A report by the World Trade Organization criticized the trade policies that are the backbone of Brazil’s economy. The document says that the country has not conducted major changes in its trade policies over the last four years. Taxes remain the center of Brazil’s trade policy.
Billions in subsidies for local companies hurt Brazil’s integration into world trade, and create distortions in the competitiveness of local industries.
The WTO also points to sectors that remain closed off to foreign investors, such as nuclear energy, finance, air travel, health, land, media, and mining, among others. Investments in infrastructure also remain far too low.
While Brazil remains as one of the world’s top commodity producers, it has lost market share. In 2013, Brazil was responsible for 7.3% of global agricultural exports. In 2015, that number lowered to 5.1%.