Export reprimarization and the role of small business: an analysis of the Brazilian case (2003-2015)

Abstract

Abstract This paper assesses the phenomenon of “reprimarization” of Brazilian exports in the 2003-2015 period from a firm size perspective. Export “reprimarization” has been an important worldwide issue but more accentuated in Brazil. In this regard, the paper reveals important differences between exports of large and small firms regarding the proportion of exporting companies, total amount exported and, especially, export composition according to levels of technological intensity and product categories. It shows that the Brazilian export dynamics were deeply associated with the exporting behavior of large firms in the period. Responsible for the greatest part of total Brazilian exports, they presented exports relatively more concentrated in primary goods, benefiting more from the boom of commodities. Smaller firms tend to face bigger challenges to start exporting or to become successful exporters. Despite this fact, micro and small firms showed an export composition relatively less dependent on commodities and more dependent on higher technology-intensive products, therefore with important policy implications in favor of supporting their international activity. Keywords: exports; Brazil; “reprimarization”; firm size; technological intensity. JEL Classification: F14; L25; O54.