Brazil Retreats and Reduces Projects for Africa

03/24/2015 - 09h31

Lack of resources and interest has begun to dismantle the commercial and diplomatic offensive of Brazil in Africa.

After gaining ground and influence in the continent during the administration of former President Luiz Inácio Lula da Silva, who opened 17 embassies and made numerous trips to African countries, the country is retreating.

The cooperation programs budget dropped by 25% since 2012, and several projects are stopped. FGV had 60 projects in Africa three years ago and now has two.

Vale closed mineral exploration activities in three African countries and sold part of the operations in Mozambique to Mitsui late last year. Petrobras returned five exploration blocks in the last two years.

And Brazilian exports to Africa (peak of US$ 12.22 billion in 2011) closed 2014 at US$ 9.70 billion, a 20% decrease. In the same period, total exports from Brazil dropped 12%.

The Pro-Savannah, one of the flagship projects, is idling. The partnership among Japan, Brazil and Mozambique aims to develop agriculture of the Nacala corridor region (northern Mozambique), which has similar characteristics to the Brazilian cerrado (savanna).

For this, Embrapa would set up a soil laboratory and Japan would set up another. The Japanese laboratory is ready. The one in Lichinga, which would cost US$ 1.5 million - funded by Brazil through ABC (Brazilian Cooperation Agency) - has been stopped for lack of funds, Folha has learned.

On Friday (20), during a lunch with African ambassadors in Brasília, Brazilian Minister of External Relations Mauro Vieira said the engagement is "a state policy." But he admitted difficulties.

Even humanitarian cooperation was affected. In 2012, donations were US$ 65.2 million. In 2013, they fell 89% to US$ 6.9 million.

In 2014, they were US$ 11.9 million, but only because they included US$ 9.6 million of extraordinary donations to fight Ebola (with delay in release of funds).

The decline goes against the "Focus on Africa" strategy, started by Lula and his Foreign Minister Celso Amorim, which also helped Brazil's ambition for a greater global role.

Translated by JILL LANGLOIS

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	Agência Vale/Divulgação
	Vale closed mineral exploration activities in three African countries and sold part of the operations in Mozambique