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Julho 2013 PAINT & PINTURA
optimism still prevails among distribution
companies, which always find a way around
their problems through differentiated ser-
vices, investments, new solutions and novel
products aimed at meeting customer requi-
Today’s scenario in the chemical distribu-
tion market is a little troubling. Until a few
years ago there was balance and consistent
growth in this market. Lately, however, there
have been ups and downs in sales, demand
and consumption every month. According to
Rubens Medrano, president of Associquim/
Sincoquim (short in Portuguese for Brazilian
Association of Chemical and Petrochemical
Distributors and Union of São Paulo State
Chemical and Petrochemical Wholesalers),
the ups and downs in Brazil’s economy have
been duly assimilated by chemical distri-
butors and are now part of the industry’s
culture. “Any analysis focusing on any given
period, especially in short-term analyses,
may lead us to conclusions that may not reflect actual mid to long-term
prospects. Brazilian economic authorities have been conducting a poor
economic policy that prioritizes short-term measures over a long-term
vision, and that has brought uncertainties to our business. Distribution
entrepreneurs are ready to take the risks inherent in our business, but
not these uncertainties.”
Medrano also says, “In our humble view, what the government should
do to turn this situation around is assure the business community, by
taking steady positions and making firm decisions, the confidence and
peace that they need to invest and carry on with their business.”
One other situation in the industry today refers to Resolution 13, which
the Federal Senate passed in 2012, exercising their powers under article
155, §2, IV, of the Federal Constitution, to unify at the rate of 4 percent
the tax payable on interstate transactions involving imports. In the
opinion of Associquim/Sincoquim’s president Rubens Medrano, when
it passed Resolution 13, the Federal Senate addressed a situation that
was causing market distortions, as certain states were granting ICMS
(State Tax on Goods and Services) benefits for shipments unloaded in
their ports, which led to predatory competition with businesses based in
other states. “However, in its regulation of said Resolution, the CONFAZ
(the abbreviation in Portuguese for National Council on Treasury Policy)
introduced some accessory obligations that are not only hard to imple-
ment, but also questionable in terms of their legality. Through efforts
undertaken with the São Paulo State Treasury Department, Associquim
has succeeded in having our views accepted without going to court for a
restraining order to protect our members.”
According to Medrano, as a national entity representing the distribution
industry, Associquim is always on the watch and actively working to
preserve its members’ legitimate interests in the various related forums,
whether by itself or through joint actions with its sister entities in the
supply chain, putting forward its concerns and suggestions with a view
to assisting elected officials with the nation’s development. “It’s hard to
name Associquim’s main actions for the benefit of the chemical distri-
bution industry, as we work on several fronts. It is all of our activities
combined which are of paramount importance to both our members and
the public at large, which includes the specialized media. It is important
to hang in there and keep up the good work that Associquim has been
doing for the past 53 years for the benefit of the industry,” Medrano
The outlook for this year is optimistic, yet in a very cautious, conserva-
tive way. “This picture is still a bit too confusing for us to take a final
position, but we are confident that we’ll have a much better second half,
and thus at least satisfactory year-end results. Our industry has shown
continuous, sustainable growth over the past several years,” Medrano
points out.
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