Sica ‘enthusiastic’ over Brazil’s new economic direction under Bolsonaro

Production and Labour Minister Dante Sica says he is enthusiastic over Brazil’s new economic direction under the leadership of new President Jair Bolsonaro. Sica said he believes Argentina’s giant neighbour will grow more, thus aiding the domestic recovery.

The region has been shaken up by Jair Bolsonaro coming to power in Brazil. How does the government see it?

We have great expectations of the first official meeting [on January 16] with Argentina’s president also presiding over the Mercosur. We have ongoing negotiations which should be concluded in the first few months of this year.

What’s your reaction to Bolsonaro, enthusiasm or concern?

Enthusiasm. All the projections show growth prospects on an upward curve for Brazil after last year’s recession and mediocre growth. This year’s growth could reach three percent. If Brazil grows, its demand will pull us up.

We are hopeful. Not because of Bolsonaro but because of the important administrative changes already made. We would like to know his agenda, which, from everything we have heard, does not differ much from our own advances in these last few years.

How can you separate the controversial aspects of Bolsonaro in areas beyond the economy from his economic management as such with respect to Argentina?

What we have to look at is the economic side. Beyond that there is a whole range of issues with which we might agree or disagree.

Was President Macri’s no-show at the inauguration a political gesture or was he just taking a rest?

There was no formal invitation to the president to attend and the Government decided to replace him with Foreign Minister (Jorge) Faurie.

One of the main links with Brazil is the automobile sector. What are its perspectives?

Brazil’s recovery will have its impact on the sector. By the close of 2018 Brazil had licensed 2.6 million new cars with almost three million estimated for this year. Around 7 to 8 percent of Brazil’s total is Argentine, thus offering perspectives of improvement. With 18 pesos a dollar you had more cars coming in. There were forecasts of a million new licences for 2018 but the final figure will be 700-800,000 cars, 70 percent coming from Brazil and 30 percent produced by the local market.