Steel sector predicts growth with greater industry demand in 2019

Steel distribution companies predict positive results in 2019 with the continuous demand of agribusiness and the automotive industry, in addition to the expected resumption of construction. The segment also expects less foreign exchange pressure compared to last year. "Our optimism is not based only on Brazil's need to grow and in the renewal of the Government. In 2018, we already had a major growth and this year should be even higher, "says the Açovisa projects Manager, Araújo Picone. The company has 30% advance perspective sales in 2019, pulled by the increased consumption of auto parts companies and agricultural implements. "Are threads that will continue making a difference in the industrial growth", says the Executive. Headquartered in Guarulhos (SP), Açovisa's goal is to raise the revenues in 2019 35% and provides for investments of $5 million to $8 million R R. "We hope to increase the staff in 10% and take up more capacity idle. With the expansion of demand, we need to invest in distribution and logistics. " Is in the planning of the company change 60% of the vehicle fleet and machinery. "We will rely on more sophisticated cutting machines and invest in software to automate the system and become more competitive," says the Executive. In 2018, the Açovisa had 25% increase in sales and 32% in turnover. "This creates a base that allows us to even higher growth this year," he says. The Executive Manager of the Açotubo group, Bruno Bassi, says that the company has positive Outlook due to the reaction of some sectors of the industry. "We expect an increase of 18% of revenues and 10% of the payroll," he says. He also cites the automotive and agriculture as main plaintiffs. "We feel a resumption in construction. Supply stainless steel for manufacturers of elevators, a thread that's been aside in 2018, but began to show some improvement in recent months, "said Bassi. The Açotubo group account Executive must invest about R $18 million this year. "Will be directed to machinery, infrastructure and other improvements in our park. We are also paying attention to strategic planning and staff training. " He points out that the company is studying internationalize their activities. "We have a project to deploy units in Peru and Colombia. Distribution is a tough business to export, it makes more sense to have a base out of the country ", he explains. Exchange rate stability Picone believes that in 2019, the sector will be less impacted by currency instability than last year. "The landing of the dollar should not vary much throughout the year," believes the Executive. The Chief Executive Officer of the National Institute of steel Distributors (Inda), Carlos Jorge Loureiro said in press conference in December that the segment should be more stable throughout the year. "We see no great variation in relation to the dollar and prices." The entity estimates 10% growth in sales in the sector in 2019.