Trade and Travel Restrictions: Brazil

Constantly updated information about the situation in Brazil with focus on the general situation, movement of goods and movement of people.
 

overview

A quick overview of the affected areas. Please find more detailed information below.

General Situation

General Situation

Description of the current situation

Brazil is the hardest-hit Latin American country in the coronavirus pandemic and has reached 260,000 deaths (stand March 8th). With the new variants appearing and especially “the Amazonian variant”, the spread of the decease has reached in March 2021 its highest level since the beginning of the pandemic a year ago. In many regions, hospitals are working at their maximum capacities and the health system is very much under pressure.

Since mid-February, the government has started its national vaccination plan using for the moment two vaccines (Coronavac and AstraZeneca). Due to an insufficient number of vaccines, the plan is running very slow. In average and throughout the country, 3,5% of the population have received a first dose and only 1,7% have a complete protection through a second dose.

With the increase of the spread of the decease, most of the States have reinforced the lockdown measures, and decide for the closure of all non-necessary commercial activities. Whenever possible, “home office” must be privileged. Security measures like the wear of mask, distancing must be respected.

Based on the latest communication of the Brazilian Statistics Institute IBGE, in 2020 the Brazilian economy has showed a contraction of the GBP of 4,1%. In its report, the IMF pointed out other vulnerability aspects of the Brazilian economy, like high level of public debt (100% GDP) and high  unemployment (13,8%). The Brazilian Real has seen a devaluation of over 40 % in 2020 during the first semester of the year.

For updated numbers on COVID-19 in Brazil see: https://covid.saude.gov.br/

Government measures

  • Financial support for informal sector workers and low-income families USD 120.-/months) has been extended for 3 more months.
  • Labor law adjustments in order to lower salary payments, suspension of employment contracts, anticipation of vacation days, work from home.
  • Support for companies via postponement of due payments (federal taxes, social contributions)
  • New credit lines for companies from state-owned Federal Savings Bank and Banco do Brasil
  • See https://www.s-ge.com/en/article/news/20202-c3-brazil-covid-economic-trade-related-measures  

Economic outlook (economic development, effects on industries)

  • High government debt and spending
  • Most industries under duress (tourism, automotive industry, production, design etc.) https://blog.euromonitor.com/the-impact-of-coronavirus-in-brazil-uneven-prospects-across-industries/
  • Very diversified economy, some sectors remain stable, in particular agriculture and food industry, mining.
  • Increasing demand for digital solutions.
  • Increase demand for industrial cleaning or disinfecting solutions.
  • Early estimations predict GDP fall of 5,8% in 2020 and a partial recovery of 2,8% in 2021 (based on last release of IMF).
Movement of goods

Movement of goods

Movement of people

Movement of people

Restrictions on entry from Switzerland

  • Since end of July 2020, foreigners are allowed to enter the Brazilian territory by air only and using the main international airport like Guarulhos in Sao Paulo, Galeao in Rio de Janeiro or Juscelino Kubitschek in Brasilia is permitted. Foreigners need to present health insurance coverage and prove that they have been tested negative (PCR testing) no more than 72 hours before entering Brazil. The test certificate must be written in English, Portuguese or Spanish. Furthermore, passengers entering Brazil must compile an online “Health certificate” that has to be submitted to Anvisa.
  • For persons travelling from Brazil to Switzerland, the obligation of quarantine has been reintroduced by the Federal Council as of January 21st.

Restrictions on mobility within the country

  • No general restrictions on mobility within the country, however, reduced number of domestic flights available. .
  • The use of protection masks in closed public areas as well as outside on the street is mandatory.
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