Brazil, country of precious stones

Economy on the rise is what is expected for 2019. Despite the persistence of a difficult economic situation, Brazil is considered among the few countries to be growing at a sustained rate

Commercial exchanges between Italy and Brazil, the country of precious stones by excellence, registered in the first nine months of 2018 exportations for about 3 billion and importations for about 2.5 billion. Speaking of products destined to a high segment, Italy holds 6.4% of the market of jewels, watches and custom jewelry, following Switzerland and USA (Bper data).

An emerald podium

Brazil is considered the third world producer of gems, with the exception of diamonds and rubies. The production of precious stones is mainly concentrated in the states of Mina Gerais, Rio Grande do Sul, Bahia and Goiàs. There is one stone mainly and inextricably bound to these lands: emerald. This country is the second world producer of the splendid green stone. Brazil plays, therefore, a crucial role in the international market of precious stones.

An expected growth

The country is the eighth economy in the world; its social structure underwent throughout the last ten years a process of transformation that reduced the middle-income segment extending, on the other hand, the middle-low one. A certain reduction also interested in the high part of the pyramid, considering that the incomes went down from 15.3% to 13.7%. However, Bank of America claims – as communicated by an information note at the beginning of December 2018 – that Brazil “will be one of the few countries to be growing at a sustained rate in 2019, while the economy of the US will be losing its impetus and that of China and Europe will appear uncertain”. More precisely, the American bank foresees that in 2019 Brazil will grow by 3.5%, which is a more positive forecast compared to that of the International Monetary Fund, according to which Brazil will register a GDP growth of 2.4%. “This growth – according to some experts of Bank of America – will be supported by a pro-market agenda on behalf of the administration of president Jair Bolsonaro, aiming at building trust in investments”. “Feninjer”, the international fair dedicated to precious stones and gems, will take place under these circumstances from 4 to 7 February 2019 in Sao Paulo.