economic Agreement in 2006. This created a sound platform for enhanced cooperation between 
Zimbabwe and Brazil’s respective business comm unities. Trade between Zimbabwe and Brazil is 
however still relatively low compared to that of other countries in the region. Since the year 2000 trade has been fluctuating, reaching a peak of US$31 933 728 in 2011. 
4.318.  Zimbabwe has benefited from transfer of technology and investment in biofuels. An 
ethanol plant that is rated as the largest in Sout hern Africa has been established in the country. 
Zimbabwe also benefited from the Brazil–Africa Economic Cooperation programme which has seen 
the country receiving assistance to the tune of US$98 million for the procurement of agricultural 
equipment from Brazil. Brazil continues to demonstrate its confidence and affinity for Africa. Prospects for deeper economic cooperation between Zimbabwe and Brazil are high. 
4.319.  Brazil has shown commitment to the success of the Multilateral Trading System. Zimbabwe 
like other Members will continue to benefit from Brazil’s leadership in negotiations regarding the 
G-20 proposals on agriculture. My delegation looks forward to a successful conclusion of this part 
of the Doha Development Agenda. 
4.320.  Allow me to once again congratulate Brazil over the election and appointment of 
Ambassador Roberto Azevedo as the new WTO Director-General. We are hopeful that Ambassador Roberto Azevedo will steer the Multilateral Trading System to a point of moving the Doha 
Development Agenda forward.  
4.321.  Brazil is an emerging and large economy with bright future prospects. I remain hopeful 
that Brazil will continue to open its markets and allow more trade and investment flows. 
GUINEA 
4.322.  The dynamism of the Brazilian economy in recent years is undoubtedly the outcome of the 
efforts deployed by the Government of Brazil to  liberalize its economy, modernize the business 
environment, upgrade basic infrastructure and open its market. 
4.323.   Brazil and Africa share a common history that dates back to the early 16
th century. 
Africa and Brazil are therefore natural partners. Exchanges between Africa and Brazil have been stepped up since the 2000s. This has taken the form  of Brazil's growing presence in the African 
continent and the development of South-South c ooperation. Trade between the two continents 
expanded from US$5 billion to US$26 billion between 2000 and 2012. 
4.324.  To strengthen this cooperation, the former President of Brazil, President Lula, had made 
12 trips to Africa and visited 21 countries, including the Republic of Guinea. The Republic of Guinea 
and Brazil are both countries with substantial mining activities. Relations between Brazil WT/TPR/M/283 • Brazil 
 
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  and Guinea date back to the 1970s, though it was only in 2006 that embassies were opened 
in the two capitals. These diplomatic ties received fresh impetus when President Lula 
visited Guinea. 
4.325.  The President of the Republic of Guinea al so paid a working and goodwill visit to Brazil 
in 2011. The Guinean Head of State, Prof. Alpha Condé, was then able to sign a cooperation 
agreement with President Dilma Rousseff in which they explored several avenues of cooperation 
and investment of mutual benefit to the two peoples. 
4.326.  On that occasion it was decided to revitalize cooperation between Conakry and Brasilia. 
That visit also covered a cultural dossier in the State of Bahia, and a mining dossier in the State of Pará. 
4.327.  The visits to the Agricultural Research and Study Centre in Embrapa marked the 
implementation of a model of agricultural cooperation between Guinea and Brazil. 
In Salvador de Bahia, the large delegation that accompanied the Guinean Head of State also took part in International Afro-Descendants' Day ( Journée internationale des afro-descendants ). 
A twinning agreement was signed between the City  of Salvador de Bahia and the City of Boké, 
which lies on the Guinean coast north of Conakry. 
4.328.  A framework agreement was also signed paving the way for financial cooperation 
between Guinea and Brazil and which is soon to be enacted. The signing of that agreement will 
lead to a reduction of Guinean debt, as it centres on the introduction of better interest rates and longer repayment periods. 
4.329.  Guinea takes this opportunity to thank the Brazilian Government for the market access 
opportunities it has provided to the least developed countries and for the partial cancellation 
of African debt announced by President Dilma Rousseff on the 50
th anniversary 
of the African Union, which was just celebrated in May in Addis Ababa. 
4.330.   Guinea is very hopeful that the upcoming Ninth Ministerial Conference in Bali will relaunch 
the Doha Round negotiations on development, a process in which Brazil should play a preeminent role. 
4.331.  Guinea reiterates its sincere congratulations to the Government and people of Brazil on the 
election of one of their own to head the World Trad e Organization. We hope that this presence will 
bring momentum and fresh dynamism to the work on the Doha Development Programme. 
HONDURAS 
4.332.  The Secretariat Report states that the Br azilian economy satisfactorily withstood the world 
economic crisis, thanks to vigorous domestic and foreign demand and its sound macroeconomic policies. As one of the first countries to adopt prudential macro-policies, the Brazilian Government 
ensured financial stability during the crisis. Its exports were particularly dynamic, increasing 
at an annual average rate of 8.6% during the revi ew period. Similarly, by substantially increasing 
its imports, Brazil contributed significantly to the recovery of the world economy. 
4.333.  We also note with satisfaction that Brazil has come into its own as a world-class business 
centre by expanding its trade flows and considerably diversifying the geographical spread of its exports and imports. Furthermore, Braz il pursues an export promotion policy through 
a series of programmes designed to boost the competitiveness of export-oriented companies, 
and of small companies in particular, as well as to increase exports. 
4.334.  We welcome the huge strides made in reducing poverty, unemployment and inequality, 
which were possible on the back of vigorous and sustained economic growth for almost a decade 
and thanks to the implementation of active in come policies. According to World Bank data, 
the poverty index fell substantially from 21% in 2003 to 11% in 2009. 
4.335.  We are gratified to see from Brazil's Gove rnment Report that it attaches priority to the 
multilateral trading system as the basis of its trade regime and a means of achieving 
its development goals on the basis of sustaina ble and socially inclusive economic growth. WT/TPR/M/283 • Brazil 
 
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  As a founding Member of the WTO, Brazil participates very actively in its work and has submitted 
numerous proposals on, inter alia , agriculture, trade in services, intellectual property rights 
and trade rules. Similarly, Brazil has played an active part in developing the Aid for Trade process where it has a dual function both as a beneficiar y and a donor. We concur that well-functioning 
multilateral trade rules are essential to the efficiency of international trade and the good 
functioning of the world economy. In this co ntext, Brazil has consistently reiterated 
its commitment to the conclusion of the Doha Round and its objective of promoting a more 
equitable and development-oriented international trading system. 
4.336.  In the light of the dynamic and solid fund amentals of the Brazilian economy and its active 
participation at the multilateral level, Brazil's pre-eminent role in today's world economy is beyond doubt. According to data from the World Ec onomic Forum, Brazil was the world's most 
competitive country in 2009. It is currently the seventh largest economy worldwide and 
Latin America's strongest. 
4.337.  Regarding bilateral relations between Braz il and Honduras, we should mention that our 
trade is relatively small and there is a deficit in our trade balance. The Government 
of President Lobo has attached great importance to strengthening economic, commercial and cooperative relations with Brazil, proof of which is the Honduran Foreign Minister's official visit 
to Brasilia in February last year. 
4.338.  The purpose of that visit was to discuss a range of topics including the negotiation, 
in the medium-term, of a free trade agreement under the aegis of a complementarity and/or economic partnership agreement encompassing other sectors such as energy, agriculture, 
infrastructure and cooperation, amongst others. We tr ust that we will be able to increase our trade 
relations with Brazil in the near future. 
4.339.  We also wish to take this opportunity to  thank the Brazilian Government for the invaluable 
cooperation provided over recent years. The Brazilian Cooperation Agency last year signed 
an agreement aimed at promoting renewable ener gy projects for rural communities as well 
as strengthening food security processes through children's rehabilitation centres and irrigation, 
distribution and productivity systems for small farmers, amongst other initiatives. 
ANGOLA 4.340.  The reports that have been submitted to us show not only the constraints still facing Brazil, 
but also the performance of the Brazilian economy over the period from 2009 to 2012. 
4.341.  For Angola, Brazil is an economic model that attaches priority to social development 
by combining economic growth, income distribution and targeted policies to combat poverty, reduce inequalities and raise the standard of living of the people. 
4.342.  This choice is justified by historical ties of consanguinity as well as cultural, economic and 
commercial ties in the framework of the Communi ty of Portuguese-Speaking Countries (CPLP). 
4.343.  Drawing on the Brazilian experience, th e Government of the Republic of Angola has 
implemented its programme to reduce poverty through trade. 
4.344.  Trade between our two countries is growing. 4.345.  From 2009 to 2012, Brazil exported goods and services to Angola worth altogether 
three billion four hundred million dollars (US$3, 400,000,000), whilst goods and services imports 
from Angola amounted to one billion one hundred and twenty-two million dollars 
(US$1,122,000,000) for the same period. 
4.346.  Although the trade balance between our tw o countries still favours Brazil, Angola values 
Brazilian investments which – we hope – will help diversify our economy and our exports to Brazil. 
4.347.  We close by urging the Brazilian Government to continue its policy of according special 
and differential treatment to developing and least developed countries with a view to creating 
equal conditions for all Members. WT/TPR/M/283 • Brazil 
 
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  QATAR 
4.348.  My Country has strong trade ties with Brazil. For example between 2003 and 2011, trade 
in goods between Qatar and Brazil grew more than fifteen folds, from US$37 million to US$575 million. 
4.349.  In 2011, the total amount of Brazilian exports to Qatar reached US$337 million. 93% of 
these are concentrated in three products: 41% in iron ore, 29% in poultry, and 23% calcined alumina. 
4.350.  In 2011, Brazilian imports from Qatar reached US$238 million, including 49% in liquefied 
natural gas (LNG), 19% in polyethylene, 14% in  urea, 11% of naphthas, and 7% in sulphur. 
4.351.  To conclude, I would like to take this opportunity to extend my warms congratulations to 
Brazil upon Election of H.E Mr Azevedo as next Director General of the WTO. 
BARBADOS 
4.352.  My delegation congratulates the Government  of Brazil on its strong economic performance 
and its resilience over the review period. Through the support of strong domestic and foreign 
demand as well high prices for Brazils’ commodity exports and strong macroeconomic policy the 
country was successful in weathering the global economic crisis and simulating growth. In 2011, Brazil, an upper middle income Latin American country was the sixth largest economy the world.  
It has also been noted as the sixth largest recipient of foreign direct investment in the world and 
largest recipient in the Latin American region. This  is indeed commendable, given that FDI inflows 
in 2012 amounted to US$60 billion almost doubling inflows recorded in 2007. 
4.353.  Although Brazil has made significant stride s in enhancing its economic development, it has 
been noted that there are some structural problems affecting its competitiveness and which 
restricts its ability to achieve higher levels of growth. These are complex and onerous tax system, inadequate infrastructure, highly regulated labour markets and high costs for industrial inputs. We 
therefore note the efforts made by Brazil aimed at increasing competitiveness and congratulate 
them on the formulation and implementation of  the Plano Brasil Maior 2011-2014 geared at 
bolstering development and regaining competitiveness through the utilization of industrial, 
technological and foreign trade policies. We wish them well in this regard.  
4.354.  Brazil continues to demonstrate its commitm ent to the multilateral trading system through 
its participation in the Doha Round of negotiations, particularly, in its support for advancing the development interests for developing countries, including Small, Vulnerable Economies (SVEs). In 
this connection, my delegation enjoys a constructive working relationship with the delegation of 
Brazil and acknowledges the active role that Braz il plays in the ongoing Doha Development Agenda 
(DDA) as outlined in the Secretariat’s report. As a sister country in the Latin America and 
Caribbean region, Barbados maintains cordial trade and political relations with Brazil.  Like Brazil, 
Barbados notes the importance of regional trade in expanding the market for domestic production 
and enhancing socio-economic development in our countries and we continue to examine ways in 
which we can deepen the relationship with our Latin American neighbor.   
GUATEMALA 4.355.  Brazil has been an important partner for Guatemala not only from a trade standpoint. 
Brazil has also supported Guatemala in the wake of several unfortunate events caused by natural 
disasters and we are grateful to that nation in that regard. 
4.356.  We are pleased to note that Brazil made si gnificant economic progress over the last five 
years of the period under review with real GD P averaging growth of 3.6% concurrently with 
significant progress in reducing poverty, unemployment and income inequality. All this resulted 
from sound macroeconomic policies that went hand-in-hand with appropriate foreign exchange management as well as export promotion that enabled it to grow at an annual average rate 
of 8.6% in the sector. WT/TPR/M/283 • Brazil 
 
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  4.357.  We are nonetheless struck by the fact that to bolster the sectors affected by the slowdown 
as indicated in the Secretariat Report, Brazil adopted trade restrictive measures such as temporary tariff increases and the use of pref erential margins for domestic goods and services 
in government procurement. 
4.358.  We view with similar concern the fact that to date Brazil has signed 14 bilateral 
agreements on investment and negotiated two MERC OSUR protocols in that same field, but that 
owing to various circumstances mentioned in the Secretariat Report, none of those instruments 
has taken effect. This is tantamount to a warning sign with respect to future bilateral negotiation 
initiatives with Brazil. 
4.359.  Finally, we would also like to express our concern at the fact that Brazil has still not ratified 
the Fourth GATS Protocol and we hope that the inte rnal formalities necessary for its ratification will 
soon be concluded. 
4.360.  Generally speaking, we acknowledge Brazil's efforts in major areas and hope that these 
efforts will progressively attain the goals set. WT/TPR/M/283 • Brazil 
 
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  5  REPLIES BY THE REPRESENTATIVE OF  BRAZIL AND ADDITIONAL COMMENTS 
5.1.  As we are about to enter the final phase of the Sixth Trade Policy Review of Brazil, I wish to 
thank you, Mr. Chairman, for the efficient way in which you have conducted our work. I would also like to warmly thank our discussant, Ambassador Choi, from Korea, for his interesting and inspired 
comments. We are pleased at the keen interest displayed in relation to Brazil's policies in so many 
different areas. We have received written questions from 32 delegations. On Monday, 42 delegations intervened in the debate representing, as you mentioned, roughly half the 
Membership of the WTO. 
5.2.  We welcome the comments, suggestions and, indeed, even the criticism that we have 
received from Members. We are pleased to have an  opportunity to answer questions and to clarify 
aspects of our trade regime.  
5.3.  The trade policy review is, first and foremost, a learning experience. It offers the opportunity 
to see how the WTO rule book is translated and applied in order to cope with the political, legal, economic and social realities of each Member. The objective, as stated in the preamble to the 
GATT, is to raise standards of living, to ensure full employment and a large and steadily growing 
volume of real income and effective demand, to develop the full use of the resources of the world and to expand the production and exchange of good s. This is the real test of good trade policy. 
5.4.  At the same time, WTO rules also embody our collective commitment to pursue these 
objectives through the progressive reduction of barriers to trade and non-discrimination. We are therefore pleased to have brought such a large and diversified delegation from Brasília. My 
colleagues have taken copious notes and they will consider carefully the remarks that were made 
here. 
5.5.  I would now like to start addressing the points that were raised on Monday. 5.6.  The Permanent Representative of Paraguay has raised some issues related to his country's 
situation within MERCOSUR.  
5.7.  While noting that none of Paraguay's remarks bear any relationship to WTO rules in general 
or to Brazil's TPR in particular, my Delegation finds it appropriate to reiterate that the decision to 
suspend Paraguay from MERCOSUR bodies an d deliberations was made unanimously, at 
presidential level, following the rupture of the democratic order in that neighboring country. My delegation also recalls that the decision does not directly intend to pass judgment on internal matters in Paraguay as such, but, rather, constitutes a necessary response to the principle, 
enshrined in the Ushuaia Protocol on Democratic Commitment, that fully-functioning democratic 
institutions are essential to the integration processes taking place within MERCOSUR. An analogous decision was taken by consensus within UNASUR.  
5.8.  At the same time, my Delegation would like to point out that Brazil, together with the other 
MERCOSUR Member States, has taken every step to ensure that no measure be taken in a way that may cause damage to the people of Para guay. Cooperation with Paraguay remains fully 
operational. With regard to trade, I note with sati sfaction that Paraguay's exports to Brazil totaled 
US$789 million in 2011 and US$1.067 billion in 2012,  an increase of over 35%. Brazil was the 
main destination of Paraguay’s exports in both years. It accounted for over 14% of Paraguay’s 
exports in 2011 and over 21% in 2012. In the first few months of this year, exports have also 
increased compared to the same period in 2012.  
5.9.  Finally, my Delegation would like to take this opportunity to welcome the fact that electoral 
authorities in Paraguay authorized a UNASUR mission to accompany elections held in that country 
on 21 April 2013, and to remind that the Presidents of all MERCOSUR Member States in full 
exercise of their rights called President-elect Hora cio Cartes to congratulate him on his election. 
5.10.  Turning now to the object of our TPR proper, I will try to address the list of topics that you, 
Mr. Chairman, kindly provided at the end of our session on Monday, though not in the same order.  
5.11.  The first issue is the macroeconomic environment. We are pleased to note that Members 
acknowledge the overall good performance of the Brazilian economy in the period under review. WT/TPR/M/283 • Brazil 
 
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  This is a result of structural measures aimed at reinforcing macroeconomic stability and of the 
establishment, over a number of years, of a sound basis for macroeconomic management – including the use of countercyclical measures. 
5.12.  The consolidation of the basis for sustainable growth in the long run is, however, a work in 
progress. The challenge of development is that th ere are many tasks that have to be pursued in 
parallel. The institutions in charge of formulating and implementing public policies have been strengthened, but shortcomings remain. Brazil has finally achieved universal primary education, 
but there is a need to improve quality. The health  care system has made great strides, but it still 
falls short of expectations. The employment situation has improved on all fronts, but there is a shortage of skills in some areas. There is a huge need for improvements in infrastructure. There is 
a strong commitment to reduce the environmental impact of economic activities. None of these 
tasks is simple. And they have to be – and are being – undertaken at the same time.  
5.13.  We would like to expand on what is being do ne on each of these areas, but in the interest of 
time I will focus on the issues more directly related to trade. A point worth stressing is that the 
Brazilian Government is committed to continue to improve the business climate for domestic and 
foreign investors. The point has been made that our tax system is complex and burdensome. We are only too aware of that, and you can count on the support of the Brazilian private sector to 
push for rationalization and simplification. It is an effort for the long haul, however, as the reforms 
have to be undertaken within the constraints of a democratic and federal system.  
5.14.  The Government is working with Congress on these issues. There has been a change in 
tactics in the more recent period. Instead of trying to garner support for a “Big Bang” reform of 
taxation, a more gradual approach has been taken. This has led, for instance, to a significant 
reduction in energy costs. There has also been a shift in payroll-based to revenue-based taxes, which is intended to favor labor-intensive firms. We expect to be able to report further 
improvements by the time of our next TPR, but I cannot promise definitive solutions. 
5.15.  With regard to infrastructure, public investment in logistics, social and urban infrastructure 
totaled R$557.4 billion (US$250 billion) in the la st two years. Roughly the same amount is 
expected to be spent until the end of next year.  
5.16.  As we mentioned on Monday, the legal framework has also been changed in order to 
promote private investment, in airports, ports, road s and railways. To give just an example, under 
legislation enacted earlier this year, we expect to foster private investment in ports to the tune of 
more than US$30 billion until 2017. This will stimulate competition in this sector. As a result, 
domestic and foreign traders will enjoy better serv ice and lower costs when using Brazilian ports.  
5.17.  A number of delegations have made comments with regard to the time required for customs 
clearance. I would like to point out that Brazil has taken measures to reduce customs clearance 
time, with good results. There was, however, an increase in average clearance time in 2012 due to public-sector strikes and infrastructural problems. We expect improvements on both counts. 
5.18.  Some ongoing initiatives were mentioned in the Reports and are worth highlighting in this 
session:  
 In August 2012, a National Centre for Customs Risk Management (CERAD) was set up to 
 improve the risk management and targeting of transactions.  
 Since May 2013, 24/7 working hours for customs clearance have been adopted at 8 major 
 seaports. 
 By the end of 2013, non-intrusive inspection equipment for containerized cargo inspection 
 will be in place at the major points of entry,  mainly to speed up and to improve the customs 
 clearance flow.  
5.19.  In addition, Brazilian Customs has al ready started process-mapping, reviewing and 
re-engineering its customs operations, with a view to improving import and export procedures in 
the near future. One of the main ongoing projects is the International Trade Gateway (Portal Único WT/TPR/M/283 • Brazil 
 
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  de Comércio Exterior), which aims at integrating the existing systems in a single system in the 
near future.  
5.20.  A number of Members have expressed concern at the increase in the number of 
antidumping investigations in Brazil. It is worth stressing that the use of trade defense instruments 
is a function of the number of petitions subm itted by the domestic industry, and not as a 
consequence of political decisions. During the period under review, all investigations were initiated through petitions submitted by the Brazilian indu stry. Petitions are examined exclusively from a 
technical point of view. About 50% of petitions are rejected, i.e., they do not lead to 
investigations. Out of all investigations initiated, about 40% do not result in the imposition of definitive measures. During the period of investigation all interested parties are granted full opportunities to express their views. And, as I mentioned on Monday, the share of Brazilian 
imports affected by trade defense measures has actually declined in the last 4 years.  
5.21.  There have also been some references to Brazilian incentives to agriculture and fisheries. 5.22.   The openness of the Brazilian agricultural trade regime is widely recognized by multilateral 
organizations. Our tariffs are low, and Brazil’s domestic support measures are limited: our AMS 
commitment represents less that 1% of Brazilian production. Brazil also does not grant export 
subsidies. 
5.23.  Brazilian support to agriculture is much lower than the average of OECD countries, despite 
its greater need of assistance to micro, small an d medium producers. The focus of our agricultural 
policy on small and family farms has continued to increase in recent years. The Government remains committed to the adoption of less distortive measures, as our figures regarding green box 
measures clearly show. 
5.24.  In the field of fisheries subsidies, it is worth recalling that Brazil has played a key role in the 
discussions in the Negotiating Group on Rules of the Doha Round. In those negotiations, Brazil was 
a major defendant of the positive relationship between fisheries subsidies and overcapacity and 
overfishing, in line with some of the core positi ons advocated by countries of the so-called Friends 
of Fish. In line with this approach, I would like to stress that fisheries programs in Brazil take into 
consideration both sustainability and fishing effort analysis in order to avoid spillover effects, with 
precautionary and ecosystemic elements. 
5.25.  In addition, in international terms, the programs carried out by the Brazilian government 
accounted only for negligible disbursement amounts. Disbursements under the diesel oil 
equalization program accounted for only US$1.2 million in 2012. Only 13 vessels benefited from 
the program for modernization and construction since 2006. 
5.26.  With regard to export incentives, it is worth stressing that since the last Trade Policy Review 
of Brazil, there were no major quantitative or qualitative changes in export financing programmes. 
5.27.  Brazilian financing policy during the past fo ur years aimed at sustaining the level of medium 
and long-term financing to exporters, in the context of the global economic and financial crisis. 
From 2009 to 2012, Brazilian exports of manufactured goods remained relatively buoyant, 
resulting in BNDES’ disbursements in 2012 being lower than in 2008.  
5.28.  As regards compliance with obligations under the TBT Agreement, it was remarked that 
Brazil had not made any notifications under Articl e 10.7 of the Agreement since 2003. This is true, 
but the reason is that, as in the case of most other Members, there were mutual recognition 
agreements to notify during this period. 
5.29.  Brazil continues to make efforts to in crease transparency and to promote a better 
understanding of Brazilian technical regulation s among fellow WTO Members. During the period 
under review, INMETRO made 395 notifications of technical regulations and conformity assessment procedures to the TBT Secretariat (considering new measures, addenda and corrigenda). Brazilian 
notifications accounted for 5.2% of all notifica tions made by Members during this period.  WT/TPR/M/283 • Brazil 
 
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  5.30.  With regard to technical regulations and conformity assessment procedures, more 
specifically the certification of industrialized products, we would like to clarify that most products are already certified in accordance with the requirements of international standards.  
5.31.  For a few products which may offer higher risks to human health, Brazilian regulations still 
require prior exam from Brazilian authorities. The possibility of recognition of Good Manufacturing 
Practices (GMP) certificates issued by foreign Health Authorities on a reciprocity basis is under consideration. 
5.32.  Moving on to intellectual property, a few delegations have reiterated previous comments 
regarding the role of ANVISA.  
5.33.  For our part, we would like to recall that Article 1.1 of the TRIPS Agreement provides that 
"Members shall be free to determine the appropriate method of implementing the provisions of this 
Agreement within their own legal system and practice." In Brazil, the granting of pharmaceutical 
patents is one complex administrative act. This act relies on the combined expertise of both ANVISA and INPI. 
5.34.  ANVISA’s examinations are carried out in full compliance with the Industrial Property Act 
and with the three criteria of patentability pr ovided in Article 27.1 of the TRIPS Agreement: 
novelty, inventive step and industrial application. ANVISA’s role in the granting of pharmaceutical 
patents also relies on Article 27.2 of the TRIPS Agreement. We are confident that it does not 
constitute an obstacle to international trade.   
5.35.  Regarding foreign direct investment, we would like to point out that foreign capital in Brazil 
receives the same legal treatment as that given to local capital in the same sector. No restrictions 
are applied to the distribution and remittance of profits abroad. 
5.36.  FDI flows and stocks have significantly increased over the past 15 years in Brazil, making 
the country the largest host for foreign investment in Latin America and second only to China 
among developing countries.  
5.37.  In the specific case of the acquisition and lease of rural land by foreign investors, a number 
of regulations apply. In 2010, a mandatory Government legal opinion clarified that Brazilian 
companies with foreign equity control are subject to the same regime imposed on foreign 
companies.  
5.38.  Existing conditions and limitations have  not hampered the development of productive 
investment by foreign companies in Brazil, since the Law provides the mechanisms to ensure the 
analysis of agricultural, cattle-raising, industrial or settlement projects. 
5.39.  The discussant raised a question about changes in the competition framework in Brazil. In 
fact, the Brazilian competition authority, CADE, ha s become more effective by focusing on cases 
with a larger potential impact on competition. The new competition law established a pre-merger 
analysis system, which increased the speed of CADE ’s procedures. As a result of the reform of 
CADE, the British publication “Global Competition Review” assessed it as one of the ten best 
competition agencies in the world. 
5.40.  Some GPA participants raised questions about Government procurement. At the moment,   
 Brazil has no plans to join the GPA.    Nevertheless, the Brazilian government continues to improve 
transparency and efficiency by streamlining the bidding process and publishing all related 
information on the government procurement official website.    T h a t  i s  w h y ,  a s  n o t e d  b y  t h e  
Discussant, the OECD commended Brazil’s prog ress in promoting transparency and risk-
management throughout the procurement cycle.    
5.41.  I would also like to stress that the defini tion of sectors and their respective preferential 
margins is not arbitrary, but rather based on impact assessments.    The calculation of preferential 
margins is not intended to restrict trade. Th e methodology of calculation aims to equalize 
competitive conditions among all supply sources.    WT/TPR/M/283 • Brazil 
 
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  5.42.  Moving on to import licensing, it is worth noting that less than 20% of goods are licensed by 
more than one entity. Products subject to non-automatic licensing are listed in the Administrative Treatment of the Integrated System of Foreign Trade (SISCOMEX) and can also be found on the web page of the Ministry of Development, Indust ry and Foreign Trade (MDIC). They consist mostly 
of products that may cause damage to human, plant or animal health, products capable of causing 
environmental damage, products classified as weapons or made for warlike purposes, products subject to tariff-rate quotas and products subject to trade remedies measures established in 
accordance with the WTO agreements. 
5.43.  Brazil is constantly reviewing and improving its import licensing regime. The Technical 
Group on Trade Facilitation (GTFAC) established by  CAMEX is updating procedures and regulatory 
legislation, in addition to fostering cooperation and risk assessment analysis among government 
agencies. The GTFAC acts as the National Trade Facilitation Committee in Brazil and is responsible 
for monitoring, reviewing, reporting progresses and proposing measures in a wide range of trade facilitation aspects on a permanent basis to the Council of Ministers of the Brazilian Ministerial 
Chamber of Foreign Trade (CAMEX). 
5.44.  On services, there were few comments from delegations. I understand there is a general 
recognition that the Brazilian market is fairly open, although our level of commitments under GATS 
is not very high. There was a comment from a delegation regarding a tax on the use of 
lighthouses. Its impact is so marginal that I think it throws light on the absence of major obstacles to foreign providers in Brazil. 
5.45.  Several delegations complained about tariff increases in Brazil. I would like to make two 
points in this regard. The first is that it would have been fair to praise us for the many instances in 
which tariffs have been lowered. The second point is that I am tempted to say that we were motivated by the desire to see some recognition of the value of the water in our tariffs. In the 
course of the Doha negotiations, we often heard th at the only tariff reductions that mattered were 
the ones that lowered applied rates. Had the Doha Round been concluded, those tariffs would not have gone up. 
5.46.  This brings me to the final issue I would like to raise. Delegations have asked us not to raise 
tariffs, to join the GPA or the ITA. We also have our wish list and we will not fail to let you know about it in the course of the coming trade policy review of each of your countries. But they will remain as wishes unless, to use again the language in the preamble to the GATT, we decide to 
“enter into reciprocal and mutually advantageous arrangements directed to the substantial 
reduction of tariffs and other barriers to trade”. This is why Brazil is deeply committed to the success of the 9th WTO Ministerial Conference in Bali. A balanced package is crucial to revive the 
negotiating pillar of the WTO and therefore to strengthen the multilateral trading system. 
5.47.  Brazil believes that we need balanced and effective results in Agriculture, Trade Facilitation 
and Development. Brazil has been very active in tabling proposals and has engaged in the 
discussions in a constructive manner. Brazil’s participation is aimed at a successful conclusion in 
Bali and we are confident that the membership w ill deliver what the world is expecting from us. 
DISCUSSANT 5.48.  I am very happy to note that Members have actively engaged in the 6th TPR of Brazil over 
the past few days. I heard their recognition of the Brazil’s overall development potential and 
economic performance as well as its achievements during the period under review. At the same time, we also shared Members’ questions and concerns about Brazil’s trade and investment policy 
regimes. In response, the Brazilian delegation pr ovided detailed answers and clarifications on 
questions raised, and at the same time, showed its commitment to improve some of the areas, including complex tax schemes, customs procedures, import licensing schemes etc., which I 
greatly appreciate.  
5.49.  Considering the size of Brazil’s economy and the multi-faceted nature of its trade policies, 
this short period would not be sufficient to cover all of the issues on its trade and investment policies. I wish to note some of the points which WTO Members raised during this session: WT/TPR/M/283 • Brazil 
 
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  5.50.  First, regarding measures directly affecting imports, Members raised questions including on 
structural problems, complex customs procedures, customs valuation and rules of origin, gaps existing between applied and bound tariffs, comple x internal taxation schemes including IPI, and 
non-automatic import licensing system. Questions were also raised on the frequent use of trade 
remedy measures including, in particular the AD . Of course, Brazilian delegation responded in 
detail to those questions raised last Monday.   
5.51.  Second, regarding measures directly affecting exports, questions on complicated export 
procedures and export taxes and duties were raised. In particular, a number of clarifications were 
sought on export incentives and export financing, and particularly the domestic content requirement in BNDES-EXIM programmes, and their consistency with the relevant WTO rules. In addition, many questions were put forward on incentives and support programmes including the 
INOVAR-Auto programme, competition policy, the government procurement regime, and the IPR 
regime in general. 
5.52.  In conclusion, I believe that the two day meeting provided a good opportunity to review 
Brazil’s trade policy and the interactions between  Members and the Brazilian delegation have been 
both informative and productive. Of course, there are remaining points which were not brought up or warrant further discussions. We will continue to look at these issues very closely. In addition to 
that substantive dialogue, we saw a big welcome for the upcoming Director General of the WTO 
from Brazil as well as the expectation for Brazil  as an emerging power and its continued strong 
commitment in the multilateral trading system. I would like to thank all of you, and wish Ambassador Mesquita and his delegation a safe trip back to Brazil.   
PERU 
5.53.  Our delegation salutes the fact that during the period under review, Brazil recorded solid 
economic growth and implemented policies that made for progress in alleviating poverty, 
unemployment and income inequality. Those accomplishments were made despite a complex 
international setting overshadowed by a world economic crisis, and must be put down to vigorous domestic and international demand as well as sound microeconomic policies. 
5.54.  During the 2007–2012 period, Brazil recorded  economic growth of 3.6% per annum, helped 
by vigorous demand and high prices for its commodities, mainly mining and agricultural ones, as well as trade expansion running at 8.6% annually.  Its economy nevertheless decelerated as of the 
second half of 2011 and registered average growth of just 0.9% in 2012. Although this erosion of 
dynamism can be attributed to the appreciation of its currency and a sluggish world economy, it is 
also a reflection of long-standing structural problems affecting the competitiveness of the Brazilian economy, such as inadequate infrastructure, insufficient access to credit and high taxes. We 
observe that the Government of Brazil is taking steps to address these bottlenecks, in particular as 
pertains to infrastructure. Those steps include pu blic-private partnerships and reducing the tax 
burden on some manufacturing industries, actively promoting private investment, in particular in 
transport infrastructure, energy and technology-intensive sectors in order to improve 
competitiveness; Brazil was the world's sixth largest recipient of foreign direct investment in 2012. 
5.55.  The historical ties between Peru and Brazil, which share a common 3000 km border, 
go back a long way and entail very close bilateral relations characterized by cooperation that has 
been raised to the level of a strategic alliance. Our bilateral relations have been enriched 
by growing trade, increased Brazilian investment in Peru and vice versa, frequent tourism, business, academic, technological and cultural exchanges, as well as the ongoing physical 
integration process, one of the main underpinnings of which is the interoceanic highway. 
My delegation therefore takes special interest in this review. 
5.56.  There are several areas of convergence be tween Brazil and Peru. In the WTO we share the 
objective of sustainable development, the commitment to the successful conclusion 
of the Doha Round and to achieving a balanced package in Bali that covers trade facilitation, agriculture and development. In terms of interest groups, we participate in the G-20 and the Cairns Group in pursuit of greater open ing and less distortion in agricultural trade. 
Our Governments are committed to promoting sustainable, socially inclusive development, 
and hold the view that trade must be a tool for securing development and the wellbeing of our peoples. WT/TPR/M/283 • Brazil 
 
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  5.57.  Bilateral trade relations were reinforced with the adoption of Economic Complementarity 
Agreement No. 58 (ACE 58) by Peru and the MERCOSUR States Parties, effective since January 2006. The aims of ACE 58 include esta blishing the legal and institutional framework 
for cooperation and economic and physical integration that helps create an expanded economic 
space to facilitate the free circulation of good s and services and the full use of factors 
of production on a competitive basis. 
5.58.  Brazil is one of Peru's most important trading partners in the Latin American region 
and bilateral trade is on the rise and shows potential for trade in non-traditional products. At the 
close of 2012, our exports to Brazil were worth US$1,403 million, the main products being copper ores and articles of copper, zinc ores, hydrocarbons, silver, olives, colour lakes, calcium phosphates, cotton shirts, tara and colouring matter. Imports amounted 
to US$2,579 million, the principal ones being oils, vehicles, flint maize and flat-rolled products 
of iron and steel. 
5.59.  Brazil is the source of 5% of FDI in Peru, which according to the records of the 
Embassy of Brazil in Lima amounted to US$6,00 0 million, being concentrated in the mining, 
industrial and services sectors. Peruvian companies are also investing in Brazil, more specifically in the sectors of aerated and other beverages, food and banking; some examples of Peruvian 
investors are companies such as Ajegroup and Interbank, as well as Grupo Brescia 
and Grupo Gloria. We believe that Peruvian investments will continue above all in sectors such as gastronomy, which offers interesting prospects for our franchises. 
5.60.  We therefore expect the level of trade and investment to increase, and in 
particular Peruvian exports, as the balance of trade currently shows a surplus in Brazil's favour. 
5.61.  On this occasion our delegation has submitted some questions to Brazil regarding 
its customs administration, technical standards, intellectual property rights, arrangements 
regarding technical obstacles to trade in regional trade agreements, the use of anti-dumping 
measures, export support and related tax measures, competition policies and government procurement. We thank the delegation of Brazil for the replies. 
5.62.  Finally, my delegation wishes Brazil succe ss in this review and hopes that it may serve 
as the basis for boosting the country's development. 
EUROPEAN
 UNION 
5.63.  We would like to acknowledge and express our appreciation for the efforts made by the 
Delegation of Brazil in presenting its replies to Members' advance questions (more tan 
800 questions received). 
5.64.  We have carefully studied the replies which provide us with valuable information necessary 
to understand the situation in Brazil on the issues raised in our first set of questions. 
5.65.  However, in several areas we would still like to be provided with additional clarification as to 
certain measures, and in particular those that involve the use of incentives to domestic producers 
through tax breaks linked to local content conditions. 
5.66.  Regarding Brazil's decision to raise a significant number of tariffs, as exceptions to the 
MERCOSUR Common External Tariff (CET), we would like to know what is the rationale behing this step, which, we understand, has been taken following a product-by-product analysis of 
competitiveness. 
5.67.  On Sanitary and Phytosanitary measures, we are eager to know more about the measures 
taken by the Government to improve its import procedures and controls, in particular whether 
these efforts will lead to a simpler system elim inating overlapping, burdensome procedures, that 
do not add any value from an SPS protection point of view. 
5.68.  Regarding the export taxes and the public  procurement domestic preference margins, we 
are interested in getting further information from Brazil on whether they consider these measures 
still justified and on the basis of what studies/analysis. WT/TPR/M/283 • Brazil 
 
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  5.69.  We are looking forward to this session to complete our understanding of Brazil's trade policy 
and reiterate our appreciation for the answers that Brazil has already provided. 
UNITED  STATES 
5.70.  The United States would like to thank Brazil for answering our advance written questions. 
The United States does have a few follow-up questions which we have already submitted in writing 
and I will briefly mention the topics today. 
5.71.  First, Brazil's implementation of the TRQ commitment on wheat as indicated in Schedule III 
of Brazil’s Uruguay Round goods schedule. Se cond, application procedures for geographic 
indication registration. And third, ANVISA's procedures for patent application. 
5.72.  We thank Brazil for its early replies and look forward to receiving its answers to these 
questions in due course. 
JAPAN 
5.73.  Japan expresses its sincere appreciation for the effort made by the Brazilian delegation for 
providing us with the informative explanation in your responses to our concerns. I also appreciate 
the help for comments from the Discussant. 
5.74.  Japan has submitted follow-up questions on interest rate applied under PROEX Equalization 
and on details of eligibility for using the modified PROEX. We are looking forward to receiving 
Brazil's answers in due course. 
5.75.  Finally we reiterate our hope that Brazil  will address the areas of concerns raised by 
Members, and that as a player with responsibility it will continue its strong commitment to strengthening the multilateral trading system. 
CANADA 
5.76.  Canada, like others, would like to thank Brazil for the answers provided to our questions 
and also for the information provided this morning in the statement responding to some of our 
concerns and questions raised on the first day. 
5.77.  Canada does have two small follow-up questions related to special cases where they may be 
some cooperation on conformity assessment. 
PARAGUAY 
5.78.  I would merely like to reiterate that Paraguay's suspension by all the members 
of MERCOSUR lacks legality as it violates the fundamental principles of the bloc contained in the Ushuaia Protocol, as mentioned by the Ambassador of Brazil. 
5.79.  I also wish to reiterate that another major violation of the Treaty has been the recent 
expansion of the bloc. Other important decision s taken by the bloc since Paraguay has been 
absent, such as formulating a common external tariff, increasing the protection of the bloc, 
also lack legality as they are not based on  the consensus prescribed in the Protocol. WT/TPR/M/283 • Brazil 
 
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  6  CONCLUDING REMARKS BY THE CHAIRPERSON 
6.1.  This sixth Trade Policy Review of Brazil has provided an excellent opportunity to improve our 
understanding of Brazil trade and investment policies. I would like to thank Ambassador Paulo Estivallet de Mesquita, Director-General of the Ec onomic Department at the Brazilian Ministry of 
External Relations, Minister-Counsellor Marcia Donn er Abreu of the Permanent Mission of Brazil to 
the WTO, and the rest of the large Brazilian delegation, for their constructive engagement throughout this exercise. I would also like to thank Ambassador CHOI, Permanent Representative 
of the Republic of Korea to the WTO, for his inte rvention as discussant. Brazil's written answers to 
the over 800 written questions have been well appreciated by Members and we look forward to Brazil's replies to the additional questions subm itted today, no later than one month after this 
meeting.  
6.2.  Overall, as mentioned by the discussant, Members recognized Brazil's overall development 
potential and economic performance, as well as its achievements during the period under review.  Brazil was commended for having weathered the global economic crisis well, largely due to sound 
macroeconomic policies. Members also noted that  GDP growth averaged 3.6% over the 2007-2012 
period, driven by strong domestic demand and favo urable conditions for Brazilian exports. Brazil 
was congratulated for the progress made in further diversification of its trade. Members also 
strongly welcomed the improvements made in social indicators, including poverty alleviation, and 
reduction in income inequality and unemployment du ring the period under review. However, it was 
also noted that GDP growth decelerated since mid-2011, partly triggered by the appreciation of the real and the global economic slowdown, but also reflecting structural shortcomings that affect 
Brazil's competitiveness. These include inadequate infrastructure, insufficient access to credit, 
labour market rigidities, and a complex tax system. Members expressed their hope that Brazil would address these challenges without resorting to trade restrictive policies, in particular given 
the large size of the Brazilian economy and its impa ct on world trade. Members also observed that 
competitiveness could be enhanced by improving the business environment.    
6.3.  Members welcomed Brazil's active participation in the multilateral trading system and in the 
Doha Development Agenda, including in agriculture, as a coordinator of the G-20, and in 
development-related issues. Brazil was commended fo r its strong commitment to the finalisation of 
the DDA, for its engagement in South-South cooperation and for its initiatives in support of LDCs. Brazil was also encouraged to assume additional responsibilities in the WTO commensurate with its 
prominent position in the global economy. In this  respect, some Members invited Brazil to accede 
to the GPA, to join the negotiations to expand the coverage of the Information Technology Agreement, and to ratify the Fifth Protocol to the GATS.  
6.4.  It was noted that in order to address the loss of competitiveness, especially in the 
manufacturing sector, Brazil has expanded credit programmes and adopted a number of 
measures, including under the Plano Brasil Maior. However, some of the measures taken, such as 
temporarily increasing tariffs, using preferential margins for goods and services in government 
procurement, and applying criteria to favour do mestic production when granting incentives or 
credits, might have a restrictive impact on trade. In general, Members prompted Brazil to refrain from the use of this kind of measures and to make trade policy implementation more transparent 
and predictable. 
6.5.  Members also noted that Brazil has stepped up the use of contingency measures, in particular 
antidumping, and urged the Brazilian authorities to  ensure accurate and fair application of such 
measures, as well as exercise restraint in the re course to them as they may stifle trade.    
6.6.  The main – although admittedly non-exhaus tive – areas for possible improvement brought up 
by Members during the review include the following and let me stress here th at we have also taken 
due note of the comments provided by Ambassador Paulo Estivallet de Mesquita today, as well as 
Monday, which address many of these points:  
 Tariffs:  Beyond encouraging a closing of the substantial gap between bound and applied 
 rates, Members expressed concern with respect to the tariff increase on 100 tariff lines in 
 October 2012 and the possibility that a furt her increase on another 100 lines could take 
 place in 2013. Some Members enquired about the possible effect of these increases on WT/TPR/M/283 • Brazil 
 
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   Brazil's prices and competitiveness as well as on the level of imports. Brazil replied that 
 technical studies were conducted to analyse the desirability of any tariff changes. 
 Other charges affecting imports:  It was noted that the level and complexity of Brazil's 
 tax system has a considerable impact on the pr ice of imported goods. Questions were raised 
 on Brazil's plans to simplify internal taxation, on national treatment of some tax reductions 
 or suspensions, and on plans to harmonize stat e value-added tax rates. Brazil answered that 
 there are plans to simplify the taxation syst em, beyond improvements already made, but it 
 is an effort for the long haul and that there is no discrimination in the application of tax 
 reductions or suspensions. 
 Customs and Import licensing:  While noting improvements made in customs and trade 
 facilitation, Members enquired about the increased costs related to customs clearance during 
 the period of review. Brazil was also requeste d to provide an explanation for the wide use of 
 non-automatic import licensing, as well as information with respect to licensing procedures,  the agencies involved, and the conditions attached to licensing. Brazil replied that the list of 
 items subject to licensing was publicly available and that licensing was used mostly for 
 health, safety and environmental reasons, or for products subject to tariff quotas (TRQs) or  trade remedy measures. 
 Incentives schemes and credit programmes:  Members raised numerous questions with 
 respect to the different incentives programme s available, in particular the conditions 
 attached, such as local content and/or production process criteria. Concerns were raised  with respect to some sector-specific schemes, such as in automotives, telecommunications, 
 chemicals, and oil and gas sectors. Members al so raised questions with respect to the scope, 
 benefits and trade effects of different export incentive programmes. Similarly, the  conditions to benefit from some credit and guarantee programmes, especially those 
 managed by the BNDES, were the subject of  a large number of questions, including the 
 criteria for local content and production process conditions, the use of non-automatic  procedures in the allocation of credits, an d the determination of interest rates. Some 
 Members enquired about the WTO consistency of parts of these programmes. In its replies, 
 Brazil stated that it does not consider that there are any local content conditions and that  the application of its incentive programmes is not discriminatory. With regard to credit  programmes, Brazil replied that it considers that nothing in the WTO Agreements should be 
 read as prohibiting a Member to establish conditions on production or on technology. 
 Government procurement:  While improvements have been made, especially with regard 
 to transparency and risk management, some Members expressed concern with the recent 
 introduction of domestic preferences in the government procurement process, and enquired 
 about the reasons why the requirement to use tendering procedures is frequently waived.  Brazil responded that the introduction of preference margins does not intend to be 
 discriminatory or trade restrictive, but to promote job and income generation in the sectors 
 selected. 
 Intellectual property:  A number of Members posed several questions with respect to other 
 IPR issues, including geographical indications, copyright protection, patents, compulsory 
 licensing and enforcement. Questions were asked in particular with respect to procedures for 
 patent applications for pharmaceutical products and the agencies involved. In particular,  concerns were expressed regarding prior cons ent requirements by the health and sanitary 
 agency ANVISA. In response, Brazil noted that ANVISA's examination focuses on the three 
 patentability criteria provided for in the TRIPS Agreement. 
 Agriculture:  Members noted that Brazil's average protection for the sector was low, 
 however, they noted the possible trade-distorting effect of some measures such as the 
 policy of guaranteed minimum prices, and queried about the insufficient availability of  private credit to the sector. Brazil replied that it considers its agricultural regime open, with  limited levels of protection. On rural credit, Brazil noted that there are no barriers for its 
 provision by private banks, but rather  a lack of interest on their part. 
 Investment and services:  Members remarked that the different services sectors were 
 relatively open to foreign investment, providing the same legal treatment for foreign and WT/TPR/M/283 • Brazil 
 
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   local capital and no restrictions on remittances. They also commended Brazil for the 
 liberalization that had taken place in some sectors. Brazil was encouraged to reflect this in  its WTO commitments and to pursue further liberalization. Some Members enquired about  certain aspects of the new reinsurance regulations, which seem to restrict market access. 
 Questions were also raised with respect to the application of certain charges on maritime 
 import freight. In the area of telecommuni cations, some Members questioned the use of 
 local content provisions in the auction bids of radio waves. Brazil replied that the radio 
 spectrum is a public resource, and its auctions take into account economic and social 
 development considerations. 
6.7.  In conclusion, Members generally commended Brazil for its economic resilience to the recent 
global economic crisis, while recommending that it undertake further structural reforms and 
maintain an open trade and investment regime to secure sustainable growth. Members welcomed 
Brazil's achievements in the social sphere, and encouraged it to improve its competitiveness and business environment to lock in those achievements . In particular, Members invited Brazil to avoid 
resorting to trade restricting or distorting measures to promote domestic production, as these 
measures would not result in long-term growth and may impede taking full advantage of Brazil's participation in the global economy.   
6.8.  The numerous questions posed and the particip ation of a large number of delegations in this 
meeting reflect the Members' substantive interest in Brazil's trade and investment policies and practices. Similarly, many Members underlined Brazil's leadership role in the WTO and encouraged it to shape its trade policies and assume further responsibilities in line with its position in the 
global economy. In closing, I would like to thank the Brazilian delegation, all the other delegations, 
the discussant and the Secretariat for this successful review. 
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