The illegal trade market caused losses of R$ 410 billion to Brazil last year, a number 34% higher than what was recorded in 2021. The main cause behind this result is the loss of purchasing power of Brazilians. The value includes what the trade stopped selling in the period (R$ 280.8 billion) and taxes that were not collected (R$ 129.1 billion). The data was generated by a survey carried out by the National Forum Against Piracy and Illegality (FNCP).
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Above the Average
The data also indicate that Brazil exceeded the average recorded in other Latin American countries. Our neighbors, on average, consume the equivalent of 2% of the region’s GDP in contraband goods. Brazilians moved to 4.1% of GDP.
Most Affected Sectors
The clothing branch was the most impacted by smuggling, with losses of BRL 84 billion. In second and third places, there is the alcoholic beverages sector (R$ 72.2 billion) and fuels (R$ 29 billion). Even agricultural pesticides (R$ 20.8 billion) and pay TV packages (R$ 12 billion) were affected.
The Most Contrabanded Products
Sectors that lost the most in 2022 with smuggling in the country (in BRL billion):
- Clothes – 84
- Alcoholic beverages – 72.2
- Fuels – 29.9
- Personal hygiene (cosmetics) – 21.0
- Agricultural pesticides – 20.8
- Pay TV – 12.1
- Sporting Goods – 12.0
- Cigarettes – 10.5
- Glasses – 9.5
- Movies – 4.0
- Cell phones – 2.3
- PCs – 2.0
- Toys – 0.8
- Imported perfumes – 0.6
Source: Folha de SP; FNCP.