Research and Markets: Brazil Mining Report Q1 2013: Brazil's Mining Industry Value to Reach US$69.2bn In 2017
by Business Wire
Research and Markets (http://www.researchandmarkets.com/research/4k3x32/brazil_mining) has announced the addition of the "Brazil Mining Report Q1 2013" report to their offering.
Brazil's mining sector is poised for continued, though slower, growth as weaker foreign demand weighs on Brazilian exports. The country's large untapped reserves and relatively small mining sector relative to regional peers make it a compelling sector growth story and should continue to attract investment despite macroeconomic uncertainty. Iron ore production will continue to be the main driver of mining sector investment, but the author expects growth in several base metals, as well as gold, providing opportunities for mining companies and investors. Investments into infrastructure in advance of the 2014 FIFA World Cup and 2016 Olympics will not only help support demand for raw materials, but also enable more efficient transport of mineral resources.
The author forecasts that Brazil's mining industry will grow 4.0% in 2013 over a year-end 2012 mining sector estimate and expects the industry's value to reach US$69.2bn in 2017, representing 2.3% average per annum growth. However, the author notes that the 2013 forecast remains slightly below Brazil's 2011 mining industry value, due primarily to lower than average iron ore prices for the year. Given Brazil's status as the second largest iron ore producer in the world, negative price trends for iron ore, which contributes approximately 85% of the country's total mining export value, have an outsized effect on the Brazilian mining sector. The below consensus view on Chinese economic growth, as well as general weakness in demand growth both from China and the developed world, lead us to forecast modest industry growth.
For more information visit http://www.researchandmarkets.com/research/4k3x32/brazil_mining