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Dollar x Real

Rafael Herzberg's picture
Consultant energy affairs, Self employed

Rafael Herzberg- is an independent energy consultant, self-employed (since 2018) based in São Paulo, Brazil* Focus on C level, VPs and upper managers associated to energy related info, analysis...

  • Member since 2003
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  • Mar 2, 2021

Dollar x Real

Much emphasis has been given to the fact that fuels in Brazil are readjusted according to the international quotation, denominated in US dollars, as "at the pump" prices have been rising systematically.

On the other hand, I didn't see articles about the benefits that an important part of the Brazilian economy obtains from the "high" dollar: the agribusiness sector, which is a major exporter.

A democratic country with an open economy is naturally exposed to the world and prices. And those who take on the challenges seek to find competitive solutions to face the situations.

But Brazil seems to be consolidating responses to "high" quotations by increasing taxes, and subsidies, always in the name of "protecting the population".

A "more palatable" quotation depends on cleaning as a rule the "Brazil cost". Meanwhile, populism has remained the preferred "solution".

PS Electricity tariffs are influenced by the Dollar because it is a capital-intensive sector


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Thank Rafael for the Post!
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